MBJ_Apr18_2014

INSIDE — New law on taxing methods hailed as big win for businesses

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2014

April 18, 2014 • Vol. 36, No. 16 • $1 • 20 pages

LITERATURE

Tartt wins Pulitzer

MDA chief Brent Christensen begins regular MBJ column » Entrepreneurs are a vital fuel for Mississippi’s economy

Page 3

Mississippi adds to its literary success

Around town {P 5} » Tallahatchie General’s listing on auditor’s ‘watchline’ an image setback, CEO says

» Page 3

Focus: Public Companies {P 10} » Sanderson Farms is thirdlargest poultry producer in U.S. » Cal-Maine Foods is country’s largest producer of eggs

List {P 14} » Public Companies

Panther Creek megasite — Putting a value proposition out there » Extensive data on Canton site and its infrastructure among strongest selling points, economic developers say

By TED CARTER I STAFF WRITER ted.carter@msbusiness.com

Megasites can bring mega worries to the CEOs and directors of companies looking to put a major manufacturing plant or other high-cost facility on one.

Once those worries grow to a certain point or linger for too long, the decision makers put the megasite in a folder designated for “uncertain propositions.”

A Purgatory like that is the last place ecoSee

http://msbusiness.com/events/50-women-nomination-form/

PANTHER, Page 2

2 I Mississippi Business Journal I April 18 2014

PANTHER

The Mississippi Business Journal Continued from Page xx

nomic developers want to see their industrial sites languish. The alternative is to compile data on the site so comprehensive and practical that the site becomes as close to a solidly safe bet as today’s economic development sector can offer.

Such is the case with Canton’s Panther Creek Commerce Center, a megasite of around 1,000 developmentready acres and nearly 1,000 additional acres for future expansion just around the corner from the 10-year-old Nissan plant, says Tim Coursey, executive director of the Madison County Economic Development Authority.

Considered one of the top available megasites in the Southeast, Panther Creek is marketed by several entities including Coursey’s MDEDA and CB Richard Ellis; Steve Rogers and Associates on behalf of the Walker family, owners of the former cattle land; Entergy’s Business and Economic Development Coursey Division; and the Mississippi Development Authority.

Each is likely to approach different prospects. But all of their pitches cite two of Panther Creek’s main attributes: Standard certification for industrial development and Entergy’s even higher level of site certification.

“With the certification,” Coursey said, “we should be able to tell you what it would cost to develop that property.”

That includes an American Land Title Association., or ALTA, survey. “This is an expensive and all encompassing survey,” Coursey said. “It shows everything. Fence lines, posts, water lines, sewer lines…”

The certification also details soil borings, wetlands assessments, estimates on infrastructure costs, including building roads and using fill dirt.

“All of this is to short circuit the time frame to develop a property,” Coursey said. “You don’t have to speculate on the data.”

When corporate site selectors ask the questions, “We have the answers,” he added.

Many of those answers have come through Entergy’s certification of the site, said John Turner, the power company’s director of business and economic development for Mississippi.

“The whole point is to understand the development costs and schedule” needed to complete development, Turner said.

Turner said national and international site selectors rank Panther Creek Commerce Center as “one of the top sites in the Southeast.”

In addition to the megasite’s proximity to Nissan and two Interstate 55 interchanges, the high ranking can be attributed to the firm estimates on the cost to development on the site, he said.

You can’t be in the game unless your prospects know what their costs and opportunities are, he emphasized.

Why Panther Creek?

Coursey said the Madison County Economic Development Authority conceived the idea for developing the Panther Creek tract and obtained a long-term option on it.

The data collection and joint marketing followed.

The site has a master plan and the advance work for required permitting has been done. The Madison County Board of Supervisors recently committed to a $10-million bond issue to cover infrastructure costs once a major tenant signs up. That kind of pledge can be key in negotiating with a site prospect, Coursey noted.

Other key assets that Coursey, Turner and other marketers of the site can offer include a fully functioning

1,076 Acres

Canton’s Panther Creek Commerce Center, a megasite of around 1,000 development-ready acres and nearly 1,000 additional acres for future expansion, is just around the corner from the 10-year-old Nissan plant.

Coursey said his agency and its partners in selling of Panther Creek want tenants that will provide “the jobs of the future.” sewage plant and a large waterline that can be extended from the nearby Nissan plant.

Accessibility includes 1 ½ -mile proximity to I-55 via two interchanges: Nissan Parkway and Mississippi Highway 22.

In all, said Coursey, the megasite’s infrastructure costs can be “some of the lowest in the state when you are talking about a high-impact company.”

While a megasite typically draws interests from a single large user, Coursey and the others are seeking multiple tenants as well as a solo tenant.

Coursey said his agency and its partners in selling of Panther Creek want tenants that will provide “the jobs of the future.”

Specifically, he said, these are “higher paying, sustainable jobs of the future, whether that is automotive supplier that has manufacturing going on or a medical device company.”

Entergy, which Coursey credits with doing some of the major marketing for Panther Creek, targets site selectors for advanced manufacturing and aerospace, among others.

In going after those, said Entergy’s Turner, “I think it competes well. Once again, that goes to the available workforce and quality of life” the region offers.

Turner said the marketing also targets supply-chain companies, not just for Nissan but for companies serving automotive and aerospace companies throughout the Southeast region.

Nissan is seeking to draw more of its suppliers onto its site. This can create opportunities for Panther Creek, acSee

MEGA SITE, Page 7

PANTHER CREEK'S LOCATION IN MEDICAL INDUSTRY ZONE BOOSTS BIO-MED PROSPECTS

By TED CARTER I STAFF WRITER ted.carter@msbusiness.com Canton's Panther Creek Commerce Center has an attraction no other Mississippi mega site can offer — inclusion in a state Health Care Industry Zone.

The nearly 2,000-acre tract off Nissan Drive falls within the required five-mile radius of Madison River Oaks Medical Center in Canton. This qualifies prospective medical-related tenants of the megasite for such incentives as an accelerated, 10-year state income tax depreciation deduction and a sales tax exemption for equipment and materials purchases.

The 2012 establishment of the Health Care Industry Zone designations set the stage for the Panther Creek site to capitalize on Mississippi's emerging medical research and development sector, said Tim Coursey, executive director of the Madison County Economic Development Authority.

“We have a strong effort under way to recruit bio-medical” and bio-tech companies, he said.

The effort began before Gov. Phil Bryant persuaded legislators to approve the health care industry zones and the incentives that accompany them. “The governor had a vision and we had the same one,” Coursey said.

“Ours actually started six years ago.”

That start came with Madison County's two-year effort to become the replacement home for the federal biosafety Level 3 pathogen lab, which was to move from Plumb Island, N.Y., on Long Island's North Shore.

The RFP the county put together landed it a third-place final ranking. The selection went to Manhattan, Kan., though the government has yet to go through relocation of the center that studies foot-and-mouth disease, and other contagious animal diseases.

“This effort proved we have the capability to grow a bio-medical sector in Mississippi,” Coursey said.

He said he and some other economic developers have been working the past three years to establish the sector. “We're going to have some announcements about it soon,” Coursey added.

The announcements likely will include bio-medical, bio-tech and “straight-up medical companies,” he said.

April 18 2014

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Mississippi Business Journal

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MISSISSIPPI DEVELOPMENT AUTHORITY

Entrepreneurs: A vital fuel for Mississippi’s Economy f you surveyed a hundred people and asked them what economic development is, I’m confident you would receive nearly 100 different answers. While they may be varied, the answers will likely be correct, just not complete.

As the state’s lead economic development organization, Mississippi Development Authority is a lot of things to a lot of people and communities around the state. For some, we are the state agency that recruits new companies and industries to Mississippi. For others, we are responsible for retaining and growing Mississippi’s existing companies. To many communities, we are the state agency that provides programs and grant assistance to revitalize their economic centers. These are all correct. MDA also promotes Mississippi as a premier tourist destination, working to attract visitors from around the globe. These are just a few examples of the many facets of MDA. However, our overwhelming goal is constant: We strive to create job opportunities for Mississippi’s residents and strengthen communities across the state, helping them remain competitive in today’s ever-changing economy.

Supporting Mississippi’s vibrant entrepreneurial

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community is one way MDA works to create job opportunities for the state’s residents. I recently had the privilege of attending the ribbon-cutting ceremony for MDA’s new Entrepreneur Center on the first floor of the Woolfolk State Office Building in Jackson. Gov. Phil Bryant, Entrepreneur Center Director John Brandon and a number of entrepreneurs from around the state joined us to celebrate this grand opening.

The Entrepreneur Center itself is not new to MDA. However, the Center’s new location offers an expanded capacity to efficiently provide budding entrepreneurs and existing small businesses the advice, training and resources needed to turn their creative business ideas into a thriving part of Mississippi’s business community.

I often compare economic development to a threelegged stool. The first leg recruits new businesses and industries to our state. This ensures that we are developing a diverse, sustainable and stable business community in Mississippi. The second leg of the stool retains our existing businesses and jobs. These companies know the advantages of doing business in our state, and they have made commitments to provide good jobs and economic stability for Mississippi’s world-class workforce by investing in

their existing operations.

The third leg of the stool assists our state’s entrepreneurs. Countless successful companies started with a simple idea that developed into a thriving business, providing jobs for our residents and creating investments in our communities. The Entrepreneur Center at MDA is in place to help Mississippi’s innovators turn their ideas into a successful business venture. The center’s services are offered at no cost.

At the Entrepreneur Center’s grand opening celebration, more than 10 entrepreneurs were in attendance, all of whom worked with and received assistance and guidance from the Center’s resource team. Whether it was attending the entrepreneur boot camp or receiving help with developing a business plan, these companies have one thing in common - a person with an idea for a marketable product or service that had the desire to start their own company.

Their products range from gourmet food items to high-tech support offered in the field of calibration services. Mississippi’s strong creative and entrepreneurial spirit fosters a breeding ground for home-grown companies.

