Business New Haven May 2015 by Second Wind Media Ltd

www.ConnTact.com

MAY 2015

Achillion Hook-Up Brings Billion Dollar Plus Deal Success of Hepatitis C Treatment Drives Big Pharma Collaboration

$1.50

A New Ride May Be Coming Soon...

By Mitchell Young NEW HAVEN: Achillion Pharmaceuticals, Inc. (Nasdaq:ACHN) has signed a deal worth well more than one billion dollars with Janssen Pharmaceuticals, Inc. a unit of Johnson & Johnson, [NYSE:JNJ] to develop and commercialize one or more of Achillion’s lead Hepatitis C virus drug candidates.

Johnson & Johnson’s $225 million stock purchase brings immediate cash to the $1 billion plus deal.

Only a few weeks ago, we reported on the $434 million dollar deal between Merck Pharmaceuticals [NYSE: MRK] and New Haven biotech startup Arvinas. That deal was the largest collaboration for a New Haven biotech since 2001 when Bayer and Curagen inked a potential $1.5 billion dollar pact in 2001. That effort was apparently premature; Curagen wasn’t able to make the science happen and eventually sold its assets. This new generation of New Haven bio-techs and pharma giant partnerships appear to be on a much different track. The Achillion and Janssen match up is for what presumably is close to a proven technology, with solid results in Phase 2 clinical trials and a strong expectation for commercialization within two years. Continued on page 11

Connecticut Motorists May Soon See A New Generation Of Three Wheeled Cycles On the Road. Page 18

Getting Our Power On!

Connecticut Companies Partner To Build Largest Fuel Cell Generation Facility In the World

eacon Falls: The tiny New Haven county town of 6,000 residents is about to become the home of one of the largest and most advanced energy generating facilities in the world.

Danbury’s Fuel Cell Energy [NASDAQ: FCEL] will build and manage a 63.3 Megawatt Fuel Cell facility.. The fuel cell “park” proposed by CT Energy and Technology LLC, will be located on an 8 acre former gravel and sand mine. Continued on page 22

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ON THE RECORD

I thought, isn’t it a shame that this isn’t part of the food scene in Connecticut

Just Brew It! How One Young Local Beer Entrepreneur Crafted His Business In Connecticut Christian Amport, 35, of Madison has lived in Connecticut most of his life. He started his college career at Carnegie Mellon to become an architect. He decided designing buildings wasn’t going to be his thing. Amport shifted to the University of Vermont where he discovered, and became a fan of, the culture of craft beer that hadn’t yet been established in Connecticut.

How did you get the money together? Family, friends, investors? It is a mixture, we were also able to get a job creation loan through the state. Currently we have three full time employees and hundreds of thousands of dollars worth of equipment. What type of beer do you brew and how does that compare in the craft beer industry?

Eventually, he decided he needed more schooling to build a business career and pursued an MBA at Boston College. But the craft beer bug had struck and he set out to craft his own beer company. In 2013, he opened the Overshores Brewery in East Haven. Business New Haven publisher Mitchell Young talked to Amport about Connecticut’s craft beer industry, and the challenges of being a small business entrepreneur as well.

We make Belgian Style beer. What makes Belgian style beer different is it exhibits a character you get from the yeast in addition to the malt and the hops. The vast majority of beer flavors are defined by the malt and the hops you use. Yeast is generally treated as a production tool, it converts malt sugar to alcohol, and that’s how you get beer from the barley malt soup you start out with.

••• You started your college career thinking you would be an architect, what made you change your path? While in college I realized that I was more of a food guy. Eventually I was living in Seattle and I knew I wanted to move back to New England and Connecticut and get an MBA. I also tell people the West Coast is great if you don’t get along with your family. That was the biggest downside for me, being three thousand miles away. When did you decide to start your own business? I was a couple months into the MBA program when I gained the resolve that it was what I needed to do, have my own company, get out of architecture and design and switch gears to consumer products and be my own boss.

Photo: Derek Torellas

Why Beer? I went to school as an undergrad in Vermont. Vermont has easily a twentyyear head start on Connecticut as far as craft beers are concerned. If you spend any amount of time up there [you realize] it is such a part of the culture. We have wonderful things in Connecticut, amazing pizza, great seafood, we have great food down here, they have great beer. It is part of the scene up there. I thought, isn’t it a shame that this isn’t part of the food scene in Connecticut. It’s [Craft Beer] come a long way in recent years, but this was fifteen years ago.

At that time, there were only one or two small breweries operating in Connecticut, tiny brew pubs, nothing major. When I was in Seattle, and I also lived in New York, I kept coming back to I want to move back and settle here. But I didn’t want to give up that great beer culture that I had come to identify with so much. I started writing the business plan in 2008, incorporated the company in my last semester at business school in 2010. It took about three years to get the money together, and we took over our lease in February of 2013.

Depending on how you ferment, you can promote flavor coming out of the yeast or you can suppress it. Some yeasts taste good, most don’t. The vast majority of the beers—they intentionally suppress the flavor of the yeast because it doesn’t add anything positive to the flavor. With Belgian beer we take the opposite attitude, Belgian yeast has a tanginess to it which is very unique. There are different things you can do with yeast, and the focus in Belgian brewing is having that flavor present. It’s a third dimension that adds something to the beer, a little bit of depth and complexity. It’s a little more of a higher end thing, it is for consumers that are paying attention to what they’re drinking, tasting the subtleties, pairing it with food.

Continued on page 6

MAY 2015

VIEWPOINT Playing The Race Card For the past year, the Connecticut Education Association (CEA) teacher’s union and many in what we have come to see as the educational establishment, have been on a full onslaught against charter schools and standardized testing. In Connecticut, charter schools have performed very well for students, and are financed nearly entirely by the state’s taxpayers. To be clear, we’ve supported, promoted, and advocated for education generally and charter schools and school choice since 1996, when we first began to look closely at the achievement of urban school districts. Our business readers had been complaining from our earliest issues in ‘93-’94 that the region’s schools, and particularly urban schools, were not providing their companies with potential employees they could hire and train. The first reactions to those reports were disappointing as some began to claim this call to a better education system had racist undertones, which served for a time to muffle the criticism.

Progressives have a name for the cause of this outcome, “white privilege”. in the gap between black and white students. Almost immediately politicians, the educational establishment, teacher’s unions even the Connecticut Department of Education, looked elsewhere for the cause. Their first response was blaming minority parents and family structure, society’s income disparities, under funding of urban schools. The schools and the classroom experience was rarely touched with criticism and frankly, many of us accepted the premise – we would have to fix society before we could fix educational outcomes.

Charter school broad success on standardized tests created a real dilemma for Connecticut’s education establishment and teacher unions. Connecticut educators had long prided themselves on early adoption of standardized tests to evaluate student achievement. Connecticut was a leader, beginning its effort in 1986, after the Reagan administration released the report “A Nation at Risk.” The report was a broad indictment of America’s student performance. Unfortunately, Connecticut’s education establishment took the attitude “not here”, never acknowledging the state’s achievement gap between minority and white students.

For a while, we were even sold the idea that Connecticut’s white students simply performed better than whites in other states. That wasn’t true then and is not true now, Connecticut students in all demographics underperform compared to neighboring Massachusetts for example – at a much higher cost, we might add.

Another Republican President, George Bush changed all that with the passage of the No Child Left Behind Act in 2001. Liberals, in spite of the fact that “No Child” was supported by then Senator Ted Kennedy, Connecticut educators immediately attacked their own premise of standardized testing, but the damage to their real cause was done.

The first really successful effort to deflate those excuses was the success of Connecticut’s fledgling charter schools. In New Haven, Achievement First’s Amistad Academy quickly demonstrated that students from poor families and struggling neighborhoods could achieve great success as recognized on the state’s standardized tests.

All students, including minority students, now had to perform or the under performing schools would be potentially closed. The goal posts were moved and minority families came to understand that Connecticut’s educators did, in fact, need to perform for their children too.

Eventually, we learned that Connecticut performed worse than any other state SCSU_MBA_BNH_7.625x4.875_Layout 1 10/21/14 11:40 AM Page 1

Today, we mostly all know better, Achievement First’s Amistad High School in New Haven has 99% minority

students, 82% are low income, and the school has a college acceptance rate of 100% for its 2015 graduating class. That example and the success of other Charter Schools did not stop the predominantly white teacher’s unions and a couple of powerful West Hartford politicians from stopping mostly poor minority families in one of the wealthiest counties in America from getting access to more choices with new charter schools in Bridgeport and Stamford. Governor Dannel Malloy’s administration is supporting the charter schools, but that hasn’t been enough so far. Perhaps another fact will further illustrate the picture of Connecticut’s education establishment, 39% of all students in Connecticut are minorities, and only 8% of teachers are non-white. Progressives would typically have a name for the cause of this outcome, “white privilege”. Not in this case? While the teacher’s unions and their supporters are now full bore against standardized testing, recruitment professionals have quietly told us that “obsolete tests and inflexible rules” have prevented well-educated minorities from becoming teachers in Connecticut. Education in Connecticut can be summed up with a borrowed phrase recently used by our Governor: “if it is not racist in intent, it is racist in its outcome.” BNH

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} FINANCE

Connecticut vs The Otoe-Missouria Tribe of Oklahoma

Tribe Claims Sovereign Government Status To Challenge Connecticut Usury Laws By Mitchell Young

nternet scam artists marketing Payday and other short term loans will be facing stiff regulations in the Nutmeg state if the State House of Representatives get its way. An effort by two companies to use billboards and twitter in attacking Governor Dannel P. Malloy apparently has backfired.

Lesser, D-Middletown, co-chair of the legislature’s Banking Committee. Lesser told the Ctmirror.com “we’re declaring those loans null and void, and if they’re operating in Connecticut, we’ll treat them as a gift.”

The Connecticut State House unanimously approved legislation that would broaden consumer protections against online financial threats ranging from payday loans to identity theft.

Two online lenders at the center of the battle claim immunity from Connecticut lending laws as “sovereign” Indian tribes, but Connecticut sees it differently and the companies were fined $700,000 last fall by the Banking Department.

In what was an obvious bipartisan vote, the legislators want to empower the Department of Banking to ban the high interest rates charged by certain lenders.

The Otoe-Missouria tribe of Oklahoma was ordered to stop offering the loans in Connecticut, which in some cases carried rates as high as 448 percent annually.

The legislation, which now goes to the Senate, will bar lenders from collecting on loans in excess of the state’s current limit of 12 percent.

One billboard and twitter ad offered an unusual marketing appeal showing a Native American child suggesting Connecticut’s governor was trying to take away the child’s healthcare.

While the law may well face a legal challenge and could end all “payday” lending in the state, that doesn’t bother an obviously riled up Representative Matthew

Connecticut’s own Indian tribes were not sold, however, and both the Mashantucket Pequots and Mohegans also support the bill.

Magazine CEO Survey Ranks Connecticut 45th Business Climate in Nation. Texas Ranked No. 1, Florida 2nd, California Last Greenwich: Chief Executive Magazine’s 11th annual survey of 511 CEO’s placed Connecticut at 45th in a ranking of the nation’s business friendly environments. While many in Connecticut might see the quality living environment and business developments programs as a plus, the CEO’s apparently aren’t getting the message. The magazine website cites polling that said that 76% of Connecticut residents feel “the taxes they pay are too high.” The survey compared taxes and regulations, quality of workforce and living environment. MAY 2015

OP-ED

LINC Up With SBA By Seth A. Goodall There’s a hunger among entrepreneurs to find financing to get their businesses off the ground or to take the next big step in their expansion plan. Across the country, thousands of small businesses are searching for term loans, equipment financing, lines of credit, invoice financing, and real estate loans to help them hire and grow. But too often, they’re wasting time if they don’t have cold-calling and door-knocking skills to pave their way to a lucky break. This is where technology steps in. Online matchmaking services pairing lenders with prospective borrowers comprise a multi-billion dollar industry. Perhaps you’ve seen the TV commercial in which a creditworthy home buyer goes online and is delighted to find banks competing to finance her house. Small business lending is the next frontier for these matchmaking services. Using the power of the Internet, commercial lenders are finding creditworthy small business borrowers, while entrepreneurs are finding loan officers who are ready to sit down and talk. The U.S. Small Business Administration (SBA) not only supports this concept, we’re implementing it. Recently, SBA Administrator Maria Contreras-Sweet announced a new SBA initiative called LINC (Leveraging Information and Networks

can help them get their foot in the door on their merits at one of many commercial lenders. SBA is committed to becoming as innovative as the small businesses we serve.

to access Capital). Our matchmaking service will help entrepreneurs get a date with a lender. We spent months surveying our lending partners to discern what information they need before they’re ready to receive a loan pitch. Based on those talks, we’ve developed a simple online form with 20 questions that takes minutes to fill out. Once completed, the form is blasted out to participating SBA lenders in an applicant’s county, as well as financial institutions with a statewide or national reach. While a positive “hit” won’t ensure entrepreneurs will receive a loan, it will put them on a fast track, because they will have been pre-screened. If LINC doesn’t produce an immediate match, entrepreneurs will be directed to their local SBA adviser for additional assistance with their loan application. LINC is expanding small business lending options beyond someone’s local bank. Instead, technology

We’re rolling out LINC in two phases. First we’re connecting small business owners with nonprofit lenders that offer free financial advice and specialize in microlending, smaller loans (our Community Advantage program), and real estate financing (our 504 program). Phase 1 is off to a strong start. We already have participating LINC lenders in all 50 states, the District of Columbia and Puerto Rico. These lenders have made a combined 42,000 loans totaling more than $17 billion since 2009. Later this year, in phase 2, we plan to add more traditional banks that offer an even wider array of financial products. In the longer term, we also believe LINC could be modified to facilitate government contracting by connecting eligible small businesses with procurement officers, prime contractors, and federal buyers. The future is upon us, and the SBA is proud to be leading the way.

