Crain's Detroit Business, Dec. 11, 2017 issue by Crain's Detroit Business

DECEMBER 11 - 17, 2017

Chaldean group plans $30M in housing

String of deals puts McLaren among largest in state Health system in hunt for more growth. Page 3

Page 3

Manufacturing

Analysts question viability of ‘Project Tim’ steel mill plan

MEDIA

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By Chad Livengood clivengood@crain.com

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By Bill Shea bshea@crain.com

Santa still slays Sirius. The terrestrial radio industry has been roiled by bankruptcies, consolidation, and the rise of competition from satellite broadcasters, streaming services such as Spotify and Pandora, and voice-controlled smart speakers like the Amazon Echo. Yet one radio staple that remains largely immune to the splintered listening marketplace is Christmas music, especially in metro Detroit. “There are a lot of changes that have affected terrestrial radio, but one constant is holiday music. It continues to be incredibly powerful for the short period of time it takes place,” said Fred Jacobs, president of Southfield-based Jacobs Media Inc., which does marketing and consulting for radio stations. “Detroit is one of the bigger holiday music markets, one of the best performing.” The economics of holiday music are simple: A surge in listeners is lucrative for stations that flip to capitalize on nostalgia and cheer, and only a few in each market are formatted to do it. Locally, Farmington Hills-based WNIC 100.3 FM is the first to shift to all holiday tunes, and doing so skyrockets the channel to the top of the ratings with an average of 1.2 million listeners per week, according to 2016 data from Nielsen Audio Inc. If the station averages that again this year, it will have gained an average

of 230,000 weekly listeners for holiday music since October. Adult contemporary stations like WNIC, which is the most common format to flip to holiday music, see about a 22 percent uptick in audience in the fourth quarter nationally, according to data from Nielsen. Some stations that flip to a Christmas format can double the average fourth quarter revenue for their market, said Erica Farber, president and CEO of the New York City-based Radio Advertising Bureau, the industry’s trade group. “It’s kind of like our Super Bowl when it comes to ratings,” said Nick Gnau, president of the Detroit region for WNIC owner iHeartMedia Markets Group. “Listenership is off the charts. We get 60 percent of local listeners during a typical holiday week.” Outside radio analysts agree: Those numbers are “absolutely a huge gain” for a short window in radio, said Don Tanner, author of a textbook about the radio industry and a partner in Farmington Hillsbased Tanner Friedman Strategic Communications. This year, WNIC made the switch from its format, known as hot adult contemporary, to holiday music on Nov. 9, and is one of about 500 stations that will do so nationwide. The station has been flipping since 2000, and established itself as the market’s go-to holiday station. Gnau estimated the holiday playlist is 350 to 600 songs. SEE MUSIC, PAGE 31

A Ohio company’s pursuit of building a sprawling steel mill in the farm fields of Shiawassee County and a second mill on the banks of the Ohio River will face a big challenge from global economic realities, analysts say. Steel industry experts are skeptical that a processed steel market already saturated with excess inventory would support the financial viability of two new plants in the Midwest, especially one in a landlocked railroad town like Durand that has no nearby access to a river to ship in raw iron ore or scrap metal for steel production. The CEO of New Steel International Inc. confirmed to Crain’s last week that the company has been assembling nearly 1,000 acres of bucolic farmland along I-69 near Durand for a steel-producing facility that its representatives have told local residents would top 550 acres in size — for just the building itself. For months, the project has been cloaked in secrecy under the code name “Project Tim.” The Middletown, Ohio-based steel technology company, which has no known track record of building steel mills in the U.S., is pursuing a $7 billion loan from the U.S. Department of Energy to build what’s being portrayed as a state-of-the-art coal-burning steel mill in Durand, according to a source briefed on the company’s plans. The company also is seeking another $7 billion loan from a TARP-era fund Congress set up during the Great Recession to aid automakers in developing energy-saving technology for construction of a second steel mill in southern Ohio — a project New Steel International has been publicly pursuing since 2007. SEE PROJECT TIM, PAGE 32

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Bills to stabilize retiree plans scaled back

The Republican-led Legislature early last Thursday overwhelmingly approved legislation aimed at fixing underfunded municipal retirement plans, after deciding to abandon contentious proposals including state intervention in communities unwilling or unable to solve the problem, the Associated Press reported. The scaled-back versions of the bills were written after GOP Gov. Rick Snyder and legislative leaders ran into resistance from police, firefighters, Democrats and many Republicans concerned about potential cuts to health care benefits. Lawmakers expect to finish passing the 13 bills this week before adjourning for the year. Snyder and others worry the cost of the liabilities jeopardizes basic city services and — if not addressed — the ability for communities to meet their promises to workers and retirees. “We are taking a solid step forward in preserving and protecting the promises made to our local workers,” a lead bill sponsor, Republican Sen. Jim Stamas of Midland, said when final voting began. The nearly 600 Michigan munici-

palities that offer pensions have unfunded liabilities totaling $7.4 billion, and 180 have funding ratios below 60 percent, according to a task force report ordered by for Snyder. The roughly 340 governments that provide retiree health care have $10.1 billion in unfunded obligations, with average funding ratios of 19 percent. The legislation closely reflects recommendations from the task force and stops short of additional, more controversial steps such as the creation of financial teams to intervene in municipalities with severely underfunded systems and an unwillingness or inability to better fund them over time. Local governments would have to prefund new hires’ retiree medical costs starting next July. There also would be a multi-stage process to identify and address underfunded pension and health plans.

Snyder issues marijuana rules

Gov. Rick Snyder issued rules last week policing medical marijuana businesses, less than two weeks before the state begins accepting license applications under a new regulatory system, the Associated Press reported. The emergency rules will remain in effect for at least six months until permanent ones are finalized. They regulate varied topics including ad-

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Gov. Rick Snyder issued rules last week policing medical marijuana businesses, less than two weeks before the state begins accepting license applications under a new system.

vertising, security requirements and how much capital businesses must have to get into growing, processing, selling, transporting or testing marijuana. The state had previously given guidance on major issues such as the status of existing dispensary shops that have been operating under a legal cloud, ultimately deciding they can stay open while seeking a state license if they have had the approval of their local community. Applications will be

accepted starting Dec. 15. “We needed to add a little meat to the bone on some of those things but tried to stay consistent with what was there,” Andrew Brisbo, director of the Bureau of Medical Marihuana Regulation, said of the advisory bulletins issued in recent months. Under the 51 rules, licensees will need to demonstrate capitalization ranging from $150,000 to $500,000, depending on the type of business. At least 25 percent of the capital must be

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in liquid assets, such as cash, marijuana inventory or investments. No more than 15 ounces of usable marijuana or 72 plants may be used to meet capital requirements. It will cost $6,000 to apply for a license. Licensees and applicants must notify the Department of Licensing and Regulatory Affairs, the state police and local law enforcement within 24 hours of any theft or less of product. People who violate the rules can be fined $5,000. Businesses can face a $10,000 fine or an amount equaling daily gross receipts, whichever is greater. Growers, processors and provisioning centers can operate out of the same location if it is OK with the municipality and if they have “distinct and identifiable areas” and separate entrances and exits. Visitor logs must be kept, and video surveillance is required inside the businesses. Roughly 265,000 patients have registered with the state to grow their own marijuana or obtain it from 42,000 registered caregivers who can supply a limited number of people.

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Auto Suppliers

After split, Delphi looks to the future Last week, a storied Southeast Michigan auto supplier split into two separate public entities — one focused on the headline-grabbing autonomous vehicle phenomenon, the other on the century-old powertrain. The autonomous software company Aptiv PLC (NYSE: APTV) took with it Delphi’s top senior executives, including CEO Kevin Clark, and nearly three-quarters of its former

company’s engineering prowess. But Delphi Technologies (NYSE: DLPH) isn’t floundering with 5,000 engineers, new product lines and an expected $4.5 billion in revenue. The admittedly less sexy new company spent much of last week speaking with investors, and ringing the opening bell on the New York Stock Exchange on Tuesday, discussing its future and how it plans to accommo-

date automotive’s changing landscape. Senior reporter Dustin Walsh chatted via phone with Delphi Technologies’ CEO Liam Butterworth and Chief Technology Officer Mary Gustanski about its new beginnings and transforming a legacy business. Do you feel Delphi Technologies is getting lost in the mix with all the

news about Aptiv?

Butterworth: As we spin off, what we’ve been working actively on is communicating our story. We’ve been really correcting the business over the last several years to focus on all angles of combustion technology and electrification. We’re doing this so people understand this is a business that’s ready in supporting and assisting the (automakers) on

Liam Butterworth

Mary Gustanski

whatever the future holds for automobiles. There are two strong dynamics driving the auto industry at SEE DELPHI, PAGE 33

Health Care

Rendering of McLaren Greater Lansing replacement hospital. MCLAREN HEALTH CARE CORP.

McLaren to become one of biggest health systems in state By Jay Greene jgreene@crain.com

A year-end growth spurt may have catapulted Grand Blanc-based McLaren Health Care Corp. into being the biggest integrated health system in Michigan. The 12-hospital system is in the process of adding two small Thumb-area hospitals in Caro and Bad Axe and last week announced a $450 million replacement hospital for its two Lansing hospitals. In October, it signed a deal to purchase an Indiana Medicaid health plan with $1.5 billion annual revenue.

CEO Phil Incarnati said whether McLaren is the largest in the state depends on how one measures size. Once McLaren is done integrating the two new hospiPhil Incarnati: Market has created tals and health plan, the system opportunities. will grow into a company with $5.6 billion in annual revenue with 14 hospitals and two health plans.

“The market has created some opportunities for organizations that appear to have the right mix of things based on what the needs of the future will be,” Incarnati said. “We are outperforming the market. Our quality scores continue to improve and costs are very competitive. We are the lowest-cost provider in every market we are in.” One appealing aspect of McLaren to hospitals seeking larger partners is that McLaren is “one of the few systems that makes money under Medicare,” Incarnati said. Michigan is home to a number of

Nonprofits

Chaldean Foundation plans $30 million project, community center expansion By Sherri Welch swelch@crain.com

The Chaldean Community Foundation is making plans to begin construction on a $30 million mixed-use development in Sterling Heights next year and, in a related move, to nearly triple the size of a community center it built in the city just two years ago. The foundation is under contract to purchase a vacant property in the city’s North VanDyke Riverland District, a redevelopment district which extends from north of 18½ Mile Road to the city limits at M-59. It expects to close on the purchase early next year and break ground by summer, said Martin Manna, presi-

dent of the foundation and the Chaldean American Chamber. The mixed-use development slated for the undisclosed property will include street-level retail Martin Manna: and 200 family List of families apartments on its seeking housing. upper floors, enabling the foundation to make a dent in a list of 1,100 Chaldean families seeking long-term housing in the region, Manna said. “We don’t anticipate any difficulty in

Need to know

JJPlans a $30M mixed-use project for Sterling Heights JJAlso planning to nearly triple the size of the community center it built just two years ago JJAimed at meeting unmet demand for the growing community

identifying retail and housing tenants.” The project will likely be the first phase of a larger plan for housing development in the area, Manna said. “If all is successful with this deal, we would like to add additional units within the district.” SEE CHALDEAN, PAGE 33

Need to know

JJMcLaren to grow into $5.6 billion health

system during 2018

JJAdding rural hospitals in Caro, Bad Axe and a Medicaid health plan in Indianapolis JJThree biggest health systems in Michigan also own health plans: Spectrum, Henry Ford and McLaren

similar-sized health systems, including two other integrated health systems that operate hospitals, employed medical groups and health plans. By revenue, Spectrum Health in

Grand Rapids is the largest with $6.1 billion annual revenue, 12 hospitals and a health plan. Henry Ford Health System in Detroit is close behind with $5.7 billion revenue, seven hospitals and a health insurance arm. Beaumont Health has $4.4 billion revenue and eight hospitals. Two Catholic systems, Ascension Health Michigan with $3.8 billion in annual revenue and 15 hospitals, and Trinity Health Michigan with $3.2 billion in annual revenue and 10 hospitals are close behind. SEE MCLAREN, PAGE 32

MUST READS OF THE WEEK Chad Livengood

Business-backed Detroit schools coalition takes new approach. Page 4

Detroit location After a four month hiatus, Henry the Hatter reopens in new Eastern Market location. Page 34

Second Stage Special Report: Company executives discuss the ins and outs of taking on an equity partner. Page 28

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Business-backed Detroit schools coalition taking new approach has been recapitalized by

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Two years ago this month, Detroit Public Schools were on the brink of financial collapse. The state’s largest school district was $114 million behind in state pension payments, owed $40 million in vendor bills that were more than 90 days past due and monthly operating debt repayments were about to balloon to $26 million — nearly equal to the district’s entire monthly payroll and benefits. “The potential for losing our school district at that time was very real,” said Angela Reyes, executive director of the Detroit Hispanic Development Corp. Reyes is a co-chair of the Coalition for the Future of Detroit Schoolchildren, the group of city business, civic, religious and education leaders who led the charge starting in 2015 to get Gov. Rick Snyder and the Legislature to rescue DPS from running out of money and shuttering nearly 100 city schools. By June 2016, the coalition won legislative support for a $617 million bailout to pay debts largely racked up by emergency managers and return a local school board to power. Fast forward to December 2017. The debt-free Detroit Public Schools Community District has stabilized enrollment, is paying its bills, building a fund balance and has a superintendent who answers to an elected school board — not the governor. It’s easy to forget how bad things really were less than 24 months ago. The coalition, organized by the education-focused Skillman Foundation, has spent the past year refining its mission to focus on not just sustaining Detroit’s school system, but improving outcomes critical to the city's ability to retain and attract new families.

CHAD LIVENGOOD clivengood@crain.com

“This city has a very fragile recovery under way,” said Mark Reuss, executive vice president of global product development, purchasing and supply chain for General Motors Co. and a coalition co-chair. “I don’t want to go somewhere else to get talent.” To get homegrown talent for a hometown business like GM, the coalition’s leaders have prioritized six areas for K-12 education in a new report that they intend to push policymakers at the state and local levels to pursue. In what’s being dubbed “Coalition 2.0,” the recommendations include: J Reducing chronic absenteeism. In the 2015-2016 school year, more than 30,000 students (two-thirds of the district) missed 10 or more days of school. J Getting Detroit school-age children to actually attend public school inside the city limits. J Addressing the early literacy crisis. In 2015, Detroit ranked last in the country among all big cities in the reading test scores of fourth graders from low-income families. J Fully funding special education. Detroit’s district has a disproportionately large share of students in special education programs that cost more to operate.

John Rakolta Jr., CEO and chairman of Detroit-based construction giant Walbridge Aldinger, is a coalition cochair who spent much of the winter of 2015 personally studying the district’s financial problems. “Every year we don’t solve this, we push 10,000 kids into the future unprepared,” Rakolta said. DPSCD Superintendent Nikolai Vitti said the recommendations are “in direct alignment” with the district’s focus on improving student achievement, attracting and retaining teachers and changing the culture of Detroit schools. Noticeably missing in the Coalition 2.0 report is the group’s past pursuit of a Detroit Education Commission to regulate the opening and closure of schools operated by DPSCD and independent charter schools. That proposal was backed by Snyder and Mayor Mike Duggan, but vehemently opposed by the charter school movement and their Republican allies in the Legislature — and nearly derailed the entire bailout. For now, the coalition appears to be taking a different tactic of encouraging cooperation among charter schools and DPSCD. “It’s time to stop the competition and think about how we create what I describe as ‘cooperatition,’ ” said Skillman Foundation CEO Tonya Allen, who took a few arrows from lawmakers over this issue two years ago. “There can be some competition,” Allen added. “But we’ve got to figure out a way to cooperate in the best interest of the children and the families of this city.” Chad Livengood: (313) 446-1654 Twitter: @ChadLivengood

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OPINION

COMMENTARY

Detroit’s pull brought her back from Washington A t the first Detroit Homecoming in 2014, organizers gave each expat a deed to a parcel of land in the city, a symbol of the enduring connection between this place and its people. I got one and promptly lost it, but the idea took root: Two years later, after 31 years away, I returned home to Detroit for good. Kerry Duggan got a deed that day, too, and it changed her life. Before I get back to that day and the deed, let me tell you a little about Duggan. She grew up in Farmington Hills, one of four children raised by parents who met in the bleachers at Tiger Stadium. Her mother stayed home with the kids. Her father worked in risk management for several health care systems. “When I was growing up,” she told me, “I was forbidden from going to Detroit.” Kerry attended Catholic schools before transferring to Detroit Country Day School, where she became an all-state basketball player. (Though she is not related to Mayor Mike Duggan, she did play basketball against his daughter.) Kerry Duggan later played hoops at St. John’s University and in Europe before transferring to the University of Vermont to quench her interest in environmental policy. That led her to Washington, where she worked for the Energy Department. One day in 2011, her boss got a memo from the White House. President Barack Obama wanted to deploy top federal talent to work with community leaders in Detroit and a few other major cities. “You’re from Detroit,” he told Duggan. “Go see about this.” For the next seven years, Duggan

“I couldn’t get the place, this city, out of my bones. Nobody can.” Kerry Duggan

O’Donnell, left Ireland in 1914 to escape poverty and landed in Detroit, where one of his sisters had already moved. He had $14 in his pocket and built himself a home in Detroit. He invested. He bought property.

Ron Fournier is publisher and editor of Crain’s Detroit Business. Catch his take on business at 6:10 a.m. Mondays on the Paul W. Smith show on WJR AM 760.

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commuted between Washington and Detroit, one of a half-dozen or so Obama administration officials embedded in City Hall to learn what Detroit’s leadership needed from Washington, then convening meetings at the White House to meet those needs. Her main project: Helping Mike Duggan keep his campaign promise to light up the city streets. The Strong Cities, Strong Communities program is a rare example of a federal-city partnership that created real and durable progress. Rather than impose mandates from on high, the program injected problem-solving federal workers into cities to assist local leaders. Nothing like it exists today. For the first meeting between Duggan and her fellow Washington travelers, she brought her three-monthold son to Detroit. In the next three years, Liam would take 52 flights between Washington and Detroit with his mother, and the Westin Book Cadillac would become their second home. That brings me back to the 2014 Detroit Homecoming. When Duggan looked at her deed, she got a chill; there was a family connection to the Virginia Park land she now owned. Her great-grandfather, Daniel

A well-deserved honor

ast week the Southeastern Michigan Boys & Girls Club had a dinner honoring David Fischer, one of our area’s leading philanthropists and certainly a leading businessman. After inheriting a single automobile dealership from his dad, he built a huge business representing many automobile franchises in Michigan. It’s the 15th largest dealership group in the country. Although the dealerships are concentrated mostly in Michigan, he and his reputation are known all over. He also has just received a considerable honor by being asked to represent the United States as ambassador to Morocco, a country some say is to Europe what Mexico is to the U.S. (His appointment still has to be ratified by the Senate.) Those of us at the College for Creative Studies have been lucky to have David serving on our board. But we were really fortunate to have him chair our recent capital campaign to raise millions for the school’s second campus. He was unbelievably effective and I would like to think that it inspired

Kerry Duggan worked for Vice President Joe Biden, who made his last official trip as vice president to Detroit in January.

wanted to buy property. “I called my husband in Washington and said, ‘We’re either buying a place here in Detroit or I’m quitting my job. And I’m not quitting my job.’” They bought a loft in Eastern Market, where she and Liam stayed during her trips to Detroit. In July 2015, Duggan went to work for Vice President Joe Biden and, because she no longer needed a place to stay in Detroit, rented out the loft. Biden’s last official trip as vice president was to Detroit, a trip that Duggan took aboard Air Force Two last January. Seven months later, Duggan left Washington and moved her family into their Eastern Market loft. “I couldn’t get the place, this city, out of my bones,” she told me over breakfast at Zeff’s in Eastern Market. “Nobody can.” So she’s brought her consultancy business, SustainabiliD, to the D, and she’s still working with the city, among other institutions, to connect dots that need connecting for the connected future. Daniel O’Donnell’s great-granddaughter is back home.

RON FOURNIER

KEITH CRAIN Editor-in-chief

his career as a fundraiser for worthy causes, including his support for the Republican Party. Like it or not, candidates in our political system must raise money for their campaigns; the bigger the office, the more money must be raised. To be willing to serve your country is an admirable accomplishment. We should all be very proud that a citizen of Detroit has been chosen for this assignment. The Boys & Girls Club was very smart to honor one of our distinguished citizens. After his official appointment, I am sure we will wish him great success representing his country in Morocco.