In fact, the state’s robust efforts to support

entrepreneurs were recently recognized by the highlyBrent Christensen respected Kauffman Foundation, which ranked Mississippi as the fifth-best state for entrepreneurial activity. Mississippi has also garnered other notable national rankings from economic development publications over the last year, including being named one of the Top 10 States for Doing Business, second best state for competitive utility costs and permitting speed and a top five state for overall cost of business, just to name a few. These rankings add up to one thing: Mississippi knows what it takes for businesses — large and small — to be successful.

MDA’s diverse and dedicated team of economic development professionals have a passion for creating new job opportunities and helping show the world all the great things taking place in our state. The team ensures the legs of our stool have access to the tools and resources needed to provide a stable base, which is the foundation of Mississippi’s growing economy.

Brent Christensen is the executive director of the Mississippi Development Authority.

Mississippian Donna Tartt wins Pulitzer Prize for fiction with ‘The Goldfinch’

By LYNN LOFTON I CONTRIBUTOR mbj@msbusiness.com

» The Goldfinch By Donna Tartt Published by Little, Brown and Company $30.00 hardback; $16.00 softback

With the announcement this week of Donna Tartt capturing the Pulitzer Prize for fiction, another star is added to Mississippi’s literary crown. She won for the epic The Goldfinch, a 758-word novel that has been among the most popular and celebrated novels of 2013. This book, Tartt’s third, has also been nominated for a National Book Critics Circle prize and an Andrew Carnegie Medal.

Tartt was born in 1963 in Greenwood and reared in Grenada. Her literary career began at age 13 when she published a poem in the Mississippi Literary Review. She began her college career at Ole Miss where she was mentored by Willie Morris and Barry Hannah. They suggested she transfer to Bennington College to be part of that school’s creative writing program. She graduated from Bennington in 1968. Tartt published her first novel, The Secret History, in 1992. That was followed in 2002 with The Little Friend. In 2003 she received the W.H. Smith Literary Award.

The Goldfinch is described as a sweeping, Dickensian tale about a young orphan in modern Manhattan. Thirteen-year-old Theodore “Theo” Decker, survives a terrorist bombing attack in an art museum takes his mother’s life and dozens of other art-loving citizens. His father wasn’t there, having deserted the family some time prior to these events. Theo adored his

energetic, beautiful mother and thinks of his father as an alcoholic, occasionally abusive, and as a thief.

Theo accepts a ring and an enigmatic message given to him by elderly Welton “Welty” Blackwell who dies in the rubble of the explosion. Theo is willing to unravel the puzzle, because before the bomb went off he had found himself fas- Tartt cinated by a red-headed girl, Pippa, also at the Museum that day and who was somehow related to the old man. On her account, Theo will grant the dying man’s last request. Believing that the old man is pointing at a painting (The Goldfinch) on the wall, Theo takes that also in his panicked escape. The taking of these items — one handed over freely, a family heirloom, the other a priceless painting — was done by Theo in a state of terror and shock, with no ability to reason how these minorseeming actions would influence the rest of his life.

Kelly Pickerill of Lemuria Books says that although Tartt did not have a book signing at the Jackson store, the book has been a big seller. “A lot of people have been talking about it,” she said, “and we are not surprised it won.

We are definitely proud of her and happy for her.”

Pickerill read The Goldfinch and found it very good. “I read her first book, The Secret History, which has a dark feel; this one has the same feel,” she said. “It follows a guy from adolescence through adulthood as he is swept along by events.”

4 I Mississippi Business Journal I April 18 2014

HEALTH CARE

Tallahatchie General’s listing on auditor’s ‘watchline’ an image set back, CEO says » Better ranking likely for TGH had 2013’s turnaround been included, Blackwood Jr. says

By TED CARTER I STAFF WRITER ted.carter@msbusiness.com

It takes time and money to turn around a publicly owned rural hospital’s image once it is seen as troubled and cash-strapped.

That’s why the chief administrator of Tallahatchie General Hospital says he fears his work to convince Charleston and the surrounding communities to think differently about Tallahatchie General sustained an unnecessary set back in State Auditor Stacy Pickering’s recent report on rural hospitals.

Tallahatchie General and three other taxpayer-owned rural hospitals — Tippah County Hospital in Ripley, Natchez Regional Medical Center in Adams County and Montfort Jones Memorial Hospital in Kosciusko — landed on a “watchline” that Pickering said represents hospitals that fall below national financial standards.

The auditor said concerns over the future of Mississippi’s 25 taxpayer-owned rural hospitals led him to direct the Performance Audit Division to examine audited financial statements of the 25 hospitals from 2009 through 2012. He said he specifically wanted to determine which of the hospitals are best situated to weather a period of challenges ahead with reimbursement declines from Medicare and Medicaid.

Pickering’s report “The Financial Health of Publicly Owned Rural Mississippi Hospitals” ranked 15 of the hospitals as performing above national standards, six as meeting the standards and four as falling short of them.

Unfortunately for Tallahatchie General, the auditor’s assessment took in 2009 and 2010, the two worst financial years in the hospital’s history, said Jim Blackwood Jr., administrator/CEO.

The ranking would have been much different with 2013 in the calculation, he said, listing a profit of $1.86 million for last year and profits of $374,684 and $87,659 for 2012 and 2011, respectively. For those three years, revenue grew from $14.5 million to $23.7 million, and days of cash-on-hand increased from 9.79 to 13.89.

By contrast, Tallahatchie General ended 2010 with 1.59 days of cash-on-hand, along with a loss of $443,755 on revenues of $9.5 million. Near the end of that financially awful year, the hospital’s board brought in Blackwood and Sunflower Management Group to run the facility.

Since the Pickering assessment left out the big turnaround year of 2013, Blackwood must now begin repairing the image damage he says the report inflicted on the 18-bed community run hospital.

He started the process shortly after the Pickering report by sending the auditor a letter suggesting a new assessment next year and in the years beyond.

“If future assessments are performed which again use four years of data, we anticipate TGH will perform much better under the model once the data for 2009 and 2010 is used.

“We have done a lot to pull ourselves out of the hole,” Blackwood said in an interview Monday.

While Tallahatchie General may have come full circle, the report on rural hospitals broke the circle somewhat, according to Blackwood. “That is my concern with

the auditor’s report. We had come a long way,” he said.

“It affects us indirectly. The assumption is if you have good quality and good care, then you wouldn’t have the low numbers.”

Right out of the gate upon Sunflower’s hiring in November 2010, the hospital company renovated patient rooms and increased the number of licensed rooms from nine to 18. The new rooms doubled in size and became certified for “swing beds,” a designation that allows a hospital to use the rooms for patient recovery and rehabilitation rather than acute care.

“The patient facilities were dated,” Blackwood said. “The community didn’t utilize the hospital. They were going to other hospitals in the area” including Grenada and Batesville 25 miles away and Oxford 50 miles away What was to be a 99-bed nursing home stayed only half full after design and workmanship deficiencies delayed construction of a new wing, according to Blackwood.

Straightening out the problems with construction of the new wing, adding new and enlarged hospital patient rooms and obtaining a dual designation for acute and swing-bed care “helped the picture considerably,” Blackwood said.

“That brought in dollars.”

Tallahatchie General also extended the hours of its rural health clinic and today is averaging slightly below 2,000 patients a month, he said.

And in a step that Blackwood says has

significantly enhanced the community’s perception of THG, Sunflower Management put each employee through customer-service training. “That can’t be understated,” he said of the boost the training gave the hospital.

In responding to the audit report, Blackwood said the peer group comparisons may have been skewed by several of the higherranked rural hospitals having received “windfall” Disproportionate Share Hospital (DSH) payments from the federal government for treating uninsured patients.

“This anomaly will likely self-correct if the model is performed with 2010-2013 data” that includes adjusted lower DSH payments to the hospitals that received the windfall amounts, Blackwood said.

He said he expects any subsequent review will list TGH with hospitals operating above national fiscal standards. If nothing else, he added, “I am very confident we would be up above the watchline.”

Another of Pickering’s “watchline” hospitals, Tippah County Hospital in Ripley, is focusing on cutting expenses, according to administrator/CEO Donald Jones, who said he has brought costs down by 10 percent since taking over six months ago under the county’s management contract with North Mississippi Health Services in Tupelo.

“Our revenue stream has not kept up where it needs to be but we are doing really well on expenditures,” Jones said.

The facility recently became a Critical Access Hospital by reducing its number of licensed beds from 45 to below 25.

The hospital continues to have 40 nursing home beds, which Jones said stay 100 percent full.

The rebound is not all about cutbacks, according to Jones. He noted the hospital last month opened a wellness and patient rehab center which includes a swimming pool for aquatic therapy.

“We have to create our future. And we are doing that,” he said.

“We are going to pull this thing out.”

“We have done a lot to pull ourselves out of a hole” Jim Blackwood Jr. Tallahatchie General Hospital CEO

A member of the Mississippi Press Association www.mspress.org

200 North Congress, Suite 400 Jackson, MS 39201-1902 Main: (601) 364-1000 Faxes: Advertising (601) 364-1007; Circulation (601) 364-1035 E-mails: mbj@msbusiness.com, ads@msbusiness.com, photos@msbusiness.com, research@msbusiness.com, events@msbusiness.com

Website: www.msbusiness.com April 18, 2014 Volume 36, Number 16

ALAN TURNER Publisher alan.turner@msbusiness.com • 364-1021 ROSS REILY Editor ross.reily@msbusiness.com • 364-1018 WALLY NORTHWAY Senior Writer wally.northway@msbusiness.com • 364-1016 FRANK BROWN Staff Writer/Special Projects frank.brown@msbusiness.com • 364-1022 TED CARTER Staff Writer ted.carter@msbusiness.com • 364-1017 LISA MONTI Contributing Writer mbj@msbusiness.com • 364-1018

MBJPERSPECTIVE April 18, 2014 • www.msbusiness.com • Page 5

OTHER VIEWS

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Ethics Commission affirms open records

he Mississippi Ethics Commission brought open meetingsopen records law firmly into 21st century communications with an opinion that text messages about government business are public record, available to every citizen as well as to news organizations.

The commission’s opinion came after a request from the Northeast Mississippi Daily Journal, which sought clarity on whether text messages were public records. We believed they were. The city of Tupelo, through its attorney Ben Logan, had contended they were not.

