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Editor’s Note
Canal Cruising F
rom Sept. 20-23, I was fortunate enough to head south to Panama for the 2016 Super Region Canvas Workshop. Among our many outings was a trip to the Panama Canal, which just underwent a $5 billion expansion. It was definitely a surreal experience. Strangely enough, just a few months before I was there, the riverboat on our cover actually passed through the Panama Canal — the largest item ever to pass through on top of a ship. This month we take an inside look at the Louisiane, a new luxury riverboat that left its home port in Gretna to make its inaugural journey up the Mississippi on Oct. 22. Unlike any riverboat I’ve been on before, the Louisiane has a distinct French f lair that, among its many amenities, includes a roundthe-clock bistro serving croquet madame and beignets from Café Du Monde. Vive la French America Line! Speaking of France, we have a bit of a French trend going here at Biz — last month we featured a new store on Magazine Street called La Riviere Confiserie — the first in our region to specialize in imported French goodies. This month, along with the French America Line, our guest perspective was written by Audrey Nikitine of the Alliance Francais. As it turns out, French is the third most used language for conducting business, behind English and Mandarin. I’m actually surrounded by French these days. Not only is our artistic director from France, so is one of my closest friends. And our kids both have the fortune of attending one of Louisiana’s many French immersion schools. Right now I only have occasional dates with the app “Duolingo”, but maybe someday I’ll take the next step with some classes at Alliance Francais. Bonne lecture,
Kimberley@BizNewOrleans.com 6
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november 2016 | volume 3 | issue 2
Publisher Todd Matherne Editorial Editor-in-chief Errol Laborde Managing Editor Kimberley Singletary Art Director Antoine Passelac Photographer Cheryl Gerber Web Editor Kelly Massicot Assoc. Multimedia News Editor Leslie T. Snadowsky Contributors Maria Clark, Robert Edgecombe, Steven Ellis, Suzanne Ferrara, Audrey Nikitine, Chris Price,Peter Reichard, Kim Roberts, Jennifer Gibson Schecter, David Lee Simmons, Keith Twitchell, Melanie Warner Spencer
advertising Vice President of Sales Colleen Monaghan Colleen@myneworleans.com (504) 830-7215 Sales Manager Maegan O’Brien Maegan@BizNewOrleans.com (504) 830-7219 Senior Account Executive Caitlin Sistrunk Caitlin@BizNewOrleans.com (504) 830-7252 Account Executive Carly Goldman Carly@BizNewOrleans.com (504) 830-7225 PRODUCTION Production/Web Manager Staci McCarty Senior Production Designer Ali Sullivan Production Designer Monique DiPietro Traffic Coordinator Terra Durio administration Chief Executive Officer Todd Matherne President Alan Campell Executive Vice President Errol Laborde Vice President of Sales Colleen Monaghan Director of Marketing & Events Cheryl Lemoine Event Coordinator Margaret Strahan Administrative Assistant Denise Dean Distribution Manager John Holzer Subscription Manager Sara Kelemencky Subscription Assistant Mallary Matherne AABP 2016 Award of Excellence Best Feature Layout: Magazine | Bronze
110 Veterans Blvd., Suite 123, Metairie, LA 70005 (504) 828-1380 Biz New Orleans is published monthly by Renaissance Publishing, LLC, 110 Veterans Blvd., Suite 123, Metairie, LA 70005; (504) 828-1380. Subscription rate: one year $24.95, two year $39.95, three year $49.95 — foreign rates vary call for pricing. Postage paid at Metairie, LA, and additional mailing entry offices. POSTMASTER: Send address changes to Biz New Orleans, 110 Veterans Blvd., Suite 123, Metairie, LA 70005. Copyright 2016 Biz New Orleans. No part of this publication may be reproduced without the consent of the publisher. The trademark Biz New Orleans is registered. Biz New Orleans is not responsible for unsolicited manuscripts, photos and artwork, even if accompanied by a self-addressed stamped envelope. The opinions expressed in Biz New Orleans are those of the authors and do not necessarily reflect the views of the magazine or owner. 8
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Contents
50
76 Features
From the Lens
42 French America Line
76 Great Offices
A look at the latest addition to the booming river cruise market.
50 Bond Moroch
After helping shape New Orleans’ post-Katrina landscape, Bond Public Relation & Brand Strategy shares exciting news of their own.
80 Why Didn’t I Think of That?
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Creative ideas for corporate giving and teambuilding retreats that sponsor local companies.
96 Behind the Scenes
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GNO, Inc.’s sky-high space.
Sola Violins
On the Cover From left to right: Jerry Bologna, executive director of JEDCO; John Cook, captain of the Louisiane; Belinda Constant, mayor of Gretna; and Christopher Kyte, French America Line chairman, standing at Bollinger Shipyards with the Louisiane. Photo by Jeff Johnston
Contents
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22 Columns
22 NOLA By the Numbers
Recent data sheds light on commuting in Southeast Louisiana.
24 Dining Biz
88
Adventures in child-friendly dining.
26 Tourism Biz
Three Rivers Art Festival returns to Covington with a new addition.
28 Sports Biz
Father and son team Rich and Michael Mauti bleed black and gold.
30 Film Biz
St. John Soundstage has a unique arrangement.
32 Entrepreneur Biz
New grant will help startups connect with big business.
34 Biz Etiquette
Swearing at the office: always a don’t?
36 Tech Biz
12
Cybersecurity advice for small businesses.
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Perspectives
News
60 Maritime & Ports
20 Calendar
Sell the New Orleans Public Belt Railroad? What it would mean for business.
64 Banking & Finance
New rule for investment advisors is causing turmoil in the industry.
68 Insurance
The flooding in Baton Rouge is a lesson for us all.
72 Guest Viewpoint
Learning French makes sense for business.
Upcoming events not to miss.
38 Biz Bits
Industry news
88 Q&A
Quentin Messer, president & CEO of the New Orleans Business Alliance.
94 Around Town – Events
Industry gatherings
.
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Publisher’s Note
I Miss You, New Orleans
O
ver the past two months I have been traveling more than usual, unfortunately often leaving my offices and my family in New Orleans to conduct various business and to seek knowledge from important people around the country. Traveling outside of my city, our city, has forced me to reflect on how much I truly love New Orleans — my home. On November 24, we celebrate the traditional holiday full of food and family — and this year on this day. I am blessed to also celebrate my 27th wedding anniversary with the love of my life, Andrea; my inspiration in everything I do. Whenever Thanksgiving comes around, we are reminded to take pause and give thanks for what we appreciate most in our lives. All of this traveling and time spent away from the city just so happens to be perfectly, and coincidentally, situated around this holiday of gratitude and recognition. Being away from New Orleans, a city unlike any other, has reminded me how much my heart and soul belongs here. Much as Louis Armstrong once sang, “Do you know what it means to miss New Orleans?” As a man born and raised here, yes, I truly do. When you miss something in life, you realize how much it meant or means to you, and as I end my last trip of the year, I yearn for home. I miss you, New Orleans. No other city compares, and I am glad to be home. Todd Matherne
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Meet the Sales Staff
Maegan O’Brien Sales Manager (504) 830-7219 Maegan@BizNewOrleans.com
Caitlin Sistrunk Senior Sales Executive (504) 830-7252 Caitlin@BizNewOrleans.com
Carly Goldman Account Executive (504) 830-7225 Carly@BizNewOrleans.com
Colleen Monaghan Vice President of Sales (504) 830-7215 Colleen@BizNewOrleans.com
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Calendar Wednesday, November 9
Thursday, November 17
New Orleans Chamber of Commerce
ABWA Crescent City Connection Luncheon
Power Lunch
Camille Whitworth, former WDSU news anchor and local
11:30 a.m. – 1 p.m.
businesswoman
1515 Poydras St.
11 a.m. – 1 p.m.
5th Floor Auditorium
Ralph Brennan’s Heritage Grill
NewOrleansChamber.org
111 Veterans Blvd., New Orleans ABWANewOrleans.org
Tuesday, November 15
Friday, November 18
Jefferson Chamber of Commerce State of Jefferson Luncheon 2016
EO Louisiana and TEDxLSU at BREW
11:30 a.m. – 2 p.m.
An afternoon of entrepreneurial learning
Crowne Plaza New Orleans Airport Hotel
1:30 – 7 p.m.
2829 Williams Blvd., Kenner
Tin Roof Brewing Co.
JeffersonChamber.org
1624 Wyoming St., Baton Rouge EOLouisiana.org
Tuesday, November 15
Friday, November 18
BRAC Big Think 11:45 a.m. – 1 p.m.
4th Annual Louisiana International Trade Gala
Cook Hotel and Conference Center
6:30 – 10:30 p.m.
3848 W. Lakeshore Dr., Baton Rouge
National WWII Museum, Boeing Pavilion
BracBigThink.com
WTCNO.org
Wednesday, November 16
Tuesday, November 29
Baldwin, Haspel, Burke & Mayer, LLC Law Offices 33rd Annual
St. Tammany West Chamber of Commerce
Seminar for CPAs
Starting and Financing Your Business Idea
1 – 5 p.m.
—SBDC Sponsored Seminar
Sheraton Metairie
8 – 11 a.m.
4 Galleria Blvd.
St. Tammany West Chamber of Commerce
BHBMLaw.com
610 Hollycrest Blvd., Covington StTammanyChamber.org
Thursday, November 17
Wednesday, November 30
Criminal Justice Reform Summit 8:30 a.m. – 12 p.m.
Jefferson Chamber of Commerce
Crowne Plaza Executive Center Baton Rouge
Prosper Jefferson Seminar Series: Exporting 101
4728 Constitution Ave.
9 – 10:30 a.m.
JeffersonChamber.org
JEDCO Conference Center 700 Churchill Pkwy., Avondale JeffersonChamber.org
We’d love to include your business-related event in next month’s calendar. Please email details to Editorial@BizNewOrleans.com.
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Columns | NOLA By The Numbers
Method of Commuting Drives Alone
U.S.
Louisiana
Orleans
Jefferson
St. Tammany
76.6% 82.8% 69.2% 80.1% 83.9%
Carpools/Vanpools 9.0% 9.0% 8.7% 11.1% 8.0% Public Transportation 5.2% 1.5% 8.5% 1.7% 0.3% Walks
2.8% 2.0% 4.3% 2.4% 0.7%
Bikes, Cabs, or Other 1.8% 1.9% 5.1% 1.2% 2.0% Works at Home
4.6% 2.8% 4.1% 3.5% 5.0%
Getting Around Town The many ways we commute, and what it means
E Robert Edgecombe is
an urban planner and consultant at GCR Inc. He advises a wide range of clients on market conditions, recovery strategies, and demographic and economic trends.
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ach morning, nearly 150 million workers across the country go about the business of getting to work. Commutes are fixtures in our lives and livelihoods, and accessibility to jobs by car, bus, foot, bike or other means is a critical fixture of a regional economy. The most recent data from the American Community Survey provides some insight on how workers in the New Orleans area commute and how that has evolved in recent years. First, and most obviously, the vast majority of workers commute by themselves in their own vehicles. Nationwide, about 77 percent of workers drive to and from work alone, and with the exception of Orleans Parish (69 percent), those rates are slightly higher in our region. Roughly 80
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percent of workers in Jefferson Parish and 84 in St. Tammany, for example, drive themselves to work. Furthermore, solo commuting is generally on the rise. Between 2007 and 2015, the percentage of people driving alone to work rose to some extent nationally, statewide, and in Orleans and St. Tammany Parishes. Carpooling and vanpooling, meanwhile, has seen a slight decrease over the same period. Across the country, the state, and the region, traveling with others is a consistently less common way to get to work. The change is more dramatic in Orleans Parish, where 9 percent of workers carpooled to work in 2015 compared to 14 percent in 2007, when the displacement and disruption following Katrina still required
many people to shuttle back and forth to the Northshore and Baton Rouge. Predictably, the percentage of people hoofing it to work is higher in Orleans Parish than its neighboring parishes. About 10 percent of workers in New Orleans spend their commutes walking or biking (or taking a cab), compared to only 4 percent in Jefferson and 3 percent in St. Tammany. To my surprise—given the tremendous recent growth in downtown housing—this percentage has actually decreased about 1.5 percentage points since 2007, but is still twice the national average. And finally, over 19,000 people in Orleans, Jefferson and St. Tammany Parishes rely on public transportation to access their jobs, up from about 8,000 in 2007. Across the country, the state, and the region, use of public transit ticked upward during this time period, most notably in New Orleans, where it rose approximately two percentage points from 6 percent to over 8 percent. Nationwide, about five percent of workers utilize transit regularly, but even with a slight increase over 2007, fewer than 2 percent of Louisiana residents commute this way. Public transportation is an especially important resource in New Orleans, where service to many lower-income neighborhoods still lags well behind its pre-Katrina levels. A recent report by Ride New Orleans noted that RTA busses made about 7,800 weekly trips in 2015 compared to 17,000 before the storm, and the decreases in service have been sharpest in those which rely on public transit the most heavily. In a city where 19 percent of households have no vehicle available (more than twice the national rate), the expansion, connectedness, and equity of its transit network must remain a strategic priority. Among other things, this data serves as a reminder that transportation infrastructure, in all its forms, is the lifeblood of local and regional vitality. Whichever mode workers use, they reasonably expect a safe, efficient, comfortable and reliable commute. The ability to get to work is a fundamental component of individual economic mobility, and the provision of a truly accessible and effective network of transportation options is a basic—if challenging—hallmark of a resilient and promising region. n Photo Thinkstock
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Columns | Dining Biz
The Littlest Customers Adventures in child-friendly dining BY Peter Reichard
A
bout 10 years ago, I was talking to a neighbor-friend over the fence, a young immigrant father, about a baby on the way. My wife was visibly pregnant with our first child. “Dat’s gonna change yo life, man,” he said in his North African accent. “Yeah, I know,” I began to reply, casually. “No!” he interrupted. “You don’t know how dat’s gonna change yo life! Dat’s gonna change. Yo. Life.” Of course, he was right. Fast-forward 10 years and two kids later, my social calendar looks totally different. My bedtime has changed. My wakeup time has changed. And the places I choose for dinner have most definitely changed. Oh, sure. We could hire a sitter when we want to go out to eat, and we do so now and 24
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then. But here’s the secret thing about being a parent that nobody tells you: Soon enough, you get to a point where you’d rather hang out with your kids than anyone else in the world. And as their table manners improve and they become less picky, the restaurant options get broader and broader. But in the early going, it’s rough. The kids spill things. They pick up spoons and start banging them on the table. They reach for sharp knives. They get up and run around. They vocalize loudly and at random. They eat fried shrimp, but nothing else on the menu. They poo on themselves, then announce it to the whole restaurant. By the end of the meal, you’re exhausted. As you pay the bill, you think, “What a waste.” Because of all that, in those early days, you’re looking for a few basic things: An
atmosphere that tolerates cacophony, maybe even with outdoor seating; a children’s menu; something for the kids to color on, along with a handful of crayons; a high chair; and prices low enough to mitigate the regret you feel approximately 50 percent of the times you go out to dinner. Often, you’re willing to take those odds because staying at home with the wee ones too long can give you cabin fever. They’re always on the move, always making noise, and their toys are everywhere. It’s worse if mom is at home all day, as was the case for us a couple of years there. She just needs to get out and see adult humans for a while. There are times when everything works out fine. One night, when my daughter was still an infant, we met a group of friends at Crescent City Steakhouse. The din of the fully packed restaurant, bouncing off the tile f loors, was just right to put her to sleep in her portable car seat for the entire meal. But when you up the ante and have more than one kid, that sort of lucky strike becomes a statistical impossibility. Part of the problem is that kids are so unpredictable. On one occasion, when our kids were still toddlers, we took them to Venezia on Carrollton. In the middle of the meal, my daughter casually grabbed a piece of cheese pizza and, instead of biting into it, suddenly launched it high into the air. It landed on the table next to ours, where a gray-haired party of four was engrossed in conversation. (Weirdly, they didn’t seem to notice the pizza.) Nowadays, the kids are 8 and 10. They have decent manners. An occasional elbow makes its way onto the table, and occasionally one of the kids will decide to slump down and announce: “I’m tired.” But nothing embarrassing happens. They’re still a bit picky, especially my son, so we tend to gravitate toward seafood and Italian restaurants or breakfast places, which always have something to please the young. They don’t need coloring books anymore (but are still happy to have them). We can sit and have a nice, quiet conversation as a family. Strange to say, I already miss those early days at super-casual restaurants when any shrimp in my kids’ greasy little fingers had a 50-50 chance of landing on the floor. And I’m sure that, 10 years hence, I’ll be missing these days. But thank God for those restaurants known as “kid-friendly places,” where we can live out these scenes in our family’s life. n
Photo Thinkstock
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Columns | Tourism Biz Work by jeweler Michael Eddy
Three Rivers Run Through It Three Rivers Art Festival to draw crowds to Northshore.
