Profile Michigan Retailers Association, a valuable and trusted business resource for nearly 75 years, serves as the unified voice of retailing in Michigan. Representing more than 15,000 retail stores and websites and other businesses, MRA is the nation’s largest state retail association. Through its expanding national network of credit card processing referral partners, MRA serves members and customers in 49 states and the District of Columbia.
MRA’s affiliated corporate entities are: Michigan Retailers Services, Inc.; Retailers Mutual Insurance Company; Michigan Retailers Foundation; and Michigan Retailers Association Political Action Committee.
Contents
1 Leadership Message 2 Buy Nearby and Other Achievements 4 Legislative Achievements 6 MRA Financial Summary 7 RMIC Leadership Message
Cover photos (top and middle) by David Trumpie
8 Growing Surplus 9 RMIC Financial Summary 10 Boards of Directors 12 Professional Management Team
Leadership Message The successful launch of Buy Nearby was one of the big stories of 2013 for Michigan Retailers Association. Buy Nearby is the statewide campaign by MRA to encourage Michigan consumers to buy from retail businesses in Michigan. It’s designed to boost local communities, the state’s economy and everyone’s quality of life – and to have fun doing it. And while Buy Nearby was perhaps the most visible and colorful of MRA’s achievements during the 2012-13 fiscal year, there were other important pieces to the full story of the past year. The pieces include coming within a whisker of posting our first $1 billion year in sales of business services, with the total rising by nearly double digits from the previous year. MRA increased its financial strength despite uneven and uncertain growth in the Michigan and U.S. economies. In fact, our Michigan Retail Index, which provides a monthly gauge of the success of the overall retail industry in our state, showed only three months in the 2012–13 fiscal year in which the retail industry posted improved year-over-year sales performance. The pieces include redoubling our outreach efforts to local communities and smaller downtowns, in order to provide greater assistance to local businesses and boost our membership ranks to pre-recession levels. The pieces include legislative victories to strengthen Michigan’s retail and overall business climates and keep them from sliding backwards. MRA moved Main Street Fairness legislation forward, helped pass new laws giving law enforcement more effective weapons against organized retail crime, supported successful efforts to repeal personal property taxes for commercial properties and campaigned vigorously
Thomas Ungrodt Chairman, MRA Board of Directors President, Ideation Inc., Ann Arbor
against proposed constitutional amendments that would have increased the cost of doing business and prevented the legislative process from repairing the damage. The pieces also include strategic moves by Retailers Mutual Insurance Company to generate greater and faster growth in the future (see pages 7 & 8). The story of 2013 is another positive one, full of achievement on behalf of our thousands of member businesses and partners. We invite you to read about it in greater detail in the pages of this annual report. Michigan Retailers Association is “the unified voice of retailing in Michigan.” The Association is also unified as an organization. Our directors are not only committed to MRA’s mission and their oversight responsibilities, they work extremely well together and with our highly professional management team and our most active members. The result is a membership organization whose officers, directors and managers all pull in the same direction to move the Association forward. We are pleased to report the results of 2013 and look forward to reporting next year on everything that 2013 made it possible to achieve in 2014.
James P. Hallan President and Chief Executive Officer Michigan Retailers Association 2014 ANNUAL REPORT 1
Buy Nearby and Other Achievements
Members of MRA’s boards of directors, management and families show their strong support for Buy Nearby during a weekend gathering in northern Michigan.
