Greater Charlotte Biz 2005.03

Page 1


Rodney Pins (standing), Southern Elevator and Mike Monk, Scott Insurance

"I've never heard of creative service this strong for a mid~ market company like ours. Scott Insurance is truly unique." -

Rodney Pitts , Chairman , Southern Elevator

"Mike Monk spent over a year getting to know Southern Elevator and we didn't even h ave a forma l business contract. Mike was aware of our history of efficient risk ma nagement, yet h e was still able to execute innovative ideas for our loss prevention and claims management programs. N ow Mike and Scott Insurance handle our entire insurance program and that's never happened before with other agenc ies. I'm very impressed with them!" Whatever your risk management needs, count on Scott Insurance to deliver new and effective ideas for you. Ca ll Mike Monk in Charlotte at (704) 556-1341.

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Family Dollar Stores To see a person who truly enjc:ys h~ jet, gc.L<e int:J He~h 1;' tLe =:e5 =i HoV\ard Levine. Fun at the helm exudes from 11-e ch:irna1 a-c =h{ e>_=c _t i.le :Jf Fan ly O:JII<r Stores. Though he speaks mat:er-of fuo::tl ·~ he cw't ccr.t:Jn - s ~:u::era-ce fcr 1h" 5,500-store national discount :han thr hi:; f:1t1e · Le::>n Le.: n-= --ou-cec in 1759 ""'i~h their first store on Central Avenue n =rari::J~:t=

16 Mid rex Technologies Headed by Jim McClaskey, president and CEO, a Charlotte company called Midrex Technologies is rocking the world. Having

g.-owt::l1

no new major contracts in the last five

lntnoct S:ells. U C

and a half years, Midrex has staged a

4

comeback with four new international

"travel

contracts to bu ild multi-million dollar iron

Tho: ln:1 a:: F.a m :o tT P! x:

reduction facil ities.

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WTVI Public Television In 1982, the Charlotte-Mecklenburg Public Broadcastng Authority assumed WTVI's

deoartments J

license and the station took on a broader community-oriented role. Today WTVI serves I 3 counti es, I I in NC. and two in S.C., and over 330.000 households. Its mission is to

publisher~

post

support that community through educational

emp ayers bi.z

cultural and civic programming.

Le§islat--ve ad ~.51'-~ t.::)r,r Arra Ena.p·J l ETS

32

H.i~h~hts for

on 't

ColeJenest & Stone As the managing principals at Colejenest &

b1.z:

resource gmde

Stone talk about the finm's development they view one particular project - Gateway Village in late '90s - as a tuming point garnering necognition of the finrn 's essential stnengths. The finm has become a compnehensive land planning, landscape architectune,

on t:he cover. ful· c: r:l '<. JoJ:-r Ot::u n:n md.CEO Farriiy DJliT St:Jrt: , Ire

civil engineering and urban design finrn.

36 K. Hovnanian Homes T he 9th large st hom ebuild ing com pany in t he U .S. , a top 5 buil der in N orth

"I a •g·ap1y •:' \"c)-W 1\brr .:..

Caro lina, and recently des1gnat ed one of the Forbes 400 'Best B1g Companies' (4th consecut1ve year), th1s company provides homes of last1ng value to fulfill a wide variety of needs to a d1verse marketplace.

2

marc h 2005

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Littered with accolades ... or just littered?

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March 2005 In April of last year, Partners for Livable Communities named Charlotte "America's Most Livable Large City" based on a wide variety of criteria (the center city, regionalism, leadership, neighborhoods, tourism, housing, finance, economy, human development, the environment, etc .) Charlotte seemed to take it in stride, as it has received good recognition from a number of studies and surveys in recent years. The Partners group strives to restore and renew America's communities, "to raise the banner of livability as both a consumer goal and a standard of excellence for municipal performance." They champion the interrelationship between a community's qual ity of life and its ability to attract and retain business investments, stimulate convention and visitor trade, increase downtown retail activity, and improve the city's image to residents and non-residents alike. While describing our city as having a warm climate, fine dining, many cultural facilities, tree-lined neighborhoods, safe environment, openness to new people and ideas, whoever did the evaluation must have been on a tall bus or toured Charlotte from high in the air, not to have seen what I see on a routine basis - trash . And lots of it. Particularly ugly this time of year when the leaves are not yet on the trees and the grass is still brown, public areas and highways are strewn with trash, including styrofoam, broken mattresses, dead animals, paper and plastic bags, cigarette butts, fast-food containers, diapers and tire parts . It seems that everyone thinks these areas are dumping grounds at their immediate disposal. Whatever happened to the Keep America Beautiful program? The Keep America Beautiful campaign promotes that every person has a stake in their community, including a stake in the community's litter problem: "Research and experience tell us that litter attracts the eye and, at times, litter attracts MORE litter. We have found that a clean community discourages littering and illegal dumping. Proper handling of litter and waste in a community raises the standards and expectations of everyone." In Charlotte, there are some concerned businesses, groups and organizations that volunteer to take responsibility for cleaning up public areas. As you drive on the highways, for example, you see the posted signs and are grateful for their work, their time and their effort. There are also inmate crews that perform community service by cleaning up alongside our highways. Despite these efforts, though, there is such an overabundance of trash, in seemingly steady supply, that people must think that they need to keep littering their trash to make sure there is enough trash out there to keep those groups and inmates busy. For them, it is too much trouble to dispose of their trash properly. For them, the concept of p·eking up after themselves is a novelty. For them, the idea of taking personal responsibility for making the world a better place is truly a foreign concept. While we are busy trying to attract "people and ideas" to Charlotte, we might want to attract more of an awareness of our litter problem from within Charlotte. And gating communities to keep out the "trash" is not an acceptable answer. The solution starts with each of us, individually. If, from this point on, each one of us did not discard another item inappropriately, we would have the problem solved in a major way- and without raising taxes or otherwise diverting resources from where they are really needed. Think about it. Those of you who smoke, that includes not tossing butts anywhere but a trash receptacle. It is time to acknowledge our litter problem in Charlotte and bring the public and private sectors together to develop and promote a county-wide cleanliness ethic, to clean up, beautify and improve neighborhoods, thereby creating healthier, safer and more livable commun ity environments. We have every reason to be proud of Charlotte. Isn't it about time that we showed that we actually are? All the studies and all the accolades are not going to clean up our city or make it truly "livable."

4

march 2005

Volume 6 • Issue 3 Publisher John Paul Galles jgalles@greatercharlottebiz.com

Associate Publisher/Editor Mary! A. Lane maryl.a.lane@greatercharlottebiz.com

Contributing Editor Susanne Deitzel

Creative Director Asst- Editor Sean Farrow sfarrow@greatercharlottebiz.com

Account Executives Bill Lee blee@greatercharlottebiz.com Amy jo Robinson arobinson@greatercharlottebiz.com

Contributing Writers Ellison Clary Susanne Deitzel Heather Head Casey Jacobus

Contributing Photographer Sean Farrow Wayne Morris Galles Communications Group, Inc. 560 I 77 Center Drive • Suite 250 Charlotte, NC 28217-0736 704-676-5850 Phone • 704-676-5853 Fox www.greatercharlottebiz.com Press releases and other news-related information, please fax to the attention of"Editor" or e-mail: editor@greatercharlottebiz.com. Editorial or advertising inquiries, please call or fax at the numbers above or e-mail: info@greatercharlottebiz.com. Subscription inquiries or change of address, please call or fax at the numbers above or visit our Web site: www.greatercharlottebiz.com. © Copyright 2005 by Galles Communications Group, Inc. All rights reserved .The information contained herein has been obtained from sources believed to be reliable . However, Galles Communications Group, Inc . makes no warranty to the accuracy or reliability of this information . Products named in these pages are trade names or trademarks of their respective companies. Views expressed herein are not necessarily those of Greater Charlotte Biz or Galles Communications Group, Inc. No part of this publication may be reproduced or transmitted in any form or by any means without written permission from the publisher. For reprints call704-676-5850 xl02. Greater Charlotte Biz (ISSN pending) is published monthly by Galles Communications Group. Inc., 560 I 77 Center Dr.,Ste. 250, Charlotte, NC 28217-0736.Telephone: 704-676-5850. Fax: 704-676-5853. Subscription rate is $2-4 for one year. Periodicals postage pending at Charlotte, N.C., and additional mailing offices. POSTMASTER: Send address changes to Greater Charlotte Biz, 560 I 77 Center Dr., Ste. 250, Charlotte. NC 28217-0736.

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Legislative and Regulatory Highligh ts for Area Employers

Workplace Trends: 2004 Policies & Practices Survey The Employers Association's 2004 Policies & Practices Survey is now available. With over 150 companies participating and over 280 questions, this is the most comprehensive report on local human resources practices and workplace trends. Topics in this biennial survey include employee recruiting, drug testing, employee communication, work schedules, shift differentials, safety and security practices, and employee travel policies. Information is broken out by company type, company size, and type of employee . The survey represents the interests of all Association members by reporting on practices in both manufacturing and nonmanufacturing sectors. When compared with the 2002 Policies & Practices Survey, the results of this survey indicate some interesting trends in local workplace practices. Here are a few of the highlights from the updated Policies & Practices Survey Mandatory Direct Deposit Increases: More companies are making the direct deposit of employee pay mandatory, up from 24% of respondents in 2002 to 38% of respondents in 2004. Increase in the Number of Absenteeism Policies: Compared with the 2002 survey results, 8% more companies have implemented absenteeism and attendance policies for both non-exempt clerical/technical employees and salaried exempt employees in 2004. Employee Communication Methods Change: The communication

Michigan Employees Fuming, NC & SC Employees Protected

Weyco, Inc., a medical benefits administrator based in Okemos, Michigan, made headlines earlier this year when the company instituted a policy that banned employees from using tobacco- even during non-work hours. The company gave employees fifteen months notice prior to the policy change, which stated that

6

march 2005

Percentage of Companies with the Following Policies and Practices:

2002

2004

Mandatory Direct Deposit

24%

38%

Absenteeism Policies

58%

66%

Employee Communication Methocs- Newsletter (production employees)

51%

41%

Employee Communication Methocs- Newsletter (clerical/technical and salaried exempt employees)

45%

40%

Employee Communication Methocs - Pay Envelope Inserts

48%

58%

;<:-..:;

. Allow Radio/Headset at Work (production employees)

49%

38%

Business Ethics/Conflict of Interest Policies

64%

72%

Employee Confidentiality- Lockec Employee Medical Files

73%

82%

Employee Confidentiality - Restricted Access to Medical Files

88%

93%

Note: Yellow indicates on increase in percent.Jge. Source: The Employers Association 2004 Policies & Practices

methods used by management have changed frcm 2002 to 2004. In 2002, 51% of respondents used their company newsletter to communicate with production employees (45% of respond~nt used that same method for their cleriol!technical and salaried exempt employe~s). In 2004, that percentage decreased by 10% for production employees and 5'1> for clerical/technical and salaried exempt employees. Additionally, over thc.t same period, there was a 10% increase in the use of pay envelope inserts for all three employee categories. Decrease in the Use of Radios and Headsets at Work: Almost half, 49%, of production employees were allowed to use radios/headsets during work hours in 2002. That percentage decreased to 38% in 2004.