A
Jennifer Gibson Schecter was
once a tourist in New Orleans herself and is now proud to call NOLA home. Prior to New Orleans, she wrote for publications in the Midwest and New York City.
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visit to New Orleans almost always includes the French Quarter, often includes the Garden District and sometimes includes a swamp tour. Covington, Louisiana, however, is not as common a destination, unless it is November, and the annual Three Rivers Art Festival is on the calendar. Celebrating 20 years as one of the region’s largest juried art festivals, the free Three Rivers Art Festival will fill Covington’s downtown streets with 60,000 attendees on Saturday, Nov. 12, and Sunday, Nov. 13, from 10 a.m. to 5 p.m. A new addition this year, the Artist Party and outdoor concert will take place Saturday night from 6:30 p.m. to 9:30 p.m. at the Covington Trailhead and will feature Tyler
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Kinchen and the Right Pieces. To participate in the juried festival, artists begin to apply in February, and three jurors review those entries until 200 are chosen in June. “Four hundred to 500 artists apply,” said Sarada Bonnett, the Three Rivers Art Festival event coordinator. Of those selected to participate, she said, “They have to bring only the artwork that is juried in. We try to make sure the quality stays top-notch for our patrons. It’s not just arts and crafts, this is fine art.” One of those fine artists selected for 2016 is jeweler Michael Eddy, a Covington native, who credits the Three Rivers Art Festival as a starting point in his career: “My very first art show was Three Rivers in 2007. To get
in the show right away and not be wait-listed is a big deal. I ended up winning Best of Show, and it led to a lot of opportunities after that. It made me feel like I was going toward a professional artistic career.” Eddy will be showing his jewelry at this year’s festival. He uses materials like copper, brass and silver and employs a cold connection method to his pieces; instead of soldering the parts, he uses micro-fasteners like bolts and washers, which gives the pieces an industrial feel. His jewelry is priced between $65 and $200 at the festival, and as an artist/independent businessman, he appreciates the festival’s financial impact. “I do quite a bit of business over the weekend,” said Eddy. “Then I’ll have residual business after the festival with customers buying that weekend and calling after the festival to order more.” “We do an artist survey at the end of the festival,” said Bonnett. “The survey asks, ‘Did you meet or exceed your goals?’ with goals ranging from $2,000-$10,000. Seventy-five percent of the artists say they meet or exceed their goals. Artists try to come back every year, and I have one artist who has made it in every year for 20 years.” Bonnett also pointed to the positive economic impact the Three Rivers Festival has on tourism in Covington and St. Tammany Parish. She said, “We bring 60,000 people through in two days, staying at our hotels and eating at our restaurants. People come from Texas, Mississippi and Alabama. The Columbia Street shop owners tell us it’s their best weekend of the whole year. We love being able to give back to the community like that.” If you can only attend one day of the festival, Bonnett shared, “Saturday is like Mardi Gras – it’s elbow to elbow. Sunday is better if you want a little more space and breathing room.” The Three Rivers Art Festival is also incredibly family-friendly and has a children’s discovery area. The discovery area offers hands-on art activities like face painting, a graffiti wall, a rotating craft tent and other sponsored tents. There is also a children’s stage with performances by the Louisiana Philharmonic Orchestra, the New Orleans Opera and a hip-hop workshop with child actor Trace Masters. For more information on the Three Rivers Art festival, visit the website at threeriversartfestival.com. To learn more about artist Michael Eddy’s work, visit stormeddy.com. n
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Columns | Sports Biz
The Family Business Michael Mauti joins dad as a Saints icon.
I chris price is an award-winning journalist and public relations principal. When he’s not writing, he’s avid about music, the outdoors, and Saints, Ole Miss and Chelsea football.
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n New Orleans, football is family — a giant black and gold family. When our Saints do well, we’re jubilant. And when one of those Saints is one of our own, we swell with enormous civic pride and often elevate those players — including Jim Taylor, Hokie Gajan, Bobby Hebert, Dalton Hilliard and Michael Lewis — to iconic status. For the past year and a half, a son of a Saint has been rising to prominence with his play for the hometown team. “I never thought it would happen,” said Saints linebacker and special teams ace Michael Mauti about the upswing he’s having in his second year playing in New Orleans. “Not a lot of people get the chance to play in the NFL, let alone for the same team as their dad, and, especially, the one they grew up watching,” he said. “So it’s been a really special experience.” Mauti, a fourth-year NFL veteran, was born in New Orleans and raised across Lake
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Pontchartrain in Mandeville. His dad, Rich Mauti, played for the Saints from 1977-1983 as a reserve wide receiver, who made his mark on the team on special teams as a gunner and kick and punt returner. In 1978, he set an NFL record for special team tackles (27 solo, 4 assisted), and in 1980 went to the Pro Bowl as the NFC’s punt returner. Raised on tales of his father’s on-field glory, Michael Mauti hoped to follow his dad’s footsteps to the NFL. Rated as the No. 3 inside linebacker prospect in the nation, he graduated Mandeville High in December 2007 to enroll for the spring semester at Penn State. In college, Mauti excelled. As a redshirt senior, he was called the face of Penn State’s program in the immediate aftermath of the Sandusky child sex abuse scandal. His leadership was credited for keeping many players at the school when they could have transferred without losing a year of eligibility. He
earned first team All-American and All-Big 10 honors, and won the Butkus-Fitzgerald Award as the conference’s best linebacker despite suffering three anterior cruciate ligament tears, to his right knee in 2009 and his left knee in 2011 and 2012. “Coming out of college, I was basically retired,” Mauti said. “After the third blowout, I thought that was it was time to find something else to do.” Still, he again went through a grueling rehab, and the Minnesota Vikings selected him with the 213th overall pick in the seventh round of the 2013 NFL Draft. “It’s taken a lot of work and the right attitude,” he said, “but I didn’t want to look back a decade from now and say, ‘What if?’” Mauti played two seasons with the Vikings before the Saints claimed him off waivers at the end of training camp in 2015. In his first year in New Orleans, Mauti, like his father, made his name on special teams. His signature play came in a Thursday Night Football game against the Atlanta Falcons when he blocked a punt and returned it for a touchdown. It’s often compared to, arguably, the most famous blocked punt in NFL history, Steve Gleason’s block against the Falcons on Monday Night Football in 2006 in the Saints’ first game in the Superdome after Hurricane Katrina. Mauti, then a high school junior, was in the Superdome that night to cheer on the Saints in football’s ultimate homecoming game. “It was my dream to play for the Saints,” he said. “That’s why I play with so much excitement and energy. I love this team. I want the Saints to win. When the Saints don’t win, it affects me and drives me to work that much harder.” Mauti’s persistence in bettering himself and his team was recognized by his teammates, who, before the 2016 season kicked off, selected him as one of the team captains. This season has also seen him exerting increasing influence on defense. Through the first games of the season, Mauti outplayed starter Stephone Anthony, a 2015 first round draft pick, who as a rookie led the team with 112 tackles. In the first two games of the 2016 season, Mauti played 27 snaps at strong side linebacker, 10 more than Anthony. And his value to the team appears to be growing. “I’ll play whatever my role is, but playing linebacker is the most fun,” he said. “I don’t want to just be known as a special teams guy. I know I can play linebacker here.” n Photo Associated Press
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Columns | Film Biz Left to Right: Kimmie Carlos, Paul Aucoin and Jo Banner — all three play double duty running a tourism commission and soundstage.
Three In One The St. John Center Soundstage in LaPlace is not just a soundstage, it’s a community center and the parish’s tourism commission headquarters.
Y
Kimberley Singletary is the
managing editor of Biz New Orleans magazine. A 20-year Southern California veteran, she has been surrounded by the film industry for most of her life.
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ou likely know, or know the name, Paul Aucoin — the executive director of the Port of South Louisiana — but you may not know that he’s also in the film business. In addition to his work at the port, Aucoin is chairman of the board of New Orleans Plantation Country, the River Parishes Tourism Commission. In 2007, he was faced with a unique opportunity. “When St. John Parish decided to build a community center, they were advised that — due to the burgeoning film industry in the area — they should build the center to soundstage specifications so that it could be used as both,” Aucoin says. “Not long after the center opened, the person overseeing it was terminated and I was asked to take over. I did so, with the condition that we could move the offices of the tourism commission to the center and operate rent free.” Aucoin says the arrangement
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has worked out successfully for both the St. John Center Soundstage and the River Parishes Tourism Commission. Film Coordinator Jo Banner runs the soundstage while also serving as communications manager for the tourism commission; and Kimmie Carlos serves as executive director of the tourism commission. The St. John Center Soundstage is the only soundstage in plantation country, an area popular for filming. It is perfectly positioned — only 15 minutes from the Louis Armstrong International Airport and 30 minutes from both New Orleans and Baton Rouge. “We get the most interest from tourists interested in seeing the filming locations of ‘Django Unchained’ and the first season of ‘True Detective,’ both were filmed near here,” says Banner. While neither of these productions used the soundstage, it has been used by productions includ-
ing a TV series by the Oprah Winfrey Network called “Queen Sugar” that premiered on Sept. 6 of this year; AMC’s martial arts series “Into the Badlands” that premiered Nov. 15, 2015; and TNT’s 2010 police detective series “Memphis Beat” starring Jason Lee. Feature films have included “The Curious Case of Benjamin Button,” the Denzel Washington and Mark Wahlberg 2013 action flick, “Two Guns,” and the 2015 comedy film “Hot Tub Time Machine 2” starring Rob Corddry and Craig Robinson. The 42,000-square-foot center includes 26,000 square feet of soundstage split between main and secondary soundstages. Filming has also extended into the expansive 200-foot-long atrium. “The atrium has been everything from an airport to the inside of a school,” Banner says. Catering, dressing rooms and green room facilities are also available on site. Banner says the pairing of community center, soundstage and tourism offices is certainly unique. “I don’t know of anything else like it,” she says. Profits from the soundstage, along with fees for rentals of the community center for events including weddings, reunions, meetings and job testing, all go back to the parish. “It’s been a really good arrangement for everyone,” Aucoin says, noting that productions like “Into the Badlands,” “Queen Sugar” and “Two Guns” were all six-month rentals. “Plus, the money these productions are spending, a lot of it is going to local businesses,” he says. “We’re talking about maybe half a million dollars every time someone builds something in [the soundstage].” For a man who found himself thrown into the film industry, Aucoin says the experience has been an enjoyable one. “Everyone I’ve ever met has been so friendly and great to work with,” he says, noting that his favorite celebrity encounter so far has been with Denzel Washington. “It was kind of embarrassing actually, because there was a glare from the windows and so I didn’t see that he was standing there wanting to shake my hand,” he says. “When I realized it, we had a very nice conversation that I ended by telling him, ‘Good luck!’ Of course that night I realized what I had said and the next day I made sure to tell him, ‘I meant break a leg!’ He laughed.” n Photo George Singletary
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Columns | Entrepreneur Biz
Anchoring Startups New grant will help startups connect with large businesses.
F Keith Twitchell
spent 16 years running his own business before becoming president of the Committee for a Better New Orleans. He has observed, supported and participated in entrepreneurial ventures at the street, neighborhood, nonprofit, micro- and macrobusiness levels.
