MN Valley Business Magazine Aug. 2018 by Free Press Media

The Definitive Business Journal for the Greater Minnesota River Valley August 2018

Ron Vetter, president and CEO of Vetter Stone. Photo by Jackson Forderer

Rock solid Vetter Stone keeps local stone industry strong

Also in this issue • KITCHENS, BATH AND MORE OF EAGLE LAKE • THOMAS TREE & LANDSCAPE, MANKATO • PLEASANT GROVE PIZZA FARM, WASECA

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F E A T U R E S August 2018 • Volume 10, Issue 11

Quarrying limestone is the oldest industry in the area. At least 16 quarries operated in the 1800s, but only Vetter Stone remains, supplying building stone around the world.

August Schell Brewing Company offered Grain Belt Blu as a State Fair exclusive in 2014. Now, offered as a seasonal canned beer, the brewer can’t keep up with demand.

Pleasant Grove Pizza Farm, which started on a 55-acre site in rural Waseca three years ago, has grown its business by serving as a venue for weddings and events.

Jim and Jane Thomas started a treecutting business from their home 32 years ago, but Thomas Tree & Landscape quickly evolved into a full-service landscaping business.

MN Valley Business • AUGUST 2018 • 3

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AUGUST 2018 • VOLUME 10, ISSUE 11 PUBLISHER Steve Jameson EXECUTIVE EDITOR Joe Spear ASSOCIATE EDITOR Tim Krohn CONTRIBUTING Tim Krohn WRITERS Kent Thiesse Harvey Mackay Amanda Dyslin

PHOTOGRAPHERS Pat Christman Jackson Forderer COVER PHOTO Jackson Forderer PAGE DESIGNER Christina Sankey ADVERTISING Joan Streit Sales Jordan Greer-Friesz Josh Zimmerman Marianne Carlson Theresa Haefner ADVERTISING Barb Wass ASSISTANT ADVERTISING Sue Hammar DESIGNERS Christina Sankey CIRCULATION Justin Niles DIRECTOR For editorial inquiries, call Tim Krohn at 507-344-6383. For advertising, call 344-6364, or e-mail advertising@mankatofreepress.com. MN Valley Business is published by The Free Press Media monthly at 418 South 2nd Street Mankato MN 56001.

■ Local Business memos/ Company news.....................................5 ■ Business Commentary.........................8 ■ Business and Industry trends..........24 ■ Retail trends.....................................25 ■ Agriculture Outlook..........................26 ■ Agribusiness trends..........................27 ■ Construction, real estate trends.....28 ■ Gas trends........................................29 ■ Stocks...............................................29 ■ Minnesota Business updates............30 ■ Job trends.........................................30 ■ Schmidt Foundation.........................32 ■ Greater Mankato Growth..................34 ■ Greater Mankato Growth Member Activities ............................36

From the editor

By Joe Spear

Local business is good business G reater Mankato is fortunate to have so many, longtime local businesses. This month’s feature on Vetter Stone is just another example of that. The quarry that offers the world-renowned Vetter Stone has been mined since the 1800s, but it was the Vetter family that bought the quarry in 1954 and some six decades later still offers local employment to about 120 people, local contributions to area causes and a local feel. Whenever I’m with friends and we’re at Target Field or downtown Minneapolis, you can always point with pride to those fantastic structures with the golden Kasota stone and be proud you live in Mankato where that beautiful stone exists. And there’s been great stewardship of a great natural resource that all of the world has been able to enjoy. Civic leaders over the years have also made sure when people visit Mankato they know about the stone, which came from different quarries in the area. The Mankato post office, the Wells Fargo Bank Building, the Old Fashioned Bank building, buildings at Minnesota State University, the First Presbyterian Church all contain the signature Mankato Kasota stone. Even downtown streetscaping reminds us of how close we all are to that stone. Business cycles what they are, all local businesses don’t always keep with local ownership. That’s to be expected. Some great businesses founded in Mankato became assets for multi-national corporations. And the families that sold them benefitted and in many ways gave back. Kato Engineering and Southern Minnesota Construction come to mind.

4 • AUGUST 2018 • MN Valley Business

I recall covering a lot of these transitional stories over the years as a business reporter for The Free Press, and while the local ownership was sometimes lost, the larger companies sometimes offered benefits and other opportunities for advancement that were difficult for local ownership to provide. The Free Press had its own transition in the late 1970s when the Howe family sold it to Ottaway Newspapers, a division of Dow Jones & Co. Ottaway provided a lot of new benefits for Free Press employees including the newfangled retirement benefit called a 401K in about 1990. As Dow Jones got out of the community newspaper business, it sold to a younger entrepreneurial company called Community Newspaper Holdings Inc. in 2002. The company grew today to own nearly 100 newspapers in 22 states. Now, The Free Press is once again up for sale as CNHI has been merged with a TV company and that company has been purchased by another TV company that doesn’t want to own newspapers. The upside of that is most newspaper companies know content for readers is going to drive the business in the future and local content for local readers is more and more the strategy. Local ownership of some companies seems to be coming full circle in some ways. As a young business reporter, I remember interviewing Bob Else, who was president of Midtex, a local company that made electronic components. It got bought by Midland Ross in the 1980s and moved North Mankato operations to Juarez Mexico, leaving 200 employees without jobs.

Else and his employees didn’t want to move to Mexico so he started his own company called E.I. Microcircuits, which started out with five employees but grew to 145 in 10 years by 1990. E.I. is still a thriving local business today run by his son Rob Else. Rob Else, and longtime Mankato resident and business partner Tony Frentz, have teamed up to redevelop downtown buildings in Mankato and are now taking on one of their biggest projects in the $19 million, seven story Eide Bailly Center to be located in the heart of downtown at Main and Second Streets. The pair have clearly been thinking “globally” but investing locally. And that local commitment brought forth a lot of community support when there were questions raised about the city government contributions to part of the parking for the building. Longtime Mankato businessman and owner of Dotson Iron Castings Denny Dotson wrote a letter to the city highlighting the local efforts the partners were making. Dotson’s insight was intriguing and suggests a bright future with young entrepreneurs at the helm. In a letter to the Mankato City Council, he wrote: “The current generation of Mankato entrepreneurs, represented well by Rob Else and Tony Frentz, are different than my generation and the past generations. This group of investors are taking profits from their businesses and investing aggressively in new Mankato projects that benefit all of us. They could just as easily, and perhaps more profitably, invest in deals far away from Mankato. Simple reason: they are committed to the continued growth and success of our community and willing to risk their personal capital to make it happen.” Local business is good business.

Local Business People/ Company News

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Wright joins Landmark

Britan Wright has joined CENTURY 21 Landmark Realtors its Mankato office. Wright is the o f f i c e administrative assistant, assisting in the Britan Wright commercial and residential divisions. ■■■

Winchester joins Weichert

Weichert, Realtors Community Group announced that Dominique Winchester has joined their Mankato office. Weichert Community Group, 300 St. Andrews Drive, is an independently owned and operated affiliate of Weichert Real

Estate Affiliates ■■■

CCF buys United Bank

United Bank is merging into Citizens Community Federal Bank, creating a combined bank with with $1.2 billion in assets and 28 branch locations from northwest Wisconsin to southern Minnesota, the eastern edge of the Twin Cities, and Rochester Hills, Michigan. CCF has a branch at 180 St. Andrews Dr. in Mankato. ■■■

Top Workplaces named

Several area businesses have been named to the Top 150 Workplaces in Minnesota by the Star Tribune. Area Top Workplaces include: Scholarship America, with offices

Joe Spear is executive editor of Minnesota Valley Business. Contact him at jspear@mankatofreepress.com or 344-6382. Follow on Twitter @jfspear.

MN Valley Business • AUGUST 2018 • 5

in St. Peter and Bloomington; North Mankato–based Pioneer Bank; Mankato-based Bolton & Menk, Inc.; Sartell-based Bank Vista, which has a branch in Mankato. The analysis included responses from over 71,000 employees at Minnesota public, private and nonprofit organizations. The rankings in the Top 150 Workplaces are based on survey information collected by Energage, an independent company specializing in employee engagement and retention. To qualify, a company must have more than 50 employees in Minnesota.

Krause elected vice chair

T h e Minnesota B a n k e r s Association recently elected David Krause, CEO of Pioneer Bank, as the 2018-19 vice chair/treasurer. Krause formerly David Krause served a fouryear term on the MBA board of directors representing District 2. The Minnesota Bankers Association is the state’s largest trade association devoted exclusively to the representation of commercial banks.

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ISG on Top 100 list

For the seventh year in a row, ISG landed on the Zweig Group Top 100 Hot Firm list, this year coming in at #14. This year also marks ISG’s back-to-back TriFecta Award recognition, with the firm, again, taking home accolades in multiple Marketing Excellence categories and earning a top spot on the Best Places to Work For list. The Zweig Group polls firms ranging from 14 employees to more than 15,000 across the U.S., comparing each organization’s dollar and percentage revenue growth rate over a three-year period, workplace culture, and marketing strategies within each category submitted.

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Vetter partners with Volk

Vetter Stone Company announced a partnership with Volk Transfer with a new addition to their fleet—a Vetter Stone branded Conestoga trailer—that will be used to transport Vetter Stone product within a 250-mile radius.

For more than a century, stone has been quarried, cut and shipped to destinations around the world from Minnesota quarries in the Kasota-Mankato stone district and from Vetter’s Alabama quarries. ■■■

Oak Terrace honored

Oak Ter race Senior Communities received three 2018 Bronze – Commitment to Quality Awards. The Bronze award is the first of three progressive award levels through the National Quality Award Program, presented by the American Health Care Association and National Center for Assisted Living. The award program honors association members across the country that have demonstrated their dedication to improving quality of care for seniors and persons with disabilities.