He opened a bar called Shamrock Pub near Virginia Park. Holding that deed at Homecoming, Duggan realized she couldn’t spend another night at the Book Cadillac. She wanted to invest. She

C R A I N ’ S D E T R O I T B U S I N E S S // D E C E M B E R 1 1 , 2 0 1 7

Make clean energy investments to grow Michigan’s economy

he U.S. Bureau of Labor Statistics just announced it anticipates the two fastest-growing jobs in America over the next decade will be wind turbine technician and solar installer. By 2026, job opportunities in both occupations — which pay about $45,000 annually — are expected to double from current levels. The growth of the clean energy economy is already unfolding here in Michigan and Detroit. According to the new “Clean Jobs Midwest” report from the nonpartisan business group E2 (Environmental Entrepreneurs) and Illinois-based Clean Energy Trust, approximately 92,000 Michiganders work in clean energy industries like energy efficiency and renewables. That’s about 5 percent more than last year, far outpacing the state’s overall job growth rate. In greater Detroit alone, about 40,000 people work in clean energy. Despite the growth of the clean energy economy, Congress and the White House are pushing budget cuts to commonsense programs that support clean energy workers here in Michigan. These clean energy workers are counting on our congressional representatives — particularly Sen. Debbie Stabenow and Sen. Gary Peters — to convince their colleagues to keep crucial clean energy funding intact in next year’s federal budget. At the same time, Washington lawmakers should defend automobile pollution standards and the electric vehicle tax credit, both of which are helping Michigan workers and companies by spurring production of the auto industry’s most efficient vehicles. While rapidly improving technologies, innovative business models, and unprecedented levels of private investment are the primary drivers of clean energy job growth, the federal government also plays a role. Through its own R&D initiatives, its support for private-sector innovation and by building the policy framework that helps cutting-edge business models succeed, federal clean energy initiatives have generated a big return on investment for taxpayers. The Energy Star program alone has saved average Americans $34 billion, despite operating on a $50 million annual budget. Clean energy will power our future economy. Increased deployment of clean energy solutions here in Michigan and across the country underscores this trajectory. Unfortunately, slashing programs like Energy Star, or rolling back clean car standards that help create more opportunities for the 69,000 people who — according to the “Supplying Ingenuity II” report released earlier this year — work in fuel-efficient vehicle technologies in our state alone, won’t make Michigan or American industry economic leaders. As chief operating officer for Levin Energy Partners, a Detroit-based clean energy finance firm, I see how policy drives economic growth every day. Our firm specializes in a finance tool called Property Assessed Clean Energy, or PACE, which allows commercial and industrial property owners to use special tax assessments to secure long-term financing for energy-saving upgrades. Without PACE, these upgrades would be out of reach. Based on state and local laws and

OTHER VOICES Cory Connolly

policies, PACE shows how smart policy can be the foundation for market solutions that unlock economic growth. For example, our company just finalized PACE financing for the Radisson Hotel at Detroit Metro Airport, which completed $2.2 million worth of energy and water efficiency upgrades. The project relied on Wayne County’s PACE program, private investors, the falling costs of various energy-efficient technologies, and local workers who installed the hotel’s energy-saving LED lights, reflec-

With so much economic development and so many clean energy jobs in Michigan, why cut funding for successful federal clean energy initiatives? Why would our federal leaders abandon Michigan’s 74 solar manufacturing companies, or the 11 wind energy manufacturing companies located in and around Detroit? tive rooftop, and super-efficient HVAC units. With so much economic development and so many clean energy jobs in Michigan, why cut funding for suc-

cessful federal clean energy initiatives? Why would our federal leaders abandon Michigan’s 74 solar manufacturing companies, or the 11 wind energy manufacturing companies

located in and around Detroit? How can we justify delivering on a silver platter the clean energy jobs of the future to Europe or China? It doesn’t make sense. As Stabenow likes to say, “We want to export our products, not our jobs.” We need to make sure we keep making the kinds of clean energy investments now that will grow Michigan’s economy — and create more opportunities for our state’s 92,000 clean energy workers — for decades to come. Cory Connolly is chief operating officer of Detroit-based Levin Energy Partners.

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FOCUS

CRAIN’S MICHIGAN BUSINESS: MIDLAND

How a minor league baseball team called up a Midland revival

GREAT LAKES LOONS

The Great Lakes Loons have been a success in the Class A Midwest League from the beginning. By Tom Henderson thenderson@crain.com

When is baseball more than just a game? When it’s a word in the middle of this phrase: The Michigan Baseball Foundation. The foundation was founded in Midland in 2006 by William Stavropoulos, the former CEO and chairman of the Dow Chemical Co. who wanted to bring a minor league franchise to the city. The team, the Great Lakes Loons, has been a success in the Class A Midwest League from the beginning. The team drew more than 325,000 in its first season in 2007, when it had a young pitching star named Clayton Kershaw, who is in the middle of what is likely to be a Hall of Fame career as the most dominant pitcher in the National League. The Loons, who have been affiliated with the Los Angeles Dodgers from their inception, have sent 15 players to the major leagues and won the league championship in 2016. And the team’s $35 million Dow Stadium has sparked economic development on what had been empty former industrial land just east of downtown Midland. If baseball itself was the extent of the foundation’s success and reach, Stavropoulos would have been praised for his vision of what a minor league team in Midland could mean. But baseball was just part of his vision. The key was to use the Loons as a means to return money to the community, rather than to investors seeking a profit. Funding to launch the team and build a stadium came from Midland-area foundations and individuals who made charitable contributions. “Stavropoulos wanted the Loons to be a social enterprise that would have an impact on downtown Midland and the region. We’re a cash-flow-positive enterprise that returns its profits to the community,” said Paul Bar-

Need to know

Minor league Great Lakes Loons and Dow Stadium have sparked economic development downtown 

Team operated by Michigan Baseball Foundation 

MBF invests profits from team back into the community through grants 

Paul Barbeau, the Loons’ president, was recruited from Spokane.

beau, the Loons’ president. “Bill saw a suboptimal downtown and wanted to take steps to reinvigorate it. He said, ‘We need a vehicle to reinvest in downtown.’ A sustainable baseball franchise and a first-class stadium are a means to that end.” Barbeau was recruited to the Loons from Spokane, where he had been the general manager for eight years of another Single A team, the Indians, a farm team of the Texas Rangers. “I had been looking for the next thing to do,” said Barbeau. Stavropoulos had hired Tom Dixon, owner of the Lansing Lugnuts, an established team in the Midwest League, as a consultant to help get the Loons up and running, including an executive search for a general manager. Stavropoulos is president of the foundation. “Tom was a friend a mine and

reached out. I was drawn to the chance to build something from the ground up,” said Barbeau. He was the Loons’ first employee, starting work on April 1, 2006. Ground was broken on the 4,000-seat stadium 10 days later. (There is also room for an additional 1,800 fans, who can sit on blankets on the lawn behind the outfield fences.) The foundation’s grant program donates $100,000 a year to local organizations. Grants have gone to groups in 14 counties in mid-Michigan, including the Bay City Northeast Little League, the Bay County 4H Livestock Association, the Saginaw Basin Land Conservancy, the Mt. Pleasant Little League, the Midland Figure Skating Club Inc., the Midland Girls Softball League and the Saginaw County Youth Protection Council. It has also invested $3 million into various improvements at the stadium, which is a year-round operation, hosting wedding receptions, holiday parties, high school and college baseball games, boat shows, concerts and hunting and fishing expos. A related entity of the foundation, MBF Enterprises, has spent $1 million to buy or create two ancillary businesses. (Barbeau is also president of MBFE.) In 2008, it bought the radio station that had been broadcasting Loons’ games, ESPN radio 100.9 FM; and in 2014, MBF opened the State Street Restaurant in a 220,000-square-foot multi-use development across the street from the ball park. The development project, called the East End, also opened in 2014 and fills in a big chunk of empty land adjacent to downtown that formerly had been home to an auto dealership and a printing plant. Dow Chemical is the anchor tenant in the project, with other tenants including Michigan State University and Chemical Bank’s wealth-management operation. SEE BASEBALL, PAGE 12

In this package  How a minor league baseball team called up a Midland revival. This Page North Coast builds on Dow family’s legacy in venture capital. Page 9  Savant Group grows out of closet into 17,000 square feet and counting. Page 10  STEM talent pool deepening in Midland with hel of Michigan State University. Page 10

Winter at Dow Gardens in Midland. GREAT LAKES BAY REGIONAL CVB

 Impact Analytical closes on a $3 million funding round. Page 11  Dow spin-off decks halls with lightweight composite. Page 12 Online:  BlueWater Angels among Michigan’s most enviable investors.  A guide to MIdland’s economic and community development organizations.

C R A I N ’ S D E T R O I T B U S I N E S S // D E C E M B E R 1 1 , 2 0 1 7

CRAIN’S MICHIGAN BUSINESS: MIDLAND

North Coast builds on Dow family’s legacy in venture capital By Tom Henderson thenderson@crain.com

Hugo Braun and Lindsay Aspegren, founders of North Coast Technology Investors LP, got more than they bargained for when they met with Herbert Doan to get some advice. Doan, whom everybody called Ted, was the grandson of the founder of Midland-based Dow Chemical Co., Herbert H. Dow, and was the last family member to run Dow as president and CEO from 1962-71. He later was chairman of the Dow Foundation. But it was in his capacity as the godfather of venture capital that Braun and Aspegren came calling. Aspegren, a former investment banker with Goldman, Sachs & Co., had co-founded Mountain View, Calif.-based Chromatic Research Inc., a semiconductor company, in 1993 and had raised capital and held executive positions at several tech companies, including Sun Microsystems Inc. and Toshiba Corp. Braun had been an active venture capital investor in the Midwest and California as a partner in Access Ventures, a Michigan-based investment firm, and had been co-manager of Bank of America’s $100 million venture capital portfolio. The two of them were thinking of forming their own venture-capital firm in Ann Arbor. At that time there were just a few VC firms in the state, and starting one was a gamble — maybe not a smart one. No one knew more about venture capital than Doan, who founded the state’s first VC firm, Midland-based Doan Associates, in 1972. He recruited some of the first venture capitalists to the state and nurtured the next generation of VCs through advice, pats on the back and funding. So it made sense for Braun and Aspegren to pay a visit. “We weren’t selling anything ... We just wanted to talk about the issues,” Aspegren told Crain’s in 2006, when Doan died at 83. “We were walking out of the meeting and Ted asked us to hang around. He said, ‘You really sold them! Let’s start a firm.’ He literally named the firm. He said, ‘There are East Coast firms and West Coast firms, let’s have a North Coast.’” Doan invested his own money in North Coast and the Dow Foundation became one of the founding limited partners. Ann Arbor-based North Coast has had a Midland office since its founding in 1999, and has played an increasingly important role in the area’s economic development. “I’ve known Lindsay for 15 years. North Coast is great.” said Becky Church, president and COO of Midland Tomorrow, a nonprofit economic development agency serving Midland County. Midland Tomorrow and North Coast share space in the Carl A. Gerstacker Conference Center in downtown Midland. They worked together to help Michigan State University open the MSU STEM Center in Midland in January 2016, with Aspegren leading the $10 million capital campaign to fund its launch. (See related story, Page 10.) Aspegren also helped coordinate a

Need to know

J North Coast venture firm founded in 1999 J Herbert Doan, founder of first VC firm in Michigan, was an early adviser and investor J Firm now has $140 million under management

Lindsay Aspegren: Met with Herbert Doan.

Becky Church: President, COO of Midland Tomorrow.

partnership between the STEM Center and Saginaw-based Nexteer Automotive that launched in September and offers a master’s degree in electrical engineering. “Lindsay has been a key partner for us,” said Leo Kempel, dean of the College of Engineering at MSU. North Coast, which has more than $140 million under management, has invested in several Midland businesses. Current portfolio companies include

Fulcrum Composites Inc. and Impact Analytical Inc. (See related stories, pages 11 and 12.) Other portfolio companies include Grand Rapids-based Varsity News Network Inc., whose online platform delivers news and advertising to high school sports fans; Ann Arbor-based CytoPherx Inc., a medical device company; and Ann Arbor-based Delphinus Medical Technologies Inc., which is in human trials for its medical device for detecting breast cancer using ultrasonic imaging. The firm has had a string of big exits of portfolio companies over the years, including Ann Arbor-based Arbortext to PTC for $240 million in 2005; Dexter-based Colorbok LLC to New Yorkbased FdG Associates LP for $60 million in 2006; and Denver-based Virtela Technology Services Inc. to Tokyo-based NTT Communications Corp. for $560 million in 2014. North Coast has also nurtured startups. In 2000, Braun hired a young former engineer named Mina Sooch as an entrepreneur-in-residence. Two years later she co-founded Apjohn Ventures, a small VC firm in Kalamazoo, and later was president and CEO of two tech startups that went public, Livonia-based Gemphire Therapeutics Inc. and Plymouth Township-based ProNAi Therapeutics Inc.

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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 // D E C E M B E R 1 1 , 2 0 1 7

CRAIN’S MICHIGAN BUSINESS: MIDLAND

Savant Group grows out of closet into 17,000 square feet, and counting

By Tom Henderson thenderson@crain.com

Ted Selby had no idea what he was starting when he cleaned out a broom closet in an office he was renting in downtown Midland in 1969. A chemist who had worked for General Motors Corp. and then Dow Chemical Co., Selby had decided to open a consulting business for the lubrication and oil industries. He called it Savant Labs. According to Rebecca Cox, his daughter, who is now president of the company, her dad had to send samples out for testing. Frustrated by the time it took to get them back, he decided to buy a modest amount of test equipment of his own. And there was only one place to put it: In the office closet.

Need to know

JJSavant Group targets 20 percent

annual growth and $50 million in revenue JJOils and lubrication testing company started in an office broom closet JJClients include Boeing, Chevron, Citgo, Ford, GM and Saudi Electric Power

Today, Savant Labs has become the Savant Group. Its four separate companies on the east side of Midland require 17,000 square feet of space to house its testing equipment, which is used to conduct a wide range of tests on oils and other lubrications for OEMs, tier one suppliers and the chemical and petroleum industries. And that’s not enough space for the 20 percent annual growth Cox is tar-

geting — a target that, if hit, will get the group to $50 million in revenue in several years, she said. So she is adding another building on land recently purchased adjacent to the current headquarters, with design work to start soon. The group’s four businesses have a powerhouse roster of worldwide customers, including Argonne National Labs, Boeing Research and Technology, Chevron, Citgo, Dow Chemical, the Egyptian Army, Ford Motor Co., General Motors Corp., Honda, Korea Western Power, Nippon Oil, the Polish Army, Saudi Electric Power, the Taiwan Power Co. and the U.S. Navy. The Savant Group’s four business units are: J Savant Inc., the oil and lubricant testing lab. How volatile is an oil,

Rebecca and Gordon Cox at one of their testing facilities.

meaning under what conditions and after what length of time will it begin emitting other organic compounds, causing buildups of unwanted materials like carbon in the engine? At what low temperatures will oil start to turn to gel and lose lubrication? How much better will a new synthetic oil actually perform? J Tannas Co., which designs and makes testing equipment it sells in 55 countries around the world for customers to run their own tests on oil and lubrication. Equipment ranges from $15,000 to $70,000. J Institute of Materials Inc., which publishes huge volumes of data on every imaginable characteristic of oil and lubrication, available on a subscription basis or online on a pay-asyou-need basis. J King Refrigeration Inc., which makes testing equipment that reduces the temperature of oils and lubri-

HANDCRAFTED FOR THE HOLIDAYS Share a gift from Detroit

SAVANT GROUP

cants to see how they perform in ultracold conditions. Cox earned dual undergraduate degrees at Western Michigan University in marketing and industrial engineering and design, then went to work for Procter & Gamble before getting her master’s degree in international finance and international management from Indiana University in 1993. Then, she decided, it was time to join the family business, which by then had grown into three separate companies. A year and a half later, she was running all three. Later, she acquired the fourth company, King Refrigeration, a Zeeland-based company that supplied Tannas. “It had great technology but was a poorly run business, so we bought it,” she said. A co-worker, Gordon Cox, had been at the Savant Group a year

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STEM talent pool deepening in Midland with help of MSU By Tom Henderson thenderson@crain.com

PEWABIC.ORG

10125 E. Jefferson Ave. Detroit, MI 48214

Michigan State University is investing in the future in Midland. In January 2016, it opened the MSU STEM Center. The center’s curriculum targets K-12 students and also includes MSU courses for college students and teacher enrichment programs in collaboration with MSU’s College of Education. And the STEM Center is launching a program in September in partnership with Saginaw-based Nexteer Automotive that offers a master’s of science degree in electrical engineering. The degree emphasizes automotive electronics, particularly in the areas of vehicle safety, advanced driver assistance systems and autonomous driving technologies. Twelve students began taking courses in September, with another 12 scheduled to start in January. Classes are held in the STEM Center, which was opened with $10 million of foundation support. Nexteer will provide content recommendations and encourage its employees to continue their education through the program, which is expected to expand soon into the redhot space of the internet of things. “We’re starting to explore the inter-

Need to know

JJMSU STEM Center opened in January 2016 JJProgramming focused on K-12 students but includes college courses and faculty enrichment JJSTEM Center and Nexteer Automotive launched a master’s degree in September

est (in) other programs, such as mechanical engineering,” said Leo Kempel, dean of MSU’s College of Engineering, who also said the courses in Midland will be taught by East Lansing-based faculty. “As a society, we need to expand our technology base to support the economy of the next 20 years,” he said. “There’s a continuing need in the Great Lakes Bay Region, including at our Global Technical Center in Saginaw, for individuals fluent in advanced electrical engineering,” said Robin Milavec, Nexteer’s senior executive director of current product engineering, in a press release last summer announcing the partnership. “We believe the availability of a local graduate program backed by MSU will be a great draw for the region.” Nexteer has a global workforce of more than 13,000, with 25 manufacturing plants, five regional engineering

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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 // D E C E M B E R 1 1 , 2 0 1 7

Impact Analytical closes on a $3 million funding round By Tom Henderson thenderson@crain.com

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when she joined the company. They are now married and he is vice president of marketing and sales. They bought her dad out in 2012. At 89, her dad still comes to the office twice a week. The group had 35 employees, then, and revenue of under $10 million. The company has since doubled its square footage, more than tripled its revenue and has 80 employees. “If a customer has a problem and thinks it’s lubricant related, we’ll gumshoe something together and get data,” she said. Although the Savant Group continues to hit its growth targets, she said that as revenue increases, that gets harder. “We’re at the point where an acquisition makes sense, to get into industries we want to get into and make equipment we want to make. I see that as very possible,” she said.

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Tom Henderson: (231) 499-2817 Twitter: @TomHenderson2

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centers and 11 customer service centers in North and South America, Europe and Asia. Nexteer Automotive’s customers include BMW, Fiat Chrysler, Ford Motor Co., General Motors Corp., Toyota and Volkswagen. The MSU STEM Center was funded with support from The Herbert H. and Grace A. Dow Foundation, the Rollin M. Gerstacker Foundation, the Charles J. Strosacker Foundation and The Dow Chemical Co. Foundation. Kempel credits Lindsay Aspegren, a co-founder of Ann Arbor-based North Coast Technology Partners LP, with coordinating the fundraising. Tom Henderson: (231) 499-2817 Twitter: @TomHenderson2

Impact Analytical Inc., a Midland-based company that provides testing services for the pharmaceutical, plastics, consumer products and specialty chemical industries, closed on a venture-capital funding round last week of $3 million from Ann Arbor-based North Coast Technology Investors LP. The company was founded in 2006 by the Michigan Molecular Institute, a nonprofit founded in 1972 by Herbert Doan to promote research of advanced composite materials and polymer technology. The institute eventually spun off several companies as it started to focus on commercializing some of its technologies. Doan, grandson of the founder of Dow Chemical Co., Herbert H. Dow, was the last member of the family to run the company. He was president and chief executive of the company from 1962 to 1971 and died at age 83 in 2006. In 1999, Doan encouraged Lindsay Aspegren and Hugo Braun to found North Coast, even coming up with the name, and was an original investor in the VC firm, which has had an office in Midland since its founding. MMI ceased operations in June 2015 but continues as a holding company that owns some of the companies it spun out. Until the closing last week, it had owned 100 percent of Impact, which is now majority-owned by North Coast. In 2013, Impact Analytical moved into a new 17,000-square-foot facility just outside the Midland city limits, on the northwest side of town. Aspegren liked Impact’s technology, but before he invested in the company he wanted to bring in a consultant to help him evaluate it. He recruited Neil Chapman to visit Midland, look at the business and offer some advice. Chapman, who lived in Houston, is a 34-year veteran of testing and quality control services for the polymer and petrochemical industries and was vice president of Houston-based Intertek North America from 2000-2013. Intertek Group plc is a UK-based company that has provided testing services for industries since its founding in 1880 and now has more than 42,000 employees around the world. Impact, Chapman found, “had a great lab and good employees, but it needed focus. It had been operated by a nonprofit and needed to change the mindset to become a commercial operation. It had a healthy pipeline of business, but ...” The “but” included not having an actual sales team. Existing customers brought return business back, but there wasn’t outreach to new customers. Aspegren agreed with Chapman’s assessment and asked him to take over the company. “Eventually, Lindsay convinced me to move here,” said Chapman. Chapman became president last

Need to know

J Product-testing company closes on $3 million funding round J Ann Arbor-based North Coast is now majority-owner of the company J Company expects to grow revenue 20 percent next year to $4 million

January. He is a native Brit and was looking forward to moving back to a more northern climate. “I like the long summer days,” he said. “But it was a tough sell moving my family from the fourth largest city in America to a small town in the middle of nowhere.” He closed on the sale of his house in Houston a month before Hurricane Harvey made landfall on Aug. 25. Impact Analytical employs 28, including a new sales staff of three, and has more than 300 customers around the world. Chapman expects to grow revenue next year by at least 20 percent to about $4 million. Chapman said the company landed a half-million-dollar contract last month from the Veterans Administration to see how well drugs maintain their integrity in packaging under a wide range of temperature conditions. “We run a range of simulations. What is it like in the back of a truck on a hot day, in the mailbox at the house and then in the fridge? The VA wants to make sure the drugs it is sending its veterans (are) still effective after a wide range of conditions. And we’ve been told this deal will lead to others,” said Chapman. In March 2016, the Wall Street Journal published a story about products made by the Honest Company, a consumer products company founded by actress Jessica Alba that claims to avoid using certain frowned-upon ingredients. The story was based on testing the Journal hired Impact Analytical to do. The company claimed one of its detergents was free of sodium laureth sulfate, or SLS, but Impact’s testing showed that claim to be incorrect. The company later changed the formulation. Impact runs tests for CVS Health Corp. and Procter & Gamble Corp., among others, to make sure products they sell are free of contaminants or banned products. One recent test involved a major auto maker sending Impact small plastic parts that were supposed to adhere to other parts and were coming loose. It turned out the batch of glue being used didn’t meet specifications and needed to be replaced. “We really like the service business and business process outsourcing,” said Aspegren, when asked why he decided to become the majority investor in Impact Analytical. “They have a fully outfitted lab, great expertise and customers who really rely on them. People worry about product integrity more than ever before.” Tom Henderson: (231) 499-2817 Twitter: @TomHenderson2

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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 // D E C E M B E R 1 1 , 2 0 1 7

CRAIN’S MICHIGAN BUSINESS: MIDLAND

Dow spin-off decks halls with lightweight composite By Tom Henderson thenderson@crain.com