Number of Ethics Policies Increases: According to the 2002 survey, 64% of companies had a policy enforcing employee ethical behavior. The 2004 survey results show an 8% increase in the number of companies that have policies on employee ethical behavior. Increase in Confidentiality of Employee Records: More companies are taking measures to ensure the confidentiality of employees' personal information in 2004 than in 2002. Respondents are more likely to use locked medical files in 2004 (82%) than in 2002 (73%). Additionally, 93% of respondents in 2004 have restricted access to employee medical files, up from 88% in 2002. For more information or to order this survey, please contact The Employers Association.

employees who continued to smoke on or off work time after january 2005 would be terminated. In addition, the company implemented a mandatory smok:ng breath test to enforce the policy Although this policy is currently legal in the state of Michigan, employers in the Carolinas are prohibited from enacting such a rule. Both North and South ~arolina make it illegal for employers to

refuse to hire or to fire employees because they use tobacco. However, employers in both states may legally forbid or restrict the use of tobacco products on company property The South Carolina statute specifically prohibits employers from testing applicants or employees for the use of tobacco. Twenty-seven other stales also have laws protecting smokers.

www.greaterc h arl otte biz. com


2004/2005 National Wage & Salary Survey

room or restroom, it is common for managers to turn their heads towards "white

employers will agree to verify employment eligibility for all new employees within

The 2004/2005 National Wage & Salary Survey is now available. Using employee

collar" gambling such as basketball or Super

three (3) days after hire and will not use the

Bowl pools. Additionally, your company probably has a rule against solicitation dur-

Employers must also agree to periodic visits

data provided from The Employers Association members, along with employee data from 31 other employers associations throughout the U.S., the survey provides

ing working hours. However, most of the betting pools are formed during work hours and take away from productivity

employers with comparative wage and salary data between geographic regions in the continental United States. The survey consists of

Be careful, courts would probably look at dice in the restroom and a basketball pool in the front office as similar forms of gambling.

over 90 job titles from all levels in an organization to assist employers in determining the appropriate pay differentials for various loca-

It would be difficult to defend yourself if you took disciplinary action against an

tions, as well as for targeting sites for future business ventures. For more information or to

order this survey, please contact The Employers Association. Military Leave Law Update President Bush recently signed into law a bill expanding employee rights under the Uniformed Services Employment and Reemployment Rights Act (USERRA) The law creates two new requirements for employers. As of March 10, 2005, employers must provide employees with written notice of their rights under USERRA. The Secretary of Labor will be providing a sample notice document soon. The notice will need to be posted where other required notices are customarily posted. The new law also extends, from 18 to 24 months, the maximum period of employer-sponsored continued health care coverage. This new rule applies if an employees health care coverage will terminate because of the military leave. G-IRN Management Group) Place Your Bets! With the NCAA basketball tournament approaching, many companies will be facing a dilemma - how do you handle the betting pool that is circulating around your facility? You probably have an explicit policy or practice that prohibits gambling on the premises, but many companies seem to overlook this rule during this time of year. While most companies would take drastic action against a group of employees who were playing cards or rolling dice in the employee break

greater charlotte biz

employee- or group of employees- for dice or cards, and you subsequently permitted a basketball pool to float around the office or plant. Also, you would never let a union come onto your premises and solicit your employees, but you have possibly set a precedent by allowing your employees to solicit for a betting pool. These pools generally are great conversation pieces for your employees, and they create a lot of excitement in the workplace, but they could be detrimental in the long run.

Verifying Work Eligibility Online First the good news: Employers now have access to a new tool to help ensure an employee is eligible to work in the United States. Now the bad news: You must be willing to share your l-9 files with the Department of Homeland Security (DHS) if you participate in the program. Employers have long been frustrated with confusing immigration documents, social security "mismatches" and potential penalties for hiring unauthorized workers. DHS has expanded its Web-based program that allows employers to verify that the information given by an employee on an 1-9 is accurate and the person is eligible to work. This program was originally piloted in six states, but expanded to include all states in December 2004. Participation in the program is voluntary; however, employers are required to sign a "Memorandum of Understanding" that details the rules and regulations of the program. The memorandum states that

program for pre-employment screening. from the DHS or the Social Security Administration (SSA) for the purpose of reviewing program related records including: 1-9 Forms, SSA Transaction Records and DHS verification records. In addition, employers must agree to allow DHS or SSA agents to conduct interviews about the organizations experience with the program including interviews with employees hired during the pilot program. Employers are still required to have employees fill out 1-9 forms, but participants in the program also must agree to submit the information on the 1-9 to the government via the special Web site. The employer then receives a confirmation (or nonconfirmation) that the person is eligible to work. If the results come back that the person isn't eligible, the employer downloads a "letter of contest" to give the employee. If the employee doesn't want to contest the results, the employer should terminate the employee. lf the employee does want to contest, then the employer gives the employee a "letter of referral," which can be downloaded from the Web site. The letter will refer the employee to the right agencies to solve his problem. interested employers may print and review a sample of the Memo of Understanding or register to participate by going to the following link: www. vis-dhs. corn/employerregistration.

(The Management Association of Illinois) biz The Employers Association is a nonprofit Charlotte organization providing comprehensive human resources and training services. Founded in I 958, the Association maintains a broodbased membership of over 700 companies from all industries in the greater Charlotte region. The above excerpts were token from The Management Report, the Association's monthly newsletter. For more information, please call Lauro Hampton at 704-522-80 I I or visit the Web site at www.employer.sossoc.com.

march 2005

7


WHO DO YOU CALL? Are yau salaries competitive?

Lori Collins, senior vice president and general rnmager, GerSrnan.com, a division of LendingTree, LLC; Peyton Howell, president, The lash Group, Inc.; Linda Hudson, president, General Dynamics Annament and Technical Products, Inc.; Linda Lockman-Brooks, president, Lockman-Brooks Marketing Services, LLC; Frances Queen , president, Queen Associates, Inc. Enterprising Women magazine has named Roberta B. Fam um, co-owner of Home Instead Senior Care, as one of l3 outstanding women entrepreneurs of 2005.

• The best ~ = curce f::l - Otarlotte regiornl comperS3tic r- data • Covers sale!)' dc-ta fi:r :ver 295 bench11ar< positu n;•-...i-:h 251 companies • Average/ IN:~ grted 1-'..J :::rage/ Percentile/ Pay Fang= 3tatistics •lndust)l, C:::>l_rty :: nd c:npany size breakoLS

The

EMPlOYERS A

SSO C iA

Awards &Achievements Queens University of Charlotte and Wachovia have announced the five finalists for the 2004 Charlotte BusinessWoman of the Year award:

~ JO N

Advertising & Media

SeOing Your (Jusiness /sOur

Thomas Po pe

categories in the 2004 National Academy of Television Arts and Science Mid-South region Emmy awards. WTVI-TV has won 4 awards in the 2004 National Academy of Television Arts and Science Mid-South region Emmy awards. j oe S. Epley has announced his retirement from Epley Associates, Inc. Epley President Michael L Herman has been named the Finns chairman and chief executive officer. Studio Displays, Inc. has announced its twenty-fifth anniversary celebration, which will be feted at the l evine Museum of the New South in

Marty Kelso

October, 2005. Luquire George Andrews has promoted Isolde Sweet to senior account executive. Marty Kelso has joined the firrn as senior copyWJiter.

Specializing in companie-s start ng at $1,ooo,ooo in annual revenue. We provide hdep ~ndent ,Qppraiso ls of bus1re.s5es, !! qt..ipm en! and mach.'neoy {Jt: sales, divorce, minority parrl1€r c!ispute; , estate p!anning, etc Re presenti~

Privately Held :ompanies Manufacturir § • Cistributior Factory Dealer, • P.estaurcn·s Service BusinESses • Conlienience Stores • RetaiLSlcres • PrintShops Taverns • Fast "ooj • Autorrotive Service Sta:ior s • GJt S h op~ Liquor Stores • Co 'fee S h op~ All consultatio.1~ CTEcor.{ide1tial and at no cost to yot-

Business and Professional Services David]onsan, an associate at Ke1medy Covington Lobdell &: Hickman, LLP., has heen elected to the Board of Directors of the t~or.h Carolina Securities Industry Association.

B

march 20::.3

www.greate rch arl o t te biz. com


Seven Steps to Become Your Exce tiona/ Self Poyner& Spruill LLP has

Hey a new panner

2. Stay Involved With "The" Question . Constantly, ask yourself and reflect on the answer to, "What do I do best' What do I want to be?" People who can answer that question and set goals have a visib le measure of passion.

of the firm and

3. Invest Mo re In Your Own Ideas . People are so busy. They often let the flow of

named Peggy H.

jason I Sherwood

Peggy H. Hey

JasonT. Sherv.:>od

of counsel.

The boJrd of directors of PKF International :us annotmc:zd LI-e appointment of Charlie

Greer as board member repre::enting the PKF Nonh American Network. Hedrick Eatman Gardner

1St Kincheloe, LLP has Charlie G -eer

rnnounced that Donald]. Vidni has joined the fim1 as panner, ~ading

Embrace Self-Development. Keep learning. Interesting people are always striving to improve their awareness and expand what they know.

its medical malpractice

ideas and events push them through each day. Cultivate and commit to your best ideas. Build your courage to act. 4 . Save Time For Reflection . Reflection stimulates creariviry. Make time to walk or

sir quietly to reflect. Look at the big picture and you will get more done. 5. Develop Your Stories. Engaging people share their stories. Consider turning

points and defining moments in your life and develop the lesson learned in twominute scenarios. Use them to make a real connection with others. 6 . Get Out of Yourself and Help Others. Gracious and grounded human beings are

attractive to others. Be a mentor, coach or simply show kindness to others. 7. Develop Versatility. People who are threatened by a difference in opinion are

locked into a few responses. People who welcome a healrhy discussion get more buy-in . Use statements that keep discussion going such as "I see your point."

defense team. Office Environments, lnc. l1as promoted Barry Bale to vice Donald J. Vhcini

president of sales. The Steritech Group, Inc.,

AUTHENTIC SPEAKING AND PRESENTING.

< provider of pest prevention ~rvices

in Nonh America, has

hired Philip Gentlesk]r: as vice president or business development and Christian Nansen as ~chnical

Barry Bale

BLAIR, BOHLE AND WHITSITT, PLLC

director.

is pleased to announce that it has joined the Co nstruction & Design KB Home, a rational homebuilder, has annour.ceL t1.at Chairman and CEO Bmce Karatz is the highest ranked homebuilding executi\'e on

I:luilder magazines 2004 Power Broker list. HouseRaising, Inc. has

BDO SEIDMAN ALLIANCE,

1~.a'l

ALLIANCE

mnounced plans to acquire

Bruce Kantz

Carriker Coostraction Company, LLC and

EFFECTIVE SEPTEMBER 1, 2004.

Mark White Custom Builders, LLC. The company has dso anrounced filing for an internati01.al palCil application of HouseRaisings system and Lomebuilding managemcm process.

Hilary Watson of CPL

Blair, Bohle & Whitsitt pu_c Certified PubUc Acrowuarus

:ecurity Systems has been recHilary Wats:m

cgnized with the

Distinguished Associate of the Year award by the Hooel::u lclm Association of Charlotte.

I 0700 Sikes Place, Suite IOO Charlotte, NC 28277 Direct: 704.841.8980

Nexus B~ilder--s Franchise Company, LLC, g~eater

charlotte biz

march 2005

9


has announced the opening of its corporate offices :n Huntersville. Skanska USA Building Inc. has announced that Bianca Arocho has joined the company as a :xoject assistant and Darrick Roode has joined as an accounting manager. Education/Staffing

Queens University of Charlotte has announced that it has received a comminnent of J;l million from The Wachovia Foundation. The Bank of America Foundation and &llSouth Telecommunications have also made corporate .:omminnents. In addition, Queens received two mher individual commitments of $1 million each. Dr. Robert Spuller, retired Lenoir-Rhyne College vice president and academic dean, has been named the interim director of the colleges Reese Institute for Conservation of Natural Resources. Wake Forest University~ Babcock Graduate School of Management has been named as one of the worlds best business schools according to the Finandal Times of London. Tony Carter has been named director of financial aid at The University of North Carolina at Charlotte. The university has also appointed Jodi Wright as internal communications manJodyWright ager in the Office of Public Relations and Marketing. The Princeton Review has named Anthony 0. Walters the new executive director of its Charlotte ::>ffice. DiversityBusincss.com has named CEO Inc. as one of the top 500 women-owned businesses in the United States and the top 50 diversity-owned businesses in Nonh Carolina. Compass Career Management Solutions has :tdded ]anet Massingill as a new consultant to help with outplacement counseling, as well as training and development and executive recruiting. T1wmas Gill, client relationship manager for CEO Inc. Janet Massingill Health Care Services Division 10

mar::h 2005

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has received the designation of Certified Staffing Professional.