Seth A. Goodall is the New England Regional Administrator for the U.S. Small Business Administration

}RETAIL

Furniture Store and Playland Breaks Ground at Long Wharf NH Register Building to Transform Into Family-Friendly Jordan’s Furniture

liot Tatelman, CEO of the chain Jordan’s Furniture, was in New Haven recently for the groundbreaking ceremony of his new store coming to Long Wharf. The location, 40 Sargent Drive, is the former New Haven Register building, and will be the sixth Jordan’s Furniture store in the chain. That’s not all, according to Tatelman, because this location is going to be a true destination. Not only are Jordan’s Furniture locations furniture showrooms, they also house entertainment features like

IMAX 3-D movie theaters, and a water and laser show experience at the Rhode Island store called “Splash.” Splash features over 9,000 water nozzles, produces a 15-minute show incorporating lasers and sound, and is made available to local non-profits and charity groups holding fundraisers. He promises something big in New Haven, but hasn’t elaborated on what to expect yet. Unlike at other Jordan’s locations, the company will build this workforce anew, without current employees transferring in from other states. Jordan’s Furniture’s Connecticut location plans to hire about 200 employees, and is expected to open to the public in the fall.

} BEER

Continued from page 3

So how did you go from college kid beer consumer to understanding the brewing process well enough to craft beer? Like anyone else, I started out home brewing. When I lived in Seattle I had a lot of friends that were home brewers. I thought this was a lot like cooking, but a bit more scientific and rigorous. Home brewing is very satisfying, most people in this business start out home brewing. So how did your family and girlfriend react to the idea that you were going to take your MBA, but now you were going to be a small business person instead? It is an interesting conversation. When I met my wife I was still in business school. You know, you tell someone what you do, and as a student, obviously I was still in school—but “here’s where my career is heading.” Instead of saying these are the kinds of jobs I was looking at it was, “here’s the business I’m working on.” “My job right now is raising money and selling equity for this project, by the way it’s not here in Boston, [she had been living in Boston for 15 years] it’s down in Connecticut. What type of people invested, were they beer lovers or a more personal type thing? It is an interesting mix. With consumer products, people place a higher premium on personally believing in the product and being interested in it. I would talk to guys who were retired CEOs or otherwise independently wealthy, but they were wine guys, they didn’t believe the beer market was there because they weren’t beer drinkers.

It is hard for people to take that leap of faith and believe other people like something that they themselves aren’t into. If I was building some kind of widget I could show, they would have been all in. But because it was a consumer good and they themselves aren’t beer drinkers, it is hard for people to take that leap of faith and believe other people like something that they themselves aren’t into. It is an interesting process, generally speaking if you draw out a little 6

diagram of overlapping interests and qualifications, it is people that believe in the Connecticut market, people that believe in beer and people that believe in me. If any one of those is not there, at the end of the day they’re not going to invest, and of course they had to have the money and not be totally risk averse. How did the state financing work for you? The terms of the loan are very good, the process is less than ideal. The set of incentives they have is very different than private industry. We put in the application in April of 2012, we didn’t hear anything until August, we got a commitment to do the deal in October, we didn’t actually do the deal until late December, it was a nine month process, it was painful. How’s business? Business is okay, it has been a learning process. The market has changed from when I first wrote the business plan. A lot of small brewers are operating pop ups that are nimble, that have less overhead, and that can turn out small batches under looser regulations than existed before. When we planned our business, we weren’t planning on having people come in and sit down and drink at the bar, for example. We had planned on our entire business going through distribution and not having the ability to retail on site. When we were planning the business, those things weren’t legal in Connecticut. These advances made how we build out somewhat obsolete. We started out too big. We produce more beer than we can send out the door, because there are so many players and there isn’t necessarily the demand. So where is Connecticut’s Craft Beer industry and the Connecticut consumer with craft beer interest? Compared to other states it is really [still] early on. We don’t have any established brands here that demonstrate to Connecticut consumers that they don’t have to look elsewhere, that they can drink nothing but Connecticut beer and be happy. As producers we’re not there yet, the challenge is we’re up against breweries that are coming in from out of state that have been operating for ten, fifteen, twenty years and they have really well made good beer. That sets the bar for us to compete against. It is tough to say drink local just because it is local. The challenge is to have the beer quality and the brand. As a small company what do you do

to build a brand, and what is affecting the market most?

ale and a Cream ale and a Brown ale and an Oktoberfest and Pumpkin beer.

Overshores is the name of some rocks off the beach I grew up going to in Madison, off of Neck road.

Every brewery makes the same five or six beers, that has to run its course. People have to get bored. We also have “extreme” beer countering where people aren’t necessarily coming out with better beers, they are coming out with weirder beers, beers with bacon or jalapeños, or flowers, all this goofy stuff and not necessarily establishing brands. There will always be weird beers out there, but that doesn’t create a craft beer scene; “ginger wasabi,” no one is going to be drinking that for years.

When we do a festival or beer fest, a lot of times we’re preaching to the choir. We see the same faces , which is great that they’re dedicated and it is nice to feel there is a community. At the end of the day, we need average people who aren’t necessarily styling them-

We get asked can I buy some, we have to say no. I can sell them a poster, I can sell them a tee-shirt or a glass, but I can’t sell them our core product. selves as craft beer fanatics, we need average people drinking Connecticut beer. That is what is going to grow our market, people giving up their import brands and their cheap beer and drinking something better and it is a huge opportunity. Imports can be pricey, but craft beer has really put the heat on. Once a upon a time, something like Heineken was viewed as a really top shelf premium beer. People have realized the emperor is not wearing any clothes and those are light lagers. Stylistically, they are no different than what Budweiser is making, they’re light lagers. One of the big marketing messages that the big American brewer used to put pressure on the imports is that they’re not fresh. If you’re concerned with freshness, there is no way you’re going to buy a Beck, or Saint Pauli Girl, or Heineken for that matter. If you want an authentic import, it is not going to be fresh. Pricing of imports has been really wonky in the past few years. From a quality standpoint, if you’re looking for better beer with more flavor you’re going to drink craft beer, not imports. We’re going after younger people, consumers in their twenty and thirties that are starting to do well and have some disposable income and see beer like Heineken as their dad’s beer, passé. How long will it take the Connecticut market to get there? It is tough to say. We have cookie cutter styles that everyone is doing, that at the end of the day will work itself out of the system. Everyone does a Porter, Pale

Connecticut now has a Craft Beer Guild operating, what does that do? It’s been three or four years, we coordinate some of the beer fest, engage in lobbying. We need a central voice for lobbying, we have different interests from the other tiers of the distribution chain. We hear a lot of interest from government officials about wanting to help develop the craft beer industry. What would you like to see them do? A lot of it is creating an environment where we can sell our product. We have come a long way in that regard, but it is always with strings attached. As an example, our annual permit with the state is $1600—that’s no small chunk of change and every year we need to pay that. I received an email this morning that a Senate Bill has passed including a provision that will allow us to sell at farmer’s markets, and that permit will be another $250. There is a provision in there that you can only sell five liters per person (couple of six packs) and you can only sell at three farmer’s markets per year. You can show up as often as you like, but only three places and hope it works out – if you pick one, you’ve burned one of your picks. It is frustrating for us because every time we’re afforded a liberty it comes with all these restrictions and you have to pay for the right to do it. I sent an email to our representative and said, what would be really great is the ability to sell our product at charity tastings. We show up at charity tasting and give away our product for free. We get asked can I buy some, we have to say no. I can sell them a poster, I can sell them a tee-shirt or a glass, but I can’t sell them our core product. Are you confident in the ability to build your business? We’re a little different because we’re not as focused on our immediate local area. We’re taking on territory [in and out of Connecticut] to find the key retailers that understand our type of product. BNH WWW.CONNTACT.COM

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} ENERGY & THE ENVIRONMENT

Vol XX,I No.9 MAY 2015

MAY 2015

Achillion Hook-Up Brings Billion Dollar Plus Deal

Success of Hepatitis C Treatment Drives Big Pharma Collaboration

Power Station Pollution Hazard Stays Status Quo

$1.50

www.ConnTact.com

A New Ride MAy Be CoMiNg SooN...

By Mitchell Young NEW HAVEN: Achillion Pharmaceuticals, a deal worth Inc. (Nasdaq:ACHN) has signed with Janssen well more than one billion dollars Johnson & Pharmaceuticals, Inc. a unit of and commercialJohnson, [NYSE:JNJ] to develop Hepatitis C virus ize one or more of Achillion’s lead drug candidates.

See A New Connecticut Motorists May Soon On the Road. Generation Of Three Wheeled Cycles Page 18

Power On!

To Build Connecticut Companies Partner In the World Largest Fuel Cell Generation Facility

about to becounty town of 6,000 residents is eacon Falls: The tiny New Haven faciliand most advanced energy generating come the home of one of the largest ties in the world. Megawatt FCEL] will build and manage a 63.3 Danbury’s Fuel Cell Energy [NASDAQ: fuel cell installation in the world. Fuel Cell facility, it will be the largest Continued on page 22

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Editor & Publisher Mitchell Young

Editorial Assistant Rachel Bergman

Design Consultant Terry Wells

Graphics Manager Matt Ford

Publisher’s Assistant Amy Kulikowski

Publisher’s Representative Robin Kroopnick Robin Ungaro

Contributors Rachel Bergman Laura Fantarella Jessica Giannone Ken Liebeskind Derek Torrellas

Priscilla Searles Photography Steve Blazo Priscilla Searles Derek Torrellas

Business New Haven is a publication of Second Wind Media, Ltd., with offices at 458 Grand Avenue, New Haven, CT 06513. Telephone (203) 781-3480. Fax (203) 781-3482. Subscriptions: $32 annually. Send name, address and ZIP code with payment. Second Wind Media, Ltd., d/b/a Business New Haven, shall not be liable for failure to publish an ad or for typographical errors or errors in publication.

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COMING BUSINESS & CIVIC AWARDS HEALTHCARE HEROES BOOKF OF LISTS CT GREEN BUSINESS AWARDS

Group Challenges “No Interest” Advertising

Madison: Bob’s Discount Furniture may sell some nice lounge chairs, but they‘ve found themselves placed on the hot seat by TruthinAdvertising.org [TINA. org], based in Madison.

English Station Sale Sparks Fresh Debate

stock purchase Johnson & Johns’s $225 million $1 billion plus deal. srings immediate cash to the

on the $434 Only a few weeks ago, we reported Pharmaceuticals million dollar deal between Merck That deal and New Haven biotech startup Arvinas. a New Haven biowas the largest collaboration for Curagen inked a tech since 2001 when Bayer and 2001. That effort potential $1.5 billion dollar pact in wasn’t able to was apparently premature; Curagen sold its make the science happen and eventually assets. bio-techs and This new generation of New Haven to be on a much pharma giant partnerships appear Jansen match up different track. The Achillion and a proven technolis for what presumably is close to clinical trials and ogy, with solid results in Phase 2 within a strong expectation for commercialization two years. Continued on page 11

Bob’s Finds Some Unwanted Interest

By Rachel Bergman

nglish Station, a defunct power staThe station has been tied up under pending tion situated on an island in the midlitigation ever since, the plant remains closed dle of the Quinnipiac River, is a point and is deemed a continual pollution hazard, parof contention between the City of New ticularly after an incident last year in which the Haven and Coast Guard almost every was called in entity into clean up oil volved in the leaking from sale of United the station Illuminating into the river. to Iberdrola Access to the SA, a Spanish property has utility compreviously pany. As the been limited hearings on pending subthe sale conmission of a tinue through remediation the Public plan to clean Utilities up extensive Regulatory contamination Authority by polychlori(PURA), the nated bipheThe Polluted English Station Power Plant Looms Over The governing nyls (PCBs), Fairhaven Neighborhood of New Haven, Seeking Renewal. body that heavy metals, must sign off on the transaction, the City has and other contaminants. been excluded from the conversation. Mayor Jeffrey Gaudiosi, PURA’s executive secretary, Toni Harp is asking PURA to enforce UI’s reprovided a written response to the City explainsponsibility to the English Station clean-up as ing that the agency “finds that it does not have a caveat to approving the sale, but the City has the subject matter jurisdiction or the expertise not been allowed to participate in the hearings to review and determine or enforce the City’s regarding the deal. environmental claims that UIL or its affiliates A 2013 joint order from Attorney General George are liable for environmental contamination and Jepsen and former Department of Environmental remediation.” and Energy Protection head Daniel Esty had “Moreover, the Authority does not have staff United Illuminating partially on the hook for the with environmental contamination issues experclean-up and remediation at the station. The tise to review such issues, The Authority finds property, located at 510 Grand Avenue, New that certain bureaus within the Department Haven, contains the former electric generatof Energy and the federal Environmental ing plant and a warehouse. The parties named Protection Agency or the state or federal courts in the order include Asnat Realty, LLC of are more appropriate venues for resolution of the Bayside, N.Y. and Evergreen Power, LLC, City’s environmental claims.”, Gaudiosi said in of Wilmington, Md., as well as Quinnipiac his written response. “ Energy, LLC; Grant Mackay Demolition; and The City of New Haven is not sure it will be able the United Illuminating Company, all of whom to appeal this decision and will rely on State and are previous or current owners of the station. All Federal agencies to enforce a clean-up. parties sued in Federal Court, putting the cleanup on hold.