An economic downturn for Dow Chemical Co. 15 years ago turned out to be a blessing for one of its engineers, Chris Edwards, who had been working on a composites technology the company was no longer interested in commercializing. At a meeting in 2002, Edwards recalls Dow CEO William Stavropoulos announced: “If it’s not profitable today, and it’s not profitable tomorrow, it’s going to be gone Wednesday.” Maybe I can buy my patents back, Edwards thought. His work on a lightweight thermoplastic polyurethane Chris Edwards: composite that Broached the idea could mimic dryof buying patents. wall had generated about a dozen patents, and he hated the idea of all of that just hitting a dead end. “It was kind of a weird product. It was never going to be that $10 billion a year product the company wanted,” he said. So he broached the idea to his bosses of buying the patents from the company. Reluctant at first, Dow told him he’d have to get third-party validation of commercial potential in the form of a venture-capital investment, Edwards

Need to know

J Engineer Chris Edwards bought his patents back from Dow to start Fulcrum Composites J Composite makes curved panels and other elements for museums, displays and high-end hotels J

Expects $2 million in revenue next year

said. Enter Lindsay Aspegren, a partner in North Coast Technology Investors LP, an Ann Arbor-based VC firm with an office in Midland and deep ties to Dow. They negotiated a deal to buy the patents, with North Coast eventually investing $600,000 in Fulcrum, which was formally spun off in April 2004. Dow continues to own a 21 percent stake. Fulcrum has carved out a profitable niche providing products for high-end construction projects. It employs five at a factory just east of downtown Midland, and Edwards expects revenue next year of about $2 million. Fulcrum makes curved panels that can be fitted over concrete columns in buildings, lightweight frames for circular windows, kits for curved archways, one-of-a-kind displays for museums and any number of one-offs for construction managers. Projects for museums include a big castle kids can climb on at the Please Touch Museum in Philadelphia as well as displays at the International Museum of the Horse in Lexington, Ky.; the U.S. Institution of Peace in Washing-

FULCRUM COMPOSITES

The high-end Faena Hotel in Miami Beach bought 5,000 of Fulcrum’s curved panels. Fulcrum also created this “fancy red decor” for Faena, as Edwards described it.

ton, D.C.; and the Midland Center for the Arts. “We do everything from big construction projects to selling to a DIY guy doing his own bathroom,” Edwards said. The ultra-high-end Faena Hotel in Miami Beach, a Forbes Travel Guide five-star hotel that opened late in 2015, bought 5,000 of Fulcrum’s curved panels. Tesla showrooms use them, too. You can see Fulcrum’s work throughout the new H Residence, a five-story office and condominium project built and managed in downtown Midland

by Saginaw-based Shaheen Development, from wine racks in kitchens to a curving blue ceiling in a conference room that evokes waves. “We’re happy to have stumbled into Chris. We use him to design things we thought up but couldn’t figure out how to make,” said Al Warr, Shaheen’s project manager at the H. “And as long as we keep designing things we can’t figure out how to build, we’ll keep using him.” Tom Henderson: (231) 499-2817 Twitter: @TomHenderson2

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BASEBALL FROM PAGE 8

“We were the facilitator between Dow and the Lansing developer,” said Barbeau. The Michigan Baseball Foundation has extended its reach past the East End project to downtown proper through another of its entities, Momentum Midland, which raises money from foundations and individuals to fund and manage projects in conjunction with Midland Tomorrow, a nonprofit economic development agency in downtown Midland that has been in existence for almost 55 years and represents two cities, one village and 16 townships in the county. Three years ago, Momentum Midland began planning and raising money for an $8 million streetscape project the length of Main Street in downtown Midland. Begun last spring, the project is nearly complete, having involved taking out old diseased trees and planting new trees; widening sidewalks to allow restaurants and other businesses to set tables outside; narrowing the street to slow traffic; and, for three blocks in the middle of downtown, eliminating curbs to allow more of a plaza feel when the city closes off parts of downtown for various festivals and events. “We were able to do it without any new taxpayer funding,” said Barbeau. Other Momentum Midland projects include: J The Larkin Beer Garden, which operates out of a shipping container the Michigan Baseball Foundation bought and converted into a walk-up beer stand downtown. It was open Thursday and Friday nights for 12 weeks in the summer of 2016 and for 18 weeks last year. “It keeps hundreds of people downtown after work,” said Barbeau. J Movies on Main, a weekly free outdoor film each August. J Organizing a Zagster bike share program, with bikes available for pickup and drop off downtown. J The Downtown Property Ownership project, which involves more than 16 acres of land in and near downtown being managed by CBRE and SB Friedman Development Advisors. Various parcels are owned by the baseball foundation, Chemical Bank, the United Way of Midland County or a Dow business unit called Spheric Development LLC. Four projects are underway on several parcels, including construction of the first Midland County branch by St. Clair Shores-based First State Bank; Pathfinder Commons, an apartment complex that broke ground in late November; a condominium and office multi-use project; and a Fairfield Inn & Suites, which is scheduled for construction beginning in late winter or early spring. J Reclamation of a 14-acre brownfield site across the Tittabawasee River from downtown to be known as the Poseyville Riverside Park. Next year, work will begin on the site of the former Oldcastle concrete plant that made blocks and bricks, which was torn down in 2015. The site is a flood plain and will include hiking and biking trails and a new bridge across the river. It is adjacent to a 25-acre Dow wetland restoration site, making a total of 39 acres of new parkland adjacent to ball fields, a dog park, a skatepark and miles of rails-to-trails. “The park is budgeted at $2.5 million, and we have most of it raised,” said Barbeau. Tom Henderson: (231) 499-2817 Twitter: @TomHenderson2

The most Notable Women Lawyers in Michigan set legal precedent, navigate the complexities of mergers and acquisitions and manage high-profile cases. They win awards and earn promotions. They volunteer, teach and mentor. (And, in at least one case, race up mountains.) This special report profiles women lawyers, nominated by their peers at work and in the community. Crain Content Studio leaned on the expertise of advisors in the legal field in developing the criteria for selecting those featured here. Share this report online at crainsdetroit.com/womenlawyers

lawyer test.indd 1

12/5/17 3:03 PM

C R A I N ’ S D E T R O I T B U S I N E S S // D E C E M B E R 1 1 , 2 0 1 7

| 2017 Sharon Almonrode

Partner, Chairperson of the Class Action Department Company: The Miller Law Firm PC, Rochester Education: University of Detroit Mercy School of Law, 1981 When Sharon Almonrode wins, she wins big. “Ms. Almonrode is a brilliant, tenacious trial lawyer, and you want her on your side and never against you,” said Norman Lippitt, a former Oakland County circuit judge. Almonrode oversees more than 90 class-action lawsuits related to the Employee Retirement Income Security Act, pension funds, financial services, consumer protections, securities, antitrust and more. Almonrode, who currently sits on the Plaintiffs’ Steering Committee in the highly publicized EpiPen consumer-pricing controversy, also is a member of numerous legal associations and on the board of advisers of the Detroit Urban Debate League. In the past two years, she has been lead or co-lead counsel in two class-action suits netting 100 percent recovery of attorneys’ fees and damages, with one suit awarded more than $51 million. In five years, Almonrode has played a role in recovering more than $500 million. She also set a legal precedent by successfully litigating an unusual case against Blue Cross Blue Shield of Michigan claiming that highly compensated retirees could assert claims when their employer erred in applying tax liability.

Geaneen Arends

Monica Barbour

Company: Butzel Long, Detroit Education: Boston College Law School, 1998 Geaneen Arends puts her skills to use helping clients with general business and commercial real estate transactions and helping nonprofits reach their goals. Last year, she received recognition from the M&A Advisor for the Cross-Border M&A Deal of the Year (over $50 million to $100 million) for handling the sale of two Integrity Aerospace Group Inc. units — X-Ray Industries Inc. in Michigan and Arcadia Aerospace Industries LLC in Florida — to Applus Services S.A. in Spain. This year, Arends represented Detroit Public Television in the transition of the Federal Communications Commission license and operations of classical and jazz station WRCJ-FM (90.9) from the Detroit Public Schools Community District, where it was under the control of an emergency manager, to DPTV. Besides being on the Board of Trustees of DPTV, Arends is a trustee for the Detroit Historical Society and sits on the Board of Directors of Michigan Community Resources, which provides free legal assistance to nonprofits. “Through her work and the power of her convictions, she provides a remarkable example on how business leaders can harness the power of their business success to benefit the community and the people of Michigan,” said Hannan Lis, vice chair of DPTV and COO of The WW Group Inc.

Company: University of Detroit Mercy, Detroit Education: University of Detroit Mercy School of Law, 1979

Shareholder

Senior Attorney and Corporate Secretary

Monica Barbour defends her home turf well as the person responsible for legal counsel at her three-campus school. “She is a one-person legal adviser for Detroit Mercy,” said Pamela Zarkowski, the university’s provost and vice president for academic affairs. Barbour’s responsibilities include providing legal direction on matters ranging from civil rights and disabilities inquiries to athletics and lawsuits directed at the school. For the past few years, she has worked with the Board of Trustees to revise Detroit Mercy’s bylaws and redraft its policy prohibiting sex- and gender-based discrimination and on procedures surrounding Title IX investigations and resolutions. When her husband died of pancreatic cancer, Barbour joined the governing board of the Sky Foundation, which funds research and raises awareness about the disease. She also serves on the Board of Trustees at Escuela Avancemos Academy, a charter school in southwest Detroit. “Her opinion on board and school strategy is highly valued, as she has more experience than any of us on the board,” said Cristina Stamatin, president of the Escuela Avancemos board.

Congratulations

JENNIFER GRIECO on your selection as a Notable Woman Lawyer Jennifer brings us her expertise in the area of complex commercial litigation. Our skilled team of trial attorneys work to provide the personal attention YLZWVUZP]LULZZ ÅL_PIPSP[` HUK YLZ\S[Z L_WLJ[LK MYVT H IV\[PX\L ÄYT Ready to partner with the business judgment of experienced trial attorneys? Give us a call today.

Mary Bauman

Member, Chair of Employee Benefits and Executive Compensation Practice and Health Care Reform team, Co-Chair of Privacy and Cybersecurity Practice Company: Miller Johnson, Grand Rapids Education: Thomas M. Cooley Law School, 1986 Few are confident navigating the complicated byways of the Affordable Care Act. Yet Mary Bauman not only helps employers comply with ACA regulations — along with rules for HIPAA, COBRA and Medicare Part D — but she’s also a thought leader on the subjects. “Mary is considered the expert on ACA matters, and we have turned to her to guide us through the maze,” said Laurie Walton, HR Shared Services manager at Meijer Inc. While Bauman helps employers evaluate the legal implications of healthcare reform legislation, retirement plans and mergers, she also mentors her staff of 42 attorneys on the art and skills of legal practice. “Mary is the queen mentor. … Her willingness to listen and advocate makes her a pipeline to the younger generation of lawyers in the firm,” said Carol Karr, a retired member of Miller Johnson. At the same time, Bauman, who also is a diversity partner for her firm, has donated more than 360 hours of community service in the past two years and serves on the Board of Trustees of Hope College.

Jennifer Belveal Partner

Company: Foley & Lardner LLP, Detroit Education: University of Michigan Law School, 1995 Jennifer Belveal has a successful track record working with clients that are facing white-collar criminal and regulatory investigations and civil business litigation. A leader in the Oakland County Bar Inns of Court, which mentors commercial litigators, she also provides ethical guidance for attorneys and staff at Foley & Lardner. In addition, Belveal has created compliance programs for auto suppliers, conducted cybersecurity investigations and litigated multimillion-dollar commercial real estate portfolios. “Jennifer’s unique experience and expertise often results in better-than-imagined outcomes for clients. … She also quickly established herself as a respected and valued leader, mentor and adviser in our office,” said Philip Phillips, office managing partner for Foley & Lardner. Moreover, Belveal set a notable legal precedent in a decision that compelled a German automotive supplier to observe a 10-year, multimillion-dollar supply contract. An active member of bar and other legal associations including the American Bar Association’s Women in White Collar Subcommittee, Belveal also serves a variety of community organizations. She is a member of the Board of Trustees of Detroit Public Television and a bell ringer for the Salvation Army’s Red Kettle Campaign.

Cheryl Bush Founding Partner

Company: Bush Seyferth & Paige PLLC, Troy Education: University of Michigan Law School, 1984 Cheryl Bush makes an impact in the courtroom, classroom and community. In recent years, she has won several high-dollar cases. Bush won a summary disposition in a multimillion-dollar employment suit that an auto manufacturing executive filed, and she obtained a favorable settlement for Hyundai in a wrongful-death suit. In the classroom, Bush helps train younger attorneys at the American Board of Trial Advocates, held last year at Harvard University. She is also a fellow of the American College of Trial Lawyers, an honor reserved for those who have demonstrated the highest standards of trial advocacy, ethical conduct, integrity, professionalism and collegiality, said Kathleen Trafford, a partner at Porter Wright Morris & Arthur LLP in Columbus, Ohio. Only seven of the 107 ACTL fellows in Michigan are women. “Cheryl … repeatedly demonstrates that a trial lawyer can be successful and passionate about her client and cause without sacrificing civility and congeniality,” Trafford said. In addition, Bush is an advocate for the National Association of Minority and Women Owned Law Firms, where she participates in initiatives to ensure qualified minority- and woman-owned U.S. law firms can compete for and win business from Fortune 500 companies and government organizations, said Joel Stern, CEO of the association.

Kelly Carter

Assistant Attorney General Company: Michigan Department of Attorney General, Lansing Education: University of Detroit Mercy School of Law, 1996 Before human trafficking became prevalent in the news, Kelly Carter was an expert on the topic. “With all the dedicated and talented attorneys we have in this state, those working in the public sector tend to get overlooked when it is time to give out due recognition. Kelly has been ‘laboring in the fields’ for many years,” said Richard Cunningham, division chief of the Michigan attorney general’s Criminal Division. “The public has greatly benefited from her efforts. As public awareness grows about human trafficking, our appreciation for Kelly’s efforts becomes more apparent.” As senior attorney specialist for the Human Trafficking Unit, Carter has obtained more than a dozen convictions under Michigan’s statute, was considered instrumental in the passage of related legislation and has provided training to law enforcement on the topic. In May, Gov. Rick Snyder named her chair of the Michigan Human Trafficking Commission, where she also co-chairs its training and education and courts subcommittees and is a state representative on the federally funded Joint Anti-Trafficking Task Force.

Birmingham | 248.594.5252

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| 2017 JoAnn Chávez

Vice President, Legal and Chief Tax Officer Company: DTE Energy Co., Detroit Education: University of Notre Dame Law School, 1990 JoAnn Chávez oversees commercial, securities, corporate finance and governance, tax compliance and strategy and corporate functions at DTE. The energy company serves about 3 million people. Last year, Chávez led the team that resolved the Detroit Edison Co. v. U.S. Department of Treasury use-tax case favorably for DTE. The issue involved machinery and equipment used for both exempt and nonexempt activities, and the case had been outstanding for more than a decade. Chávez’s current focus at DTE is on talent development for the general counsel organization through leadership training and professional development. She serves on the DTE Energy Foundation board and DTE Energy Investment Committee and is the executive sponsor of the company’s Hispanic employee resource group. She founded the company’s Summer Talent Exposure Program, which has supported more than 250 students since launching eight years ago. And Chávez chairs the Michigan Hispanic Chamber of Commerce. “JoAnn Chávez is an unstoppable force of positive energy. Unaffected by conventional thinking or self-doubt, she is constantly convincing others to think differently about how to improve,” said Lawrence Garcia of Garcia Law Group, a current nominee for City of Detroit corporation counsel who has worked with Chávez through various community efforts.

Michelle Crockett

Hiring Chair, Diversity and Professional Development Principal Company: Miller Canfield Paddock and Stone PLC, Detroit Education: Wayne State University Law School, 2000 While Michelle Crockett was general counsel to the then-new Education Achievement Authority in Detroit, she began noticing irregularities. She took her concerns to the governor’s office, and a subsequent FBI investigation revealed widespread corruption. Now Crockett uses her keen eye to defend Fortune 500 companies and public-sector clients against employment-related claims and provide litigation and labor advice to Michigan school districts. In one case, she represented the Detroit Public Schools Community District in a suit against Michigan’s State Reform Office after it announced it would close dozens of Detroit schools. Crockett and a colleague argued that under a reorganization plan, the Reform Office could not close schools before July 2019. Besides tirelessly representing clients, Crockett oversees hiring at Miller Canfield. “She is leading the charge in the development and implementation of diversity and inclusion initiatives that hold our firm accountable at every level to meet goals and benchmarks in tangible, measurable ways,” said Saul Green, senior counsel at Miller Canfield. Crockett, who also is a professor at the University of Michigan Law School, is active in legal associations, is past president of Leadership Oakland and board chair for Alternatives for Girls.

Michelle Thurber Czapski Member

Company: Bodman PLC, Troy Education: University of Michigan Law School, 1992 Michelle Thurber Czapski wears numerous hats. Besides chairing the Defense Research Institute’s 1,800-member Commercial Litigation Committee, she sits on the board of the National Foundation for Judicial Excellence and volunteers at Crossroads of Michigan and the Capuchin Soup Kitchen, where she provides pro bono legal counsel. That’s outside of her work with Bodman, where Czapski established the firm’s Insurance Practice Group; serves on its Ethics, Conflicts and Loss Prevention Committee; and mentors associates. “When it comes to training, she doesn’t pick favorites; she takes on responsibility for the entire group of litigation associates,” said Bodman associate Maria Martinez. “This kind of mentorship — rooted in a sincere interest in the success of your mentees — is particularly important for young women attorneys, who face unique challenges in the legal profession. The fact that she has more mentees than other attorneys I know speaks to her commitment to the betterment of all of us.” Czapski also represents clients. In one matter, she successfully defended and settled a personal-injury case that a National Football League prospect brought against Ford Field. The player claimed to have suffered a concussion at the NFL Scouting Combine in Detroit in 2014 and sought damages consistent with the loss of a career in professional football.

Zenna Elhasan Corporation Counsel

Company: Office of Wayne County Corporation Counsel, Detroit Education: University of Detroit Mercy School of Law, 2004 Deputy Wayne County Executive Richard Kaufman calls Zenna Elhasan tough, fair, brilliant and extremely competent. Elhasan leads 30 attorneys in commercial litigation, federal civil rights litigation, contract disputes, labor and employment litigation, real estate and tax matters and health care issues. She oversees Wayne County’s major projects and restructuring efforts, including the county jail project. Previously, Elhasan negotiated the terms and oversaw compliance with a consent agreement with the State of Michigan that allows the county to stay out of bankruptcy. “Without her essential contributions to solving Wayne County’s problems in the last three years, those problems don’t get solved,” Kaufman said. “In 40 years of working with lawyers in many different jobs, no lawyer has been more valuable or a pleasure to work with than Zenna. She gives of her time freely and genuinely supports others by her mentorship. “As her boss for the last 2½ years, I view her as one of my most important mentors.” Elhasan is active in the Muslim-American community. She’s a member of the Michigan Muslim and Arab American bar associations, a member of the Michigan State Bar Diversity and Inclusion Advisory Committee and serves on the boards of ACCESS and Child’s Hope.

Julie Fershtman

Michelle Gallardo

Company: Foster Swift Collins & Smith PC, Southfield Education: Emory Law School, 1986

Company: Harman International, Novi Education: University of Michigan Law School, 1992

“Mary is the queen

Crain’s Detroit Business named Julie Fershtman a “Woman to Watch” in 2010; it’s easy to see why. Fershtman, who serves on her firm’s compensation and diversity and marketing committees and co-founded an initiative to promote the advancement of women in the law, is tenacious in her pursuits. Weeks after being sworn in as president of the State Bar of Michigan in 2012, she was diagnosed with breast cancer. Despite surgeries and treatments, Fershtman met her obligations and helped promote legal trends. In a recent case, an insurance company wasn’t notified until 15 days after a show horse was “recommended for destruction” that the animal had become severely lame. The court did not require the insurance company to prove it was prejudiced by the delay in reporting before it was allowed to prohibit coverage. Moreover, Fershtman has brought in about $600,000 a year in business to her firm over the past three years. And from 2015 to 2016, she co-chaired the State Bar’s 21st Century Practice Task Force. Recommendations on changes in how lawyers should practice are being put in place. “Members of the firm gravitate toward (Fershtman) for her sage advice and wise counsel on both business and personal matters,” said Michael D. Sanders, president of Foster Swift. “She thrives on lifting the performance and enabling the success of all those around her.”

“Michelle Gallardo’s remarkable gifts as an attorney have allowed her to successfully navigate the upper echelons of corporate America. While doing that, she has shown remarkable independence and principle, going out of her way to work with national and local organizations dedicated to promoting gender and racial equity,” said Lawrence Garcia of Garcia Law Group, whom Detroit Mayor Mike Duggan recently nominated as the city’s corporation counsel. Garcia has worked with Gallardo in various organizations for more than 25 years. Developing young attorneys and improving gender and ethnic diversity in the legal field is important to Gallardo, who has been a leader in the American and Hispanic bar associations. The American Bar Association appointed her to its Commission on Women in the Profession, which develops national strategies to help women succeed in their legal careers. Previously assistant general counsel for Ford Motor Co., Gallardo now concentrates on contracting technology for auto infotainment systems, navigation systems, vehicle telematics and connectivity at Harman. In the past two years, she has worked on legal issues related to a business unit selling online streaming content through a downloadable app and negotiated an agreement expected to generate $900 million a year.

ness to listen and

Equity Shareholder

Legal Director-Global Supply Chain

mentor. … Her willingadvocate makes her a pipeline to the younger generation of lawyers in the firm.” Carol Karr, a retired member of Miller Johnson, about Notable Lawyer Mary Bauman “She thrives on lifting the performance and enabling the success of all those around her.” Michael D. Sanders, president of Foster Swift, about Notable Lawyer Julie Fershtman

Leading with Purpose

ongr at u l at ions

to Cathy Reynolds, Senior Vice President and General Counsel of CMS

Energy Corporation and Consumers Energy Company, on being chosen by her peers as one of Michigan’s Notable Women Lawyers. Since joining our legal team nearly 35 years ago, client service and satisfaction, responsiveness and quality have been hallmarks of Cathy’s illustrious career. Cathy’s work ethic, impeccable judgment, enthusiasm and commitment to mentoring and advising young employees set the standard for servant leadership. They’re also major reasons why we were proud to name Cathy our first female senior officer in 2013.

