APRIL 2013
Directory of Advertisers
Inside A P R I L 20 1 3
1st Bank and Trust of Murphysboro......16
ELDER LAW
ACHIEVEMENTS
Costly mistake on Medicaid: A Medicaid application and the financial documentation submitted by a nursing home for a parent’s care was either incomplete, done ineptly or both. The bottom line? The son of the nursing home patient was sued for nearly $93,000 and lost a court battle under the state’s filial responsibility law. That law requires a child to provide support for a parent who does not pay his or her nursing home bills. Elder law attorney expects more states to pursue repayments from children for a parent’s nursing home care. Page 6
Who’s in the news: Find out who has been hired, who has been promoted or who has received an award for efforts in business. Make sure you check out our newest Faces in the News collection of business portraits and learn more of the achievements and honors in regional business. If you know of a business person who deserves special recognition for advanced training, a unique honor or a business expansion, please let us know at sbj@thesouthern.com. Pages 14-15
WORKPLACE Tide may be turning: The trend toward telecommuting may be shifting. Some workplaces are calling employees back to the office. Why? Working from home is not as | glamorous as it sounds and can cause a disconnect between workers in the office location and workers off-site. This disconnect is often unintentional, but has real-world implications. Think of that old saying, ‘Out of sight, out of mind.’ Page 7
ENTREPRENEUR’S MAILBAG We’ve heard this story before: A visionary founder brings to market a game-changing product or service only to run into major growth problems when the company goes public and can no longer operate under its original startup ways. It recently happened at Groupon, when Andrew Mason, the pioneer of the ‘daily deals’ concepts in modern business, apparently lacked the ability to lead his company into the future. Page 17
Carbondale, IL 62903. Also reach us on the Web at www.sbj.biz and via email at SBJ@thesouthern.com. The Journal is published 12 times per year monthly, and mailed to businesses, community development leaders, chambers of commerce members and other professionals in Southern Illinois. Copyright 2013 by
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Southern Illinoisan. Contact us via mail at 710 N. Illinois Ave., Carbondale, IL 62901, or at P.O. Box 2108,
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APRIL 2013
SOUTHERN BUSINESS JOURNAL
3
Cover Story Potential entrepreneurs should do their homework before opening a small business BY DEB SAUERHAGE SBJ CORRESPONDENT
Some think the American dream is to start their own business. While it’s OK to dream big, there are many things to consider before becoming your own boss. David Kalhok of GRiT Works, a Carbondale-based startup business which produces a line of headphone ear buds that allow users to control ambient sound, says potential entrepreneurs need to be “good under pressure.” “It will test you beyond limits,” he said. “It’s not for the faint of heart.” Before starting a business, Kalhok
TM
recommends that future entrepreneurs take a look at who they are as a person and what they expect from the process and outcome. “Ask yourself, ‘Do I want to see instant short-term success or wait for much more long-term rewards?’” he said. Sometimes, he says, the best ideas are the most difficult to achieve. Kalhok spent two years just thinking about his product. Once he started, he discovered that every step — from concept to production and marketing — was more expensive than he expected. “You can do it like everybody else, only SEE COVER / PAGE 4
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SOUTHERN BUSINESS JOURNAL
APRIL 2013
Cover Story COVER: Entrepreneurs should do their homework before opening a small business FROM PAGE 3 better and cheaper,” he said. “But, if it doesn’t add anything different in people’s lives, it won’t work.” New business owners also should understand that life goes on no matter what’s happening with their new venture. “You have to have money to live on and money to do the things you want to do,” Kalhok said. “It will take a lot longer and a lot more money than you think.” GRiT Works is in the process of looking for funding. Kalhok recently pitched on Kickstarter, an online crowd-funding source to raise startup funds. “We didn’t meet our goal,” he said, “but we learned a lot.” Raising funds over the Internet may not have been the best place for a headphone company, according to Kalhok. “You have to get it in people’s hands,” he said. “They have to hear the difference.” Kalhok, a design consultant who worked with companies such as BRP in Benton, was familiar with what it takes to start a business, including the time and money involved. Along with having a great product and a certain degree of introspection, he also recommends reaching out for advice from those who are experts in a new business development. “Incubators are a fantastic way to get your information and find someone who can help,” he said. “It is definitely a journey.” Karen Binder, an owner of Southern Sisters Spirits, LLC, a rural Carbondale craft distillery producing corn whiskey, has just launched the company’s first product, Red Eye Corn Whiskey. It is available at several liquor outlets under the Grand River Spirits label. Binder says she learned a lot about starting her own business from other business owners she met while working as a business journalist. “It gave me a unique perspective about what has already taken root in Southern Illinois,” said Binder, who formerly served as executive director of the Grape and Wine Resources Council. While researching types of businesses, Binder was looking for something unique. “We didn’t need another winery, but something to complement the area
AARON EISENHAUER / SBJ
Karen Binder, (center), stands with her principle employees Jim Speith, (left), and Tony Johnson, (right), at Grand River Spirits in Carbondale.
Find more business news at www.sbj.biz. wineries — something with added value,” she said. Binder recommends checking out the legalities and regulations of starting a business and creating a business plan. “You even have to pre-plan,” she said. “Do a feasibility plan, which allows you to do a business plan.” Along with making a list of what you will need to start your own business, Binder suggests studying the competition. “The competition will help you understand the business itself,” she said. Also, keep your eye out for possible partners and investors, along with thinking about where you are going to get your raw materials to make your product. Binder says she is pleased with the SEE COVER / PAGE 9
Small Business Development Center offers consulting services at no cost Do you want to start a business or improve your existing business? What do you do first? Next? The Small Business Development Center in Carbondale can help. Funded by the U.S. Small Business Administration, Illinois Department of Commerce and Economic Opportunity and SIU Carbondale, the center has offered consulting services at no cost for the last 28 years. Getting started is easy. Just attend a two-hour workshop. “We talk about the basics,” said Emily Carter, director of Entrepreneurship and Business Development. “We talk about legal structure, business plan and how to go about getting financing.” The consultants at the center can also
help with the business plan, financial analysis, marketing, strategies, social media advising, management and accounting. After the workshop, clients make an individual, confidential appointment with a counselor to begin working on their specific business plan. “Our consultants are experienced entrepreneurs. Almost everybody on our consulting team has owned their own business, so we are looking at it from the clients’ point of view and looking at it from what it is like on their side of the desk,” Carter said. “The most common issue people have is, ‘How do I get funding?’” SEE SMALL / PAGE 9
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SOUTHERN BUSINESS JOURNAL
APRIL 2013
Elder Law Son liable for mom’s $93,000 nursing home bill BY RICHARD HABIGER SBJ CONTRIBUTOR
John Pittas’ mother entered a nursing home for rehabilitation after an auto accident. After six months, she was discharged from the nursing home and moved out of state. Unfortunately, Habiger for her son, a large portion of her nursing home bill went unpaid. The family made the mistake of allowing the nursing home to file the Medicaid application to cover the unpaid portion of the bill. When one reads the court decision, one cannot help but conclude that the application and required financial documentation submitted by the nursing home was either incomplete, done ineptly or both. This chain of events directly led to Mr. Pittas (the son of the nursing home patient) being sued for nearly $93,000 under the state’s filial responsibility law. That law requires a child to provide support for a parent who does not pay his or her nursing home bills. After a three-day trial, the trial court ruled against Mr.Pittas in the amount of $92,943.41. Later, the appeals court affirmed the decision against Mr. Pittas and refused to consider imposing joint responsibility on his mother’s husband and her two other adult children. HCRA v. Pittas (No. 536 EDA 2011, May 7, 2012). The outcome in the Pittas case is hard to swallow. Indeed, children are often surprised to learn that they might be held responsible for their parent’s nursing home expenses. It just doesn’t seem fair.But,whether fair or not, the Pittas case clearly demonstrates what might happen if parents and their adult children fail to do what smart families do to protect themselves. Putting aside the issue of fairness, the Pittas case demonstrates the importance of long-term care planning from the perspectives of both elderly parents and their adult children. Without proper planning by both parents and children, and
ART SERVICES
Children are often surprised to learn that they might be held responsible for their parent’s nursing home expenses.