Now that the matter is resolved, it’s en-

couraging that Mayor Jason Shelton and Logan say they’ll proceed to follow the commission’s opinion by developing a system to archive these communications for public accessibility.

The Journal had requested text messages from Shelton over a three-day period last fall in the course of the newspaper’s reporting on the resignation of former Development Services Director BJ Teal.

The commission on Monday delivered to the Daily Journal and the city of Tupelo its opinion, made Friday without dissent on the eight-member panel, that the city – and presumably all public bodies – must archive and

make available text messages that have to do with city business.

The city had claimed the messages were not public record in part because they were sent from Shelton’s private cell phone. The Ethics Commission found that public officials’ text messages related to city business, regardless of the device used to produce them, qualify as public records under the Mississippi Public Records Act. “Any text message used by a city official in the conduct, transaction or performance of See VIEWS, Page 6

BOBBY HARRISON Contributing Writer mbj@msbusiness.com • 364-1018 TAMI JONES Advertising Director tami.jones@msbusiness.com • 364-1011

» THE OUTSIDE WORLD

» PERCOLATIN’ WITH BILL

Cochran has always represented state interests, not PACS’

MELISSA KILLINGSWORTH Sr. Account Executive

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» HOW TO WRITE Letters to the editor are one of the most widely read features of the Mississippi Business Journal, and they give everyone a chance to voice their opinions about current affairs. We’re interested in what you think and we welcome Letters to the Editor for publication. Here are the guidelines: >> Letters should not exceed 300 words in length as a general rule. >> All letters must bear the writer’s address and telephone number. Street addresses and telephone numbers will not be published, but may be used for verification purposes. Letters may not appear without the author’s name. >> Form letters, thank you letters and letters to third parties generally are not acceptable. >> Letters must be typed or e-mailed. >> Letters must conform to good taste, not be libelous and not involve personal attacks on other persons.

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» CORRECTIONS The Mississippi Business Journal takes seriously its responsibility to provide accurate information, and will correct or clarify articles produced by the editorial department if we have made an error or published misleading information. The correction will be placed in the perspective section.

If you see inaccuracies in Mississippi Business Journal news stories, please report the mistake via email at editor@msbusiness.com.

istory shows that our founding fathers struggled to determine how states should be represented in Congress.

“During the summer of 1787, the delegates to the Constitutional Convention in Philadelphia established equal representation in the Senate and proportional representation in the House of Representatives,” says the official U.S. Senate web site.

“Called the ‘Great Compromise’ or the ‘Connecticut Compromise,’ this unique plan for congressional representation resolved the most controversial aspect of the drafting of the Constitution.”

Bill Crawford “As early as 1776, Connecticut’s Roger Sherman had suggested that Congress represent the people as well as the states. During the 1787 convention, Sherman proposed that House representation be based on the population, while in the Senate, the states would be equally represented.” Delegates narrowly approved Sherman’s plan.

The point of this history lesson is that our Constitution intends for senators to represent their states’ interests while representatives represent the interests’ of the people in their districts.

This constitutional intent is relevant to this summer’s Senate primary election.

On one hand we have the challenger, espousing this and that in the name of the Constitution, but exhibiting little commitment to actually represent MissisSee CRAWFORD, Page 6

PERSPECTIVE

6 I Mississippi Business Journal I April 18, 2014 » RICKY NOBILE

CRAWFORD

»MISSISSIPPI POLITICS

GOP primary may set record

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he June 3 election where state Sen. Chris McDaniel of Ellisville is challenging incumbent U.S. Sen. Thad Cochran most likely will produce the largest Republican Party primary turnout in the state’s history.

In the 2012 Republican Party primary for president, 294,100 people voted in the election won by Mitt Romney.

People voting in the Republican primary that year far outpaced those voting the same day in the Democratic primary, though that is no surprise since Barack Obama was unopposed in his bid for re-election and there was no significant statewide race on the Dems’ side.

But 2012 is thus far the exception.

Republicans have made large strides in the state in recent years. Mississippi is viewed as one of the most dependable red states, but in party primary elections more people generally still turn out to vote for Democrats than Republicans. This trend should change as more local politicians run as Republican, leaving the traditional Democratic camp. Thus far, though, it has not.

Even in the 2011 statewide elections, more people (by about 33,500) voted for governor on the Democratic side where two little-known and relatively unfunded candidates battled than on the Republican side that featured well-known and wellfunded Phil Bryant, who was the eventual winner in the November general election.

In that 2011 Republican gubernatorial primary, 289,788 people voted.

In the 2008 presidential party primaries,145,485 turned out on the Republican side compared to 423,113 on the Democratic side where Hillary Clinton and Obama were vying.

Later that year in Mississippi in the general election, though, Republican John McCain thrashed the future president.

The point being, a vast majority of Mississippians are prone to vote Republican when they look at the Democratic and Republican candidates side-by-side and look at where each stands on the issues and the beliefs of both. But, as of yet, it has not been proven that a vast majority of Mississippians are prone to vote Republican just for the sake of voting.

The McDaniel/Cochran campaign has the potential to attract many newcomers to the Republican Party primary. The race, it appears by the number of television Bobby Harrison commercials already being aired and the animosity already being displayed by both campaigns, will be hotly contested. And there is no party primary on the Democratic side of any significance. Cochran, of course, is the sixthterm incumbent and deeply entrenched as part of the state Republican Party organization. McDaniel is the upstart, the Tea Party favorite. Now, in many instances, Tea Party members have been long-time, entrenched Republicans. But in other instances, Tea Party members, although socially and fiscally conservative, have never identified with the Republican Party, other than to vote for the Republican candidate with whom they felt most closely aligned. Many of these people have become politically active for the first time thanks to the Tea Party, though they have been long-time Republican voters.

The McDaniel-Cochran race is quickly morphing into a contest between those Tea Party members and the state’s Republican Party establishment, or GOP old guard. After all, the Barbours, as Republican establishment as can be found, are running an independent group touting Cochran and speaking rather despairingly of McDaniel and of groups supporting him.

Haley Barbour called the national Tea Party-affiliated groups supporting McDaniel “out-of-state phonies.” The former governor — the most prolific political fundraiser in the state’s history — was never averse to out-of-state support when he was campaigning.

Many others associated with the state’s Republican Party establishment also have gone after McDaniel and his supporters with a particular zeal. The establishment Republicans have depended on the Tea Party-like voters — many of whom are supporting McDaniel — to turn Mississippi into one of the most dependable red states. They will continue to need that support whether McDaniel wins or loses.

Bobby Harrison ican be reached at (601) 353-3119 or at bobby.harrison@journalinc.com.

Continued from Page 5

sippi’s interests.

On the other hand we have the incumbent, with a record showing reliable representation of Mississippi’s interests in military, agriculture, education, energy and business matters.

Challenger Chris McDaniel was interviewed and vetted by out-of-state Super PACS the Club for Growth and Senate Conservative Action… Super PACS with national agendas. They seek senators who, beholden to them, put their interests first, not Mississippi’s. They are the principal funders and promoters of McDaniel’s campaign.

Incumbent Sen. Thad Cochran was recruited to run for Congress in 1972 by Mississippians. He is beholden only to Mississippi and has consistently voted for the interests of his state. No doubt that is why Gov. Phil Bryant and other Republican leaders stand with Sen. Cochran.

McDaniel and his Super PAC allies claim Cochran is liberal. “Sen. Cochran has a liberal voting record,” proclaimed Club for Growth national president Chris Chocola.

Former Gov. Haley Barbour called Chocola’s claim “fraudulent,” pointing to a voting record that shows Cochran to be a consistent conservative. For example, he voted against the stimulus bill, for sequestration and for the Budget Control Act; he has an A+ rating from NRA; he cosponsored the No Taxpayer Funding for Abortion Act; he voted 102 times to defund or repeal Obamacare; and so on.

But, yes, Cochran has been a champion of the Farm Bill since Mississippi has important agricultural and forestry interests; obtaining federal relief after Hurricane Katrina; and keeping our military bases safe from closure.

Reckon the Club for Growth or Senate Conservative Action Super PACS would fight for these or other Mississippi interests? Or let their beholden senator do so?

Vote accordingly.

Bill Crawford (crawfolk@gmail.com) is a syndicated columnist from Meridian.

VIEWS

Continued from Page 5

any business, transaction, work, duty or function of (the city), or required to be maintained by the (city) is a public record subject to the Act, regardless of where the record is stored,” the commission wrote in the advisory opinion.

The Daily Journal has no interest in personal communications unrelated to official business, but official communications in the context of whatever public position the sender holds should be public record, except as already exempted under the law.

However, the commission said, “Any doubt about whether records should be disclosed should be resolved in favor of disclosure.”

The public interest requires transparency in official communications of government at any level. The commission’s ruling provides more light on those records and affirms the central importance of openness in the conduct of the public’s business.

— Northeast Mississippi Daily Journal

April 18 2014

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HEALTHCARE

Prescription for success » Transcript Pharmacy continues fast growth

BY WALLY NORTHWAY I STAFF WRITER wally.northway@msbusiness.com

In 2011 when Flowood-based Transcript Pharmacy was once again ranked in the Inc. 5000 as one of the fastest-growing privately held companies in the nation, president Cliff Osbon, R.Ph., attributed Transcript Pharmacy’s growth to the trust patients, health care providers, payors and other third parties put in his company.

Now, that trust factor has been augmented as Transcript Pharmacy, which made the Inc. 5000 for five consecutive years, recently earned specialty pharmacy accreditation from URAC, an independent, nonprofit health care accrediting organization. The company now holds dual accreditation as well as Board of Pharmacy permits allowing it to serve patients in all 50 states.

In addition to meeting the mandatory accreditation requirements, Transcript Pharmacy also met URAC’s leading indicators, which are non-weighted, optional elements highlighting effective practices not yet widely adopted in health care, but could be implemented in the future.

“This recognition further proves our commitment to excellence as we provide patients with customized solutions to their specific, long-term medical needs,” Osbon said.

Trust in Transcript Pharmacy is especially

MEGA SITE

Continued from Page 2

cording to Turner.

“There are other suppliers that are in Japan or are in Germany that may want to come” to the megasite, he said.