Engineering Curtiss-Wright Controls has announced its 20th anniversary in the Piedmont as well as $88 million in new contracts. Financial & Insurance Newly opened ewDominion Bank has hired j eff Covington as senior vice president. Wachovia has announced that Sam Shrivastava has joined its Retail Bank as head of the Mass Market Segment. Andy Bach has been promoted to North Carolina Managing Parmer fo r Tatum Partners. Dixon Hughes has Andy Bach announced that Carter Utzig , Kirk Lusch,j ennifer Burton, Kirk Lusch, David Rainey, Rich Rollins and joyce Waterbury have joined the firm. Tim Koch has joined McGladrey & Pullen's Carolinas' practice.

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GovemmentJNon-Profit The Arts & Science Council has congratulated j ean Greer, ASC vice-president of public an, on her election as national chair for the Americans for the Arts Public Art Network Council. Jean Greer The History Channel has awarded The Charlotte Museum of History in Charlotte with a $10,000 Save Our History grant and Historic Charlotte, Inc. with a $6000 Save Our History grant.

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Health Care Dr. Bart Bryan and Dr. Michelle Bryan have purchased Independence Veterinary Clinic. Manufacturing Camstar Systems lnc. has moved its headquaners to Charlotte and has named Scott Toney as president and chief executive. Dixie Seating Company has announced the opening of a new, expanded manufacturing plant in Statesville, N.C.

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Real Estate - Commercial & Residential

Birlulale Village, developed by Crosland lnc. and Pappas Propenies, has won a 2004 International Design and Development Award from the international Council of Shopping Centers. Crescent Communities has announced the promotion of Mille Burnett to senior vice president. Erica j ohnson has joined Nationnl Restaurant Associates, a Charlotte-based real estate company specializing in buying and selling restaurants. Carolyn Ca rlyle has joined Asset Management Technologies, lnc. as vice president of sales, Retail Division. American Home Mortgage Erica Johnson has awarded Deanna Val eo the

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Top Sales Achiever award as top producer in the Charloue area for the fifth consecutive year. Lake Norman Realty has hired Carolyn McCrary as sales associate, and has announced that Ruth O'Brien has achieved the RELO' CERTIFIED COORDINATOR designation by the RELO Carolyn McCrary Network. R~USpo~Ente~nrnent

)HE Productions Group has been honored with five Gala Award ominations by Special Events Magazine. Three award nominations were for work at the 2004 NASCAR NEXTEL All- tar Challenge: Best Achievement in Technical Suppon, Best Achievement in Logistics, and Most Outstanding Spectacle. Scott Cooper has been promoted to the newly created position of director of marketing and public relations at Lowes Motor Speedway. Scott Aldrich has joined the Cabarrus County Convention & Visitors Bureau as its first spons marketing manager. J. Stefano Classic Sports Cars has announced David Scott Aldrich Blankenship as sales manager. Technology

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Midrex Technologies, Inc. has announced contracts wiLh Lion Diversified Holdings, for a plant in Malaysia, a contract with Saudi Iron & Steel Company for a Hot DR! Plant. Kobe Steel Limited,

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o-,vner of the MIDRE

Technology, has also signed

a Process license Agre~ment for the new MIDREX Plant at Hadeed . Exervio Management Consulting has added

eill Burris, athanirl Clawson and Saima Zothner to its technology consulting practice. Tech Systems, a Charlotte-based security systems integrator, has announced the receipt of the fi rst annual Systems Integrator of the Year award. Tourism & Travel

Charlotte Douglas International Airport has recorded 2004 as its the highest annual passenger volume in its histol)\ s.:rving over 25.1 million passengers. The airport has also reported that it leads the nations top 31 airports in on-time arrival performance. Charles G. (CIJUck) Raymond, chairman, president and chief executi•ie officer of Horizon lines, has been appointed to a fi,·e-year term on the National Mar-itime Security

Advisory Committee to advise on matters related to national mari ime security The Lowes Companies Inc. CharlesG.aymond HolTe Improvement Transportation division has awarded Horizon Lines \\ith 'Outstanding Ocean Service Provider' designation for 2004. Linda Seifert has been named the new general manager at Mainstay Suites. Tennis N Fun Tra\'el, which specializes in trips to tennis tournaments and events, has merged ,.,;th Broach Sports Tours. EdwardS. Leon has joined Customer Connect Associates lnc. as a business analyst. Young Professionals

Greater Charlotte Biz has weicorned the newest member of its grap•ics department, Alexandra Grace Farrow, in succession to Sean Farrow and under the superAlexandra Farrow

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To be considered for inclusion, please send your news re,eases and announcements m the body of an e-mail (only color photos attached) to ed1tor@greatercharlotteb1z.com, or fax them to 704-6 76-5853, or post them to our busmess address - at least 30 days pnor to our publication date. greater charlotte biz

"'larch 2::::05

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INTERACT SKILLS, LLC www.interactskills.com An innovative business, which coaches individuals and groups on spcahing and presentation shills. Built upon the idea of locating and speaking from ones 'authentic self. Few things strike a note of terror in people like the prospect speak-

become more engaging and persuasive. Cyntr.ia Carlson, principal of executive search firm CampbelVCarlson, LLC, says the Interact instructional experience

ing in public. Even the business person who frequents conference

is full of personal epiphanies. She

rooms, slide presentation in tow, could stand to learn a thing or two

explains, "I have to give presentations all

beyond 'just imagine your audience without clothes."

the time, and thought I was pretty good

There are certain ly more helpful (and pleasant) ave nues to take to

at it. But, when l came to Lou's class I

warm up to the idea of speaking publicly, and lnteract speaking con-

was surprised to realize that I had so much room to grow. By becom-

sultants has mastered the an of teaching them.

ing more vulnerable and sharing yourself wi th an audience, you

A far cry from your college speech class, Interact goes well beyond the borders of traditional speech coaching. Founder and president Lou

become i::1stantly more interesting and memorable." Interact preaches moving away from fact-based content, into a

Solomon has developed a cult following of some of the most promi-

storytelling approach. Acco rding to Solomon , metaphor and personal

nent executives in the area by teaching her special brand of "authentic

experience go a long way when trying to convey an idea. ays

self-expression."

Elguindi, president and CEO of Cydecor web strategy services, 'The

The concept behind Interact is training the speaker to break out of

ader

attention to detail that Lou brings to the table is simply incredible.

the mold of what she has been taught in speech class; to get away from

From recommending anecdotal informati on and refining my content

a polished , professional and largely scripted public speaking image. By

to analyzing my eye contact, movements and posture, she made me

emerging from the cocoon of what the speaker thin ks her image should

fee l comfortable in my own skin. l was just blown away"

be, and actually behaving true to her personality, the speaker can

Since attending one of Interact's seminars, Elguindi ha also added

(Continued on page 42)

,............................................................................................................................................................ THE INN AT PALMETTO BLUFF www.palmettobluffresort.com ln the day-to-day crunch that has become co rporate America, a reprieve from buzzing

history dating back to the 1500s, The Inn at Palmetto Bluff was developed with a careful

cell phones, last-minute meetings and con-

eye for ecological and historical preservation.

fining business suits is a welcome idea , if not

On a scenic bluff overlooking the beautiful May Rive r, the lan d the resort occupies was

a complete fantasy However, one location seeks to make the executive sanctuary, a reality The lnn at

quistadors and American Indians. lt also

Palmetto Bluff, 20 ,000 acres of natural

boasts the ruins of the Wilson Mansion, the home of cousi ns to the famous Vanderbilt

beauty, is a low-country retreat with relaxing and exclusive amenities located in Bluffton,

Executive resort in low cow1Uy South Carolina with premium accommodations, dining and amenities in a historical and natural venue. Fishing, a jack Nicklaus Signature Golf Course, tours, biking and boating are a Jew of the distinctive activities of the Inn at Palmetto Bluff 14

march 2005

once home to French explorers, Spanish con-

South Carolina, an easy drive from Charlotte to just short of Hilton Head Island, and in close proximity to Beaufort and Charleston,

family, seated across from Palmetto Bluff's prestigious May River House. An exclusive Auberge Resort carefully developed by Crescem Resources, Palmetto Bluff offers deluxe accommodations with a

S.C., and Savannah , Ga. Surrounded by old-growth trees draped

'Charlestonesque' feel. Whether it is in one of

in Spanish moss, and seated on land with

their 50 cottages/suites or larger two to four-

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suite village homes, all with genuine pine

ture of the buildings, every

floors, high vaulted ceilings, cozy fireplaces,

consideration was made to

and spacious screened verandas, guests are

preserve the natural

afforded unparalleled river and marsh views

integrity of the land. By

and ultimate privacy The sumptuous accom-

maintaining its original

modations are outfitted with every amenity

character and beauty, we

from cozy gas fireplaces and plasma screen

are able to offer the

televisions to marble baths an d fine linens to

serenity and comfort

high speed Internet and 2-line phones.

inherent to its history "

Twenty-five stately private residences, valued

The Inn at Palmetto Bluff has also

at $850,000 LO $1.5 million, are also avail-

retained the culinary traditions of the region,

able for lease through the resort.

offering upscale low-country and Gullah

The Inn at Palmetto Bluff was created to

favorites. The River House Dining Room's

answer the needs of today's executive

master chefs maximize the bounty of fresh ,

lifestyle, whether involving a vacation from

local seafood from trout to oysters, create

professional demands, or a relaxing alterna-

masterful selections from fresh game and

tive to conduct them within. The resort offers

locally-grown vegetables, and prepare them

expansive amenities for a comfortable and

in simple, yet sophisticated dishes. The Golf

entertaining experience, including a jack

Club Grill and Buffalo's provide more casual

Nicklaus Signature Golf Course, a luxurious

alternatives with the same thoughtful flair

spa, private gardens, and the myriad offer-

and quality presentation.

ings of the pristine May River from its well-stocked fishing coves to the Inn's kayaking and canoeing trips.

it accommodates every need

The activities at the Inn at Palmetto Bluff range from in-shore to deep sea or kayak

and preference of its guests. Those who stay at the island can be as active or as relaxed as

fishing, historical and nature LOurs, boat

they choose; they can conduct business or

cruises and beach excursions, bicycle trips

escape from it. Some visiLOrs have conducted

was carefully planned for four years before

and dolphin discoveries. The golfing and spa

retreats, executive meetings, even incentive

breaking ground, to make careful use of its

experience is unparalleled.