Connecticut: ‘Help Wanted’ Wanted Connecticut Recovery Slower Than National Average Connecticut added 4,000 jobs in March – good news after February’s loss of 2,900 jobs. Unemployment remains fairly steady at 6.4%, higher than the national average of 5.5%. That represents approximately 121,900 unemployed Connecticut residents according to the U.S. Congress

Joint Economic Committee’s state-by-state economic snapshots. The Committee’s snapshots look at key data like privatesector job growth, unemployment, State gross domestic product, home prices, and other factors. In Connecticut, the sectors with the greatest job growth since the 2010 end of the recession are: leisure and hospitality at 19.7 percent (25,700 jobs), pro-

The “consumer watchdog group” run by former Wiggin and Dana attorney Bonnie Patten, challenged the company’s advertising for “interest free” financing. Bob’s, with 58 locations reaching from Virginia to Maine, found itself in discussion with Connecticut’s Department of Consumer Protection, and state Attorney General George Jepsen, after complaints from TruthinAdvertising.org that customers of Bob’s Discount Furniture weren’t properly informed of the company’s interest rate sales policy. Bob’s, based in Manchester, has agreed to better explain that failing to pay off the balance within the required time period will trigger a 28 percent interest charge on the entire purchase price, and to make it clear to buyers what payments are required to avoid the interest rate charges. Bob’s voluntarily agreed to the changes to its marketing practices. TruthinAdvertising.org was initially funded by The Seedlings Foundation. On its website, TINA says of its mission, “TINA. org is neither anti-marketing nor anti-business! We enjoy and are entertained by great ads as much as anyone. We recognize and appreciate that advertising serves an important role in our society – to introduce new products and services, to highlight competitive advantages, and to enhance brand engagement. TINA.org celebrates the best of advertising past and present.” – Mitchell Young

fessional and business services at 15.8 percent (29,600 jobs) and construction at 11.9 percent (5,800 jobs). March’s increased job numbers were led by trade, transportation & utilities (1,500, 0.5%) and retail trade (1,300, 0.7%). Manufacturing and Information, two of Connecticut’s 10 job “super-sectors,” have been in continual decline over the year. Manufacturing is down .4% and Information is down .3%. Over the last 12 months, Connecticut has added more than 27,000 jobs, but has only recovered 77.9% of jobs lost during the recession. WWW.CONNTACT.COM

EATING HEALTHY EATING HEALTHY IS REWARDING. IS REWARDING. SO IS BEING SO IS BEING REWARDED FOR IT. REWARDED FOR IT.

Harvard Pilgrim’s EatRight RewardsSM is a brand new kind of nutrition program that rewards your employees for making healthy choices at the grocery store. Employees simply register their loyalty Rewards cards on SM theis EatRight and program automatically Harvard Pilgrim’s EatRight a brand Rewards new kindwebsite of nutrition that receive eCoupons at stores such as Stop & Shop, Shaw’s, Star Market, Roche Bros., rewards your employees for making healthy choices at the grocery store. Employees Hannaford, Wegmans and more. earn points for healthy purchases, you can simply register their loyalty cardsAsonthey the EatRight Rewards website and automatically also showeCoupons your support with such monthly rewards. It’s an easy Star way Market, to encourage receive at stores as Stop & Shop, Shaw’s, Rochesmarter Bros., shopping, because when it comes to keeping your employees healthy, we’re with you. Hannaford, Wegmans and more. As they earn points for healthy purchases, you can also show your support with monthly rewards. It’s an easy way to encourage smarter To learn more, callwhen your itBroker harvardpilgrim.org/EatRightRewards shopping, because comesortovisit keeping your employees healthy, we’re with you. To learn more, call your Broker or visit harvardpilgrim.org/EatRightRewards

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Harvard Pilgrim Health Care includes Harvard Pilgrim Health Care of Connecticut, Harvard Pilgrim Health Care of New England and HPHC Insurance Company.

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} ACHILLION

Continued from page 1

CEO Deshpande: Targeting a $20 Billion Hepatitis C market.

In addition to potential payments of nearly a billion dollars as regulatory and sales milestones are reached, Janssen [J&J] is investing $225 million dollars in an upfront payment for the purchase of Achillion stock, paying $12.25 per share, while the stock currently sells at around $9. Worldwide, an estimated 150 million people have Hepatitis C, and as many as 5 million in the US. Untreated, in many cases “Hep C” will eventually destroy the person’s liver. Under the terms of the deal, Janssen will be responsible for all the development costs, production, marketing and sales of the drug. Achillion will receive its additional payments based upon “achievement of specified development, regulatory and sales milestones.” Tiered royalty payments from between mid-teens and low-twenties will bring additional revenue based on future worldwide sales. In spite of the investment and development agreement, Achillion’s stock was depressed as the deal was announced, as many investors were hoping for a sale of the entire company. Achillion CEO Milind Deshpande, Ph.D., said “their [Janssen’s] investment allows us to maximize the value from our HCV portfolio and also positions us to become a leader in complement factor D inhibition [Hepatitis D is a disease variant], applying our broad platform to a wide number of complement-related diseases. We believe this strategy provides an ideal scenario to create further value for our shareholders.” Deshpande was recognized by Business New Haven in the 2010 Healthcare Heroes as the Researcher of the Year, he was appointed CEO of Achillion in 2013. Achillion Board Chairman David Scheer was part of the founding team of Achillion, which began operations in New Haven in 2000 at 300 George Street. Scheer was likewise recognized as a Business New Haven Healthcare Hero in 2013 as Person of Merit in the region’s healthcare industry. Achillion founders were early advocates for the development of treatments for viral based disease, such as HIV and Hepatitis.

MAY 2015

A now seemingly proven development platform and significant financial resources may provide the opportunity to develop other disease treatments.

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Achillion’s Hepatitis C drug regimen involves several related drugs working together. Success on treatment has been reported as 100% in Phase 2 clinical studies and Achillion has received Fast Track designation from the FDA for the treatment. A high success rate in curing the disease quickly when used in combination with Gilead Pharmaceuticals’ Sovaldi [Nasdaq: GILD] was achieved. The Achilion regimen is taking as few as four to six weeks as compared to a regimen from Gilead which can take between 12 and 24 weeks at a very steep cost. These factors helped drive the Fast Track designation and the deal with Janssen. The FDA says “Fast Track designation is designed to expedite the review of drugs which show promise in treating a serious or life-threatening disease and address an unmet medical need.” The FDA and a legion of pharmaceutical critics see among the most important unmet needs to be the creation of more competition in developing treatments for “Hep C”, with the hopes of driving down treatment costs. Achillion Chairman Scheer: Early to the anti-viral party.

The market for Hep C treatments is expected at $20 billion annually by 2020. Gilead’s Sovaldi + ribavirin drug combination cures hepatitis C with a regimen that can take 12 to 24 weeks, but the cost of $84,000 per patient in the U.S. has created a huge controversy about access and is having a significant impact on many state’s Medicaid budgets. Texas did not approve any Medicaid paid Hep C treatments in 2014. Some new Hep C treatments from rival drug makers have started driving down the costs, but the pushback on price has gone worldwide. The huge number of potential patients and the high costs has created a call for voiding Gilead’s patents. Several countries, including India, have given mixed messages on protecting the drugs’ intellectual property rights.

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Gilead has reacted to the pushback and agreed to charge only $7,400 for a treatment in Brazil. That reduced cost has not satisfied global critics that are still calling for the voiding of Gilead’s patents, claiming that at the reduced rate, the worldwide cost would still be in excess of $150 billion, resulting in large numbers of patients not being treated. 11

} RETAIL

The Flag Man of Long Wharf Long Wharf Truck Business Adjusts To Changing Traffic Pattern By DerekTorellas

The Flag Man’s workday starts with the same routine Tuesday through Sunday. He parks the aging former U-Haul truck on one end of the Long Wharf lot, forming an end to the long chain of Mexican food trucks. The northbound side of I-95 is only 25 feet away, the sounds of diesel trucks and motorcycles sporadically drowning out conversation. Shields unpacked four flag poles, and put one at each corner of his truck on customized brackets. At one point, while standing up the pole with an American and skull & crossbones flag, he imitated the well-known Marine flag raising on Iwo Jima. Though instead of Mount Suribachi, his backdrop is New Haven Harbor and the distant oil storage tanks. Two more flagpoles representing countries from Europe, South America, and Africa were attached to the chain-link fence near the highway, and Shields took a seat on the open box end of the truck. “I wait for the customers to come to me,” he said. “That’s just the way I am.”

Long Wharf’s Flagman Bill Shields: Sales come along in waves. Sometimes there are no customers for an hour or more. Steve Blazo, photo

ill Shields didn’t name himself the “Flag Man,” or more specifically, “The Flag Man of Long Wharf.” It was customers, Shields said, who coined the term.

“The name of my business is Allegiance Flags,” he said. “But the whole Flag Man thing, it’s not me that really named it; it’s you guys that named it. You know, ‘look at the crazy flag man down there.’ I just said, ‘Hey, if the shoe fits, wear it,’ and I’ve been wearing it since 1995.” Like the flag that survived a bombardment in the national anthem, the Flag Man weathers economic recessions and shifting traffic to stay in business. Before Shields sold flags, he was a professional printer, printing everything from newspapers to junk mail to coupons. Choosing to sell flags was no arbitrary choice. “I’ve always had a geographical part of me,” Shields said. “I understood that a flag was more than just a piece of cloth, that it had a story to it.”

The Expanding Craft Beer Market Is GPS-Trackable Beer App Increases Access to Craft Brew Scene

he Connecticut Brewers Guild has made it easier to track down your favorite local brew—with a GPS mapping APP available on Google Play and iTunes called The Beer Guide. The app, created by The Connecticut Brewers Guild last year, helps users keep up to date on the latest news from the Connecticut Beer Trail. Not only can users find their favorite beer, but they will know when special events are taking place, when 12

A man in his mid-20s with a thick beard approached later in the day. Ryan Michael, a child care worker for the state, asked Shields if he was selling flags for the May 2 MayweatherPacquiao boxing match. Shields told him no. The match was such a specific event that he didn’t carry a flag for it. As Michael was leaving, he stared up at the flags on top of the truck flapping in the breeze from the harbor. “With the ‘Don’t Tread on Me,’ that’s a military thing?” Michael asked. That was the original Marine Corps flag during the American Revolution, Shields said, pointing to the yellow flag in question. Shields answered more of Michael’s questions, including how the pro-Second Amendment “Come and Take it” emblem with an AR-15 rifle in

the center is based on the original flag of Texas, though a cannon preceded the modern rifle. Michael eventually bought the national flag of the Philippines — boxer Manny Pacquiao’s home country. Sales come along in waves. Sometimes there are no customers for an hour or more. Then several people in quick succession will approach Shields looking for flags or roses, which he also sells. Shields admitted that he has to change for the future. He mentioned several possibilities: “Maybe I might go for the weekends,” and “I’m thinking about getting a spot on the Internet.” His business was affected by the change in exits on Long Wharf’s stretch of I-95. Several years ago the exit was further northbound, and customers could see the vendors and then get off the exit. Now Exit 46 splits off from the highway before the colorful trucks are even visible. Though the Flag Man truck is a “brick and mortar on wheels,” it isn’t as easy as parking and selling at a different spot. “‘Itinerant vendor,’ they call us, although I call myself ‘a pillar of the community,’” Shields said. It’s difficult to get established in a new community if there is a phobia of businesses on wheels. According to Shields, many other mobile vendors — particularly food trucks — are opportunists. “A good food truck can destroy a good restaurant overnight,” he said. “A restaurant can’t compete with these guys.” After 22 years, his “foot is in the door,” at the Long Wharf location. Shields said he has built up enough of a presence that people will remember that he’s there, despite the unfavorable traffic pattern.

new breweries and brewpubs are opening, and will be rewarded with perks.

food, but welcomes you to bring your own or order take-out.

The CT Brewers Guild is a non-profit organization focused on educating consumers, cross marketing the state’s growing community of craft beer producers, and highlighting their locations as tourist destinations.

The app might also notify you soon that Thimble Island Beer is moving to an expanded location to accommodate a tasting room, a barrel room, increased production, and lots more visitors

You can use the app to find the recently opened Stony Creek Brewery in Branford, a waterfront location that doesn’t serve

WWW.CONNTACT.COM

“We need to stay competitive in the food services business, and Energize CT allows us to do that with ease.” Dave Petrone, Owner/Manager, Riverview Bistro

On the banks of the picturesque Housatonic, Riverview Bistro offers a unique dining experience in a charming New England setting. Skillfully prepared contemporary American cuisine and an inviting atmosphere, however, is only part of their recipe for success. Equally significant? The smart business decision to embrace energy efficiency. With support from Energize Connecticut’s Small Business Energy Advantage Program, Riverview Bistro greatly reduced its operating costs while enhancing the dining experience for its customers. Program engineers helped the restaurant identify several energy-saving measures, including refrigeration and motor control upgrades. Technical guidance on a complete lighting overhaul convinced Riverview to adopt energy-efficient LED lighting throughout the restaurant’s interior, convert exterior incandescent lamps to LEDs, and even use LEDs to enhance signage. The lighting upgrades alone translate to an estimated $13,749 annual savings. Riverview Bistro received a generous incentive from the Energy Efficiency Fund to make the upgrades

possible. The restaurant also received zero percent on-bill financing requiring no up-front costs, with monthly energy savings frequently offsetting the loan payments. In fact, the complete investment will be paid off in 48 months while providing Riverview with continual energy savings. Project:

Riverview Bistro

Measures:

Interior, exterior lighting & signage converted to LED; new HVAC programmable thermostats; new controls for refrigeration evaporator fans & new electronically commutative motors; new hot water spray valves & aerators in kitchen.

Fund Incentive:

$30,240

Energy Savings:

75,690 kWh electricity/year 125 ccf natural gas/year

Cost Savings:

$13,749 annually

Find energy solutions for your business.

Visit EnergizeCT.com Or Call 877-WISE-USE

Energize Connecticut helps you save money and use clean energy. It is an initiative of the Energy Efficiency Fund, the Clean Energy Finance and Investment Authority, the State, and your local electric and gas utilities with funding from a charge on customer energy bills.

MAY 2015

CAMP15BNH

} ENERGY & THE ENVIRONMENT

Connecticut to Give Electric Vehicles a Boost Cash Incentives for Consumers Announced By Jan Allen Spiegel

ov. Dannel P. Malloy unveiled an initial financial incentive program for electric vehicles (EVs) using money from outside the state budget. Malloy announced that $1 million from the Northeast Utilities/NSTAR merger settlement fund will be made available for rebates for EV purchases and leases up to $3,000.