While physical attributes of the site, workforce quality and quality of life are strong selling points, Entergy is also touting the low energy costs found throughout the South, Turner noted.

Expect the region’s edge in energy costs to grow in the years ahead, the power company executive said. “Gas and electricity are really going to be the competitive advantage” over locations such as Mexico, Europe and Asia.

Coursey said he is impressed with the effort and resources Entergy is putting into marketing Panther Creek. “They have set up a number of visits from foreign investors and consultants,” he said. “They have really upped their game here (in Mississippi) in the last year and a half. They have gotten real aggressive about recruit-

important for its patients, who suffer from serious, long-term medical needs and typically face high drug costs that can run $2,000 or more per month. Those needs include: Solid organ or bone marrow transplants; hepatitis C; rheumatoid arthri- Osbon tis; Crohn’s disease and ulcerative colitis; psoriasis and psoriatic arthritis; multiple sclerosis; oral oncolytics for various cancers; and other conditions.

As Osbon points out, the drugs his company dispenses can be obtained from any specialty pharmacy. What has fueled Transcript Pharmacy’s growth is the service it offers and the faith others have in the company to deliver.

“If you call here, the phone will be answered by a live person within four rings,” Osbon said. “Over the last 12 months, we’ve had one call go to voice mail, which immediately prompted an emergency inservice meeting.

“Nobody has to use us. They can choose any specialty pharmacy. We use technology to be more efficient, but we don’t let technology be a barrier to delivering personal service.”

Osbon has personally shown faith in Transcript Pharmacy, too. A native of Monroe, La., he earned his pharmacy degree

ing and marketing.”

Entergy, he said, does especially well at gathering the intelligence and knowing what site consultants want.

For his own marketing, Coursey said he has not been shy about asking for critiques from site selectors.

“We are asking consultants, ‘What are you guys looking for? What are we missing?’”

The result, he said, is that the consultants are “telling us how to perform at the highest levels.”

For now, Coursey noted, “We think we have figured some things out. We have got to put a value proposition out there.”

from the University of Louisiana-Monroe before practicing pharmacy and consulting on the corporate and private level.

Seeing an underserved market, he “got off the corporate train” in the Jackson area and founded Transcript Pharmacy, which began operation in Flowood in 2003. Originally, the company focused on the organ transplant market. Then in 2005, Hurricane Katrina made landfall, causing the closure of some transplant centers and a re-thinking of Transcript Pharmacy’s business model.

“It really hurt our business,” Osbon remembered. “We had to look at diversifying.”

It proved a watershed moment for the young company. With the expansion came more patients and more growth. The challenge was to meet the growing patient base with timely service.

In addition to dispensing drugs, Transcript Pharmacy must offer other services, such as pre-shipping counseling to explain how the drug is to be used and a nurse provided at company expense to go out and teach the patient how to take injections.

Those challenges remain, but the company sees a bright future.

“We have been told by insurers that spe-

cialty drugs is the fastest-growing pharmaceutical segment, increasing at about 20 percent per year, and 70 percent of the drugs in the FDA pipeline are specialty drugs,” Osbon said.

When asked about the potential impact of health care reform, Osbon said he and his team are watching and waiting.

“I would say right now, it’s a mixed bag.

Some of our patients have seen a drastic rise in their co-pays while others now have coverage they didn’t have before,” Osbon said.

“If you ask 12 people what they see as the impact of health care reform, you’ll get 12 answers. The jury is still out.”

Osbon added that just keeping up with regulations and compliance issues takes up much of the Transcript Pharmacy team’s day. He said it’s not always easy, but the single father of two daughters who enjoys live music, outdoor activities and reading, makes it more than evident that he is enjoying Transcript Pharmacy’s success.

“I never measure success by how much money we have made. It’s the number of people we have served and the outcomes,” he said. “Our future goals are to continue to serve people from this Lakeland Drive office, hire locally, add more insurers and build relationships with more pharmaceutical manufacturers.”

For more on Transcript Pharmacy, visit www.transcriptpharmacy.com.

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8 I Mississippi Business Journal I April 18 2014 GOVERNMENT / POLITICS

New law on taxing methods hailed as big win for businesses » DOR cautions provisions need clarity and projects law will create yearly revenue gap of over $100 million

By TED CARTER I STAFF WRITER ted.carter@msbusiness.com

The Mississippi Economic Council completed a victory lap over passage of its priority tax legislation by having Gov. Phil Bryant sign House Bill 799 at the close of the business organization’s annual meeting and luncheon last Thursday.

At the prodding of the MEC and other business groups, lawmakers crafted HB799 to counter the effects of a Mississippi Supreme Court ruling last summer that upheld the authority of the state Department of Revenue to use an alternative market-based method in determining a

multistate company’s state income taxes.

The legal appeal by Equifax Credit Information Services ended with the court upholding the DOR’s alternative tax apportionment and a resulting three-year tax bill of over $700,000 for the Georgiabased company. Under Mississippi’s standard formula, Equifax would have owed zero income taxes.

In the weeks leading up to passage of Rep. Jeff Smith’s HB799, the MEC sought to rally support through characterizations of the DOR as an “out-of-control” state agency that must be “reined-in.”

Having achieved victory, MEC president and CEO Blake Wilson toned down

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the rhetoric in remarks to the MEC luncheons audience last week, saying only that the state’s business taxing system was “out-of-whack” and HB799 represented a needed correction.

Bryant, in signing the HB799, said the legislation is a victory for businesses seeking “clarity” and “certainty” in how the state assesses their taxes.

The DOR, on the other hand, says it will have to get more clarity on provisions of the new law, some of which it predicts may have to come from the courts.

The agency further warned that the measure will cost the General Fund upward of $100 million annually. An earlier version of HB799 that had tougher provisions for the DOR’s use of alternative apportionment carried a yearly cost estimate of more than $300 million. A staff analysis by the Legislature’s Joint Committee on Performance Evaluation and Expenditure Review concluded the DOR’s $300-million projection appeared “to have a reasonable basis.”

HB799 sets new conditions for the DOR to follow in applying alternative methods of taxation. In the instance of Mississippi, the alternative approach would be the market method which apportions a company’s tax liability on revenues earned in the state. Legislators refused in 2012 to designate the market method as a standard option, but the DOR has applied it on occasion and says that a couple dozen businesses have asked for the method to be applied in assessing their taxes. Those businesses must now justify use of the alternative method the same way the DOR will have to.

Mississippi law has long authorized the cost-performance method as well as a “time-spent” method for service companies.

The approaches allow a multistate company to place the bulk of its tax liabilities in the state in which it incurred the expenses or expended the time earning the money.

HB799 still allows the DOR to use alternative apportionment such as the market method but only when it shows with a “preponderance of evidence” the method best reflects a taxpayer’s business activity in the state. An earlier version of the bill set a much higher standard of “clear and convincing evidence.”

A further condition requires that the alternative method be invoked only in “limited and unique, non-recurring circumstances — a standard the DOR says will be difficult to apply considering that it would prohibit using a market-based apportionment on a multistate company that earns money in Mississippi year after year.

“It is not clear under what circumstances a taxpayer with on-going operations in this state could be ‘limited’, ‘unique’ or ‘nonrecurring,’" DOR spokeswoman Kathy Waterbury said in an email.

Looking ahead, the DOR says it expects the new law to “substantially” reduce its use of alternative apportionment. While critics accused the DOR of using alternative apportionment as a spreadsheet to choose the highest liability, the agency insists it relies on the alternative method “only when the standard apportionment formula does not fairly represent the taxpayer’s activity in the state.”

Also after Jan. 1, the DOR can’t direct multistate companies to provide combined tax returns unless the agency can show a multistate company “improperly” shifted taxable revenue earned in the state to an affiliated entity in another state. Waterbury said the agency will need clarification on that provision.

“We are unaware of any time when shifting Mississippi income to another state is proper,” she said. “What this does, in effect, is establish a separate and vague standard for requiring a combined or consolidated return.”

HB799 also provides a phased-in reduction of interest charged on income tax penalties from 1 percent to.5 percent. The interest was set years ago during a period of high interest rates.

Another provision limits the assessment of interest to the unpaid amount of a tax assessment rather than the full tax bill.

Rep. Smith’s HB799 was reconciled in a conference committee with Senate Bill 2487 introduced by Sen. Joey Fillingane.

The DOR said its data show 81 of the top 100 corporate taxpayers in the state are based outside Mississippi Corporate income taxes made up 8.3 percent of the state’s total tax collections in 2013, according to the DOR.

April 18 2014

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Mississippi Business Journal

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» MISSISSIPPI LEADERS by Martin Willoughby

No status quo Up Close With ... Bob Lomenick

Lomenick gains reputation as industry innovator

T

homas Edison once said, “I find out what the world needs, then I proceed to invent it.” Edison was a prolific innovator with over 1,000 patents in his name. I believe he captured the true spirit of an entrepreneur with his statement. Entrepreneurs are visionaries who are not satisfied with the status quo.

While others see insurmountable challenges, they see opportunity. I have had the good fortune to visit with many great entrepreneurs, and I am always inspired by their desire to create positive change in the world.

I was reminded of this Edison quote during my interview this week with Bob Lomenick, owner of Tyson Drug Company in Holly Springs. Lomenick is a true entrepreneurial success story.

Lomenick grew up in Iuka and went on to get his pharmacy degree from the University of Mississippi. After graduation, he worked for an independent pharmacy in Olive Branch and later for a high volume pharmacy in Millington, Tennessee. Early in his career, he learned of an opportunity back in Mississippi with the owners of an independent pharmacy in Holly Springs — Tyson Drug Company. Lomenick moved back and went to work for the owners and over a period of several years transitioned to

Title: President & CEO of Tyson Drug Company Favorite Books: “I am currently reading some innovative marketing books by Tom Feltenstein.”

First Job: ”I worked at a local pharmacy while I was in high school.”

Proudest Moment as a Leader: ”Last fall when I received the 2013 Entrepreneur of the Year by the Next-Generation Pharmacist Awards; it was a wonderful validation of the program our team created to help patients.”