without legal advice from an experienced elder law attorney, children may very well be on the hook for thousands of dollars of care required by their aging parents. The Pittas case was discussed in a recent article, “Filial Support Laws ... Enforcement Practices for Laws Requiring Adult Children to Support Indigent Parents,” which appeared in the Spring 2013 edition of The Elder Law Journal, which is published by University of Illinois College of Law. Professor Katherine C. Pearson, author of the article, spoke at a recent conference of elder law attorneys in San Antonio, Texas, where she discussed the Pittas case and its implication for seniors and their adult children. While the details of her presentation are too lengthy to expound on here, they can be summed up by looking at what she had
written in a summary to her Elder Law Journal article: l When the federal government was “both willing and financially able to provide adequate public support to assist” those needing long-term care, filial support laws were rarely used. l When the United States “was willing to fully fund Medicare and Medicaid for elders’ health care and long-term care in nursing homes,” federal policies led states to soften the use of laws that mandated financial support of parents by their adult children. l Now, because baby boomers are aging and the cost of their health care and longterm care will also increase, many states will reconsider the use of “filial support laws against adult children.” While Pearson ends her Elder Law Journal article by questioning “whether
filial support laws are serving appropriate public policy goals,” she made it clear in her presentation to the elder law attorneys who attended the conference in San Antonio that she believed that states across the nation are becoming increasingly aggressive in going after the adult children of parents who receive long-term care in a nursing home, and that this trend will be increasing exponentially every year for the foreseeable future. RICHARD HABIGER is author of the Illinois edition of “How to Protect Your Family’s Assets from Devastating Nursing Home Costs: Medicaid Secrets” and an elder law attorney, who focuses on asset protection, Medicaid and VA benefits. He can be reached at 618-549-4529 or info@habigerelder law.com.
APRIL 2013
SOUTHERN BUSINESS JOURNAL
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Workplace Telecommuting: Past, present or future? BY ANGELA HOLMES-YOUNG SBJ CONTRIBUTOR
Let’s talk about a current topic that signifies a turn in workplace trends. For years now, we have seen employers use the option of having employees work from home, otherwise known as Holmes-Young telecommuting. I remember the excitement in the workplace when this trend first appeared. Admit it. We were all trying to figure out ways to do our job from home. It sounded wonderful. Being at home, wearing pajamas and not having to fix your hair. Wait a minute though, there are downsides also. What about all of the lost face time? Who can I impress when I am working from home? Tides are turning as this trend may be shifting. Some are calling employees back to the office. Marissa Mayer, CEO of Yahoo, recently announced all those Yahoo employees working from home needed to come back to the office. What a minute. Doesn’t allowing employees to work from home save the company money? As always, the answer is yes and no. Working from home is not as glamorous as it sounds and can cause a disconnect between workers in the office location and workers off-site. This disconnect is often unintentional, but has real-world implications. Think of that old saying, “Out of sight, out of mind.” There are lots of benefits to both the employer and employee when employees work from home. Employees say there is a lot less stress and they actually get a lot more work done. Studies back up this claim to increased productivity. Those working from home can control their own work atmosphere and can tailor it to suit their needs. Some of us like to work with music on, others do not, etc. When you work from home, you can work whenever you want, and some work all the time. For some, work is an addiction,and working at home allows them a 24-hour work day. Not to mention the commute that is not needed. The traffic jams and gas costs are now irrelevant. Just
Working from home is not as glamorous as it sounds and can cause a disconnect between workers in the office location and workers off-site. This disconnect is often unintentional, but has real-world implications. Think of that old saying, ‘Out of sight, out of mind.’ Employees say there is a lot less stress and they actually get a lot more work done.
ART SERVICES
A person working from home needs equipment and resources. These are things that are housed at the workplace, but we may not have them at home.
think of the Illinois 13 road rage that can be avoided if you work from home. Those who work from home tell me, though, that it is not as easy or fun as it may sound. A person working from home needs equipment and resources. These are things that are housed at the workplace, but we may not have them at home. Things like office equipment — a desk, office chair, computer, printer and supplies. How can I be expected to work without my Post-its? Highlighters? The list of supplies needed to do a job can be long. Work/life balance is a challenge for those struggling not to work around the clock. They do not get to walk out the front door of the office and leave it all behind them. What about other issues, such as safety? What constitutes safety in the workplace, which is now the home office? What happens if you are injured at work? How does the employer know if you were working safely? It all gets so complicated. Some jobs obviously cannot be done from home; and, for others, it just
doesn’t make good business sense. Questions easily answered, or not apt to arise in the workplace, can emerge when working from home. For instance, when do I take breaks? Can I stop working to unload the dishwasher? Can I wear my pajamas? How professional must I be? Studies show that those working from home are more professional and productive when dressed professionally. Less work gets done by those in pajamas. It really all goes back to the job that you are doing and the tasks that are involved. For those working from home, the reality of the situation is your face time does suffer. You run the risk of being forgotten. Communication is an issue in every organization. How much communication will you get if you are not even in the office? You are not there in the workplace on a daily basis. You are not there to make small talk. You are not there to participate in the office chatter at the water cooler. You are not there in the lunch room or at the copier.
Find more business news at www.sbj.biz.
When the big boss is looking for someone to lead a project, you are not there to be chosen. Many managers may secretly, or not so secretly, feel that those who work from home are not really working. I, personally, like to point out that I have seen plenty of people who are at work, sitting at their desk all day, and not doing a thing. Just because you are at work doesn’t mean you are actually working. Think about it. I am sure working from home does have its benefits, depending on who you are and what job you are doing. Consider it for your organization in the future. Like with any change, make sure to investigate this change fully. Don’t just send a few employees home with a laptop and a few pens. Will Kelly, in an article at Gigaom.com, gives employers advice on starting workplace telecommuting programs. He suggests employers do the following: Develop a pilot program by starting small with a few people to see if this program will fit your business. Select the employees for the program based on performance, attendance and other key indicators related to your business. Plan for challenges involved in setting up a home office, such as acquiring supplies, handling expenses, etc. Develop a detailed communication plan outlining how employees working from home will communicate with their supervisors. Determine measurements to decide if the program is working and if the job is getting done. ANGELA HOLMES-YOUNG is vice president of consulting and human resource services for Your Professional Partners, Inc. in Marion. She consults with clients of all sizes in a variety of human resource areas, while also offering executive coaching and public speaking. She can be reached at angela@yourprofessionalpartners. com, 618-969-8800 or Twitter: A_Holmes_Young.
APRIL 2013
SOUTHERN BUSINESS JOURNAL
9
Cover Story COVER: Entrepreneurs should do their homework before opening a small business FROM PAGE 4 availability of resources in Southern Illinois. “We have an amazing bounty of grains and fruits,” she said. Local corn, wheat, peaches, apples and other fruits are being used in her spirits. According to Binder, small business owners need a lot of resources at their disposal, and there is a learning curve in starting any new endeavor. “I wish I would have known more about electrical and plumbing,” she said. “I would have had a quicker setup of equipment.” Planning ahead for the unexpected also is important. “That’s where you have good resources, either contracted services or partners,” she said. “No one thing can prepare you to be a small business owner until you have your hands dirty and your feet wet.” In 2009, when photographer Matt Hupe started his business, 1000 Words Studio, he didn’t start from scratch. He took over Cooper’s Studio in Benton; however, stepping into an already established
business presented a different set challenges. “When we bought an existing, we just kept the same processes in place,” he said. “We didn’t have an office management system like QuickBooks.” According to Hupe, first learning an older accounting system and then learning the new electronic system was a “hassle.” He says he also debated about keeping the previous business name for five years, but decided he would need to re-educate his clients anyway, so he renamed the business at the very beginning. He also recommends that anyone wanting to start a business to “do it legally.” “People get a business name and put it on a Facebook page and think they’re up and running,” he said. The process is much more involved. It includes business plans, financing, marketing and even deciding how to structure the business. “Decide if you are going to be an LLC corporation or a partnership,” he said. “Do your research and decide.” Hupe found a lot of resources online, including information about starting a
AARON EISENHAUER / SBJ
Tony Johnson works at Grand River Spirits in Carbondale.
business on www.cyberdriveillinois.com, the Illinois Secretary of State’s site. Other resources he recommends are an attorney, an accountant and a small business incubator. Experts would agree that decisionmaking and self-reliance are two good characteristics of a business owner. Hupe adds time management to the list. “It’s not just a 40-hour week,” he said.