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Knutson + Casey honored

Knutson + Casey was named the winner of the Gold Stevie Award for Law Firm of the Year (small firms) in the annual American Business Awards. The Stevie Awards recognize outstanding performance in the workplace and community, throughout the U.S. More than 3,700 nominations from organizations of all sizes, in virtually every industry were submitted for consideration. ■■■

6 • AUGUST 2018 • MN Valley Business

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■

Business Commentary

By Harvey Mackay

Advance your career in every meeting I

wish I had a dollar for every time I’ve called someone and the response I received is that they are in a meeting. I often wonder if they are in a meeting to see if they should have a meeting. According to the MeetingKing website, in the United States alone we “enjoy” 11 million formal business meetings each day and we waste $37 billion in unnecessary meetings every year. The site also offered up these statistics: n 37 percent of employee time is spent in meetings, n managers attend more than 60 meetings per month, n 39 percent of meeting participants admitted to dozing off during a meeting, n over 70 percent brought other work to meetings, n an estimated 25-50 percent of meeting time is wasted. The researchers found that the more meetings employees attended, the more exhausted they felt and the higher they perceived their workload to be. Meetings are a fact of life for every employee. Instead of just enduring them, learn to use meetings to your advantage. Meetings can actually be very productive if you manage them effectively. I suspect the main reason that people dread meetings is that they are not well-planned with specific goals anticipated. With that in mind, whoever calls the meeting must first decide what needs to be accomplished. The Monday morning sales meeting? The Friday weekly wrap-up? Even if those are typically on the

schedule, it’s still necessary to define the purpose of the meeting in one or two sentences. That way people know why they’re present, what needs to be done and how to know if the meeting is successful.

Mackay’s Moral: Don’t waste your time in meetings – make it matter! Here is what I do: Set an agenda. List the issues to discuss, review or decide. Your agenda should include firm starting and ending times, as well as estimates of time for each item under discussion. Time limits encourage people to be better prepared to discuss the subject at hand. They also demonstrate a respect for attendees’ other commitments.

their own meetings. Keep and send minutes. Someone other than the meeting organizer should take notes on the meeting. These minutes should record who attended, what was discussed, any agreements that were reached and all time and action items that were assigned – and who is responsible for them. That insures that those who attended all have the same information. Minutes can be as simple as bullet points, assignments and timelines. Distribute minutes within 24 hours. Those are the meeting planner’s duties. Those who attend have some responsibilities too. Instead of whining about yet another meeting biting into your day, approach it with an attitude that this is an opportunity to shine. Be prepared. Study the agenda or talk to the meeting leader to find out what will be covered. Spend time getting up to speed so you can anticipate where the discussion will lead, and get some ideas of your own ready to present.

Start on time. Don’t wait for latecomers. If someone is late, don’t go back and review what has been covered. Show that you value the time of the people who showed up promptly. In the same vein, end the meeting as soon as you have achieved what you set out to do.

Keep things simple. Don’t try to impress people with your vocabulary, or bore people to tears with long-winded sentences. Make your points quickly and succinctly, backing them up with evidence as necessary. Everyone will appreciate your efforts to keep the meeting moving forward.

Appoint a “referee.” The referee’s job is to keep the discussion on track and interrupt whenever the talk strays. New topics that arise should either be tabled until later or scheduled for

Ask questions. Look for opportunities to ask pertinent questions that demonstrate your expertise: “Have you considered this approach?” Don’t overdo it,

8 • AUGUST 2018 • MN Valley Business

though. You don’t want to be seen as a pest who has to talk to be noticed. Collaborate. Don’t obsess about your own ideas. Listen to what other people have to say and build on their thoughts. Acknowledge that you’re leapfrogging off someone else’s contribution so no one thinks you’re trying to hog the spotlight or steal the credit. If the meeting time doesn’t allow for serious brainstorming, ask if another session might be scheduled. Volunteer. Be willing to implement the ideas and solutions that come out of the meeting, even if they’re not your own. ou’ll get a reputation as someone people can depend on to get things done.

Harvey Mackay is a Minnesota businessman, author and syndicated columnist. He has authored seven New York Times bestselling books

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Ron Vetter, CEO and President of Vetter Stone, in front of the company’s offices in rural Mankato. Vetter Stone currently has roughly 120 employees.

Vetter Stone continues family tradition Local Kasota stone prized worldwide

By Tim Krohn | Photos by Jackson Forderer

he oldest of building materials is still one of the trendiest, most sought-after design elements by architects and designers around the world. Much of that stone comes from just north of Mankato in the Vetter Stone quarries, where Kasota stone has been quarried since the time the region was settled. It provides a limestone rich in dolomite and magnesium, giving it a warm color and making it resistant to weathering. At Vetter’s Alabama Stone quarries, oolitic limestone - known for its light grey to white background color and its silver shadow veining – is also shipped worldwide. The stone has been used so long and is so admired that many of Vetter’s clients seek them out. “There’s a nice history of repeat businesses from architects,” said Ron Vetter, president and CEO. “They design it right into their specifications.” The list of projects done by Vetter is a Who’s Who of business giants, government entities and the rich and

famous. Among them are Target Field, the Smithsonian’s National Museum of the American Indian, the U.S. embassy in Moscow, FBI headquarters in Minneapolis, New York City Hall, Harvard’s Tata Hall, WCCO’s of fice in Minneapolis, many private residences and countless large stone signs for governments and businesses. He said residential work makes up about 30 percent of their business, commercial 50 percent and government jobs 20 percent. “One of the more interesting (projects) we’re doing now is a skyrise building in New York – 220 Central Park South.” The 66 story building, with a 20-story building next to it, is being built on the edge of Central Park and offers some of the most expensive housing in the world. Duplex condos are being sold for $80 million and a four-unit complex is listing at $250 million.

Cover Story

10 • AUGUST 2018 • MN Valley Business

Tom West (left) and Joe Vetter work on setting up a wire saw at the Vetter Stone quarry. “That’s been kind of a game changer for us, being right on Central Park. Our material has been used there but not to that extent and not recently,” Vetter said. The building is being clad in Alabama Stone. “Alabama Stone has that light gray color that is super-hot now. You can make it look really contemporary or make it look like it’s been there forever, depending on what kind of glass and steel you put with it. It’s been ver y popular for high-end residential for several years.” Vetter admits it’s hard to pick his favorite projects. “The Smithsonian building was fun, I worked on that for years. Target Field is a favorite because it’s a Minnesota project and the Pohlad family was really down-toearth and fun to work with.” But, he said, the big residential projects bring a special kinship with the owners. “It’s really personal for them. There was this Italian guy, a big, tough industrialist from Canada who came down here and when he left he cried because of what

he found here. It’s very emotional for them. He’d traveled all over the world to find just the right texture and color (of stone) and he found it here,” Vetter said.

Architects’ favorite

Bryan Paulsen, senior architect at ISG in Mankato, has worked with Kasota stone and the Vetter family since 1982. “What we really like about the product is it’s always dimensionally stable. It has durability, it doesn’t expand and contract like some other building materials.” He said Vetter’s have a good reputation in the trade. “You know when you specify a product from Vetter that with their due diligence from their own fabrication shop they’re always spot on. So it makes our life easier and it makes the mason’s life easier when they’re installing it,” Paulsen said. “The coloration is definitely unique to our region and that’s why it’s been specified around the world.” He said the company is also willing to work closely with design teams to find solutions that meet

aesthetic goals and also meets project budgets. “As our construction industry evolves they’ve been able to evolve with it. They’ve introduced technology in their fabrication to do unique shapes and cuts and to remain competitive. They’ve created a thin-stone product, which is nice for some applications. It’s lighter weight but can appear like a full-bed material.”

Generational change

Paul J. Vetter, Sr., along with his four sons, founded Vetter Stone in 1954. In recent decades it was one of those sons – Howard, Ron’s dad – who was the face of Vetter Stone. Howard died in April of this year at the age of 85. “It was a big transition. He was 64 years in his seat – a long legacy. He left a big mark in the community and the stone industry,” Ron said. He said his dad had a deep love of the industry and a strong work ethic. “The week he died, he worked on Monday and he died on Thursday,” Ron said. “He was

MN Valley Business • AUGUST 2018 • 11

Giving back a family tradition Besides carrying on the family business, Vetter Stone President and CEO Ron Vetter is continuing the family’s commitment to the community, something instilled by his dad and mom, Joyce, who died about 10 years ago. “From the time we were little it was pretty clear. If you thought something needed to be done you did it,” he said. “My dad said if you’re going to complain about something do something about it, or don’t complain.” Vetter is currently serving his second term as chair of the Greater Mankato Growth board. “What I like is they’re so community focused and a huge amount of what we do is focused on livability and making the greater Mankato area an attractive place for people to live.” He said area governments and groups work together well to accomplish that goal. “There’s such a nice combination of cities and counties and groups involved. I don’t see a lot of pushing and shoving. There’s just a nice collaboration to get the community to be vibrant.” Vetter has also served as an outside director of Pioneer Bank for the past 10 years. And he’s on the Schola Foundation, which supports Loyola Catholic School.