Malloy also tapped the fund, more than $400 million when it was announced in 2012, for the EV charging station program. A total of $1 million has gone to that since July 2013, with about $200,000 remaining to be spent. The charging station program provides financing up to $10,000. Those stations must be available to the public 24 hours day, and free for the first three years. Charging stations and financial incentives for EVs have posed a chickenand-egg conundrum. Charging-station availability has long been considered a key to helping potential EV drivers get over what’s known as range anxiety – the fear that their car will run out of power. But without the car volume, many who would otherwise install the pricey chargers are reluctant to do so. EVs are expensive. Their prices start around $25,000 and top out in excess of $70,000 for high-end cars like Teslas. Experiences in the more than onedozen states with purchase/lease incentives indicate that an extra financial push beyond the existing $7,500 federal tax credit is needed. In Georgia, $5,000 rebates alone have propelled the state into one of the top EV registration states in the country, even without any of the other perks states are using to coax consumers into EVs. Access to HOV lanes is one popular tactic, as are special parking privileges. Several states are looking at ways to lower charging costs with cheaper

Fun Facts About the State Budget and Sales Tax By Keith M. Phaneuf 1) The sales tax is still one of the state’s chief sources of revenue. Though it hasn’t been the single-largest source of state revenue since the income tax was enacted in 1991, the sales tax remains very important. It now ranks second, the tax is expected to raise more than $4.2 billion this fiscal year.

2) The sales tax is stable… The budget deal that launched the income tax in 1991 also lowered the sales tax from 8 to 6 percent. The rate has changed only once, it was increased in 2011 to 6.35 percent. Sales tax receipts have grown 26 percent over the past decade.

Tesla’s $70,000 electric vehicle gets most of the buzz, Nissan’s Leaf starting at $21,500 is more affordable and may benefit from new state incentives.

electric rates during times of low electricity use, such as overnight.

state’s earnings through the Regional Greenhouse Gas Initiative.

Connecticut, on the other hand, had about 1,600 EVs registered as of early May. That’s 0.05 percent of the just over three million vehicles registered in the state. In 2014, EVs accounted for 0.5 percent of all new vehicle registrations in the state. The national average was 0.8 percent.

The Connecticut rebate program is not expected to derail the bill in the legislature to provide non-purchase incentives, and environmental groups continue to work with legislators to fine-tune its provisions.

That sluggish performance comes despite Connecticut’s participation in a multi-state zero emission vehicle action plan designed to get 3.3 million electricand fuel cell-powered cars on the road nationally by 2025. And it’s despite the state’s fairly robust charging station network. The Connecticut rebate program is based on the program in Massachusetts, which assigns rebates up to $2,500 based on a vehicle’s battery size. The Massachusetts program, called MOR-EV, is not even a year old, but just last month added a second round of $2 million in purchase incentives, which comes from the

Silent Partner Gets Shushed

Marketing Firm’s Medical Marijuana Videos Blocked

Silent Partner Marketing of Manchester got its ability to upload videos booted off of Facebook [NASDAQ: FB] when it uploaded some “educational” videos on Medical Marijuana for client Arrow Alternative Care, a Hartford-based “Alternative Medical Practitioner.” The ad firm was posting a series of videos explaining Medical marijuana, how to use it, cook with it, what ailments it may be helpful in alleviating. 14

5 Things To Know About CT Sales Taxes

Initial plans for HOV lane access are likely to be deleted from the bill after the Department of Transportation pointed out that the state only has 19 miles of HOV lane, split among three different unconnected highway areas, none of which are in the congested parts of southwestern Connecticut. Initial language to require various forms of preferential parking for EVs is also likely to be eliminated after organizations representing municipalities and businesses objected. The bill is still likely to begin the regulatory process for establishing timeof-day charging rates, and generally it attempts to eliminate barriers to electric vehicle ownership. Edited and reprinted with permission from ctmirror.org

Medical Marijuana is legal in Connecticut but both Facebook and Google have rules against marketing marijuana or medical marijuana, citing Federal law. Kyle Reyes CEO of Silent Partners said his Facebook account was blocked, preventing him from uploading videos for other clients as well. Reyes says the firm spends “tens of thousand of dollars monthly on Facebook” for accounts, but his Facebook account exec is still a week in getting back to him about the claim Silent Partner violated the terms of service. The firm has generated a work around with other accounts to continue posting videos, but Reyes said it is making things more difficult for them.

The income tax — has been increased three times since its enactment, and brings in 65 percent more this year than it did 10 years ago.

3) … not always a good thing. Sales tax growth also has been tempered by online commerce. Revenue officials did reach an agreement two years ago with Amazon.com to remit sales tax receipts, Connecticut — and most other states — still struggle to get other online retailers to do likewise. The U.S. Supreme Court ruled in 1992 that a state cannot force businesses to collect sales taxes unless they have a physical presence within that state.

4) A ‘swiss cheese’ sales tax? Economist Fred V. Carstensen, who heads UConn’s economic think-tank, criticizes the state’s “swiss cheese sales tax,” arguing it unfairly creates too many winners and losers. About 20 of those exemptions, worth $1.6 billion, assist consumers, sparing them from sales taxes on groceries, medications and medical equipment, textbooks, newspapers, child car seats and other goods. Other sales tax exemption categories, and their annual cost to the state, include: Equipment and fuel for businesses and farms, $220 million.Various services for businesses and households, $720 million. Nonprofit organizations, $1.05 billion.

5) Can the state lower property taxes by broadening the sales tax? The legislature’s Finance, Revenue and Bonding Committee thinks so. The panel has a plan to lower the sales tax rate while raising more revenue overall — more than $1 billion — by ending about two dozen service exemptions. Roughly $700 million would be sent to cities and towns. About $80 million of that would be used help more than 50 communities with the highest property tax rates cap or lower local taxes on motor vehicles. Municipalities would have more flexibility to use the rest of those funds. Edited and reprinted with permission from ctmirror.org

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MAY 2015

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“Analysis that would otherwise take experts weeks of work, will now be available in minutes.”

Three More Reasons To Get High

Does This Job Make Me Look Fat?

The State’s Office of Consumer Protection, with recommendations from the Medical Marijuana Board of Physicians, is drafting legislation to add three conditions to the list of 11 ailments and disorders for which medical marijuana can be prescribed in Connecticut.

According to a recent survey by CareerBuilder, an online hub for job hunting, employment and HR news, fifty-seven percent of U.S. workers feel they are overweight. The survey, which included a representative sample of more than 3,000 full-time workers across industries and company sizes, revealed a strong correlation between job stress and overweight workers.

The Board recommended adding sickle cell disease, severe psoriasis and psoriatic arthritis, and post-laminectomy syndrome with chronic radiculopathy, which is recurring back pain after surgery. Under Connecticut’s medical marijuana laws, employers may not deny employment based on the use of medical marijuana, but employers may prohibit the use at the workplace, restrict job duties, or prohibit employees from being intoxicated while at work.

Website Says CT Ranks High In Eco-Friendly Stats According to finance website WalletHub, Connecticut is the 9 th most ecofriendly state, ranking 6th in environmental quality and 15th in eco-friendly behaviors. To measure a state’s environmental quality, WalletHub looked at carbon dioxide emissions, per capita solid waste production, and air, soil and water quality. To measure a state’s eco-friendly behaviors, WalletHub measured things like the number of green buildings (LEED), water consumption, alternative fueled 16

When asked what they felt contributed to their weight gain at their current job, 37% of workers said “eating because of stress,” and 43% said they are “too tired from work to exercise.” Sedentary behavior, however, is seen as the leading culprit, in workers’ minds. Fifty-six percent said “sitting at the desk most of the day” contributed to the weight gain at their present job.

Building A Better GAAP The Financial Accounting Foundation, based in Norwalk, is responsible for helping to determine the generally accepted accounting principles

cars, energy consumption, recycling and other factors to determine whether a state prioritized green living. Data sources included U.S. Census numbers, EPA data, information from the Green Building Council, and others. The rankings matter because WalletHub portends that environmentally friendly behavior is inevitably linked to financial necessities: clean drinking water, nutrition, transportation costs and household energy costs to name a few.

used by most financial professionals. The FAF recently issued their 2014 Annual Report, detailing plans to work with other institutions over the next few years to improve and enhance GA AP financial accounting standards. The FAF is the independent, privatesector, not-for-profit organization responsible for establishing and improving financial accounting and reporting standards for companies— both public and private, not-for-profit organizations, and state and local governments.

Dr. Watson To The Cancer Ward Please

Connecticut has an estimated 102,900 women-owned firms, employing 95,000 and achieving roughly $16,712,600,000 in sales, according to the fifth annual State of WomenOwned Businesses Report, commissioned by American Express OPEN, a report released analyzing the 1997, 2002, and 2007 data from the U.S. Census Bureau’s quinquennial business census, the Survey of Business Owners.

Yale will be one of fourteen cancer centers around the country that will have access to the artificial intelligence system. Watson will process patient’s and the cancer’s unique DNA and compare it against a database of cancer genes and what the company claims is “every scientific paper published about cancer genetics.” While skeptics likely abound, IBM claims the analysis that would otherwise take experts weeks of work, will now be available in minutes.

Zero Gravity Moves Up In Branford Car wrap for Zanes

New Haven: The Yale Cancer Center will be part of a new partnership with IBM utilizing the company’s powerful computer software program, named Watson, to help identify the best way to treat a patient’s cancer. Watson first made headlines around the world when it was used to compete on the

Growth Trends In Women-Owned Businesses

quiz show Jeopardy in 2011, beating its human competitors.

Cycles Zero Gravity Marketing, founded in 2012, has recently moved into a larger office space at 36 East Industrial Drive in Branford to accommodate their growth. They now employ 14 full-time employees, triple the number of employees since opening.

Zero Gravity Marketing specializes in search engine optimization (SEO) and offers digital marketing services from content creation to PPC (pay per click) campaigns and responsive website design. They also develop print campaigns, design logos, and produce large-scale graphics and car wraps.

Similar to previous annual reports released this time last year, the unique analysis, reported by industry, revenue, and employment size at the national and state levels, shares a new and nuanced investigation into the growth trends among the 9.4 million women-owned enterprises over the past 18 years. Nationally, the number of women-owned businesses has increased 74% since 1997. Connecticut is ranked 43rd (42.1%) in growth of number of firms over the past 18 years and 28th (80.2%) in growth of firm revenue between 1997 and 2015.

Trend in Growth of Women-Owned Firms In CT, 1997-2015 Women-Owned Firms

Connecticut may find itself moving up the list with new transportation reforms in the State and a financial incentive program for nutmeggers wishing to buy or lease an electric vehicle ( see page 14). WWW.CONNTACT.COM

If You Got’em, Don’t Light’em Smoking Bans on the Rise in New Haven and Statewide Not only did the New Haven Board of Alders enact a new smoking ban on public places, but the House of Representatives has decided that state smoking bans will now include the use of e-cigarettes.

e r e h w y n A The Board of Alders voted in a tobacco ban ordinance to outlaw smoking — as well as the use of electronic cigarettes —inside all government buildings and at city ballfields, playgrounds, school grounds and parks, including the beach at Lighthouse Point Park. The ban was amended to state that designated smoking areas may be added to these public spaces and smokers of tobacco and e-cigarettes would be able to light up within those designated places. The State House of Representatives has passed a measure, now in front of the Senate, to include electronic nicotine delivery systems and vapor products to all smoking bans. Although widely considered less harmful than tobacco cigarettes, e-cigarettes are still considered harmful. Evidence was presented at a public hearing that there is such as thing as second-hand vaping mist. Rep. James Albis, D-East Haven, voted against the bill, saying it was not sufficiently stringent. Albis complained that it did not ban fruit-flavored e-cigarettes, which he says are marketed to children.

MAY 2015

Thank You Nurse Laydon Masonicare Nurse Receives Nightingale Award

Elaine Laydon, RN, a Nursing Education Supervisor at Masonicare Health Center, was recently awarded the Nightingale Award for Excellence in Nursing at a statewide awards program held annually.

The Nightingale Awards program recognizes nurses throughout Connecticut for what it says is “their dedication, commitment and generous contributions to the field of nursing.” The program is open and inclusive of all healthcare settings -- hospitals, home health care, health centers, schools, health departments, long-term care, nursing schools, agencies and medical practices. This year, at the 15th annual Nightingale Awards presentations, nurses from throughout the state were honored at concurrent award dinners held in Hartford, New London, and New Haven. Laydon, a resident of Wallingford, attended Gateway Community College.

Bristol Hospital Not For Sale BRISTOL — Kurt Barwis, Bristol Hospital’s president and CEO, has told the Bristol Press newspaper he has taken the For Sale sign off the Hospital. Prospect Medical Holding, which has made an offer for Waterbury Hospital is seeking other hospital acquisitions in Connecticut, but that is not apparently tempting Barwis. Bristol was to be acquired in a multi-hospital purchase by Tenet Healthcare Corp., which eventually pulled out, citing excessive Connecticut regulation of the deal. Barwis told the Bristol paper “we’re in no position to start that process again.”

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Bristol Hospital’s Barwis: YNHH has first dibs on a sale.

Bristol Hospital is under some additional financial pressure however, as a potential $5 million cut in reimbursements is looming under Connecticut’s proposed budget. Bristol formed a partnership with Yale-New Haven Hospital in 2014, which the hospital is hoping will help reduce costs while improving healthcare options. Barwis added that under the agreement with YNHH, Yale would have an option to meet any deal that another acquirer offered.