“You do online research, marketing, a business plan and your product. You are the only one.” Planning ahead is an important step in business ownership, Hupe said. “Do your homework to get it right the first time.” DEB SAUERHAGE is a correspondent for Southern Business Journal.
SMALL: Center offers consulting services at no cost FROM PAGE 4 But, before visiting with your banker, you need to have done your business plan homework. “The banks like to see a business plan first,” she said. According to Carter, financing, including credit, should also be at the top of your to-do list for starting a business. Past credit history is important. “In startup class, we do a reality check, especially on personal credit,” Carter said. “If your credit scores are in the 300s, you are not probably going to qualify for any commercial credit.” Carter always encourages clients to get a copy of their credit report and make sure there no discrepancies that may need to be addressed. Even though you need money to make money, you also need good credit. “Before you start, look at your total
startup costs. We typically recommend you have 20 percent in equity in the bank before starting,” Carter said. “Banks don’t loan 100 percent.” Despite the economy, funding has been available. “In today’s economy, it is difficult to get funding, but we have had success working with local banks,” Carter said. The tough economy also has prompted people to create their own jobs by starting a business. Last year, the center helped a record number of people who wanted to start their own business and be selfemployed. “When there is a downtrend in the economy, people are looking at options, which include self employment,” she said. Carter said the age and needs of potential entrepreneurs vary. “We have everything from studentbased businesses on campus to high-tech
inventions that people want to get to market,” she said. There really isn’t a typical age for individuals who want to start their own business. “We see everything from people as young as high school to up to senior citizens,” she said. The number of senior citizens who are starting their own business is on the rise. “The SBA and AARP are seeing a trend of people over 60 interested in starting a business,” she said. A special workshop for these secondcareer folks is also offered at the center. The workshop is called Encore Entrepreneurs. But, entrepreneurs of any age may have unreal expectations about what life will be like when they own their own business, ac-cording to Carter. “People really need to think about and be realistic about it,” she said. “People
think it will give them a lot of freedom and they want to be their own boss.” The reality is the opposite. “You work for your own business much more than you do an employer,” she said. “Owning a business is very, very hard work and requires an extreme level of dedication and commitment to be successful.” Above all, enjoy what you do. “The most successful people I’ve worked with over the years are those who truly like what they are doing. They have a passion for it. It’s their baby,” Carter said. “Those are the ones we see that thrive and prosper.” For more information on starting or expanding your business, or to register for an upcoming workshop, visit www.siusbc.com. DEB SAUERHAGE is a correspondent for Southern Business Journal.
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Retail sales for Southern Illinois cities City Anna Benton Carbondale Carterville Chester Du Quoin Harrisburg Herrin Jonesboro Marion Metropolis Mount Vernon Murphysboro Nashville Pinckneyville Red Bud Sparta Vienna West City West Frankfort REGION ILLINOIS
YTD Jan 2013
2012
2011
2010
2009
2008
12.2 7.2 64.1 3.7 4.9 10.7 21.5 15.7 10.2 73.8 7.2 52.7 13.5 11.1 3.4 7.1 12.4 3.4 9.1 11.2 $355.1 $15,648.5
114.1 83.2 552.4 38.9 53.2 114.4 205.1 152.5 11.8 620.1 77.8 494.9 127.5 116.3 38.6 78.4 120.2 38.4 87.1 70.8 $3,192.7 $152,406.7
119.1 86.4 593.5 42.0 55.7 113.5 214.0 154.0 11.4 686.9 84.4 533.6 135.2 110.3 42.3 74.7 128.2 40.1 88.3 122.5 $3,436.1 $154,650.6
120.9 69.5 598.0 42.2 55.3 77.1 195.0 153.4 11.8 683.1 82.0 507.0 130.6 96.6 38.5 75.2 128.5 39.9 87.8 112.4 $3,304.8 $147,232.0
114.5 69.4 565.5 39.9 52.9 100.8 191.9 147.2 12.5 676.0 77.1 476.7 129.1 107.9 37.2 70.1 126.4 37.1 91.9 111.4 $3,235.5 $139,593.2
113.3 71.4 587.7 40.1 51.5 91.9 179.3 135.9 12.4 673.4 75.9 482.8 117.1 101.8 39.0 77.7 130.5 40.5 89.6 111.2 $3,223.0 $157,071.1
R
N I L L I Chicago Fed Midwest % change 08-11 Manufacturing Index
0.7% 16.5% 6.0% 3.2% 3.3% 24.5% 14.4% 12.2% 4.8% 7.9% 2.5% 2.5% 8.9% 14.2% 1.0% 0.9% 7.9% 5.2% 2.8% 36.3% 0.9% 14.2%
Alexander Franklin Gallatin Hamilton Hardin Jackson Jefferson Johnson Massac Perry Pope Pulaski Randolph Saline Union Washington White Williamson .,REGION ILLINOIS U.S.
2,845 17,416 2,459 4,198 1,747 31,979 19,774 5,276 7,377 9,233 1,781 2,730 15,075 13,061 7,888 8,623 7,290 34,797 193,549 6,441,200 154,114,000
332 2,461 286 429 244 2,835 2,016 684 731 1,263 206 335 1,585 1,491 1,108 721 697 3,598 21,019 629,400 13,430,000
104 103 102
IPMFG Jan 13 97.2
100 98 94 90 88 86 84
81 80
Unemployment rates for Southern Illinois counties, state and nation Jobless
105
82
SOURCE: LATEST STATISTICS AVAILABLE FROM THE ILLINOIS DEPARTMENT OF REVENUE. FIGURES ARE IN MILLIONS.
Labor force
The CFMMI is a monthly estimate by major industry of manufacturing output in the Seventh Federal Reserve District states of Illinois, Indiana, Iowa, Michigan and Wisconsin. It is a composite index of 15 manufacturing industries, including auto and steel, that uses electrical power and hours worked data to measure monthly changes in regional activity. It is compared here to the national Industrial Production index for Manufacturing (IPMFG). Base year is 2007. Starting in November 2005, the index excluded the electricity component.
Feb 2013
Jan 2012
Feb 2012
11.7% 14.1% 11.6% 10.2% 14.0% 8.9% 10.2% 13.0% 9.9% 13.7% 11.6% 12.3% 10.5% 11.4% 14.0% 8.4% 9.6% 10.3% 10.9% 9.5% 8.7%
12.2% 13.7% 10.6% 9.7% 13.1% 9.1% 9.6% 12.8% 10.6% 13.3% 11.3% 12.0% 10.1% 11.1% 13.6% 8.0% 8.8% 10.0% 10.6% 9.0% 8.5%
11.7% 12.0% 9.5% 8.9% 11.4% 7.8% 9.4% 11.1% 8.7% 12.1% 10.6% 10.8% 9.5% 9.4% 13.3% 7.7% 8.5% 9.2% 10.2% 8.9% 8.1%
SOURCE: ILLINOIS DEPARTMENT OF EMPLOYMENT SECURITY, U.S. DEPARTMENT OF LABOR. FIGURES ARE NOT SEASONALLY ADJUSTED.