Explains director Anna Lavin, "The resort

natural and historical resources. From the riverfront, to the golf course, to the architec-

visits to the Inn, while others have cre-

Perhaps the most extraordinary

..........11111111:1~ ated rewarding and memorable

vacations with family and friends. •

feature about the resort is that

SIGNATURE HEALTHCARE, PLLC www.signaturehealthcare.org Concierge healthcare practice which, for an annual fee, provides on-call appointments to members with no waiting, superior amenities, personalized service, many on-site tests and a philosophy of service that caters to busy, servicemiented patients. Entrepreneurial spirit, as a rule, identifies a problem and seeks to offer an optimum solution. Apply this formula to the healthcare system and there is a rather large wellLO draw ideas from. Of those ideas, Signature Healthcare has created a solution that caters to the businessperson's most precious commodities: time and comfort. Signature Healthcare is Charlotte's first membership-only practice, also commonly referred to as 'concierge healthcare.' The patient pays an

been largely usurped by bureaucratic procedures in traditional healthcare facilities. Signature's facility located off of Park Road South greets its members with a well-appointed, and notably empty 'reception room,' that has replaced the standard waiting area (there simply is no waiting). Hardwood floors, soOLhing music, goum1et coffee and custom art are there LO enJOY while the patient enj oys his brief check-in . One hundred percent couon gowns that Dr. Elizabeth Peny, one of Signature's founding owners and physicians, has hand-sewn waits in an examination room wanne r alongside live topimies, hanging quilts and an work. Says Dr. Peny, "This was not simply an aesthetic choice.

annual fee to enjoy the benefits of luxu1y treatment facilities, personal-

Studies have shown that a patient's treatment environment can signifi-

ized individual care from the physicians, a no-waiting mandate for

cantly impact recove ry rates."

appointments, and a level of doctor-to-doctor communication that has

(Continued on page 42)



heather head

uture In the midst of a meteoric comeback, Midrex Technologies, Inc. is steeling itself for a wild ride 3aded by Jim McClaskey, : resident and CEO, a :::harlotte company called Midrex Technologies is rocking the world. -ia 路1 ng no new major con tracts in th~ last five and a half years, Midrex '"laE staged a comeback with four new i ternational contracts to build mu ti-m Ilion dollar iron reduct on faciliti-35, representing a fulllOO percent market share for their indust路y segmeot f:>r 2004. They are elated, but cautious, because know a:; th.e steel industry goes, so goes L"leir bu9nes~. _o they are planning for a new future, one that won't be fully dependent on t "le steel ind.JStry for revenue. Mid rex io 1 strictly a business-to-business operation ard fc.r at the end of that spectrum t~"ley

according to marketing manager Chris Ravenscroft, however, their operations impact considerably more than just their client companies and Charloue. Overcoming technical , commercial, and cultural challenges, Midrex has built numerous ironmaking plants in 19 countries throughout the world since 1969 The impact of this Charlotte technology firm has been felt internationally- from the dry, sandy heat of Saudi Arabia and Egypt to the frigid cold temperatures of Canada and Russia. Their iron reduction processes contribute to more environmentally friendly steelmaking processes, keeping the air cleaner for all of us. These technologies enable various countries to cost-effectively produce the steel they need , using indigenous or imported materials. And their aggressive development effort is producing more jobs and more revenue to benefit the Charlotte area.

Steelmaking I 0 I

llistorically, Midrex has been recognized principally for a technology that converts iron oxide into a form of iron readily used by the growing electric arc furnace segment of the industry to produce steel. Simply put, steel is a metal alloy consisting primarily of iron , with a small amount of carbon, and sometimes other elements. The first step in traditional steelmaking is mining the iron out of the earth in the form of iron ore. Iron ore usually comes in the form of oxidized iron, or Fe 20 3 - also known as rust Most of the time, the iron ore then goes into enormous coal-burning blast furnaces that heat the Fe 20 3 to more than 1500 degrees Celsius, simultaneously removing the oxygen (reduction) and melting the hot metallic iron into liqutd referred to as "hot metal," suitable for further refinement to create steel. )oo-


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The metal, once cast into finished steel products then goes on to be fanned into cars, appliances, bridges, construction materials and so on. Eventually, it comes back into the process when it reaches the end of its first life and returns as scrap steel. But scrap steel, which is already primarily pure Fe, does not require the energy intensive reducion step Therefore, scrap is not fed into a blast furnace, but is melted with electricity. in an electric arc furnace. This process is more environmentally friendly and cheaper than the hot coal furnaces. But historically the steel making industry has continued to be dominated by the coalburning furnace for several reasons. Since it is not economical to use electricity to directly smelt (melting and reduction) Fe 20 3 . until the 1960s only scrap metal was us:':d in the electric arc furnaces. So production was limited by the finite supply of scrap steel. Additionally, because scrap steel generally goes into the furnace with contammants, such as the plastic, rust, and zinc from its former use, the quality of finished steel was usually of a lower grade than that produced by the coal-based furnaces melting pure Fe 20 3 . In 1955, Hyl, a company in Monterrey, Mexico, pioneered a process for turning iron oxide into pure Fe without the high temperatures necessary in traditional coal-based furnaces, thus rendering it suitable for use in electric arc furnaces. The process, called direct reduction, works like this: iron oxide is heated and then exposed to a gaseous mix high in hydrogen and carbon monoxide. The gases react with the iron oxide, convening it to pure iron, with water and carbon c.ioxide as byproducts. "What goes in is a solid pellet of iron ox.i.de and it comes out as a solid pellet of metallic iron, just lighter without the oxygen," says McClaskey "What it does is it reduces the solid iron-bearing material to metal, without changing the shape." Direct reduced iron, or DRI, can be added to the electric arc furnace to impro•;e the quality of the resulting metal, as well as to provide a more reliable stream of raw material. But HylS "batch" process, though clean and effective, was inefficient and limited in productivity, so the industry remained a purely niche field.

ln 1969, the first commercial-scale continuous process direct reduction plant went into operation as the result of development efforts by Midrex Technologies, Inc.s predecessor company. The new continuous process from Midrex, which made direct reduction efficient, cost-effective and productive, together \vith improved scrap collection efforts, helped electric-arc-furnace-steelmaking to grow quickly from its niche position as a producer of only 1 or 2 percent of the worlds steel to its current share of 3 7 percent. Midrex also quickly overtook the lead in market share, and have maintained that lead at more than 60 percent ever since. In 1971, a German steelmaker by the name of Willy Korf commissioned two Midrex plants and shortly thereafter purchased the rights to the technology It was Korf who, in a deal made with the North Carolina National Bank, brought the company$ headquarters to Charlotte, where it has been ever since. ln 1983, Mid rex was sold to its current parent company, Kobe Steel of Japan. The growth in DR! production and the concomitant growth in electric arc steel making is good news for the environment, because electric steel making uses cleaner sources of fuel than coal-burning furnaces. Its also good news for many developing parts of the world, where coal and scrap metal are scarce but natural gas, which fuels the Midrex Direct Reduction Process, and iron ore are plentiful. "We think the future is extremely bright," says McClaskey. Rocks a nd Hard Places

But despite their meteoric and solid success, Midrexs history has not been without its challenges. Perhaps the greatest challenge faced by Mid rex is that they are at the mercy of steel prices. Additionally, because the Mid rex process relies on natural gas, the price of natural gas can have an inverse effect on their business. When petroleum and natural gas prices rose to record highs here in North America and global steel ptices slumped ever lower from january 1999 to September 2004, Mid rex landed no new major contracts. They continued to work on existing contracts through completion, but sales of new plants fell to exactly zero during those years. The

www.greaterch arl otte biz. com


company reduced Li1Cir staff as they did during previous ste~J industry down cycles and cut their leased ;pace to less than half. However, they endured, surviving on the earnings from e.<ist ng contracts and sales of equipment and services to existing plants. But recent u~JS\dngs in steel prices and regionally favorable gas prices around the world have sent Mdrex back into boom times. In fact, fc,r 2•)04 and 2005 they have won every new cortract they have competitively bid on, resulting in a 100 percent market share fort~ past 12 months. Their staff has increa~d 1-0 more than 110, with more hires in p~ocEss. Its no mystery why Mid rex is the choice for all of the past years new contracts. Besides their commitment to innovation and their outstanding record of solutions and service, Midrex plants have the distinguished and unique track record of producing consistently well abo\·e rated capacity The recent boo~ is good news for Midrex, but they a-e detem1ined not to remain at the mercy of steel prices. "It's not a matter of IF, its a matter of WHE steel prices will go into 1 down tum again," says

::>ne of t1e numerous iro makin: plarts Midrex has built around the we ric is IMEXSA which :>egan operation in 1997 in L;izar::> Ca -d enas, Mexico.

\II.:Claslcy "SJ what we're tryin§ tc d) is eve\ out the J=Caks and valleys." To th.u end, they have begun deve opm~nt of ~.e\.'eral promising new tE.chn logics, smne of "¥hich are iron-based (and thcrdore still suby-:ct to the ups and downs of tlc steel

market), but many of which are not. "It's a new attitude," 53)-S Robert Klawonn , vice president of Midr-xs co-nmercial group, ' to make sure tlut w~ are p)sitioning oursehes for the next nvo cr three decades. " One of th :: ne-..v tec!rJO!ogies, called )>-

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!Tmk3, allows a lower grade of iron ore to be used with lower grade coals, while producing a higher quality iron that brings a premium price. Additionally, the process is environmentally cleaner, and can be used with coal technologies for market segments where natural gas is expensive or simply not present. Midrex, in partnership with several other organizations, will begin engineering on a commercial-scale 1Tmk3 facility later this year in the U.S. The new technology will help Midrex penetrate new markers and generate new sources of revenue but, as Klawonn points out, "Its still in the same industry, so its still going to go through the same cycle. We need something thats going to be counter-cyclical, to fill in the valleys when iron and steel is down." Other areas they are exploring include the non-ferrous metal market- that is, metals other than iron and steel, such as nickel and copper. The key, they say, is finding areas of development that will take advantage of their existing expertise in the fields of pyre-processing, high temperature solids and gases, etc. This expertise includes a broad reach of services and abilities that complement their technology For instance, they own their own procurement and shipping companies, as

lOt Mid rex Technologies, Inc.

MiDREX

2725Wate r Ridge Parkway, Ste. I00 Charlotte, N.C. 28217 Phone: 704-373- 1600

Principals:James D. McClaskey, President and CEO; Robert M. Klawonn,Vice President - Commercial; Daniel J. Sanford, Vice President - Operations Pare nt Company: Kobe Steel of Japan Founded: 1974 Employees: I I 0 Othe r Offices: (headquartered in Charlotte)

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20

march 2005

Business: Providing iron reduction and other high temperature technologies to the iron, steel and non-ferrous metallic industries. ISO 900 I Certified www.midrex.com

www.greate rch arl otte biz. com


well as logistics and operations expertise, and partial ownership in a briquette manufacturingcompany Solid Foundat ion, Shiny Prospects

Midrexs long history is nearly matched by the length of tenure of its senior employees. McClaskey joined the company in 1974 at the staff level. In 1990, a separate purchasing arm, called PSI, was spun off into Pittsburgh, and McClaskey went with it. In 1995 he returned with PSI to Charlotte, and two years ago was promoted to COO and president. He took over as CEO last june from the outgoing president Winston Tennies, a co-founder of the MID REX Direct Reduction Process who had spent more than 38 years with the company. Klawonn has been with the company twelve years, having joined the PSI branch in 1993 in Pittsburgh, selling spare and replacement pans. When PSI moved to Charlotte, he stayed in Pittsburgh to pursue another opportunity, but he soon came back. "! guess maybe the grass wasn't so green there at my other opportunity," he laughs. As vice president, Commercial, he now is in charge of marketing, sales, and licensing. Klawonns story is not unusual at Mid rex. The company prides itself on providing its employees great opportunities, and many return to the company after they learn that the grass isn't always greener elsewhere. Midrexs other chief executive, vice president, Operations, Dan Sanford is yet another longtime member of the Mid rex family and has recently been in Malaysia kicking off a brand new construction project with a client. One of the attractions of the company is the international travel. "Its sort of like the military," jokes McClaskey: 'Join Mid rex, see the world." But its more than a joke. Nearly all of Midrexs 28 plants are located outside the United States representing 47 out of 51 MID REX modules. With the relocation of three U.S. modules to foreign locations, only one U.S. module will remain. This plant located at Georgetown, S.C., is the oldest Midrex plant in operation. Their fore ign plant location map looks like an exotic vacation wish list - India, South Africa, Malaysia, the Arabian Gulf, Egypt, Europe, Russia and South America. Employees are encouraged to join project location teams and work in inter-

greater charlo tt e biz

national settings, learning about the unique needs of other countries and the demands of different cultures. On a more common?lace level, the company offers good benefits an:\ competitive compensation, but they don't resort to cute gimmicks or extraordinary incentives to keep good people on staff. They don't have to. The average tenure cf err_ployees at the company is above the mrm. with many of their team having made an entire career with the company All of this is good news f:Jr Charlotte,

where Midrex currently holds its headquarters and only location , and where they plan to add dozens of new jobs over the coming months. Additional good news fo r Charlotte is the more than $300 million dollars of revenue the company will gamer from their new contracts, and the additional more than $100 million they expect to contract over the next couple of months. There seems to be no immediate end in sight to this companys good news. biz Heather Head is a Charlotte-based freelance wnter.