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Motorcycle Sellers Talk Price, Inventory and Style A Long Winter Delayed Seasonal Business, But Sales Get Roaring Again. By Derek Torellas

Photo: Derek Torellas

otorcycle sales are seasonal in places like Connecticut, with warm summers and snowy winters. This past winter in particular, sales were driven by the weather according to Robert Paolella Sr., president of Brothers’ Harley-

Davidson in Branford. “We did pretty good in January,” Paolella said. “February was really, really slow because of the extreme cold weather and snow, and into March. A late start.” What hurt the motorcycle industry more than a harsh winter was the economic recession that began in 2007-2008. Like most markets, sales dropped off sharply at the onset of the recession. Harley’s revenue from motorcycles and related products was more than $5.73 billion in 2007, but declined over the next few years to a low of $4.18 billion in 2010. From 2011 onward, Harley-Davidson’s revenue steadily increased, and in 2014 stood at $5.57 billion. Total revenue, including income from their financial services, was $6.22 billion in 2014 – a number surpassing the 2007 total revenue of $6.14 billion. Overall, motorcycle sales in the U.S. are up 8.2% in the first quarter of 2015 compared to the same time last year. From January through March, 102,300 new motorcycles were sold. Bikes of U.S. and European manufacture drive this year’s growth, while sales of their Japanese counterparts are down. The “Big Four” – Honda, Kawasaki, Suzuki, Yamaha – imported 27,754 motorcycles (engine size 250cc and up) during the first quarter. This compares to a figure of 38,204 imported at the same time last year in 2014, a reduction of almost 25%. Damon Libby of Libby’s Motoworld in New Haven says Japanese motorcycle sales have been steadily declining over the past few years. One factor is the prices, which in some cases doubled since 2001. Young men are the core market for the Japanese bikes, and they can’t afford them anymore, he says. This problem is only compounded when college-aged males have a harder time finding jobs as well. Libby uses one motorcycle as a clear example. The sporty Yamaha R6 costs around $12,000 “out the door,” but in the model’s sales heyday, over a decade ago, they sold for under $7,000.

Brandon Cooper of Meriden tests out the fit and feel of a new bike parked on the showroom floor at Brothers’ Harley-Davidson in Branford, May 17. As one of six Harley dealers in the state, founder Robert Paolella Sr. says his dealership’s coverage lies in the large gap between New London and New Rochelle, NY, and extends northward as well.

“Years back, we’d sell 30 to 40 R6s,” Libby says regarding a year’s worth of sales. “Now we’d be lucky to sell two.”

registered in the first quarter of this year, 35,488 are estimated to be Harleys, accounting for their sales over the same time period.

First quarter 2015 hasn’t been entirely smooth sailing for domestic powerhouse Harley-Davidson, either.

Of course, the number of 601cc bikes omits motorcycles with smaller engines and scooters, of which the Japanese manufacturers make up a large part of the market.

According to data provided on the Harley-Davidson website, sales are down from the first quarter of 2014, though only by -.7%, slightly behind the aforementioned 8.2% increase in total U.S. sales. Paolella attributes Harley-Davidson’s slower first quarter to an unfavorable winter, while investor data on the Harley-Davidson website also points to “aggressive price discounting” by competitors. The competing brands are not named in the slide, but visible model names identify the price discounts as coming from Suzuki, Yamaha, and Star Motorcycles (a division of Yamaha).

Polaris Industries Inc., which owns the Victory and Indian motorcycle brands, made a large gain in the first quarter, up some 74% from first quarter 2014. The gain stems from the fact that the brands are relatively new, Libby says. Indian was once the largest motorcycle manufacturer in the world during the early part of the 20th century. Its fortunes fell and it changed ownership several times, and was eventually acquired by Polaris in 2011. Indian only began selling new models last year.

Harley-Davidson still owns a commanding position in the motorcycle industry in the American market, though. Of the 67,791 motorcycles (601cc and up) WWW.CONNTACT.COM

He can imagine a future with electric Harleys, but they won’t force the gasoline-powered bikes from his showroom. Because people’s fathers and grandfathers remember the history and legacy of the name, Libby calls Indian a “nostalgic brand.” Polaris’s other brand, Victory Motorcycles, was launched as a direct challenger to Harley-Davidson in 1997. Libby says they’ve cut into some of Harley’s market, but lack the history of sister company Indian. He also says the quality of both Indian and Victory is better than HarleyDavidson, and people are buying them who ride with value in mind. Sales of Triumph motorcycles, built across the pond in Britain, are steady, according to Libby. It’s another brand that provides value for the dollar, he says, but Triumph lacks name recognition. Brand recognition is something that Harley-Davidson doesn’t have a shortage of, and Libby credits their corporate marketing. Harley is known for its dedicated customers. “Think about this,” Paolella says, “how

T-shirts are always good sellers, especially with travelers who are Harley riders or fans. Trikes occupy a unique segment of the motorcycle market apart from their two-wheeled brethren. Normally thought of as a ride for older men who now need the stability of three wheels, Paolella says that isn’t necessarily the case. “We have men and women as young as mid-30s buying them,” he says. This is in addition to the baby boomers that may have hip or knee replacements and still want to feel the wind in their faces. Paolella himself hopped on a trike last year after shoulder surgeries. Fully electric cars have gained a modest presence in dealer showrooms and on American roads in the last few years. Electric motorcycles, however, are further behind. Most big automobile manufacturers produce some model of electric car, compared to electric bikes that are still something of a niche market. Smaller American companies Zero Motorcycles and Brammo offer bikes that range from commuter use to sport bikes, and have taken the lead over Harley in bringing the bikes to market. Perhaps seizing the advantage, Polaris purchased Brammo in March of 2015. Harley-Davidson is doing a touring demonstration of its Project Livewire electric motorcycle. There are no promises that the bike will be produced and sold, though. The company states that the project is an evaluation, and with all the feedback will then decide whether an electric bike will come to fruition. Paolella says that he can imagine a future with electric Harleys, but they won’t force the gasoline-powered bikes from his showroom.

Indian Motorcycles, a popular brand once built in Springfield, Mass., has been brought back to full life by Polaris.

many people will actually tattoo a different brand of motorcycle other than Harley-Davidson on their body? You see Harley-Davidson on men, women, children – every walk of life.” Motorcycle apparel sales are strong, and at its highest in the fourth quarter, Paolella said, with Christmas as the peak. General merchandise buyers this time of year are typically friends and family of riders looking for a gift. MAY 2015

“I think Harley’s future is still based on our V-twin engine,” he says. Libby isn’t too familiar with the electric bikes. Instead, he says the future lies in an unconventional three-wheeler categorized as an autocycle. He emerged from his office holding a spec sheet and pointed at the Polaris Slingshot. It’s not quite a car, but not much like a motorcycle, either. Connecticut is one of four states where the Slingshot can’t be legally sold because it doesn’t fit the definition of a motorcycle. Libby says he expects that to change with legislation that is cur-

The Polaris Slingshot is a new approach to three wheel cycles,and is picking up traction. Damon Libby of Libby’s Motoworld in New Haven, says, “if he can get some in the showroom, the Slingshots will sell out faster than he can get them in.”

rently waiting on the State Congress. If all goes well, he’ll know if he can sell the autocycles by June. Libby says of the new three wheelers, “just one dealer alone in Massachusetts sold 150. Do you know how much that is in sales tax? Over a million dollars. It’s good for the state.” Libby says if he can get some in his showroom, the Slingshots will sell out faster than he can get them in. Three-wheeled autocycles and electric motorcycles aside, the two dealers see some developing trends. Through the recession’s economic adversity, some manufacturers like Harley-Davidson emerged fitter and stronger, Paolella says. Harley-Davidson has put a greater focus on meeting customer needs and reaching out to demographics outside their core buyers, he says. The company’s outreach includes two new motorcycles that are unlike the usual lineup they’ve offered in the last few decades. The Street 500 and 750 bikes have an appearance and riding style that is more reminiscent of those from Europe or Japan, while still maintaining a bit of the Harley look. Both are supposed to appeal to newer riders and customers of other brands. Another change is the adjustability of features on new bikes, features that previously needed to be made in the service department. Three weeks ago, Paolella says, a woman came into his showroom and sat on a Dyna Low Rider, one of the

Connecticut is one of four states where the Slingshot can’t be legally sold because it doesn’t fit the definition of a motorcycle. larger motorcycles. She told him it was like the bike was built for her. “They did,” he says, “they had her in mind when they made this design change. Harley is really looking to be more accommodating to the customer who might be a little bit shorter-legged or –armed.” One positive trend that Libby sees is the manufacturers trying to recapture sales by coming out with affordable commuter bikes with good gas mileage. However, manufacturers have also started to make dealers buy merchandise accessories (clothing racks, branded shelving, etc.) and signage that take up floor space. Dealers won’t get the full reserve from manufacturers if they don’t comply, and Libby says the practice is not favorable because it takes away valuable areas where they can display new bikes. “The manufacturers are sometimes their own worst enemy,” Libby says. 19

REAL ESTATE People

Pearce Real Estate honored Pearce Commercial Pro David Melillo for his 20 years of service to the Company with a new title, Senior Broker.

Pearce broker David Melillo

Sold

A modern medical office space with numerous exam rooms and offices, 4637 Main St unit #3, Bridgeport, was sold by Baldwin Pearson & Co. Realtors for $289,000. The building is 2,623 sq. ft. and was built in 1994. Retail strip center at 630 Brooklawn Avenue in Bridgeport, was sold by Baldwin Pearson & Co for $925,000. The space was formerly occupied by a credit union. The building is 9,218 sq. ft. and lays on 0.37 acres. Richard Ciardiello purchased the former Red Fish Grill at 285 Boston Post Road Orange to open a new Eli’s Restaurant. The 5,400 sf building sits on 0.83 acres. The purchase price was $1,685,000. The seller, Seniti LLC, was represented by The Proto Group. The buyer was represented by Stephen Press of Press/Cuozzo Realtors. Cariati Properties purchased the 38,443 sf building situated on 3.9 acres at 68-70 North Plains Industrial Road, Wallingford to relocate its business. The seller, The University of Connecticut Foundation, Inc., was represented by Kim Mowers of Newmark Grubb Knight Frank. The purchase price was $875,000. The buyer was represented by Attorney 20

The ten-year lease has a value in excess of $745,000.

Dennis Ceneviva and The Proto Group. DC, Inc purchased a 26,865 square foot industrial building at 1935 Stratford Avenue, Stratford. This single story masonry building sits on 1.5 acres of land and is located within close proximity to exits 30 and 31 of I-95. DC plans on upgrading the building and will be offering the space for lease. David S. Gorbach, SIOR of Colonial Realty represented the buyer in this transaction. Colonial Realty is handling the leasing assignment. Kimberly Testo, APRN, RN purchased a 2,172 square foot building on .42 acres of land at 256 Seaside Avenue, Milford. Testo plans to use the space as a medical practice specializing in pain management servicing the Milford area. David S. Gorbach, SIOR of Colonial Realty was the sole broker in this transaction. The Geenty Group, Realtors, reports the sale of 884 Boston Post Road, Milford. This is a block building of 4,040 SF, with 2,020 SF on the first floor and 2,020 SF of usable lower level space, sited on .14 acres. The sale price was $325,000. Bill Clark, Senior Vice President at The Geenty Group, was the agent for the seller, Yury and Veronica Furda. John Bergin of H. Pearce Commercial/George J. Smith in Milford was the agent for the buyer, Ross Real Estate, LLC. Richard Ross is the new owner. He intends to house one of his business entities in the facility. Leo Carroll of Milford was the attorney for the seller, and Theodore Shumaker, also of Milford, was the attorney for the buyer. Cushman & Wakefield today announced the sale of 113 King Street, Stamford, a two-building, ±300,000-squarefoot premier, Class-A+ campus on 38 acres, located within one mile from the Westchester County Airport. Cushman & Wakefield represented the seller, MBIA, in the sale to a joint venture between affiliates of Steven Wise Associates,

Galicia United, custom woodworking, has leased 7,200 sf of warehouse space at the Whitney Blake Industrial complex, Marne Street in Hamden. The three-year lease was valued at $92,700. The Proto Group represented the Landlord and Berkshire Hathaway New England Properties of Milford represented the Tenant. The Dojo, a martial arts studio, and Executive Real Estate of Glastonbury both recently leased at 772 Boston Post road in Westport.

L.L.C. and the Manocherian family. The sale price has not been disclosed, but the property was purchased on an allcash basis.

Leased

HRG Management LLC signed a ten-year lease to take over the Chili’s property at 2100 Dixwell Avenue, Hamden to open its Wood’N’Tap restaurant. Dan Johnson represented the landlord, Hamden Plaza Associates, LLC. The Proto Group represented the tenant, who will open its eighth location in Hamden. Fresh Formats, an Ahold USA-based company has leased 10,400 SF ± of retail space in Fairfield Center for its New Fresh concept. Christian Bangert of RHYS Commercial represented the landlord and The Proto Group represented the tenant. The ten-year lease has a value in excess of $4,600,000. Ed Ortiz, owner of La Luna Restaurant, has signed a long-

term lease to create Diner 56 in the former Friendly’s in front of Super Stop & Shop on Leetes Island Road in Branford. The ten-year lease has a value in excess of $745,000. The Proto Group was the sole broker in the transaction. Connecticut Smiles has leased 1,700 SF of retail space at 497 Watertown Avenue in Waterbury. The Tenant was represented by Joe Braun, Coldwell Banker in Fairfield and The Proto Group represented the Landlord. The five-year lease was valued in excess of $137,000. Sally Beauty Supply signed a ten-year lease for a new store at Gateway Center, 14 Danbury Road, Wilton. The 1,500 square foot store location had been targeted for many years. The Landlord, Gateway Center Associates, was represented by Steve Dudziec of Urstadt Biddle Properties. Sally Beauty Supply was represented by The Proto Group.

Grayson Guns is moving into 10,000 square feet at 545 Boston Post Road in Orange.