Hobbies/Interests: Golf and family time

be the owner. From that one pharmacy, he has grown over the last 30 years to three locations and began a pioneering medication adherence program.

From his customer interactions, he observed that patients were often having trouble managing multiple medications and following the proper dosing schedule. He noticed that many customers ended up in nursing homes simply because they could not manage their medications properly.

Based on these observations, he created a program called RxSync to synchronize pa-

tient refills by combining strip packaging technology with a comprehensive medication therapy management process.

Lomenick now serves thousands of customers with this program throughout the region, and he is recognized as one of the leading independent pharmacists in the country. In fact, he was named the 2013 Entrepreneur of the Year by the Next-Generation Pharmacist Awards. Pharmacists come from all over the country to Holly Springs to learn from Lomenick on how to develop this type of innovative program.

Pharmacists come from all over the country to Holly Springs to learn from Lomenick...

Lomenick shared with me that he has always been one to take calculated risks. Entrepreneurs like Lomenick are never satisfied with the status quo. They are always looking to Martin Willoughby improve the way things are done.He shared that it took him a long time, but he has truly learned to trust his gut instinct.

This gives him the courage to act on “out of the box” ideas. As Apple® founder Steve Jobs said, “Don't let the noise of others' opinions drown out your own inner voice.

And most important, have the courage to follow your heart and intuition.”

Lomenick attributes his success to having great people and well developed processes to ensure consistency and accountability.

With over 30 employees, Tyson Drug Company has a family atmosphere with a passionate focus on the customer.

Lomenick leads by example and makes sure every employee knows they are important to the success of the organization. In addition, Lomenick is a “roll up his sleeves” kind of leader that leads by example.

I enjoy learning of entrepreneurial success stories like Lomenick and Tyson Drug Company. I believe it is important to see how other Mississippi entrepreneurs are taking risks and making a national impact.

I am excited to see how Lomenick continues to expand his business and innovate in the important realm of patient medication adherence.

Martin Willoughby is a business consultant and regular contributing columnist for the Mississippi Business Journal. He serves as Chief Operating Officer of Butler Snow Advisory Services, LLC and can be reached at martin.willoughby@ butlersnow.com.

Images of dogs add to contrasts of the Delta

W » Delta Dogs

By Maude Schuyler Clay Introduction by Brad Watson, essay by Beth Ann Fennelly Published by University Press of Mississippi $35.00 cloth back

ho doesn't like dogs? This is a coffee table book that's sure to bring smiles to a lot of faces along with some reflective pondering.

The photographer of the popular Delta Land has turned her camera to the dogs of this region.

The Mississippi Delta is known for many things. It's a land of stark contrasts in which rich soil produces an agricultural bounty as well as economic want. The Delta has compelled generations of writers, musicians, and artists to chronicle and engage its harsh and mysterious beauty. Seen through the penetrating lens of noted photographer Maude Schuyler Clay, the nearly deserted buildings and landscapes of the Delta are brought to life by the dogs that roam the wide fields and swamp-soaked shadows.

For the past 15 years, Clay has been driving the back roads photographing her native Delta. In the darkroom of her 100-year-old family homestead in Sumner, she has developed hundreds of images of eroding architecture, misty

bayous, small stands of woods, endless rows of crops.

And now she presents her photographs of dogs. Clay has spotted and captured the elemental spirit of dogs eking out existences from this majestic landscape. In her iconic book Delta Land, Clay introduced the "Dog in the Fog," the muscular lab standing watch in the mist and trees of Cassidy Bayou. This photo became widely recognized, and Clay wanted to further explore the relationship between the land and the numerous dogs populating its fields, bayous, and abandoned spaces.

This new book, Delta Dogs, celebrates the canines who roam this most storied corner of Mississippi. Some of Clay's photographs feature lone dogs dwarfed by kudzu-choked trees and hidden among the brambles next to plowed fields. In others, dogs travel in amiable packs, trotting toward a shared but mysterious adventure. Her Delta dogs are by turns soulful, eager, wary, resigned, menacing, and contented.

Clay was born in Greenwood and assisted photographer William Eggleston. Her work is in the collections of the Museum of Modern Art, the Museum of Fine Arts, Houston and the National Museum for Women in the Arts, among others. In 1999 University Press of Mississippi published Delta Land, which received the Mississippi Arts and Letters Award and the Mississippi Arts Commission Individual Artist Grant.

— Lynn Lofton, mbj@msbusiness.com

AN MBJ FOCUS: PUBLIC COMPANIES

THE CH

THE E Sanderson Farms is third-largest poultry producer in U.S.

By LYNN LOFTON I CONTRIBUTOR mbj@msbusiness.com

S

ANDERSON FARMS has grown from a small farm supply store in Laurel to a large publicly-traded company that makes Mississippi proud. The company is now the country’s third-largest poultry producer with 11,700 employees and 800 chicken growers across five states. It’s still headquartered in Laurel where D.R. Sanderson, D.R. Sanderson Jr. and Joe Frank Sanderson opened a store in 1947 that sold feed, fertilizer and farm supplies. In the following years, the Sanderson brothers added poultry production to their business. It was a smart business move as chickens would have to be fed and the Sandersons sold feed.

Today, the company has annual sales of more than $2.68 billion with plants in Mississippi, Louisiana, Texas, Georgia and North Carolina where more than 9 million chickens are processed each week. A new plant in Palestine, Texas, will open in January, and a new plant is planned in North Carolina.

See

CHICKEN, Page 12

April 18, 2014 • MISSISSIPPI BUSINESS JOURNAL • www.msbusiness.com

S

HICKEN

E EGG Cal-Maine Foods is country’s largest producer of eggs

By LYNN LOFTON I CONTRIBUTOR mbj@msbusiness.com

C

AL-MAINE FOODS, based in Jackson, is one of Mississippi’s leading business success stories. It began in 1957 when Fred Adams became involved with broiler and egg production and started Adam Enterprises. The 1969 merger with Dairy Fresh of California and Maine Egg Farm formed Cal-Maine with 14 locations. Since that time, Cal-Maine Foods has grown primarily through acquisition.

Today, Cal-Maine is the largest producer and distributor of fresh shell eggs in the country. In fiscal 2013, the company sold approximately 948.5 million dozens of eggs, representing 21 percent of domestic egg consumption.

The company has a mission to be the most sustainable producer and reliable supplier of consistent, high quality fresh eggs and egg products in the country, demonstrating a “Culture of Sustainability” in everything they do.

See

EGG, Page 13

PUBLIC COMPANIES

12 I Mississippi Business Journal I April 18, 2014

CHICKEN

Continued from Page 10

Chief financial officer Mike Cockrell says the company does not break down the economic impact state by state, but almost half of the employees and half of the processing plants are located in Mississippi, giving the state a substantial impact. The Mississippi plants are located in Hazlehurst, McComb, Collins, Laurel and Jackson. “The company has tripled its size since the early 1990s when we decided to go public,� he said. “The company will continue to grow. The option not to grow is not there as the stockholders expect growth. We already operate really well and plan to keep doing that.�

Sanderson Farms went public in 1987, and Cockrell says the company hasn’t managed the business any differently although the responsibility became greater. “We had shareholders before 1987 but have had more since that time and we reward them with growth,� he said. “They have confidence in the chicken industry in general.�

He points out that the industry has cycles and is influenced by corn and soybean meal costs with feed making up more than 50 percent of production costs. Drought and product demand also play a role in production. Still, the company has experienced steady growth and Cockrell says Sanderson Farms is excited about growth in the next

Courtesy of Sanderson Famrs

Aaron Walker takes a swing during a junior golf clinic last July in connection with the Sanderson Farm Championship PGA tournament.

five to 10 years. “Chicken production is a heavily regulated industry with the United States Department of Agriculture having a big presence in our plants. They inspect every chicken and are in our plants every day,�

Cockrell said. “Other regulatory agencies involved with us are OSHA, the Department of Labor, Food and Drug and the Securities and Exchange Commission. It’s just part of doing business, and as long as everyone is treated fairly, we don’t complain.�

Consumer preferences have changed as U.S. consumers have moved toward

white meat and the convenience of deboned chicken. Other countries aren’t the same and prefer dark meat as a cheap source of protein. “These different consumer demands work well for us,� Cockrell said. “Chicken has been around a long time and is a great source of protein.�

There’s a small market for organic chicken but Sanderson Farms does not produce that kind. “There isn’t much organic corn grown to feed these chickens,� Cockrell said. “Our chicken is all natural, and we like to control what our chickens eat. They

are fed a balanced diet.�

Sanderson Farms became the presenting sponsor of the annual golf tournament that raises funds for the Batson Children’s Hospital in Jackson. “We’re proud to be the sponsor and have agreed to do it the next three years,� Cockrell said. “We’re also proud of the $500,000 that was raised for this charity; that’s why we do it.�

The tournament has changed the date and location this year. It will be played at the Country Club of Jackson during the first week of November.

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13

OUR NUMBERS HAVE INCREASED. SO HAS OUR EXPERIENCE. Butler Snow welcomes new additions to our team.

“Additionally, the growth of specialty eggs has created an opportunity to increase consumer per capita consumption which is a positive trend for egg producers.”

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Alan Andrews Cal-Maine spokesman

EGG

Continued from Page 11

“The challenges for the egg industry going forward will continue to be increased government regulation, animal activists attempting to eliminate animal agriculture in the U.S.” said Alan Andrews, a spokesman for the company, “and the unpredictable nature of the U.S. grain market that’s influenced by export demand, ethanol production and normal variable weather conditions.”

Future growth, Andrews says, will come primarily through acquisitions as it has in the past.

“Additionally, the growth of specialty eggs has created an opportunity to increase consumer per capita consumption which is a positive trend for egg producers,” he said.

“We plan to maintain our leadership position by meeting consumer demand, with a focus on food safety and animal care, and consistent quality.”

To date Cal-Maine Foods has been a leader in industry consolidation, completing 17 acquisitions since 1989, ranging in size from 600,000 layers to 7.5 million layers.

“Despite a market that has been characterized by increasing consolidation, the shell egg production industry remains highly fragmented,” Andrews said.