Michigan Retailers Association increased in financial strength and overall value to members during the 20122013 fiscal year. Sales of membership and business services by Michigan Retailers Services, Inc. grew just shy of double digits, Retailers Mutual Insurance Company boosted policyholder surplus, MRA’s efforts led to a successful first “celebration” of the statewide Buy Nearby campaign in early FY14, and the Association’s legislative and political actions improved Michigan’s retail and overall business climates. Just as important, MRA took important, strategic steps to keep financial strength and membership value climbing in the future. Gross Sales rose 9.3 percent to $996,459,780, just shy of making it the organization’s first $1 billion year. The healthy increase was led by merchant processing services, whose transaction volume increased to $984,192,600. Among all revenue sources, merchant processing increased its share of total revenue by slightly more than 1 percentage point, to 69.5 percent. Insurance products, led by Retailers Mutual policies, 2 MICHIGAN RETAILERS ASSOCIATION
accounted for 12.3 percent of revenue, a 1.6 percentage point increase. While MRA kept a heavy focus on enrolling and assisting small- and medium-size Main Street retailers and other businesses that form the core of the organization, the Association also continued to sign up large-volume companies for merchant processing services. These large-volume businesses provide major growth opportunities that benefit MRA members and partners of all sizes. MRA’s group of businesses that process more than $1 million annually in electronic transactions grew to 148 in 2013, an increase of 16 percent from the previous year. Among the major new opportunities that opened for MRA across the nation, as the Association expands its geographic footprint through referral partner relationships with out-of-state groups, was a creative new relationship with The Jimmy Fund. The Jimmy Fund supports the fight against cancer in children and adults at Boston’s Dana-
Farber Cancer Institute. MRA proposed a unique solution to the charity’s fundraising needs that benefits everyone involved. The program provides the fund with a new and growing revenue stream from the processing fees of the businesses it refers to MRA’s national identity, Retailers Processing Network. MRA also donates part of its share of the processing revenue, and businesses that sign up end up paying the same or less than what they were paying their existing processor. It’s a model that can be replicated in other regions of the country. MRA’s commitment to its Michigan core couldn’t have been clearer with the introduction of the Buy Nearby campaign (see BuyNearbyMI.com) to help drive more traffic and sales to retail businesses in Michigan. Officially launched in April 2013, the yearround campaign is a permanent, year-round, feelgood program designed to promote Michigan retail businesses and communities (all retail businesses located in the state, not just MRA members or locally owned enterprises). The goal is to get everyone excited about the great places and great shops in Michigan and get shoppers committed to buying in Michigan.
a statewide increase in sales. In addition, a follow-up survey by MRA showed good awareness of the campaign and suggested that the more businesses knew about Buy Nearby the more they participated on Get Caught Blue-Handed Day. Planning started immediately on making October 4, 2014, a bigger success. Michigan’s “decade of recession” starting in the early 2000s, compounded by the Great Recession that began across the nation in late 2007, eventually caught up with MRA’s traditionally strong annual membership growth. That prompted MRA, as the economy slowly rebounded the past several years, to devote even greater attention to its roots as a source of new members: local communities, especially smaller downtowns.
All of 2013 and the 1st Quarter of FY 2014 were spent developing the campaign, raising sponsorship support and making retailers and consumers aware of the campaign and the economic benefits of keeping shopping dollars in the community and the state. The campaign runs throughout the year and is “celebrated” annually on the first Saturday in October. On October 5, 2013 – declared “Buy Nearby Get Caught Blue-Handed Day” by Governor Rick Snyder and both houses of the Michigan Legislature – advertising and media attention focused on shoppers visiting and buying in nearby communities and stores. Communities, downtowns, retail centers and retail stores were encouraged to offer special promotions, events and incentives to make it a big local shopping day. The results were encouraging for the first year of a major campaign. An analysis of MRA members’ credit card processing transactions that day showed Program Adm
inistration
To assure comple te impartiality to maintain in selection of a high level winners and of profess is administered by International ionalism, the program Services, Inc. (ISTS), a nationa Scholarship and Tuition managing sponso l firm that special red scholarship izes in programs.
Checking the Statu s
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To check the status of your application, return https://aim.app lyists.n to: your e-mail addres et/mira and log into your account using call ISTS to check s (user ID) and password. You may also the status at 615.320.3149.
Questions
For additional information regarding the scholarship program, contac
t: Michigan Retaile rs Association c/o ISTS Scholarship Program P.O. Box 23737 Nashville TN 37202-3737 Phone 615.320 .3149 or Fax 615.320 email: contac .3151 tus@ap scholarship program plyists.com (please include name of the or sponsor).
2014 2015
Apply online: www.retailer s.co
m
ACADEMIC YEAR
SCHOLARSHIPS
603 South Washing ton Avenue, Lansing Phone: 517.372. , MI 48933 5656 • Toll-free email: mra@re : 800.366.3699 tailers.com • Fax: 517.372.1303 www.retailers.co m facebook.com/M • www.retailersmutual.com ichiganRetailers • twitter.com/mic hretail
How Many? More than 30
$1,000 Scholarships are available from the Michigan Retailers Association Scholarship Program, established to benefit members and their employees.
Who’s Eligible? • Dependent children of owners or employees of the thousands of MRA-member businesses.
OR • Part-time employees at MRAmember businesses who are also full-time students. Scholarships are not based on financial need. The program is open to high school seniors and college* undergraduates. *Includes Gemological Institute of America and other approved educational and professional training institutes.