CATHY REYNOLDS Senior Vice President and General Counsel of CMS Energy Corporation and Consumers Energy Company

Cathy, congratulations to you, and thanks for all you do to exemplif y our purpose of World Class Performance Delivering Hometown Service.

A C M S EN ER GY C O M PA N Y

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| 2017 Randi Glanz

Roberta Granadier

Sally Guindi

Aimee Guthat

Company: Clark Hill PLC, Birmingham Education: Michigan State University College of Law, 1991

Company: Dickinson Wright PLLC, Troy Education: Boston University School of Law, 1985

Company: St. Joseph Mercy Health System, Ann Arbor Education: Wake Forest University School of Law, 1984

Company: Fragomen, Del Rey, Bernsen & Loewy, Troy Education: Michigan State University College of Law, 1998

Randi Glanz takes on complex divorce and family-law cases often related to preserving the rights of family members in nontraditional settings. In one case, a same-sex couple was legally married in one state but living in Michigan, which did not recognize same-sex marriages, when they split up. The partners also had two children through in vitro fertilization. The trial successfully ended with all three parents getting parenting time. In another matter, Glanz persuaded the court to order the opponent’s girlfriend to testify despite her “Fifth Amendment” objections because the relationship at issue during the trial was of longer standing than the opponent’s current relationship. Glanz also serves families and children outside the legal profession. She is a founding member and board member for the Michael Yendick Foundation for Children, is a member of the Michigan Chapter of the Crohn’s and Colitis Foundation of America and volunteers at Orchards Children’s Services. “Her efforts have allowed family members to re-establish relationships and to allow children to enjoy better opportunities and outcomes,” said Daniel Minkus, member in charge at Clark Hill. “In a profession that is often too concerned about the profitability of each engagement, Randy stands out as the person who focuses on doing the right thing above all else — always.”

Roberta Granadier’s knowledge of employee benefits and executive compensation serves her clients and the nonprofits she supports well. Last year, she worked with Talmer Bancorp Inc. on its merger with Chemical Bank by providing due diligence, helping terminate Talmer’s 401(k) plan and merge future health and retirement programs, and reviewing provider agreements. Recently, Grenadier provided due-diligence expertise and employee-benefits consultation for a $75 million acquisition that involved acquiring stock and assets in North America, Europe, Asia and South America. In recent years, she has been the employee-benefits counsel to the Great Lakes Water Authority, an entity connected to the city of Detroit’s bankruptcy. She helped the authority design and carry out new retirement and health care programs and advised on city pension benefits. Granadier also is on the Board of Trustees of Jewish Vocational Services. “Working on numerous committees with board members, volunteers and staff, Roberta has always been approachable, open to ideas of others and complimentary of other’s accomplishments — all tests of a true leader,” said Leah Rosenbaum, president and CEO of JVS.

Sally Guindi’s promotion five years ago increased her responsibilities from managing legal matters at one hospital to providing counsel to five hospitals at a new health system. “She’s an attorney who thinks creatively, always within the proper legal boundaries and with high integrity, but takes advantage of every creative idea to see how we can achieve our goal,” said Rob Casalou, Saint Joseph Mercy’s regional president and CEO. While Guindi, with her staff of four attorneys, handles unexpected events and law enforcement investigations, she also reviews and advises on corporate transactions such as the acquisition of Chelsea Community Hospital and the health system’s current joint venture negotiations with Michigan Medicine, along with the reorganization of Trinity Health Michigan’s governance structure, the sale of St. Joe’s Port Huron hospital and the creation of hospital-physician joint ventures. Guindi also stays on top of frequent changes in healthcare regulations and helps team members understand the significance and impact of their work. In the spirit of giving, Guindi, a member of several legal associations, has provided pro bono services to patients and families dealing with cancer through the Cancer Support Community.

Aimee Guthat understands the nuances of educating others about immigration law. For business clients, she creates comprehensive programs focused on immigration compliance and related hot topics. She also is an adjunct professor of immigration law at the University of Detroit Mercy School of Law. As a member of the American Immigration Lawyers Association, she directed efforts to collaborate with immigration officials at the Detroit port of entry to change the manner in which NAFTA applications are presented. In community service, Guthat pioneered a pro bono initiative through AILA’s military assistance program that provides immigration support to active-duty members of the U.S. military and their families. She also works with the Michigan Immigrant Rights Center to provide pro bono support to disadvantaged and mistreated immigrant populations. In the past two years, Guthat has helped a large corporate client with immigration due diligence and compliance as it pursued a global merger involving more than 200,000 employees on six continents. “Aimee … is responsive, professional and well-respected by our leaders and team. She is a valuable asset to the firm and to the legal profession,” said Julie Kozlowski, director of Global Compensation and Benefits for FCA US LLC.

Denise Glassmeyer

Company: Neuman Anderson Grieco & McKenney PC, Birmingham Education: University of Toledo College of Law, 1997

Member

Shareholder

Company: Young Basile Hanlon & MacFarlane PC, Troy Education: University of Detroit Mercy School of Law, 1984 Among a small percentage of women specializing in intellectual-property and patent law, Denise Glassmeyer seems to thrive on sharing her knowledge. In the past five years, she established her firm’s Life Science Practice group, has supported and promoted women IP lawyers and helped multinational corporate clients manage their patent portfolios. A member of several legal associations, Glassmeyer also supports the Children’s Leukemia Foundation of Michigan and provides pro bono support where she can. In 2012, she founded Detroit Mercy’s Patent Procurement Clinic, which provides pro bono patent law services to entrepreneurs and startup companies in Michigan. Glassmeyer also created the university’s annual International Patent Drafting Competition, which draws students from across the U.S. and Canada to present their applications to patent professionals. “Her commitment to excellence in the profession, all of her countless hours of pro bono legal service, her dedication to legal education and the time she so freely gives to mentoring the next generation of legal professionals is, in my experience, unparalleled,” said Wissam Aoun, an assistant professor of law and director of the International Intellectual Property Law Clinic at Detroit Mercy.

Of Counsel

Jennifer Grieco

General Counsel

Senior Associate

“She’s an attorney who thinks creatively, always within the proper legal boundaries and with high integrity, but takes advantage of every creative idea to see how we can achieve our goal.” Rob Casalou, St. Joseph Mercy Health regional president and CEO, about Notable Lawyer Sally Guindi “The amount of time and energy she gives back to our profession, and the greater community, is inspiring.” Kenneth F. Neuman, president of Neuman Anderson, about Notable Lawyer Jennifer Grieco

Shareholder, Secretary

Grieco, a Crain’s Detroit Business 40 under 40 honoree in 2010, is president-elect of the State Bar of Michigan for 2017-18. She will be the organization’s seventh woman president in 83 years. Grieco, a diligent mentor to young attorneys, specializes in commercial litigation focused on professional malpractice, contract actions, shareholder disputes, coverage claims and more. Recent career highlights include successfully overturning a City of Detroit ordinance allowing animal-control officers to seize pets from an owner’s property without a warrant and helping establish the Oakland County Bar Mentor Match program for young attorneys. “Jennifer’s volunteerism is second to none. The amount of time and energy she gives back to our profession, and the greater community, is inspiring,” said Kenneth F. Neuman, president of Neuman Anderson. In October, Grieco received the Oakland County Bar Association’s Michael K. Lee Award for individuals who actively work to achieve diversity in the legal profession. She also sits on the Board of Directors of Lakeshore Legal Aid, which provides free legal services to low-income residents and seniors.

Linda Paullin-Hebden Southfield S outhfi fie eld E Ex Executive xe x ecutiv ve eP Pa Partn arrtne tn ne er Warn W arne ne err N Norcross orcross orcr or cros o s & Judd oss Jud J Ju dd d d congratu con ongr ong ng grratul grat atu at tulat ula ul ates at tes e you you on your y our w wellellel l-deserve -de dessserved se erv rve ve ed d rrecog ecog og o gnition nii on niti n as one e off tthe he Notable Nota No tabl ta b e Wo bl Wome W ome men men n Lawy La Lawyers awy yer ers rs s in in M Mic Michiga i hi ic higa iga iga gan g an.

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Congratulations,

Elizabeth Hardy

Jane Jordan

Company: Kienbaum, Opperwall, Hardy & Pelton PLC, Birmingham Education: Wayne State University Law School, 1984

Company: Beaumont Health, Southfield Education: University of South Carolina School of Law, 1981

Member

Melissa Papke!

Recognized by Crainâ&#x20AC;&#x2122;s Detroit as one of the â&#x20AC;&#x2DC;Notable Women Lawyersâ&#x20AC;&#x2122; Ĺś Real estate sales and acquisitions Ĺś Commercial, industrial and retail leasing Ĺś Construction law, redevelopment and land use planning Ĺś Community leader, mentor, role model

First Tier Ranking Real Estate Law

Contact Melissa Papke at mbpapke@varnumlaw.com

Elizabeth Hardy is a founding principal in her boutique labor and employment law firm. While many employment lawyers donâ&#x20AC;&#x2122;t necessarily try cases, Hardy does â&#x20AC;&#x201D; and she enjoys the challenge. â&#x20AC;&#x153;She is the go-to lawyer for sensitive employment litigation, often representing company executives and law firm partners, which she handles with discretion, strategic direction and client-pleasing outcomes,â&#x20AC;? said Eric Pelton, a member at her firm. In the past five years, Hardy has been the lead trial lawyer in five jury trials in U.S. District Court. In every case, the jury returned a verdict for her client. Hardy successfully defended Ford Motor Co. in two cases watched by employment lawyers across the country: one involving a veteran with a disability who sought to bring a service dog into a busy production facility and another involving criteria for employees who telecommute. Hardyâ&#x20AC;&#x2122;s involvement with her alma mater, Wayne State, is extensive. She served on the Board of Governors from 1991 to 2006 and chaired the board from 1995 to 1997. She has also served on the Karmanos Cancer Institute Board of Trustees and Executive Committee and on the Detroit Medical Center Board of Trustees.

Michelle Harrell Shareholder

Company: Maddin, Hauser, Roth & Heller PC, Southfield Education: Wayne State University Law School, 1993

Jill M. Wheaton

Alexis J. Schostak

Member, Ann Arbor

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Michelle Harrell is a dedicated advocate and formidable foe. The attorneyâ&#x20AC;&#x2122;s practice deals with commercial litigation, real estate matters, shareholder disputes, hospitality law, family law and more. After two years, Harrell was promoted to partner and to chair the firmâ&#x20AC;&#x2122;s Complex Litigation and Risk Advisory Practice Group. She is the first woman in the 50year history of Maddin, Hauser to manage a practice group. â&#x20AC;&#x153;She has successfully handled difficult and complex cases by being strategic in her approach, thoughtful about the goals of her clients, collaborative with her colleagues, sensitive to the needs of the courts she practices before and 100 percent prepared,â&#x20AC;? said Steven Sallen, president and CEO of Maddin, Hauser. In a case against the City of Pontiac, Harrell helped set a precedent that maintains a municipality must include a lien in its goodfaith offer or face dismissal. She also successfully litigated a $60 million case against the City of Novi for â&#x20AC;&#x153;oppressive conduct.â&#x20AC;? Harrell is also an active member of the community. She provides advice to entrepreneurs and startups through TechTown Detroit, serves as a moot-court judge for Wayne Stateâ&#x20AC;&#x2122;s Law School, is on the board of Living Arts Detroit and is a member of the Hydrocephalus Association. Moreover, she co-founded The Detroit Bus Co. and the Youth Transit Alliance.

Senior Vice President and General Counsel

Jane Jordan manages a team of 25 who provide legal counsel for Beaumontâ&#x20AC;&#x2122;s eight hospitals, 5,000 physicians and 35,000 employees on mergers and acquisitions, regulatory affairs, intellectual property, medical malpractice, risk management, contracts, labor and employment matters and more. Jordan, who arrived at Beaumont in the midst of its reorganization last year, restructured the general counselâ&#x20AC;&#x2122;s office to align with its mission of becoming a leader in patient- and family-centered care. â&#x20AC;&#x153;Jane â&#x20AC;Ś has made a significant difference in how Beaumont Health addresses issues which could become highly problematic,â&#x20AC;? said John Fox, the health systemâ&#x20AC;&#x2122;s president and CEO. â&#x20AC;&#x153;Not only does this practice ultimately impact the bottom line of the organization, it complements the vision and mission of the organization.â&#x20AC;? Jordan also is active in the community, serving to improve AIDS research and adult literacy and providing pro bono legal aid.

â&#x20AC;&#x153;She brings deep wisdom, uncanny intellect, persistent commitment and an inexhaustible passion.â&#x20AC;? Judge Michael Warren about Notable Lawyer Channelle Kizy-White

Channelle Kizy-White Managing Partner and Owner

Company: Kizy Law, Southfield Education: Loyola University Chicago School of Law, 2006 Channelle Kizy-White took a leap a few years ago when she launched her own firm specializing in family and criminal law. Now she is known for being relentless in exploring every possible option for her clients. The recent past president of the Womenâ&#x20AC;&#x2122;s Bar Association is a mentor and active in several legal organizations, including the Chaldean Bar Association. Kizy-White also has served as treasurer for the Patriot Week Board of Directors and provides pro bono support for victims of domestic violence. As a mentor, â&#x20AC;&#x153;Channelle takes the time to meet with me and answer my questions and challenges me to be the best that I can be,â&#x20AC;? said Morgan Weiner, an associate at Kizy Law. Oakland County Circuit Judge Michael Warren, co-founder and chair of the Patriot Week Foundation, calls Kizy-White a â&#x20AC;&#x153;tireless champion for America.â&#x20AC;? â&#x20AC;&#x153;She brings deep wisdom, uncanny intellect, persistent commitment and an inexhaustible passion to our Board of Directors,â&#x20AC;? Warren said. â&#x20AC;&#x153;Always thinking of others first, she hides in the background addressing thankless tasks while the board, students and the general public reap the benefits of her hard work.â&#x20AC;?

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| 2017

Dani Liblang

Founder and Lead Partner Company: The Liblang Law Firm PC, Birmingham Education: University of Detroit Mercy School of Law, 1981 Lemon-law guru Dani Liblang developed an organic interest in her specialty. In college, she came to understand the economic distress that consumers feel after purchasing defective products when she bought a Pontiac Astre “lemon.” Just six years after graduation, she launched her firm, which concentrates on advocating for victims of a lemon-law incident or negligence that results in serious personal injury. “Ms. Liblang is a tireless advocate for the consumer rights of clients,” said retired Wayne County Circuit Judge Kathleen MacDonald. In more than 35 years of practice, Liblang’s cases have set precedents in lemon and consumer law. Now she’s a frequent presenter at the National Consumer Law Center and National Association of Consumer Advocates, which bestowed on her its Consumer Hero Award. In January, she presented trends in consumer auto transactions for the Institute of Continuing Legal Education. Said Alan Latham, an associate attorney at The Liblang Law Firm: “Dani makes sure dealers, manufacturers, insurance and finance companies are held accountable when vehicles are sold to consumers and put in the stream of commerce that should have never left the factory, let alone the dealer’s parking lot.”

Donna MacKenzie Shareholder

Company: Olsman MacKenzie & Wallace PC, Berkley Education: Wayne State University Law School, 2004 In the past two years, more than 40 claimants had cases against Dr. Farid Fata, an oncologist who dangerously prescribed cancer treatments such as chemotherapy infusions to patients who did not have the disease. Donna MacKenzie helped bring about $8 million in settlements as lead counsel for 21 of those claims. MacKenzie — who received the F. Scott Baldwin Award in 2014 from the American Association for Justice for being an outstanding young trial lawyer — concentrates her practice on people injured as a result of medical malpractice, along with neglect and abuse in nursing homes, assisted-living facilities and adult foster care. She also mentors her firm’s legal staff as well as the two registered nurses who report to her. “Without question, Donna MacKenzie is one of the premier young trial lawyers in the Midwest. She is constantly in demand as a speaker by individuals and groups sponsoring continuing legal education events,” said Jules Olsman, president of Olsman MacKenzie. “She is also very involved in lobbying at the state and federal level on civil justice issues.” Outside the courtroom, MacKenzie is raising three children and serves as co-captain for the Alzheimer’s Society’s annual Walk to End Alzheimer’s and The Longest Day events.

Clara DeMatteis Mager

Strategic Intellectual Property Law

Attorney, Shareholder and Practice Group Leader, Immigration Group

Company: Butzel Long, Detroit Education: Detroit College of Law, 1987 Clara DeMatteis Mager understands the immigration issues weighing heavily on families and on employers trying to acquire and retain talent. Her practice includes keeping up with changing rules and regulations regarding the international movement of personnel, the immigration consequences of mergers and acquisitions, corporate restructurings, employer sanctions and immigration law audits. “She has the highest standards for work products. Her greatest value goes beyond her subject matter expertise,” said Nicholas Stasevich, a board member and colleague at Butzel Long. “Clara leads by example as an advocate for her clients and her winning team approach to finding business solutions for legal challenges presented. She has an extraordinary ability to build on the strengths of every team member and encourages and mentors them to reach their full potential.” Besides mentoring staff at Butzel, DeMatteis Mager works on pro bono immigration matters, serves on international chambers of commerce and the Italian American Alliance for Business and Technology and serves on boards for legal associations including the American Immigration Lawyers Association.

Our experienced attorneys provide strategic counsel tect a company a to protect company'ss ideas and assets

WE ARE PROUD CONGRATULATE D TO C ONGRATULATE OUR COLLEAGUE

KRISTEN ISTEN L. PURSLE PURSLEY

CRAIN’S NOTABLE TABLE WOMEN LAWYERS AWARD R RECIPIENT

29 W Lawrence St | Pontiac, MI 4834 48342 (248) 292-2920 | PatentCo.com

Angelique Strong Marks Director, General Counsel

Company: Mahle Industries Inc., Farmington Hills Education: The Ohio State University Moritz College of Law, 1995 Angelique Strong Marks was a powerhouse right out of the gate, beginning her career by representing General Motors Corp., working as counsel for several Fortune 500 companies and becoming the first African-American woman in Michigan to become general counsel of a publicly traded company. Strong Marks, who was at Behr America Inc. when Mahle acquired the tier one auto supplier in 2013, established Mahle North America’s legal department in 2014. Since then, her team has instituted standardized contracts and review processes across business units while also helping integrate Delphi Thermal Systems into the company. Said Markus Kapaun, vice president of finance, accounting, IT and legal affairs for Mahle North America: “Angelique is a strong contributor in safeguarding and protecting our company’s interest. Knowing the complex environment of automotive suppliers, this requires constant flexibility and dedication. She also enables her employees to enhance their skills on a continuous basis.” In 2015, Savoy magazine named Strong Marks one of the 100 most influential black lawyers in the country. A 2005 Crain’s 40 under 40 honoree and member of numerous legal associations, she also has accomplished a goal that some would think unimaginable: a Mt. Kilimanjaro Triathlon that required climbing to the peak, biking and running.

L E W I S M U N D AY.C O M

Congratulations

Ronda Tate Truvillion On being recognized as a Notable Woman Lawyer in Michigan. D E T R O I T, M I

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WA S H I N G T O N , D . C

•

NEW YORK, NY

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I will find a way or make one ~H a nn i b a l

G L A S T O N B U R Y, C T

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| 2017 Kate McCarroll

Laurel McGiffert

Lauretta Murphy

Patricia Nemeth

Company: Kerr Russell, Detroit Education: University of Detroit Mercy School of Law, 2003

Company: Plunkett Cooney PC, Detroit Education: Wayne State University Law School, 1980

Company: Miller Johnson, Grand Rapids Education: University of Notre Dame Law School, 1988

Company: Nemeth Law PC, Detroit Education: Wayne State University Law School, 1984

Kate McCarroll was promoted to partner two years ago and leads her firm’s immigration practice. “She is engaged in the community and works tirelessly to inform businesses and individuals alike about U.S. immigration — a subject that is vitally important to the success of the entire region,” said Kerr Russell member Jim Cambridge. The Immigration Division of the American Institute of Legal Counsel named McCarroll one of the 10 Best Immigration Attorneys for Michigan in 2016. McCarroll also has given countless hours of pro bono service to the community, Cambridge said. “Kate is selfless and devoted to her work, the community and law firm and improving the lives of others through her work and service,” he said. A Detroit Mercy adjunct professor, McCarroll takes time to teach others about immigration law. She is a mentor through the American Immigration Lawyers Association. She also provides pro bono support to military families through AILA and the Michigan Immigrant Rights Center and serves on the International Medical Graduate Taskforce, where she lobbies on behalf of physician-related immigration issues.

Laurel McGiffert — who focuses her practice on civil rights, labor and employment law, municipal law and medical liability — has represented most of the major hospitals in metro Detroit and presents at seminars related to emergency nursing care, informed consent and more. Over the years, she has worked closely with leadership at a medical insurer where she successfully litigated and arbitrated a $6 million race and sex discrimination employment claim. She also successfully tried a claim alleging sexual harassment against a client. This year, McGiffert received an award of excellence from the Negligence Law Section of the State Bar of Michigan. A founding member of her firm’s diversity committee, she is also an advocate for mentorship. “Laurel has been a tremendous mentor for many attorneys during her career with Plunkett Cooney,” said Mark Kopson, a shareholder and director at the firm. “While always willing to assist any attorney, she has been a special mentor and role model for both younger female attorneys and attorneys of color, giving them the benefit of her experience and development in a profession that for too long has lacked adequate diversity, particularly in leadership roles.”