According to Egg Industry Magazine, there currently are 54 producers who each own more than one million layers and the 10 largest producers own approximately 51 percent of total industry layers. Cal-Maine Foods believes industry consolidation will continue, and they plan to capitalize on opportunities as they arise.

“Our total flock of approximately 31 million layers and 7.5 million pullets and breeders is the largest in the United States,” Andrews said.

“Layers are mature female chickens, pullets are young female chickens usually

under 20 weeks of age, and breeders are male or female chickens used to produce fertile eggs to be hatched for egg production flocks.”

All of Cal-Maine’s laying hens are under the United Egg Producer’s Certified Animal Care Program.

The company has 2,500 employees and 40 egg laying operations, including breeder flocks and 38 processing facilities which can produce 13,460 cases each hour.

“We are fully integrated with breeder flocks, hatcheries, feed mills, pullet farms, layer facilities, egg grading and processing, breaking operations and wholesale distribution centers,” Andrews said.

Through the years there have been changes to the egg industry. Egg producers continue to see advancement in equipment to increase efficiency while improving food safety and reducing the impact on the environment.

“While basic egg packaging for a dozen eggs has changed little in 50 years, the package size that consumers purchase has,” Andrews said. “A trend toward larger package sizes has been going on for several years with some consumers going from packages of one dozen to 18 count, 30 count and now even 60 count (five dozen) packages or larger being commonly sold in super centers and club stores.”

However, he says the most dramatic change over the past several years has been the introduction of specialty eggs, which fall into three categories — nutrient enhanced, cage free and organic certified.

Nutrient enhanced includes the best selling specialty eggs, Eggland’s Best, which are produced by Cal-Maine Foods. The company also produces other brands of cage free and certified organic eggs.

“These specialty eggs now contribute about 15 percent of all of the dozens of fresh eggs sold in the U.S. and it’s expected to continue to grow significantly,” Andrews said.

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PUBLIC COMPANIES

14 I Mississippi Business Journal I April 18, 2014 Company/ Executive

Address/ Exchange

Phone/ Stock Symbol

BancorpSouth

One Mississippi Plaza, tupelo, MS 38801

(662) 680-2000

Dan Rollins

NYSE

Cal-Maine Foods Inc.

3320 W. Woodrow Wilson Ave., Jackson, MS 39209

Dolph Baker

NASDAQ

Callon Petroleum Company

200 N. Canal St., Natchez, MS 39120

Fred Callon

NYSE, NASDAQ

Citizens Holding Company

521 Main St., Philadelphia, MS 39350

Greg McKee

NASDAQ

EastGroup Properties

190 E. Capitol St., Ste. 400, Jackson, MS 39202

Leland R. Speed

NYSE

Hancock Holding Company

2510 14th St., Gulfport, MS 39501

Carl J. Chaney

NASDAQ

Peoples Financial Corporation

152 Lameuse St., Biloxi, MS 39533

Chevis C. Swetman

NASDAQ

Renasant Bank

209 Troy St., Tupelo, MS 38802

E. Robinson McGraw

NASDAQ

Sanderson Farms Inc.

127 Flynt Rd., Laurel, MS 39441-0988

Joe F. Sanderson Jr.

NASDAQ

The First Bancshares Inc.

6480 U.S. Hwy. 98 W., Hattiesburg, MS 39404

M. Ray “Hoppy” Cole

NASDAQ

Trustmark Corporation

248 E. Capitol St., Jackson, MS 39201

Gerard R. Host

NASDAQ

Website

Year Founded

www.bancorpsouth.com

1878

www.calmainefoods.com

1969

www.callon.com

1950

www.citizensholdingcompany.com

1908

www.eastgroup.net

1969

www.hancockbank.com

1899

www.thepeoples.com

1896

www.renasantbank.com

1904

www.sandersonfarms.com

1955

www.thefirstbank.com

1996

www.trustmark.com

1889

BXS (601) 948-6813 CALM (601) 442-1601 CPE (601) 656-4692 CIZN (601) 354-3555 EGP 1-800-448-8812 HBHC (228) 435-5511 PFBX 1-800-680-1601 RNST (601) 649-4030 SAFM (601) 268-8998 FBMS (601) 208-5111 TRMK

Information for this list was provided by the New York Stock Exchange, NASDAQ and other reliable sources. Please direct questions and comments to Wally Northway at research@msbusiness.com.

NEWSMAKERS Bryant taps Williams

Faculty members recognized

Dr. Janet Williams, RN, PhD, dean of the William Carey University School of Nursing, was recently appointed by Gov. Phil Bryant to serve on the State Board of Nursing. She has served in the school of nursing for over 20 years as a teacher and administrator, and most recently, as dean. Williams was elected by her peers to serve as vice chair for the Mississippi Institution of Higher Learning Williams (IHL) Deans and Directors Committee for the Schools of Nursing in 2012, and served as chair for the committee in 2013.

She received a BS in nursing from the University of Southern Mississippi, a MSN in adult health nursing from University of Alabama-Birmingham, an MBA from University of South Alabama and a PhD in educational leadership from USM. In 2011, Williams was given the Woman of Achievement Award in the education category by the Lighthouse Business and Professional Women (BPW) organization. As an RN with licensure in Mississippi and Louisiana, she held various positions before coming WCU in 1990. She worked as a critical care supervisor at the Doctor’s Hospital in Mobile, Ala., as an instructor at Providence School of Nursing in Mobile, as a sales representative for Norwich Eaton Pharmaceuticals in Norwich, N.Y., as a critical care consultant and educator at University of South Alabama Medical Center, as director of education and quality assurance at Gulf Coast Medical Center in Gulfport and as a staff nurse at Memorial Hospital in Gulfport, among other positions.

The Mississippi University for Women Alumni Association recently presented faculty awards. Wesley Garrett won the New Faculty Award while Drs. Nora Corrigan and Deborah Miranda are the Faculty Enhancement Grant winners. Garrett, assistant professor of legal studies, began teaching for the legal studies program in 2009 and became the program director in 2011. She was awarded the College of Business and Legal Studies Faculty Member of the Year for 2011 and 2013, and awarded National Society of Leadership & Success Excellence in Teaching Award in 2013. Most recently, Garrett took on the role of coaching The W’s newly organized mock trial team. Garrett holds a bachelor of arts, honors, in paralegal studies from The W, and a juris doctorate from the University of Alabama School of Law. Corrigan is an assistant professor in the Department of Languages, Literature, and Philosophy. She spent a year as a visiting assistant professor at McKendree University in Illinois before starting at The W in August 2008. Corrigan has recently published articles in Medieval and Renaissance Drama in England and Renaissance Papers and her interests include Shakespeare, early modern drama and gender studies. She has a chapter forthcoming in an essay collection on gender and song in early modern literature, which will be published by Ashgate in 2015. She holds multiple degrees in English from the College of William & Mary and University of North Carolina at Chapel Hill.

Miranda is an associate professor at The W where she lectures and leads students through clinical experiences in community, family and women’s health nursing. She received an associate degree in nursing from Morehead State University in Morehead, Ky.; a bachelor of science in nursing at University of Kentucky, Lexington; a master of science in nursing from the University of Texas Health Science Center, San Antonio; and doctorate in sociology, focusing on gender and family, at Mississippi State University.

Miranda has served as a Red Cross shelter nurse and is a volunteer with Mississippi VIPR: Volunteers in Preparedness Registry. She is active in the Mississippi Nurses Association, Sigma Theta Tau, International Nursing Honors Society and the Association of Women’s Health, Obstetrics and Neonatal Nursing.

Firm welcomes O’Connor George O’Conner, former trial attorney with the Federal Energy Regulatory Commission and former vice president for Entergy Corporation, is joining Brunini, Grantham, Grower & Hewes, PLLC. O’Connor will bring his extensive energy and regulatory experience to Brunini’s Washington, D.C. office.

O’Connor served as an advisor to the Federal Energy Regulatory Commissioner Charles A. Trandbant from 1985-1993 prior to working in FERC’s Office of General Counsel. From March 2008-November 2010, he was hired by Entergy Corporation as vice president of federal governmental affairs.

April 18, 2014

Attorneys made shareholders Copeland, Cook, Taylor, & Bush has named three attorneys as shareholders in the firm’s Ridgeland office. Leslie Bounds practices in the area of business and taxation.

Bounds received her J.D. from Mississippi College School of Law and her B.S. from Mississippi University for Women. She also holds an L.L.M. in taxation from New York University and an M.B.A. from the University of Southern Mississippi.

Charles P. Copeland practices in the areas of construction law, insurance, litigation and products liability. He received his J.D. as well as his B.B.A. from the University of Mississippi.

R. Eric Toney practices in the areas of insurance, litigation and transportation. He received his J.D. and his B.S. from Mississippi College.

Bounds

Copeland

I

Mississippi Business Journal

I

Eye chosen as dean The University of Southern Mississippi has selected Dr. John Eye to lead its University Libraries as dean, following a national search to fill the position.

Eye is dean of library services and professor of library science at Southern Utah University. He will begin work at Southern Miss July 1.

As a faculty member at Southern Utah, Eye teaches information literacy and has taught technology for teachers, collection development and cataloging, first year experience and school library administration. He previously served as web librarian and assistant/associate professor of library media at Southern Utah.

Eye holds an Ed.D. and an Ed.S in educational administration from the University of South Dakota, an M.L.I.S. in library and information science from Wayne State University and a B.S. and M.S. in information media from St. Cloud State University. He is the author of numerous publications and has made multiple presentations across the country on topics that include copyright law, web design, ethics and the link between libraries and reading achievement. He is a member of the American Library Association, American Association of School Librarians, the Mountain Plains Library Association, the Utah Library Association and the Utah Educational Library Media Association.