Change month
0.5 0.4 1.0 0.5 0.9 0.2 0.6 0.2 0.7 0.4 0.3 0.3 0.4 0.3 0.4 0.4 0.8 0.3 0.3 0.5 0.2
78
Change year
76 74
CFMMI Jan 13
0.0 72 97.0 2.1 70 68 2.1 1.3 66 2.6 64 J J A S O N D J F M A M J J A S O N D J ’11 ’12 ’13 1.1 0.8 SOURCE: FEDERAL RESERVE BANK OF CHICAGO 1.9 1.2 1.6 1.0 1.5 Jan 13 Jan 12 Change 1.0 2.0 MONTHLY TOTALS 0.7 768 731 5.1% 0.7 YTD TOTALS 1.1 1.1 768 731 5.1% 0.7 2012 2011 Change 0.6 ANNUAL TOTALS 0.6 10,170 9,682 5.0%
Williamson County Regional Airport passengers
N
O
I S I N Consumer credit score
D
I
9 118 23 26 13 109 77 32 28 62 7 9 90 76 48 70 65 198 1,060
12 97 26 27 14 120 83 25 15 54 8 22 103 73 30 58 49 153 969
693
Region
694
688
State
O R S U of I Flash Index
U. S.
Total cars, trucks sold based on title applications filed. Excludes motorcycles, trailers.
New vehicle sales Alexander Franklin Gallatin Hamilton Hardin Jackson Jefferson Johnson Massac Perry Pope Pulaski Randolph Saline Union Washington White Williamson REGION
T
Carbondale
SOURCE: EXPERIAN
Jan 12
A
686
Credit scores are numeric reflections of financial behavior and credit worthiness and they are based on information included in a credit report. Ranging from 330 to 830, a higher score means a lower credit risk. Scores are from December 2012.
Jan 13
C
Change
2011
25.0% 21.6% 11.5% 3.7% 7.1% 9.2% 7.2% 28.0% 86.7% 14.8% 12.5% 59.1% 12.6% 4.1% 60.0% 20.7% 32.7% 29.4% 9.4%
142 1,174 265 279 96 1,482 1,025 392 297 606 96 159 975 1,022 502 583 625 2,060 11,780
2010 126 965 222 236 97 1,320 848 327 269 558 73 129 844 793 486 446 571 1,796 10,097
Change
12.7% 21.7% 19.4% 20.8% 1.0% 12.3% 20.9% 19.9% 10.4% 8.6% 31.5% 23.2% 15.5% 28.9% 3.3% 30.7% 9.5% 14.7% 16.7%
6 75 1 4 3 80 65 19 21 25 3 2 25 30 31 164 32,975
A
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D
J
F
M
A
M
J
J
’10
A
S
O
N
D
J
F
M
A
M
J
J
A
S
O
N
D
J
’12
’11
F ’13
SOURCE: INSTITUTE OF GOVERNMENT AND PUBLIC AFFAIRS, UNIVERSITY OF ILLINOIS
Hotel/motel stats
Consumer Price Index
Total amount of revenue generated in Carbondale by hotels and motels for room rentals only.
The CPI measures average price changes of goods and services over time, with a reference base of 100 in 1982-84.To put into context, a current CPI of 194.5 means a market basket of goods and services that cost $100 in 1982-84 now costs $194.50.
Dec 12 Dec 11 MONTHLY TOTALS
Change
$438,178
$465,628
14.4%
YTD TOTALS $7,732,810
232
230
$7,728,261 <0.01%
2012 ANNUAL TOTALS
2011
Change
228
226
U.S. City Average Feb 13 232.2
224
222
$7,728,261 <0.01%
220
218
Total units sold, including condominiums
Q4 12 Alexander Franklin Gallatin Hamilton Hardin Jackson Jefferson Johnson Massac Perry Pope Pulaski Randolph Saline Union Williamson ILLINOIS
Feb 13 104.8
$7,732,810
SOURCE: ILLINOIS SECRETARY OF STATE’S OFFICE. LATEST DATA AVAILABLE.
Home sales
108 107 106 105 104 103 102 101 100 99 98 97 96 95 94 93 92 91 90 89
The Flash Index is an early indicator of the Illinois economy’s expected performance. It is a weighted average of growth rates in corporate earnings, consumer spending and personal income. An index above 100 indicates expected growth; an index below 100 indicates the economy is contracting.
Q4 11 4 72 0 1 0 62 50 17 19 18 2 4 30 43 18 132 25,571
SOURCE: ILLINOIS ASSOCIATION OF REALTORS
Change 50.0% 4.2% NA 300.0% NA 29.0% 30.0% 11.8% 10.5% 38.9% 50.0% 50.0% 16.7% 30.2% 72.2% 24.2% 29.0%
2011 16 283 12 6 14 325 258 66 82 86 10 11 117 148 89 539 103,294
2010 19 259 8 8 8 358 264 78 91 116 8 6 131 122 84 590 103,455
Change
15.8% 9.3% 50.0% 25.0% 75.0% 10.2% 2.3% 15.4% 9.9% 25.9% 20.0% 83.3% 10.7% 21.3 % 6.0% 8.6% 0.2%
MEDIAN SALES PRICE Q4 12 Q4 11 $15,500 $43,000 $75,000 $59,000 $46,000 $98,250 $89,000 $66,000 $69,000 $42,500 $300,000 $24,500 $60,000 $65,150 $74,900 $98,000 $134,000
$82,500 $45,750 NA $55,000 NA $112,500 $76,875 $39,000 $92,000 $59,450 $223,950 $115,000 $86,000 $67,000 $84,888 $104,500 $128,000
216
Change
81.2% 6.0% NA 7.3% NA 12.7% 15.8% 69.2% 25.0% 28.5% 34.0% 78.7% 30.6% 2.8% 11.8% 6.2 % 4.7%
214
Midwest Urban Feb 13 221.6
212
210
208
F
M
A
M
J
J ‘12
A
S
O
N
D
J F ’13
SOURCE: U.S. DEPARTMENT OF LABOR
Prices at the pump Average price per gallon of regular, unleaded gas as of March 21 and February 21, 2013.
Metro East Springfield Illinois U.S. SOURCE: AAA
Mar 13
Feb 13
Mar 12
$3.79 $3.75 $3.89 $3.69
$3.87 $3.85 $3.95 $3.78
$4.03 $3.94 $4.19 $3.86
S
O
U
T
H
E
Retail sales for Southern Illinois cities City Anna Benton Carbondale Carterville Chester Du Quoin Harrisburg Herrin Jonesboro Marion Metropolis Mount Vernon Murphysboro Nashville Pinckneyville Red Bud Sparta Vienna West City West Frankfort REGION ILLINOIS
YTD Jan 2013
2012
2011
2010
2009
2008
12.2 7.2 64.1 3.7 4.9 10.7 21.5 15.7 10.2 73.8 7.2 52.7 13.5 11.1 3.4 7.1 12.4 3.4 9.1 11.2 $355.1 $15,648.5
114.1 83.2 552.4 38.9 53.2 114.4 205.1 152.5 11.8 620.1 77.8 494.9 127.5 116.3 38.6 78.4 120.2 38.4 87.1 70.8 $3,192.7 $152,406.7
119.1 86.4 593.5 42.0 55.7 113.5 214.0 154.0 11.4 686.9 84.4 533.6 135.2 110.3 42.3 74.7 128.2 40.1 88.3 122.5 $3,436.1 $154,650.6
120.9 69.5 598.0 42.2 55.3 77.1 195.0 153.4 11.8 683.1 82.0 507.0 130.6 96.6 38.5 75.2 128.5 39.9 87.8 112.4 $3,304.8 $147,232.0
114.5 69.4 565.5 39.9 52.9 100.8 191.9 147.2 12.5 676.0 77.1 476.7 129.1 107.9 37.2 70.1 126.4 37.1 91.9 111.4 $3,235.5 $139,593.2
113.3 71.4 587.7 40.1 51.5 91.9 179.3 135.9 12.4 673.4 75.9 482.8 117.1 101.8 39.0 77.7 130.5 40.5 89.6 111.2 $3,223.0 $157,071.1
R
N I L L I Chicago Fed Midwest % change 08-11 Manufacturing Index
0.7% 16.5% 6.0% 3.2% 3.3% 24.5% 14.4% 12.2% 4.8% 7.9% 2.5% 2.5% 8.9% 14.2% 1.0% 0.9% 7.9% 5.2% 2.8% 36.3% 0.9% 14.2%
Alexander Franklin Gallatin Hamilton Hardin Jackson Jefferson Johnson Massac Perry Pope Pulaski Randolph Saline Union Washington White Williamson .,REGION ILLINOIS U.S.