A profile view of a stone bench cut out of a larger block at Vetter Stone in rural Mankato.

doing valuable work up to the end. “The idea of retirement didn’t sit well with him. I don’t think I ever heard the word used by him. He set the bar pretty high for me.” While Howard was closely involved in the business, Ron has been president and CEO since 2000. Vetter recently named Ben Kaus as the company’s chief operating officer in charge of daily operations. “It’s nice to have a family business but this brings someone from the outside and someone who has an education that makes sense with this business. He can challenge us and have us think a little different way. That’s valuable

as a family business. The timing was right for it.” Vetter said employment at the company has remained steady at about 120 for the past 10 to 15 years, even as the company has been adding automation. He said the automation allows them to keep the workforce stable rather than adding employees to work on a specific project and then reducing staff when it’s done. “It’s always a challenge to find really good employees where you keep the quality high. In the next years we’re looking at automating as much as possible but keeping the workforce stable.” The plant inside and quarry outside are quieter places today

A new five axis work station cuts a lion head out of stone for a residential customer

New York City Hall used Alabama Stone, which is a division of Vetter Stone in Mankato.

12 • AUGUST 2018 • MN Valley Business

because of automation and new technologies, including thin diamond blades. “We just bought 5-axis work centers for both plants. They can run overnight or all weekend without anyone tending the machines.” The machines are easily converted to use different blades or diamond bit tools to do ever ything from cutting to lettering or carving designs. But some jobs, like slabbing pieces off a large stone, still require the big, traditional saw blades.

Plenty of stone

While limestone has been quarried here for more than 150 years, there’s a lot more left. “There are 300 years of reserves here and 1,000 years in Alabama,” Vetter said. They have 700 acres of land locally and 860 acres in Alabama. He said they can go down about 45 feet deep before moving to a new area in a quarry. “At 45 feet it turns into limestone where the color isn’t as good and then it turns into sand further down.” MV

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Stone quarries started with the founding of Mankato

ankato’s oldest industry, the quarrying and fabrication of dolomitic limestone, was born in 1853, only a year after the town was

founded. George Maxfield opened the first quarry at Mankato. His son-in-law John Beatty was a geologist who recognized the value of the limestone deposits and became a quarryman himself. He also developed processes to make lime by burning stone in large kilns. The biggest need for limestone was the railroads, which bought stone blocks for bridges as they pushed west. But by the early 1900s railroads were using concrete and by 1915 most of the city’s 16 quarries had shut down. The region is also dotted with public buildings made of limestone, including the Mankato post office and the Blue Earth County Court House. And public and private buildings as well as private residences were and continue to be built with the local stone. Important names in the stone early industry were Coughlan, Widell, Jefferson, Babcock and Wilcox, Breen, Bashaw, Fowler and Pay, and Vetter. The stone covering the interior walls of the Minnesota Capitol was limestone from the Babcock Willcox Quarry in Kasota. The quarry had developed a polishing process that gave the stone the look that architect Cass Gilbert admired. The quarry had its start in the mid-1800s with the

Stone Quarrying was one of the first industries in the region, centered in Lime Township located to the north of Mankato. Blue Earth County Historical Society photo founding of the village of Kasota by J.W. Babcock, who was the first to begin quarrying Kasota limestone in and around the town. In the early 1980s, the Babcock Company went bankrupt. The Vetter Stone Company subsequently bought the Babcock quarries, further expanding the business, which still operates just outside the Mankato city limits. The 125-year-old Mankato Kasota Stone, which was founded by Irish mason T.R. Coughlan, had operated in Mankato up until 2013. Robert Coughlan, the fourth generation to run the quarry, said at the time of its closing that the recession and a lower demand for their product led to the decision to close. “We kept it (open) probably longer than we should have just for sentimental reasons,” he said at the time. Today, the only limestone company that still exists is Vetter Stone Company.

Community Bank has a long history of serving the communities that we call home and we are committed to being your very best neighbor. Through the spirit of cooperation, a community becomes a home. We’re pleased to call Greater Mankato home.

Locally and family owned since 1974

Join the Family! Mankato | Vernon Center | Amboy www.cbfg.net 14 • AUGUST 2018 • MN Valley Business

THE BIGGEST CARE FOR THE SMALLEST PATIENTS.

Whether it’s a routine exam or a diagnosis of an illness, Mayo Clinic Health System’s new children’s clinic in Mankato provides exceptional pediatric and adolescent medicine care for your family. Now open at a brand new spacious location, our team of experts is available to provide the care each child needs to stay healthy and happy. Mayo Clinic Health System in Mankato Call 507-479-2078 to schedule an appointment. mayoclinichealthsystem.org

MN Valley Business • AUGUST 2018 • 15

The Wine Café in Mankato is one of many retailers that stocked up as much as possible on Grain Belt Blu cans this summer. In late June, employee Angie Barnes put one of the last remaining cases in the cooler.

Blu hurricane Grain Belt Blu shipments a hot commodity By Amanda Dyslin Photos by Amanda Dyslin

n May 16th the shipment was in and ready to sell: 42 cases of Grain Belt Blu. The problem was that Greg Dembouski, owner of MGM Wine & Spirits, had asked for five pallets. “There’s 98 cases on a pallet,” Dembouski said. “I wanted 490 cases.” Here’s why so many: Those 42 cases sold out in four hours. The store didn’t put a limit on how many patrons could buy, and people were coming in and getting a lot of cases at once. Although, even with the one-case limit imposed afterward, Dembouski couldn’t keep the stuff on the shelves, even for a day. The next shipment only had 25 cases, and those sold in a little over an hour. At the end of June, it had been a couple of weeks since

MGM had received any Blu from its distributor. And in the meantime, every single day, people asked for it. “Ever y day we get phone calls, Facebook posts. Every day we get people asking about it,” Dembouski said. “We give the same answer: We don’t know.” Leigh Wendinger, marketing manager at August Schell Brewing Company, said they hadn’t seen this response coming when Blu was introduced as a State Fair exclusive in 2014. “We’ve been jokingly calling it Hurricane Blu,” she said. “We didn’t anticipate that it would blow up quite like this. … It’s been such an over whelming and awesome response.”

Cover Spotlight

16 • AUGUST 2018 • MN Valley Business

This is the first year August Schell Brewing has canned Grain Belt Blu, and the demand has been high all summer. Here’s how Schell’s described the limited brew upon its release: “Grain Belt Blu, a summery spin on the iconic ‘Friendly Beer,’ combines Grain Belt Premium with a generous load of real blueberries. It would be a mistake, however, to associate the beer with a sweet, syrupy blueberry pie dessert. On the contrary, Grain Belt Blu is light, balanced and refreshing—a delightfully subtle twist on the classic American lager.” However described, people love the stuff. “Yeah, I just went to three different places to see if they had any,” Jason Schultz of Mankato said with a laugh. “It’s really great stuff. I had it at the State Fair, and I heard this spring they were canning it, and I thought it would be easier to find. It’s not.” Wendinger said after the first year at the fair, Schell’s received a lot of feedback right away suggesting bottling or canning Blu. But they initially wanted the beer to remain exclusive to the State Fair, to offer something different and special for the big Minnesota get-together. The large demand, however, resulted in Schell’s selling it seasonally in kegs to bars and restaurants. They never lasted long.

“We could never keep up with the demand,” Wendinger said. “People were chasing it constantly, asking for lists of where they could find it.” The demand increased for bottling or canning the beer, and Wendinger said at planning meetings they decided the time was right this year. When Schell’s announced Blu would be canned on its Facebook page, the post had about 1,000 comments. “Our entire page went absolutely crazy,” she said. Blu is sold in Minnesota, Iowa, Wisconsin, North Dakota and South Dakota. The seasonal brew has an annual window of availability from April to September, and that’s if stores don’t run out. Wendinger said the scarcity of Blu is not a marketing strategy to keep demand and buzz high. Schell’s simply cannot keep up with the demand. “We’re pumping out Blu as fast as we can. … If we could brew beer in a day, we would do it,” she said. “We have a lot of other beers in our portfolio to make.” The buzz never seems to die down. Wendinger said she hears stories all the time about people buying 10 cases at a time to stock up, and others hearing about incoming shipments and waiting

in liquor store parking lots for hours to ensure they’ll be at the front of the line. Due to the sheer demand, some distributors and stores are enforcing rules, Wendinger said. Some distributors are protecting smaller liquor stores by rationing out how many cases each store receives. Stores are doing the same with customers to ensure a larger number of patrons get a chance to buy Blu. Some stores are breaking up cases into single cans or six-packs. None of those rules or sales methods are being handed down by Schell’s, she said. “It’s up to them how they do that kind of stuff,” she said. Dembouski said it’s frustrating to see smaller markets like New Ulm flush with Blu while Mankato’s market runs so dry. “Mankato hasn’t been able to get hardly anything,” he said. “It’s out of our hands. It’s frustrating.” It’s also not unfamiliar. Dembouski said the same thing happened with Grain Belt Nordeast when it was released. “Nordeast was the same way,” he said. “You couldn’t get it.” But when stores become flush with a product, Dembouski says a funny thing starts to happen: People stop caring as much. “When things are really hard to get, people want it more,” he said.

MN Valley Business • AUGUST 2018 • 17

Midwest Farewell takes the stage at Pleasant Grove Pizza Farm. Below: Jack Wussow helps a goat at Pleasant Grove Pizza Farm find a snack.