Building brighter futures together. .. Poyner & Spruill employmem attorneys understand the human resource needs ofgrowing businesses, both large and smalL Together we can aim for a future ofpromise, and we'll be with you every step ofthe way.

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The future holds possibilities for I0,000 ,ore the United States. His dad was convinced that a neighbor-

~ores

to open, creating more conveniEnt shopping for low- and moderate-income fa milies across

has opened 500 or so stores annua ly for

apparel chain Best Price Clo:..1ing Stores in

hood store that sold economy-priced

several years, adding up to 2,000 new loca-

1988, then was a self-employed investment

essentials to low- anC. moderate-income households could succeed. Locating within walking distance of farcilies with annua~

tions since 1999. He gives much of the credit to that management team. "We've had tremendous growth." Levine

rr.anager from 1992 through 1996. That year, he rejoined Family Dollar. He became

incomes of $30,000 to $35,000 proved posi-

says, "and there are a number of people here who were instrumental in that." HE. starts to

tive. Today, th e store5 are in 44 states and the e>."Pansion ha~ been financed entirely fro:n internally generated funds. That grow:h will continue, Howard Levine vows during c. conversation in

hi~

name some of them , then catches hmself. "It rea]y is a team thing," he Sa}S. "We've

He likes the niche market Family Dollar has carved , but hes spent time and effort

agement team , and I enjoy that relctionship,

tweaking the way the stores service it.

the camaraderie."

sprawling 850,000-square-foot headquarters

Then he turns to the business itself. "I like the competition and l like that in this

in Matthews. "In the years ahead, we're going to luve almost 10,000 stores," ::...evine says. He's peer-

business you always know where you stand," he adds. Now 46, Levine grew up visiting stores

ing into the ft:ture as he looks at a wc.ll map

with his dad. His passion for the retail chain

of the United States ~ovith thousands of pins stuck in it, one for each store and dis:ribu-

evolved, with no family pressure. !Iter earn-

tion center. Then he talks of strengthening the management team , a group of executives he professes to enjoy associating with. The chain

24

march 2005

1998. He succeeded his father as chairman ir. january 2003.

been very fortunate to build a strorg man-

small office. Hes deep \vithin the companys and distribution center just outside Charlotte

president and chief operating officer in 1997, then president and cl-.ief executive in

'Everyday Low Prices' He points to a change of approach in the late 1990s. Thats when the >tores stopped running frequent sales, sup pJrted by multiple newspaper circulars, and instituted "everyday low prices." ales increased markedly in stores that

ing a business degree at the UniveGity of North Carolina at Chapel Hill, Lev:ne spent

had been open at least a yea r, a strong indication of solid growth. Customers liked it

seven years in the Family Dollar rrerchan-

"'::-hey know they don 't have to wait for the

dising department.

ad on Clorox or Tide to take a 50-cent or

He took the presiden::y of wo!'l'rns

dollar markdown ," Levine grins.

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This fueled the big boom in new stores. But it also presented a challenge- lower margin on sales. Levine addressed it in a number of ways. He invested heavily in technology and systems to ensure a low-cost supply structure and added to Family Dollars two distribution centers. The eighth distribution center opened earlier this year in Marianna, Fla. And he balanced those low-margin items with merchandise that allowed the stores to make more money "We added greeting cards and gifts and what we're now calling 'treasure hunt' merchandise," he says. Treasure hunt items are things you might not expect to see in a store that tries to keep

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prices at $10 or less. For the holiday season,

~~

Family Dollar found an exceptional buy on a popular doll that usually sold for $15 or

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more. Family Dollar priced one version at $10 and another at $5. "We had a $5 phone that also had caller lD on it," Levine continues, remembering Christmas 2004. "We sold over 200,000 of those. And the phone works great. " "Opportunistic purchases," closeouts and

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other specially-priced products fuel the treasure hunt concept, Levine explains. He believes the chain can provide value merchandise periodically in categories such as home decor, lawn and garden, toys, small

~ (?

electronics and even in apparel, which has been deemphasized in the past. The treasure hunt concept impresses Family Dollar director Jim Martin, corporate vice president at Carolinas HealthCare

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System. "Its amazing," Martin says. "I think it adds excitement. You tend to think of the bare necessities at Family Dollar, but people also are intrigued when they find good quality merchandise that is reasonably priced."

Emphasis on Urban Markets Marlin, whos been a board member for eight years, is optimistic about the future. "I think we've got some things underway that'll help us continue to prosper," he says. So does Levine . He cites the chains

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emphasis on locating new stores in urban markets and beefing up the ones already there. "In the Last couple of years, over 60 percent of the stores we have opened have been in urban markets," he says. 'The chain today

greater charlotte biz

ma rch 20 0 5

25


is probably around 30 percent urban. Its

moving toward more urban because tha:s where our customers live." On the wall map, he points to Charlotte, festooned with 20 or so pms. "We're still boking for sites here," he says. The same is true for Chicago, Indianapolis. New York , Miami, Atlanta, New Orleans and other urban environments, he adds. He likes the customer :tensity in cities such as these. "We've opened a lot of stores in the ortheast in the last several years," he says. "You could have 40,000 peo?le ·within a half-mile to a mile in some of tho~e areas." What do they buy7 Levine :icks off paper towels, toilet paper, bleach and tir_ foil. "All t·1ese consumable items are really big movers today," he says. Many existing urban stores will gee improvements in 2005 as part of an urban initiative program, Levine add~. Investments are being made in process changes, technology and people, including organizJtional ::·1anges to support a more mobile and Oexible workplace. During the first quane-, -"'"·hich ended November 2004, the program ·..v·as implemented in about 30C stores. By August 2005 , it will be in place in more than l 000 high-volume stores ;n 30 large metro rr_arkets. The objective of the urban initiJtive is to increase profitability in urban stores by generating stronger sales and ~imu. taneously lowering shrinkage losses. Reducir_g store rr_anager turnover is also a priority 'There$ a big benefit for us f we c<Jn have

a manager in a store for a year or more," Levine says. "All the merrics are better, from sales to profitabiity By giving our managers t~e support the> need to succeed, we will Rduce turnover and that leads to better cperating perfor:nance. Another key initiative that has Levine excited is the rollout to selected stores of coolers for perishable food. The introduction !::egan in january 2005 and the plan is to have coolers stocked with milk, eggs, ice cream, frozen pi~za and the like in more than 500 stores by ALgust. Along with this, a pilot program will begin this sumrrer featuring point-of-sale register software designed to facilitate food stamp acceptanc. It will also simplify cashier training and speed up the checkou: process. "We think the cooler concept fits nicely into our niche o( providing value and convenience,"' says levine, who foresees the coolers being added to many more stores in the next few yeaLS. "If you want a gJllon of milk, you could stop a convenience store or stop at Family Dollar and probably save some money YoL don't necessarily have to walk into a Wal-!.tlan if all you need is a couple of items. " Competitors Not Really Competition Wal-Mart is among a number of competitors for Family DJllar, Levine says. "They've aggressively purs·Jed the low-income customer, particularly in the last few years," he says. "We're able _o compete with Wal-Man. We have a differe-tt niche, small sto-es within

Family Dollar Stores, Inc. Corporate Headquarters: I040 I Monroe Road Matthews, N.C. 281 OS Phone: 704-847-6961 Principals: Howard R. Levine, Chairman and CEO; Leon Levine, Founder and Chairman Emeritus Founded: 1959 in Charlotte PubliclyTraded: Since 1970;common stock listed on the NYSE as FDO Stores: About 5,500 in 44 states and D.C.; Maine to Florida to Arizona and Idaho Typical store: Free standing or in strip shopping centers, 7,500 to 9,500 square feet Business: One of the fastest growing discount store chains in the U.S. Self-service retail discount serving pri marily low- and moderate-income customers with basic merchandise for family and home. Most merchandise is priced under $10.00. www.familydollar.com

the neighborhood. Even so, all our customers shop Wal-Man and its important fo r us to understand what they're doing. " One analyst says Dollar General, the largest company in the neighborhood discount retail market, is "at ease living off the crumbs ofWai-Mart. "

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Levine smiles. "At $250 billion in sales, Wal-Mart has a lot of crumbs that can make a nice meal for us," he says of the Arkansasbased behemoth with more than 3,600 U. locations. Family Dollar is second only to Dollar General in the neighborhood discount retail market. Based near Nashville, Tenn., Dollar General has about 7,250 stores and reported 2004 sales of nearly $7 billion with a net income of $301 million. For its fiscal year that ended August 28, Family Dollar reported sales of almost $5.3 billion and net income of close to $263 million. After Family Dollar come other competitors such as Dollar Tree, 99 Cents Only and Big Lots. Levine sees Family Dollar's footptint expanding into all the contiguous 48 states sooner rather than later. But he's philosophical about whether his chain can have more stores than Dollar General. "As long as we run our business right and take care of our customers and our associates, we'll be fine ," he says. "Bigger isn't always best."

Taking care of business includes plowing money back into it, he says. "We don't get stale. We've invested in growing our stores." Indeed, investments back into the business have grown from $163 million in 2001 to $218 million for 2004 and a projected $270 million for 2005. "Putting money back into the business is appropriate," says Mark Bernstein, who's served on the Family Dollar board for more than 25 years. "Howard grew up in the business and learned from his father. In a difficult retail environment, Howard is providing some strong leadership," adds the retired partner of Charlotte law firm Parker Poe Adams & Bernstein, LLP "I think he has good plans for future growth." Levine returns to his vision. The way to get continued fast growth is simple, he says, again looking five years ahead. "We need to work within the framework of what's been successful for us," he says. "Offer great value to the low- and middleincome customer." biz Ellison Gary is a Charlotte-based freelance writer.

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In Charlotte, the school system unveiled its school desegregation plan; Charlotte College became The University of North Carolina at Charlotte; General Tire announced a new plant for the area ; and WTVI went on the air. Its first broadcast on August 27, 1965 , began at 7:00 p.m. with "What's New7" (a children's show) followed by a concert of folk music featuring Joan Baez and Pete Seeger. WTVI began as an instructional arm of the local Board of Education. ln 1982 , the Charlotte-Mecklenburg Public Broadcasting Authority assumed WTVl's license, and the station took on a broader community-oriented role. Today WTVI serves 13 counties, 11 in North Carolina and two in South Carolina, and over 330,000 households. Its mission is to support that community th rough unparalleled educational, cultural and civic programming and services. As WTVl celebrates its 40th anniversary this year, it will also celebrate its second year under a new president and CEO. Elsie Garner came to Charlotte in June 2003, taking over the helm of WTVl from Hal Bouton, who had guided the station over the past twenty years. Garner came to Charlotte from Tampa, Florida, where she spent much of her professional career at public television station WEDU. "l thought Charlotte wou ld be a wonderful place to live and work," says Garner. "1 was attracted by the sense of community that pervades it. My passion is to use the media as a means of helping the community explore and u nderstand itself. " Garner was born to missionary parents in Peru and spent her first twelve years growing up in South America. Her fam ily eventually moved to Tampa where she went to school. Weeks after graduating from high school , Garner went to work at WEDU. She started out writing press releases, on-air spots and creating daily logs, but a few years into her career, she returned to South America for seven years. Her husband Bob ran a school in Bolivia. When they moved back to Tampa, she remembered that Leroy Lastinger, president of WEDU , had told her to call him if she ever wanted a job. She did and the rest is, as they say, history.

30

march 2005

"''ve done just about every job there is to do at a public television statio~ , " says Garner. "The only thing 1 haven't done is engineering. " During her 30-year career at WEDU , Garner served as COO and interim president, while raising four children and earning an interdisciplinary degree from The University of South Florida.