For announcements in Newsmakers; Contact: Wally Northway (601) 364-1016 • wally.northway@msbusiness.com Toney

http://www.msbusiness.com

AUCTIONS

■ Taylor Auction & Realty, Inc............................................................... www.taylorauction.com

BANKS ■ Regions Bank....................................................................................................... www.regions.com

INTERNET SERVICES ■ Comcast Business .......................................................................................... www.comcast.com ■ TEC ..................................................................................................................................www.TEC.com

LAW FIRMS ■ Victor W. Carmody, Jr. P.A. .............................................................. www.mississippidui.com

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PUBLIC UNIVERSITIES

Jackson State University invites nominations and applications for the Dean of the College of Business The University is seeking an innovative, dynamic, and visionary leader for the College of Business, beginning July 1, 2014. The candidate must have strong academic leadership experience, a commitment to excellence, and the ability to appropriately respond to challenges and opportunities in a manner that propels the College as a premier source for global business leaders.

Applications and Deadlines: Interested candidates should send a letter of interest explaining, how their qualifications relates to the position responsibilities, a curriculum vita, and three letters of professional recommendation. Applications and nominations will be reviewed as they are received, and the position will remain open until filled.

Nominations for this position may be submitted to hrservices@jsums.edu with the subject line Dean, College of Business. Candidates may view the full job description and apply online at https://jsums.peopleadmin.com/ or send their materials to: Dr. Mary M. White, Chair, College of Business Dean Search Committee at Jackson State University C/O: Human Resources, 1400 John R. Lynch Street, P.O. Box 17028, Jackson, MS 39217.

15

■ Delta State University................................................................................... www.deltastate.edu

REAL ESTATE ■ State Street Group........................................................................www.statestreetgroup.com

TECHNOLOGY SOLUTIONS ■ Synergetics DCS, Inc. ...................................................................... www.synergeticsdcs.com

TELECOMMUNICATIONS ■ AT&T................................................................................................................................... www.att.com ■ Comcast Business .......................................................................................... www.comcast.com ■ MegaGate Broadband................................................................................ www.megagate.com ■ TEC ..................................................................................................................................www.TEC.com

WEBSITE DESIGNERS ■ Nuzu Net Media Website Performance Services ................................... http://nuzu.net/mbj ■ U.S. NEXT....................................................................................................................... www.usnx.com

Have your business listed here! Contact your advertising representative at 601.364.1000

16 I Mississippi Business Journal I April 18 2014 THE SPIN CYCLE

Tap into the 10 best sentences from literature he Spin Cycle is always on the lookout for the best turns of phrase — and how words are strung together on paper to make a lasting impact on our everyday lives. So, when publications like American Scholar focuses on the craft of writing, it sets my Wordsmith heart racing. Recently, the editors of the magazine chose the “10 Best Sentences” from literature, which gives pause to the poignant prose of the best writers of all time. Here they are:

T

was steady and the G.N.P. high and a great many articulate people seemed to have a sense of high social purpose and it might have been a spring of brave hopes and national promise, but it was not, and more and more people had the uneasy apprehension that it was not.”

—Joan Didion, “Slouching Towards Bethlehem”

“There are many pleasant fictions of the law in constant operation, but there is not one so pleasant or practically humorous as that which supposes every man to be of “Anger was washed away in the river along equal value in its impartial eye, and the benefits of all laws to be equally attainable by all with any obligation.” men, without the smallest reference to the —Ernest Hemingway, “A Farewell to Arms” furniture of their pockets.”

—Charles Dickens, ”Nicholas Nickleby” “Its vanished trees, the trees that had made way for Gatsby’s house, had once “In many ways he was like America itself, pandered in whispers to the last and greatbig and strong, full of good intentions, a roll est of all human dreams; for a transitory of fat jiggling at his belly, slow of foot but alenchanted moment man must have held ways plodding along, always there when you his breath in the presence of this contineeded him, a believer in the virtues of simnent, compelled into an aesthetic contemplicity and directness and hard labor.” plation he neither understood nor desired, —Tim O’Brien, “The Things They Carried” face to face for the last time in history with something commensurate to his capacity “There is nothing more atrociously cruel for wonder.” than an adored child.”

—F. Scott Fitzgerald, “The Great Gatsby” —Vladimir Nabokov, “Lolita” “I go to encounter for the millionth time “Like the waters of the river, like the mothe reality of experience and to forge in the smithy of my soul the uncreated conscience torists on the highway, and like the yellow trains streaking down the Santa Fe tracks, of my race.”

—James Joyce, “A Portrait of the Artist as a drama, in the shape of exceptional happenings, had never stopped there. ” Young Man” —Truman Capote, ”In Cold Blood” “This private estate was far enough away from the explosion so that its bamboos, pines, laurel, and maples were still alive, and the green place invited refugees — partly because they believed that if the Americans came back, they would bomb only buildings; partly because the foliage seemed a center of coolness and life, and the estate’s exquisitely precise rock gardens, with their quiet pools and arching bridges, were very Japanese, normal, secure; and also partly (according to some who were there) because of an irresistible, atavistic urge to hide under leaves.

—John Hersey, “Hiroshima” “It was a fine cry—loud and long—but it had no bottom and it had no top, just circles and circles of sorrow.”

—Toni Morrison, “Sula” “For what do we live, but to make sport for our neighbors, and laugh at them in our turn?”

—Jane Austen, “Pride and Prejudice” “It was the United States of America in the cold late spring of 1967, and the market

Twitter to Roll Out 15 Kinds of New Ads Lots of new ad strategies are on the horizon for Twitter.

Hoping to win over e-commerce companies and mobile-game developers, the social platform will debut 15 types of new ad products and improved ways to target users over the next six months, according to a recent piece in The Wall Street Journal.

The first batch will be released in a few weeks and will include a product that will coax users to download apps through Twitter.

Over the past year, some consumer brands have thrown more advertising dollars toward Twitter, especially during live events such as the Super Bowl or Academy Awards. Twitter's simple suite of promoted advertising products — a trio of ads that target select users and receive preferential placements as tweets, trends and recommended accounts — haven't resonated with mobile game and e-commerce companies whose advertising decisions are driven by app downloads, subscriber sign-ups and purchases according to the piece.

To address advertisers' needs, Twitter is

Lots of new ad strategies are on the horizon for Twitter. The first batch will be released in a few weeks... taking a page from Facebook’s playbook.

Twitter has been beta-testing a mobile-app install ad unit. It is similar to the popular product Facebook launched in late 2012 and that has fueled its mobile advertising revenue, which last quarter accounted for more than half of overall revenue for the first time.

Facebook users downloaded 245 million mobile apps after seeing ads for those apps in their news feeds last year. It essentially recommends apps for Facebook users to download.

Instagram Hits 200 Million-User Mark It's a testament to Instagram's success that when Mark Zuckerberg revealed the photo-sharing service had crossed the 200-million-user milestone, it barely rated a mention.

The statistic arrived in the middle of an investor-relations phone call explaining why he had just purchased Oculus VR for $2 billion — or more than twice the price of Instagram. Zuckerberg's rationale: Facebook said it would be happy if Instagram hit 100 million users, and now they're at twice that.

In other words, you can't always predict where these technologies are going.

SEE ALSO: Instagram Photos With Faces Get 38% More Likes Zuckerberg dropped the news a little early to make a point, it seems. Instagram's Tumblr made it official about an hour after the call, and added a few juicy details, including the fact that 20 billion photos (and counting) have been uploaded to the service.

More importantly, 50 million of those users signed up in the last six months, which

means Instagram grew by roughly 100% in the last year. The 200-million figure is for monthly active users, Instagram said.

Given such strong growth, and the early appearance of ads on Todd Smith the service, it seems that Facebook got a much better deal than anyone knew at the time — especially as the final stock-based sale price closed at $735 million, rather than the $1 billion most of us remember.

Holy Mic | Pope Francis Pedals Papal PR, Asks For Forgiveness The Easter season is always a time to spread the good news about the resurrection of Christ. So it was refreshing and redemptive to hear Pope Francis kick off the holy week by asking for forgiveness for the Catholic Church’s worst sinners.

Pope Francis addressed an audience with members of the International Catholic Child Bureau, a Catholic group based in France known as the BICE, where he asked forgiveness and took responsibility for the sins of other priests over the years. “I feel that I must take responsibility for all the harm that some priests—quite a number, but not in proportion to the total. I must take responsibility and ask forgiveness for the damage they have caused through sexual abuse of children. The Church is aware of this damage. It is their own personal and moral damage, but they are men of the Church,” he said, according to a Vatican press office statement. “And we will not take one step backwards in dealing with this problem and the sanctions that must be imposed. On the contrary, I believe that we must be even stronger. You do not interfere with children.” After many missteps in numerous priest abuse scandals in the past, Pope Francis has finally done something monumental in seeking forgiveness. He has stepped up to the mic – and given voice while proclaiming justice to all of God’s children.

Each week, The Spin Cycle will bestow a Golden Mic Award to the person, group or company in the court of public opinion that best exemplifies the tenets of solid PR, marketing and advertising – and those who don’t. Stay tuned – and step-up to the mic!

And remember … Amplify Your Brand!

Todd Smith is president and chief communications officer of Deane, Smith & Partners, a fullservice branding, PR, marketing and advertising firm with offices in Jackson. The firm — based in Nashville, Tenn. — is also affiliated with Mad Genius. Contact him at todd@deanesmithpartners.com, and follow him @spinsurgeon.

SALES MOVES

April 18, 2014

I

Mississippi Business Journal

I

17

» JEFFREY GITOMER

The customer is stalling. What do I say now?

J

effrey, When a client says he or she is “still reviewing their options,” I know you say that’s the result of their ability to see the value in my product or service. But how should I respond to this objection without pushing the customer away? Thanks, Gladys You are correct that the customer has not seen enough value to select you. And, in fact, I don't believe you are in first position. Otherwise they would have given you more words of encouragement.

When this or any other stall occurs, you have to be prepared to communicate on a more direct level the customer with something that might evoke more truth and more respect.

Before I get down to the specifics, I want to make sure you understand the big picture — the strategy of what to do from 30,000 feet — so you can eventually get down on the ground and get to battle. Battle for the order, battle against your competition, and battle to gain the customer.

Start your thinking here: • Ask as much as you dare. Asking questions allows you to gain information that might lead to a sale much quicker than you giving a sales pitch about why you're the greatest.

• Blame yourself for their indecision. To the prospective customer you have fallen short of communicating value, even though you’re certain that you’re the best choice. Be prepared with a list of your best value offerings, and ask to meet in person to go over it.