Pizza Farm Farm grows into wedding, event business By Amanda Dyslin Photos by Amanda Dyslin

he expansive photos serving as the her wedding with fiancé Colin Scharf at the background to each page on Pleasant pizza farm in August. “We fell in love with Grove Pizza it the first time we saw Farm’s website say it our friend Ian Hilmer all: Nature is a main play there, and we player in the experience. wanted to share it with Trees surrounding a everyone we love and PLEASANT GROVE huge lawn, a watercolor care about.” sky cascading into the Emily Knudsen, who PIZZA FARM distance, walking trails runs the business with Open 4-8 p.m. Thursdays, through fields of tall Bill Bartz, went to 1-7 p.m. Sundays grass – it’s a 55-acre school for event through September. piece of heaven in rural planning and has Open Sundays only in October. worked weddings for Waseca. pleasantgrovepizzafarm.com This is what makes a more than a decade. So wedding perfect to some it was only natural that brides. Not fancy hotels the couple would include or event centers. Just a big barn, friends special events, such as weddings, groom’s and family, and beautiful, rural Minnesota dinners, corporate meetings, workshops, scenery. birthday parties and employee picnics, “It’s one of our favorite places in the among other things, in their venture when state,” said Laura Schultz, who is having starting Pleasant Grove Pizza Farm in

18 • AUGUST 2018 • MN Valley Business

Feature

Left: Pleasant Grove Pizza Farm co-owner Bill Bartz stands by the farm’s signature brick pizza oven. Right: Pleasant Grove Pizza Farm co-owners Emily Knudson (right) and Bill Bartz (middle) entertain visitors. 2015. The event side of the business has really taken off. People who want a casual, informal atmosphere love the vibe of the place, Knudsen said. The barn fits up to 130 people, and unlike the regularly scheduled pizza farm days, for special events they provide tables and chairs. Renting the farm also guarantees use of the sound system and kitchen, the fire ring and yard games. For a smaller event, such as a birthday party, the venue rental fee is $250. The pizzas are an additional cost. If a couple rents the farm for a wedding Friday through Sunday morning to host a groom’s dinner, the ceremony and reception, the cost is $2,500. Again, the pizzas are a separate cost. “The pizzas are on a buffet line,” Knudsen said. “It’s very informal, very casual.” Bartz bought the property in 2007 and built a house and barn. He met Knudsen, who grew up in Red Wing, in 2013. Knudsen told him about a pizza farm she had gone to in Stockholm, Wis. “He said, ‘What’s a pizza farm?’ I said, ‘Why don’t I take you to one?’” Knudsen said. The couple visited Stockholm, and just a few minutes into the visit, Bartz realized that they could incorporate such a vision into their land because the concept was so simple. People are invited onto the farm and asked to bring their own snacks, beverages (including

alcohol if over 21), plates, napkins, chairs, blankets and anything else they might want to make themselves comfortable. Bartz and Knudsen just make and sell pizza. “When you go, you take it all with you. Pack in and pack out,” Knudsen said. In 2015, with the help of family and friends, they started landscaping and building a certified kitchen in the barn. The initial building and remodeling investment was minimal. By the middle of August that year, they invited the public to try them out and see what worked and what didn’t, and to see if the community would embrace the business. “Of course you’re ner vous because what if it doesn’t work? But more so we were confidant it would,” Knudsen said.

Making upgrades

Amber Power of Mankato is one visitor who definitely thinks the business works. “Loved it! Great and unique pizza,” she said. “(The) kids enjoyed the animals and the space to run. It would be a fun place for a casual party or reception.” As the farm’s popularity has rapidly grown (this is their third full season open), they have made upgrades, including to the kitchen. “Every season we slowly kind of add and progress the landscaping and progress the kitchen,” she said. “Last year we added a six-burner range and a

hood.” This season they are adding a second oven to keep up with the demand for pizzas, made with homemade crusts and sauce, which include: Pig + Pork: Red sauce, spicy sausage, pepperoni, green olives, shredded mozzarella ($25). Lola: Basil-infused olive oil, tomato, basil, kalamata olives, garlic salt, fresh and shredded mozzarella ($24). Neapolitan: Red sauce, basil, fresh mozzarella ($20). The Buster: Basil-infused olive oil, spicy sausage, caramelized onions, portabella mushrooms, basil, garlic salt, fresh and shredded mozzarella ($25). Pizza Fries: Garlic-infused olive oil, fresh and shredded mozzarella, garlic salt and a side of homemade red sauce ($20). One pizza that’s not on the website is the Sweet Georgia Pie, named after their goat. The ingredients are: garlic-infused olive oil, goat cheese, prosciutto, fresh ar ugula, shredded mozzarella and honey produced on the farm. They also make a weekly feature pizza. The pizza (available gluten free) and the ambiance have contributed to rapid growth in pizza farm business and special event rentals. “I have been really happy with the growth,” Knudsen said. “Overall, in the grand scheme of things, I feel like we’re right on pace, especially as a unique dining place/restaurant.” MV

MN Valley Business • AUGUST 2018 • 19

Jim Thomas has operated the family owned Thomas Tree & Landscape for more than 30 years.

Taking it outside

Thomas Tree & Landscape builds backyard paradises By Amanda Dyslin | Photos by Pat Christman

im Thomas opens the door to the office to step one of the greeters. outside onto paver stones along a water feature. On this particular Tuesday morning, the Thomases’ He pauses to see if his pal wants a bit of sunshine. pet squirrel – yup, squirrel – was in its cage bouncing “Are you coming, too?” he asks around. But when there aren’t Maui Jim, a fuzzy 10-week-old customers afoot, the squirrel gets golden retriever pup in that stage of the run of the place. There are also life where he explores the world two other dogs who also make up predominately with his teeth and part of the Thomas clan. THOMAS TREE tiny tongue. The animals are a sign of what & LANDSCAPE Maui Jim, named for the Thomas Tree & Landscape prides 19922 Minnesota Hwy. 22, sunglasses brand, is the greeter at itself on: being a family owned and 507-625-4960 Thomas Tree & Landscape off of business since 1986. In thomastreeandlandscape.com operated Highway 22 in Mankato. Well, he’s that 30-plus years, they’ve seen the

Profile

20 • AUGUST 2018 • MN Valley Business

industry change quite a bit. “In the last 10 years, people have been spending way more time in their backyards, and they spend way more time at home. Therefore, they do bigger projects,” Thomas said. “As a result, they have really nice, usable, functional backyards.”

Starting small

A paver walkway spills into a large curvy patio area, lined with bright red flowering plants. A tall, stone water feature spills over into a small rock-lined pool to one side of the outdoor dining area. Plants and shrubs of varying sizes add character and depth to the area, almost like art pieces. This design featured in the Thomases’ online portfolio is so nuanced, it’s hard to believe they learned such elaborate skills mostly through trial and error when the business got started. “We started 32 years ago as strictly a tree service,” he said. “We did tree trimming and removals.” Thomas, working from his and his wife Jane’s home at the time, had never done tree services before. However, in high school he sold firewood and realized a lot of money could be made that way. “But we could make more money removing trees for people,” he said. About 25 years ago, the Thomases began expanding into landscaping. “Jane and I just kind of figured it out as we went,” Thomas said. “I’m not a plumber. I’m not a carpenter. I don’t know how to do any of that stuff. But the landscaping, we got that figured out.” The Thomases have kept up with trends in the industry as they’ve come and gone. Water features at one time were on many people’s must-have lists. But now people are over the maintenance, especially with full-scale ponds that require a great deal of cleaning. “People are busier now than they used to be. They don’t want to take the time to maintain them,” Thomas said. “The ponds we have installed, we maintain a lot of them for people.” These days, the boulder water features are more popular. They are essentially large, sculptural rocks with a pump that sends water cascading in different ways down the rock. The average cost ranges from $2,000 to $5,000.

Patios are king

Proof of how far the Thomases have come with their business can be seen driving onto their business’s acreage, which they moved onto about 10 years ago. The large plot of land is decorated like a showroom in places, with examples of the kinds of features customers can put in their own yards. There are landscape supplies, functioning water features where Maui Jim likes to splash, plants and paver walkways. They’ve also got 15 “great” employees, Thomas said, which is important because the company guarantees all of their jobs and holds excellent customer service in high regard. “Some of them have degrees in landscaping. Some of them have been with us a while and have figured it all out on their own,” Thomas said. “If you don’t have good people, you’ve got nothing.” Jane Thomas agrees. Her favorite aspects of the

A water feature adds to a landscaping project done by Thomas Tree & Landscape.

A variety of soils, mulch and aggregate are available at the Thomas Tree & Landscape lot. business are working with her employees and repeat customers. “I enjoy the relationships that have been built over the years with our customers and working with a wonderful team of coworkers who take pride in everything they do,” she said. Customers typically tell the Thomases briefly what they want in their yards and then fill out a three-page questionnaire with more details. After a site visit, and with a time frame and budget in mind, they mock up a landscape design for the customer’s feedback. “Usually they say, ‘It looks beautiful. Let’s do it,’” Thomas said. Business tends to get pretty backed up this time of year, but they fit in as many jobs as they can, Thomas said. The No. 1 requested job is patios – big, unique patios, he said. People consider a patio space to be an extension of their living space, and they want a nice looking setup for grills, dining and entertainment. “Most patios have fire pits in them, too,” Thomas said. “Eighty percent of the patios we do have a built-in fire pit.” During the winter, Thomas Tree & Landscape does snow removal using pickups and skid loaders. They have about 80 or 90 commercial and residential accounts. “We also spend the winter planning for the spring,” Thomas said. “We also do a lot of education. We do seminars and classes.” Another aspect of Thomas Tree & Landscape that has changed over 32 years is how much fun the work entails. With people taking outdoor spaces more seriously and wanting to invest more in them, the job creativity has grown immensely. “It’s way more fun. The guys really enjoy it, too,” Thomas said. They love doing these jobs, to take a crappy backyard and rebuild everything. We’re really proud of what we do.” MV MN Valley Business • AUGUST 2018 • 21

YWCA Mankato would like to thank these sponsors for their support of the Y 4th Annual YWCA Amazing Race presented by Liv Aveda Salon & Spa on July 23, 2018. YWCA Mankato 127 S. 2nd Street, Suite 200 Mankato, MN 56001 (507) 345-4629 mankatoywca.org/amazing-race

22 â&#x20AC;˘ AUGUST 2018 â&#x20AC;˘ MN Valley Business

Check out photos and challenges at: mankatoywca.org/amazing-race MN Valley Business â&#x20AC;˘ AUGUST 2018 â&#x20AC;˘ 23

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Business and Industry Trends n The Pine Bend Refinery, the largest oil refiner y in Minnesota, is the largest oil refinery located in a non-oilproducing state. n About 39 percent of utilityscale electricity generation in Minnesota came from coalfired electric power plants in 2017, down from 49 percent in 2014. Almost all of Minnesota’s coal supply comes by rail from Wyoming and Montana. n Minnesota’s two nuclear power plants, Monticello and Prairie Island, accounted for 23% of the state’s net electricity generation in 2017. n In 2017, Minnesota ranked eighth in the nation in electricity net generation from wind energy. The state’s wind farms generated almost 10.9 million megawatthours of electricity that year.