2014/20 ACADEMIC15 YEAR SCHOLARSH IPS
Application
deadline is April 1, 2014
Scholarship Program Establi shed Foundation to benefit membe by the Michigan Retaile rs rs and their employees.
Questions?
See your employer for details or contact the Michigan Retailers Association at . . .
800.366.3699 ext. 313
www.retailers.com Application deadline is April 1, 2014
Apply online: www.retailers.com (access code is MIRA)
In 2012 and more so in 2013, that meant greater outreach to local communities, including regular downtown breakfast meetings and innovative outreach to local chambers of commerce, downtown development authorities and principal shopping districts. As an extension of these efforts, a new tier of membership was created last year to appeal to these local organizations. In its own backyard in downtown Lansing, MRA continued to demonstrate its longtime community commitment. A new parking area created by the demolition of the former MRA headquarters on North Pine Street (which had contributed greatly to neighborhood stabilization nearly a half century ago when MRA purchased a rundown house and transformed it into a headquarters office building) was professionally landscaped to become an attractive neighborhood asset. Also, Michigan Retailers Foundation added to its many years of helping members and their employees pay for post-secondary education by awarding $34,000 in scholarships to 37 high school seniors and college freshmen, sophomores and juniors for the academic year beginning in fall 2013. The Foundation has provided a total of $300,000 in scholarships to colleges and trade schools for a total of 325 students since the scholarship program was revamped in 1999. 2014 ANNUAL REPORT 3
Legislative Achievements Michigan House Tourism Committee members put their hands together for Buy Nearby during a hearing to learn more about Get Caught Blue-Handed Day. Photo by David Trumpie.
The issue of Main Street Fairness remained atop MRA’s legislative agenda in 2013. Considerable progress was achieved in moving the Internet sales tax collection measure forward in the legislature, but lawmakers were in no rush to put the legislation to a floor vote – despite widespread support among legislators for retail’s major issue.
Amazon, to start collecting sales tax on goods sold to Michigan residents. The current collection loophole for out-of-state companies gives them a 6 percent price advantage over Michigan retail businesses and results in lost sales, lost jobs and lost tax revenue.
January 2013 marked the beginning of a new, twoyear legislative session. After the Main Street bills were reintroduced in the House in February, the House Tax Policy Committee approved them on a bipartisan vote in September, putting them in position for a House vote in 2014. In addition, similar versions of the bills were introduced in the Senate in October 2013, and the Senate Economic Development Committee planned to hold its first hearing on them in January 2014.
Prior to the 2012 elections that would determine the makeup of the 2013-14 legislature, MRA designated and publicized retail-friendly legislators and candidates who were supportive of the industry’s legislative agenda. The determination was made by surveying all candidates as well as examining sitting lawmakers’ votes on specific issues affecting retailers. Those supporting retail’s positions were named “Friends of Retail”; more than four dozen won the designation. Following the elections, MRA met with all new legislators to make them more familiar with retail’s specific legislative agenda.
The bills would begin to level the retail playing field by requiring certain online retailers, including
MRA also got involved in a major way in the campaign over a slate of November ballot issues. Five proposed
4 MICHIGAN RETAILERS ASSOCIATION
constitutional amendments that would have raised the price of electricity and labor costs and stonewalled the legislative process were defeated with help from MRA. The Association helped raise close to $800,000 from politically active members to help defeat the five key ballot proposals. A sixth proposal that MRA and business groups supported was defeated as well, but the chief goal was to defeat the five harmful propositions. Gov. Snyder praised the work of MRA at its October Board of Directors meeting prior to the election.
individuals who participate in organized retail crime activities. He also appointed MRA’s William J. Hallan, senior vice president, operations and general counsel, to the first Organized Retail Crime Advisory Board. Among other victories, MRA: • Beat back attempts to raise the sales tax to pay for road repairs and other infrastructure improvements, a move that would have reduced retail sales in Michigan and produced less tax revenue than supporters forecast. Instead, MRA supported Gov. Snyder’s proposal to change the gas tax formula and rely on user fees to pay for the more than $1 billion needed for improvements. • Supported legislation eliminating the personal property tax for industrial and commercial property valued under $40,000. Gov. Snyder signed it into law in late 2012. The plan is contingent on voter approval in August 2014. • Was successful in revising the state’s sales tax remittance schedule to create stability in monthly returns.
Governor Rick Snyder thanks Jim Hallan for MRA’s successful efforts to defeat five proposed constitutional amendments harmful to the state’s economy. Photo by David Trumpie.