It's Not like All the Rest While WTVI is one of three public television stations that broadcast in the Charlotte market, it is very different from the other two in that its only mis5ion is to provide services solely to the Charlotte region. The Mecklenburg County Commission established WTVI precisely for that purpose. This, according :o Garner, underscores the station's mission to serve the community. "We are more than a TV station ," she says. "We are a nonprofit organizati on providing education and service through TV" WTVI extends its on-air programs through print materials and community activities. These are designed to encourage individual or community participation in finding solutions to national and local issues of concern. For example, the station participates in Ready to Learn, a national literacy initiative born from an alliance between PBS and the U.S. Department of Education. Ready to Learn (RTL) targets pockets of underserved children across the nation. WTVl airs over 11 hours of educational children's programming each weekday and provides free community works hops, chil dre n's books, teaching materials and the English/Spanish language PBS Families newsletter to area parents, teachers and organizations that work closely wi th children. RTL workshops and materials tie into the content of quality programs like "Sesame Street," "Arthur, " "Clifford路' and "Reading Rainbow. " Through its RT L initiative, WTVI serves over 13,300 at-risk children in 350 childcare facilities. Over 3,500 parents , childcare providers and early childhood professionals have participated in WTVI's RTL workshops, and over 40 ,000 booksall free and new- have been distributed to children in the WTVl viewing area. The

U.S. Department of Education has twice named WTVI as one of the top five RTL stations in the country. WTVI has also developed an outreach campaign to enhance the message of its upcoming documentary "Hometown Stories: African Americans." Using wo rkshops and Web activities, it hopes to promote further understanding on how race impacts the people in Charlotte and to encourage participan ts to develop skill s to ident ify racial and cultu ral differences in their schools and/o r neighborhoods and deal wi th the m.

Changing the Channel One year after arriving in Charlotte , Garner directed a radical programming change at WTVl. After careful market research , which included a telephone survey of donors, a random poll and discussions with local leaders , WTVI began offering a different mix of PBS programmi ng and local shows. It stopped canying PBS fare like "Masterpiece Theater," "Now with Bill Moyers" and reruns of "Mister Roger's Neighborhood" and according to Garner, "put on what the viewers said they wanted. " While WTVI continues to air some PBS shows like "Nova," "Mystery" and

WTVI,Inc. The Charlotte WTVI~ -~ Mecklenburg Public Broadcasting Authority 3242 Commonwealth Avenue Charlotte, N.C. 28205 Phone: 704-372-2442 Principal: Elsie Garner, President and CEO In Business: Celebrating its 40th anniversary! Business: Begun as an instructional unit of the local Board of Education,WTVI has evolved into a sophisticated public television station offering a diverse mix of programs and services designed to inform, educate and entertain. www.wtvi.org

www.greaterc h ar Iotte biz . com


"An tiques Roadshow," it has added several

programs. The National Academy of

British comedies to the lineup including "May to December," "Yes, Prime Minister"

Television Arts and Sciences recently

and "To the Manor Born. " But the majo r

bestowed an Emmy on WTVI producer/director Stuart Grasberg for his

strategic move it made was to expand its local programming. WTVl airs local public affairs p rog ram ming like "Carolina Business Review, " a

work on the "Out of As hes : The Story of McColl Center for Visual An" doc umentary, which debuted on WTVI in Novembe r 2003. The documentary

business program; "Final Edition," a longtime Friday rou ndtable; and "Healthwise,"

chronicled the 1984 fire that destroyed an Associate Reformed Presbyterian Church in uptown Charlotte and the church's

a medical call-in show lt carries the Mecklenburg County Commission meetings live, and during election years, it broadcasts the League of Women Voters debates. The station has also made good use of its state-of-the art production facilities, producing documentaries that focus on Charlotte's history and people. Last October, WTVI produced "The Mecklenburgers" in partnership with Mecklenbu rg County. This "info-comedy" series of five programs was intended to let Mecklenburg County residents know what their tax dollars pay for. Program topics included HlV Education , Latta Plantation, Land Use and Environmental Services and Literacy. Two new episodes of "The Mecklenburgers" are scheduled to air in spring 2005. WTVl has responded to the growing diversity of the Charlotte community wi th its first ever Spanish-language public affairs program , "Charlotte Hoy." Taped in panish and hosted by prominent figures in the Latino community, the series featu res segments of interest to the regio n's Latino neighborh oods and includes a report on weekly news headlines from arou nd the world. "My Americas," an English-language travel show highlighting Latin American countries, ai rs before "Charlotte Hoy" on Sunday mornings, comprising a block of programm ing geared towards the Latino community. "WTV1 is conquering new territory with 'Charlotte Hoy,"' says Garner. "Few broadcasters in the Charlotte region have programs that are entirely devoted to serving the Hispanic audience. We are excited to be one of the first. "

Striving for Excellence Not only has WTVl expanded its local production, it is winning awards for its

greater charlotte biz

rebirth as an artist community fifteen yea rs later. ln total , WTVl has won four Emmy Awards for projects including "Chihuly in Charlotte," "N ickels from Heaven" and a public service announcement spot. "Chihuly in Charlotte" documents the transportation and assembly of the famous artist's exhibits when they came to Charlotte in 2000 . And "N ickels fro m Heaven" recounts the experience of the first African-Ame rican solders designa ted as U.S. paratroopers , nicknamed the "Triple Nickels." WTVI has also won 12 Telly Awards since accep tin g its first in 1996 for "Exposures of a Movement, " which told the stories of four African-American photographers whose work focused on the Civil Rights movement. Eight of those awards we re received last year whe n the Telly Awards created a special co mpetition to honor the best te levision programs from the past twenty-five yea rs. Another documentary, "The Queens Cup teeplechase ," wo n WTVl producer/d irector Frank McGough honors for "Best Documentary" at last year's third an nual Southern Exposure Film Forum, a local film festival. The film describes the history of stee plechase racing, the founding of the Queen's Cup Steeplechase and how the Queens Cup race benefits the Catawba Lands Conservancy. Of course it's much more ex pensive to produce shows than to lease them. Garner says that while an hour show might cost the station $100 to lease , it could cost anywhere from $20,000 to $200,000 to produce. She is always looking for partners for WTVl's programs. Mecklenburg County helped underwrite "The Mecklenburgers," and various county departments and agencies will use

the programs as education too ls in classrooms, seminars, conferences, and so forth. Bank of America provided a grant to support "Charlotte Hoy. " WTVI is teaming up with the Rotary Club of Charlotte to produce a two-pan documentary titled "How l Survived War and the Rest of My Life ," which takes a firsthand look at war and its heartaches and triumphs through the eyes of World War ll veterans from the Charlotte region. "Public TV always runs on a shoestring," says Garner about the high cost of producmg documentaries. "We're erealive about using our resources. And our viewe rs have been very loyal. They appreciate that we're giving them something different from our competition and that we're giving them quality programming Like other publi c stations, WTVl relies hea\路ily on its viewers for funding , but one of Garner's goals for the station is to establish an endowment that will provide conunuing support fo r the station. "We need a steady mcome stream, such as a very large endowment , to helter the station from the ups and downs of the local economy," says Garner. "That wou ld give us more finan cial stability." Garner has other goals for he r tenure at WTVl. She says she wants to leave behind her "a legacy of people , financial stability and ac hi evement. " "1 want to see a big album of letters from people whose li ves have been changed by ou r programming," she says. "I want to hear about children who have learned to read or been inspired to become artists or musicians by wa tching WTVI." Not that Ga rner has any plans to leave the station anytime soon . Drawn to WTVI by its dedicated staff, world class production fac ilities and the mission of service to the com munity, she plans on staying awhile. "''ve sworn I will leave public television when it stops being fun or l stop learning things," she laughs . "''m having a lot of fun and learning lots of new th ings in Charlotte." biz

Cosey jacobus is a Charlotte-based freelance writer.

march 2005

31



As the managir.g principls al Col( ene;t & Stone talk abo..._ t ~ firm's de,-el pncnt, tney v.ew one partic.Jlar pra~ect- GJtewa.' \'ilbge in late '91)~- as a watcr_hec. morn~nl. -::or then it was 1 turning point, garne-_-,g rccognit'on o the firm's essential strengths. ·'That project ]:- dped us gr:Jw tc ano:h~r le;el,'· say; Michael Cok,

cf -he lanJsca1•c 3.lChitccturc ;md civil ecgireering contract for t~ ~.-,"5 million m_;,;c.i-use pro~ec t en West Tr;J..:Ie Street in center cit,, Ch1rlotte_ It han·ened i: _996 whe:t thm-c hairrmn Hugh McCJIIjr. of Ban-< of Amerin dec ti Ed to place a hu~ tec1rolo~y comp ex ·nan urba1. set·ing an.:! rr_ai2 11 a mixed-use pr::>iect th<!t in: luded residential an.:! ccmmerctll ele-n_r-..s as well ;~s l.l million sq'lJre feet of office space. Co..1sins Froperties.developed it Ic Bank of .~merica. "We '»ere th2 underdog bidding on the r·roject," co·e m:Jdestly ad mits of their li:r that ernploy~c. about 16 people a. the tirr:e. "Bu

..,.~ 5ho .... ~d

profile]

a lot of en~-!:) \\'e weE sell-

IT>; Jn tUcrest and ;J. corrrnitment to urb_n ~ ·•rk." _-d_Lble in Co es nm::l _s the day _du G- T, thn v1ce 1ns•dent of devei•J:>nen for Cousin5 Pr·J j:erties in ·:J.;E'Ic- tz, visited he hrm 's offices w d<--r;er .--te good news that the :irm was . d~:teL o work on tb. Gateway -rotect. ::;of1. who's now ser ior v1ce presider.t -, desi;u and cons.ru~tion for Cousins . -·nerr :s m Atlarta, c:neml:ers !-.ow 1~ :tact 1arrowed hi~ ~ea rch :o seven :ins: '"X...olejenest & 5tone had the best r::_l for uban pJace-rr..<Kng,' he sa)"s.

>


approximately evenly between residential, commercial, health care, ed ucation and civic, which includes parks and streetscapes. Most projects are in North Carolina and South Carolina, within a three-hour radius of Charlotte. The principals click off significant projects such as GasLOn Memorial Hospital west expansion in Gastonia, Baxter Village in Fort Mill, S.C., and Union Regional Medical Center Campus Park in Monroe. In Charl otte, they name the johnson & Wales University, the UNC Charlotte Institute Master Plan, the Carolinas Medical Center

The new 200,000-square-foot corporate world headquarters of the Billy Graham Evc.ngelistic Association soon to be completed.

Levine Children's Hospital and the Mecklenburg County Courthouse. Additionally, the firm is very proud to be

"It was really beyond the technical expert-

Colejenest as a consultant, helpe•j make

ise required. They did the civil engineering

Colejenest & Stone the

and the landscape architecture for the

land planning, landscape architecture, civil

whole project. "

engineering and urban design firm it is

Getting the Gateway project opened many other doors, jenest confirms. Other

today, Cole and jenest agree.

high profile urban projects have followed

made a big difference in snaring many con-

including The Green on South Tryon Street,

tracts, including the one for Gate Nay.

johnson & Wales University, Pack Square

"Clients could come to us and ge one-stop

in Asheville, Morgan Square in

shopping on the land planning si.::le and we

Spartanburg, S.C., and Henry C. Chambers

could offer engineering and land>eape

Waterfront Park in Beaufort, S.C.

design in the same firm," he explains

Their growth has been marked since

compreh~nsive

jenest admits there are plenty of firms that offer both landscape architec:.ure and

from Raleigh, and jenest from Boston, had

civil engineering, but believes mcst are

been college buddies at North Carolina State University while each was pursuing a

light on one discipline or the other. "We

together in Charlotte with Odell Associates in 1979. jenest moved on to another Charlotte company, but both got restless.