Energy Minnesota energy facts

n In 2017, Minnesota ranked fourth in the nation in ethanol production capacity and fourth in operating production.

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24 • AUGUST 2018 • MN Valley Business

More gasfired electricity

The total U.S. utility-scale electricity generation from natural gasfired power plants is expected to rise from 32 percent in 2017 to 34 percent in 2018 and 2019, according to the Energy Information Administration. The forecast electricity generation share from coal averages 28 percent in 2018 and 2019, down from 30 percent in 2017. The nuclear share of generation was 20 percent in 2017 and is forecast to be 20 percent in 2018 and 19 percent in 2019.

Retail/Consumer Spending Vehicle Sales Mankato — Number of vehicles sold - 2017 - 2018 1500

1,011 852

1200

Wind surpassing hydropower

Nonhydropower renewables provided slightly less than 10 percent of electricity generation in 2017 and are expected to provide more than 10 percent in 2018 and nearly 11 percent in 2019. It is estimated that wind generation in 2017 averaged 697,000 megawatthours per day. Wind generation will rise to 746,000 MWh/d in 2018 and to 777,000 MWh/d in 2019. If factors such as precipitation and snowpack remain as forecast, conventional hydropower is forecast to generate 752,000 MWh/d in 2019, which would make it the first year that wind generation exceeds hydropower generation in the United States.

900 600 300 0

Source: Sales tax figures, City of Mankato Includes restaurants, bars, telecommunications and general merchandise store sales. Excludes most clothing, grocery store sales.

Sales tax collections Mankato (In thousands)

600

- 2017 - 2018 $444

$410

500 400

CO2 output rising

After declining by 0.9 percent in 2017, EIA forecasts that energy-related carbon dioxide (CO2) emissions will rise by 1.1 percent in 2018 and by 0.2 percent in 2019. Energy-related CO2 emissions are sensitive to changes in weather, economic growth amd energy prices.

Summer driving costlier

For the 2018 April–September summer driving season, EIA forecasts U.S. regular gasoline retail prices to average $2.87/gallon, up from an average of $2.41/gal last summer. The higher forecast gasoline prices are primarily the result of higher forecast crude oil prices. Monthly average gasoline prices are expected to have reached a summer peak in June of $2.92/gal and are forecast to decline gradually afterwards to $2.84/gal in September.

300 200 100 0

Source: Sales tax figures, City of Mankato

Lodging tax collections Mankato/North Mankato

- 2017 - 2018

70000 52500

$43,360 $43,944

35000 17500 0

Source: City of Mankato

Crude production up

U.S. crude oil production averaged 10.7 million barrels per day (b/d) in May, up 80,000 b/d from the April level. EIA projects that U.S. crude oil production will average 10.8 million b/d in 2018, up from 9.4 million b/d in 2017, and will average 11.8 million b/d in 2019

Mankato food and beverage tax - 2017 - 2018 175000 140000

$65,600 $66,400

105000 70000 35000 0

Source: City of Mankato

C. Sankey

MN Valley Business • AUGUST 2018 • 25

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Agricultural Outlook

By Kent Thiesse

Trade wars affect farmers, other businesses

he United States has been experiencing declining trade relations with several nations in recent months, which has now reached a point of what many economists are calling an all-out trade war. The so-called trade war is being played out on many fronts, with the most highly publicized being the added tariffs that were imposed by the U.S. and China in early July on goods being traded between the two countries. However, in recent weeks, there have also been new tariffs added on goods traded with Canada and Mexico, the partners with the U.S. in the North American Free Trade Agreement (NAFTA). China, Canada and Mexico account for approximately 44 percent of all U.S. ag exports on an annual basis. In many instances when we listen to the national media, we think of trade policy and tariffs being played out by Presidents and government leaders, and only having an economic effect at a “macro level” on a national basis. In reality, the impacts of tariffs and declining trade relations are more likely to affect individual farmers and businesses that rely of export markets to sustain their businesses. The negative profit margins can force some farms and businesses to discontinue or reduce their operations. These policies also have a major impact on individuals who work in industries that support those businesses and farm production, and the families and communities that depend on this economic base. On July 6, the U.S. trade war with China escalated, with the U.S. implementing new duties on $34 billion worth of Chinese goods being imported into the U.S. China responded by adding

new tariffs on U.S. soybeans, corn, pork, and poultry being exported to China. Other U.S. agriculture-related products affected by the additional Chinese export tariffs include apples, oranges, almonds, pineapples, grapes, watermelons, cherries, berries, and other produce. The Trump administration has threatened to add more tariffs in the coming months on Chinese products coming into the U.S., and the Chinese government has indicated that it will retaliate with additional tariffs on U.S. products coming into China, again likely impacting agricultural products quite significantly. According to some estimates, soybeans represent over 40 percent of the value of the added tariffs being implemented by China on U.S. exports into that country. The value of U.S. soybean exports to China has grown from $414 million in 1996 to over $14 billion in 2017. China accounted for about 60 percent of U.S. soybean exports in 2017, with the Chinese importing about one out of every three rows of soybeans raised in the U.S. The June USDA Supply and Demand Report projects total U.S. soybean demand for 2018-19 at 4.42 billion bushels, with exports accounting for 52 percent of that demand. Obviously, major disruptions to soybean export markets could reduce the export volume in the coming year, as well as increase U.S. soybean supplies and lower soybean market prices. NAFTA talks have stalled out in recent months, and U.S. trade relations with Canada and Mexico seem to be deteriorating rapidly. In early July, the U.S. announced tariffs on Canadian steel and aluminum, along with other products being imported into the

26 • AUGUST 2018 • MN Valley Business

U.S. Canada responded with additional tariffs of 10 to 25 percent of U.S. products being imported into Canada, targeting U.S. steel and aluminum products being shipped to Canada, along with U.S. beef, agricultural chemicals, and whiskey. Other targeted food and agricultural products include maple syrup, orange juice, and horticulture products. The U.S. has a trade surplus with Canada of about 50 percent on U.S. iron and steel products, and Canada accounts for about 50 percent of U.S. steel exports. The U.S. has also implemented new tariffs on steel and aluminum being imported from Mexico. In early July, Mexico retaliated by implementing additional tariffs on many U.S. products being exported into Mexico, including many agricultural products. This included certain pork products, cheeses, apples, produce, and whiskey. Mexico imposed a 10 percent tariff on certain U.S. pork products in early June, which was doubled to 20 percent in early July. Mexico accounts for approximately 25 percent of U.S. dairy exports, which could now face tariffs as high as 25 percent. There have also been additional U.S. tariff threats against Germany and other European countries.

The farm-level impact

We have already seen some impacts at the farm level from just the threat of a trade war with China, Canada and Mexico. From late May to early July, when trade talks between the U.S. and China deteriorated and the proposed tariffs started becoming a reality, November soybean futures dropped nearly $2.00 per bushel. Cash soybean prices for harvest

delivery declined by over 15 percent during that time period, with some soybean price bids at the local level falling below $8.00 per bushel. It is estimated that farm operators in southern Minnesota need close to $9 per bushel for soybeans to cover crop input costs, land rent, and overhead expenses at average yields (55 bushels per acre). That increases to about $9.50 per bushel, if that producer includes a $50 per acre return for labor and management. The soybean price decline since late May has reduced the gross income potential by approximately $100 per acre, or $100,000 for a farmer raising 1,000 acres of soybeans. This rapid price decline, together with some crop production issues in some areas, could create some serious financial challenges for several farm operators later this year. Some producers took advantage of favorable soybean prices earlier this year to “lock-in” some profitable prices on a portion of their 2018 soybean production, which may help soften the impact of the significant price drop. However, even for those producers, it is difficult to plan ahead from a farm profitability standpoint for 2019 and beyond, if there is a long-term impact on soybean export markets. Pork producers have also felt the initial brunt of the 8 escalating trade war, with some analysts estimating rapidly a loss as high as $150 million to the pork industry over a 6 12-month period. About one-fourth of the pork products in the U.S. are exported to other countries, with China and 4 accounting for about 40 percent of the export Mexico market. China and Mexico purchase a lot of pork products that do 2 not have much demand in the U.S., such as raw hams and “variety meats”. It may be difficult to find other markets 0 for these products, which add considerable value J F M One A Mstudy J estimated J A S that O the N added D to pork carcasses. tariffs to China and Mexico will cost pork producers approximately $18 per head for every hog produced, resulting in negative profit margins for most producers in 2018. 8 The Trump administration has pledged to provide 100 to farm operators that are impacted by the support 6 escalating trade wars. It is not known what that support 85 would 4consist of, whether it will be direct income support to farm 70 operators, commodity purchases or supply management to enhance prices, or which commodities 2 would55be included. It will be complicated to target any support or benefits to farm operators that were most 400 affected, Jwhile F not M creating A M Ja “windfall” J A S forO other N Dfarm businesses. Depending on support measures that are 25 J Fby USDA, M A there M Jcould J also A be S challenges O N D by implemented the World Trade Organization (WTO), if there is a perceived distortion of world commodity markets. Agricultural trade agreements with China, through NAFTA, 100 and with other countries have taken decades to develop. Farm organizations and ag commodity groups 85 have dedicated millions of dollars of financial and personal resources into developing the strong U.S. agricultural 70 export markets that currently exist with a wide range of countries, including China, Canada and Mexico. Most 55 farm operators and others in the ag industry favor 40 maintaining and enhancing these trade relations, which are a key to future farm profitability and rural economic 25 M A M J J A S O N D stability inJtheFU.S. Kent Thiesse is farm management analyst and senior vice president, MinnStar Bank, Lake Crystal. 507-381-7960); kent.thiesse@minnstarbank.com