In addition to moving the ball forward on Main Street Fairness legislation, MRA played a key role in development and passage of legislation to combat the growing problem of Organized Retail Crime. MRA worked with Gov. Snyder’s office and bill sponsor Rep. Joe Graves to get the measure through the legislature. The new law, which the governor signed into law in late 2012, creates new penalties for
• Limited changes to the use of fireworks – and not their retail sale. The final legislation enabled municipalities to enact local ordinances limiting the days and times that consumer-grade fireworks could be used, but did not change retailers’ ability to sell them. Retailers won that right previously in legislation pushed by MRA. • Went to bat for the industry against unusually harsh legislation that would suspend and eventually revoke a retailer’s liquor or lottery license if found guilty of an unauthorized food assistance transaction. The compromise legislation replaced the one drastic penalty with a three-tiered penalty system and targeted only fraudulent activity that exceeds $1,000. • Hosted another successful annual Legislative Reception in April to build relationships with lawmakers and increase their awareness of MRA’s legislative agenda.
State Representatives Eileen Kowall and Rob VerHeulen (right) and MRA President and CEO Hallan hold a February news conference to announce the introduction of Main Street Fairness bills. 2014 ANNUAL REPORT 5
MRA Financial Summary MRA Customers in 49 States
Michigan Retailers Association Subsidiary and Related Entities Consolidated and Combined Statements of Financial Information JUNE 30‌
2013
2012
ASSETS Current Assets Property & Equipment Less Depreciation Other Assets
$ 6,019,731 $ 2,327,556 $20,142,312
$ 7,329,456 $ 2,427,648 $16,782,208
TOTAL ASSETS
$28,489,599
$26,539,312
LIABILITIES & NET ASSETS Total Liabilities RMIC Surplus Net Assets - unrestricted TOTAL LIABILITIES & NET ASSETS
6 MICHIGAN RETAILERS ASSOCIATION
$11,196,660 $ 9,822,376 $ 8,146,789 $ 8,473,078 $ 9,146,150 $ 8,243,858 $28,489,599
$26,539,312
RMIC Leadership Message A hallmark of Michigan Retailers Association during its nearly three-quarters of a century has been the ability to act strategically and move to a higher level of success and membership benefits. There’s no clearer example than Retailers Mutual Insurance Company – both its past and future. MRA took a bold step and established a self-insured workers’ compensation insurance fund in 1981 as a means of providing members with quality coverage at reduced cost during an era of skyrocketing work comp premiums. The fund met with early success and grew more successful each year as more businesses joined the program. As MRA’s membership began to evolve and expand outside the traditional, narrow definition of retail, however, stringent state regulations prevented Retailers Fund from serving a large and growing share of the Association’s membership. The Association met the challenge with a bold and strategic plan to convert Retailers Fund to a mutual insurance company that would be able to provide workers’ compensation insurance to a far greater range of businesses. The result was the establishment of Retailers Mutual Insurance Company in 2006. Again, the marketplace reacted positively. Retailers Mutual has grown far ahead of where it would be if it had remained a self-insured fund. The Company is now consistently writing more than a million dollars in new premium each year, a feat it could have never dreamed possible as a fund.
year was spent not only growing the company but also preparing to change the company’s confining corporate structure to enable it to grow more quickly by raising the capital necessary to benefit policyholders in a number of possible ways. These could include upgrades in technology, greater operational efficiencies, improved claims management and development of new product lines. In August 2014, policyholders will be asked to approve a change to a mutual holding company form of governance. It’s another important step in the growth and development of Michigan Retailers’ insurance offerings to members, a step that means the organization will continue to move forward. 2013 was another positive year for Retailers Mutual. It wrote more premium and increased surplus. And it worked with experienced insurance executives and state regulators to plan the best route to get Retailers Mutual where it needs to go to best serve current and future policyholders. Board members and management are united in asking policyholders to approve the change and usher in a future that, once again, will make the present success pale by comparison. The following pages provide more details of the successful year just past and the opportunities ahead. We encourage you to read the latest chapter of Retailers Mutual’s success and, in August, to help write even more positive chapters in the future.