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rom incubators to investors, New Orleans currently possesses a strong entrepreneurial infrastructure, leading to a wave of business startups in recent years. Yet if one piece of the picture has been missing, it is a framework for connecting small businesses to larger enterprises, which in many industries is essential to long-term success. Thanks to a grant from the Surdna Foundation to the New Orleans Business Alliance (NOLABA), that gap is about to be plugged. According to a press release from NOLABA, Surdna has provided $375,000 over three years to assist small businesses — especially minority and women-owned businesses — in “increasing procurement and contracting opportunities with the city’s anchor institutions.” I recently spoke with NOLABA’s Lynnette White-Colin, who is leading the work funded by Surdna, and the alliance’s
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Director of Communications, Amy Ferguson. “Anchor institutions are large employers that are anchored in the city, meaning they are not going anywhere anytime soon,” explained Ferguson. These can be both public and private sector entities; examples include Ochsner, the Sewerage and Water Board and Tulane University. While the program has many aspects, including training and mentoring, identifying priority needs for small businesses, and general capacity-building support, the overarching focus is on connectivity. This includes linking small businesses to networks like the Chamber of Commerce, as well as to technical assistance providers and other key resources. However, according to White-Colin, the primary objective is “to make sure that opportunities reach the small business owners, and that those individuals are ready for those
opportunities. We are looking first for businesses that have the capacity but need the connection.” NOLABA is uniquely placed to accomplish this because it is already working closely with many of the larger enterprises in the city, and it will be reaching out to them to see what needs they have in terms of vendors and suppliers. NOLABA will then identify small businesses in their database that can meet these needs. Another interesting aspect of the program is that NOLABA will be pressing the larger businesses to be active in building the capacity of their contractors and vendors. “Larger businesses need to see that helping smaller businesses grow is good for the city as a whole,” stated White-Colin, who pointed out that many large construction projects, for example, get awarded to out-of-town businesses because not even the biggest local companies can compete. While providing management training and joint venture opportunities may increase competition for mid-range local projects, increasing the pool of partners for the really big jobs — both locally and throughout the South — can ultimately create more opportunity for all. White-Colin also noted that the NOLABA program will be focusing on non-tech small businesses. “Women and minority businesses tend more to be service types of businesses,” she said, and in turn, these businesses are often providing what the anchor institutions need most. With over 20,000 small businesses incorporated in the city, growing their capacity is essential to the overall economic health of New Orleans. “The role of small businesses in our economy is huge,” said WhiteColin. “We’re not seeing employment growth in the larger businesses right now, so small business is truly driving the local economy.” “Any of these companies could blossom into something much bigger,” added Ferguson, who observed that large, Fortune 500-type companies typically don’t move from their city of origin. While NOLABA will be conducting a variety of outreach programs, including a small business listening tour early next year, New Orleans businesses that are interested in connecting themselves to this new endeavor can contact NOLABA directly via its website, www.nolaba.org. Business owners will find a receptive ear when they reach White-Colin: “We are really excited to plug these businesses into new opportunities!” n Photo Thinkstock
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Columns | Biz Etiquette
What the @*&%?! Swearing isn’t always taboo at the office, but it’s still important to watch what you say.
C Melanie Warner Spencer is editor of
New Orleans Bride Magazine. Her writing has appeared in the Austin American-Statesman, the Houston Chronicle, the Chicago Tribune and Reuters. Spencer’s ever-expanding library of etiquette books is rivaled only by her everready stash of blank thank-you notes. Submit business etiquette questions to Melanie@ MyNewOrleans.com. 34
onfession: your etiquette writer has a fondness for swearing. Please don’t tell my grandmother. It shouldn’t come as a surprise however, given the fact that I’m a writer and a lover of language. (Also, for what it’s worth, using four-letter words is a time-honored tradition in most newsrooms across the country.) It makes sense that people with a command of language make use of the wide variety of words available to them, whether neutral or taboo. According to a small study of college students ranging from 18 to 22 published in the journal Language Sciences, “taboo word f luency is correlated with general f luency … a voluminous taboo lexicon
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may better be considered an indicator of healthy verbal abilities.” While writers and editors not only don’t frown upon colorful language, but also encourage it, not every workplace shares that philosophy. In a 2012 study released by CareerBuilder.Com and conducted by Harris Interactive, 81 percent of employers surveyed believe swearing at work brings an employee’s professionalism into question. Interestingly, one in four employers (25 percent) admitted to swearing at their employees and 28 percent of workers said they have sworn at other co-workers. Younger employees, 18 to 24, are the group doing the least amount
of swearing at work (42 percent), while those swearing the most are employees ages 35 to 44 (58 percent). The study doesn’t indicate whether or not the 35 to 44-year-olds are swearing at their younger colleagues, so we’ll assume the Generation Z-ers aren’t the cause of the foul language. Whether out of frustration or penchant for the practice, the seemingly widespread use of swear words likely has a lot more to do with the acceptance of cursing in our culture at large than a decline in civility. Variety reported that the 2013 Martin Scorsese film “Wolf of Wall Street,” set a record for use of the f-word in a film, citing 506 occurrences. It would of course be easy to blame the media, but in reality, the shift took root in the 60s with the rise of counterculture, when even polite society began to tolerate language that even a few years prior would have gotten one removed from the drawing room. Despite the prevalence and acceptance of swearing, I’m a firm believer that there is a time and a place. For example, I wouldn’t dream of using even the more mild curse words in front of the senior members of my family. When interviewing most sources, I keep the bad words at bay. Events with mixed company are also a good place to watch what you say. When it comes to the office, I’m less likely to hold my tongue in front of my fellow writers and editors and more likely to tone it down for my own supervisors and the rest of the staff. As always, it’s important to know your audience and also your own company office culture. This information isn’t generally included in the employee handbook, so before letting the pejoratives f ly, observe and proceed accordingly. When in doubt, leave the swear words out. It’s important to remember no matter how popular and acceptable it is, and even though swearing isn’t likely to get you kicked out of the drawing room or the boardroom, it can still affect perception. As Lizzie Post of the Emily Post Institute once astutely observed during an interview about swearing and the people who do it, “The words we’re focusing on are probably not the ones they want us to.” n Photo Thinkstock
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Columns | Tech Biz
Cybersecurity What should small businesses be doing?
L Steven Ellis
has spent the last 16 years working at the intersection of business and technology for Bellwether Technology in New Orleans, where he serves as the company’s vice president.
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ike much of IT, cybersecurity is not a one-sizefits-all proposition. The comprehensive approach that large enterprises should employ to identify and address risks and detect and respond to attacks is often out of reach for small businesses. Yet as the frequency and impact of cyberattacks on businesses of all sizes continues to grow, the typical small-business approach of taking the usual precautions and hoping for the best is proving to be inadequate. Many small-business owners are willing to do more to improve their cybersecurity but don’t know what else to do. The number of options — whether products or services to purchase or policies and processes to adopt—can be paralyzing. In addition, much of cybersecurity is more organizational than technical in nature, making the IT department unsuited or unable to tackle it alone. So, what should a small business do? Getting started The National Institute of
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Standards and Technology (NIST) published a document in October 2009 titled Small Business Information Security: The Fundamentals, (NISTIR 7621). Seven years later, this document is still a great place to start. It consists of 10 “absolutely necessary” actions, 10 highly recommended practices and additional planning considerations. Besides listing some basic controls that every business should implement, it focuses heavily on training and awareness, which I firmly believe are underappreciated today. Recent developments A few topics that have become more relevant and accessible to small businesses since 2009 are absent from the NIST fundamentals. These include disk encryption and multifactor authentication, both of which should be part of even a basic cybersecurity program. A good next step after implementing the NIST fundamentals is to update them by ensuring that all portable media containing sensitive information are encrypted and that multifactor
authentication is used for remote access wherever possible. Adding layers Once these bare basics are in place, another government tool points the way toward a more thorough, ongoing effort. The FCC’s Small Biz Cyber Planner generates a list of security controls and practices organized by topic. While it is more detailed than the NIST fundamentals overall, certain topics such as mobile devices, operational security and payment cards are worth focusing on, as they are notably absent in the NIST report. Adopting a framework In February 2014, NIST published a Cybersecurity Framework to help businesses and organizations address cybersecurity risks. The Framework Core consists of a broad listing of categories, subcategories and informative references across five cybersecurity functions — Identify, Protect, Detect, Respond and Recover. Fortunately for small businesses, adopting the framework does not consist of wholesale adoption of the core but of comparing current practices to the Framework Core while taking business requirements into account to identify gaps between cybersecurity actual results and goals. Furthermore, while the framework identifies four Framework Implementation Tiers of increasing sophistication, it is explicitly left to an organization to decide which of Tiers 2-4 is best for its needs (although those in Tier 1 should take action to improve). In short, while the NIST Cybersecurity Framework is a comprehensive and detailed approach to cybersecurity, it is flexible enough to be useful for those small businesses that are willing to put forth the effort to be methodical in managing cybersecurity risk at an organizational level. Locking it down Finally, a publication by the nonprofit Center for Internet Security called the CIS Critical Security Controls for Effective Cyber Defense consists of 20 prioritized sets of actions that organizations can take to harden their cyber defenses. While complete adoption of all of the controls is unlikely to be achievable for most small businesses in the immediate future, they serve well as a technical reference and a window into what enterprise level cybersecurity looks like. n
Photo Thinkstock
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Biz Bits - Industry News Around town
“We’ve seen significant interest across the state in harnessing research to drive economic growth, even as our universities are devastated by ongoing budget cuts. Commercialization efforts have taken root in all Louisiana universities, with local and national resources attracted to the tremendous value in building businesses around our lab discoveries.
Aaron Miscenich, president of the New Orleans BioInnovation Center, speaking about the status of innovation in the state. The center’s Innovation Louisiana 2016 conference, an educational event November 14 -15, will offer critical networking, education and professional development opportunities in life sciences.
HOW WE RANK Top 10 States for Women Entrepreneurs: 1 Mississippi 2 Georgia 3 Virginia 4 Kentucky 5 Tennessee 6 Alabama 7 Louisiana 8 Missouri 9 Michigan 10 Utah Source: Thumbtack.com
Louisiana Ranked:
Port of New Orleans to Expand Trade with Cuba On Oct. 4, Port of New Orleans Chief Operating Officer, Brandy Christian, joined Gov. John Bel Edwards in signing a memorandum of understanding with Manuel Fernandez Perez Guerra, director general of the National Port Administration of Cuba. The agreement was made in Havana during a 50-member Louisiana trade delegation to the country Oct. 3-7. The memorandum pledges to expand trade and commerce opportunities between the two regions, along with joint marketing and information sharing efforts.
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# 5 – Top States for Doing Business # 2 – Business Incentive Programs # 2 – Leading Workforce Development Programs # 3 – Cooperative and Responsive State Government # 5 – Favorable Regulatory Environment # 7 – Speed of Permitting * this year’s ranking is the highest ever for the state. Last year Louisiana was No. 8. Source: Area Development Magazine
Most in Need of Improvement Louisiana ranked 47th in the U.S. for energy efficiency in the 10th edition of the 2016 State Energy Efficiency Scorecard published by the American Council for an Energy-Efficient Economy (ACEEE).
Recent Openings
Ochsner Emergency Room — Marrero
The Market Magazine & Sixth
Louisiana’s largest non-profit, academic healthcare system, Ochsner Health System, opened Ochsner Emergency Room — Marrero, on Oct. 12. Located at 4837 Lapalco Blvd., the 24-hour facility will provide expanded access to more emergency care services to the West Bank.
A new concept store called The Market Magazine & Sixth opened Oct. 15 at 2855 Magazine Street. Created by local sisters Amy Radle (left) and Catherine Radle McKearn, the store features a collection of established, independent merchants and artists, many of which are from Baton Rouge.
Rent-a-Nerd
Dyno Nobel
GLO Airlines
Due to continued company expansion, computer repair, sales and service provider Rent-a-Nerd celebrated the opening of their new office at 2200 Tulane Ave. on Oct. 5. Since 1997, the company has provided IT services to companies throughout the Greater New Orleans area.
Global chemical company Dyno Nobel America unveiled their new $850 million ammonia production facility at the Cornerstone Chemical Company’s Fortier Manufacturing Complex in Waggaman Sept. 29. The partnership between the two companies will create a combined investment of more than $1 billion and create 65 new jobs with an average salary of $80,000.
GLO Airlines began non-stop air service to Huntsville, Alabama’s International Airport on Sept. 30. The flight invites travelers to trade a six-hour drive for the 1 hour and 45 minute flight. This is the sixth route operated by the Mid-South and Gulf regional air service provider.
Coming Soon Delgado River City Campus
Launch Pad
Governor John Bel Edwards has authorized the state to move forward with the construction of Delgado Community College’s new $27 million River City Campus in Avondale. The 10.5-acre facility will be focused on training skilled workforce for water-related trades and is scheduled to open in the fall of 2018.
A leading network of co-working spaces across the southeast, Launch Pad has announced it is constructing a new co-working space for its flagship location in New Orleans. The completion date for the new 22,500-square-foot facility at 400 Poydras St. in downtown New Orleans is set for February 2017. Membership options exist for every stage of a business lifecycle — from affordable co-working to private office suites with views of the Crescent City connection.
We’d love to include your business-related news in next month’s Biz Bits. Please email details to Editorial@BizNewOrleans.com. BizNewOrleans.com NOVEMBER 2016
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Louisiane, the flagship riverboat of the French America Line, began its inaugural voyage up the Mississippi River with 150 passengers aboard on Oct. 22.
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Take Me to the River French America Line — the latest addition to New Orleans’ booming river cruise industry. By Chris Price
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River cruising is one of the fastest growing niche travel markets in the United States.
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ith five straight record years for total travelers, New Orleans has grown into the nation’s sixth-largest cruise port. At least 24.2 million travelers worldwide are expected to cruise this year — more than a million of which will visit New Orleans on one of the 19 unique cruise ships that dock in the Big Easy. Most of those vessels will be ocean-going cruise ships, which usually carry thousands of passengers at a time to destinations across the Caribbean Sea and Gulf of Mexico. But as experienced travelers look for ever-unique opportunities, a two-centuryold form of travel is once again blossoming on the banks of the Mississippi River. Greater New Orleans is home to one of the fastest-growing niche travel markets in the United States: river cruises.