2,845 17,416 2,459 4,198 1,747 31,979 19,774 5,276 7,377 9,233 1,781 2,730 15,075 13,061 7,888 8,623 7,290 34,797 193,549 6,441,200 154,114,000
332 2,461 286 429 244 2,835 2,016 684 731 1,263 206 335 1,585 1,491 1,108 721 697 3,598 21,019 629,400 13,430,000
104 103 102
IPMFG Jan 13 97.2
100 98 94 90 88 86 84
81 80
Unemployment rates for Southern Illinois counties, state and nation Jobless
105
82
SOURCE: LATEST STATISTICS AVAILABLE FROM THE ILLINOIS DEPARTMENT OF REVENUE. FIGURES ARE IN MILLIONS.
Labor force
The CFMMI is a monthly estimate by major industry of manufacturing output in the Seventh Federal Reserve District states of Illinois, Indiana, Iowa, Michigan and Wisconsin. It is a composite index of 15 manufacturing industries, including auto and steel, that uses electrical power and hours worked data to measure monthly changes in regional activity. It is compared here to the national Industrial Production index for Manufacturing (IPMFG). Base year is 2007. Starting in November 2005, the index excluded the electricity component.
Feb 2013
Jan 2012
Feb 2012
11.7% 14.1% 11.6% 10.2% 14.0% 8.9% 10.2% 13.0% 9.9% 13.7% 11.6% 12.3% 10.5% 11.4% 14.0% 8.4% 9.6% 10.3% 10.9% 9.5% 8.7%
12.2% 13.7% 10.6% 9.7% 13.1% 9.1% 9.6% 12.8% 10.6% 13.3% 11.3% 12.0% 10.1% 11.1% 13.6% 8.0% 8.8% 10.0% 10.6% 9.0% 8.5%
11.7% 12.0% 9.5% 8.9% 11.4% 7.8% 9.4% 11.1% 8.7% 12.1% 10.6% 10.8% 9.5% 9.4% 13.3% 7.7% 8.5% 9.2% 10.2% 8.9% 8.1%
SOURCE: ILLINOIS DEPARTMENT OF EMPLOYMENT SECURITY, U.S. DEPARTMENT OF LABOR. FIGURES ARE NOT SEASONALLY ADJUSTED.
Change month
0.5 0.4 1.0 0.5 0.9 0.2 0.6 0.2 0.7 0.4 0.3 0.3 0.4 0.3 0.4 0.4 0.8 0.3 0.3 0.5 0.2
78
Change year
76 74
CFMMI Jan 13
0.0 72 97.0 2.1 70 68 2.1 1.3 66 2.6 64 J J A S O N D J F M A M J J A S O N D J ’11 ’12 ’13 1.1 0.8 SOURCE: FEDERAL RESERVE BANK OF CHICAGO 1.9 1.2 1.6 1.0 1.5 Jan 13 Jan 12 Change 1.0 2.0 MONTHLY TOTALS 0.7 768 731 5.1% 0.7 YTD TOTALS 1.1 1.1 768 731 5.1% 0.7 2012 2011 Change 0.6 ANNUAL TOTALS 0.6 10,170 9,682 5.0%
Williamson County Regional Airport passengers
N
O
I S I N Consumer credit score
D
I
9 118 23 26 13 109 77 32 28 62 7 9 90 76 48 70 65 198 1,060
12 97 26 27 14 120 83 25 15 54 8 22 103 73 30 58 49 153 969
693
Region
694
688
State
O R S U of I Flash Index
U. S.
Total cars, trucks sold based on title applications filed. Excludes motorcycles, trailers.
New vehicle sales Alexander Franklin Gallatin Hamilton Hardin Jackson Jefferson Johnson Massac Perry Pope Pulaski Randolph Saline Union Washington White Williamson REGION
T
Carbondale
SOURCE: EXPERIAN
Jan 12
A
686
Credit scores are numeric reflections of financial behavior and credit worthiness and they are based on information included in a credit report. Ranging from 330 to 830, a higher score means a lower credit risk. Scores are from December 2012.
Jan 13
C
Change
2011
25.0% 21.6% 11.5% 3.7% 7.1% 9.2% 7.2% 28.0% 86.7% 14.8% 12.5% 59.1% 12.6% 4.1% 60.0% 20.7% 32.7% 29.4% 9.4%
142 1,174 265 279 96 1,482 1,025 392 297 606 96 159 975 1,022 502 583 625 2,060 11,780
2010 126 965 222 236 97 1,320 848 327 269 558 73 129 844 793 486 446 571 1,796 10,097
Change
12.7% 21.7% 19.4% 20.8% 1.0% 12.3% 20.9% 19.9% 10.4% 8.6% 31.5% 23.2% 15.5% 28.9% 3.3% 30.7% 9.5% 14.7% 16.7%
6 75 1 4 3 80 65 19 21 25 3 2 25 30 31 164 32,975
A
S
O
N
D
J
F
M
A
M
J
J
’10
A
S
O
N
D
J
F
M
A
M
J
J
A
S
O
N
D
J
’12
’11
F ’13
SOURCE: INSTITUTE OF GOVERNMENT AND PUBLIC AFFAIRS, UNIVERSITY OF ILLINOIS
Hotel/motel stats
Consumer Price Index
Total amount of revenue generated in Carbondale by hotels and motels for room rentals only.
The CPI measures average price changes of goods and services over time, with a reference base of 100 in 1982-84.To put into context, a current CPI of 194.5 means a market basket of goods and services that cost $100 in 1982-84 now costs $194.50.
Dec 12 Dec 11 MONTHLY TOTALS
Change
$438,178
$465,628
14.4%
YTD TOTALS $7,732,810
232
230
$7,728,261 <0.01%
2012 ANNUAL TOTALS
2011
Change
228
226
U.S. City Average Feb 13 232.2
224
222
$7,728,261 <0.01%
220
218
Total units sold, including condominiums
Q4 12 Alexander Franklin Gallatin Hamilton Hardin Jackson Jefferson Johnson Massac Perry Pope Pulaski Randolph Saline Union Williamson ILLINOIS
Feb 13 104.8
$7,732,810
SOURCE: ILLINOIS SECRETARY OF STATE’S OFFICE. LATEST DATA AVAILABLE.
Home sales
108 107 106 105 104 103 102 101 100 99 98 97 96 95 94 93 92 91 90 89
The Flash Index is an early indicator of the Illinois economy’s expected performance. It is a weighted average of growth rates in corporate earnings, consumer spending and personal income. An index above 100 indicates expected growth; an index below 100 indicates the economy is contracting.
Q4 11 4 72 0 1 0 62 50 17 19 18 2 4 30 43 18 132 25,571
SOURCE: ILLINOIS ASSOCIATION OF REALTORS
Change 50.0% 4.2% NA 300.0% NA 29.0% 30.0% 11.8% 10.5% 38.9% 50.0% 50.0% 16.7% 30.2% 72.2% 24.2% 29.0%
2011 16 283 12 6 14 325 258 66 82 86 10 11 117 148 89 539 103,294
2010 19 259 8 8 8 358 264 78 91 116 8 6 131 122 84 590 103,455
Change
15.8% 9.3% 50.0% 25.0% 75.0% 10.2% 2.3% 15.4% 9.9% 25.9% 20.0% 83.3% 10.7% 21.3 % 6.0% 8.6% 0.2%
MEDIAN SALES PRICE Q4 12 Q4 11 $15,500 $43,000 $75,000 $59,000 $46,000 $98,250 $89,000 $66,000 $69,000 $42,500 $300,000 $24,500 $60,000 $65,150 $74,900 $98,000 $134,000
$82,500 $45,750 NA $55,000 NA $112,500 $76,875 $39,000 $92,000 $59,450 $223,950 $115,000 $86,000 $67,000 $84,888 $104,500 $128,000
216
Change
81.2% 6.0% NA 7.3% NA 12.7% 15.8% 69.2% 25.0% 28.5% 34.0% 78.7% 30.6% 2.8% 11.8% 6.2 % 4.7%
214
Midwest Urban Feb 13 221.6
212
210
208
F
M
A
M
J
J ‘12
A
S
O
N
D
J F ’13
SOURCE: U.S. DEPARTMENT OF LABOR
Prices at the pump Average price per gallon of regular, unleaded gas as of March 21 and February 21, 2013.