Toce Brothers, Inc., signed a long-term lease for a 26,962 square foot building located at 125 Lindley Street, Bridgeport. Toce Brothers is a leading supplier, installer and servicer of automobile and truck tires. This new location will service the Fairfield County area. Toce has other locations in Torrington and Bloomfield, Connecticut. David S. Gorbach, SIOR of Colonial Realty was the listing broker in this transaction. Novus, LLC leased 2,500 square feet of space at 25 Lindeman Drive, Trumbull. Novus is a leading distributor of legacy and IP voice and data communications technology with nearly three decades of experience advising and supporting value added resellers (VARs) throughout North America. David S. Gorbach, SIOR of Colonial Realty was the sole broker in this transaction. C2 Education leased approximately 2,304 square feet of space at 2250 Black Rock Turnpike, Fairfield. C2 Education is an educational service provider. C2 Education provides assistance for test preparation, academic tutoring, AP exams and college admissions. David S. Gorbach, SIOR of Colonial Realty was the sole broker in this transaction. O,R&L Commercial, LLC announced the lease of 16 Business Park Drive, Branford. The 30,000 SF building was Leased to the Thimble Island Brewing Company. Tim McMahon of O,R&L Commercial represented Thimble Island Brewing Company in the transaction.

WWW.CONNTACT.COM

Jon Angel, President Angel Commercial LLC leased 6,600 SF of industrial space at 49 Research Drive, Unit C, Milford, to Summit Screw and Machine Corporation. 49 Research Drive is a 23,000 SF multi-tenant industrial building. Jon Angel, President Angel Commercial LLC leased over 24,000 SF of commercial space at 260-284 Quarry Road, Milford. In 2013 ECP Quarry LLC acquired the 83,580 SF building with the intention of taking an under-managed asset and repositioning it. By making several infrastructural improvements and being a proactive landlord, 260-284 Quarry Road has secured several new tenants. Franco Fellah, executive VP of HK group leased several spaces including Fleur de Lis Academy, a yoga, ballet and dance school, which leased 3,400 SF of space at One Danbury Road, Wilton. Purl NYC, LLC of NYC leased 800 SF of office at 21 Bridge Square, Westport. Gerald Kagan Architects, leased 1,400 SF of office at 95 Post Road West, Westport. Laura Bazante Hair Salon leased 600 SF of retail at 23 Post Road West, Westport. The DoJo, a martial art school, leased 1,624 SF of retail at 772 Post Road East, Westport. Executive Real Estate, a Glastonbury-based residential real estate brokerage firm, leased 1,100 SF of retail space at 772 Post Road East, Westport. Manafort Brothers, Inc., a construction contractor, leased 700 SF of office space at 155 Post Road East, Westport. Ahmed Fayed, a restaurant operator, leased the 2,000 SF free-standing

retail building at 190 Main Street Norwalk, for a Mediterranean food and pizza restaurant. Ridgefield Fuel Associates Inc. signed a 10-year lease for a gasoline station with a C-store located at 115 Danbury Road in Ridgefield. The total value of the lease was in excess of $2,300,000. Alan M. Fischer, CCIM, SIOR, of Fischer Real Estate Inc. represented both the Landlord and the Tenant in this transaction. The 5,580 SF building on .58 acres, located on a corner at the entrance to Copps Hill Plaza in the heart of Ridgefield’s retail district, will be renovated with an additional leasable tenant space created. A long-vacant former gas station site is getting reinvigorated with a new gas station and convenience store, located just off the Wilbur Cross Parkway, as the result of a deal brokered by Levey Miller Maretz. Woodbridge Gas LLC has entered a 25-year lease at 1655 Litchfield Turnpike, Woodbridge, and aims to begin constructing a new convenience store and installing gas pumps this spring. Woodbridge Gas plans to add a sidewalk in front of the property and improve traffic signaling near the parkway off-ramp across the street. The development will be more expansive than the previous gas station was, encompassing most of an adjacent vacant lot. S&F Radiator, a New Jersey-based company that serves trucking and heavy equipment industries, has leased 4,244 square feet of space at 65 Woodmont Road in Milford. The company has signed a three-year lease at the Woodmont Road site. Jeremy Rosner of Levey Miller Maretz represented the landlord, Investment Planners Associates LP. Ken Ginsberg of NAI Elite represented the tenant.

Science degree in business management.

is vice president of aircraft design and manufacturing engineering at Sikorsky Aircraft. Gianoni is president and chief executive officer of Blackbaud, a leading software and services company serving the worldwide philanthropic community. Manice spent 20 years in commercial real estate development and finance before pursuing his passion for art. He maintains a studio in Boston. Polidoro is founder and president of Rose Polidoro Enterprises, Inc., a marketing consulting company.

Kara Williams, senior vice president, director internal audit at Webster Bank has been elected to the board of directors of The Cove Center for Grieving Children and Janel Crite, senior auditor at Webster Bank, has been elected to the board of directors of Girls on the Run of Greater New Haven. As a new board member, Williams, a certified public accountant, will promote the image and welfare of the organization through her leadership and The truth is, you don’t need to Beth have Nelsen all Mary has been participation in fundraising appointed to The Bridgeport events. Crite will servewhen as the the answers you know someone Regional Business Council’s Girls on who the Run chapter’s does. At Marcum, our team members Women’s Leadership Council treasurer. put to work their decades of experience to (WLC). Mary Beth Nelsen Four newanswer members yourhave toughest questions quickly is President of The Right been elected to the University and effectively. Need some answers? Resource. of New Haven Board of Ask Marcum. marcumllp.com/bnh Connecticut Turnaround Governors. They include

SUCCESS IS 1% INSPIRATION, 99% KNOWING WHO TO ASK.

Michael Ambrose ’84 of Trumbull, Conn.; Michael Gianoni ’92 EMBA of Sullivan’s Island, S.C.; Robert Manice of Dover, Mass.; and Rose Polidoro ’77 of New York, N.Y. Ambrose

Management Association (CTTMA) announced the election of a new president, chairman, corporate secretary, two new vice presidents, and a new director. The new president

is David Weinstein, a senior vice president of Ares Management LLC, succeeding Phillip G. Kane, Jr., a vice president at Hartford-based U.S. Bank and a resident of Vernon, Conn., who becomes chairman. Mr. Weinstein, a Weston resident, had previously been the organization’s vice president for programing

Neuman Debra Neuman has been appointed Senior Vice President of Advancement at Mystic Aquarium. In her role, Neuman will be responsible for building and growing a comprehensive fundraising program and

g p m A th re g g W

A h M o jo M h th R

D b a re H M U Q N w s c

Submit An Application

New Study Shows Homeowners Voice a Shifting Sense of Value Berkshire Hathaway New England Properties released results of its first quarterly Homeowner Sentiment Survey showing that people’s perception of home value in the post-crash era runs much deeper than standard measures of price and location. Property owners and prospective homebuyers surveyed define value in broader terms of personal confidence in their housing investment and how a property will meet their needs. According to Berkshire Hathaway, housing markets across America continue their steady recovery and with home equity rising for many, homeowners have increasing options. In the study, a large majority of owners (89%) expressed satisfaction with their home and current living situation; about a third said they’ve considered selling their home in the near future. Those selling homes seek properties that better fit their changing lifestyles and life events. “Owners are telling us a home is more than its price tag, and they’re placing more value in a home’s intrinsic qualities of wealth building, safety, satisfaction and a place to raise a family,” said HSF Affiliates CEO Gino Blefari.

Honoring Connecticut’s fastest growing tech companies in

Advanced Manufacturing, IT Services, New Media, Energy/Environmental, Life Sciences, Software

When: September 24 | 5pm Where: Toyota Oakdale Theatre

Applications due: June 5

www.CT.org

Presenting Sponsor: Marcum LLP, Platinum Sponsors: AustinLawrence, Massive Productions, Pullman & Comley LLC, Quast Media, Webster, Wellstone Insurance, Supporting Sponsors: Capital One Bank, Comcast Business, Connecticare, HB Live, PremierLimo.com, Robert Half Technology, TriNet, UK Trade & Investment

MEMBER F

MAY 2015

APRIL 2015

MANUFACTURING

“To fully develop and implement a Lean to Green organization.”

Watson Invests in Lean Manufacturing as Growth Strategy Leanovations Consults On Organization & Production

POWER ON

Continued from page 1

The fuel for the site is natural gas, not considered a renewable resource, but Connecticut allows energy created by fuel cells to meet the state’s standards for “renewable energy.” Connecticut utilities are required to purchase 27% of all electricity under the state’s renewable energy standard by 2020. Fuel Cell Energy’s largest shareholder and customer is Posco, a South Korean power producer and steel company. Posco and Fuel Cell Energy have built a 59 Megawatt project in Pohang, South Korea. The Pohang facility, the world’s largest fuel cell park to date, is still a fraction of the 3000 megawatts Posco produces in South Korea. Prior to Pohang, the largest fuel cell facility had been the 14.9 MW plant in Bridgeport, also built and managed by Fuel Cell Energy. The fuel cells for the Pohang plant were manufactured at Fuel Cell’s Torrington manufacturing facility, which is expected to produce the Beacon Falls cells as well. Fuel cells fueled by market rate natural gas typically create energy at a cost of between 9 and 12 cents per kilowatt. Coal burning plants produce at 12 cents per kilowatt and new natural gas plants produce at around 6 cents per kw. Posco is building a highly automated manufacturing facility in South Korea under license from Fuel Cell Energy with the hope of driving down the costs of fuel cells. Fuel Cell Energy’s CEO Arthur Bottone Jr. has said that Posco will “share” some of their advanced manufacturing technology with the company. CT Energy and Technology LLC of Middletown is reportedly made up of several Connecticut entities, the lead manager listed at the Secretary of State’s office is William Corvo, an energy consultant on large energy projects. O&G, partners in CT Energy and Technology LLC and based in Torrington, is one of Connecticut’s largest construction companies, with quarries, asphalt and concrete plants throughout the state. O&G has built a wide variety of power generating facilities in Connecticut, including; the Hotchkiss Biomass facility in Lakeville, a 250 Megawatt natural gas plant for Pennsylvania Power and Light in Wallingford, and at Yale, an expansion of the power station at the Sterling Library.

Fuel cells fueled by market rate natural gas typically create energy at a cost of between 9 and 12 cents per kilowatt.

O&G was on the wrong side of the news, however, after an explosion in 2010 during the testing phase of the 630 Megawatt Kleen Energy Systems plant, which killed five and injured fifty workers at the site. Just down the road from Beacon Falls, in Oxford the Connecticut Siting Council, in a 5-2 vote approved in the face of significant and long term opposition, construction of a 785 megawatt natural gas power plan being developed by Maryland based Competitive Power Ventures.

WEST HAVEN – Watson, an 86 year old supplier of products and services geared towards “enhancing human health and nutrition” says it has “successfully implemented lean manufacturing” in its two Connecticut facilities. The company added, “the strategy was to enable the company to continue to grow and add capacity in its West Haven and Orange, Connecticut locations without adding additional building space, due to restrictions on expansions.” Watson selected Leanovations, a Plainville consulting firm specializing in “Lean Operational Excellence and Innovation”, to fully develop and implement a Lean to Green organization. The process involved coaching employees through a Lean to Green culture that focuses on the processes and innovations that create economic growth and jobs, while fostering environmental improvement. Results of the strategy

include reduced waste, increased capacity, and improved profitability, all with significant participation and innovation from employees. The company’s has a host of green initiatives include purchasing 100% of energy from wind power sources. It as added motion and light sensors to reduce energy use in it’s buildings and parking lots. Motors used in equipment have been switched to energy efficient models. Forklifts and compressors have been updated for energy efficiency. Watson says it even supplies reusable coffee cups to employees.

US investigates Connecticut Gunmaker Feds say more than 3,000 parts missing serial numbers Federal authorities are investigating a Connecticut gunmaker after agents found nearly 3,000 assault rifle parts missing serial numbers, according to court documents. Bureau of Alcohol, Tobacco, Firearms and Explosives agents seized nearly 300 of the AR-15 parts from Stag Arms in September following routine inspections, prosecutors said. At the time, the father of Stag Arms, owner Mark Malkowski, told authorities that the employee who places serial numbers on parts was on vacation. The allegations that Stag Arms violated the National Firearms Act came in a forfeiture request filed by prosecutors 6 May in federal court in Bridgeport. Prosecutors asked a judge to allow the government to keep nearly 110 of the seized assault rifle parts for “the use and benefit of the United States.”

Connecticut Businesses Recognized For Exports President’s “E” Award Given To Four CT Manufacturers Ellington based Dymotek; Jonal Laboratories of Meriden; and Mutualink and Proton OnSite, both in Wallingford —received the President’s “E” Award. The “E” Awards honor U.S. entities that “make a significant contribution to the expansion of U.S. exports, and represent the highest recognition any U.S. business or organization can receive”. The genesis of the “E” Awards dates back to World War II, when businesses and factories that aided the war effort were awarded special “E” pennants in honor of their patriotism. President John F. Kennedy revived the World War II “E” symbol of excellence in 1961 to honor America’s exporters. Four years of successive export growth and an applicant’s demonstration of an innovative international marketing plan that led to that increase is used to help determine the winners. Proton OnSite makes hydrogen and nitrogen generators. Mutualink manufactures equipment used to facilitate collaborative communication between public safety and first response teams at the scene of emergencies. Jonal Laboratories makes sealant used in the aerospace industry, while Dymotek manufactures custom injection molded plastic and silicone parts for electronics, plumbing valves, and juice dispensers. WWW.CONNTACT.COM

Build on

our experience. Many local companies are happy they did. That’s because they recognized the beneﬁts of working with an established company for every phase of construction, including design/build expertise. As your local Butler Builder ®, we offer a full-range of systems construction capabilities that combine efﬁciency, functionality, and virtually endless design possibilities. Give us a call today, and put us to work on your project. Contact us at 1-855-BUILD-86 or visit us on the web.

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Search, Add or View Listings at www.ConnTact.com 23

HEALTH

“My impression, whether right or wrong, is that the state is open for business.”