Gr e t na i n t h e G a m e The latest addition to river cruising in the region is the French America Line. On Oct. 22, the brand new cruise line’s flagship riverboat, Louisiane, began its inaugural voyage up the Mississippi River, with a sold-out boat of 150 passengers, from the Gretna Ferry Terminal. The terminal 44
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sits diagonally upriver across from the Port of New Orleans’ cruise terminals under the Crescent City Connection. Designed with the aesthetics of a 19th century riverboat, the Louisiane is powered by diesel rather than steam engine and paddlewheel. Its itineraries include waterways that were under French control at the time of American colonization — the Mississippi, Ohio, Tennessee, Cumberland and Red rivers. Se l l i ng Lu x u ry on t h e M i ssi ssi p p i Voyages on the Louisiane are already set through 2017 and range from four to 16 days. Prices range from $1,199 to $6,699, the latter of which is a 14-day trip from Pittsburgh to New Orleans. The Louisiane’s Captain, John Cook, who hails from Pittsburgh, says he couldn’t be happier with the assignment. “This boat has such a great flow,” he says. “A lot of times boats are built like this that don’t take into account the flow of traffic, but this one does. Every detail was carefully crafted.” Cook says for someone in his line of work, guiding the Louisiane is a dream job. “I worked on tow boats before this and we wouldn’t set
foot on land for sometimes 30 days,” he says. “This is one of the best jobs sailing out there today — we’re at port every night.” Cook’s favorite spot onboard is the Veranda, a French Bistro-styled room at the stern that offers delicacies to diners almost around the clock. All fares include overnight accommodations the night before the cruise at some of the country’s most recognized hotels, including The Peabody Hotel in Memphis, Gaylord Opryland Resort in Nashville, The Hotel Monteleone in New Orleans, and The Doubletree at Union Station in St. Louis. “It’s a boutique experience,” says French America Line Chairman, Christopher Kyte. “These are all legendary, iconic hotels. We want to present the best experience we can. These hotels help expand the luxury we want to offer.” True to its name, The French America line is decidedly French. “The entire theme onboard is Louisiana and its French heritage,” says Kyte. “From a Creole dinner menu to beignets and café au lait by Café du Monde, we wanted to make it a floating bit of New Orleans.” True to New Orleans style, the vessel also
TOP: Onboard acomodations range from expansive suites reaching 267 square feet (shown here is the Panorama State Room) to 140-square-foot inside staterooms. BOTTOM: Captain John Cook says his favorite spot on the Louisiane is the Veranda, a French Bistro-styled dining area at the stern.
THE LOUISIANE AT A GLANCE
boasts Southern and Continental cuisine by Chef de Cuisine, Regina Charboneau. “We’re so excited to have Ms. Charboneau aboard,” Kyte says. “She was recently rated by Gourmet Magazine as one of the top 10 chefs of our time.”
Also like New Orleans, the Louisiane is a blend of vintage flair and modern convenience. It’s the only American river cruise line with iPads® in each suite and stateroom, pre-loaded with e-books, shore excursions, daily programs and menus.
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150 guest capacity
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75 suites and staterooms
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Length - 218 feet
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Beam - 66 feet
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Height - 70 feet
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Draft - 9 feet
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Cruising speed 11 mph
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American officers and crew
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Built in the United States
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Registered in New Orleans
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Estimated economic impact of $58 million
The Louisiane includes 75 suites and staterooms in seven categories, all situated on the top three of the intimate riverboat’s four decks. Accomodations range from the 267-square-foot Richelieu Suite, which features panoramic views — which BizNewOrleans.com NOVEMBER 2016
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wraparound outdoor promenade— to a 140-square-foot inside stateroom. The riverboat offers amenities expected on ocean cruise ships, including a fullservice spa that offers body treatments and nail and hair services, and pairs them with the gourmet influences of France. Upon embarkation, guests are treated to Parisianstyle macarons overnighted fresh from the famed House of Ladurée’s New York City boutique and Vosges Haut-Chocolat with the nightly turndown service.
“Our market is the affluent, well-traveled individual that has probably cruised on ocean liners before, but is looking for a luxury experience a little closer to home,” explains French America Line Chairman, Christopher Kyte.
F rom t h e W e st Coa st t o t h e Gu l f Coa st Formerly known as the Columbia Queen, the Louisiane used to sail Oregon’s Columbia River. This summer, after being purchased by the French America Line, the boat made the 33-day trek from the Pacific Northwest, through the Panama Canal, to Gretna.
“Bolinger turned somersaults to make it happen.” -christopher Kyte, Chairman of French America line “The Louisiane was actually the largest item to ever go through the Panama Canal on top of a ship,” Kyte says. On August 8, the riverboat arrived at the Gretna Ferry Landing to be refurbished by Harvey-based Bollinger Quick Repair. “Due to delays going through the Canal, we actually had roughly 60 days to do work that would typically take six months,” Kyte says. “Bollinger turned somersaults to make it happen. It was great timing for them too, as they were at the point of having to lay off dozens of workers.” JEDCO and Louisiana Economic Development helped finance a portion of the project to aid in the vessel’s relocation from Oregon. “We’ve been excited since the beginning of this project,” says Jerry Bologna, executive director of JEDCO. “New Orleans is a region already recognized as an international tourism destination and this just adds to our arsenal. Plus, it adds another company headquarters to our region, along with work for our local vendors and jobs for our citizens.” In addition to helping to retain jobs at Bollinger, the Louisiane employs an on-board crew of 83 and the company’s downtown Gretna headquarters will include 17 employees. “All our jobs are full time with benefits that 46
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begin from day one,” Kyte says. “The average income is $41,000 a year and we pay 100 percent of benefits. These are good jobs.” French America Line has so far invested more than $7.5 million in the cruise line and expects an estimated local economic impact of $58 million. “This is a major economic development opportunity for the city of Gretna,” says Gretna Mayor, Belinda Constant. “This project will bring quality jobs with benefits to our residents, and complements our vision to continue making Gretna a destination within the Greater New Orleans region.” U n iqu e E x per i enc es Tourism officials say river cruising is gaining in popularity because experienced cruise travelers are looking for new, different ways to experience regions and destinations, and riverboats are able to sail unique waterways not accessible by larger vessels. For clientele, the draw is the experience of a unique perspective. “Our market is the affluent, well-traveled individual that has probably cruised on ocean liners before but is looking for a luxury experience a little closer to home,” Kyte says. “Europe is great, but I don’t think anyone looks forward to a 10 hour trip.” They are the clientele the local tourism industry craves. “The visitors who frequent the Mississippi River cruises are usually a bit older in demographic and have a larger disposable income than cruisers in general,” says Kim
Priez, the New Orleans Convention and Visitors Bureau’s senior vice president of tourism. “These smaller vessels allow everyone to get to know each other a bit better than the larger vessels that cruise in deep water.” When non-local passengers cruise out of New Orleans, they generally look at it as two vacations in one. They might come a few days before the trip or stay a few days later to enjoy the city and its offerings. “The Port’s cruise terminals are easily accessible to more than 30,000 hotel rooms downtown and in the French Quarter, and there’s lots to do just steps away, including Mardi Gras World, the National World War II Museum, the Ogden Museum of Southern Art, art galleries on Julia Street, and the Aquarium of the Americas,” says Matt Gresham, director of external affairs for the Port of New Orleans. T im e T r av el The method of cruising itself is also a novel experience. Paddlewheelers evoke a sense of history and nostalgia for a bygone age. Mark Twain and images of Tom Sawyer, Huck Finn and glamorous showboats traversing the Mississippi’s currents come to mind. Capturing that feeling is a major lure to modern river cruises. While cruising at an average speed of 11 m.p.h. on the Louisiane, experts including professors, authors and historians offer enriching talks and informal chats to share insights into the diverse history, culture, food and music of the areas along the waterways they visit.
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TOP: French America Line makes the third river cruise line to call New Orleans home, joining American Cruise Line and the American Queen Steamboat Co. (shown here). BOTTOM: A stateroom inside the American Queen.
NEW ORLEANS CRUISE INDUSTRY AT A GLANCE The Crescent City is the nation’s sixth-largest cruise port, and growing. n
2015 passengers - 1,023,700
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19 unique cruise ships
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6 ocean-going lines call on New Orleans
n 3 ocean-going cruise ships are homeported in New Orleans. Carnival Cruise Line homeports the Carnival Triumph and Carnival Dream year-round at the Erato Street Cruise Terminal, and Norwegian Cruise Line sails the Norwegian Dawn out of the Julia Street Cruise Terminal from November through May. n Economic impact on the region: $406 million in spending in Louisiana, more than 8,000 jobs which provide $323 million in income, and $78 million in out-of-pocket spending. n Before this latest addition, two river cruise lines have operated three boats out of New Orleans. American Cruise Line sails the America and the Queen of the Mississippi, while the American Queen Steamboat Co. operates the American Queen. n More than 21,000 river cruise passengers are expected to sail out of New Orleans this year — about 2 percent of the port’s overall cruise business.
Topics around New Orleans often include regional history, including American Indian, plantation and Civil War history; the origins of American music including jazz, blues, zydeco, bluegrass and other traditions; the formation and religious underpinnings of Mardi Gras; nuances of Southern cuisine; the history of classic American cocktails; and the socioeconomic impact of changing agricultural practices on the Mississippi Delta. Ot h e r R i v e r p l ay e rs Before the addition of French America Line, there were two river cruise lines operating three boats out of New Orleans. American Cruise Line sails the America and the Queen of the Mississippi, while the American Queen Steamboat Co. operates the American Queen. 48
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Connecticut-based American Cruise Line launched the America in May and the Queen of the Mississippi in 2015. The six-deck America carries 185 passengers, while the five-deck Queen of the Mississippi allows 150 people onboard. Both feature guestrooms ranging from the 445-square-foot owner’s suite with private balcony and panoramic views to 203-square-foot single suites. Neither boat has inside staterooms. The Memphis-based American Queen Steamboat Co. operates the six-deck American Queen. The paddlewheeler is decorated with woodwork and antiques in the American Victorian style. Its rooms range from 348-square-foot owner’s suites with a 690-square-foot veranda and personal river butler to the 132-square-foot inside stateroom with a queen or two single beds. The Port of New Orleans expects the
three boats to draw 21,000 passengers this year — about 2 percent of the port’s overall cruise business. Next year, the most recognizable name in the river cruise industry will drop anchor in the Crescent City. “More boats are coming,” says Gresham. “Viking River Cruises has announced the Port of New Orleans will be its North American homeport. They’re still working through their federal requirements, so we’re not sure of their timeline yet.” When things do get finalized, New Orleans will be the home port for the international line’s first North American itineraries. The original plan, reported in 2015, was to bring two riverboats (each holding up to 300 passengers) to the French Quarter and add four more in the next three years. The move is expected to result in hundreds of new jobs. n
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B e c o m i n g
Bond Moroch After helping shape N e w O r l e a n s ’ p o s t- K at r i n a r e c o v e r y, B o n d PR i s d o i n g its own rebranding and a i m s to g o n at i o n a l . By David Lee Simmons
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ne year into a business he built out of a coffee shop, Skipper Bond saw his fledgling public-relations agency turn into a vagabond, displaced by Hurricane Katrina and traversing the country to promote a music festival. One year past the 10-year Katrina anniversary, though, and Bond has never felt more at home — so much so, it feels ready to embrace bigger challenges. In a marriage between a rising local firm and a national company that’s a proven survivor, Bond Public Relations & Brand Strategy has become Bond Moroch. Moroch, a Dallas-based firm with a nationwide presence, brings 35 years of marketing and communications experience and an impressive client roster to the relationship. The result, both sides hope, will be a New Orleans agency that can become a national player while holding true to its Crescent City roots at a time when the city itself is entering a post-post-Katrina phase. Skipper Bond, who founded the company in 2004 after a brief stint in the New York PR world, sees the merger as a win-win for a company that’s become a reunion of family and friends. A year after Katrina, he brought in his sister, Jennifer Bond, to manage the operational side of the business after she’d spent years in Atlanta working for Turner Broadcasting properties. Less than a year later, a friend from New York, Jordan Friedman, with whom he’d worked previously on marketing projects, merged his New York City firm with Bond Public Relations and became a partner. Friedman oversees strategy development and works in the firms highly-regulated spaces.
Jennifer Bond, Skipper Bond, Brad Hunter and Jordan Friedman are the top executives behind Bond Moroch. Photo Cheryl Gerber
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Bond Moroch’s increasingly national portfolio includes providing publicity for recently-opened Marriott-owned hotels, the AC Hotel and Moxy Hotel.
As Bond has thrived in the post-Katrina boom years, a merger with Moroch seems like the next logical growth step. Or “inf lection point,” as Skipper Bond calls it. “The term is probably overused, but it’s the next level,” he says, seated with his other partners in the conference room of their second-f loor Magazine Street office. “We’ve worked really hard to get to where we are now, and I feel like we’re not starting over, but it’s a new time and new challenges, new opportunities. We’re going to be working harder than ever now. “I can tell you, we have grown very slowly,” he says. “We’ve had this company for almost 12 years now, and we have grown strategically and, I think, intelligently. We have not grown too fast. I think the 12 years that predated the merger and how we have approached that has set us up for where we are today.” With Moroch’s Brad Hunter, Bond Moroch’s 16 member staff handles around 50 clients, including Greater New Orleans Inc., Salon Restaurant by Sucré, the New Orleans Film Festival and the Orpheum Theater. “We believe that local presence is the key to fully understanding the 52
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essence of each client’s wants and needs,” founder Tom Moroch said “There’s going to be in an email interview. “Moroch does business in the Gulf Coast change, but there’s marketplace and would like more opportunity with to do more. Having a partner that change.” such as Bond situated in the marketplace who knows the DNA -Jennifer Bond of the consumer base, has a track record of successful business experiences and embraces the same values as Moroch, constitutes the chemistry of success.” One of the keys to that chemistry is to somehow maintain the family atmosphere Bond swears by while creating ties with the new partner. The New Orleans group couldn’t ask for better timing with Moroch celebrating its 35th anniversary this year. “We brought our entire team to Dallas and had a really fun day integrating with the Moroch team,” says Jennifer Bond. “That was just letting them know that we are growing. There’s going to be
“We’re launching global brands in NOLA to help shape the retail and shopping landscape,” says Skipper Bond.
change, but there’s more opportunity with that change.” The Bond siblings grew up in New Orleans but got plenty of experience outside the city, Skipper Bond with the prestigious FleishmanHillard in New York City (where he met Friedman) and Jennifer with Turner — where she picked up lots of applicable ideas, from team-building exercises and staff retreats to more comprehensive hiring practices. Skipper attests to a stronger work ethic after long, grueling hours in New York before returning to New Orleans to set up his own shop. That stamina served him well in those early days after Katrina, in which his company subsisted on a collaboration with another agency with Southern Comfort (including its circuit of music festivals) as well as providing communications support on FEMA-related housing work thanks to a New York connection. The company’s growth mirrored New Orleans’ recovery. Along the way, they continued to gain exposure and attention. Skipper Bond joined the advisory board for the New Orleans Jazz & Heritage Foundation. In 2009, they secured a feature story on New Orleans on the cover of Entrepreneur magazine. They picked up local clients such as the venerable local brands Camellia Brand and PJ’s Coffee, as well as the upstart NOLA Brewery, while working closely with the burgeoning Louisiana filmmaking industry. They helped Brooklyn-based home furnishing company West Elm open stores across the country (including New Orleans), and worked with Williams-Sonoma to launch an Atlanta store. BizNewOrleans.com NOVEMBER 2016
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Six years later, they were ready for a new chapter. And they knew an opportunity when they saw one. “While it was a smaller market than, let’s say, New York, there just was definitely capacity for additional marketing players down here,” says Friedman. “It was a good time to jump in.”