In fact, it is Retailers Mutual’s success, expanding capacity and growing potential that have led us to the next big move on the chessboard. The 2013 calendar
Peter Sobelton Chair, Retailers Mutual Insurance Company Owner, Birmingham retail property companies
James P. Hallan President and Chief Executive Officer Retailers Mutual Insurance Company 2014 ANNUAL REPORT 7
Growing Surplus Retailers Mutual Insurance Company kept growing in calendar year 2013 and set the stage for even more robust growth in future years. The year began with the addition of MRA’s dental insurance program to Retailers Mutual and ended with a detailed plan in place to ask policyholders to approve a new corporate structure in August 2014. The management- and board-recommended proposal would move Retailers Mutual from a mutual company to a mutual holding company in order to allow RMIC to grow more rapidly, strengthen its financial position and develop more insurance products in the future. The Michigan Insurance Code has a specific statute that allows a mutual insurance company like RMIC to change to a mutual holding company structure. On one hand, mutual insurance companies have some important characteristics, such as the ability to put policyholders’ interests first. On the other hand, the structure is inflexible and a company is limited on how it can grow and raise capital for reinvestment. A mutual holding company structure, which Retailers Mutual is asking policyholders to approve, offers the best of both worlds. It is still controlled by the policyholders, but its structure allows for the infusion of additional capital, which could be used to upgrade technology, foster operational efficiencies, improve claims management or develop new product lines. No new insurance products are planned immediately, but the structural change makes it easier to offer them in the near future. RMIC grew surplus by 8 percent this past year due to an increase in sales and the addition of MRA’s former self-insured dental program. Gross premium written rose 23 percent to $6.1 million, including $607,000 in dental premiums for the first time. Due to the Company’s success over the past eight-plus years, since it was converted to a mutual after decades as a successful but limited self-insured workers’ compensation fund, the Board of Directors and management believe now is the time to position the company for greater long-term growth.
Direct Premium Written
2013 $5,790,282
8 MICHIGAN RETAILERS ASSOCIATION
2012 $4,793,375
The Company’s focus on boosting sales and market share also was reflected in the November hiring of two additional sales and marketing executives. Both worked previously at Fremont Insurance, a successful Michigan insurer with an impressive track record of growth. They have joined existing staff to put greater emphasis on one-on-one Agent relationships and find additional ways to differentiate Retailers Mutual from other insurers.
Retailers Mutual’s expanded sales and marketing team: (from left) Teresa Breed, Director, Insurance Sales; Tom Tuggle, Senior Vice President, Sales and Membership; and Kurt Dettmer, Senior Vice President, Sales and Business Development; (seated) President and CEO James P. Hallan. Photo by David Trumpie.
Another way Retailers Mutual improved its operations to facilitate growth was building an updated version of AgentQB, the insurer’s automated quoting and binding tools. Automation that makes it easy for Independent Agents to do business with Retailers Mutual is key to realizing the type of growth that the other major moves in marketing, sales and corporate restructuring make possible. Looking back, 2013 has made possible the landmark, forward-looking changes that 2014 is expected to bring.
2011 $3,603,888
2013 $9,847,628
Policyholder Surplus 2012 $9,146,150
2011 $8,473,078
RMIC Financial Summary Retailers Mutual Insurance Company Statutory Statement of Admitted Assets, Liabilities, and Policyholders’ Surplus DECEMBER 31… 2013 2012
ADMITTED ASSETS Cash and investments Bonds, at amortized cost $12,975,742 $12,785,406 Common stocks, at fair value $1,946,612 $1,522,963 Cash and short term investments $1,969,106 $1,547,216 TOTAL CASH AND INVESTMENT $16,891,460 $15,855,585 Uncollected premiums $257,204 $214,211 Deferred premiums $1,062,084 $947,477 Accrued investment income $63,428 $81,818 Federal income taxes recoverable $241,111 $0 Net deferred tax asset $275,300 $348,784 Other assets $43,677 $414 TOTAL ADMITTED ASSETS $18,834,264 $17,448,289 LIABILITIES Losses and loss adjustment expenses $6,733,925 $6,167,118 Commissions payable $137,052 $126,486 Unearned premiums $1,643,812 $1,451,647 Premiums paid in advance $54,278 $26,692 Federal income taxes payable $0 $219,294 Ceded reinsurance premiums payable (receivable) $142,643 $106,183 Taxes, licenses, and fees, excluding federal income taxes $87,787 $78,966 Payable to affiliates $128,862 $31,302 Other liabilities $58,267 $94,451 TOTAL LIABILITIES $8,986,626 $8,302,139 POLICYHOLDERS’ SURPLUS Surplus note $750,000 $750,000 Unassigned surplus $9,097,628 $8,396,150 TOTAL POLICYHOLDERS’ SURPLUS $9,847,628 $9,146,150 TOTAL LIABILITIES & POLICYHOLDERS’ SURPLUS
$18,834,254
$17,448,289
2014 ANNUAL REPORT 9
Boards of Directors Michigan Retailers Association Thomas Ungrodt | Chair Ideation, Ann Arbor
Orin Mazzoni, Jr. Orin Jewelers, Garden City
Thomas Ungrodt is president and CEO of Ideation, Inc., Ann Arbor, a leading producer of marketing solutions for independent gift retailers across the nation. He also oversees two Michigan gift stores and serves on the board of the Northern Michigan University Foundation.