Metro East Springfield Illinois U.S. SOURCE: AAA
Mar 13
Feb 13
Mar 12
$3.79 $3.75 $3.89 $3.69
$3.87 $3.85 $3.95 $3.78
$4.03 $3.94 $4.19 $3.86
12
SOUTHERN BUSINESS JOURNAL
APRIL 2013
Economic Conditions Gauging the sequester’s impact Where and how soon might the cuts be made? BY SCOTT MCCLATCHEY SBJ CONTRIBUTOR
As there was no last-minute agreement between Congress and the White House to postpone federal budget cuts, which took effect March 1, the ax now falls. Unless a bipartisan McClatchey effort somehow undoes them, assorted federal government agencies will have their budgets reduced by $85 billion between now and Oct. 1, as the initial step in a planned $1.2 trillion deficit trimming over the next 10 years. (The belttightening could have been more severe: Without January’s fiscal cliff deal, it would have been $109 billion.) What gets cut? Broadly speaking, defense programs will take a 13 percent hit, and other federal programs will have budgets decreased by 9 percent, according to the projection of the White House Budget Office. Government contractors may be among the first to feel the pinch, especially defense contractors, and, by extension, their vendors. The White House projects the Army, Navy and Air Force having to slash a total of $34 billion this spring and summer, resulting in layoffs or furloughs for 450,000 to 500,000 workers. USA Today forecasts that four states — Virginia, Maryland, Texas and Alabama — will each see between 20,000 and 35,000 jobs lost as a direct result. Some think the punch to the labor market might end up being double or triple that. A George Mason University analyst recently commented to the New York Times that as many as 1.4 million private sector jobs could be lost when the effects of the sequestration are fully felt, with a third of them coming at small companies. This potential wave of unemployment
ART SERVICES
Unless a bipartisan effort somehow undoes them, assorted federal government agencies will have their budgets reduced by $85 billion between now and Oct. 1, as the initial step in a planned $1.2 trillion deficit trimming over the next 10 years.
While myriad government agencies will face reduced budgets, the cutbacks will not reduce Medicare, Social Security or Veterans Affairs benefits, Supplemental Security Income, Medicaid payments, Pell grants or food stamps. Medicare Part D subsidies won’t be cut either. wouldn’t just be traced back to military cuts. The Obama administration has mentioned TSA agents being furloughed every 10th workday, FAA air-traffic controllers and Bureau of Prisons employees working fewer hours, and job cuts or reduced workweeks affecting the FBI, INS, FDA, NPS, VA and FHA. State programs linked to federal dollars (such as unemployment benefits, Section 8 housing assistance, foster care programs, Head Start and school breakfast programs, and Meals on Wheels and job retraining programs for seniors) could also soon see cutbacks. Cuts for many of these programs would begin this month. What doesn’t get cut? While myriad government agencies will face reduced budgets, the cutbacks will not reduce
Medicare, Social Security or Veterans Affairs benefits, Supplemental Security Income, Medicaid payments, Pell grants or food stamps. Medicare Part D subsidies won’t be cut either. That doesn’t mean Medicare or Social Security recipients will be totally shielded from the impact of the sequestration. Some SSA offices might be closed certain days of the month or even for weeks or months, and the lines and waits at those offices could get longer. Medicare payments to doctors are slated to be reduced 2 percent. Is there an undo button? Sort of. Congress might find it later this month. A short-term fix could be arranged, just like what happened at the start of the year, when the fiscal cliff bill was passed.
Taxes could be raised here, pork could be trimmed there, and a little more time could be bought — time that could be used to improbably craft the “grand bargain” President Obama spoke of in 2012, or to give federal agencies a greater say in what gets cut. After a few weeks of sequestration, public frustration might become more audible. Or, it might not be. In February, a Pew Research Center poll found that 40 percent of Americans saw merit in the March 1 cuts, with 70 percent of respondents saying deficit reduction should be a top federal priority. SCOTT MCCLATCHEY is a certified financial planner with Alliance Investment Planning Group, a Carbondale investment firm located at 115 S. Washington St. He can be reached at 618-519-9344 or scott@allianceinvestmentplanning.com. He also provides investment, retirement planning and insurance services to SIU Credit Union members through SIU Credit Union Investment Services partnership. Securities offered through LPL Financial, member FINRA/SIPC.
14
SOUTHERN BUSINESS JOURNAL
APRIL 2013
Achievements
Faces in the news
Mihalopulos takes over practice
Mihalopulos
C. Rennison
S. Rennison
Dr. Jennifer Mihalopulos recently acquired Dr. Peter Pirmann’s 30-year dental practice at 420 Robinson Circle Drive in Carbondale, after Pirmann’s retirement. Mihalopulos, a Carbondale native, has practiced for nearly 12 years and is experienced in all aspects of dentistry, including cosmetic dentistry/smile makeovers, implant restorations and invisalign. She is a preferred provider with Delta Dental Premier for the state of Illinois and welcomes patients of all ages and needs. She can be reached at 618-529-2212.
Pemberton
The Auto Shop crew attends training
Wood
Payne
Steve Rennison, owner of The Auto Shop in Carbondale for more than 21 years, recently attended a training program with his crew. He has been in the automotive industry for more than 30 years. Rennison and his crew members, including Cody Rennison, Glen Crismon and Antonio Salas, earned certificates from Denso in air conditioning service essentials, Ford ignition and fuel systems and diagnosing driveability problems from 4 Seasons.
Tedrick Group attends network exchange Brown
Klump
Cash
Carson
Chad Brandon and Roger Tedrick of the Tedrick Group attended the Organic Growth Exchange last month in Orlando, Fla. The Organic Growth Exchange is a semi-annual value-creation symposium, exclusive to members of Beyond Insurance Global Network, formerly Organic Growth Network, where members can collaborate with their peers. The Tedrick Group partners with clients to diagnose risk and minimize exposures unique to their industries.
Faces in the news Have you been promoted? Send a photo. Has a colleague at work completed an intensive continuing education program? Send a photo. Others in the business community will want to know it, so please consider passing on your employment news and photos to the Southern Business Journal. Feel free to email the information to sbj@thesouthern.com.
Fresenius Medical Care opens dialysis clinic Fresenius Medical Care North America recently opened Fresenius Medical Care Du Quoin, a newly relocated 10-station dialysis clinic. The new facility, now located at 825 Sunset Ave. in Du Quoin, offers traditional in-center daytime dialysis, as well as access to a regional
home dialysis program. Fresenius Medical Care offers other dialysis patient services, including a kidney transplant support program, vascular care, anemia management, nutrition counseling, bone disease management and social worker support.
Construction under way on Drury Inn & Suites Construction started last month on the new Drury Inn & Suites at I-57/64 and Illinois 15 in Mount Vernon. The new hotel will take the place of Drury Inn and Thrifty Inn hotels formerly at this location. The new 180-room Drury Inn & Suites hotel will feature more than 3,000 square feet of flexible meeting space, equipped to accommodate a variety of groups and events.
Stanhouse among State Auto’s PaceSetters Katie Stanhouse of Linzee Insurance Agency in Du Quoin recently became a member of PaceSetters, a select group of State Auto independent agents. “The goal of our year-long PaceSetter program is to form a sales/marketing partnership with each agent to improve service to all our customers,” Chairman/CEO Robert Restrepo said.