“This is what our region needs — local firms with national and even global reach. This is how we will build great jobs in Greater New Orleans.” -Michael Hecht, CEO of GNO, Inc. One of the keys to the company’s success also could help provide a smooth path for its future in its work with Greater New Orleans Inc., which promotes business development across 10 southeast Louisiana parishes. This kind of partnership not only has helped connect Bond with local businesses (and, basically, like-minded entrepreneurs), but also can help the newly merged company stay plugged into the local scene. Even with Bond going national, GNO Inc., President and CEO, Michael Hecht, couldn’t be happier. He praises a five-year partnership that has helped elevate the perception of his organization and testifies to Bond’s appreciation of both GNO, Inc. and the southeast Louisiana economy. Hecht was particularly impressed with Bond’s work during the Katrina 10th-anniversary campaign. “What could have been a very challenging commemoration for Greater New Orleans was managed into a deeply successful messaging platform,” Hecht said in an email interview. “Through a number of modalities — earned media, social media, TEDx events — we were able to tell the world a story that was honest but optimistic, about a region that had not just come back from the devastation of Hurricane Katrina, but was in many ways better than ever. … We controlled our own message by providing the global media with diverse, honest, compelling content – and the result was that our story was told. “I think that Bond Moroch now has the scale, ability and energy to be not only a premier firm in the New Orleans market, but across the Gulf South and even nationally,” Hecht continued. “And this is what our region needs — local firms with national and even global reach. This is how we will build great jobs in Greater New Orleans.” In Skipper Bond’s mind, the merger with Moroch — aided by a long friendship with Moroch executive Hunter — represents an opportunity to grow into a full-service agency that can handle clients across the country, and on a larger scale. “I’ve really found that the folks over there, they’re fantastic, (and) there’s a wonderful chemistry. I think we’re going to learn a lot from them,” he says. “I think they’re going to learn some things from us, too. I’d say that’s probably the most exciting, just the ability to service pretty much any client we want. We can go after any client we want.” Part of the strategy includes digital-media marketing at a time when digital-media marketing can be a tenuous exercise. A recent study, reported in Marketing Week, revealed a dramatic dip in the percentage of agencies reporting relationship improvements with their clients. In an increasingly competitive atmosphere, the study suggests, clients are getting fidgety and less loyal as they seek out potentially more agencies — meaning either a smaller piece of the pie or no piece at all. 54
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TOP: The Idea Village turned to Bond to help get the word out about New Orleans Enterpreneur Week. BOTTOM: Bond Moroch client, Barcadia.
Some of Bond Moroch’s past and present clients include n
Greater New Orleans, Inc.
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New Orleans’ Blaze Pizza
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Audi New Orleans
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Barcadia
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The Idea Village
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Camellia Brand
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Tulane University
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Creole Cuisine
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Sucre
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GLO Airlines
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The New Orleans Film Festival
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Deep South Studios
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The Orpheum Theater
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Second Line Stages
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George Rodrigue Foundation of the Arts
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Hollywood Trucks
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Emeril Lagasse Foundation
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Skipper Bond emphasizes modest growth, which he believes will keep the company focused on its strengths, something that appears to have paid off in a recent campaign for the launch of Marriott’s hip Moxy Hotel in the Central Business District. The campaign included a strong social-media strategy, inviting key inf luencers and bloggers, and staging a “freak show”-themed opening party complete with circus arts performers. The result was a packed house and significant social-media traffic. “We were targeting millennial-minded consumers,” Jennifer Bond says. “They’re online, so social was huge a part of our strategy, especially Instagram. Even on the media front, we were really tapping into bloggers and social inf luencers, online inf luencers as part of our campaign. (The hotel was) sold out in May through July, (and) summer is typically a slow time for tourism in New Orleans. Social-media traffic was up by 600 percent on Instagram, so it was a really great case study for us, and just a fun brand to work with.” In Bond’s partners’ minds, the core mission won’t change. One of the keys to this transition is Hunter, who came over from Moroch before the merger, in November 2015. Hunter’s main client was also Moroch’s original client: McDonald’s. (He’s brand loyal; while we discussed coffee options as we sat down to chat, he insisted McDonald’s coffee is one of his favorites.) Hunter, who also sits on the board of the New Orleans Film Society, believes the merger is a logical progression. “It’s really about letting those who have built the companies and the relationships in the markets continue to do what they do, just providing the bit of backbone that makes their jobs easier or more efficient or broadens the opportunity to sell the scope in a broader way,” he says. Hunter has watched Moroch grow into a company that boasts 31 offices (Bond had three) generating $500 million worth of billings. The key to a company’s smart growth? Not taking on debt, he replied. “If you were to grow 31 offices, that’s a huge overhead growth, right? You don’t have the clients to sustain that, (so) you take on debt,” he explains. “Then you’re in a hole. I think the most important thing in our business is to understand that we sell ideas. We sell creative product … so maintaining financial disciplines in our business, to make sure that the client’s getting the best end result for the most efficient price is the core of … our business.” As the team ref lects on what Skipper Bond calls the company’s “inf lection point,” they remember that they’re literally not far from the Magazine Street coffee shop that served as their first home. “At the core, we’re always New Orleans,” Jennifer Bond insists. “As we grow nationally, we will not forget about this city. This is our home.” n
“We’re helping establish NOLA as a true center for the arts,” says Skipper Bond. Shown here are Bond Moroch clients, local artist Lynda Benglis (top- her sculpture, “The Wave”) and the Orpheum and Civic theaters, both relaunched with the firm.
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Perspectives A closer look at hot topics in three southeast Louisiana industries
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64 Banking
& Finance
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Perspectives | Maritime & Port
Controversy on the Line The mayor’s office is considering selling the New Orleans Public Belt Railroad, and some say it’s already impacting the Port of New Orleans. By Chris Price
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his year, the Port of New Orleans and its related businesses have been working against nature to keep their heads above water. Now they may be working against the mayor’s office, too. Heavy rains and silt runoff at the beginning of the year led to a clogging of the mouth of the Mississippi River, restricting access through the main shipping channel, driving up costs to ship goods through southeast Louisiana and sending commerce to other ports of call. At a time when maritime-related businesses needed a life raft, it could be argued that New Orleans Mayor Mitch Landrieu has thrown them a rock instead. The mayor’s office is considering selling the New Orleans Public Belt Railroad (NOPB), a city-owned railroad with the primary mission of serving the Port of New Orleans and its 22 tenants. Proponents 60
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of the sale say it will bring the city a needed influx of cash, possible ongoing taxable income and private capital for tech improvements. Opponents argue a change would have a dramatically negative impact on the port and local businesses and industries, increasing costs, making it more difficult to move goods to their destinations and, ultimately, moving money out of New Orleans. The Little Engine that Does NOPB was created in 1904 to put all the tracks feeding the city’s portage under a single public entity in order to prevent a pricegouging monopoly from forming. Today, NOPB runs along the New Orleans riverfront and inner harbor, connecting New Orleans to a combined network of more than 132,000 miles of tracks that reach every major market in North America. Photo Thinkstock
Did you know? The New Orleans Public Belt Railroad owns the Huey P. Long Bridge. The Public Belt maintains the railroad portion of the bridge while the Louisiana Department of Transportation & Development maintains the roadway portion.
NOPB does not receive any taxpayer money, nor does it pay any money to the city. It is funded by rates paid by the railroads that use the tracks. Revenue generated by the Public Belt is used to fund maintenance costs, capital investments, labor, administrative costs and other railway functions. “We’re a not-for-profit agency,” said NOPB General Manager, Jeff Davis. “Therefore, we keep our pricing low in order to be competitive
with other markets, such as Houston, Mobile, Tampa and Miami.” New Orleans is unique in that it is the only U.S. city with a deepwater port and a north-south and east-west railroad gateway served by all six Class 1 railroads – CSX Transportation, Norfolk Southern Railway, BNSF Railway, Union Pacific Railroad, Canadian National Railway and Kansas City Southern Railway. “The Class 1 railroads move in excess of 132 million tons of rail freight with a combined value of $147 billion through Louisiana each year,” Davis said. “A lot of that moves through New Orleans.” The Port of New Orleans is also a self-sustaining, state-owned body, which receives no local or state funding for administration or operations. According to the New Orleans Board of Trade, the port accounts for 160,500 jobs in Louisiana, is responsible for $8 billion in earnings, and contributes more than $800 million in state and local taxes annually. On a national level, it is estimated that 380,000 jobs are dependent on the cargo that is handled by the Port of New Orleans, with an economic impact of $37 billion to the national economy. The Port and NOPB have a symbiotic relationship. The NOPB is not charged rent on the port-owned properties it uses to serve port tenants and other local industries. The Public Belt provides efficiencies to port tenants, including lower shipping rates and faster shipping times due to direct delivery on one railroad line compared to using multiple carriers. In addition, companies can ship goods directly to multiple markets from the Big Easy, lowering costs by preventing shipping, warehousing and distributing from multiple locations across the country. With the increase in international container shipping, the widening of the Panama Canal and the lifting of the Cuban embargo, rail has been a major component in the port’s growth strategy for several years.
“The $25 million Mississippi River Intermodal Rail Terminal – the Port’s on-dock intermodal rail terminal at the Napoleon Avenue Container Terminal, which opened in March 2016 – relies on the NOPB to provide efficient and cost-effective service to the Class 1 railroads,” said Matt Gresham, director of external affairs for the Port of New Orleans. Through the Napoleon Avenue Container Terminal and Intermodal Rail Yard, the NOPB moves rubber, plywood, steel products, metals, ores and minerals, sand, paper, lumber, resins, grain, animal feeds, cement, wallboard, canned goods, latex, asphalt and chemicals. And it has some of the fastest delivery schedules available. The NOPB can help to ship goods from dockside in New Orleans to Chicago in 48 hours. Down this Road Before Nestled between the U.S. Army Corps of Engineers’ floodwalls and the Mississippi River, on either side of the Industrial Canal and along the Leake Avenue/River Road levee, the operations of the NOPB are, for most local residents, out of sight and out of mind. But a 2010 state legislative auditor’s report revealed what many thought to be unbridled spending by then General Manager Jim Bridger. With former Mayor C. Ray Nagin under federal investigation for malfeasance in office, Landrieu wanted to avoid any semblance of public waste or corruption. He asked for and received Bridger’s resignation, as well as each member of the railroad’s governing board. The mayor appointed an interim board to clean up the NOPB. As a way to infuse city coffers with cash for infrastructure development, the mayor considered the possibility of selling the railroad to a private operator. Thomas Coleman, a New Orleans businessman who served for four decades as the CEO of International-Matex Tank Terminals, was interested in buying the Public Belt, whose value he estimated between $20 million and $75 million. The Port of New Orleans and the New Orleans Board of Trade balked at the idea of selling, saying any changes in operations would negatively impact the Port of New Orleans’ ability to compete with rival ports. The NOPB commissioners eventually kept the railroad in city hands, but restructured its organization, including reducing the number of commissioners as well as the length of their terms. Weighing Options While the NOPB’s governance seemed settled, the mayor never took the idea of selling the railroad off of his agenda. The city has now hired Dallas-based consulting firm KPMG Corporate Finance to organize information, collect feedback and study potential options for the NOPB, including maintaining the status quo; entering into a long-term public-private partnership in which a private operator would run, maintain and invest in the railroad; or selling it outright. In April, KPMG estimated the railroad’s value between $61 million and $196 million. Its latest options analysis is expected this month. “We have a fiduciary responsibility to review the options analysis and gather input from a broad group of stakeholders so that we can bring this process to a conclusion,” said Hayne Rainey, the mayor’s press secretary. “Ultimately, (the) Mayor, (City) Council and Public Belt board will determine if any changes (in) structure to the Public Belt are in the best interests of our city.” The NOPB and its users, however, believe any change in management, namely a switch to a for-profit model, will cause rates to increase or service to decrease, leading to the Port of New Orleans becoming less competitive. 62
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New Orleans Public Belt RailroaD: A Historical Timeline n 1890: NOPB is conceptualized to provide railroad service to Port of New Orleans areas to encourage commercial development.
1896: The Municipal Affairs Committee proposes the New Orleans Belt Railroad, to be owned and operated by the City of New Orleans.
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1905: Construction begins.
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1908: Operations begin with one locomotive covering more than 20 miles of track from Monticello Street to Mandeville Street.
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1932: Construction of Huey P. Long Bridge over the Mississippi River begins.
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1935: The Huey P. Long Bridge is completed and first train passes.
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1956: NOPB Extends Track to Lake Pontchartrain, with construction of France Yard and tracks along both sides of Industrial Canal.
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1999: The Napoleon Avenue Container Cargo Terminal constructed
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2008: NOPB Centennial railroad celebrates 100 years of service to the Port of New Orleans. 2016: Mississippi River Intermodal Rail Terminal; New Orleans Mayor Mitch Landrieu explores ownership options for NOPB
David W. Kearney, president of The Kearney Companies Inc., said his businesses have been involved in logistics at the Port of New Orleans for more than four generations, primarily converting railcar shipments to and from ocean containers for export and import markets around the world. Photo Thinkstock
Continental Connectivity Six Class 1 rail carriers provide daily interchanges from New Orleans to major markets in the United States, Canada and Mexico To the east – CSX Transportation and Norfolk Southern Railway operate a combined 43,000-mile rail network railroad serving the Northeast, Southeast, and Midwest. To the west – BNSF serves the western states and two Canadian provinces with a 32,000-mile network. Union Pacific has 32,000 miles of track serving the western two-thirds of the United States and parts of Mexico. Kansas City Southern runs a 6,000-mile network through the South, Midwest and Mexico. To the north – Canadian National operates 19,000 miles of track to the Midwest and all of Canada.