Billy Graham Evangelistic Association Headquarters and Crescent Ridge. Currentl y, Colejenest & Stone counts 28

Cole believes the addition of :wne

Cole and jenest first got wgether. Cole,

degree in Landscape Architecture at the school's College of Design. They landed

involved in Ballantyne Corporate Park,

really are a 50-50 split," jenest sa:'s. "We have civil engineers and landscap:: architects collaborating on the same te3.ms. " Stone buys into that. "If you jLst have a designer, all you end up with is a sketch on the back of a napkin," he says. "BJt when

Colejenest & Stone,P.A. 200 South Tryon St., Ste. 1400 Charlotte, NC 28202 Phone: 704-3 76-1 555 Managing Principals: Michael S. Cole, RLA; Brian C. Jenest, RLA; Dudley D. Stone, PE Founded: 1988, as Colejenest; 1995 became Colejenest & Stone Offices: Charlotte, Raleigh Employees: 48 Business: A comprehensive land planning, landscape architecture, civil engineering and urban design firm.

Navy and was with Duke Power Company,

year and billed almost $5 million 3ccording

and has a civil engineering degree from Clemson University.

to Cole. Except for two Oat years lollowing 9-ll, growth has come in double-digit per-

Awards: 2004 University City Town Corridor Design Competition - Winning Entry for University City Station; 2003 NCASLA Honor Award for The Green at Wachovia; 2002 IES (Illuminating Engineering Society) Lumen Citation Award for Gateway Gardens at Gateway Village; 2002 NAIOP Community Enhancement Award for The Green at Wachovia; 2002 NCASLA Merit Award for Gateway Gardens at Gateway Village; 2002 ASLA Tri-State Honor Award for The University of North Carolina at Charlotte - 2000 Master Plan Update; 2000 NCASLA Merit Award for Liburdi Master Plan in Davidson, N.C.

centages annually, he adds.

www.colejeneststone.com

They reunited in 1988 to form Colejenest and located on East Boulevard.

you start putting the technical pa~ts to that

A coup le of moves through center city loca-

and add the attention to detail thc.t comes with thinking technically, then yo-1're going

tions since then has brought them to their

LO come up with designs that woro<."

current location on South Tryon Street, the

Today, Colejenest & Stone operates with

old NCNB building. Cole and jenest renamed the firm

48 employees in over 10,000 squue feet on the 14th Ooor of 200 South Tryor: Street.

Colejenest & Stone in 1995 by bringing in

The firm has four more employee.> in a

Dudley SLOne as the third managing princi-

Raleigh office that it opened last Pugust.

pal. The Atlantan is a veteran of the US

Coming to the fore Stone, who had been working with

34

march 2005

The company grew by 16 perc nt last

Colejenest & Stone has a healtil y mix of projects, Cole says. The work is d vided

www.greate rc h arl otte biz. com


Colejenest &

S:on ~

provided civil engineering an c landscape archite: ture services for the new C harlotte Arena located in Charlotte's center city.

projects withir. th ~ Interstate 277 loop that defines center cit)' Charlotte. These include working with architect Ellerbe Beckett on the uptown arena that will be the home of the Charlotte Bob: ats. Commitment to urban work

Another irrportant project was to provide the civil engineering and landscape architecture dcsigi for The Green, an urban park developd b; Wachovia between South Tryon atd -outh College streets directly in front o~ the Charlotte Convention enter. The whimsical greenspace caps an underground parking deck, and is adjacent to a seven-Ooor condominium complex called the Ratcliffe. "Colejenes & Stone was very open to unique ideas Expressed and took a pretty collegial approach," says Pat Mumford, Wachovia's seni01 vice president for community affairs "There was no ego that came out from Colejenest & Stone. They were very humble in their expertise. That obviously helps ar OV'Iler's representative work through a pro_ect and be happy. " jenest believe' pan of that attitude springs from the -irm's commitment to urban work. ] ~ nest says "We're all very interested in oirg things that maybe make a little bit more sense environmentally." Then he's quick tJ add : "Not that we don't

greater charlotte biz

do work out in Lie suburbs, as we are also involved in greenfield development. 路 Along with rrore options for devElopment, business 1- as grown more complicated in tie last ten years, Stene says. "It's so much harder because of the regulatory and e:wironmental requir=ments that were not in place before," he e;olains. "These things are good because we're taking care of the en\'ionment. But there's ;a lot of information and details to include ir our construction plans and specification~. We have an orgamzc.tion here that shc.re; information and keeps clients and staff a\.Jare of new regulations and requirement5. " Stone also pc ints out that the success of the firm is due il large part to a cornnitted and energetic staff. The collegial atrrQsphere and its high profile projects hdp the firm attract som~ of the brightest gr<:duates from schools wi~h strong landscape Jrchitecture or civil engineering curriculLms, all three managir_g principals say. Among the campuses Colejenest & tone visits regularly are NC Sta e University, Clemslln University, the University of Georsia-, and UNC Charlotte. The firm trie; to keep its youthfLl staff happy with outings, such as a recen_ trip to Bald Head Islan::l , and parties such c.s the holiday soiree that started at center :ity hangout Cosmos. "Thirsty Thursda> " ses-

sions are a regular after-work event Colejenest & Stone encourages commun_ty involvement as well. "We are fortunate for all that's happenec. to us," jenest says, "c.nd we like to give back." He lists the Cantwell Str~et Subdivi5ion Colejenest & Stone designed for Habitat for Humanity and the firm's involvement with Friendship T~ays , the Chamber nd the Urban Land Insutute. Using the Raleigh office, Cole believes the :Dmpany can serw some Eastern North Caro:ina markets he beLeves are neglected such as Ne-w Bern , Wilmington, GreenvCle and jacksonville, among others. Developers in those cities probably wouldn't work -with a Charlotte firm, he says, but he's hoping they'll listen when the Raleigh office corr_es call:ng. In five years, Cole ac.ds, the companymight well have an A;heville office, and maybe one in Wilmington, as well as in Greenville, S.C. 路we would rather have five small offices than one large firm, " Cole says. "We believe t is kind of growth will provide better service for our clients and better opportunities for our staff." jenest says, "We're all about getting clients what they need on time and ma<ing sure it's right. " biz

Ellison Clary is a CharlottE-bcsed freelance writer.

march 2005

35



by focusing m the ::ore values it was

K. Hovnanian Homes is a bnnidable national buil d~r which, in the North Caw lira

fo unded upo< . bplains Beauchamp, "We

market, has acquired what were formerly

expect nothirg Ieos than to be in the top ten

known as the l:ui ders of Fortis Homes aod

percent of all bome.::>uilders with regard to

Westminster HJmes, and has created the

our custooeG' saisfc.ction, the satisfactioJn of

Four Seasons -~ctive Adult Commu1ities.

our assoctate;., pcsitive relationships with OJr

The builde- is ore of the largest in the na ion

business parners :md the sc.tisfaction o:· our

and one of the heJithiest builders in the

sat~.

and recently was designated one of the Forbes 400 'Best Big Compani~s' fo- the fourth

consecu:iv~

shareholders."' In today's ~omxtitive marketplace, this is no small feaL With 'l-_om~s available' signs crowding every ox.1.er of green space,

year. (prono>Jnced "bee-

Beauchamp s:~ys customer service is the

chum"), "This company has had a very stlid

defining elerrent of success. "Every bu..lder wants to _nake a good

Explaim

B~ mo:hamp

vision since it \,•as started forty-five years :ago. Every deu,ion

IS

deliberated up·Jn and c;;lcu-

lated to prt•\l.de the best fit for our customers.

house, and

b-:~ild

it efficiently But whcr. it

comes right cow:J to it, 1-.ousing is a co mmodity You can o-Ly buy your mate1ials fo" so much , anc you ca:J only sell your produ : t

The First Floor

Begun in l<;S;> by Kevork Hovnanian, K. Hovnanian Homes has grown exponenti8ly

greater charlotte biz

at a certain

rr~rgin.

There JUSt isn't a lot you

can manipulcte v.".th regcrd to price. Wh:1t you CA

cor trol .s the

buy~r's experienc~, ~

marc 1 2005


_he quality of the workmanship, and being :ertain you deliver on your promises." Beauchamp adds, "We make certain we :leliver on-time and on-budget with the end :xod uct 100 percent clean, complete and :ustomer ready. Not many builders out there :an say that. " K. llovnanian Homes is headquartered in Red Bank, New j ersey, and is currently !leaded up by president and CEO Ara K. Hovnanian. kociates including Beauchamp :redit the philosophy and leadership of the founders for the company's success, ·'Integrity and mutual respect are the comer:stone for every relationship created in the :ompany. From the homeowner to associJtes, there is no 'us or them' mentality. By ~ limin a tin g that unnecessary wall that alienJtes people and hinders a successful venture, ~veryone involved can work toward a mutual goal - the creauon of a beautiful home." K. Hovnanian Homes makes it a point to ::!rive this vision home. All employees are ·associates,' froo the office manager to sales professionals to the company's executives. It was this mindset that attracted Beauchamp to its ranks.

"1 worked as a successful builder and owner of my own company for years, and enjoyed it. But when the opportunity to work with K. Hovnanian Homes pr~sented itself, 1jumped on board . 1 was very impressed with the values and character of the company, and it was a very logical fit. " While most successful businessmen seem to move fro m corporate to independent ventures, Beauchamp says he has never been happier. "Now 1 do what I love to do, which is building homes, but l can do so wi th the incredible resources, support and leadership of this very reputable organization."

The Stairway to Success The resources of K. Hovnanian Homes are considerable. The company builds in over 275 residential communities across 15 states and reports total revenues of $4.2 billion on 14,586 home deliveries in fiscal 2004. Its shareholders are pleased as well . Earnings have grown 76 percent ov~r the past three years and the company !us been selected to Fortune magazine's '100 Fastest Growing Companies' for the past three years_ Beauchamp attributes a lot of the com-

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K. Hovnanian Homes of North Carolina, Inc. A Division of Hovnanian Enterprises, Inc.

5435 77 Center Dr., Ste. 30 Charlotte, N.C. 28217

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pany's success to the diversity of homes it offers as well as well-placed market strategy. "1, and everyone in the company, believe that everyone should be able to have a home that they are proud of. It is the American dream.

t e chno log!:j par t n er s

A ''NEWERA"

OF CONSULTING SERVICES

Phone: 704-527-4640 Principal: Ricky Beauchamp,Division President; Kevork S. Hovnanian, Chairman, and Ara K. Hovnanian, President and CEO, of Hovnanian Enterprises, Inc. Revenue:$4.2 Billion in 2004 Employees: 90 in the region Founded: Parent company founded in 1959; located in Red Bank, N.J. Publicly Traded: Parent company listed on the NYSE as HOY; members of the Hovnanian family control over 60 percent of the company's stock. Homes: The company's homes were previously marketed and sold under the trade names K. Hovnanian, Fortis Homes (previous acquisition),Westminster Homes (previous acquisition) and K. Hovnanian Four Seasons Active Adult Communities; however, as of Jan. I, 2005, all marketing is being done under the name of the parent company, K. Hovnanian Homes. Business: K. Hovnanian Homes designs, builds, and markets single-family detached homes, condominiums, and town homes for first-time, move-up, and luxury buyers as well as for empty-nesters and active adults. K. Hovnanian Homes builds about 14,600 homes a year in over 275 residential communities in 13 states, with base prices ranging from $46,000 to $1 ,350,000 and averaging about $280,000. It operates mainly in the northeastern U.S., California, and the Washington, D.C., area, but also in the Carolinas,Texas,and Florida. Hovnanian has exited the mid-South U.S. (and its operations in Poland), but entered into the Midwest. It is the 9th largest homebuilding company in the U.S. and a top 5 builder in North Carolina. Its K. Hovnanian Mortgage unit offers mortgage financing and title services. www.khov.com

38

m arcr 20 0 5

www.grea t erc h ar l o tt e b iz. com


I<_ H ovnarian

ones o"fe rs diver; ity in s:yle and looking for th e home ~ tlie ir dresm ~.