Orin Mazzoni, Jr. is president of Orin Jewelers, Inc., a family owned business with stores in Garden City and Northville. He is past president of the Michigan Jewelers Association board, a member of the Garden City Downtown Development Authority and past Garden City Chamber of Commerce president and “Member of the Year.”
James P. Hallan | President and CEO Michigan Retailers Association Jim Hallan became president and CEO of Michigan Retailers Association in 2008 after serving as president and chief operating officer since 1989. He also serves as president and CEO of Retailers Mutual. He joined Michigan Retailers as general counsel in 1985 and is a former assistant county prosecutor. He serves as chair of the Delta Dental Foundation, as past chair of the national Council of State Retail Associations and is a former member of the board of Fremont Insurance Company.
Dan Marshall | Vice Chair Marshall Music Company, Lansing Dan Marshall is president of Marshall Music Company, one of the largest full-line music retailers in the country. The Lansing-based, family owned company was established in 1948 and operates stores in Lansing, Kalamazoo, Grand Rapids, Troy, West Bloomfield, Allen Park and Traverse City. He is a past member of the National Association of Music Merchants Board of Directors.
Peter R. Sobelton | Treasurer Birmingham Peter Sobelton is owner-partner in several retail property companies and the former owner of two retail businesses in Birmingham. He also serves as chair of the Retailers Mutual board. He is past president of the Tobacconists Association of America and serves on the board of the downtown Birmingham Principal Shopping District.
Jean Sarasin | Secretary Michigan Retailers Association Jean Sarasin is executive vice president and chief operating officer of Michigan Retailers Association and Retailers Mutual. She oversees Michigan Retailers’ finance, membership and customer service areas as well as managing its day-to-day operations. She joined MRA in 1981 after working in the banking and accounting fields.
Barb Stein | Past Chair
Great Northern Trading Co., Rockford Barb Stein is owner/operator of Great Northern Trading Co., Rockford, a specialty gifts and home décor store she opened in 1977. She is active in the Rockford Area Chamber of Commerce and is chair of the Rockford Downtown Development Association, chair of the HEART of Rockford Business Association and member of the Rockford Brownfield Redevelopment Authority.
Brian Ducharme AT&T Mobility Division Brian Ducharme is vice president and general manager of the Mobility Division of AT&T for Michigan, Indiana and Ohio. He is responsible for AT&T’s wireless operations in those states, where he oversees all business and financial matters for AT&T’s 187 company-owned retail stores and 120 indirect retail locations in the states.
Becky Beauchine Kulka Becky Beauchine Kulka Diamonds and Fine Jewelry, Okemos Becky Beauchine Kulka is founder and CEO of Becky Beauchine Kulka Diamonds and Fine Jewelry in Okemos. She also serves as president of the Michigan Jewelers Association board. Her store was Michigan Retailer of the Year in 2006 and named one of the “coolest” jewelry stores in the nation by Instore magazine in 2005. She also received the 2002 Entrepreneurial Award from the Greater Lansing Business Monthly.
10 MICHIGAN RETAILERS ASSOCIATION
Joseph McCurry Credit Card Group Joe McCurry is an executive with Credit Card Group and is based in Georgia. He previously was an executive with the furniture industry’s Dovetail Alliance and The High Point Group and is a retired Detroit district general manager for Sears, Roebuck and Co. He also served as a store general manager for Sears in Illinois and Wisconsin.
Larry Mullins Brandon Tire & Auto Service Center, Ortonville Larry Mullins is owner of Brandon Tire & Auto Service Center in Ortonville and a former district manager for General Tire. He is a past president of the Michigan Tire and Vehicle Service Association, past board member of the National Tire Industry Association and past president of the North Oakland Chamber of Commerce.
R.D. (Dan) Musser III Grand Hotel, Mackinac Island R.D. (Dan) Musser lll is president of Grand Hotel, the historic hotel built in 1887 on Mackinac Island. Along with his sister, Mimi, he represents the third generation of Musser family ownership and operation of the world’s largest summer resort. His service on boards includes the Mackinac Bridge Authority and Albion College.