“The NOPB is a key element in the ongoing success of cargo operations at the Port of New Orleans,” Kearney said. “The commodities that we handle all have effectively no tolerance for higher pricing, and New Orleans competes, like every other gateway, for its share of cargo based on price and service. Without reliable service and competitive rates, much like a utility, business will immediately shift to other more reliable and competitive ports.” Greater New Orleans Inc., a regional economic development alliance serving the 10-parish region of Southeast Louisiana, has not established a public position on the sale, said Grady Fitzpatrick, the organization’s senior vice president of business development. “We’re monitoring the situation but haven’t been involved,”
Fitzpatrick said. “We’re waiting for the KPMG study to be released to learn more.” Opportunities for growth The NOPB would benefit from an expansion of the railroad’s France Road Yard to increase switching and storage volumes, replacing the Almonaster Bridge, and investment in technology, but as a self-funded entity, it has very limited reserves for capital improvements and is legislatively limited to a bonding cap of $5 million, Kearney said. “That hinders its ability to finance capital improvements and take advantage of the revenue that could be generated from those capital improvements,” he said, “but this issue could be solved through legislation and future investments from state and federal sources.” What You Don’t Know Can Hurt You As the Public Belt’s future has remained open-ended, business and investment have slowed, something Kearney said is affecting the Port of New Orleans’ ability to maintain existing business in the short term and build new business over time. His company, which also has operations at the Port of Savannah, is holding off on million-dollar capital improvements in New Orleans until the railroad’s future becomes clearer. “The uncertainty that has surrounded the railroad over the last year has created difficulty for us in attracting new business,” Davis added. “It’s been difficult to expand with our Class 1 partners. Nobody wants to enter a deal just to have a management change a few months later.” If a change is made to the railroad’s management, business will lag until the new entity can prove that it will provide similar rates and service, he said. “We have the ability to have a bright future,” Davis said. “But we can’t do that in an uncertain environment.” n
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Perspectives | Banking & Finance
Client First Starting next April, investment advisors will be required to put client needs above their own — a demand that’s causing turmoil in the industry. By Maria Clark
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large shift occurred in the financial industry earlier this year when the U.S. Department of Labor (DOL) finalized standards on the role investment professionals play in providing investment advice. Starting next April, all investment advisors will be required to act under a fiduciary standard, which requires placing the best interests of their clients ahead of their own. The new regulation means that the industry will be more heavily regulated in an effort to cut back on nearly $17 billion in exorbitant fees a year. The rules are meant to prevent advisers from charging high commissions at their clients’ expense.
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Photo Thinkstock
“We have started taking steps to make sure we are interacting with clients in a fiduciary manner.” -W. Tyson Vanlandingham, managing partner at Faubourg Private Wealth The new standard will likely come as a surprise to many, as according to a March 2016 survey conducted by Financial Engines, nearly 46 percent of Americans currently believe that financial advisers are legally required to put their clients’ best interests first with their retirement planning. More than three in four (77 percent) of American adults surveyed by Financial Engines in their March 2016 report, “In Whose Best Interest,” said that they would be in favor of advisers who provide advice on retirement assets to be held legally accountable for clients’ financial well-being. Currently only financial advisers who voluntarily agree to meet the terms of the fiduciary standard are held legally accountable. The fiduciary rule was finalized after a seven-year process that began in 2009, when the DOL undertook a multiyear regulatory project to address conf licts of interest in investment advice. The purpose, said the DOL, was to balance the need to better protect retirement savings while at the same time “minimizing disruptions to practices and advice that currently work in the benefit of the client.” “Unencumbered and unbiased advice is where the industry is headed,” said P. David Soliman, CPFA at Faubourg Private Wealth. “There has been a lot of push back and forth within the industry since the rule was finalized. Disclosure, transparency, independence; these are themes clients want to hear.” Soliman started Faubourg Private Wealth with business partner, Tyson Vanlandingham, a year and a half ago. “We chose to be an independent firm in order to do what’s right for our clients,” said Soliman, “without having to deal with sales goals and revenue goals that we have to hit. This allows us to be true advisers to our clients.” Until the fiduciary rule was finalized in April of this year, only financial professionals and firms registered as investment advisers with the Securities and Exchange Commission (SEC) have had to follow fiduciary standards. Other financial professionals including brokers and insurance agents have until now been held to a suitability standard, which means they are only required to make investment recommendations that are suitable for their clients but not necessarily those which are in their best interest. The DOL rule also requires advisers who accept commissions or revenue sharing to have clients sign a BICE (best interest contract exemption.) The exemption is a pledge that asks the adviser to act in the client’s best interest and also requires the adviser to disclose information regarding conf lict of interest or fees earned. This contract would allow investors to sue their advisers if they think their interests were compromised. However, the exemption allows firms to continue to rely on current compensation and fee structures as long as they can still meet specific conditions intended to ensure financial institutions can mitigate conf licts of interests with their clients. BizNewOrleans.com NOVEMBER 2016
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86 percent of financial advisers said that the new regulatory and disclosure requirements would create enormous challenges to the growth of their business.
Specifically, in order to align the adviser’s interests with those of the plan or IRA customer, the financial institution has to acknowledge fiduciary status for itself and its advisers, according to the DOL. Financial institutions will be required to comply with the new rule by April 10, 2017. The regulation will impact all financial professionals currently offering investment advice for retirement accounts. The new fiduciary definition sets forth the requirement that the person represented is acting as a fiduciary. This means that the advice offered by the fiduciary, whether it is a written or verbal agreement, is based on the particular investment needs of the client. The final rule also includes several activities that would not be considered a recommendation and therefore not subject to a fiduciary standard, such as: a transaction with an independent sophisticated fiduciary such as a broker dealer, a registered investment adviser or a plan with more than $50 million in assets. W. Tyson Vanlandingham, a managing partner at Faubourg Private Wealth, said the “DOL ruling, in all, is going to educate and lead the consumer down the path where they know exactly what they own and what they are paying for.” “We have started taking steps to make sure we are interacting with clients in a fiduciary manner. We started our firm … to make sure there was transparency,” he said. “Someone who is operating under a fiduciary standard without the conflict of interest is pushing a commission that is appropriate for that client but not necessarily in their best interest,” Vanlandingham added. “Within the advisory world there has been a lot of debate about how things get disclosed to clients. The firm is pushing their own products and making a second fee on it. Are they truly doing what is in the firm’s best interest?” As a result of the DOL’s fiduciary mandate, a survey of 300 financial advisers conducted by Natixis Global Asset Management in September showed that 27 percent of advisers either intended to sell their business, merge with another firm, or leave the financial industry altogether. 66
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More than one-third of those advisers surveyed (37 percent) said that they would be willing to disengage with smaller clients because of the new rule. Another nine out of 10 (86 percent) said that the new regulatory and disclosure requirements would create enormous challenges to the growth of their business. “The challenges facing financial advisers are tougher than ever, as they are asked to do more with less in an environment that seems to put low fees ahead of all other considerations, including risk management,” said John Hailer, CEO of Natixis Global Asset Management for the Americas and Asia, in a press release. “We applaud the efforts of financial advisers to understand their clients’ risk tolerance and financial goals and tailor their portfolios accordingly. Low cost does not always equate to good value, and what’s lost in the big picture is the importance of professional guidance and risk management, especially in today’s complex and volatile markets.” The industry is still in a state of determining what changes to make within their business model to best comply with the new regulation. In early October, Merrill Lynch announced that it would no longer offer advised commission-based IRAs starting next year. Investment News reported that the brokerage firm’s new retail retirement accounts would exist only in a fee-based environment starting in April 2017. The firm’s decision could represent a significant change in the brokerage industry. A major part of the change in the fiduciary rule is that the DOL is trying to persuade 401k firms to be more transparent and therefore offer clients greater peace of mind. “Eventually there will be more cost savings because it will make the 401k companies more competitive since they are disclosing all of their costs,” said Stephen Satterlee, branch manager of Live Oak Financial in Covington, a wealth management group that has been operating since 1996. Satterlee said that as a result some financial advising firms are backing away from offering 401k plans. “We have taken steps to make sure we are interacting with clients in a fiduciary manner,” he added. “Our firm has been compliant for several years with the fiduciary standard. It helps the client feel that we are sitting on the same side of the table as them and that they are getting a more transparent picture when it comes to how we help them with their investment portfolio. We have for years offered a more DOL-compliant 401k option. We are giving a full disclosure of fees on the front end.” The landscape is still unfolding, which means that larger firms such as Merrill Lynch, Morgan Stanley and Edward Jones, which have been more traction-based to keep up with production quotas, may revise their business models. “It will take time and be more frustrating for those who aren’t acting as fiduciaries currently,” said Satterlee. n
Photo Thinkstock
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Perspectives | Insurance
A view from an MH-65 Dolphin helicopter shows flooding and devastation in Baton Rouge, on Aug. 15. Only an estimated 20 to 25 percent of affected homeowners had flood insurance.
Learning from Disaster In the wake of the Baton Rouge flood, insurance experts weigh in. By Kim Roberts
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Coast Guard photo by Petty Officer 1st Class Melissa Leake
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fter Hurricane Katrina, many New Orleanians learned the value of f lood insurance. And now, disaster has struck our neighbors to the north. The preliminary analysis of the cost of the Baton Rouge f lood may be as much as $30 billion, according to the Baton Rouge Area Chamber. In an August report, BRAC also noted that only a small percentage of homeowners had f lood insurance. Flooding and other water-related damages are common exclusions in almost every homeowners’ insurance policy. However, every home lies in a f lood zone of some type and runs the risk of experiencing a f lood, even one caused by an overloaded drainage system. Many f lood-related claims have been known to occur miles from the nearest body of water. A f lood zone is a land area classified in terms of its risk of f looding — whether the area is a low-, moderate- or high-risk area. High-risk zones, also known as special f lood hazard areas (SFHAs), begin with the letters “A” or “V.” Moderate- to low-risk zones, known as non-special f lood hazard areas (NSFHAs), begin with the letters “X”, “B” or “C.” There are also areas where the f lood hazard is undetermined, labeled as Zone “D.” “If anyone is wondering if they should have f lood insurance, the official answer is if your home is in an A zone, your mortgage company is going to require you to carry f lood insurance,” said Betsy Clement, producer with Gillis, Ellis and Baker. “The better answer is that everyone in South Louisiana should have f lood insurance. If we learned anything from the recent f looding in Baton Rouge, it’s that living in an area that ‘doesn’t f lood’ doesn’t mean you won’t f lood. If we get 26 inches of rain in New Orleans like they got in Baton Rouge, we are going to have f looding. The only people I would give a pass to are those in apartments or condos several stories up, but still, never say never. Not just for homeowners, Clement says businesses should absolutely have f lood insurance as well if they own property or merchandise. “But f lood insurance will only pay for the damage a business incurs, not for a business to pick up and move to a new location,” she added. Flood damage is not covered by most homeowners’ insurance plans, but homeowners and businesses can protect themselves by purchasing a f lood insurance policy from the governmentadministered National Flood Insurance Program (NFIP). The rates for f lood insurance policies are set by the NFIP, and they are sold by independent insurance agents throughout the city. Since Greater New Orleans participates in the NFIP, homeowners and businesses can buy f lood insurance for their building and contents regardless of where the property is located — in a high or low f lood-risk area. The maximum coverage this policy offers homeowners is $250,000 for the dwelling and $100,000 for the contents; for businesses the maximum coverage is $500,000 for the dwelling and $250,000 for contents. The deductibles on these policies apply separately to the dwelling and the contents. “Louisiana is the No. 1 recipient of flood insurance claims to the amount of $16.7 billion and climbing, considering the recent Baton Rouge event,” said Dan Burghardt of Dan Burghardt Insurance. Texas and Florida are in second and third place. “My concern is the percentage of homeowners who feel that they are safe in a ‘lowrisk flood zone,’ when in reality 30 percent of flood claims occur in low-risk zones, as is the case in Baton Rouge and the surrounding parishes that were so seriously impacted. Another issue that concerns me is that flood insurance is not always required by BizNewOrleans.com NOVEMBER 2016
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$101
$50,000/ $20,000
$245
$277
$20,000
$105
$145
$75,000/ $30,000
$291
$327
$30,00
$123
$169
$100,000/ $40,000
$324
$360
$40,000
$138
$189
$125,000/ $50,000
$341
$378
$50,000
$153
$210
$150,000/ $60,000
$364
$400
$60,000
$168
$231
$200,000/ $80,000
$400
$442
$80,000
$196
$255
$250,000/ $100,000
$425
$474
$100,000 $226
$280
Coverage
Contents Above Ground
All Other Locations
Photo Thinkstock
source: Dan J. Burghardt Insurance Agency, Inc.
mortgage holders and lending institutes in preferredrisk zones, which include A, C and X zones. When a new homebuyer receives their loan requirements … it clearly states that flood insurance is not required when a home is in one of those zones. This, I feel, is one of the biggest contributors [to why] 75 to 80 percent of the homes in the recent affected areas had no flood insurance in force.” Newly issued flood policies have a 30-day waiting period, so experts advise homeowners not to wait until the next storm is brewing before deciding to purchase a policy. “In South Louisiana we have two f lood seasons: hurricane season and in the spring,” said Tommy McMahon, president and CEO of Eustis Insurance. “I can’t emphasize enough the importance of having f lood insurance. Really, anyone that is around a body of water can f lood — it just takes a surge or a backup or a levee breach. Why risk your largest asset – your home? You never want to be in the position of not being covered if there is a f lood and you lose your home. Really, the bigger issue is why more mortgage companies do not require f lood insurance. Our company will not even sell a homeowner’s policy if it does not include f lood insurance — that is how important we think it is. If the buyer does not want to buy the f lood insurance along with the homeowners’ policy, we will send them on to one of our competitors.” Flood zones (and f lood maps) change over time, and as such property that was not included in a f lood zone when it was originally bought doesn’t mean that it still isn’t in one today. Luckily, it is easy to find out if a property is at risk of f looding. Visit FloodSmart.gov and type in an address; the site shows if a property is
in a f lood zone as well as discloses information about risks and premiums. In addition to checking the website, it is a good idea for homeowners to thoroughly research the property to confirm the current f lood insurance. Consult a knowledgeable agent and consider getting a second estimate. “If you are in a B or X zone, you’re going to receive a preferred flood rate of about $500 a year for max limits,” Clement said. “That’s really as good as it gets. If you are in an A flood zone or another high-risk zone like V or VE, you are rated based on your actuarial elevation, which is how far above or below your area’s base flood elevation your property sits (BFE is the elevation that floodwaters are estimated to have a 1 percent chance of reaching or exceeding in any given year). If you have a positive elevation, your rate is going to be within a couple hundred dollars of the preferred rate. If your elevation is negative, that is when costs start to go up exponentially. We’re potentially talking thousands of dollars. Clement explained that a property’s actuarial elevation is determined by a f lood elevation survey. “I recommend that all of my clients who think they may be positively elevated pay the $250 to have a survey done,” he said. “I’ve seen savings of $3,000 a year just because the homeowner had a survey done that proved they were above BFE. “On the f lip side, if you have a basement or other subterranean space, the chances of you having a positive elevation are slim, and you should accept the area rate rather than your actuarial rate to save some money,” she added. “I also want to point out that measurements are taken from the lowest enclosed space, so if your house is raised but fully enclosed or insufficiently vented, the f loor of that crawl space becomes your measuring point and you’ll be assigned a falsely low elevation. It can be very easy to add venting; sometimes it’s just a matter of removing bricks from the enclosure. So research what can be done to change that lowest point from the ground to the first f loor of your actual living space. Homeowners can also play around with deductibles to achieve a lower premium, but remember that deductibles apply separately to the dwelling and contents coverage, so a $5,000 deductible really costs you $10,000 out of pocket — $5,000 toward the dwelling and $5,000 toward the contents.” FEMA’s new f lood insurance maps for Orleans Parish went into effect Sept. 30, and that could translate to a possible savings of hundreds of dollars for property owners. According to Cynthia DiVincenti, vice president of government affairs and business quality for AON National Flood Services, the map from FEMA’s NFIP shows that about 50 percent of all properties have been removed from special f lood hazard A zones and reclassified into non-hazard X zones because of internal drainage work and improvements to the hurricane levee system made by the U.S. Army Corps of Engineers since Hurricane Katrina. For $250,000 of insurance coverage, this reclassification reduces the premium by about $500 a year. The average f lood insurance policy in September 2015 cost $961, FEMA officials said. Homeowners whose home were reclassified in the X zone “are not required to have f lood insurance, but they can get it at a very cost-effective rate right now,” DiVicenti said. “Mapping is currently being done to rezone Jefferson and St. Bernard parishes and is expected to be released sometime in 2017.” “No matter what parish a person owns in, they should remember that just because they aren’t required to buy flood insurance doesn’t mean they won’t need it someday,” added Clement. “If there is anything good that came out of the Baton Rouge flooding, we all saw firsthand the real risk of flooding and should not let our guard down.” n BizNewOrleans.com NOVEMBER 2016
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Guest Viewpoint
Parlez-vous francais? You should.