\•!c are ha;>pytl:-_at we rm.ice sta~ter hooe!:, ni::l-rang~ tones. cust•)Ir homes and active l:-.r ng conmu~iries." K. Homan..a:1 Hom~o -narket~ homes in l'k rth Carohm rangicg from $70 001) to HSO,OOC Hones marl:eed undu the p·ev.-

o.oly acquirec Fortis Hot-.eo mor ike:r signify tte: upper-end prcduct "-U. large· sqt..arE f·:ootage ar:d gcater detai.. After tven;::; years i-, :his market Fortis W3S :~cquird ir 2000 ru has hen K. Eovr.c.nio Horres' .largest s.r.gle acc.1isit on. Horres .::narkeed n:1.de:r t.1e: previoosly acquired V..Cstminoter Home~. cane are .?,enerally low=r :Jri::ed cud geared tJ"Jard fir;t-time homeJu .·ers. The ccmpmy:O devclopments :na·ketcd as Fo ..tr Seaoor..s Active Acult Comrrun·ties ce nonstrate the cJmpmf; gravimirn t·)"Jard older-cd1lt livirg ccmmu1ities. Designed :or ne aging, arx:l finan-:ialy-flush b )y boo::ners the corr:mr::n..ties offe~ srru.l!tr >:r:tare foctage with enharc:d lh.ri..1.g .·eatures, E .vel! as Jr:::tnities tc t.r"courage 3Ctivity an:i >xialization iL a resort-at-home hsh.on. The coeloprr...::nt of tl:-_ese CJrrmuni:i<:S i~ very >ntegic: this uar~<et segment it ~Comtn:)­ ::a es will reputedly gene-ate 50 :Jercent of r •::usehok. f::Jrnanon ir tr e currnt cecace. At the begi..1ning of .ht year, the company n t.rged i~. na ·keting o · tr e Forti.: ari. \•Trstmins.er hands inD De K 1-bvr aniw f2nily, lO ·or~TI:~Uy signiy .s imertion to fulf] a wide vari~t:; of netdsto a di,ers~ n .:.rkerploce. Adds ~.eau :ha mp, " r. -:.dditior... to the t""1'es of boe; we buil:i. here hzs abo teen ~reate.-

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.::aclul _hoc::ght ghr::n to :-lcvT.anian :-I•)mes selects.' 3o~ne r: Lie 1o·tre3t, ~- ·-!o-.:1anian :-onEs ·, as :hc u~_full; expJ..--xl.ed fr·Jil Cah.ornia to Ie~ao. from f oricc. to Mi.:: 1.i5m. VJI:.ile nLch d thE orr.pany's g·c'Ftnh;:ts h the pa~-t beo:n anrbuujle to s4nifi::nt 11t:ol:::ers .Jf :~cqtLs i ti cn:;, K. ·-lovna.:-..n Hcmes reports .ha ()f per ::e:1t ci net ea·ni::lg~ iu 20(L were JifC.LC

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hous ng ~r..:cket L the soutlleaot is at .:.n ex:rco:dinc.r,.·ra~ ·sa;~ 3eaud.:~mp "It a: counts fora·::out 2'5 per.::er...t d :he collpary:O ovn3L ~c·v.r:l· at the ::urren: rime. The Cr.arlo-e -e~o:11~ a partic.Jlarl; g::od market l:::eca'..:s:: Jf ·ts gr£at .::lir.ae gro..vh econJmy 1i?;h st3.nc.c.·d of .img. md Jebtivcly low .::•)!3: <i l virg ,. lf there i; <:. do.mside to h=" regicn it is n col ootab~ .he stiff cornpaition. '\dm ttcdly, ' K 1-:o-manin :-:ooes' i~ quite a ncuthl.Jl ta.-.<en ablgsidc ·~::::rr.pe :ilocs, Shea, vv'cilmd, E:::st»occ. and h.l~, ·Jut :refight :Or cust:: mers an:: ·and d Y:s-1': s~m to faze :he ·::>.1:-der n.1ch ' While -x rroe:ition !lakes :n} jo:: harcer," SC}S Beau]uD?, "[ ~rJ::>y it :0 a ce~a .n :iE_gree:, ~caus ~ t j:UShe~ US to ::>er[OCJI. Trat m~·1s the CJ~to:ner i; ge:tLng .he ::r...-5· valtte we :::3.n of[rr - ha ccrB::ant .::hc.llc:r I,e is Vlhat makes i li....n o g~t t:p in he :n:·nin~. ,. v;b.t nnlcs "&:ILchaTps }1b pe:rh::ps a itt e I•)re f..tr thor nos: ctheG il lis lim: of »crk is that K Eo·JDania.l. Hora3' <ilil:ty w ev::r:tf.<: its .::cnsi.::.c-able 5i..e:E in o:Jta_ning ;tweg .:: larrl pos·um. It:. ~•yi1~ pcv.cr _?,rcw.::J~

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makes it possible to acquire the best land in markets crunched for space. While K. Hovnanian Homes is well seated in the area for the next several years, there :ould also be interesting developments on :he horizon. "A lot of people are fine with ra pid development- if its not in their own oackyard," Beauchamp jokes. Once housing developments begin to flourish, people get nervous and start talking :tbout moratoriums. "But this can be a good thing," says Beauchamp. "Regulation makes the market more stable and wards off a

dreaded boom. I have to say, I think Charlotte and its leadership have done a good job so far with controlling its ::levelc•J=ment. " The company tries hard to keep a conservative land philosophy at its core as well, which is appreciated by those conc::rned about sprawl. K. Hovnanian Home.o buy5: what it needs and then builds on it as opposed to buying as much as it can, toppling trees and replacing them wit!- empty lots or empty homes. It appears that 'good growth' is a very ~m-

carious balance between too much and not enough. Explains Beauchamp, "There are a lot of challenges that determine the health of any market. Schools are a big issue for people looking to relocate, as are roads and transportation. 1f people stop moving to Charlotte because there are problems with these issues, you'll see it in the housing industry " "And," he continues, "if you see it in the housing industry, it will be reflected in other parts of the city due to a declining tax base. Now, that having been said, I think the health of the area is very good for the foreseeable future. It's a very attractive region. " A Room With a View

K. 1-Iovnanian Homes is a top 5 builder in North Carolina, and can be found throughout the Charlotte region in communities in Matthews, Huntersville, Mt. Holly, Fort Mill and Gastonia. And its presence will continue to grow. According to company projections for fiscal 2005, total revenues are expcctc:l to increase by 19 percent. Also, with over 100,000 lots in its coffers. K 1-Iovnanian Homes expects its current inventory could last seven years based on 2004 figures. The builder anticipates that it will build on approximately 16,000 of those lots in 2005. However, it wouldn't be surprising if the company outperformed those estimates. By virtue of its lot 'backlog,' its presence in markets with a strong demand and diminishhg availability of space, strong demographics in its markets, solid financial footing and much goodwill from its investors, the future forK. Hovnanian Homes looks pretty rosy. Add to that a healthy mortgage and title service and an unwavering focus on customer satisfaction, and it would seem this picture couldn't be much brighter. While K. Hovnanian Homes undertakes periodic studies to stay on top of personal preferences for its design and detail offerings. Beauchamp says that some things are statJC. "People are very value-oriented. They wam the most and best square footage for their money. They desire a well appointed, duoble home \vith curb appeal. It is our mission .o deliver these expectations and more. I just feel very blessed that I work with a company that values that as much as the customer." biz Susanne Deitzel is a Charlotte-based freelance wnter

40

march 2005

www.greate rch arl otte biz. com


Do you know how many family businesses make it to the next generation? 1 out of 3 succeeds . . . 2 out of 3 don't. Which will you be?

Wake Forest MBA Family Business Center Charlotte Metro can help your company and family N

N

To find out how, contact us: 704.366.0540 or www.mba.wfu.edu/fbc

WAKE FOREST BABCOCK GRADUATE SCHOOL

of M ANAGEMENT


(Continued from page 14, Growth)

(Continued from page 15, Health!Wellness)

the title of professional speaker to his resume. "l went from being a casual volunteer speaker at engagements to a professional making a very good living at it." Elguindi has numerous engagements throughout the year to deliver speeches on leadership and motivation. June Moore, vice president of Customer Service at Piedmont Natural Gas, is another loyal convert. "Communicating is my job; I know how important it is to deliver a mes5age succinctly But what Lou offered was completely unexpected . She taught me that it was okay to make myself a little vulnerable if it helped me get my point across. By bringing myself into the message, I became so much more effective," says Moore. Many of Solomon's pupils are now represented in Interacts Speakers Bureau, a growing list of popular public speakers who have now added rhetoric to their day jobs. Solomon has indeed improved the quality of life for many of the areas business executives and, in tum, they have become more valuable to the community at the same time. •

"Plus," she adds, "nobody war.ts to sit in a chilly room with intimidating anatomical drawings and half of their body hanging out of what is basically a glorified paper towel. When we created the concept fo r Signature, we addressed every item that we did not like about visiting the doctor, and sought tci improve them." It should be noted that Dr. Perry and her founding partner, Dr. James Lipton, approve every decision, right down to the type of toilet paper that goes into the restrooms. Membership is restricted to a maximum patient quota to ensure greater accessibility, guaranteed face time with the physicians, and in-house testing whenever possible to alleviate the need for traveling to other facilities. "What the membership fee precludes is the need to cut comers. With litigation fees, physician insurance and low-reimbursement rates diminishing revenues, doctor::; are forced to increase the number of patients they see per day, which reduces one-on-one contact in the physician-patient relationship," says Perry

There are several stories of patients who have joined the practice as a result of very unfortunate experiences with their former physicians And there are less significant, but equally gratifying more routine instances where the practice makes a difference. "lt is not infrequent that a businessman suspecting strep throat or the flu has to catch a flight that very day; he doesn't have time to wait to be seen. ln one phone call he can be in the door, and shortly thereafter have a treatment protocol. People are busy, and they appreciate it when you value their time," Perry explains "What our practice means to us, the reason we went to medical school in the first place, is to treat patients. Not just heal their sickness, but ideally, to keep them well. With the formula we have created through research of other facilities and our own ideas, we hope to offer a vastly improved, yet still accessible service," says Perry • i Executive LMng is designed to improve the quality of life of regional business executives. If you have recommendations for this section please e-mail sfarrov.@greatercharlottebiz.com to submit your ideas

bizresource guide ~

f~usiness Success Institute Chapters in Charlotte • Mooresville • Matthews What does it take to succeed in business? You have to work smart!

The Business Success Institute is designed to help business owners work smar ter by providing practical, useful information on topics you face everyda y. Through great speakers, practical exercises and sharing with others, you'll learn tips and insights that will help move your business forward.

April Meeting Topic

"Accountability is a must!" Learn what to do when the job isn't getting done. You'll learn how to have the tough conversations when necessary to make things happen. We'll discuss setting expectations, communicating them clearly, and giving appropriate feedback.

For specific dates, times, locations and membership information visit our Web site at www.business-success-institute.com or call Denise Altman at (704) 708-6700.

march 2005

42 I

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pg. 10 BC pg . 9 pg. 27 pg. 42 pg. 11 pg. 43 pg. 1 pg. 18 pg. 20 pg. 13 pg. 8 pg. 11 pg. 9 pg. 25 pg. 26 pg. 13 pg. 10 pg. 38 pg . 12 pg . 25 IBC pg. 39 pg. 21 pg. 44 pg. 8 pg. 27 pg. 12 IFC pg . 19 pg . 43 pg . 3 pg. 40 pg. 5 pg . 41

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In the marketplace, keeping your business "top-of-mind" is the most important thing you can do... The Queen's Cup Steeplechase provides a unique opportunity for you to do just that - in a most-unforgettable way. No other sporting event offers you a day of more variety or quality of entertainment. Reserve a Corporate Tent, a lawn Box or even sponsor a race yourself and spread your banner across the entire race course. For more information, please call (704) 843-7070 or visit our website,

www.queenscup.org. In addition to the five thundering thoroughbred steeplechase horse races, you will enjoy... • Jack Russell Terrier Races • Hat Contest • Tailgate Contest • After the Last Race, the Fun Continues with the Hotwalk Party and Live Band • Children's Pony Rides • Charity Raffle with Valuable Prizes

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