• Get clarity and clarification of the customer’s present status. When the customer says they’re still considering other options, obviously you need more information in order to determine exactly where you are, and exactly what to do next. The only way to get this information is to ask them directly.

• Be certain you're in the top three choices. If you are not number one, number two, or number three on the present list of potential vendors, there is no way to even win this business.

• What are the options beyond price that are part of the consideration. If price is the only option, you need to know that. If there are other elements that are being factored in the sale (terms, split order, speed of delivery, quality of product, reliable service), you need to know that too.

Now for the nitty-gritty. And keep in mind that the nitty-gritty questions can only be helpful to you if you understand the big picture.

ASK: How will the decision be made?

ASK: Who else are you considering?

ASK: What are the deciding factors?

ASK: What are you hoping for as an outcome?

ASK: What happened the last time you purchased?

ASK: What has the discussion included thus far?

And to further clarify the situation, and give you some real reasons behind this stall, it may be that: • They don't have the money.

• They believe they can get it cheaper someplace else.

• They are looking for convenience and you may be too far away.

• They do not perceive enough value in your product or service.

• They have a bad past history with you or an ex-

isting vendor.

• They are unsettled as they weigh the risk factors.

• They do not have the comfort to move forward.

• They do not like you, have confidence in you, believe in you, or trust you enough to buy from you.

• They have some other unspoken objection.

• They have some other unspoken risk.

• They are unwilling to decide based on their lack of certainty.

“Still shopping around” or “still reviewing options” is not an objection, it's a stall that means the prospect has not found someone who gives them enough peace of mind, enough value perception, and enough confidence to move forward.

And you thought it was all about price. Shame on you!

Jeffrey Gitomer is the author of “The Sales Bible”, “Customer Satisfaction is Worthless” “Customer Loyalty is Priceless”, “The Little Red Book of Selling”, “The Little Red Book of Sales AnJeffrey Gitomer swers”, “The Little Black Book of Connections”, “The Little Gold Book of YES! Attitude”, “The Little Green Book of Getting Your Way”, “The Little Platinum Book of Cha-Ching”, “The Little Teal Book of Trust” and “The Little Book of Leadership”

Congratulations

2014 class of Top 40 Under 40 honorees from the Joseph B. Babb

Chris Madison

Jason Wilton Bailey

Brandon D. Meeks

Michael Bentley

Nathan Moore

Elizabeth Mills Boone

Austin Morgan

Kylie B. Boring

Anna M. Neel

Katrina S. Brown

Jamie D. Osbirn

David B. Burt

Tianna H. Raby

Chara J. Clancy

Ryan Revere

Jason Cook

Gerold Smith

Steve DeRusso

Ryan P. Steiner P.E.

Mitchell O. Driskell III

John Stolarski

Daniel C. Elliott

Micajah P. Sturdivant IV

Edgar A. Flores

Dana C. Terry

Breck R. Hines

Katy Tillman

LaKeysha Greer Isaac

Jerry L. Toney

Alyson Bustamante Jones

James Russell Turley

Kenneth L. Jones

Vince Vavrunek

Robert D. King Jr.

Chad Wallace

Kimberla M. Little

Sara Harrison White

John Mabus

Liz Young

This magazine will profile all AWARD RECIPIENTS and pay tribute to their excellence in business and community achievements. » Your ad will be seen by all MBJ subscribers. » The Top 40 Under 40 recipients will know that you supported them at this special time in their lives.

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For more information on Top 40 Under 40 and other events please visit www.msbusiness.com/events or call Tami Jones at (601) 364-1011

18 I Mississippi Business Journal I April 18 2014 »INVESTMENTS

»NONPROFITS

Modern Wealth Management: Looking at the Bigger Picture

A

ROSS REILY / The Mississippi Business Journal

Tammy and Van Brun who were instrumental in getting the Ever Reaching Community group organized, up and running, and they now have a 3,000-square-foot storage facility for donations.

Mississippi Non-Profits: Paying it Forward

E

ver Reaching Community Outreach began as a small, grass-roots group dedicated to helping one family in need, and has now grown to an organization helping many needy individuals and families around the Magnolia State.

In a recent meeting with Van and Tammy Brun, who were instrumental in getting the group organized, up and running, we discussed their mission and scope of service. From a tiny beginning, the group has come to encompass many churches from all denominations, and counts a number of pastors on its board.

Among other thing, their goal is to identify and help people who are truly desperate, those who are “standing on the edge of a cliff,” and to help provide them with needed food, clothing, and shelter.

“It’s heartbreaking,” Tammy said. “So many people right here in Mississippi really have nothing.” She related the story of one teenage girl who didn’t even have shampoo to wash her hair, let alone many of the other necessities of life.

Van talked about an elderly couple who were living in a “shack, without heat.” The group organized a drive to provide the couple with a comfortable mobile home.

How do they accomplish their mission?

“We are blessed to have many people who are willing to volunteer their time, who are willing to donate useful items of

furniture, appliances, clothing and so on, along with food,” Tammy said.

Alan Turner The group now has a 3,000square-foot location where they are able to store some of the donated items that will be used to meet the needs of their constituents.

They are planning a spring carnival of sorts on April 26 at Muscadine Park in Pelahatchie, which will feature food, games, entertainment, train rides and more, a “great day of family fun,” as they put it. The proceeds will to toward supporting ERCO. From their point of view, being able to help those in desperate need provides its own “rewards and blessings.” It is certainly encouraging to see a grass roots movement such as this develop into an organization that is helping many deserving folks right here in Mississippi, and that doesn’t happen without determination and effort. It’s a great way to Pay it Forward.

For further information on the organization, visit their website at www.everreaching.com, or they can be reached at (601) 937-0697 for more information about the spring event in Pelahatchie.

Contact Mississippi Business Journal publisher Alan Turner at alan.turner@msbusiness.com or (601) 364-1021.

nyone who had an investment portfolio five or six years ago understands, at least in a general sense, the nature of market risk.

A position that goes up in value can also go down. The factors that create the “up” tend to be anticipated — a company increases its earnings or the economy improves, for example. The significant “downs” tend to come from left field, like the international financial crisis just a few years ago. And it is those unanticipated declines that most of us think of when we consider “risk.” This isn’t a significant consideration for the budding investor, because when you don’t have much invested, you don’t have much to lose.

When an investor has achieved significant wealth, however, or as he or she approaches the time that some of those investments will need to be tapped, risk becomes a vital consideration and portfolio management strategies, like asset allocation and diversification, are encouraged to mitigate the risks.

Traditional portfolio management begins with an analysis of the customer’s required return and an evaluation of whether the corresponding portfolio is aligned appropriately to meet the stated need.

That approach is good as far as it goes, but it leaves many risk considerations out of the equation. For example, much of the mass affluent population’s wealth isn’t in their traditional portfolio of stocks, bonds and mutual funds. It is in their business, their land, their concentrated stock position, or other wells of significant wealth that are outside the scope of most portfolio reviews, because these sources of value have exposures for both risk and return that are far different than those of more traditional assets.

Building on the latest research into portfolio theory, modern wealth management evaluates assets in three separate risk categories — personal, market and aspirational. Personal assets are those such as cash, CDs and home values. Most savers consider these risk-free, but when taxes and inflation are taken into account, the values of some of these assets may actually be decreasing year after year, and the riskiest investment you own may turn out to be the one that is guaranteed not to provide the return that you need to achieve your goals!

The risk of market assets — stocks, bonds, mutual funds, exchange-traded funds, etc. — are more commonly appreciated by investors. These risks are endured, because these assets provide an opportunity for savings and investments to

outperform inflation, thus maintaining or incrementally improving the investor’s standard of living. Aspirational assets — business interests, concentrated stock, etc. — are those, on the other hand, that can provide extraordinary returns to dramatically advance, not just maintain, a person’s lifestyle.

The investor who is managing his investments wisely is the one who understands the risks of each and pursues Blackwell

Wealth brings more risk balance across his entire portfolio, not just traditional assets. As diversification and asset allocation are recommended in the traditional portfolio, they should also be sought in the broader scope of a person’s holdings. The business owner, with an imbalance in the aspirational component due to her business interests, should seek to build up an adequate personal cash reserve and a traditional investment portfolio. The erstwhile investor, who was spooked out of the market five years ago and is still heavily allocated to cash, would be prudent to build up his stock and bond portfolio to, over time, protect the purchasing power of his savings.

The point isn’t to get equal amounts in each category of personal, market and aspirational assets. The objective is to start with a comprehensive risk assessment: To consider an individual investor’s various components of wealth, their unique financial goals, and their risk tolerance. Following that, a customized financial solution is constructed and maintained by a team of subject-matter experts who will prepare and react to the customer’s major life events. This dedicated team — wealth advisors, trust advisors, portfolio managers, lending advisors, insurance specialists and others — working in coordination toward a holistic, customized financial plan, mark the difference between traditional portfolio management and modern wealth management.

Mark Blackwell is the Area Executive for Regions Private Wealth Executive for Mississippi.

Drives a forklift at a manufacturing company.

OR

Looking to buy a fleet of forklifts for his manufacturing company.

No assumptions.

Predictable? Conventional? That’s not your style. You don’t fit any one mold and your financial needs and goals are just as unique. So instead of one-size-fits-all solutions, your Regions Wealth Advisor, leading a team of subject-matter experts, will customize a plan that addresses your individual financial picture. From cash flow to investing to succession planning and beyond, you get a comprehensive, unbiased approach to your specific financial situation. You’ll also get more straight-talk and transparency than you might expect from a bank. But then, we’re pretty unique ourselves. For a personal consultation to discuss how your Regions Wealth Advisor can help you move forward, call 1.800.826.6933 or visit us online at regions.com/wealth.

Mark Blackwell | Senior Vice President Area Wealth Executive for Mississippi 601.790.8383 | mark.blackwell@regions.com

Wealth Management | Investments | Retirement | Solutions for the Real You © 2014 Regions Bank. Investments in securities and insurance products held in trust accounts are not FDIC-insured, not deposits of Regions Bank or its affiliates, not guaranteed by Regions Bank or its affiliates, not insured by any federal government agency, and may go down in value.

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