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Audrey Nikitine is the new executive director of The Alliance Française. Before her current posting in New Orleans, she was a civil servant in France for more than 15 years with roles in education, culture and non-profit organizations. She has extensive management experience, having lead a department of the Regional Council in Marseille, France. 72
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ccording to Bloomberg’s most recent ranking (2011), French is the third most useful language for conducting business in the world, trailing only English and Mandarin. With 274 million French speakers today and an expected 700 million by 2050, and with French making up a large part of many South Louisianan’s heritage — approximately 250,000 natives have a passive or active understanding of the language — it’s not a question of whether to learn French but rather how and when to start.
French Business in Louisiana According to Louisiana Economic Development (LED), since 2003 more than 30 French companies have invested over $670 million in the state and created in excess of 900 jobs. They include: • Industrial gas producer Air Liquide; • Transdev which has been revitalizing New Orleans’ iconic streetcar and bus lines;
• Gameloft, the high-end digital media company and world-leader in the technology sector; • New Orleans-based agricultural machinery consulting company, Tuleu, that has operations in the West French Indies and West and Central Africa; • Total, the world’s fourth-largest publiclytraded integrated oil and gas company; • CMA-CGM, the third largest global container shipping company which makes calls at the Port of New Orleans. Conversely, several Louisiana companies have an established presence in France, including Pool Corporation which has five French offices. New Orleans receives 75,000 French visitors annually, making France the city’s second largest source of international travelers. No doubt, welcoming these tourists with just a few French words enhances their experience and promotes authenticity in businesses selling souvenirs and other locally made products. In terms of your own company, learning French will give you a competitive edge and Photo Thinkstock
strengthen your business and travel experience in French-speaking markets and countries. Simply speaking a few words of French can break the ice during conference calls and in-person meetings. Christine George, V.P. of Oxygen Nitrogen Energy Networks and Air Liquide Large Industries U.S. LP and chairwoman of the French American Chamber of Commerce, Gulf Coast, believes that being multilingual is beneficial to intellectual and social development. “By studying a language, one inevitably gets into a cultural and historical understanding of the country, which is what really brings a foreign tongue to life,” George says. “French companies are interested in Louisiana because it has been a good place to develop and grow business, and having an opportunity to help nurture and revive the French language and culture here feels very special!”
Investing In the Future “French is not a foreign language in Louisiana,” says Consul General of France in Louisiana, Grégor Trumel, “Thanks to diplomatic partnerships, the state has emerged as a national leader in immersion education. Increasing numbers of tourists, investment from French companies, billions of dollars in trade... It’s clear that French is a professional asset in Louisiana.” In May 2015, the Louisiana legislature gave special recognition to the French language and to French companies on CODOFIL Day at the Capitol Building in Baton Rouge. The annual celebration commemorates the 1968 creation of the Council for the Development of French in Louisiana (CODOFIL), which has resulted in France’s long-term investment of millions of dollars in the promotion of Francophonie and French education in Louisiana. According to CODOFIL, Louisiana now has 30 immersion schools, about 5,000 students and almost 200 French government teachers. With the increase of immersion schools in Louisiana, French for children is becoming a focus. For the next generation, our future leaders, knowing one language will not be enough. French will give your children a great foundation for learning other languages. The Ambassador of France to the United States, Hon. Gérard Araud, recently visited New Orleans and encouraged French companies to “invest in this city of the future,” declaring, “France was part of the past. France will be part of your future.”
Where to Start? New Orleans is unique for many reasons, including that it is only one of a small number of U.S. cities with a French Consulate, a French American Chamber of Commerce and an Alliance Française. The Alliance Française of New Orleans (AFNO), a local not-for-profit organization, is a member of the international network of Alliance Françaises.
Founded in New Orleans in 1984, the AFNO has become New Orleans’ premier French language and cultural center. Alliance teachers are native speakers and highly trained to help students achieve their language goals. The AFNO offers classes, both private and group, to adults, children and to corporations, by request. The curriculum of corporate French classes is custom-designed to meet the specific needs of each business and industry. For example, the AFNO works regularly with the tourism, service and retail sectors to train their employees in basic French language skills. This helps make New Orleans a more attractive and welcoming place to French-speaking visitors. It should be noted that the New Orleans Alliance is one of only three Alliances in North America whose executive director is sent by the French government, a fact that only further proves France’s commitment to our city. Learning a language for your business or personal interest is culturally enriching, career enhancing and fun. Join our ‘Team of France in Louisiana’ and start your journey today and keep New Orleans French! n
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PUBLISHER’S NOTICE: All real estate advertised herein is subject to the Federal Fair Housing Ace and the Louisiana Open Housing Act, which make it illegal to advertise any preference, limitation, or discrimination because of race, color, religion, sex, handicap, familial status, or national origin, or intention to make any such preference, limitation, or discrimination. We will not knowingly accept any advertising for real estate which is in violation of the law. For more information, call the Louisiana Attorney General’s Office at 1-800-273-5718.
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L U X U R Y
R E A L
E S T A T E
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Great Offices
bird’s eye view By melanie warner Spencer
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GNO, Inc.’s Energy Centre space offers stunning views of the city it serves.
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pon entering the downtown offices of Greater New Orleans, Inc., the words most likely to come out of a visitor’s mouth are, “Wow, look at that view!” The more than 9,000-square-foot digs are on the 34th floor inside the Energy Centre at 1100 Poydras and overlook the Mercedes-Benz Superdome. On a clear day, it’s easy to see Lake Pontchartrain. “The big factor here was the location,” says Jeff Teague, GNO, Inc. senior vice president of finance and administration, citing easy access to the interstate and the Westbank. “We are out and about all day, going to meetings and events, so for us to be able to travel is important. We also have a lot of events and meetings here in our offices.” When the regional economic development alliance’s 10-year lease at Canal Place ended in May 2015, Teague was elected point person for the daunting project of finding a new space. After deciding on the Poydras Street location, Teague employed NANO LLC architectural and interior design firm to help redesign the space, which used to be home to an accounting firm. “There were a lot more walls and a lot more bookcases,” says Teague. “It was darker and had a closed floor plan. We wanted to open it up. We wanted to bring the light into the space.” The new space was a combination of three separate office suites into a single space, requiring NANO’s licensed architecture services. Glass walls allow light to filter through the private offices and bring the expansive views to everyone in the company. “It also allows more interaction with people in the office,” says Teague. “I can see visitors as they walk by. The move also allowed us to design it how we wanted it and was an opportunity for a cohesive furniture plan.” NANO architecture worked with two local contract furniture dealers, KV Workspace and AOS, to select all of the sleek, new, modern office furnishings. AOS provided Knoll workstations and conference room furniture and KV Workspace provided new Haworth furniture for all of the private offices and the seating throughout the space. Bart’s Office Furniture handled the move and assembled all of the furniture.
On a clear day, it’s easy to see Lake Pontchartrain out any of the outer office and meeting room windows. Photo Greg Miles
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Teague says the former space at Canal Place was more traditional and had a mixture of dark wood antiques and mishmash of typical office furniture. “We now have more highly functional furniture that’s pleasing to look at and conveys the message of who we are to our visitors and staff,” says Teague. “We truly are the front door and the first thing they see for some businesses when they come to New Orleans.” GNO, Inc. worked with AOS and KV Workspace for the collection of contemporary Knoll and Haworth furnishings, which are mixed with custom pieces, such as the feature wall and reception desk designed and built by NANO. Several of the credenzas and cabinets throughout the space were designed by NANO and built by Woodward Design + Build. The 1,500-square-foot boardroom has mobile tables that break down for storage and can be easily organized in any configuration, depending on the type of meeting. The company often lends the space to its partner organizations for retreats and meetings. “It has been a nice thing to be able to do,” says Teague. “To some extent, it’s a community service we provide to the region. We are very 78
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proud of our space and happy to share it with others. That gets us a lot of goodwill, too, and it’s the right thing to do.” The walls are decorated with art from the Ogden Museum of Southern Art, including several pieces by Hunt Slonem, as well as paintings by a host of other local artists such as Becky Fos and James Michalopoulos, with murals from Crystal Clear Imaging. A casual lounge area outside the large boardroom serves as a breakout space during meetings and retreats. The “Brainstorming Room” down the hall is another casual meeting area with colorful walls, a sofa and sitting ball. In the “Presentation Room,” the atmosphere is slightly more formal. It features neutral colors, white boards and maps of the state and the region by CCI. In the main open office space, colorful yellow accent walls and orange and red cubbies break up the neutral, light gray walls and carpet with nearly 360-degree views of the city a head turn away. Teague appreciates open office space and views, but his favorite part remains the location. “It’s nice to be in the middle of the city,” he says, “and feel the energy.” n
GNO, Inc.’s more than 9,000-square-foot offices on the 34th floor of the Energy Centre includes the “Presentation Room.” The reception desk, shown here, is one of several pieces custom designed and built by NANO.
At A Glance Company Name: GNO, Inc. Address: 1100 Poydras St. Office completed: 2015 Architect: NANO LLC. Interior Designer: NANO LLC. Furnishings: AOS and KV Workspace Square footage: Approximately 9,300 sq. ft. Main goal: Multiple meeting spaces for staff and community events and meetings, as well as a cohesive design that communicates the mission and message of the company. Biggest Challenge: Timeline. Standout Feature: Incredible views of the city, tons of natural light from the glass walls and the open office plan.
Photo Greg Miles
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3 1- Prior to the redesign, the office had more walls and bookcases, was darker and had a closed floor plan. The NANO team opened it up and brought in the light. 2- Michael Hecht, GNO, Inc. president 3- The design team at NANO LLC combined three separate office spaces to create the single space GNO Inc. now occupies. 4- Glass walls allow light to filter through the private offices and bring the expansive views to everyone in the company. 5- The 1,500-square-foot boardroom has mobile tables that break down for storage and can be easily organized in any configuration. GNO, Inc., often lends the space out to its partner organizations for retreats and meetings.
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Photos Greg Miles and Jeff Johnston
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Why Didn’t I Think of That? Creative Businesses Taking Hold in Southeast Louisiana
Corporate Gifts
T hink Local
When it comes to showing your appreciation for clients over the holidays, why not show your creativity and support of local business at the same time?
NOLA BOARDS
A handcrafted cutting-board business created by New Orleans husband-and-wife team Mandy Simpson and Daren Sumrow, NOLA BOARDS uses domestic and exotic hardwoods to create a wide array of items that can also be customized with engravings or corporate logos starting at $20 per board. Price: Cutting boards start at $30; bulk discounts are available.
Popcorn Bistro
With 153 flavors made fresh daily — all from natural ingredients — this family-owned company based out of Covington assures a flavor for every palate. Gift boxes and tins can be filled with local flavors including Bananas Foster, Mardi Gras Mambo, King Cake, Beignet, Boiled Crawfish, Cajun and Gumbo. Price: varies depending on the order; $25 to $85. To buy: PopcornBistro.com or any of the four storefronts in Covington, Hammond, Metairie (Lakeside Mall) and Baton Rouge
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To buy: NolaBoards.com or the company’s storefront at 4304 Magazine Street.
Bonfolk Collective Created by New Orleanian Janna Hart, Bonfolk Collective offers stylish New Orleans-themed socks perfect for any executive. Plus, with every sock purchase, the company donates a pair to a local shelter — double the giving! Price: $18-$20 To buy: Bonfolk.com, which also includes a list of stores that sell the socks locally.
Essential New Orleans
In celebration of New Orleans Magazine’s 50th anniversary this year, the publication has published its first-ever hardcover book, “Essential New Orleans,” in which local writers share their love for 15 of the magazine’s favorite city locales. Price: $24.95 To buy: MyNewOrleans.com/store
La RiviÈre Confiserie
Specializing in imported French treats, La Rivière Confiserie boasts a wide array of sweet and savory options, but among the most popular are the “praslines.” The predecessor of the pralines we know and love, praslines were created in 1636 by taking toasted almonds and caramelizing them in a golden syrup. Originally presented as gifts to the ladies of the French court, they are a sweat treat fit for royalty. Price: $16 for a tin of praslines to $150 for a “Hat Box” that pairs praslines with other favorite store offerings To buy: LaRiviereConfiserie.com or the storefront at 3719 Magazine Street BizNewOrleans.com NOVEMBER 2016
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Sweet Olive Soap Works
Following a family tradition, New Orleans native Emily Manger creates handcrafted soaps, along with various bath and body items. Not just for women, the company features soaps for gentlemen in scents including Absinthe, Sazerac® Rye Whiskey Soap and New Orleans Restoration Beer Soap, along with an all-natural shaving soap called Le Loup Garou. Price: Soaps - $6 to $6.25. Le Loup Garou - $8 To buy: SweetOliveSoapWorks.com, which also includes a list of stores that sell the products locally
Cane River Pecan Co.