Waterbury Hospital Hoping Third Time’s The Charm Waterbury To Hook Up With Yet With Another Suitor

ATERBURY: The withdrawal of Tenet Healthcare and their $500 million plan to buy five hospitals in Connecticut in partnership with Yale New Haven Healthcare has not ended in seismic shifts for the state’s second tier hospitals.

He responded to concerns that Connecticut regulators were not open to a for-profit company purchasing the non-profit hospital saying, “my impression, whether right or wrong, is that the state is open for business and willing to do business with a for-profit.”

Waterbury Hospital has 254 beds and generates just over $900 million in annual revenue. Waterbury Hospital has been left at the altar twice as regulatory issues first prevented a purchase by Texasbased LHP Group in 2012. LHP had planned to buy both Waterbury Hospital and Waterbury’s St. Mary’s Hospital and replace them with a new “state of the art” hospital with 426 rooms. That deal fell apart when Connecticut’s Commission on the Status of Women [CCSW] objected to how the new hospital would address reproductive services. St. Mary’s is owned by the Catholic archdiocese.

Rates will be going up for plans sold through Connecticut’s Health Exchange, Access Health CT, starting in November of this year. The increases on average will range from nearly 14% for Health CT, [a new HMO funded as part of the Affordable Care Act [ACA]] to 12.4% for United Healthcare, 6.7% for Anthem and 2% for ConnectiCare. ConnectiCare has been the leading insurer purchased through the Connecticut exchange. Many company plans will increase significantly more however, with several ConnectiCare employer plans increasing by 5% or more. Healthy CT is reportedly seeking a nearly 22% increase for its Silver Enhanced PPO 6. While United Healthcare is seeking more than 41% for its Platinum Company Select Choice Plan. The companies cite increasing provider costs as well as reduced reimbursements to the insurers for expensive medical procedures under the ACA rules for next year for the new rates. The Connecticut Department of Insurance can deny or change the rates. The health insurance companies are not obligated to sell on the exchange and several companies in Connecticut do not currently offer policies through the exchange, including Aetna, Harvard Pilgrim and Cigna. 24

Rep. Courtney: Stop 40% Obamacare Tax.

Tenet, with more than 80 for-profit hospitals, withdrew its proposal to buy both hospitals as well as several other in the state, after conditions such as requiring state control over staffing, prices and available services were to be imposed by the state. The president of Prospect Medical Holdings East, Tom Reardon, told the CTMirror.com news website that it was “in talks with other Connecticut hospitals,” but the deal for Waterbury was not contingent on other purchases.

The non-profit Waterbury Hospital has agreed to be acquired by Los Angeles based Prospect Medical Holdings [Nasdaq: PZZ]. Prospect owns 13 hospitals including Our Lady of Fatima Hospital [278 beds] in North Providence and the Rogers Williams Medical Center [168 beds] in Providence, Rhode Island.

Obamacare Coverage: Cost Increases in CT

LHP had agreed to create a separately licensed “Women’s Pavilion” across from the hospital, but the CCSW continued to object and LHP withdrew.

Waterbury Hospital released a statement outlining why they thought Prospect would succeed with the unions and Connecticut regulators in spite of previous regulatory based failures, saying “we all believe that Prospect can get a deal done because of their experience in Rhode Island, another highly regulated state, and their collaborative approach to working with physicians, medical groups, the community and organized labor.”

Democrats Divided Over Looming Healthcare Tax

WASHINGTON: Connecticut Congressional Representative Joe Courtney is not waiting for 2018 when the Affordable Care Act [ACA] will impose a 40 percent tax on health premiums that are of $10,200 per person and $27,500 per family. Courtney has introduced a bill to repeal the tax . Sixty House Democrats who originally signed onto to the tax as part of the ACA have co-sponsored the repeal of the provision. So called “Cadillac” plans have low deductibles and expensive benefits. Workers covered by unions that bargained for the rich health care benefits and organizations in Connecticut with older workers will also likely see their high cost plans subject to the tax. While the next president could have a different view, the Obama administration says it will fight efforts to roll back the tax. The tax is expected to raise $80 billion over ten years, Courtney says he doesn’t care about replacing the revenue, telling the CTmirror.com news website, “the deficit benefit of this tax is not enough to justify keeping it on the books.”

technology, significant amounts can be generated in a few weeks. Manon Cox, President and CEO, explained the impact of the new facility, ‘‘we will be able to manufacture Flublok at four times the scale compared to our Connecticut facility. This milestone enables us to substantially increase the availability of Flublok this year and in the future.”

Vaccine Company To Move Production To New York MERIDEN: Protein Sciences Corporation has received a manufacturing license from the U.S. Food and Drug Administration (FDA) for its Pearl River, NY manufacturing facility for the commercial manufacture of Flublok influenza vaccine. The company says, Flublok “is the world’s first licensed influenza vaccine made using modern recombinant technology.” Flubok is made from parts of the DNA of a given flu virus and is not grown in chicken eggs. The company received a $147 million dollar grant from the U.S. government’s Biomedical Advanced Research and Development Authority in 2009 to develop the technology. Typical flu vaccine production can take as much as six to nine months to grow significant volumes of the vaccine. With Protein Sciences’

The NY facility was acquired from Pfizer at the end of 2012. Mireli Fino, VP of Manufacturing Operations added, “our Pearl River team was able to manufacture the first batch of Flublok within 100 days and now achieve FDA licensure.” The company initially received FDA approval in January 2013 for Flublok to be given to adults 18-49. In October of 2014, it received the added approval for adults fifty and above.

Protein Sciences’s CEO Cox: scalng up manfacturing in Pearl River NY facility.

That added approval has helped bring a new relationship with the Connecticut Association of Healthcare at Home, making Flublok available to the workers and patient population of the agency’s members. WWW.CONNTACT.COM

Senate Passes Bipartisan Health Reforms Senate Leaders Looney and Fasano Have Found Sweet Spot of Cooperation

By Christine Stuart

or the past two years lawmakers have struggled to come up with a public policy that addresses the changing healthcare landscape. And while the Senate passed legislation its members felt would address many of the issues, their colleagues in the House aren’t so certain it includes everything they need to get there.

in the healthcare industry. The market review was part of a different piece of legislation that was merged with the one the Senate passed Thursday. The bill the Senate passed also included a proposal pitched by Gov. Dannel P. Malloy that would require executive salary and bonuses to be disclosed before the sale of a hospital.

The Senate passed S.B. 811, a bill that was a bipartisan collaboration between Senate President Martin Looney, D-New Haven, and Senate Republican leader Len Fasano, R-North Haven. It addressed a number of emerging issues regarding hospital and physician acquisitions, facility fees, and electronic record sharing.

In addition to hospital acquisitions, the bill requires hospitals to share their electronic medical records with other providers. At the moment, hospitals are allowed to block providers who are not part of their larger network from sharing information about a patient. The bill also seeks to set up a statewide exchange for electronic medical record sharing, but it doesn’t propose spending

Democratic Senate leader Looney is wrrking well with Republican leader Fasano

Republican leader Fasano, son of a beloved New Haven physician shows his soft spot for docs

Rep. Matt Ritter, D-Hartford, said there’s no friction between the House and the Senate regarding the legislation, but “we have some ideas of our own.” He said the House largely agrees with the legislation passed by the Senate, but “it’s a very big piece of legislation” and it has a fiscal note attached that the Appropriations Committee will have to account for as part of the budget. Ritter said the House is going over the 91-page bill and will be looking closely at the hospital acquisition and “certificate of need” process. He said he’s not sure whether it’s appropriate for some of the smaller hospitals to have to go through the same process as a large institution like Yale-New Haven Hospital. However, he said none of the differences between the two chambers are “earth shattering.” The bill the Senate passed on a 30-5 vote modifies the certificate of need process that entities would need to go through to acquire a hospital. It requires the Office of Health Care Access to look at market consolidation and the likely impact of a sale on prices MAY 2015

any money. Instead, it asks the state’s information technology agency to develop a plan. Fasano said he’s been working with Looney for a year on this legislation and it’s necessary because hospitals are buying up physician practices to the point where very few medical providers can afford to remain independent. He said in New Haven County there are no private oncologists because they’re all owned by Yale-New Haven Hospital.

Sen. Joe Markley, R-Southington, said he doesn’t feel comfortable voting in favor of a piece of legislation he was seeing for the first time last night. While he trusts it does what Looney and Fasano said it does, he needed time to make up his own mind. Looney said nothing in the bill should come as a surprise to anyone because it has all been part of a larger conversation for more than year. He said those who continue to express opposition about the bill have a “very poor memo-

ry” or are engaged in a “scurrilous effort to disguise what the true facts are.” Looney said the bill “will move us from the back of the pack toward the front in terms of enlightened policy regarding this ever-changing world of healthcare.” He said healthcare is not something “you can opt in, or opt out of.” He said it’s something everyone needs at some point in their lives. Reprinted from ctnewsjunkie.com

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The price of chemotherapy for cancer patients has risen from $2,500 to $12,000 in just a few years in the New Haven area, according to Fasano, who added that the price jump is because one hospital network owns them all. “It’s not a free marketplace and it is driving up costs considerably,” Fasano said. Fasano said he’s not against the free marketplace, but when you regulate on one end you create a monopoly on the other. He said they can’t wait another year for these reforms.

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MARKETING

“Author Wally Lamb and actress Meryl Streep should be treated as valuable resources.”

The Importance Of Being Branded Business New Haven spoke with Chuck Mascola of The Mascola Group for a professional perspective on branding. The Mascola Group, a New Havenbased advertising and marketing firm, believes that to brand your product or service in the right way, your future and your past need to be in perfect balance. The Mascola Group has developed “premium branding strategies” for luxury travel destinations, museums, restaurants and major corporations and universities. The Mascola Group’s building once housed Chuck Mascola’s grandfather’s barbershop in 1915—your history matters. BNH: What does it take to lay the groundwork for a successful branding campaign? Chuck Mascola: Your company’s brand is everything. It’s just that simple. So whether you’re a small business doing landscaping, or a large corporation employing hundreds, your brand has to be a top priority in your business plan. There are two ways to look at that: 1. Rebranding, and 2. General Branding (or Brand Awareness effort). It’s much easier to make one wholesale change to your logo, name, colors, etc.

than doing it piece by piece, or going backwards once something has been changed. When looking at launching a general branding effort, a commitment to ensuring that your brand always has a consistent message wherever it may appear is critical to success. BNH: What elements go into developing a branding strategy? CM: It first starts with the client. It’s diving into their business plan, and finding out what their goals are with their brand. Where do they want to go both short and long term? Once that’s established you need to look at market data and media plan. Who are you targeting, and where and how is this effort living?

Political Advertising Banned On Trains

The MTA vote was 9-2 because the directors expressed concerns that certain ads could lead to a violent public reaction.

CM: Yes, branding can sometimes have an effect on pricing of your products and/or services, as it can help to establish a preserved value to that product or service. How your brand’s name and logo looks, feels, and sounds to a potential consumer is important and certainly can help in creating what consumers may perceive as a ‘premium’ brand.

Mascola: “Know your product or service and who you are selling to.”

Metro North Rolls Over Political Speech New York: Metro North is banning political advertising in its train cars, stations and platforms. The ban was placed in effect by the board of the Metropolitan Transportation Authority [MTA} that oversee Metro North. The ban also applies to New York City buses and subways, and the Long Island Rail Road.

BNH: Impact on pricing of product/service for example? Like how to establish a premium brand (is it just fancy font?)?

Candidates, presumably less violent than the advertising, will still be allowed to campaign on train platforms. In what appears to be a rebuke of free speech, the policy comes on the heels of a ruling by U.S. District Court Judge John Koeltl of Manhattan to allow an ad deemed offensive by many and paid for by The American Freedom Defense Initiative. The ad previously ran on transportation systems in Chicago and

BNH: What’s one thing every company should do about their brand or in creating a brand? CM: Know your product or service and who you’re selling to. That sounds simple, but is one of the most overlooked pieces of the puzzle when any organization is establishing their brand. BNH: How are things different today? CM: In today’s marketing landscape, certainly social media has been a huge game changer for everyone. Social has given brands the ability to have a direct conversation with their consumers (or users) unlike anything else. Online marketing tactics, like paid search and investing in a solid SEO program has really helped marketers to build out their brands far beyond where we were even 5 to 10 years ago.

San Francisco, and is an attack on Hamas and militant Islamic extremists. Featuring a man wrapped in a head and face scarf next to the quote “Killing Jews is worship that draws us close to Allah,” the quote is reportedly drawn from a Hamas “music” video. The MTA has said that the ban is now in effect and that while it earns more than $135 million from advertising, only $1 million comes from political messaging. The American Freedom Defense Initiative, which sued to get the ads placed, is expected to go back to court to fight the general ban. U.S. Senator Richard Blumenthal told the Connecticut Post, “I certainly understand the reasons for their addressing these issues, but the courts will have to strike the balance between First Amendment and other legal requirements.”

Connecticut Appoints New Culture ”Advocate” Kristina Newman-Scott, a native of Jamaica and the City of Hartford’s director of marketing, events and cultural affairs, has been reassigned as the State’s director of culture. Previously, the role has been combined with other duties within the Department of Economic and Community Development, but Newman-Scott’s new role is more focused on advocating for the arts, with the capacity to be “ultra-responsive,” according to Catherine Smith, commissioner of DECD. Newman-Scott said one thing she would like to do is “engage with the many famous artists, writers, actors and others who call Connecticut home.” Adding, “people such as author Wally Lamb and actress Meryl Streep should be treated as valuable resources.”

Hearst Appoints Sales VP Rich Medeiros, a Boston native, has joined the Hearst Connecticut Media Group as senior VP Sale and Marketing. Medeiros recently led Gannett’s digital advertising performance in Rochester, New York. Prior to his role at Gannett, Medeiros held ad positions in Pittsburgh, Cleveland and at the Hartford Courant, where he worked alongside Hearst Newspapers President Mark Aldam.