Pemberton promoted at Com-Pac International Chris Pemberton has been promoted to director of manufacturing at ComPac International, Inc. He joined the company 20 years ago while pursuing an engineering degree at SIU. Also recently promoted was Andrew Schmidt. He is the new medical tray cover supervisor — second shift. An extruder, printer and converter of flexible packaging products for the food and medical industries, Com-Pac employs approximately 180 people and operates from its 96,000-square-foot facility in Carbondale’s Industrial Park.
Herrin Behavioral Health hosts open house Herrin Behavioral Health hosted an open house last month at 202 S. Pershing St. in Energy. Tours of the newly renovated facility were available.
Wood named director of business development Facility Planning, a St. Louis-based firm that also conducts business in Southern Illinois, is expanding. The company has added long-time beverage industry professional Kent Wood to head its sales efforts as director of business development. The firm specializes in planning, design and construction management for the beer and beverage industries nationwide.
Alliance to improve access to health services A new alliance between Community Health Systems and Cleveland Clinic is designed to enhance quality patient care, improve access to health services, reduce costs and drive operational excellence for both organizations. As an affiliate of Community Health Systems, Heartland Regional Medical Center is excited about this collaboration and what it means for the organization as well as the community.
Tourism bureau’s fishing guide best in state Williamson County Tourism Bureau was awarded the 2013 Illinois Governor’s Conference Award for Best Leisure Collateral Feb. 27 at the annual Governor’s Conference on Travel & Tourism in Rosemont. The bureau’s annual fishing guide was chosen among many entries for the best in the state. For a free copy of the 2013 Williamson County fishing guide, call the bureau office at 618-997-3690 or visit www.visitSI.com.
B and A Travel Service earns Disney designation B and A Travel Service, with locations in Carbondale and Marion, has been designated by Disney Destinations and Walt Disney Travel Company as Southern Illinois’ Authorized Disney Vacation Planner for 2013. This designation is based on B and A Travel Service’s strong support in selling Disney vacations, superior service and specialized knowledge on Disneyland, Walt Disney World, Disney Cruise Line and Adventures by Disney.
APRIL 2013
SOUTHERN BUSINESS JOURNAL
15
Achievements HMC to expand, relocate family practice office Harrisburg Medical Center is relocating and expanding its Alexander Family Practice building to the former site of the Home Health Care building, which was destroyed by last year’s tornado. The new Alexander Family Practice Harrisburg office will double the size of its previous facility and provide the community with a wider range of health care services, including visiting specialty physicians and outpatient rehabilitation. The new office on South Commercial Street is expected to open in September.
Aisin Manufacturing achieves safety milestone Aisin Manufacturing in Marion achieved a safety milestone and established a new plant standard as the team surpassed 3 million hours worked without a losttime accident. Aisin Manufacturing previously achieved 1 million hours on two different occasions and 2 million hours in early 2012. The current streak started February 2010.
Financial advisors earn recognition Financial advisers in the Carbondale office of Wells Fargo Advisors, Les Palmer of Carterville has been named first vice president-investment officer, and Alesia Patterson of Dongola has been named vice president-investments. A financial advisor for 29 years, Palmer joined Wells Fargo Advisors in 2008. Patterson has been a financial advisor for seven years. She joined Wells Fargo Advisors in 1989.
Payne completes professional courses Carl E. Payne, associate vice president-investment officer with Wells Fargo Advisors, LLC in Carbondale, has successfully completed two continuing education courses, “Understanding Social Security, Medicare and Government Benefits” and “Planning with Social Security and Medicare.” He took the courses through Broker Educational Sales & Training, Inc., in New Port Richey, Fla. Payne has been a licensed broker for 24 years and also is licensed in life, health, property, casualty and annuities.
Brown working in family business Matt Brown, a December graduate of SIU with a master’s degree in accounting, is now working full time in his family’s furniture business, which operates two stores, ER Brown Furniture and West Frankfort House Furnishings. This year marks the 99th year of business in West Frankfort. Brown is a 2008 graduate of Frankfort Community High School.
Cash partners with Investment Professionals Doug Cash is the new Investment Professionals’ financial advisor for First National Investment Services. First National Bank of Steeleville President Robert J. Koopman recently announced Cash’s partnership with Investment Professionals, Inc. Cash comes to the bank with five years of experience in financial planning at major financial services companies and 27 years of experience as a senior marketing and management executive in diverse industries.
Cloey’s Hair Design hosts ribbon cutting Cloey’s Hair Design, 210 W. Freeman St., in Carbondale recently hosted a ribbon cutting. The full-service salon provides haircuts, color, perms, waxing, nails and more.
Klump joins clinic
Country Financial recognizes three
Gelso named director of learning center
Country Financial representatives Steve Eaton of Sparta and Cheryl Zanders of Red Bud and agency manager Mark Luce recently received All American distinctions. Eaton serves clients from his office at 1701 N. Market St. in Sparta. Zanders serves clients from her office at 314 S. Main St. in Red Bud. And, Luce manages his agency from 513 W. Park St. in Waterloo.
Keely Gelso has been named director at Trinity Lutheran Early Childhood Learning Center. Gelso will oversee the Trinity program, which offers childcare, a pre-kindergarten program and after-school care for children ages six weeks to 12 years. She has more than 13 years of experience in early childhood education, most recently with Carbondale Park District.
Carson elected officer of NRECA board Phil Carson of Oakdale was elected secretary-treasurer of the National Rural Electric Cooperative Association at its annual meeting Feb. 20 in New Orleans. This is the first time Illinois has had one of its directors elected to a national leadership position. Carson has been a director at TriCounty Electric Cooperative in Mount Vernon since 1998 and has served on the NRECA board since 2006. In addition, he is a director for Egyptian Telephone Cooperative Association, Southern Illinois Power Cooperative and the Association of Illinois Electric Cooperatives. He is a former dairy farmer who retains an interest in a 160-year-old farm, and pastor at First Presbyterian Church in Nashville.
Gossett recognized as a top financial advisor
Danielle Klump of Elkville has joined Marshall Browning Medical Clinic in Du Quoin as a family nurse practitioner. Klump is now practicing at the clinic at 900 N. Washington St., across from the hospital. She joined the practices of Dr. Gladstone Tucker, internal medicine/ geriatrics, and Dr. Beth Bigham, family practice.
Rich Gossett, a financial advisor for Old National Investments at Old National Bank, has been recognized as a top advisor and named to the Patriot’s Club. The top advisor distinction is based on an annual production ranking of all registered advisors supported by LPL Financial and is awarded to 10 percent of the approximately 12,800 advisors affiliated with LPL Financial nationwide.
JCC Services expands Online Learning Center
Bank branches open
Jerkins Creative Consulting Services has expanded its Online Learning Center to include Parts Counter Talk Course. The course, which focuses on customer service, became available March 20. For more details, visit jccservices.com or call Jerkins Creative Consulting at 618-435-3739.
Cissell selected judge for wine competition Bonnie Cissell, co-owner of Lincoln Heritage Winery in Cobden, was one of two Illinois winery owners invited to judge the fifth annual Missouri Valley Wine Competition. The remaining 36 judges were from Missouri. The competition attracted 377 entries from 10 states, including Illinois, and prizes distributed were valued at more than $3,000. Wines were evaluated in a blind tasting with no information as to who made the wine; however, judges were given the category and the varietal of each entry.
Visitors guide wins tourism award Tourism Bureau ILLINOISouth’s 2012 visitors guide has won Best Visitor Publication in Division A (budgets over $700,000). In July, 2011, the southwestern and southeastern bureaus merged to form Tourism Bureau ILLINOISouth, covering 19 counties from the Mississippi River to the Wabash River. The free 2013 visitors guide is now available. To receive one, call 618-2571488 or email info@thetourismbureau.org.
Find more business news at www.sbj.biz.
Faces in the news Legence Bank, a wholly-owned subsidiary of the holding company First Eldorado Bancshares, Inc. in Eldorado, expands its network to seven branches, in addition to the main bank, with the Feb. 25 opening of the Shawneetown and Vienna branches. The Shawneetown branch is at 301 N. Lincoln Boulevard W., and the Vienna branch is at 301 Vine St
Have you been promoted? Send a photo. Has a colleague at work completed an intensive continuing education program? Send a photo. Others in the business community will want to know it, so please consider passing on your employment news and photos to the Southern Business Journal. Feel free to email the information to sbj@thesouthern.com.