Specializing in “tasteful corporate gifts,” Cane River Pecan Co. spreads holiday cheer with boxes and tins of gourmet pecans and cookies in a variety of flavors. The family-owned, more than 45-yearold Louisiana company can also customize tins to include a corporate logo, holiday design or both. Price: Tins start at $20 To buy: CaneRiverPecan.com
Martin Wine Cellar Since 1946, Martin Wine Cellar has been a fixture in the Crescent City. In addition to being among the first retailers in the U.S. to offer gourmet food gift baskets, the company also offers businesses the chance to create their own wine labels that are then affixed to their choice of cabernet sauvignon, chardonnay, merlot, sparkling or white zinfandel. The minimum order is six bottles per varietal. Price: depending on the varietal, ranges from $8.19 to $13.19 per bottle To buy: Phone the store nearest you and ask to speak to customer service. Store locations are available at MartinWine.com/locations
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Giving Memories Whether you’re looking for a fun way to bond with or thank a good client, or a creative end of the year team building activity for employees, now is a great time to escape the office and have an adventure with these local companies.
Escape My Room
A team experience like no other, Escape My Room invites groups from two to eight people to be locked in a room where they must work together to find clues and solve puzzles to escape in under an hour. Escape My Room offers two different themed rooms to choose from — the Mardi Gras Study and the Jazz Parlor. To accommodate groups that would like to compete against each other, a duplicate Jazz Parlor is being constructed to be ready by the end of the year. Price: $30 per person Location: 633 Constance Street, New Orleans To book: Reservations are required and can be made at EscapeMyRoom.com.
New Orleans Drink Lab
Ever wanted to try your hand at bartending? New Orleans Drink Lab offers a hands-on, interactive and fun cocktail experience where guests learn the history, tradition and culture of classic New Orleans cocktails before stepping behind the bar and making the drinks themselves. Drinks and a snack are included. Classes are offered Wednesday through Saturday. Price: $65 per person Location: 343 Baronne Street, New Orleans To book: DrinkLabNola.com
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NOLA Motorsports Park
Just 20 minutes from Downtown New Orleans, NOLA Motorsports Park offers those with the need for speed a chance to hit the track in vehicles that range from a go kart to a Lamborghini. Home of the largest karting track in the U.S., NOLA Motorsports can accommodate groups as small as eight or as large as more than 150. Want to reward a high-performing employee or treat a big client? Why not a few laps in a luxury supercar with Xtreme Xperience.
New Orleans School of Cooking
Fun is a primary ingredient at New Orleans School of Cooking, which offers daily two-and-a-half hour demonstration classes where skilled, entertaining chefs prepare a classic Cajun/Creole meal while learning about the vibrant history of New Orleans cuisine. Guests enjoy all the food items cooked, as well as Abita beer, water, iced tea, lemonade and coffee. Looking for something a bit more interactive? The school also offers hands-on classes season where guests prepare and then enjoy a complete four-course dinner with an expert chef. These intimate classes are three hours long and include an apron, the recipes, red and white wine, and the full meal.
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Price: varies Location: 11075 Nicolle Blvd, Avondale To book: NolaMotor.com
Price: Demonstration classes are $28 for morning classes and $32.50 for afternoon classes. Hands-on classes are $139 per person Location: 524 St. Louis Street, New Orleans To book: NOSOC.com
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Q&A
It’s great that we won most flirtatious and most humorous, but we … could be the best all-around and the most reliable. I like to say that we can be sexy smart!
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Photo Cheryl Gerber
we need Quentin Messer, president and CEO of the New Orleans Business Alliance, lays down a call to action. By Suzanne Ferrara
H
e’s not a native New Orleanian, and he has no former ties to our fair city, but don’t hold that against him. Quentin Messer Jr.’s passion to see New Orleans succeed globally runs deep in his veins. “As people give New Orleans a chance, they’ll find themselves richly rewarded,” says a fervent Messer. The 48-year-old president and CEO of New Orleans Business Alliance (NOLABA), holds a wealth of insight that only an outsider with keen business savvy can see through a different lens, and from a vantage point that is without preconception. Messer, who is known as an economic ambassador for New Orleans, shares the pros and cons of our great city in hopes that we, too, will climb aboard to bring her to new economic heights. Biz New Orleans: Can you give us a glimpse into your vast background? Quentin Messer Jr: “I am a non-native from Jacksonville, Florida, who has positively fallen in love with south Louisiana and New Orleans particularly, and it’s been a long, strange trip that got me here. I lived in New York, Chicago, Philadelphia, and Dayton and Akron, Ohio, prior to coming to Baton Rouge, and then ultimately New Orleans. Biz: What do you believe is the city’s biggest strength? QM: Without question, it’s the people. You are not going to find more passionate, creative, authentic and resilient folks than New Orleanians. Biz: What do you believe is the city’s biggest weakness? QM: I think New Orleanians tend to be pretty humble about our city. What I mean by that is, when you are in an economic development space, and you are competing globally, you have to be your biggest cheerleader; I think
sometimes New Orleanians don’t toot their own horn, and I think that sometimes this can be a weakness when competing. It goes back to this thing I always say: If you ever sat next to a Texan on a flight, you are going to hear about how wonderful their little part of Texas is. There’s something for us to learn about that. Biz: How is NOLABA capitalizing on the city’s biggest strength? QM: I think one we are working to build out the world’s view of who we are. You know, we are not a city still under water, and we did not get flooded in those tragic Louisiana floods of earlier this summer. We are a city of passionate business folks, creative folks, people who enjoy our unique culture, but can also get down to business and compete with anybody globally. Secondly, New Orleans is really an unrecognized college town, a brain magnet. There are over 80,000 young people engaged in higher education in any day during the academic year. We are one of 15 U.S. cities with two medical schools; there are two law schools, and three business schools. I think we have to tell that message more clearly and get people to see us beyond this sort of onedimensional image. Finally, there is such a fierce loyalty that this city imbues in people that, even if you don’t live here, you are connected to it. If you ever see Cokie Roberts on TV or Donna Brazile or Harry Connick Jr. or Wynton Marsalis or Tyrann Mathieu, they all speak with tremendous pride and love and affinity for New Orleans. We want to tell everyone, you can come home and there’s an opportunity befitting of your talent; maybe not like those in the media or music, but others such as lawyers, doctors and businesspeople. It’s a process, it takes time, and I think you have to be intentional about it.
Messer poses at the offices of the New Orleans Business Alliance, located at 935 Gravier St. in Downtown New Orleans. “We are the only economic development organization focused on growing the New Orleans economy,” he says. BizNewOrleans.com NOVEMBER 2016
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Biz: How is NOLABA addressing the city’s biggest weakness? QM: New Orleans’ challenges are the challenges of any major urban area: How do you make sure there’s enough economic opportunity? If you ask people here, they always say New Orleans is great, but there’s always a caveat. If you ask a New Yorker, “Is there any other place to be in the world?”, they respond, “No,”, and there are no caveats, and I think we have to have that same view, that New Orleans is a great place period, no buts or qualifiers. I think companies are attracted to cities that have a little swag and confidence. Biz: You have stated that New Orleans has a “perception problem.” Can you explain this? QM: I think that there are three different divisions of it. One, you have people external to market, where perception lags reality. People who think New Orleans flooded this summer, and those who think New Orleans is only the French Quarter and Bourbon Street. It’s not 365 days of Mardi Gras; you have serious businesses here, you have serious thought leaders here. Secondly, I think there’s a little internal perception problem. We are humble, but I think we also have to be a bit more like a cheerleader, like people in Houston, Atlanta, New York and Austin. I hope in time we all say, “You know, New Orleans is a great city, period.” All of those places have challenges, but very few people refer to those cities and qualify their enthusiasm. And I think the final perception challenge is that we are not serious in regard to businesses, particularly those who see only one dimension of us, the tremendous leisure and travel amenities. They don’t fully understand and realize the richness of our higher education community or our legal community or our maritime, banking, or energy communities. It’s great that we won most flirtatious and most humorous, but we … could be the best allaround and the most reliable. I like to say that we can be sexy smart! Biz: How is NOLABA different from other local business organizations? QM: We partner with a lot of folks who have a strong bias toward collaboration because economic development is a team sport. You have to make sure that everybody is in the boat rowing in the same direction. We are the only economic development organization focused on growing the New Orleans economy. We are not a member organization where you pay a membership and you have a bunch of networking events; that’s great, but that is not what we do. We tend to do longer-term, multiyear business retention, business attraction, storytelling. 90
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Biz: Does NOLABA work and partner with anyone? QM: We will partner with anyone; it’s very multidimensional. You’ve got partners who focus exclusively on small businesses, larger businesses, and partners who are making sure the economy works for all New Orleanians, independent of which ward they were born in. The thing that sobered me when I took this job is that, in New Orleans, there are less than 400,000 people. In the Atlanta metro area there are about 5 million people; in the Houston metro area there are about 6 million people. If we’re going to compete, we have to get over ourselves and
“...those who think New Orleans is just the French Quarter and Bourbon Street,” says Messer, are missing out on the city’s bustling growth and booming industries.
figure out how to work together because we just don’t have the numbers. We’ve got a brand that far exceeds our number, but we have got to be more than the sum of our numbers if we are going to compete. Biz: Where do you see New Orleans two, five and 10 years from now? QM: The big picture is, and I hope that the readers of Biz New Orleans will hear this message: We have made tremendous strides in getting talent in creative digital media,
Photo courtesy of New Orleans Business Alliance and Benjamin Benschneider
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software development, IT implementation, big data analytics, as well as bio innovations. We are, and have been focused on executing Prosperity Nola, our five-year strategic plan. We have a very well-thought-out pathway; we just have to execute against it. I think that five years from now we will begin to see the full impact of the VA’s opening, as well as the University Medical Center at full operation, and the continued great work that’s happening at Ochsner, HCA Tulane Health System, Xavier and the LSU Health Sciences Center. We believe that you are going to see New Orleans really rise to a point of leadership in the area of digital health where you see technology improving patient outcome and the delivery of health care. We believe we can compete globally on that, given some of our unique assets. Five years from now, the north terminal of the airport will be open, and so you are going to have greater flight connectivity, which means that it’s easier for companies to stay here in New Orleans and have access to customers, foreign markets and capital. And I believe you will see a greater awareness of the full impact of our higher ed community. You know, talent wins, and when you are one of the few cities that can say you have 80,000-plus people being educated in some form of secondary education, that’s a pretty big statement. Biz: How can people get involved and/or help? QM: I think the best way is becoming better ambassadors for this great city which we so love. We need to have that swag, and if you’ve got people evangelizing about a place, then people want to go there, and we’ve seen that throughout history. We need to once again claim New Orleans as a big city worthy of attracting people — and she is, she is. Biz: What can New Orleanians do to help NOLABA improve the New Orleans economy? QM: I think it comes down to something deeply personal. New Orleanians really believe in family first, and I think there are too many New Orleanians during the holidays that have to get on a plane to see a loved one and fly back here. I am not saying we can have 315 million people move to New Orleans, but there’s no reason why we shouldn’t be a city of half a million. We can get back to where we were preKatrina because we do have opportunities; I think that there were some things that were challenging about New Orleans that are significantly less challenging today. n
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Companies have been flocking to New Orleans from across the country. Pictured here are three that relocated last year. TOP: Matt Findley, president of inXile Entertainment, a game development company based out of California that chose New Orleans for its first satellite office. MIDDLE: Courtney Williams is CEO of Torsh, an ed tech company that moved here from NYC and is now located in the Dryades Public Market. BOTTOM: Nick Jordan, CEO of Smashing Boxes, made the choice to expand into New Orleans from North Carolina.
Photos courtesy of New Orleans Business Alliance
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Events NOCC and EO present Third Quarter Luncheon with Rjon Robins
6th Annual Economic & Real Estate Forecast Symposium
Friday, September 30, 2016
Tuesday, October 11, 2016
The Roosevelt Hotel, Crescent City Ballroom
Roussell Hall, Loyola University
“What’s Been Stopping You & Me from Doubling Our Business in the Next 90 Days?” — that was the topic of discussion with career coach Rjon Robins at the New Orleans Chamber of Commerce and EO Louisiana third quarter luncheon.
Industry heavyweights from both the commercial and residential real estate arenas looked at the future of the Southeast Louisiana landscape at the 6th Annual Economic & Real Estate Forecast Symposium.
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1. Pat Montrell-Winston, Lourdes Keiffer and Monica Hernandez 2. Rjon Robins 3. Chuck Mutz, Mark Lewis and Abid Hussain 94
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1. Jennifer Lanasa, Paul Richard, Kenny Hurst, Snappy Jacobs and Cres Gardner 2. Jessica Dill 3. Jeannine Talazac, James Fidler, Alton McRee, Joey LaRocca and Kell Beckendorf Photos by Cheryl Gerber
Expedia New Orleans Market Forum “Find Your Perfect Fit”
ABWA October Luncheon
Wednesday, October 12, 2016
Ralph Brennan Heritage Grill
Thursday, October 13, 2016
Sheraton New Orleans Hoteliers gathered at this annual event to review global trends, learn about product updates and technology optimization, and network with fellow professionals.
Dr. Laura Beth Ramirez with Crescent City Physicians spoke about Breast Cancer awareness, prevention, screening and treatment options for women at October’s ABWA luncheon.
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1. Janice Hurley, Dave Kolankarai and Sara Shusta 2. Ted Bogan 3. Kirk Couret, Gina Chimeno and Travis Tague Photos by Cheryl Gerber
1. Christina Garrett, Joan Collins, Vivian Daigle, Carolyn Olsen and Jodi Archer 2. Dr. Laura Beth Ramirez 3. Mershon Bergeron, Mandy Simpson and Leslie Adams BizNewOrleans.com NOVEMBER 2016
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Behind the Scenes
Music Maker Anya Burgess, owner of Sola Violins in Lafayette, fits a bridge to a violin that has been brought in for service. “I love everything about working on violins,” says Burgess. “It’s a craft that brings together so many different disciplines — woodworking, painting, music. Open for two years, the 400-square-foot store at 100 E. Vermilion St. offers rentals and repairs and sells accessories and instruments, including those crafted by Burgess. SolaViolins.com Photo by Travis Gauthier 96
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