Agriculture/ Agribusiness Corn prices — southern Minnesota

(dollars per bushel)

— 2017 — 2018

8 6

$3.19

2 0

$3.15

Source: USDA

Soybean prices — southern Minnesota

(dollars per bushel)

— 2017 — 2018 8 20 100 16 6 85 $9.20 12 470 8 255 $8.10 4 40 0 0 J F M A M J J A S O N D 25 J F M A M J J A S O N D J F M A M J J A S O N D Source: USDA

Iowa-Minnesota hog prices

185 pound carcass, negotiated price, weighted average

— 2017 — 2018

20 100 25 16 85 22 12 70 19 8 55 16 4 40 13 0 J F 25 10 J F J F Source: USDA

$82.31

22 19 16

$77.35 M M M

A M J A M J A M J

Milk prices

J J J

A S O N D A S O N D A S O N D

Minimum prices, class 1 milk Dollars per hundredweight

— 2017 — 2018 25 22

$17.12

19 16 13 10

$15.48 J

20 25 16 22 12 19 8 16 4 13 0 J 10

Source: USDA. Based on federal milk orders. Corn and soybean prices are for rail delivery points in Southern Minnesota. Milk prices are for Upper Midwest points.

C. Sankey

MN Valley Business • AUGUST 2018 • 27

Construction/Real Estate Residential building permits Mankato

Commercial building permits Mankato

- 2017 - 2018 (in thousands) $16,705 18000 $3,314

- 2016 - 2017 (in thousands)

30000 25000

13500

10000

4500

5000

Source: City of Mankato

Information based on Multiple Listing Service and may not reflect all sales

- 2017 - 2018 (in thousands)

Median home sale price: Mankato region - 2017 - 2018 (in thousands)

250

300

Source: City of Mankato

Existing home sales: Mankato region 213

240

$180,000 $159,450

200

240

150

180

100

120

0 J

Source: Realtors Association of Southern Minnesota

Source: Realtor Association of Southern Minnesota

Interest Rates: 30-year fixed-rate mortgage

Includes single family homes attached and detached, and town homes and condos

Housing starts: Mankato/North Mankato

— 2017 — 2018

- 2017 - 2018

5.5

5.0

4.5%

4.5

27 12

4.0

3.5 3.0

$11,751

15000

9000

$4,042

20000

4.0% J

10 J

Source: Freddie Mac

Thank You for voting us one of the Best of Mankato 7 years in a row

28 • AUGUST 2018 • MN Valley Business

Source: Cities of Mankato/North Mankato

Gas Prices

Gas prices-Mankato

— 2017 — 2018

54 43 $2.61

32 21 10 0

$2.14

Gas prices-Minnesota

Let us help you define the great outdoors

— 2017 — 2018

5 54 $2.68

43 32

$2.24

21 10

C. Sankey

Source: GasBuddy.com

Stocks of local interest

June 11

July 9

Percent change

Archer Daniels

$45.62

$47.27

+3.6%

Ameriprise

$147.61

$145.76

-1.3%

Best Buy

$74.04

$75.21

+1.6%

Crown Cork & Seal

$45.24

$45.88

+1.4%

Consolidated Comm.

$12.16

$13.45

+10.6%

Fastenal

$52.96

$49.62

-6.3%

General Growth

$20.78

$20.89

+0.5%

General Mills

$44.26

$44.31

-0.1%

Itron

$58.62

$61.95

+5.7%

Johnson Outdoors

$79.66

$88.96

+11.7%

$205.44

$200.53

-2.4%

Target

$79.12

$77.76

-1.7%

U.S. Bancorp

$51.64

$51.36

-0.5%

Winland

$1.30

$1.50

+15.4%

Xcel

$42.07

$45.16

+7.3% C. Sankey

Complete Landscape Featuring Landscape Supplies at our DIY headquarters DESIGN & BUILD

32 Years in Business! www.thomastreeandlanscape.com

507.625.4960 19922 State Hwy 22 3 miles south on Highway 22, Mankato

MN Valley Business • AUGUST 2018 • 29

Minnesota Business Updates

■

for the first time, streaming generated more money in the US music business than all other formats combined. According to The Verge, “sources suggested that Best Buy’s music CD arm was only generating $40 million annually.” Physical CDs will still be sold in stores like Target and Walmart for now, but for the 1,008 Best Buy stores across the U.S. you’ll only be able to get vinyl for at least the next two years. Billboard reported that Best Buy will place the records next to turntables in its stores. Vinyl sales ticked up 3 percent in 2016, according to the RIAA. Target will also be changing it’s strategy when it comes to CDs - only paying music labels when the CDs are sold, rather than buying in bulk and shipping ones back for credit.

■ Winona sells land for Fastenal office The city of Winona’s Port Authority agreed to sell a piece of city-owned land on the downtown riverfront to a Fastenal subsidiary for a fraction of its assessed value. Fastenal announced in June that it plans to construct a 400-600-employee office building on the downtown riverfront in order to accommodate its rapidly growing staff in Winona, according to the Winona Post. City leaders heralded the announcement as one of the most significant investments in downtown Winona in modern history. “To me, it’s just so great that a Winona company is willing to continue investing in the community,” Winona businessman Jerry Papenfuss said, noting Fastenal could expand elsewhere. “Anytime you can put 400-600 people in the downtown area with good jobs, I think what’s going to follow that is more retail, more jobs, and more restaurants,” Mayor Mark Peterson stated.

■ ADM expands probiotic holdings Archer Daniels Midland has agreed to a $243 million deal to acquire UKbased probiotic supplement manufacturer Probiotics International Limited. PIL produces the Bio-Kult brand of probiotic supplements along with other contract-manufactured nutrition products, and the company sells its range of products in 60 countries. ADM says that the acquisition will greatly strengthen

■ Best Buys stops selling CDs Best Buy has stopped selling CDs. According to the Recording Industry Association of America, in 2016,

Employment/Unemployment Initial unemployment claims Nine-county Mankato region Major May Industry 2017 2018 Construction Manufacturing Retail Services Total*

144 144 49 225 562

Local non-farm jobs Percent change ‘17-’18

74 127 31 189 421

127,448

139000 126000

2100 1400

113000

700 100000

Minnesota initial unemployment claims

Minnesota Local non-farm jobs

Major Industry 139000 139000

2017

2018

Percent change ‘17-’18

Construction 126000 126000 Manufacturing Retail 113000 Services 113000 Total*

3,305 1,697 949 4,588 10,539

2,408 1,328 885 3,969 8,590

-27.1% -21.7% -6.7% -13.5% -18.5%

Services consist of administration, educational, health care and social 100000 assistance, food andJ otherF miscellaneous services. M A M J J A S O 100000 J don’t F equal M total A because M Jsome Jcategories A not S listed. O N *Categories

30 • AUGUST 2018 • MN Valley Business

3500

132,460

2800

-48.6% -11.8% -36.7% -16.0% -25.0%

Services consist of administration, educational, health care and social assistance, food and other miscellaneous services. *Categories don’t equal total because some categories not listed.

May

- 2017 - 2018

Nine-county Mankato region

(in thousands)

8000 3500 3500 6000 2800 2800 4000 2100 2100

- 2017 - 2018

3,026 3,032

2000 1400 1400

700

700 0 J F M A M J J A S O N D 0 J F M A M J J A S O N D J F M A M J J A S O N D

200000 150000 100000 50000 0

its position in the health and wellness segment, and the deal is expected to close in the third quarter of the year.

■ You can now buy lottery tickets on your phones

■ Alumacraft sold to Evinrude maker

Minnesotans can now use their smartphones to buy tickets for Powerball and other lottery games based on the drawing of numbers. New York-based Jackpocket will take orders for tickets and then buy them for customers from lottery retailers. Players will typically pay a 7 percent feet. Jackpocket CEO Peter Sullivan says his company will also keep track of tickets. “Users don’t have to worry about losing their tickets,” 139000 he said. “They’re automatically provided an email that attaches their identity to the serial number on the ticket. 126000 And they get to see a high-resolution image of the front and back of the ticket.” Players cannot bet more than $100 a day. 113000 The Minnesota lottery briefly sold scratch-off tickets online but the state Legislature halted that in 2015.