As vice chair of her firm’s Business Section Steering Committee and chair of five of its practices, Lauretta (Laurie) Murphy concentrates her practice on estate planning. Over the years, she has drafted complex incentive and special-needs trusts, developed business succession options and advised on grant-making, leveraging tax gifts, guardianship and Medicaid asset sheltering — all for estates of upward of $100 million. An active member of the legal community, Murphy is a fellow in the American College of Trust and Estate Counsel and a member of the invitation-only Special Needs Alliance, a nonprofit comprising attorneys devoted to disability and public benefits law. She is president of the Grand Rapids Art Museum Foundation Board of Trustees, where she oversaw changes to the foundation’s gift acceptance and planned-giving standards and investment policy, and president of the Pine Rest Foundation Board of Governors. “Laurie is a creative problem-solver and ardent spokesperson,” said Teresa Newmarch, executive director of the Pine Rest Foundation. “She has a passion for the work that nonprofits do each day to meet societal needs, including providing quality behavioral health care to our community.”

Patricia Nemeth not only specializes in employment and labor law but in mentorship. When she founded her firm 25 years ago, she wanted to build a business with flexible work hours and a collaborative spirit. Today Nemeth Law, named a Crain’s Detroit Business Cool Place to Work in 2011, prides itself on mentoring associates and helping staff grow with the firm’s tuition reimbursement plan. “She helped me learn how to think strategically, assessing the potential consequences of each move made during a lawsuit, staying steps ahead of the opponent — a skill I now work to develop in the attorneys I mentor,” said Deborah Brouwer, a partner at Nemeth Law. In the past two years, Nemeth has handled a case where a former employee sued because statements that the former employer made resulted in the former employee’s not being hired by a potential employer. However, the Michigan Court of Appeals held that the company could not be sued because it had a qualified privilege to share the negative information. Nemeth is vice chair of the Board of Directors of the Mosaic Youth Theatre and served on the Vista Maria board for 12 years.

Member

Partner

Member

President and CEO

Megan Norris

Chair, Miller Canfield Managing Directors; Co-Leader, Employment and Labor Group Company: Miller Canfield Paddock and Stone PLC, Detroit Education: University of Michigan Law School, 1986 Megan Norris has built her reputation on being a formidable opponent, known for her candor, ability to lead and willingness to coach others. In recent years, she helped Miller Canfield with significant cutbacks and also with developing a solid staff of seasoned principals and young attorneys. As a litigator, Norris has defended a multinational tech company against a terminated employee’s $9 million commissions claim and numerous public organizations against Freedom of Information Act lawsuits. She set precedent in a case brought against the Thomas M. Cooley Law School that determined tenure didn’t give a professor at a private institution rights to continued employment or compensation beyond the employment contract. Jennifer Salvatore of Salvatore Prescott & Porter PLLC has worked with Norris as opposing counsel. “It is a pleasure to be on the other side of the case from her, as you always know the quality of the legal work will be high,” Salvatore said. “Yet she will avoid unnecessary conflict and will not embellish the facts, bully or demean the plaintiff or misrepresent the law.”

Courage. Leadership. Persistence. BROOKS KUSHMAN CONGRATULATES

SANGEETA SHAH for the honor of being named one of the most Notable Women Lawyers in Michigan, and applauds her commitment to leadership within the firm and our community.

Michigan | California | Washington D.C. www.BrooksKushman.com

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| 2017 Martha Olijnyk Senior Partner

Company: The Miller Law Firm PC, Rochester Education: Wayne State University Law School, 1999 Martha Olijnyk, barrister of the Oakland County Bar Association, began leading her firm’s automotive litigation and counseling practice group in 2012. Over the past two years, she has defended an $80 million dispute involving a tier two supplier and was the lead attorney for two successful trials, valued at $12 million, involving two tier one automotive suppliers. She also prevailed at a jury trial involving intellectual property and trade secrets. “She is exceptionally well-organized, thoughtful and doesn’t back down when she knows she’s on the right side,” said Marc Newman, a senior partner at Miller Law. Said Miller Law partner Kevin O’Shea: “I’ve often marveled at Martha’s enviable ability to remain calm and focused, even in the midst of the most intense litigation hurricanes. Her unique combination of skills has made her that rare lawyer — successful in the extreme, yet well-liked and respected by all.” Besides her legal cases, Olijnyk worked with outside vendors and trained attorneys and staff when she led her firm’s transition to a new electronic case management system.

“I’ve often marveled at Martha’s enviable ability to remain calm and focused, even in the midst of the most intense litigation hurricanes. The Miller Law Firm Partner Kevin O’Shea about Notable Lawyer Martha Olijnyk “She helped me learn how to think strategically, assessing the potential consequences of each move made during a lawsuit, staying steps ahead of the opponent.” Deborah Brouwer, partner at Nemeth Law, about Notable Lawyer Patricia Nemeth

Melissa Papke

Linda Paullin-Hebden

Angela Povilaitis

Company: Varnum LLP, Grand Rapids Education: University of Michigan Law School, 1998

Company: Warner Norcross & Judd LLP, Southfield Education: Wayne State University Law School, 1989

Company: Michigan Department of Attorney General, Lansing Education: Wayne State University Law School, 2000

Linda Paullin-Hebden, named one of Crain’s 100 Most Influential Women in 2016, manages the business development of more than 70 attorneys as chair of Warner Norcross’ business practice group. In recent years, Paullin-Hebden has represented two investment advisers each with more than $1 billion in assets and helped a technology company raise more than $60 million in venture funds. She also negotiated the dissolution of an automotive joint venture and negotiated the sale of a physical-therapy facility. On top of that, Paullin-Hebden is active in her community. She is on the Board of Trustees of the Detroit Historical Society, is a member of the Michigan Women’s Foundation’s Power of 100 Women and provides pro bono legal services to women starting businesses. “Because of her legal counsel, MWF has been able to grow and become expert in areas like microlending, mergers and acquisitions and impact investing,” said Carolyn Cassin, president and CEO of the Michigan Women’s Foundation.”

As a senior attorney in the attorney general’s Criminal Division, Angela Povilaitis runs a statewide coldcase sexual assault project and prosecutes cases of multivictim and multijurisdictional sexual assault, domestic violence and stalking. She has developed protocols and training for law enforcement and prosecutors nationwide, such as a video about trauma-informed approaches. Considered a “top-gun litigator,” Povilaitis is the lead prosecutor in the case against former USA Gymnastics physician Larry Nassar, who is accused of sexually assaulting numerous young girls. And over the past couple of years, she has prosecuted a former priest and a defendant who was identified through a previously untested rape kit. “Angela brings a sense of commitment and dedication to all she does,” said Richard Cunningham, division chief of the Criminal Division. “She ... has set a standard for other attorneys to emulate.” Povilaitis has served on the Board of Directors of Child’s Hope and the Child Abuse Prevention Council and has been a volunteer mentor for Alternatives for Girls.

Partner

Melissa Papke, chair of Varnum’s Real Estate Practice Team, was named a fellow of the American College of Real Estate Lawyers in 2017. She deals with corporate matters and serves as the firm’s construction law expert, working with an increasing number of clients on complex new construction and redevelopment projects. Papke’s top cases in the past two years include advising on the acquisition and financing of $100 million-plus multifamily communities in Detroit, Ann Arbor and Lansing, along with negotiating a multiphase build-to-suit lease project on 30 acres. She also orchestrated and negotiated construction and design agreements for a $70 million expansion of a tourist attraction and conservation project. “Melissa provides significant added value to her clients with her diligent efforts, keen intellect and incisive analytical ability,” said Varnum Partner Nyal Deems. Papke served on the Board of Directors of the West Michigan Hispanic Chamber of Commerce and on the Family Services Committee of Habitat for Humanity, where she provided pro bono services in connection with defaults on Habitat for Humanity loans.

WE ARE PROUD TO HAVE

Heidi Sharp RECOGNIZED AS ONE OF MICHIGAN’S NOTABLE WOMEN LAWYERS

Burgess, Sharp & Golden salute and thank Heidi and all the others selected for their exemplary service to the legal profession and to the community at large. Heidi has dedicated her career to equal rights for all and we are elated that she is being honored for her personal and professional accomplishments.

www.bsglawfirm.com • (586) 226-2627

Executive Partner

Assistant Attorney General

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Kristen Pursley

Teri Quimby

Company: The Dobrusin Law Firm, Pontiac Education: University of Cincinnati College of Law, 2005

Company: Michigan Liquor Control Commission, Lansing Education: Thomas M. Cooley Law School, 1989

Managing Shareholder

Foley & Lardner LLP celebrates the selection of Jennifer Belveal and Ann Marie Uetz as “Notable Women Lawyers” in Michigan by Crain’s Detroit. Their dedication to their clients, the legal profession, and the community represents the entire firm’s proud 175-year commitment to excellence. Congratulations to both!

FOLEY.COM

Kristen Pursley exemplifies how women leaders should treat other women, said Erin Klug, president of the Women’s Bar Association. “Being a female in the male-dominated world of patent law is an accomplishment (and challenge), … but Kristen goes above and beyond to mentor up-and-coming female attorneys,” Klug said. Pursley, a past president of the Women’s Bar Association and Women Lawyers Association of Michigan, represents medical diagnostic and device manufacturers, tier one auto suppliers and consumer product and packaging companies. In the past few years, she has drafted two patents that were successfully defended in the European patent office. She also is lead attorney for Zephyros Inc., which specializes in acoustic insulation, static sealing and vibration reduction for automotive and aerospace companies. Pursley serves on the board of the Encore Performing Arts Center, which oversees the Flagstar Strand Theatre in Pontiac, and is a member of the business advisory board of the Macomb-Oakland University Incubator.

Commissioner

Rather than following the status quo, Teri Quimby is known for asking why things are done a certain way and how they can be better. She is one of three commissioners responsible for administering rules related to the licensing, purchasing, enforcement, merchandising and distribution of liquor in Michigan. Gov. Rick Snyder appointed her to her second term in 2015. She also serves as second vice president of the National Conference of State Liquor Administrators. In October, Quimby received the National Association of Licensing Compliance Professionals’ 2017 Best Practices Award. It’s no wonder: During her term, Quimby has encouraged the review of forms and a streamlining of rules. As a result, the liquor license application process has decreased to 100 days from about 275 days. “She is particularly known for advocating for good public policy through the application and interpretation of old, Prohibition-era laws to current-day situations,” said Matthew Botting, general counsel for the California Department of Alcoholic Beverage Control and immediate past president of the National Conference of State Liquor Administrators.

CONGRATULATIONS Angelique Strong Marks of MAHLE Industries, Incorporated for being honored as one of Crain’s Detroit Business 2017 Notable Women Lawyers in Michigan. www.us.mahle.com

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| 2017 Catherine Reynolds

Erika Riggs

Alexis Schostak

Sangeeta Shah

Heidi Sharp

Company: CMS Energy and Consumers Energy Co., Jackson Education: Thomas M. Cooley Law School, 1983

Company: Disability Attorneys of Michigan, Warren Education: Wayne State University Law School, 2011

Company: Dykema Gossett PLLC, Bloomfield Hills Education: Emory University School of Law, 2004

Company: Brooks Kushman PC, Southfield Education: Wayne State University Law School, 1993

Company: Burgess Sharp & Golden, Clinton Township Education: University of Detroit Mercy School of Law, 2006

Catherine Reynolds oversees all the legal matters concerning the seventh-largest combined gas and electric utility company in the U.S. She also is responsible for investor services, corporate records, compliance and enterprise risk functions. Reynolds, a member of several bar associations and investor-owned-utility associations, managed the legal and regulatory issues related to closing seven coal power plants in 2016. In part, the undertaking involved employment law, environmental compliance and real estate. “She plays beyond her role of general counsel by being an amazing leader of people, a trusted business adviser and our fiercest company advocate. Our company and our customers are privileged to have her on our team,” said company President and CEO Patti Poppe. Shortly after being elected to her role, Reynolds created a methodology to help the CMS legal department improve quality, increase responsiveness and improve client satisfaction, requiring the support of the entire company.

Erika Riggs is determinedly devoted to people in need. At Disability Attorneys of Michigan, where she represents people with disabilities in matters involving the Social Security Administration and U.S. Department of Veterans Affairs, Riggs makes sure rules are accurately applied so her clients’ rights are protected. In a recent Social Security case, she helped a client with cognitive, mental and physical impairments win benefits that provided hundreds of additional dollars monthly, thousands of dollars in back pay and a new form of insurance. At her firm, Riggs developed a scholarship opportunity for indigent high school students, pioneered a Volunteer Day and manages charitable giving and networking events. Riggs volunteers as a community mediator in Macomb County, and she recently held a legal presentation for transplant patients to understand benefits available to them. “I have never seen an attorney more invested in her clients,” said a Monica Setchell, department manager at Disability Attorneys of Michigan. “Erika fights passionately for her clients and for causes she believes in.”

In the past two years, Dykema promoted Alexis Schostak to assistant practice group leader of its Corporate Finance Practice Group. Schostak, whose practice concentrates on financing transactions, has helped the firm add 16 private-equity-fund clients. She also advises on legal matters in the mobility and autonomous vehicle space. Recent transactions include representing auto manufacturers with minority investments in venture firms that invest in next-generation mobility. Schostak also serves her community on the board of The Jewish Fund and as a member of an advisory committee of the Michigan Women’s Foundation that directs microloans to woman-owned businesses. “Her unique combination of large-transaction experience, earned while practicing in New York, with her well-honed ability to support the needs and concerns of executives and business owners in the middle market has given our firm a competitive edge in growing our client base beyond metro Detroit,” said Brendan Cahill, a member and director of the Automotive Industry Group at Dykema.

Senior Vice President and General Counsel

Attorney

Member

Shareholder, Chief Diversity Officer

Registered patent attorney Sangeeta Shah handles trade secret, trademark, copyright and unfair-competition cases. Her practice includes helping clients develop strategic plans surrounding patent portfolios and inventions. She also represents U.S. clients going to India and Indian clients doing business in the U.S. Moreover, a large part of Shah’s job centers on diversity. In the past three years, she has helped Brooks Kushman increase the number of women attorneys by 47 percent and minority professionals by 57 percent. As a result, Brooks Kushman boasts having the most women intellectual-property professionals in Michigan. “Her leadership has not only been pivotal to Brooks Kushman’s success and growth but has also shaped the post-grant landscape,” said firm President Mark Cantor. Shah serves on the Leadership Council on Legal Diversity, Corporate Counsel Women of Color and Chief IP Counsel Network. She founded Retooling Detroit, a literacy nonprofit that provides instruction to students in the Detroit Public Schools Community District. She also helped create workshops for Girl Scouts to earn their IP patch.

Managing Member

Heidi Sharp litigates employment, wrongful-discharge and real estate matters; chairs the Macomb County Labor Employment Committee; and co-chairs the Federal Bar Association Labor and Employment Committee. In each of her cases before the 6th Circuit of the U.S. Court of Appeals, she litigated a favorable outcome. One such jury trial surrounding a Family and Medical Leave Act violation resulted in her client being awarded back pay, liquidated damages, attorney fees and costs. Sharp has represented parents and school systems in civil rights matters, such as special education, teacher contracts involving the Freedom of Information Act, student rights and the Open Meetings Act. “The qualities she exhibits as an outstanding advocate also make her a passionate contributor to the various organizations to which she volunteers her precious time,” said Burgess Sharp founder Rex Burgess. Sharp devotes time to Macomb County Habitat for Humanity. She serves as vice chair of the board and provides pro bono legal services to low-income clients. She donated her summer home as a live-auction item.

CONGRATULATIONS TO JULIE FERSHTMAN

for being named as one of Crain Content Studio’s

2017 Most Notable Women Lawyers in Michigan We salute your excellent record of representing clients in business, contract and insurance coverage litigation. We appreciate your leadership of the State Bar of Michigan including serving as its president (2011-2012) and co-chair for the 21st Century Practice Task Force (2015-2016). We admire your commitment to mentoring young attorneys and educating both clients and colleagues.

FOSTERSWIFT.COM | 248.785.4731 Southfield • Lansing • Detroit • Grand Rapids • Holland • St. Joseph

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| 2017 Lynn Sirich

Joanne Swanson

Emily Tait

Michelle Johnson Tidjani

Ronda Tate Truvillion

Company: Dickinson Wright PLLC, Troy Education: Detroit College of Law, 1992

Company: Kerr Russell, Detroit Education: Wayne State University Law School, 1981

Company: Jones Day, Detroit Education: University of Michigan Law School, 2002

Company: Henry Ford Health System, Detroit Education: University of Detroit Mercy School of Law, 1998

Joanne Swanson is past chair of the State Bar of Michigan’s Antitrust, Franchise and Trade Regulation section; a current member of the section; and chairs the editorial board of the Detroit Bar Association’s Detroit Lawyer magazine. Her practice also involves legal malpractice. In recent years, Swanson successfully represented a physician in a suit brought by the family of a patient who declined a blood transfusion based on religious beliefs and subsequently died. “Her keen legal mind has been at the fore of a number of landmark appellate matters, but what will strike you about Joanne is her humility and her inclusiveness,” said Kerr Russell member Stephen McGraw. “She will always shine the spotlight on others. She is an ardent supporter of metro Detroit, volunteering her time across a number of community organizations and encourages our firm to always take a leading role on efforts to engage with the community.” Swanson helped organize her firm’s volunteer efforts on Belle Isle and at Gleaners Community Food Bank of Southeastern Michigan.

Emily Tait, known for her skill and work ethic, is the second female partner at Jones Day and the only intellectual-property partner in the firm’s Detroit office. Her practice focuses on resolving complex intellectual-property issues and promoting proactive software protection and enforcement. Said Anthony Insogna, practice group leader for Jones Day’s Intellectual Property Practice: “Emily has established herself as a trusted adviser and thought leader on IP and technology issues and has handled complex patent, copyright, trade secret, trademark and cybersecurity matters in the automotive industry and beyond.” In one case, Tait successfully represented a global auto company in a matter involving a China-based defendant’s unlawful circumvention of the auto company’s security measures and the copying of its vehicle software. Tait has served with Mentor Michigan and Big Brothers Big Sisters of Metropolitan Detroit and in 2012 co-founded the Michigan Intellectual Property American Inn of Court. The group, comprising attorneys, legal educators, judges and students, is devoted to fostering excellence in the IP legal field.

Company: Lewis & Munday PC, Detroit Education: Wayne State University Law School, 2006 Recently elected a shareholder, Ronda Tate Truvillion’s practice includes auto insurance defense, commercial litigation and labor and employment law. Truvillion defends a large Michigan utility against employment claims and represents a major automaker and a telecommunications conglomerate when their employees are involved in auto accidents where the other driver or passenger claims to have suffered injuries. She won an employment discrimination lawsuit against a Fortune 100 client based on the legal brief she filed in U.S. District Court and played a crucial role in obtaining a no-cause ruling in a multimillion-dollar lawsuit against a state university over technology software. “She works very hard to achieve excellence in product and accomplishment. I have witnessed Ronda grow from a young law student to an attorney who is highly respected in Lewis & Munday, courts and the state and specialty bar associations,” said Reginald Dozier, president and CEO of Lewis & Munday. As past president of the Wolverine Bar Association, Truvillion created a pipeline committee that works to expose middle and high school students to the legal field.

Member

Lynn Sirich is a dogged family- and domestic-relations law attorney, handling divorce, complex property settlements, nuptial agreements, personal protection and more. In a successful case where a husband sought to hide infidelities and minimize the marital estate, Sirich’s client won a settlement along with 100 percent of attorney and expert fees. In another successful case where the wife challenged the prenuptial agreement and sought additional properties and business earnings, her client — the husband — received 150 percent of the settlement he sought. Sirich, who is treasurer of the Oakland County Bar Foundation, is also a devoted mentor to colleagues and staff and a supporter of her community. “I was her paralegal for over six years. She mentored me throughout law school and now continues to mentor me while I build my own practice and reputation in the legal community,” said Dickinson Wright associate Kristyn Recchia. In her personal time, Sirich is on the board of Humble Design, a nonprofit that helps families transitioning from homeless and abuse shelters into their own homes.

Member

Partner

Senior Vice President and General Counsel

A lot can be accomplished in five months. Just ask Michelle Johnson Tidjani. Tidjani, the former deputy chief legal officer for the Cleveland Clinic, joined Henry Ford Health System in June, tasked with providing strategic and operational leadership for the hospital system’s legal affairs, information privacy and risk finance areas, among others. Since that time, she already has proven herself, according to Wright Lassiter III, the hospital system’s president and CEO. “In a relatively short period of time, she has been able to develop relationships across the organization,” Lassiter said. Tidjani is the executive leader of a “potential M&A opportunity” for the hospital system and is assessing relationships with its professional services providers, Lassiter said. And if that weren’t enough, she has also taken it upon herself to mentor one of her co-workers. “She has clearly shown a spirit and willingness to give back to the community and to young women in the organization,” he said.

Partner

We salute our colleague

ELIZABETH HARDY and congratulate all of the honorees of

CRAIN’S Notable Women Lawyers in Michigan

Representing employers nationally in all aspects of employment and labor law 248.645 .0 0 0 0 • www.kohp.com

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| 2017

Macie Tuiasosopo Founding Partner

Company: Caine Tuiasosopo PLC, Southfield Education: University of Detroit Mercy School of Law, 2013 Macie Tuiasosopo practices probate law so she can help protect the most vulnerable people in society â&#x20AC;&#x201D; those who are mentally ill, incapacitated or developmentally disabled â&#x20AC;&#x201D; from exploitation and unequal punishment. Besides her Southfield firm, she also works for Tuiasosopo Law Group PC in Los Angeles, where she was raised. But Tuiasosopo made Detroit home after attending Detroit Mercy. Now she teaches probate practice courses at the university. Tuiasosopo is also active in legal and business associations in Michigan and California, including memberships in the Hispanic Bar Association of Michigan, Wolverine Bar Association, Polynesian Bar Association of California, NAACP and ACLU Michigan-Metro Detroit Branch. She provides pro bono legal support to numerous organizations, including the Friend of the Court Child Support Clinic and Wayne County Probate Court Bar Association, as well as additional support to nonprofits including Detroit Rescue Mission Ministries and Mariners Inn. â&#x20AC;&#x153;She has dedicated her life to service to the Detroit community,â&#x20AC;? said Robbie Gaines Jr., an attorney at Collins Einhorn Farrell PC in Southfield. â&#x20AC;&#x153;I have volunteered with her at soup kitchens, pro bono clinics and Gleaners Food Bank. She dedicates endless hours to giving back to those in need.â&#x20AC;?