Joe Swanson Target Corp. Joe Swanson is District Team Leader for Southwest Ontario, Target Canada and is responsible for operations, profitability and human resources for 10 Target stores, with a total of 2,000 employees. He has been a member of the Target team for more than 25 years.
James Walsh Meijer, Inc., Grand Rapids James Walsh is retired chief financial officer of Meijer, Inc. and an adjunct professor of finance at Aquinas College. He joined Meijer in 1992 after holding executive positions with several large retailers in Illinois. He is also a member of the board of Catholic Charities West Michigan.
D. Larry Sherman Board Member Emeritus D. Larry Sherman is retired president of the former Sherman Shoes, Inc., Birmingham. He is a former chairman of MRA, the former Retailers Fund and the National Shoe Retailers Association. He was named “Business Person of the Year” by the Birmingham-Bloomfield Chamber of Commerce in 1992.
Retailers Mutual Insurance Company Peter R. Sobelton | Chair (see MRA Board of Directors)
James P. Hallan | President and CEO (see MRA Board of Directors)
Jeff Joyce | Vice Chair Mieras Family Shoes, Grand Rapids Jeff Joyce is vice president and co-owner of Mieras Family Shoes, Grand Rapids. The fourth-generation, family owned company founded in 1922 has three stores, four mobile sales vans and a sales unit inside a major manufacturer. He has spent more than 20 years working in the family business.
Jean Sarasin | Secretary, Treasurer (see MRA Board of Directors)
Dan Marshall | Past Chair
Marshall Music Company, Lansing
Mark Miller Hylant Group, Ann Arbor Mark Miller is executive vice president of Hylant Group, president of its Ann Arbor office and is also responsible for the Troy and Grand Rapids offices. Hylant is among the largest privately held insurance brokerage firms in the United States and maintains strong international brokerage relationships. Prior to joining Hylant, he was managing director of Marsh USA, Inc. for 20 years.
Rod Phillips Country Casuals, Petoskey Rod Phillips is owner of Country Casuals, Petoskey, a small chain of year-round and seasonal ladies’ apparel stores located throughout northwest Michigan. He worked as a commercial pilot before starting the retail business with his wife, Judy, in 1974.
Thomas Ungrodt Ideation, Ann Arbor
(see MRA Board of Directors)
(see MRA Board of Directors)
Larry Meyer Lansing Community College Larry Meyer is retired chairman and CEO of MRA. The former U.S. Navy officer has received appointments from three Michigan governors, including director of the Michigan Department of Commerce. He served two terms on the Lansing City Council and was elected in 2009 to the Lansing Community College Board of Trustees, which he chairs. He also serves on the boards of Partnership for Learning and St. Vincent Catholic Charities.
Michigan Retailers Services, Inc. James P. Hallan | President and CEO (see MRA Board of Directors)
Bo Brines Little Forks Outfitters, Midland Bo Brines is owner and president of Little Forks Outfitters, an Orvis shop and retailer of quality fly fishing equipment and outdoor clothing, located in downtown Midland. A Midland native, he took over an office products supply store from his father in 1989, then started his current business in 1995. He is a member of the Midland DDA, former president of the Midland Downtown Business Association and was that organization’s 2004 “Business Person of the Year.”
Lisa McCalpine-Wittenmyer Walgreens Lisa McCalpine-Wittenmyer is senior regional director, state government relations for Illinois-based Walgreens. Prior to joining Walgreens in 2008, she was the health and human services senior writer and policy point person for the Minnesota Senate DFL Caucus. She also has served as political representative for the National AFL-CIO in Minnesota, Midwest political director for the Bill Bradley for President Campaign, and chief of staff for two congressmen. She is also a board member of the Minnesota, Wisconsin and Iowa state retail organizations.
Bill Golden Golden Shoes, Traverse City Bill Golden is co-president, with his brother Craig, of Golden Shoes, a family owned and operated shoe store in downtown Traverse City since 1954 and which succeeded a shoe retailer dating back to 1883. A Traverse City native, he began working in the store at age 14 and joined the store full time in 1981. He is active in numerous community projects and serves on the board of the Traverse City Downtown Development Authority. Golden Shoes was honored as Michigan Retailer of the Year in 2005.