Alumacraft has been purchased by BRP, the Canadian maker of Ski-Doo snowmobiles and Evinrude motors. Alumacraft and Evinrude will be part of a newly formed marine group led by BRP executive Tracy Crocker. James Irwin, Alumacraft’s president, will continue with Alumacraft and report to Crocker. The company employs about 175 people at its factory in St. Peter. The precise sale price was not disclosed but is less than $100 million, BRP said.

■ Schwan’s hiring at its Kentucky pizza plant

Schwan’s Co. is adding 50 jobs to the Kentucky pizza 100000 J production plant it is currently renovating. The company, based in Marshall, Minnesota, announced last year that it would invest $34 million to upgrade its plant in Florence, Kentucky. Now it’s adding workers, according to the Star Tribune. 139000 3500 The privately-held Schwan’s manufactures and 3500 8000 139000 markets foods through home delivery, retail grocery and 2800 food service 6000 126000channels. Its brands include Red Baron, 2800 2100 126000 Freshetta pizza, Mrs. Smith’s, Edwards desserts, Tony’s, 2100 Pagoda snacks and Schwan’s fine frozen foods. 4000 1400 113000

113000 100000 J F

J M

M J

J A

J S

1400 2000

A O

S N

O D

8000 6000

4,277 3,391

4000

0 F F

J F M A M M A M J J M A M J J

J A A

J S S

A S O N O N D O N D

100000 50000 J

1400 700 0

100000 50000

0 0 J F JM

F M A M AJ FA M

M MJ

J JA

J JS

A AO

S N S

O D O

N N

D D

(includes all of Blue Earth and Nicollet Counties) 200000 150000

May

100000

0 F

150000

700 2000 J

2100

200000

J M

F M A A M J

M J

J A

2017

2018

2.9% 58,050 1,709

2.1% 60,944 1,277

J S

A O

S N

O D

Unemployment rates Counties, state, nation County/area

- 2017 - 2018

102,100 76,781

150000

Unemployment rate Number of non-farm jobs 50000 50000 Number of unemployed

100000

200000

2800

Mankato/North Mankato Metropolitan statistical area

150000

2000

700 0 J 0 J

D 0

200000

Minnesota number of unemployed

- 2017 - 2018

Nine-county Mankato region

4000 2100

Employment/Unemployment

F M A A M J

Local number of unemployed 8000 3500 6000 2800

1400 700

100000

3500

Blue Earth Brown Faribault Le Sueur 2018 Martin 2017 Nicollet Sibley Waseca Watonwan Minneapolis/St. Paul Minnesota U.S.

May 2017

May 2018

3.2% 3.5% 4.0% 3.8% 3.3% 2.6% 3.3% 3.6% 3.8% 3.2% 3.1% 4.1%

2.2% 3.0% 2.6% 3.0% 2.6% 1.8% 2.4% 3.3% 2.9% 2.3% 2.5% 3.6%

Source: Minnesota Department of Employment and Economic Development C. Sankey

Minnesota initial unemployment MN Valley Business • AUGUST 2018 claims • 31

Sponsored by the Carl & Verna Schmidt Foundation

As Fed raises rates, popular bond index funds get pinched

By Associated Press

or holders of bond funds, the Federal Reserve is providing a reminder that even those buttoneddown, conservative investments carry some

risk. Bond prices fall as interest rates rise, and the Fed raised its benchmark interest rate by another quarter of a percentage point Wednesday. The central bank also said it may raise rates two more times this year, a faster pace than it indicated a few months ago. With interest rates on the rise, the prices of bonds siting in funds’ portfolios could drop because they suddenly look less attractive than newly issued bonds. Even if the fund doesn’t sell the bond, and thereby avoids locking in the paper loss, its share price will drop. The largest bond mutual fund dipped 0.1 percent on Wednesday and has lost 2.4 percent so far this year. Bond funds have grown in popularity as aging populations seek a steady source of income with less risk than stocks. Bond funds that track indexes are particularly in favor because they carry significantly lower fees than managed funds and have a solid track record. One way to measure how much pain a bond fund will incur is by looking at something called its ‘duration.’ This number shows roughly how big a loss to expect if interest rates climb by one percentage point. The duration for the Bloomberg Barclays U.S. Aggregate index, which is the benchmark for some of the biggest bond funds and ETFs, hit 6.1 at the end of the first quarter. It’s been marching steadily higher after sitting at 5.3 five years ago and 4.4 a decade earlier, according to the Investment Company Institute. But not every bond fund is seeing its potential riskiness increase as much. While index funds that track the Bloomberg Barclays U.S. Aggregate have seen their durations extend by 15 percent over the last five years, the average taxable bond mutual fund has moved up to just 4.1 from 3.9.

32 • AUGUST 2018 • MN Valley Business

Narrow the focus to only high-quality, investmentgrade bond funds, and the average duration has remained flat at 3. It’s a result of how bond fund managers have adjusted their portfolios due to worries about rising rates. To protect themselves, many have stuck with shorter-term bonds, which typically get hurt less by rising rates than the longer-term bonds that dominate the broadest indexes. That means investors who ditched their actively managed bond funds for index bond funds in recent years may also have raised their susceptibility to a rise in rates. Last year, investors poured $210 billion into taxable bond funds that track indexes, versus $179 billion for actively managed ones, according to Morningstar. Of course, some analysts have been warning for years that interest rates were set to skyrocket and send bond funds to big losses, only to see rates stay low. Aging populations around the world are hungry for income, and their resultant demand for bonds has helped to keep prices high and rates low. Plus, not all bond index funds have the same amount of duration. Investors can control how much interestrate risk they want by moving to short-term bond index funds. Interest rates have been climbing fairly steadily since last autumn, and the yield on the 10-year Treasury sat at 2.98 percent on Wednesday. Economists at Deutsche Bank expect it to hit 3.25 percent by the end of the year. Goldman Sachs strategists predict the yield will hit 3.60 percent by the end of next year. Bond index funds will likely continue to have the advantage when it comes to fees. Bond index funds kept just $7 of every $10,000 invested last year to cover their expenses, compared with $55 for actively managed bond funds, according to the Investment Company Institute. MV

Sponsored by the Carl & Verna Schmidt Foundation

The world’s most exciting stocks may now be in your hands By Associated Press

tocks trading in mainland China have long offered one of market’s biggest thrill rides — they’ve roughly doubled in just one year, only to give it all back the next — and they’re moving into the mainstream of fund investing. Last week marked the first time that MSCI, a company whose indexes set the benchmark for many mutual funds and ETFs, included Chinese stocks called A shares in its widely followed Emerging Markets index. These stocks trade in Shanghai and Shenzhen and had been very difficult for outside investors to access, unlike shares traded in Hong Kong. But mainland Chinese markets have been opening up in recent years, and MSCI added more than 200 A shares to its indexes, such as Hangzhou Hikvision, a video-surveillance company whose revenue has surged an average of 43 percent annually the last five years, and Kweichow Moutai, a premium liquor company. The moves matter for all types of fund investors. Index funds that track the MSCI Emerging Markets index bought A shares so they can track the performance of the newly constituted index. The iShares MSCI Emerging Markets ETF, for example, is one of the most popular ways to invest in emergingmarket stocks, and it now includes Hangzhou Hikvision and other A shares. Actively managed emergingmarket funds aren’t required to buy A shares, but they will now have to compare their performance against the MSCI Emerging Markets index, which does have them. Here’s a look at how A shares have performed and why they’re such a big deal:

How have these stocks done in the past?

They have a history of very big ups and downs. In 2006, stocks in Shanghai more than doubled and then surged another 110 percent in 2007 in U.S. dollar terms. But they collapsed in 2008 amid the global financial crisis, plummeting nearly 63 percent. One reason for the volatility is how dominated the market is by local retail investors. Unlike big institutional investors, who tend to dig into the

financials of companies before deciding to buy, many of these retail investors piled into winning stocks on the simple expectation that they would keep winning. This helps lead to sharp booms and busts.

What risks are still there?

Even as institutional investors, such as mutual funds, increase their holdings of A shares, the retaildominated market is still prone to big swings. Plus, investors still see issues with corporate governance and how much influence the government has over the market. In 2015, when the A share market was tumbling in price, more than half the companies in the market had trading of their shares suspended. “You’ve got something like 3,000 companies, and today we would think maybe 40 or 50 of them are investable,” Chuck Knudsen, emerging markets equity portfolio specialist at T. Rowe Price, said of the A share market.

Are things improving?

Yes, investors say. Companies are making more of an effort to engage with investors, particularly ones from outside China, for example. “It’s just gradually improving over time,” said Andrew Mattock, portfolio manager at Matthews Asia. “You don’t wake up the next day, and everything is changed, but you see little things like companies’ investor relations having English as well as Mandarin materials.” MV

MN Valley Business • AUGUST 2018 • 33

SESQUICENTENNIAL

by Bridget Norland, Director of Marketing and Communications

his year we celebrate our sesquicentennial. Greater Mankato Growth, Inc. has been “Takin’ care of Business”…for one hundred fifty years!

Let’s take a quick look at our organization’s history: •

This community and business organization has long been a regional hub where community, business and living converges at the bend of the Minnesota River.

On September 11, 1868, forty-three businessmen convened to organize The Mankato Board of Trade, the community’s first business association. It’s first president was John Henry Barr.

Like the river that flows through North Mankato and Mankato, this “Key City” has continued to adapt and evolve over the past 150 years. The river is powerful and relentless, but with grace and promise it carries life-giving energy and reshapes the landscape as it flows…much like our organization which is supported solely by the people, businesses and organizations it serves. Our region has demonstrated its staying power to thrive through change as well as adversity, because of our unparalleled and diverse economy. We continue to adapt to our surroundings while carving new paths, just like the river, but rarely just… ‘going with the flow’.