Ann Marie Uetz Partner

Company: Foley & Lardner LLP, Detroit Education: Wayne State University Law School, 1993 Ann Marie Uetz, named to the Crainâ&#x20AC;&#x2122;s Most Connected list in 2015, focuses her practice on business litigation, debt workouts and bankruptcy primarily for automotive suppliers and the defense industry. In recent years, she was lead counsel to the court-appointed receiver for Wilbanks Energy Logistics LLC in New Mexico. In less than two months, she led the work that resulted in a $15 million sale of the companyâ&#x20AC;&#x2122;s assets and affiliates. Uetz, who is immediate past chair of the Michigan chapter of the International Womenâ&#x20AC;&#x2122;s Insolvency and Restructuring Confederation, helped set legal precedent when she defended a senior secured lender against debtorsâ&#x20AC;&#x2122; claims. As a result, the 7th Circuit of the U.S. Court of Appeals held that the U.S. Bankruptcy Code treats a nonrecourse loan as a recourse loan in a bankruptcy case regardless of equity. Uetz also volunteers her time. She has served on the Board of Directors of the Detroit Symphony Orchestra, where she helped guide the DSO through its debt restructuring and musiciansâ&#x20AC;&#x2122; strike, and supported Affirmations, an advocate for the LGBTQ community.

Michele Walton

Vice President, Senior Counsel Company: The Taubman Co., Bloomfield Hills Education: DePaul University College of Law, 1999 Promoted just three years ago, Michele Walton has played an integral role in numerous transactions for Taubman, which boasts numerous premier shopping centers. Since 2014, the company has developed, leased and opened eight shopping centers in the U.S. and Asia and launched a $500 million renovation of a center in Los Angeles. Waltonâ&#x20AC;&#x2122;s team was responsible for negotiating those leases. In addition, they handle an additional 600 leases along with bankruptcy workouts, construction disputes and collection issues. A member of the International Council of Shopping Centers, Walton also is leading the development of new legal strategy for Taubman as online and brick-and-mortar shopping merge and the question of how sales are calculated becomes more complicated. â&#x20AC;&#x153;Her management and client services skills have resulted in our legal leasing group hitting on all cylinders like never before,â&#x20AC;? said Chris Heaphy, executive vice president and general counsel at Taubman. â&#x20AC;&#x153;Not only is she very intelligent, but she has the ability to hone in on the issues immediately and to react quickly. She makes my job easy.â&#x20AC;?

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Linda Wasserman Partner

Company: Honigman Miller Schwartz and Cohn LLP, Bloomfield Hills Education: University of Michigan Law School, 1980 As a partner in her firmâ&#x20AC;&#x2122;s Trusts and Estates Practice Group, Linda Wasserman has worked with high-net-worth families to address complex trust administration and estate tax issues. She also has counseled trustees of a multibillion-dollar estate and has advised major donors to make significant gifts to area nonprofits. â&#x20AC;&#x153;Linda is strategic, analytical, articulate, knowledgeable, tenacious, big-picture-oriented but careful about the details and passionate in her pursuit of our clientsâ&#x20AC;&#x2122; interests,â&#x20AC;? said Charles Nida, a Honigman partner in the Trusts and Estates Practice Group. â&#x20AC;&#x153;She combines these attributes to provide superior representation to our estate-planning clients.â&#x20AC;? Wasserman teaches courses in trusts and estates and estate planning at the University of Michigan Law School and is active in the community. She chairs the Planned Giving Advisory Committee of the Detroit Symphony Orchestra, serves on the Tannahill Society Advisory Committee for the Detroit Institute of Arts and is a member of the boards of the Beaumont Health Foundation and Community Foundation for Southeast Michigan. She is also a senior trustee for the Cranbrook Educational Community. In May, Wasserman received the Dolly and Joseph Schiciano Volunteer Leadership Award from Cranbrook Schools.

We congratulate our Partners named as Notable Women Lawyers on this well-deserved honor!

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| 2017 Sherri Wellman

Principal; Energy, Environmental and Regulatory Deputy Group Leader Company: Miller Canfield Paddock and Stone PLC, Lansing Education: Thomas M. Cooley Law School, 1986 Sherri Wellman has worked for nearly every public utility in Michigan and has been involved in every energy company merger in the past 10 years. Her institutional knowledge of the field led to her successfully defending a natural-gas utility against challenges to its gas purchasing practices by the Michigan attorney general and residential consumer groups, saving the company $10 million in disallowances. A member of energy and legal associations, Wellman also has secured certificates of public conveniences for a 58-mile electric transmission line and for natural gas pipelines and storage fields in Michigan. In addition, Wellman provided representation that resulted in a new electrical and natural-gas utility in the Upper Peninsula. “Over the years, she has become one of the top energy lawyers in the state, known by clients for providing excellent representation and known by colleagues and opposing counsel for not only her legal skills but also for her collegiality and professionalism. She is an asset to the legal community and to the energy industry in Michigan,” said Clifford Taylor, of counsel for Miller Canfield and former chief justice of the Michigan Supreme Court.

Jill Wheaton

Wendy Zabriskie

Katheryne Zelenock

Marla Zwas

Company: Dykema Gossett PLLC, Ann Arbor Education: University of Michigan Law School, 1990

Company: Bodman PLC, Troy Education: Wayne State University Law School, 1991

Company: Dickinson Wright PLLC, Troy Education: University of Notre Dame Law School, 1991

Company: Truck Hero Inc., Ann Arbor Education: Fordham University School of Law, 1993

Three years ago, Wendy Zabriskie became managing partner of her firm’s Troy office, where she leads the commercial finance team. Her role includes representing banks in multimillion-dollar and smaller transactions throughout the U.S. In the past couple of years, Zabriskie has negotiated and closed more than 100 real estate and commercial lending transactions. Projects range from large portions of The District Detroit to a microbrewery and bike shop. She also has represented financial institutions connected to construction of Inco Corp.’s 135,000-square-foot headquarters in Auburn Hills, a 192-unit apartment complex in Ann Arbor and a luxury condominium project in Birmingham. Zabriske serves her community as well. She’s a member of the Birmingham Brownfield Development Authority and has supported the Evans Scholarship program. In addition, Maryanne Dunleavy, managing director of commercial banking for Chemical Bank, said Zabriskie was the first person her daughter thought of when she started the mock-trial team at Mercy High School in Farmington Hills. “Without hesitation, Wendy committed a significant amount of time and worked to organize the team and lay out a plan to learn about the law and have fun competing in the courtroom,” Dunleavy said. “In fact, several of the young women have decided to pursue a career in law because of their experience with the team and Wendy personally.”

To improve the efficiency of lending and leasing transactions for her firm’s clients, Katheryne Zelenock has developed proprietary management and documentation software. In the past year, she has acted as closing or supervising counsel for 175 commercial, multifamily and manufactured-housing mortgages valued at several billion dollars. And she has acted as closing counsel for more than 300 separate Freddie Mac and Fannie Mae housing loans totaling more than $1 billion. As chair of the Women’s Network, Zelenock instituted training and coaching for women attorneys and established the group at the firm’s 18 offices nationwide. “Kathy recently led an external study of our diversity and inclusion efforts through the University of Michigan Ross School of Business Multidisciplinary Action Projects. ... Kathy established the parameters, curriculum and coordinated interviews and debriefing with our firm management group,” said Harlan Robins, a member and practice department manager at Dickinson Wright. The firm is instituting some of the recommendations to improve its recruiting, retention and support of women and attorneys of color. At the same time, Zelenock advises the Detroit Urban Debate League, which brings competitive debates to middle and high school students.

Before her current position, Marla Zwas handled corporate and human resources legal functions for Flagstar Bancorp, a $14 billion institution. When Zwas arrived at Truck Hero last year, the company had no general counsel. Since coming on board, however, she has established a legal department and led legal efforts on multimillion-dollar acquisitions of Rugged Liner, Husky Liners, Superlift LLC and Omix-ADA. Moreover, she spearheaded the sale of Truck Hero to the private equity firm CCMP Capital Advisers. “We have an extremely fast-paced and rapidly growing organization at nearly $1 billion in revenue, and Marla has been a warrior at ensuring our company is exceeding all the legal requirements for a company of our size,” said William Reminder, Truck Hero president and CEO. “Marla’s attention to detail is unmatched, and that skill plays a critical role in our M&A strategy.” Outside the office, Zwas is active in several organizations including the Society for Corporate Governance, the Women’s InHouse Counsel Leadership Institute and the Jewish Federation of Metropolitan Detroit. “Not only is she committed to the causes she adopts, Marla is also an inspiration and champion to the younger lawyers in the Jewish community,” said Lawrence Brown, owner of Ryan Foot and Ankle Clinic PC.

Member

As leader of her firm’s Appellate Group, Jill Wheaton has taken on high-profile cases and won. Said Peter Kellett, chairman and CEO of Dykema Gossett: “Jill is a skilled and determined advocate for our clients, and her record of success has made her a goto appellate attorney for cases in the Michigan Court of Appeals and Supreme Court and throughout the federal appellate courts.” In the past year, Wheaton successfully represented State Farm Insurance Co. in front of the Michigan Supreme Court in a case that balanced on whether a health care provider could sue a patient’s no-fault auto insurer for payment of medical expenses provided to the patient. Last fall, a pro bono Americans with Disabilities Act case went to the U.S. Supreme Court. There, a school district would not allow a 13-year-old with cerebral palsy to bring her service dog to school, arguing it could provide a human assistant. However, with help from a Dykema colleague and University of Michigan professor, Wheaton argued the case before the Supreme Court, which ruled unanimously in the child’s favor. Wheaton, co-author of the Institute of Continuing Legal Education’s Michigan Appellate Handbook, is also a member of the Michigan Supreme Court Historical Society’s Board of Directors.

Congratulations

Laurel F. McGiffert

Member

General Counsel

“We have an extremely fast-paced and rapidly growing organization at nearly $1 billion in revenue, and Marla has been a warrior at ensuring our company is exceeding all the legal requirements for a company of our size.” William Reminder, President and CEO of Truck Hero, about Notable Lawyer Marla Zwas.

About this report

2017 THE STRENGTH BEHIND OUR CLIENTS

One of Plunkett Cooney’s accomplished trial lawyers, Laurel is a colleague, mentor and friend to many, we are proud of her accomplishments and are pleased to celebrate her as one of the Crain’s Detroit Business 2017 Notable Women Lawyers in Michigan!

ATTORNEYS & COUNSELORS AT LAW Laurel F. McGiffert T: (313) 983-4751 lmcgiffert@plunkettcooney.com

Michigan

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Notable Women Lawyer pages.indd 14

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Ohio

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FEARLESS.®

www.plunkettcooney.com

Notable Women Lawyers in Michigan was produced by Crain Content Studio, the custom publishing division of Crain’s Detroit Business. The women featured here were selected based on their career accomplishments, their involvement in nonprofits and community organizations and evidence that they mentor others in their field, as outlined in an extensive nomination form that was written with the help of experts in the legal community. Notable Women Lawyers was managed by Leslie D. Green for Crain Content Studio. For questions about this report, contact Kristin Bull, Director of Crain Content Studio, at 313-446-1608 or kbull@crain. com.

Four more to watch The overwhelming response to this inaugural Notable Women Lawyers in Michigan project tells us we should look at revisiting it in the future. In the meantime, here are a few women we think are worth keeping track of until next time. ■ Sarah Stempky Kime, Managing Attorney, Christensen Law ■ Juliana Sabatini, Attorney, Mike Morse Law Firm ■ Melanie Duda, Attorney, Fieger Law ■ Kim Clayson, Founding Partner, Clayson, Schneider & Miller, PC

12/7/17 12:33 PM

NOTABLE

WOMAN DTE Energy congratulates one of its own, JoAnn Chavez, for being named among Crain’s “Most Notable Women Lawyers.” As DTE’s VP, Legal and Chief Tax Officer, she has demonstrated a commitment to service through her advocacy for women, young people and the Hispanic community. Her tireless work in the legal field and community makes her an influential lawyer, woman and citizen.

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FOCUS

SPECIAL REPORT: SECOND STAGE

Taking on an equity partner By Rachelle Damico

Special to Crain’s Detroit Business

The major benefits for companies considering an equity partnership are obvious: Companies that bring in capital are able to expand or grow without taking on debt. But equity partnerships can bring more than just money to a company. They can help businesses expand through acquisitions, or add new products or production capabilities. And equity partners can bring new skills to the business. “If you are a lower middle market company and you get a private equity fund that invests in the company, they may be able to Need more professionto know alize the compaJJEquity partners ny, help you build can bring new skills out your board of and capabilities to directors, and a company help you with certain things JJIt’s important to that you need get to know a other than monpotential partner ey to grow the well before business,” said committing Pete Roth, transJJDon’t go it actions attorney alone: Talk to a and partner at lawyer or adviser Grand Rapwith a background ids-based law in equity firm Varnum LLP. partnerships Businesses searching for equity partners should do their vetting carefully, however. Roth said the biggest issue he sees with clients is entering into an equity partnership without knowing their partner well enough. “The real answer to a good partnership is, two partners that know each other in advance that have similar cultures and views on how to run a business,” Roth said. “No matter what I put in the legal documents, if you have to resort

GETTY IMAGES

In this package Hansons Holdings partners to fuel growth, This Page

Assistance from investors helps digital marketing platform thrive. Page 30

Equity Partner helps Feinberg Consulting grow, expand. Page 29

Here’s what you need in your partnership agreement. Page 30

to the legal documents every day you have a big problem.” Entering an equity partnership can also mean both parties have rights to the business, so a business owner will have to adjust to no longer making decisions themselves. Phil Okun, chief strategy officer at Detroit-based Quikly, a digital marketing platform for retailers, said companies looking at equity partnerships should make sure their partners are a cultural fit from the beginning. “You figure it out very quickly, within the first couple of weeks, because you’re spending a lot of time together, and you’re talking about the vision and how the business would move forward,” Okun said. “It becomes obvious, you just need to use your intuition.” Steve Feldman, chief operating officer of West Bloomfield Township-based Feinberg Consulting Inc., compared it to entering a marriage. “It’s the ability to communicate and align,” Feldman said. “The challenge is sometimes you’re with somebody and you’re together a lot, so there’s going to be things that you don’t necessarily agree upon.” Business owners can protect themselves and their companies by hiring advisers, lawyers or investment bankers who have a background in equity partnerships. “Thinking you can do it yourself would be a mistake,” said Brian Elias, CEO and founder of Troy-based Hansons Holdings LLC. “The best thing that you can do is bring in people to guide you through the process.” For tips on taking on an equity partner, Crain’s talked to three different companies, including a firm that entered an individual partnership, a company that sold a majority stake to a private equity firm and a company that has a number of equity partners to help fund and grow business.

Hansons Holdings partners with private equity firm to fuel growth By Rachelle Damico

Special to Crain’s Detroit Business

Brian Elias, founder and CEO of Hansons Holdings LLC, said the company spent about three months vetting equity partners to grow the company before Detroit-based Huron Capital Partners LLC acquired a controlling interest in Hansons this October. “I realized that I am an entrepreneur, not a CEO,” Elias said. “It was time to take on somebody that can take my business to the next level.” The home repair and innovations company installs replacement windows, roofing and siding. Hansons has more than 400 employees, including contractors, and eight locations throughout Michigan and Northern Ohio. The Troy-based company is known for its “1-800-Hansons … Get it done” jingle. Elias said Hansons generates about $75 million in annual sales, but had potential to grow more aggressively. “It costs money to expand into new

markets,” Elias sad. “I wanted (an equity partner) who wasn’t as gun shy about investing money to expand.” Last year, Elias talked to his wife and son, Michele Brian Elias: and Daniel Elias, Wanted partner to about finding a expand business. majority equity partner that would be able to take Hansons to the next level. A contributing factor for Elias’ decision was losing his parents at an early age. His father died at age 49 and his mother at 53. “I have a good life, and I wanted to make sure my family was secure if I get dealt the same hand that they did,” Elias said. To help vet equity partners, Hansons hired Birmingham-based Angle

Advisors LLC last June, working with Kevin Marsh and Cliff Roesler, co-founders of the investment banking firm. “They came in and gave us schooling on how to take on a partner, and what the potential pitfalls were,” Elias said. “The best thing that you can do is bring in people to guide you through the process.” In December of last year, Elias and his management team interviewed and met with both strategic and private equity partners. Elias said there were several parties interested in partnering with Hansons, but they did not necessarily match with the company’s vision and culture. “Different directions, different attitudes … they just weren’t open to our overly-friendly culture,” Elias said. Elias and his management team met with Huron Capital Partners last June. Elias said they knew it was a fit after hearing the private equity firm talk about the future of Hansons.

Need to know

JJFounder of Hansons sough equity

partner to fuel growth into new markets JJLengthy vetting ensured investors were a culture fit JJOne motive: Taking business to the next level

“My commitment to my staff comes first, and I wanted to make sure that they’d be taken care of and have the opportunity to grow,” Elias said. “Huron had the same vision.” During their next meeting, Elias said Huron brought the former CEO of a home improvement company in as a consultant, who was able to grow the home improvement business from a $60 million company to a $600 million business. “They brought the right people in to make Hansons grow,” Elias said. “When you see things like that, you realize you’ve partnered with the right

group.” Huron Capital Partners acquired a controlling interest in Hansons this October, although terms were not disclosed. “There seems to be plenty of money out there, but finding the right people to partner with is extremely important in my eyes,” Elias said. “I never wanted my life to be my business, I wanted my business to give me life.” Elias said he will stay on Hansons’ board and remain as CEO while he helps find his successor. Hansons is looking at adding new products and services and to expand to new markets, including Indianapolis, Cleveland and Columbus. “They’re going to do it on a much faster scale than I would have ever done,” Elias said. “With these guys driving, I see it as a $200 million or $300 million company in a very short time,” Elias said. “I see growth for our people, and I think our people are excited for the future.”

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SPECIAL REPORT: SECOND STAGE

Equity partner helps Feinberg Consulting grow, expand Need to know

By Rachelle Damico

Special to Crain’s Detroit Business

Pam Feinberg-Rivkin, founder and CEO of West Bloomfield Township-based company Feinberg Consulting Inc., said her equity partnership with chief operating officer Steve Feldman has helped the company grow and expand. “I wanted to have someone that could partner with me and feel that the person was really part of the company,” Feinberg-Rivkin said. “Bringing not only a cash value to the company, but also having an interest in building the company.” Feinberg-Rivkin founded Feinberg Consulting in 1996. The company coordinates medical treatment for people who suffered catastrophic injuries in automotive accidents. The company also assesses, intervenes and coordinates services with individuals who have mental health and substance abuse disorders. Additionally, Feinberg Consulting offers senior care management services. The company has 89 employees, which include nurses, social workers and caregivers. Feinberg-Rivkin hired Feldman as the company’s business consultant in 2012, where he helped Feinberg Consulting develop and expand its service offerings. “I’ve had a lot of experience in growing businesses, as well as run-

J Company coordinates medical treatment for people who suffered catastrophic injuries in automotive accidents J Partners grew the company by diversifying and expanding services J Added a senior care division and a mental health and addiction recovery division

LARRY PEPLIN FOR CRAIN’S

ning the operations of the company,” Feldman said. “I get really excited about spreadsheets, and as soon as I say the word she cringes.” Feinberg-Rivkin, who is a regis-

tered nurse, said her interests lie in helping people, not necessarily in running a business. “You can’t do it all, and it’s better to hire people who are able to have the

skills and the ability to do the things you don’t necessarily like to do,” Feinberg-Rivkin said. Feldman was named COO in 2013 and brought on as an equity partner.

“We clearly saw the same path,” Feinberg-Rivkin said. Together, the partners grew the company by diversifying and expanding services. Initially, Feinberg Consulting worked solely with individuals who had been in catastrophic automobile accidents, billing to automotive insurers. About five years ago, the company added a senior care division and a mental health and addiction recovery division. “We don’t want to have our business in only one part of the business,” Feinberg-Rivkin said. “I wanted to spread it out in other ways.” Feinberg Consulting has grown and increased revenues year after year, which both Feinberg-Rivkin and Feldman largely attribute to their strategic alliance. “Partners with the same vision and different, complimentary skill sets can generate growth and financial health for a company,” Feinberg-Rivkin said.

WE ARE ALL BORN TO SUCCEED. Sometimes all we have is the strength inside. The kind of strength that keeps you moving forward when you’d rather turn back. The strength to do the right thing when it’s easier to do nothing at all. To do good and then ask, “How can I do better?” The strength to never settle for the way things are, but to strive for the way things ought to be. And know that to get where you want to go, you might have to make your own path. At Wayne State University, we take that strength and make it stronger. Because being strong isn’t strong enough. You need to be Warrior Strong.

WARRIOR STRONG

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SPECIAL REPORT: SECOND STAGE

Assistance from investors helps platform thrive Here’s what By Rachelle Damico

Special to Crain’s Detroit Business

Phil Okun, chief strategy officer of Detroit-based Quikly, a digital marketing platform for retailers, said the company’s investors have provided strategic assistance that has been instrumental to the company’s growth. “There was an advantage that turned out to be much more than money, which was partners who have become team members, and provide us guidance that would have been super expensive in the early stages of our company,” Okun said. Quikly is a marketing engagement tool that helps retailers and brands drive consumer engagement and retention by motivating behaviors such as downloading an app, subscribing to an e-mail marketing list, joining a loyalty program or driving a purchase. Customers include Domino’s Pizza Inc., McDonalds Corp. and Quicken Loans. The company has 30 employees and has received funding from investors that include Detroit Venture Partners, a venture firm co-founded by Dan Gilbert, Chicago-based Hyde Park Angels and Ann Arbor-based Plymouth Growth Partners. This year the company secured $2 million in a funding round led by Plymouth Growth Partners.