2014 ANNUAL REPORT 11
Professional Management Team Michigan Retailers Association EXECUTIVE TEAM
SALES
COMMUNICATIONS & MARKETING
James P. Hallan
Burke Sage Manager, Sales
Patrick Kerwin Manager, Design and Printing
Jean Sarasin Executive Vice President and Chief Operating Officer
Chris Smith Manager, National Sales
Ken Sierakowski Printing Operations Coordinator
Ken Kowalski Senior Marketing Representative
Laura Schilling Communications Assistant
President and Chief Executive Officer
Tom Scott Senior Vice President, Communications and Marketing John Mayleben, CPP Senior Vice President, Technology and New Product Development Tom Tuggle Senior Vice President, Insurance Sales & Membership
Michael Dorland, CPP Regional Marketing Representative Katie Jensen Business Development Representative Darcy Gates, CPP Inside Sales and Support Specialist
CUSTOMER SERVICE
ADMINISTRATION AND OPERATIONS Ally Nemetz Manager, Customer Data Francine Bushrey Accounting and Membership Assistant Debbie Johnson Customer Data Representative
William J. Hallan Senior Vice President, Operations and General Counsel
Penny Sierakowski Manager, Customer Service Department
Larain Pearsall Accounting Assistant and Bookkeeper
EXECUTIVE SUPPORT STAFF
Tamara Baker Customer Service Representative
Cheryl Szczubialka Staff Accountant
Connie Minster Customer Service Representative
Dora Serna Receptionist
Christain Shaull Customer Service Representative
Melody Totten Customer Data Representative
Amy Jolley Executive Assistant and Event Coordinator Kathleen Wilson Administrative Assistant
GOVERNMENT AFFAIRS
Ge Xiong Customer Data Representative
Amy Drumm Manager, Government Affairs
Retailers Mutual Insurance Company Tom Tuggle Senior Vice President, Insurance Sales & Membership Kurt M. Dettmer Senior Vice President, Insurance Sales & Business Development
12 MICHIGAN RETAILERS ASSOCIATION
Teresa Breed Director, Insurance Sales
Mark Baynai Staff Accountant
Patty Zaskowski Manager, Underwriting
Laura Schilling Associate Underwriter
Judy Schafer Manager, Operations
Reasons to Belong 1. Buy Nearby
Michigan Retailers Association has served as a trusted business and legislative resource for 75 years. MRA is the nation’s largest state trade association of general merchandise retailers and other types of businesses.
MRA launched Buy Nearby in 2013 to increase traffic and sales at Michigan retail businesses. The year-round campaign, which is celebrated annually on the first Saturday in October, is designed to get everyone excited about the great shopping we have in Michigan and committed to buying nearby. It’s meant to be fun for shoppers and retailers while delivering an important message about the value of keeping your shopping dollars where they do the most good – right here in Michigan.
2. Best Credit Card Processing Solutions
3. Retailers Mutual Insurance Company
MRA has the most cost-effective transaction solutions for your business, whether it’s plug and play or a customized application. No matter how sophisticated or simple – POS, terminal, Internet, wireless, virtual terminal, ACH processing, recurring billing – and no matter what your business is, MRA is the expert source.
MRA established Retailers Mutual Insurance Company to serve the workers’ compensation insurance needs of member businesses. Retailers Mutual policyholders enjoy excellent coverage at competitive rates and gain access to all of the cost-saving membership services of MRA. Policies are sold by carefully selected Independent Insurance Agents. MRA / RMIC Corporate Headquarters, Lansing, Michigan
4. Strength In Numbers – Cost Savings, Too By aggregating the purchasing power of 5,000 members and their more than 15,000 stores and websites, MRA is able to negotiate better prices and rates on a wide range of business services. Member services that boost your bottom line include: expert credit card processing, cost-competitive insurance programs, discounts on natural gas and shipping, scholarships for your family and employees’ families, and much more.
603 South Washington Avenue Lansing, MI 48933 Phone: 517.372.5656 Toll-free: 800.366.3699
Fax: 517.372.1303 email: mra@retailers.com retailers.com retailersmutual.com
5. Best Personal Customer Service Our Customer Service Representatives are full-time employees of MRA, not contract workers in an outsourced call center halfway around the world. Their knowledge and experience (an average of 13 years in their positions) helping MRA-member business owners and managers is the reason they know the answers to members’ questions and score at the top on follow-up customer satisfaction surveys.
BLUE-HANDED DAY 速
Michigan Retailers Association
603 South Washington Avenue | Lansing, Michigan 48933 517.372.5656 | toll-free: 800.366.3699 | fax: 517.372.1303 mra@retailers.com www.Retailers.com
www.RetailersMutual.com