The first president of the Mankato Board of Trade, John Henry Barr, 1868.

•

In 1900, as the organization and the community evolved, the name of the organization was changed to Mankato Commercial Club.

1 5 0 Y E A R S O F TA K I N ’ C A R E O F B U S I N E S S 34 • AUGUST 2018 • MN Valley Business

•

In 1920, it changed to “Mankato Chamber of Commerce” and in 1968, received National Accreditation as the 120th Accredited Chamber in the country. In 1984 when The Convention & Visitors Bureau was established, the name was modified to “Mankato AREA Chamber of Commerce”.

WHY JOIN EXPOSURE

•

March, we kicked off the 150th Build your Brand; Anniversary NETWORKING TW WORKING ORKING celebration of grow your business. Greater Mankato Growth, Stand out and get It’s not just st WHO WHO you ou Inc.knows noticed! know, it’s who kand the success of the YOU. Networking IS entire business community. Powerful. We invite you to continue BE with IN us that celebration The Mankato Area Chamber and Convention Bureau at our sesquicentennial THE KNOW LEARNING office in 1993. celebration where we Gain access cces to Member Receiveevent our member only Exclusive Content to help will commemorate Takin’ Care emails making you the first to In 1993 theyour Chamber and CVB merged together to grow business. know the latest news. of Business for 150 Years in form the “Mankato Area Chamber and Convention Greater Mankato! Bureau (MACCB)”.

MEMBER EXCLUSIVE TALENT REFERRALS The evolution continued and in 2007 the Greater Tuesday, October 2 BENEFITS Mankato Area Chamber of Commerce, and its division We only refer member RETENTION known as the Greater Mankato Convention and Keep your employees Visitor’s Bureau, engaged andmerged retainedwith withthe Greater Mankato Economic Development Corporation to form Greater access to our member only Mankato Growth, Inc. events and programs.

•

GREATER MANKATO GROWTH? At our annual meeting in

4 – 8 pm Mankato Brewery businesses. Word of mouth and direct referrals come from being a valued member of GMG.

The City Center Business Association grew out of the YOUR Renaissance Plan in 2008;SHAPE the name was changed toCREDIBILITY Raise your reputation by City Center Partnership in 2009. COMMUNITY belonging. Research shows Your investment helps us Thank to our partners for helping that businesses whoyou belong The Greater Mankato continue Growth Board ofthe Directors to build best to a chamber of commerce make this event possible: held the first round table discussion furthering environment foron your are more successful. the growth of agribusiness across the region in business and its employees. March 2013. The GreenSeam brand and name were launched in June 2016 and was officially registered as an LLC in January 2018.

In most communities, our unique family of business development organizations – all of which exist to support and promote the economic growth and vitality of our regional marketplace – exist as stand-alone organizations. But our model has garnered attention from other communities around the Upper Midwest, and just this year, three other communities brought delegations to Greater Mankato to study why it has been so successful. Here’s to further growth and continued economic wellbeing for the entire community and surrounding regions.

greatermankato.com/join April 2018

NANO SAMPLES MUSIC PRIZES MN Valley Business • AUGUST 2018 • 35 greatermankato.com/join

NEW LOCATION

RIBBON CUTTING

Birchwood Cottages 1630 Lor Ray Drive, North Mankato

Connect Real Estate Group 151 Saint Andrews Court, Mankato

RIBBON CUTTING

GROWTH

Pediatric Clinic at Mayo Clinic Health System 101 Martin Luther King Jr. Drive, Mankato

in Greater Mankato

NEW LOCATION

NEW PICK UP SERVICE LAUNCH

Primerica - Tabitha Melvin 100 Warren Street, Suite 339, Mankato

Walmart 1881 Madison Avenue, Mankato

Farrell’s eXtreme Bodyshaping 1170 South Riverfront Drive, Mankato

NEWEST

The Capitol Room 419 South Minnesota, Saint Peter

Primerica - Hoenke & Associates 112 East Liberty Street, Mankato

36 • AUGUST 2018 • MN Valley Business

Greater Mankato Growth Members

7:30 - 9:00 am

5:00 - 7:00 pm August 7 September 4 October 2

Maschka, Riedy, Ries & Frentz Law Firm Stifel Sesquicentennial Event in collaboration with the Mankato Brewery and Radio Mankato at the brewery (4 - 8 pm) Children’s Museum of Southern Minnesota J. Longs for Men

WHY JOIN November 6 December 4

EXPOSURE

Build your Brand; grow your business. Stand out and get noticed!

2018 Business After Hours Sponsored by:

June Business After Hours hosted by Farrish Johnson Law Office

LEARNING

Gain access cces to Member Exclusive Content to help grow your business.

TALENT RETENTION

August 15 September 19 October 17 November 14 December 19

GREATER MANKATO GROWTH?

NETWORKING TW WORKING ORKING It’s not just st WHO WHO you ou know, it’s who knows k YOU. Networking IS Powerful.

June Business Before Hours BE IN(River Hills Mall) hosted by Cambria Gallery

THE KNOW

MEMBER EXCLUSIVE BENEFITS

Keep your employees engaged and retained with access to our member only events and programs.

LIV Aveda Salon & Spa Minneopa Golf Club MRCI Affinity Plus Federal Credit Union Nesbit Agency

Receive our member only emails making you the first to know the latest news.

REFERRALS We only refer member businesses. Word of mouth and direct referrals come from being a valued member of GMG.

SHAPE YOUR CREDIBILITY COMMUNITY

Business After and Business Before Hours gives representatives from Greater Mankato Growth member businesses at the Engaged Level or higher an opportunity to get together with one another to exchange ideas and learn about each other’s Raise your reputation bybusinesses. For more information on these and other member events, visit greatermankato.com/events. belonging. Research shows

Your investment helps us continue to build the best environment for your business and its employees.

that businesses who belong to a chamber of commerce are more successful.

OPPOR T U N I T Y. LI VES. H ERE.

Mankato provides greatermankato.com/join an inspired April 2018 quality of life.

moremankato.com MN Valley Business • AUGUST 2018 • 37 greatermankato.com/join

By Katie Adelman, Marketing and Communications Coordinator

New Director Same Focus by Katie Adelman, Marketing and Communications Coordinator

hile the Mankato Sports Commission isn’t new, its director—Joy Leafblad—is a fresh yet probably familiar face. And now is the perfect time to introduce her and her role, as well as an overview of the Sports Commission and its importance.

In June, Joy Leafblad was hired as the new Sports Commission director. “Joy comes to Visit Mankato and the Mankato Sports Commission with a tremendous amount of skills and experience, with 20 years in program and event development,” said Anna Thill, president of Visit Mankato. Leafblad was previously employed as the Mankato Family YMCA wellness director, the Morris Regional Fitness Center general manager, and the Loyola University Chicago Campus Recreation associate director.

With a background in the sports industry, Leafblad will help facilitate the mission of the Sports Commission: to promote competitive and other sporting events in the Mankato area by identifying and attracting new sports events and working closely with the region’s sports organizations to support its endeavors in hosting local events. One of the key focuses of the Sports Commission is growing and supporting local events through providing Play It Awards grants, assisting with hotel blocks, and serving as a consultant for event planning and logistics. In 2019, the Sports Commission will hold the Inaugural Regional Awards Banquet to recognize outstanding people, teams, organizations and volunteers in the local sport and recreation community. Another effort Leafblad will be focusing on is raising the profile of Greater Mankato as a premier sports destination by aggressively promoting the existing resources and targeting events that will generate a positive economic impact for the community. She will help attract events to the community by attending trade shows, networking with sports groups and being a member of organizations like MN Sports and the National Association of Sports Commissions. Another emphasis for the commission is growing and researching possible new events that are owned or partnered with events like the Mankato Marathon and MN Senior Games. “I’m excited for this opportunity to showcase all that Mankato has to offer and to work together with our local sports clubs and organizations to continue to grow those opportunities,” said Leafblad.

Joy Leafblad, Mankato Sports Commission Director

38 • AUGUST 2018 • MN Valley Business

For more information about the Mankato Sports Commission, visit mktosports.com.

THANK YOU to our sponsors, businesses, golfers and the Mankato Golf Club for making the 2018 Greater Mankato on the Green another smashing success!

WHY JOIN EXPOSURE

Presenting Sponsor:

Build your Brand; grow your business. Stand out and get noticed!

GREATER MANKATO GROWTH?

We appreciate you! For a recap on winners visit:

greatermankato.com/golf

NETWORKING TW WORKING ORKING It’s not just st WHO WHO you ou know, it’s who knows k YOU. Networking IS Powerful.

BE IN THE KNOW

LEARNING

Gain access cces to Member

LIVE ENTERTAINMENT FOOD FREE ADMISSION Exclusive Content to LOCAL help grow your business.

Receive our member only emails making you the first to know the latest news.

Keep your employees Civic Center Plaza, Mankato (RAIN LOCATION: Red Rocks) engaged and retained with access to our member only events and programs.

We only refer member businesses. Word of mouth and direct referrals come from being a valued citycentermankato.com/aliveafter5 member of GMG.

MEMBER EXCLUSIVE AUGUST 9, 16, 23 & 30 TALENT BENEFITS - 7:30 pm RETENTION 5:00

PLUS!

REFERRALS

SHAPE YOUR CREDIBILITY FEATURING Raise your reputation by COMMUNITY belonging. Research shows

ARTISAN + CRAFT POP-UP MARKET

Your investment helps us continue to build the best environment for your business and its employees.