State Recognizes Tourism Leaders Hartford: The Connecticut Office of Tourism announced recipients of the 2015 Connecticut Governor’s Tourism Awards at the annual Connecticut Governor’s Conference on Tourism at the Connecticut Convention Center in Hartford on May 12.

The honorees were: Tourism Leader of the Year: Stephen White, President and Chief Executive Officer of Mystic Seaport (Mystic) Tourism Rising Star: Jason Scotto, Account Executive at DATTCO Bus Company (New Britain) Tourism Partners of the Year: CT Dino Trail Partners; including Connecticut Science Center (Hartford), Dinosaur State Park (Rocky Hill), The Dinosaur Place at Nature’s Art (Oakdale), Yale Peabody Museum of Natural History (New Haven) and Waterford Hotel Group (statewide) Tourism Legacy Leader: Mitchell Grossinger Etess, Chief Executive Officer of the Mohegan Tribal Gaming Authority (Uncasville) Tourism Volunteer(s) of the Year: Peter DeMallie, President and Founding Principal at Design Professionals, Inc. (South Windsor) WWW.CONNTACT.COM

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Coalition Seeks Paid Family And Medical Leave

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By Christine Stuart Connecticut was one of the first states to pass a Family and Medical Leave Act in the 1990s, and a coalition is hoping it maintains its edge by passing a bill to ensure that it’s paid leave.

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Catherine Bailey, public policy director for the Connecticut Women’s Education and Legal Fund, said even those who have access to unpaid leave are scared they will get fired if they take it or they simply can’t afford to take it. Continued on page 10

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Currently, most large employers offer some type of paid leave for employees who need to take care of a sick loved one, are sick themselves, or just had a baby, but at least 40 percent of the workplace is not even covered by the federal legislation championed by former U.S. Sen. Chris Dodd. The bill would give employees, including those making minimum wage, an option to contribute as little as a $1 per week to a trust fund that would provide them with their full salary for up to 12 weeks of leave.

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WHO’S WHAT WHERE a New York City-based consultancy. Prior to that, he spent several years at Gaylord Healthcare as CIO and Chief Security Officer. He holds a B.S. in Business Administration and Marketing from Anna Maria College.

James Rude Masonicare, a not-forprofit healthcare continuum and retirement living provider, is pleased to announce that James Rude of Cromwell has joined the organization as Chief Financial Officer and Brian Richard of Madison has joined as Chief Information Officer and head of Information Technology. Rude comes to Masonicare after 27 years with the Saint Raphael Healthcare System where he held a range of positions including Controller and Chief Financial Officer. A Certified Public Accountant, he is a graduate of Alfred University. Richard comes to Masonicare from TATUM,

Stew Leonard Jr., president and CEO of Stew Leonard’s, received an honorary degree and addressed graduates students at the commencement ceremony at Quinnipiac University. Leonard addressed the 525 students who received graduate degrees from the schools of Business, Communications and Education. Three members of Webster Bank’s Treasury have been promoted to senior vice president. Todd DellaCamera, senior vice president, funding manager, joined Webster in 2013 as the funding manager after spending 23 years working in a variety of treasury and risk management functions at a number of global banks and consulting firms.

DellaCamera earned his bachelor’s degree in economics and political science from the University of Rochester. Rebecca Maxwell, senior vice president, treasury sales, joined Webster in 1997. Maxwell is a member of the Association of Financial Professionals and holds the Certified Treasury Professional credential. She earned a bachelor’s degree from Bowdoin College and an MBA in finance and management from the University of Connecticut. Richard Razza, senior vice president, treasury portfolio manager, joined Webster in 2009 as a treasury portfolio manager after spending 17 years in the banking business. Razza is a Chartered Financial Analyst (CFA) and a member of the Hartford Society of Financial Analysts. He is also a Certified Commercial Investment Member (CCIM) and a member of the CCIM Institute. He earned his bachelor’s degree in finance from Post University, is a Charted

Financial Analyst, Certified Commercial Investment Member, and is currently enrolled in the MBA program at the University of Connecticut. Two members of the Chief Financial Officer’s (CFO) Group have been promoted to senior vice president. Lynn Ryan, senior vice president, assistant controller, CFO Group – Ryan joined Webster in 2007 in accounting policy and research. Ryan is a Certified Public Accountant with a bachelor’s degree from Babson College. Fred Smith, senior vice president, assistant controller, CFO Group – Smith joined Webster in 2005 as financial reporting manager. Smith is a Certified Public Accountant and holds a bachelor’s degree from Bentley University. Karen E. Yates has joined LeClairRyan as a shareholder on the firm’s Private Wealth Services Practice Area Team. She will be a resident in the national law firm’s New Haven office.

Monique Drucker Yates’ practice focuses on wealth management. She advises individuals, families and family offices on wealth transfer tax planning, business succession planning, wealth preservation and charitable planning. Yates is a graduate of Cornell Law School (J.D) and American University (B.A.). She is admitted to practice in Connecticut, New York, Pennsylvania, the District of Columbia and the United Kingdom. Carmody Torrance Sandak & Hennessey LLP is pleased to announce that Pamela Elkow has joined the firm as a partner in its environmental practice group. Elkow will be based

in the firm’s Stamford office. Elkow is the Chair of the American Bar Association’s Section of Energy, Environment and Resources and a frequent lecturer and writer on environmental issues for audiences such as developers, environmental consultants, and other lawyers. She is also on the Board of Directors and Executive Committee of the Business Council of Fairfield County. Cynthia Gallatin has been promoted to vice president and chief operating officer for online programs at Quinnipiac University and will serve as a member of the President’s Cabinet and Senior Leadership Team. Previously, Gallatin served in various roles in the university’s online education arena and also serves as an adjunct faculty member in the School of Business. She received her bachelor’s degree in biology from Fairfield University and her MBA in marketing from the University of Bridgeport.

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Justin Hayes has been appointed to the editorial board of the Writing Across the Curriculum (WAC) Clearinghouse, a website supporting published articles and books of interest on writing across the curriculum. As an editorial board member, Hayes will participate in decisions about the overall direction of the Clearinghouse, the design and content of the site, and its relationships with other organizations. Hayes has a master’s degree in English from Trinity College and a bachelor’s degree in philosophy from Colgate University. Two Quinnipiac University students are among 10 undergraduates from across the country that have been selected to participate in an archaeological dig and research project in Hungary this summer. Matthew Capece, a junior biology major, and Edward Bormann, a senior diagnostic imaging student, will

spend six weeks unearthing artifacts and conducting research at the Middle Bronze Age Cemetery and the settlement of Békés 103 in southeastern Hungary as part of the Bronze Age Körös Off-Tell Archaeology (BAKOTA) Project. Monique Drucker, of Wallingford, has been promoted to vice president and dean of students at Quinnipiac University. In her new position, Drucker oversees community service, counseling, graduate student affairs, fraternity and sorority life, orientation, residential life, student activities and organizations, student conduct and student health. Prior to Quinnipiac, Drucker worked in the office of student life at the University at Buffalo where her primary responsibilities included orientation, campus-wide events and student union operations. Drucker earned her bachelor’s degree in psychology from State University of New York at Fredonia and her master’s degree

from the University at Buffalo where she studied college counseling and student personnel administration. She has an EdD in educational leadership from Johnson & Wales University.

Larry King

Larry King of Woodbridge, has joined American Eagle Financial Credit Union as a Mortgage Loan Originator in the Mortgage Sales Force for the New Haven market. King spent 13 years originating residential mortgage loans, first, for GMAC Mortgage and, most recently, for Webster Bank in the New Haven and Bridgeport markets. King earned his Bachelors Degree from Yale University.

Iddrisu Awudu of Hamden, is one of 17 scholars who have been named Carnegie African Diaspora Fellows. Awudu will travel to the University of Ghana, where he will help the faculty develop a curriculum for a new MBA program in operations management. The new program is aimed at producing graduates who have in-depth knowledge about the efficient management of business operations in the service and manufacturing sectors of Ghana’s economy. PROFNET of Waterbury, Inc., a Professional Networking Group in Waterbury, celebrating 20 years of operations in 2015, recently welcomed two new members to their board of directors. Sandy Marino as ethics officer, and Eric Kipperman as scheduling officer. Andy Warren has joined McGladrey LLP, a provider of assurance, tax and consulting services, as

a partner on the assurance team. Warren joins McGladrey with more than 18 years of experience providing assurance and consulting services to middle market technology and the life sciences, manufacturing and distribution, consumer products, private equity, and venture capital companies Wiggin and Dana, a full service law firm, appointed Sarvesh Mahajan as the firm’s new Diversity Manager. Mahajan’s primary role will be to develop and promote diversity goals and strategies for the firm. Mahajan is a member of the Technology and Outsourcing Group in the firm’s New York office. He advises clients on the negotiation, drafting and implementation of technology and commercial agreements, including outsourcing, software licenses and services, and cloudbased offerings. He is also a member of the North American South Asian Bar Association (NASABA.)

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TECHNOLOGY NIH To Prometheus: Bring More “Fire” To Data

$1 Million Grant To Help Researchers Share Data

EW HAVEN: The National Institutes of Health [NIH] has awarded $1 million to New Haven based Prometheus Research for “developing open-source integrated registry software and related clinical research informatics data standards.” Prometheus has previously received a Small Business Administration Small Business Innovation Research [SBIR] award from the National Institute of Mental Health (NIMH), but the new NIH award will provide additional funding for “enhancing Prometheus’ Research Exchange Database (RexDB®) platform with features required in interventional research.” The initial SBIR grant was provided to support observational research being conducted in the field of autism. The new award will expand the platform by designing a research instrument definition format that would “facilitate interoperability among several electronic data capture (EDC) tools.” “The ability to use a single integrated registry platform for both observational and interventional research projects will be a boon to every research center and academic medical center trying to improve data quality while controlling costs,” explained David Voccola, Chief Business Development Officer at Prometheus.

Tangoe Takes On IBM Unit As New Dance Partner

Research analysts from Deutsche Bank and Barrington Research recently turned bullish on Tangoe. Both expecting the stock to reach up to $18.00 a share, currently it has been trading at approximately $13.

ORANGE: Tangoe, [Nasdaq:TNGO], a global provider of “Connection Lifecycle Management (CLM) software and related services” is acquiring IBM’s Emptoris Rivermine Telecom Expense Management business. The transaction is expected to close May 31.

Zacks Investment Research Firm, however, has reiterated a hold position and Barclays last February lowered their price target on shares of Tangoe from $14.00 to $13.00.

The IBM unit includes fixed and mobile telecom expense management software and related services, as well as its worldwide customer base. The company says that “the business fits particularly well within the core of Tangoe’s broader Matrix solution suite,” which helps companies manage an array of IT assets and services from mobile to cloud services. Al Subbloie, president and CEO of Tangoe, said “we are very excited to acquire IBM’s Rivermine TEM business, including its highly skilled global workforce and blue chip customer base.” He added, “we expect that the combination will also make us more competitive in federal government pursuits.”

The curTangoe CEO Subbloie: rent market “Blue chip” customers value of the from “Big Blue”. company is $519 million. Quarterly earnings of 17 cents per share and revenue of $53.47 million were reported this spring. During the same quarter in the prior year, the company posted 15 cent earnings per share. The company’s quarterly revenue was up 6.1% on a year-over-year basis.

“Stalkers who use GPS to terrorize victims should have the book thrown at them.”

Saying No to GPS Stalking HARTFORD: Milford’s State Rep. Charles Ferraro, [R 117] is a vocal supporter of the implementation of a new cyber stalking bill. The legislation, HB-6971, an Act Concerning the Use of a Global Positioning System, makes stalking a Class B misdemeanor when using a GPS system to stalk the victim.

Ferraro: Six months or $1000 for using a digital device for stalking.

The act provides that stalking can include repeatedly following another person by use of an electronic device such as placing a device on a car or GPS enabled phone in a person’s handbag. The potential sentence is six months in jail or a $1000 fine.

Ferraro issued a statement saying, “stalkers who use GPS to terrorize victims should have the book thrown at them. This bill looks to protect victims from the growing technology that permits the stalker from knowing someone’s every movement.” The bill passed the house 140-3 and is awaiting action in the Senate and from Governor Malloy. In July of 2014, New York legislators passed what is called Jackie’s Law, named after Jackie Wisniewski, whose former boyfriend murdered her in 2012 [then committed suicide] after tracking her by placing a cell phone in her handbag.

CT Police “Stay Off Facebook” Without A Warrant HARTFORD: If the State Senate has its way, law enforcement investigators will need a court ordered warrant to gather text and location data from Facebook and other digital postings, including cell phones. Senate President Pro Tempore Martin Looney cited the U.S Supreme Court as inspiration for the bill, which was passed with a 29-5 vote. Looney said the Supreme Court was limiting what technology police could use to gather information on potential suspects, such as not allowing police to attach a GPS device to a suspect’s car or using helicopters equipped with heat detection equipment to find homes growing illegal marijuana. Supporters say Senate Bill 1091 essentially requires police to use the “probable cause standard” rather than “reasonable suspicion” before using the publicly available information on Facebook or your cell phone location data, emails, texts or Facebook messages. The bill would require police to notify a suspect that a warrant was issued and data surveillance was being used within 48 hours and to destroy any information within 14 days after an understanding that no criminal charges would be resulting from the investigation.

First Woman To Win CT’s Medal of Science Yale Biochemistry Professor Honored by State

Professor Joan A. Steitz recently received the 2015 Connecticut Medal of Science for her pioneering work in understanding the structure and function of RNA (ribonucle- Professor Joan A. Steitz ic acid, present in all living cells). Her research has had implications in important areas of human health, such as cancer research and autoimmune disorders. The medal is the State’s highest honor for scientific achievement in areas crucial to Connecticut’s economic competitiveness and social well-being, and is modeled after the National Medal of Science, which Steitz received in 1986. WWW.CONNTACT.COM

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