“We wouldn’t have been able to build our technology unless we chose funding, and we wouldn’t have been able to scale our sales the way we’ve been able to do without funding.”

Need to know

Investors can provide strategic assistance as well as funding J

J Choose investors who can bring specific skills to your company J Entrepreneurs should be sure their vision aligns with their investors’

“We wouldn’t have been able to build our technology unless we chose funding, and we wouldn’t have been able to scale our sales the way we’ve been able to do without funding,” Okun said. The company launched in 2012, receiving early investment from Detroit Venture Partners. Okun said DVP facilitated client introductions, helped build the leadership team and provided accounting, tax, legal and recruiting services. “Without (that assistance), I don’t know that we could have dealt with the expenses necessary, because what we do from a legal perspective is very expensive, and in the early years I don’t know if we could have afforded it,” Okun said. Okun said Quikly has chosen certain equity partners to bring specific skills to the company. For instance, Okun said Kevin Terrasi, Quikly’s board member from Plymouth Growth Partners, helped the company evolve its market strategy. And

Phil Okun

Quikly took investment from Hyde Park Angels for their background in marketing and technology strategy, providing experts at no cost to the company. “It’s been instrumental in helping us, protecting us and moving the business forward,” Okun said. “(The investors) are literally part of our team and have helped us in every aspect of our business.” Although Okun said Quikly has been successful in finding partners that were a fit for the company, it did not come without vetting and due diligence. “I don’t think it ever should be done lightly,” Okun said. “You should have your business plan down to the nth degree, and tested your hypotheses with as many people as possible, because as soon as you start taking equity you start giving up a certain amount of control and ownership.” Okun said entrepreneurs should be sure their vision aligns with their

investors’, and that the business and financial model are agreed upon. If entrepreneurs find themselves arguing over these details, Okun said, it’s probably not the right investor for the company. “If you choose the wrong investors they can be disruptive to the business, have certain rights, and use those rights to make it difficult for you to move the business forward in the vision that you and your team have,” Okun said. Okun said to expect a joint interview process, as investors vet companies as well. “(The investors) are being cautious because they have investors and want to protect their investors’ money, and we’re being cautious because we want to make sure that not only can we take funding, but this is going to be somebody who is going to help us execute, move the business forward and be a great teammate,” Okun said.

ADVERTISING SECTION To place your listing or for more information, please call Lynn Calcaterra at (313) 446-6086 or email lcalcaterra@crain.com

www.crainsdetroit.com/onthemove

CONSTRUCTION

Mashell Carissimi Board Member

State of Michigan Electrical Administrative Board Gov. Rick Snyder announced the appointment of Mashell Carissimi of St. Clair Shores to the Electrical Administrative Board, which assists the Michigan Department of Licensing and Regulatory Affairs. “Mashell’s background and leadership makes her a strong choice for this board,” said Snyder. “The board has always helped maintain the highest possible public safety standards,” said Carissimi. “I am honored to be able to work with them and contribute to our state’s great safety track record.”

INSURANCE

ACCOUNTING

Mike Bobak

Lori Wheelright

Vice President, Sales and Account Management Autos and Labor Market Relations

Vice President, Government Programs and Account Management

Delta Dental of Michigan

Delta Dental of Michigan is pleased to announce that Mike Bobak will serve as the Vice President of Sales and Account Management for Autos and Labor Market Relations. Bobak will oversee the team responsible for sales, commercial business, automotive accounts and labor market relations. He joined the company in 2004, having served in various positions. He earned his Bachelor’s degree and Master’s of Business Administration degree from Eastern Michigan University.

Delta Dental of Michigan is pleased to announce that Lori Wheelright has been promoted to Vice President of Government Programs and Account Management. Wheelright will oversee the team responsible for developing and employing account management strategies for state programs and key commercial accounts. She joined the company in 1997, having served in various positions. She earned her Bachelor’s degree from Central Michigan University.

KNOW SOMEONE ON THE MOVE?

For more information or questions regarding advertising in this section, please call Lynn Calcaterra at (313) 446-6086 or email: lcalcaterra@crain.com

Daniell R. Patterson Partner

Fenner, Melstrom & Dooling, PLC Daniell R. Patterson has been promoted to Partner at a Fenner, Melstrom & Dooling, PLC, an accounting firm located in Birmingham. Patterson has over 25 years of experience in public accounting, tax, and business consulting; with industry expertise in Manufacturing, Dealerships (Auto/Truck, Motorcycle/Motorsports, Construction Equip. & Marine) but serves other industries as well. Mr. Patterson is an active member of the AICPA, MiCPA, sits on several Boards and is a long-time member of the DAC.

should be in partnership agreement By Rachelle Damico

Special to Crain’s Detroit Business

To prevent conflicts, business owners should protect themselves with a partnership agreement — and they shouldn’t try to draft it themselves, said Pete Roth, transactions attorney and partner at Grand Rapids-based law firm Varnum LLP. Instead, business owners should seek out an experienced lawyer to draft or review the partnership agreement. “Good lawyers will write clean and easy to unPete Roth: Good derstand doculawyers will ments that anticianticipate issues. pate the issues the business people aren’t otherwise thinking about,” Roth said. Here are his other tips for drafting a strong partnership agreement: 1. What is each party putting into the partnership?

Each partner will have to decide what they’re contributing to the partnership, whether it’s cash, property or service. “For example, if I own the business, I might be putting in the business and the partner might be putting in cash,” Roth said. 2. How are you governing the business?

Roth said partners should document how they will make decisions about the company. They should also consider who has the majority vote. If an equity partner buys 60 percent of the company, and the business owner owns 40 percent, the majority owner still has 100 percent of the control unless specific responsibilities are noted in the partnership agreement. “One person may be in charge of dayto-day responsibilities, but on super important decisions like spending over a certain amount, or selling the company or buying a new company, they may have to reach agreement,” Roth said. 3. How do you want to exit?

Roth said private equity firms typically have a window in which they will want to exit the company, often in a 4 to 5-year span. That can be a good or a bad thing, Roth said. “If the entrepreneur wants to own the business for the next 30 years, private equity could be a challenge.” A documented exit is also necessary for unexpected circumstances that can arise. “You deal with unexpected things like death and disability,” Roth said. “How are you going to do deal with those situations? 4. How involved is each partner going to be in the day-to-day?

“With private equity firms, partners will have to decide if they are going to have people that sit on the board and be involved at a high level, or if they are going to be involved in every day-today decision,” Roth said.

Page 2

SD ETROIT BUSINESS C R A I N ’ S D E T R O I TCRAIN B U’S IN ESS // D E C E M B E R 1 1 , 2 0 1 7

MUSIC FROM PAGE 1

Advertisers like holiday music not only because of the huge ratings the hundreds of songs generate, but because it’s not controversial. “It’s perfect because Christmas is a safe environment. It’s not Howard Stern,” said Paul Jacobs, vice president and general manager at Jacobs Media.

Holiday bonus Flipping to Bing Crosby and Burl Ives provides a fourth-quarter revenue boost atop the traditional holiday advertising spending. Gnau declined to discuss financials, but acknowledged that holiday music fuels higher sales for WNIC. “We use holiday music to catapult us through the year. It is a very high-demand station as it is. When fourth quarter rolls around, it becomes an even harder station to get on. It’s supply and demand,” he said. The station sells its holiday advertising inventory and looks to create incremental revenue via marketing sponsorships linked to the Christmas music, Gnau added. Like other media, radio traditionally benefits from heavy fourth-quarter advertising spends. For WNIC, radio insiders say up to 25 percent of the station’s annual revenue may come from the holiday music period. Gnau declined to specify a percentage. He did say that the holiday gains more than offset any post-holiday dip. Still, Christmas music may be easing a revenue dip at the station in recent years. The station had $9.7 million in 2014 revenue, and that fell to $9.5 million last year, according to data from Chantilly, Va.-based broadcast media analysts BIA/Kelsey. “They are eighth in the market in terms of over-the-air advertising revenues and have been at that position for some time,” said Robert Udowitz, BIA/Kelsey’s communications and marketing spokesman, via email. WNIC’s 2017 revenue should increase over last year because of improved audience share, he added. Entercom Communications Corp.owned news-talk station WWJ 950 AM is the market leader for radio revenue at $16.5 million last year.

Competition WNIC has limited local holiday music competition. Entercom-owned oldies station WOMC 104.3 FM switched to a Christmas format on Thursday. Ferndale-based classic rock station WCSX 94.7 FM, owned by Naples, Fla.-based Beasley Broadcast Group Inc., is airing Christmas music on its HD2 digital sub-channel but not its primary over-the-air channel. WMGC 105.1 FM, a sister channel of WCSX, was a popular local Christmas music station for many years, but stopped when it flipped to a sports format in 2013. It’s now a classic hip-hop station. WNIC’s real competition for ears comes from music streaming services and mobile devices, but Gnau said they don’t really siphon much audience. “A lot of those are jukeboxes. We still have our local personalities,” he said. The popularity of holiday music is bolstered by the station’s highly regarded morning host, Jay Towers, and the fact that WNIC still airs local traffic, weather, and news amid the Christmas tunes — something you don’t get from Pandora or your iPhone playlist. “There’s still that local in there,”

Nick Gnau, president of the Detroit region for WNIC owner iHeartMedia Markets Group: ““We use holiday music to catapult us through the year.”

December 11, 2017 31

Gnau said. New York City-based Sirius XM Satellite Radio, the dominant satellite broadcaster, tries to grab audience with an array of niche channels. This year, it began broadcasting traditional and contemporary holiday music on two channels beginning Nov. 1, and then added a Latin holiday music station on Nov. 27, country and R&B holiday channels on Dec. 4, and will air Hanukkah-themed music beginning Dec. 12. SXM’s “Holiday Pops” channel is on air from Dec. 24-26. Holiday music looks to have some staying power, too. Data from audience analysts The Nielsen Co. shows that millennials account for the largest segment of holi-

day music fans (36 percent) followed by Gen Xers at 31 percent. Baby boomers and older are 21 percent of holiday music fans, with the youngest cohort, Gen Z, at 8 percent. In total, 45 percent of Christmas music listeners are age 34 or younger, Nielsen data shows. Advertisers covet that demographic. “I haven’t seen any loss of momentum or this trend getting tiring. People look forward to it,” said Jacobs, the radio consultant. “The one knock you always hear is that stations start playing holiday music too early. The results suggest otherwise.” Bill Shea: (313) 446-1626 Twitter: @Bill_Shea19

MARKET PLACE

REQUEST FOR PROPOSALS

REQUEST FOR QUALIFICATIONS (RFQ)

The Detroit-Wayne Joint Building Authority owner/operator of the Coleman A. Young Municipal Center (CAYMC) is seeking qualifications from interested firms to provide the following services:

∂ Security upgrades/updates to Video Surveillance, Access Control System and Command Center. μ RFP will be for a complete, integrated Security System, engineered drawings and recommended equipment. μ Bidding firms are expected to survey and evaluate current systems and, meet with owner to determine future needs. μ Proposed system must be able to communicate with the Genetec surveillance platform. ∂ RFQ submittal should include the following: μ Company location, size, years in business, annual volume, and any certifications μ Details of similar projects in size and scope μ Current work load μ Brands/Manufacturers of Security Systems company represents μ At least three (3) references μ Contact information

∂ Window Replacements μ Initial RFP will be for first floor replacement of 53 windows only. μ Bidding firms are expected to work with qualified window manufacturers provide options to match and align with the existing window frames to remain. ∂ RFQ submittal should include the following: μ Company location, size, years in business, annual volume, and any certifications μ Details of similar projects in size and scope μ Current work load μ Brands/Manufacturers of windows the company represents μ At least three (3) references μ Contact information

The CAYMC is a 745,000 square foot office building located in the heart of downtown Detroit. Interested firms must submit responses no later than January 5th, 2018 at 12:00 Noon To: Detroit -Wayne Joint Building Authority Coleman A. Young Municipal Center 2 Woodward Avenue, Suite 1316 Detroit, MI. 48226 Attention: Deb Craig, Construction Manager, Hines-Porcher

REQUEST FOR QUALIFICATIONS (RFQ) The Detroit-Wayne Joint Building Authority owner/operator of the Coleman A. Young Municipal Center (CAYMC) is seeking qualifications from interested firms to provide the following services: ∂ Revolving Doors Replacement at Randolph Entrance. μ Work includes two (2) revolving doors and one (1) man door, and full replacement of surrounding glass front. ∂ RFQ submittal should include the following: μ Company location, size, years in business, annual volume, and any certifications μ Details of similar projects in size and scope μ Current work load μ Brands/Manufacturers of revolving doors company represents μ At least three (3) references μ Contact information The CAYMC is a 745,000 square foot office building located in the heart of downtown Detroit. Interested firms must submit responses no later than January 5th, 2018 at 12:00 Noon To: Detroit -Wayne Joint Building Authority Coleman A. Young Municipal Center 2 Woodward Avenue, Suite 1316 Detroit, MI. 48226 Attention: Deb Craig, Construction Manager, Hines-Porcher

JOB FRONT POSITIONS AVAILABLE

RETIREMENT SYSTEMS OF THE CITY OF DETROIT 500 Woodward Ave, Suite 3000 Detroit, Michigan 48226 Job Title: Investment Officer (Salary dependent on experience) The Retirement Systems of the City of Detroit (RSCD) is seeking experienced candidates to fill one or more professional investment position(s) that will assist in the management of RSCD’s $5 billion externally managed investment portfolio. This position reports directly to the CIO and requires an advanced understanding of Capital Markets and Institutional Pension Investing across various asset classes (Public & Private Equity and Debt Investments, Real Assets, Hedge Funds, etc.) The Investment Officer will be responsible for supporting the CIO in managing and evaluating the Plans’ investments in accordance with the Investment Policy Statements as well as applicable state and federal laws and regulations. The full job description and qualifications are available on the RSCD website at:

www.rscd.org

The Crain’s reader: 29.2% are with companies contemplating moving/ expanding. Help them find you by advertising in Crain’s Real Estate section. 313.446.6086 • FAX: 313.446. 034 7 E-Mail: cdbclassif ied@crain.com

If you are interested in this career opportunity, please forward your cover letter and resume to:

Investmentjobs@rscd.org

WORKERS COMPENSATION BUSINESS DEVELOPMENT MANAGER Team Rehabilitation, a network of outpatient PT clinics has a great opportunity for a Workers Compensation Business Development Manager. Position is to generate Workers’ Comp physical therapy referrals by calling on physicians with a heavy concentration of patients covered by workers’ comp or auto insurances. Sell the advantages of partnering with Team Rehab to case managers, adjusters, insurance companies, corporate and municipal employers. We offer an excellent benefits package, competitive salary, and performance bonuses. It’s an exciting time to join the company that was voted the #1 Workplace in 2017 by the Detroit Free Press.

For more information, please contact: Catina Kristofik at 586-299-1088 or catina.kristofik@team-rehab.com

PROJECT TIM FROM PAGE 1

The head of an economic development agency in Lawrence County, Ohio, said both projects are being pitched to Trump’s administration as a way to keep steel production and manufacturing jobs in the U.S. and fulfill the president’s campaign pledge of reversing years of American industrial retreat from burning coal for energy. “The Trump administration should be working with General Motors or the other manufacturers to guarantee that these two mills get going so this quality of steel isn’t imported from China,” said Bill Dingus, executive director of the Lawrence Economic Development Corp. “If it can ever be done, now is the time to do it.” In the little information about “Project Tim” that the company had previously made public anonymously with the help of Durand city officials, one document distributed to residents said the plant would “manufacture the lowest cost, high-quality product in the world ... in America.” The document also uses Trump’s campaign slogan by claiming the 800job facility would fulfill “the promise to ‘Make America Great Again.’” The problem is that the market for steel is global — and there’s already too much on the market. “The idea of putting a blast furnace (steel mill) in North America, given the high cost, just doesn’t make sense to me. Not in the face in global oversup-

C R A I N ’ S D E T R O I T B U S I N E S S // D E C E M B E R 1 1 , 2 0 1 7 ply,” said Wally Wilson of Steel-Insights, LLC, a Brighton-based steel industry consultancy. “If you’re a guy who owns a coal mine, you want somebody to build a blast furnace (mill). The problem is, the economics don’t work.” Steel produced in the U.S. was selling for $682 per metric at the end of November — 28 percent higher than the $533 per metric ton going rate for steel coming out of Chinese mills, according to industry price-tracking data compiled by SteelBechmarker.com. U.S. trade data shows steel imported from China fell in October to its lowest level since 2011 after former President Barack Obama’s administration imposed a tariff last year on Chinese steel that Trump has kept in place. Despite the sharp decline in Chinese steel entering the country, the total metric tons of steel imported by the U.S. through the first six months of this year was up 26 percent from the same period in 2016, according to the International Trade Administration’s August report. “The artificial trade barrier is all that keeps steel from flooding in here,” Wilson said. “Adding more domestic production to the pile is OK as long as you can produce it for $400 a ton — the world price — and still be profitable.”

“Greenest facility” Charles Bradford, a steel industry analyst with New York-based Bradford Research Inc., said the $7 billion price tag attached to New Steel International’s purported Durand loan applica-

tion is more than five times the $1.3 billion cost of the recently built Big River steel mill in Arkansas on the Mississippi River. “People have come up with these kind of programs many, many times before,” Bradford said. “If you look a little further, you typically find a Nigerian scammer in there somewhere.” In a brief phone interview last week, New Steel International CEO John Schultes confirmed his company is pursuing a multibillion-dollar steel mill in Durand with the help of unnamed business partners. “It’s a little too early to really go public with things,” Schultes told Crain’s. “There are a lot of companies trying to make this happen. I think it certainly will change a lot of things here.” The Durand project’s consultants include representatives from the financial advising giant Plante Moran, Tim Nichols of Labor-Management Fund Advisors LLC in Novi and the global engineering firm Black & Veatch Corp. Dingus, who has been working with Schultes for a decade on the Ohio project, said Black & Veatch is involved in the engineering design of both the Haverhill, Ohio and Durand projects. Lee Sellenraad, associate vice president and global project director for Black & Veatch, declined to comment, citing a non-disclosure agreement. Nichols, who previously confirmed his involvement in the project, did not return a message seeking comment. Schultes confirmed New Steel International has applied for a loan through the U.S. Department of Energy’s Ad-

MCLAREN FROM PAGE 3

Detroit Medical Center, owned by for-profit Tenet Health Care Corp. of Dallas owns six hospitals but does not publicly report revenue. Medicare cost reports show DMC generates about $2.1 billion in annual revenue.

McLaren's recipe McLaren has been one of the nation’s most respected regional health care systems, known for its lean management approach, said Joe Spallina, a consultant with Arvina Group LLC in Ann Arbor. “Nothing I have heard gives me pause about their ability to maintain efficient and effective operations,” Spallina said. “They are making strategic moves. You have to pick up mass and manage it effectively to grow.” Spallina said other regional health systems like Hackensack Meridian Health in New Jersey, Hartford (Conn.) HealthCare and Northwell Health in Long Island have made similar moves and are growing by closely managing costs and anticipating changes as the health market moves more to retail and primary care. “(McLaren is) covering their bases in rural areas, which is still tough economically to do,” he said. During the four-year period from 2014 to 2017, McLaren increased total revenue by 38 percent to nearly $4 billion from $2.9 billion. Some 40 percent of the system’s revenue comes from insurance operations and 60 percent from hospital and physician business. Operating income also increased 151 percent to $171 million in 2017 from $68 million in 2014. During those four years, McLaren has generated total income that included investment income of $760 million, including $301 million in fiscal 2017 that ended Sept. 30. “We have been pretty selective and

On Dec. 5, Caro Community Hospital joined McLaren, making it the system’s 13th hospital.

CCH

HURON MEDICAL CENTER

On Nov. 30, McLaren and Huron Medical Center in Bad Axe agreed to negotiate a letter of intent.

said no to a couple hospitals because they didn’t fit our plan,” said Incarnati, adding that a good management track record and good financial performance “does make a difference when hospitals or other entities start a beauty contest.” Incarnati also added that health systems with good financial statements are “not acquired by someone else, because you are doing well.” McLaren, however, has been the subject of far more industry talk about it acquiring hospitals than rumors about the possibility that McLaren might sell itself to another company, which is a fact of life in today’s volatile health care marketplace. Here are the deals so far announced this year: J On Nov. 2, McLaren announced it would acquire MDwise Inc., a 360,000

Medicaid health plan based in Indianapolis. The sale price has not been announced and will be based on numbers of members at closing, expected by Dec. 31. Last week, Indiana’s state insurance commissioner approved the deal. Final antitrust regulatory approval is expected shortly. MDwise is a nonprofit HMO now jointly owned by Indiana University Health System and Health and Hospital Corp. of Marion County. J On Nov. 30, McLaren and Huron Medical Center in Bad Axe agreed to negotiate a letter of intent. Huron is a 58-bed rural hospital in Michigan’s Thumb region. The deal is expected to close early next year. Last year, Huron lost $1.4 million on total patient revenue of $70.9 million. Over the past five years, the hospital

vanced Technology Vehicles Manufacturing Loan Program, but declined to divulge the amount or details of the application. A Department of Energy spokesperson declined to comment on the application. In a recent meeting in Washington, D.C., Schultes and other company representatives portrayed the Durand project as a state-of-the-art steel plant that would use clean coal-burning technology to melt iron pellets and capture a portion of the energy emitted in the steel-making process for a renewable energy source, according to a source. In documents the city of Durand distributed to residents concealing the identity of New Steel International, the company has portrayed the project as having a renewable energy component, claiming it will be “the greenest facility of its kind anywhere in the world.” Bill Foster, a Durand veterinarian who lives a half-mile from the proposed “Project Tim” footprint, said the developers' use of Power Point-like presentations with vague claims of technological superiority and job-promising catch phrases suggests “they sketched this out on the back of a napkin at the bar and threw it at us.” “They think we’re rubes who live out in the country,” Foster said. “They think if we put, ‘Make America Great Again’ on it that we’re all going to fall for it. We’re not stupid.” The source briefed on the company’s plans said Schultes has told mem-

bers of Michigan and Ohio’s congressional delegations that the project has “investor interest” from General Motors Co., Tesla Inc. and DTE Energy Co. A GM spokesman declined to comment. Representatives from Tesla and DTE did not return messages seeking comment. Dingus, the southern Ohio economic development planner, said the linchpin to building the two steel mills on the Ohio River and in Durand is to get GM and other automakers on board for future steel supplies. “You’ve got to have redundant suppliers or they’re not going to buy it,” Dingus said. “I think these two plants are joined at the hip. ... We’re major cheerleaders for the Durand plant.” Given the auto industry’s march toward self-driving vehicles and a shared-user ownership model, Bradford said, there’s likely to be fewer cars and trucks produced, reducing the need for more steel. “The automobile is a declining market, either way you look at it,” Bradford said. “That’s not going to help steel.” Schultes declined to discuss investors and potential customers of the plant’s steel or the renewable energy component when asked specifically whether GM, Tesla Inc. and DTE Energy Co. were involved in the project. “Whoever is telling you all of this is certainly well informed, but I’m not going to confirm or deny it,” Schultes told a Crain’s reporter.

has lost $13.9 million on operations, according to American Hospital Directory. Incarnati said Huron’s financial challenges are no different in many ways than other hospitals. “Only one we acquired wasn’t losing money. We are not deterred. We will turn it around in the first year,” he said. “The big one is physician recruitment. We can recruit doctors to rural areas.” J On Dec. 4, McLaren announced it would replace two again Lansing hospitals with a 240-bed, $450 million state-of-the-art replacement facility and work more closely with Michigan State University, which has two medical schools. It is expected to open in late 2021. J On Dec. 5, Caro Community Hospital joined McLaren, making it the system’s 13th hospital. Caro Community is a 24-bed critical access hospital in Tuscola County that has served the surrounding community since 1928. Caro Community’s financial history has been fairly consistent the past five years, although in 2016 it dropped to an operating loss of $97,098 on total patient revenue of $23.7 million, down from a gain of $275,033 in 2015, said AHD. Net income, however, has totaled $2.3 million over the past five years. McLaren approaches the challenge of integrating health organizations in two ways. First, Incarnati said he has a team of very talented people “as good as a group as I have ever worked with. Mark O’Halla is our COO. He makes sure our hospitals are as efficient and of high quality so I can focus on mergers and acquisitions.” Incarnati said McLaren also has developed a special integration platform. “We want to be 90 percent integrated in 90 days. We set teams together for corporate areas and set timelines to achieve it. We track it all on an Excel spreadsheet and hold to that schedule.” He said many times his staff beat those schedules.

Expansion in Detroit?

Chad Livengood: (313) 446-1654 Twitter: @ChadLivengood

In an interview with Crain’s earlier this year, Incarnati said he broached the idea with DMC and Tenet officials about buying DMC’s Children’s Hospital and Harper Hospital — both on DMC’s downtown Detroit campus — and Huron Valley Sinai Hospital in Commerce Township, though he said Tenet told him it wasn’t interested. DMC and Tenet officials in Dallas said they do not comment on potential sales, acquisitions or joint ventures. Since McLaren acquired Barbara Ann Karmanos Cancer Institute in September 2013 and settled a DMC lawsuit in January 2015 over the acquisition, McLaren and DMC executives have developed a good working relationship.

2018 and beyond Incarnati said McLaren has management capacity and financial ability to do more deals. He said some deals McLaren has turned down because they didn’t fit its strategy. But Incarnati projects further growth. Some of it depends on how the Republican tax cut plan is structured. Currently, the Senate has a provision that would gut tax-exempt bond refinancing for nonprofit organizations. Spallina said changes in tax-exempt financing will affect smaller hospitals seeking larger systems to help out. However, he said he is optimistic a deal will be cut that won’t hurt nonprofit hospitals. Incarnati said McLaren will be ready when worthy deals present themselves. “Part of the challenge is you can’t time these things,” he said. “You can’t say, ‘We are not ready.’ You either seize the moment or pass. I don’t see us passing on anything because of the transactions we are doing.” Jay Greene: (313) 446-0325 Twitter: @jaybgreene

C R A I N ’ S D E T R O I T B U S I N E S S // D E C E M B E R 1 1 , 2 0 1 7

CHALDEAN FROM PAGE 3

At the same time, the foundation plans to launch a $3.5 million expansion of its Sterling Heights community center in the spring. Demand for immigration and social services in the Chaldean community has spiked. Two years ago, 16,000 people came to the Chaldean Community Foundation for assistance. Last year, that rose to more than 26,000, and it’s on pace to hit 30,000 or more this year, Manna said. The need is emerging in spite of the fact that the flow of Chaldean refugees to the U.S. slowed about a year ago, even before the suspension of all activity this year amid President Donald Trump’s orders to block people from certain countries including Iraq from coming to the U.S. Still, a new analysis commissioned by the Chaldean Community Foundation and due out this week points to significant growth in the local Chaldean population in recent years, estimating the local population at between 155,000 and 160,000 people, living in Macomb, Oakland, Wayne and to a lesser degree, Washtenaw counties. And acculturation is a long process, Manna said. “It’s not going to take you (just) a year to learn the language, get a job, put your kids to school. ... These are long processes that they have to go through,” he said, and the need is bubbling up. Many Chaldean families are also still living in the transitional housing they first secured when coming to the U.S.. “A lot of our community are living in one-bedroom apartments that don’t suit the family ... (with) typically six or seven to a household,” Manna said. “There’s a need for long-term housing for these new Americans.”

Development in Macomb The housing and retail project will be the Chaldean Community Foundation’s first foray into devel-

DELPHI FROM PAGE 3

the moment. That’s one of the reasons we decided to split Delphi. What’s driving everything we do is regulations and emissions standards. Aptiv is a fantastic business, I know that side very well. They are focused on the challenges of driving technology evolution. Gustanski: Autonomous is getting all the wow in the press, making us seem understated, but who is getting the calls for business every day? It’s us. But does the separation and “wow” factor impact your ability to attract talent?

Gustanski: Propulsion is about hardware, but it’s also about how you put the pieces of those products together and the software that connects them. There are plenty of innovations to happen in powertrain in the future. Sure, there are engineers that love to work on automated driving, but there are also engineers passionate about powertrain. It’s a different skill set, I can tell you. But there’s engineers on both sides and we’re still able to pick

opment, something it’s had in the works for at least four years. Challenges in finding the right location had prevented the foundation from moving forward Mark Vanderpool: Project could on a project unbe catalyst. til now, he said. An earlier plan to build the housing in the Detroit neighborhood along Seven Mile Road, between Woodward Avenue and John R Road, did not work out given the closure of the Chaldean Catholic church there, the fact that much of the community had already moved to Macomb County and the blighted nature of the neighborhood. And plans for a Madison Heights project also fell through. “It’s a much easier development in Macomb County, specifically in Sterling Heights because the population is already living in and around this area,” Manna said, noting the foundation has consulted with Detroit-based Southwest Solutions and hired consultants to assist as it moves into a development role. The Detroit office of Berardi+partners Inc. is serving as the architect on the project. The project could be catalytic to other development taking place along the north Van Dyke corridor, Sterling Heights City Manager Mark Vanderpool said. The city’s redevelopment plan for the district includes more unique uses with flexible zoning, a facade improvement program, new, aesthetic standards and a pedestrian-friendly focus. Following the demolition of a couple of buildings in the area, high-tech, light industrial office space and a large banquet center are under construction, a former grocery store is being repurposed, and the city has created new open and green spaces. The Chaldean Community Foundation’s planned development would compliment what’s already there and would help to increase density in the district, Vanderpool said.

As with any redevelopment district, there are potential incentives that could be in play depending on the scope of the project, he said. “There’s a lot of work to be done, but this is a project that definitely fits very nicely in our redevelopment district.” To finance the mixed-use development, the foundation expects to take out loans for about $25 million and to cover the balance of the project’s cost with cash and incentives, Manna said. It’s operating on a $7 million budget for fiscal 2018, up from $6 million last year when it ended the year with an operating excess of about $250,000. “We’re not worried about the debt,” because of the large number of families on its waiting list for long-term housing, he said. “We think this is just scratching the surface — there’s plenty of need out there.” The long waiting list for housing and the spike in the number of people coming to the community center for assistance has banks “tripping over each other trying to get this deal financed,” Manna said. “I’ve had four different offers from financial institutions saying they want to fund our housing or expansion.” Some of the institutions need to make Community Reinvestment Act loans in Macomb County, he said. “Others see this as an opportunity to get additional visibility in the Chaldean community, as they already provide loans to several of our entrepreneurs and developers.” Fifty-eight percent of Chaldean households own a business and nearly a third of them own more than one, said local demographer and Pleasant Ridge Mayor Kurt Metzger, who worked with researchers at the University of Michigan-Dearborn’s iLabs on the Chaldean population study commissioned by the foundation. On any given day, the foundation’s community center has a lobby filled with people waiting, some as long as two hours for assistance. They come for help with immigration and acculturation programs, preparing resumes, finding jobs, getting a loan for a car and ob-

“It’s all about driving shareholder value, so when we look at our portfolio, we think of it as depth rather than breadth. There are definitely areas we can do deeper and there are acquisitions that could help us.”

sel business, our direct gasoline injection platform, electrification, software and our China business.

Liam Butterworth

the right skill sets and backgrounds. Have the goals changed now that you’re a separate public company?

Butterworth: No, not really. The different parts of Delphi’s business always operated pretty independently. I had my own vision when I got here in 2013 and that was getting the cost structure right, focusing R&D on the right phase of the portfolio. Now it’s building on that platform and investing in core technologies, like the die-

Now that your cost structure is cleaned up, is there M&A on the horizon as a buyer or seller?

Butterworth: My first priority is the successful spinoff of the company with no disruptions internally or with the customer. So there’s quite a bit of work to do in the next six to 12 months. It’s all about driving shareholder value, so when we look at our portfolio, we think of it as depth rather than breadth. There are definitely areas we can do deeper and there are acquisitions that could help us. We’ll be looking very hard at this in the coming months. You mentioned the work ahead of you. What’s your biggest fear as a standalone?

Butterworth: Part of the Delphi DNA is we’re paranoid about everything — all aspects of the business. That’s why Delphi has been so successful and will continue to be successful. But we do have 230 new program launches we need to complete in the next 12 months in Europe, North America and China.

taining health care. The center began providing social services in 2012, after launching immigration a year earlier and starting with acculturation services in 2008. Chaldean families are also bringing their developmentally disabled relatives who were shunned in their former country for services, which also allows them respite. Most of the people coming to the center are Chaldeans — Aramaic-speaking, Eastern Rite Catholics from Iraq and Syria. The remaining 15 percent or so are Muslims of Middle Eastern descent and other people in need, Manna said. Built just two years ago, the center is too small for the number of people coming each year, leaving some to wait 180 days to get into citizenship preparation classes. The $3.5 million expansion set for this spring will take the 11,500-square-foot center to 29,500 square feet. The center will expand to the west to two residential properties the foundation acquired for a total of $400,000 in July 2016 and cleared. It will provide space for increased office and meeting space, a gymnasium to provide activities for the developmentally disabled and a health center. The foundation has talked with several health systems including St. John Providence Health, Beaumont Health and Henry Ford Health System about operating the health center, Manna said. “Most of the systems are very supportive of our community and organization. ... We would request they help provide volunteer physicians to support the uninsured.” The foundation will add 10-15 people to its staff of 45 when the community center expansion is completed late next year, he said. It’s increased a $5 million campaign to fund the initial construction of the center to $8 million to cover the initial and expansion costs of the building and raise an additional $2 million to split between its mixed-use development costs and the Chaldean Loan Fund which provides low-interest usedcar loans to the community. Sherri Welch: (313) 446-1694 Twitter: @SherriWelch It’s about flawless execution of those programs and increase our capacity where we need to. I’m also hyper-focused on keeping the right talent in the business and attracting key new talent around our R&D machine. Making sure we’ve got the right software engineers, the right electronics capability and the right manufacturing support engineers at the plants to support these new launches. The changing auto industry doesn’t scare you?

Butterworth: I think it’s a fantastic period the industry is going through. This is the most dynamic change the industry has seen in many, many years. Which is why we’ve split Aptiv and Delphi. I see it as a lot of opportunity for suppliers with the right technology, right global reach and the right portfolio of products. Every customer is facing this challenge of what tech is needed today. I think, in 15 years, they will still be relying on suppliers like Delphi Technologies because of our portfolio and our ability to be agile in a global market. Dustin Walsh: (313) 446-6042 Twitter: @dustinpwalsh

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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 // D E C E M B E R 1 1 , 2 0 1 7

THE WEEK ON THE WEB

RUMBLINGS

Gilbert buys Buhl Building, Harvard Square Centre

Mackinac regular Ford accused of misconduct

DECEMBER 1-7 | For more, visit crainsdetroit.com

etroit real estate and mortgage maven Dan Gilbert has purchased three more downtown properties: The Buhl Building on Griswold Street and its parking deck, plus the Harvard Square Centre building on Broadway Street for an undisclosed price. They add to Gilbert’s ever-growing portfolio in the city’s center core, representing 441,000 square feet and 652 parking spaces. His Detroit-based Bedrock LLC’s real estate ownership, management and development company’s empire is nearly 100 properties (buildings, parking decks and surface parking lots) totaling nearly 16 million square feet in greater downtown Detroit. Bedrock also has billions of dollars in ground-up construction planned around the central business district. The purchase price and total capital expenditure expected on the three properties were not disclosed, but Bedrock co-founder and CEO Jim Ketai said “significant” investment will come to the three buildings in the near future. Ketai said upgrades to the 390,000-square-foot skyscraper’s common areas and its parking deck’s lighting and security are in store. “We’ll bring it up to Bedrock standards,” Ketai said Monday morning of the 27-story Buhl Building. “Respect the integrity of it and fix it up with new infrastructure.” He said some tenants may be moved to different areas of the building “if we need to make some contiguous space in the building,” which is 60 percent-70 percent leased. “We are getting a lot of calls on a daily basis from companies either moving to Detroit or from the suburbs to downtown,” Ketai said. The Buhl Building had been for sale since January 2016 when its former owner, Chicago-based Heico Cos., had the Chicago office of Cushman & Wakefield market it. Harvard Square Centre, which was previously owned by Detroit real estate investor Dennis Kefallinos, is 51,000 square feet and has sat vacant for years. Ketai said it hasn’t been determined whether the top floors of the 11-story building will become residential or office space, but retail space is anticipated on the first floor.

BUSINESS NEWS J Detroit pitched last Wednesday to become home to one of two Major League Soccer expansion teams. As expected, the league’s expansion committee had questions about the city’s decision to use Ford Field instead of a soccer-specific stadium. J FCA US LLC opened a $10.4 million, 500,000-square-foot Mopar Parts Distribution Center in Romulus. J Block x Block launched last month as an online art store where customers can commission their choice of Detroit artists to create work at three different price points. J A $12 million renovation to the former Milner Arms apartment building in Midtown — now called The Hamilton — is officially underway.

F NORTH AMERICAN INTERNATIONAL AUTO SHOW

This year’s AutoMobili-D at the North American International Auto Show will feature 57 startups from around the world. The startups include companies that focus on topics such as autonomy, connected car, electrification and fleet management. AutoMobili-D is a partnership with Techstars Mobility that runs Jan. 14-21 at Cobo Center.

Detroit digits A numbers-focused look at last week’s headlines:

18,470

The number of Henry Ford Health System patients whose personal health information was hacked in early October

The number of tries it took to implode the Pontiac Silverdome’s upper ring last week. A second stab last Monday was successful after a failed attempt a day earlier

$1 million

The amount the new owners of the storied Blind Pig in downtown Ann Arbor plan to invest in the venue

J Business accelerator Gener8tor launched its free early-stage coaching program gBETA in Detroit in October. J A new Italian restaurant and wine bar called D’Marcos is expected to open in late January or early February, taking over a prime Rochester spot from Rojo Mexican Bistro, which closed following a salmonella scare in the city’s downtown area. J The U.S. Department of Housing and Urban Development is setting up a center in Detroit to help empower and improve the lives of those in HUD-assisted households called the EnVision Center. J VDL Steelweld Michigan LLC received a $300,000 performance-based grant from the Michigan Economic Development Corp. to spend $1.2 million and create 43 jobs setting up a new facility in Troy. J WXYZ (Channel 7) placed morning news anchor Malcom Maddox on paid administrative leave last Wednesday following accusations of sexual harassment. J Billionaire businessman Dan Gilbert is joining the Rise of the Rest effort launched by Steve Case, the billionaire co-founder of AOL, and J.D. Vance, author of the best-selling Hillbilly Elegy, to spark more investment in the middle of the country.

OTHER NEWS J

The city of Detroit launched ePlan,

a new online construction permit service expected to take weeks or months off of the permit approval process. J The State Theatre in Ann Arbor was expected to reopen last Friday in time for its 75th birthday after an $8.5 million renovation. J Oakland County issued a request for proposals seeking bids for a public-private partnership plan to prioritize road safety by creating connected vehicle infrastructure. J Andy Levin said that he is running for Congress to succeed his father, U.S. Rep. Sander Levin, who announced that he will not seek re-election after more than three decades on Capitol Hill. J Ski and snowboarding hills and a polar plunge are among new features planned for this year’s Meridian Winter Blast Jan. 26-28. J A new grant program funded by the Quicken Loans Community Investment Fund will make Detroit’s downtown area a stage for “random” arts and culture groups from around the region this coming spring. J Joy Calloway has dropped out of consideration as CEO for the Detroit Wayne Mental Health Authority, throwing the job search for the replacement of departed Tom Watkins into a third round. J Motown stars the Four Tops are scheduled to perform Jan. 19 for the North American International Auto Show Charity Preview in Cobo Center. J “Antiques Roadshow” will film three episodes June 14 in a yet-to-bereleased “historic location” in Rochester as part of the television series’ travels across the country. The episodes will be aired in 2019. J Nearly a year after a sewer line collapse caused a massive sinkhole in Fraser, the section of 15 Mile Road reopened to traffic last week. J Embattled U.S. Rep. John Conyers, D-Detroit, resigned effective last Tuesday amid allegations of sexual harassment. Conyers made the announcement that he was “retiring” immediately on the Mildred Gaddis show on 102.7 AM.

OBITUARY J Stephen Hayman, one of the two brothers who founded Southfield-based real estate ownership and management firm Hayman Co. in the 1960s, died last Wednesday following a lengthy battle with Parkinson’s disease. He was 77.

ormer Tennessee congressman Harold Ford Jr., a regular speaker at the Detroit Regional Chamber’s Mackinac Policy Conference, has become the latest prominent male media figure to be accused of inappropriate workplace conduct involving a woman. The Huffington Post reported that the investment bank Morgan Stanley fired Ford last week from a managing director post after a woman who does not work for the bank came forward to lodge an accusation of harassment, intimidation and forcibly grabbing her during a meeting several years ago. Ford denied the accusation and said he would sue Morgan Stanley and the woman, whom he identified as a journalist. “This simply did not happen,” Ford wrote on Twitter. “I have never forcibly grabbed any woman or man in my life. ... False claims like this, though, undermine the real silence breakers.” Ford has become a fixture in recent years at the Detroit chamber’s Mackinac Policy Conference the week after

Memorial Day each year at the Grand Hotel. Ford has been a speaker or panelist in six of the last seven conferences. Ford also is regularly introduced on TV news shows as a “proHarold Ford Jr. fessor” at the University of Michigan’s Gerald R. Ford School of Public Policy — as recently as two weeks ago. Ford has a law degree from UM. But a UM Ford School spokeswoman told Crain’s that the former congressman was employed at the Ann Arbor university for only the fall 2015 and fall 2016 semesters. “He completed the terms of his employment at the conclusion of the fall 2016 semester,” said Laura Lee, director of communications and outreach at the Ford School. “He serves on our visiting committee in a volunteer capacity.”

TYLER CLIFFORD/CRAIN’S DETROIT BUSINESS

Henry the Hatter opened in Eastern Market on Friday after a four-month hiatus in Detroit.

Henry the Hatter opens in Eastern Market

he phone has rung at least a dozen times a day with different callers asking the same question: When will the new store open in Eastern Market? Others would show up to the shop in Southfield with the same inquiry. “It’s so gratifying, I can’t tell you,” Henry the Hatter owner Paul Wasserman said. After a roughly four-month hiatus in Detroit, the time has come. Henry the Hatter will open its new 2,500-squarefoot location to the public at 9:30 a.m. Friday. The storefront at 2472 Riopelle St. was previously occupied by 3 Dogs 1 Cat pet shop. In August, Henry the Hatter was pushed out of its old location at the corner of Broadway Street and Gratiot Avenue, where it sold hats for 65 years. New beginnings bring new experiences. The new store is more than dou-

ble the size of the old store. Eastern Market offers much more customer parking, which is at a premium downtown. “I think I picked a spot that’s going to explode in a good way in years,” he said. But some things stay the same. Henry the Hatter preserved and installed the same display cases in the new store, which will give it the same feel, Wasserman says. He calls the front of the store “The Grand Atrium.” The front walls are dressed with a visual history of Henry the Hatter, which has been around for more than 120 years. There are about 40 pictures, some black and white and others in color, and Wasserman says that he may put more up. A nearly century-old ad in the Detroit Free Press that shows a phone number ending in “970,” hangs on the wall, the same last three digits as the shop’s current number.

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