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APRIL 2013
SOUTHERN BUSINESS JOURNAL
Entrepreneur’s Mailbag
Calendar April 8
Leading your small business into the future BY CAVANAUGH L. GRAY SBJ CONTRIBUTOR
The headline ran Feb. 28 and confirmed what many in the technology and startup community had seen coming for some time, “Groupon Is Replacing CEO Gray Andrew Mason.” By now, many of us have either seen or participated in a daily deal. If you haven’t, think of a daily as a coupon for your favorite item on steroids. Usually a technology intermediary like Groupon works with local, national and international merchants in an effort to make an offer you can’t refuse. In the end, Groupon makes money; the merchant receives a quick infusion of cash and has a potential customer for life. We’ve all heard this story before. Visionary founder brings to market a game-changing product or service only to run into major growth problems when the company goes public and can no longer operate under its original startup ways. How could the pioneer of one of the most popular concepts in modern business be ousted by the company he founded? It seems that Andrew Mason lacked the ability to lead his company into the future, which ultimately leads to his demise.
What went wrong? At one point, Groupon’s stock was trading at 90 percent off of its IPO price of $28 per share and currently trades in the range of $5.41 per share. Revenue growth for Groupon is heavily dependent on employees who are responsible for brokering deals with merchants. With hundreds of recent layoffs, the company has seen a strain on
Starting a Business in Illinois: 5 to 7 p.m., Room 150, Dunn-Richmond Economic Development Center, 1740 Innovation Drive, Carbondale. Free. An optional business start-up kit is available for $15. To register, call 618-536-2424, email sbdc@siu.edu or visit www.siusbdc.com.
Find more business news at www.sbj.biz. overall company moral, operations and earnings. Truly innovative ideas usually spawn copycats. But, what is a company to do when the copycat becomes a legitimate threat that won’t go away? During the 2011 Super Bowl, Groupon and major competitor Living Social both ran 30-second ads. Where Groupon’s commercial came off as boring, comfortable and offensive to some, Living Social’s ad was original, funny and offered a clear benefit for participating. Lastly, Groupon’s business model has come under scrutiny as consumers suffer from deal fatigue, leaving the company scrambling for new growth. It would seem that then-CEO Andrew Mason was unable to protect Groupon’s stock price, lead the company into a new era of automated deal making, fend off competition or deliver a clear marketing message.
Do you have what it takes? Many entrepreneurs are leaders by their very nature, but not all may have what it takes to take their companies to the next level. So, how do entrepreneurs determine if their leadership style is good enough to help lead their companies into the future? Consider the following questions: Can you comfortably trust others to manage important company details? Are you considered an innovative thinker capable of addressing critical problems? Are you prepared to take risk that could mean the difference between success and failure? Can you successfully communicate big-picture ideas, while staying away from those things that you don’t do well or are burdensome?
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April 9 Beginning Microsoft Access: 8:30 a.m. to 4:30 p.m., Room 102, RLC Murphy-Wall Pinckneyville Campus. Fee is $40. To register, call 618-357-3742 or email bauersachsh@rlc.edu.
April 10 International Banking 101: 10:30 a.m. to 1 p.m., Room 150, Dunn-Richmond Economic Development Center, 1740 Innovation Drive, Carbondale. Free. A free networking lunch is provided. Participants must register by April 5. To register, call 618-536-2424, email sbdc@siu.edu or visit www.siusbdc.com.
April 16 Using Social Media to Market Your Business (Part 1): 1 to 3 p.m., Room 150, Dunn-Richmond Economic Development Center, 1740 Innovation Drive, Carbondale. Free. Early registration is not required. For more information, call 618-536-2424, email sbdc@siu.edu or visit www.siusbdc.com. ART SERVICES
Many entrepreneurs are leaders by nature, but not all may have what it takes to take their companies to the next level.
Have you created a scalable system that will be useful beyond your current startup culture? The reality is that not all founders are cut out to take their companies beyond a certain point, and that is OK. The key is to figure it out before you end up being called into a meeting like Andrew Mason and you don’t have a choice.
April 18 Starting a Business in Illinois: 9 a.m. to noon, Room 338, RLC MarketPlace, 327 Potomac Blvd. Ste. A, Mount Vernon. Free. To register, call 618-242-5813 or email lemayn@rlc.edu.
April 30 Using Social Media to Market Your Business (Part 2): 1 to 3 p.m., DunnRichmond Computer Lab, Carbondale. $15. Participants must register by April 26. To register, call 618-536-2424, email sbdc@siu.edu or visit www.siusbdc.com.
May 4 CAVANAUGH L. GRAY (cgray@ecafellc.com) is director of business development for The Entrepreneur Café, LLC (877-511-4820). To read a chapter from his new book, “The Entrepreneurial Spirit Lives: 25 Tales to Help Entrepreneurs Start, Grow, and Succeed in Small Business,” log on to www.ecafellc.com. For more information on how to start, grow and succeed in small business, ‘Like’ on Facebook, ‘Follow’ on Twitter @TheECafe or ‘Connect’ on LinkedIn.
Starting a Business in Illinois: 9 a.m. to noon, Room 338, RLC MarketPlace, 327 Potomac Blvd. Ste. A, Mount Vernon. Free. To register, call 618-242-5813 or email lemayn@rlc.edu.
May 15 Starting a Business in Illinois: 9 to 11 a.m., Carterville Community Center, 120 N. Greenbriar Road. An optional business start-up kit is available for $15. To register, call 618-536-2424, email sbdc@siu.edu or visit www.siusbdc.com.
n e e r g / u d www.jalc.e Winner of the 2011
Governor’s Sustainability Award First community college in Illinois to participate in the Illinois Home Performance Equipment Loan Program
http://www.energyequipmentloan.org/index.php The Sustainability Center at JALC was established to help promote sustainable practices in campus departments, to educate students about sustainability issues, to encourage faculty to integrate sustainability into curriculum, and serve as a source of “green” information for the community at large. The college is a member of the Illinois Green Economy Network (IGEN), a partnership of community colleges that includes all 48 community colleges in Illinois. Classes, Degrees, and Certificates: John A. Logan offers classes in green building technology, certificates in Energy Management Systems and HVAC Green Technologies and an associate degree in Industrial Maintenance and Alternative Energy through the JALC Department of Applied Technology. For more information call the Applied Technology department at: (618) 985-2828 extension 8312. Solar Installation Training at John A. Logan: The college offers Solar Electric Design and Installation classes through the Department of Continuing Education. For more information call Barry Hancock, Associate Dean for Community Education: (618) 985-2828 extension 8248.
For more information about the
Sustainability Center at John A. Logan College, please call 618-985-2828 Ext. 8148. CARTERVILLE, ILLINOIS
Other green workforce training: Upcoming classes offered through the JALC Center for Business and Industry includes Illinois Energy Conservation Code training and Building Performance Institute certification. For more information call the Center for Business andIndustry: (618) 985-2828 extension 8506.
John A. Logan College and the JALC Sustainability Center are pleased to be a sponsor of the Sustainable Living Expo. John A. Logan College does not discriminate on the basis of race, religion, color, national origin, disability, age, sexual orientation, or gender orientation.
APRIL 2013
SOUTHERN BUSINESS JOURNAL
19
Business Fine Print Building permits Carbondale Chris and Nancy Pemberton, 405 N. Oakland Ave., $2,500 Kirk Wallace, 302 E. Chestnut St., $5,000 Daniel Hurd, 114 S. Forest Ave., $15,000 Malmahall, LLC, 506 S. Graham Ave., $20,000 Malmahall, LLC, 511 S. Graham Ave., $20,000 Malmahall, LLC, 508 S. Wall St., $20,000 Malmahall, LLC, 504 S. Wall St., $20,000 JC Penney, 1201 E. Main St., $71,000 Roll-n-Up, 600 E. Main St., $15,000 John Poulos, 600 N. Beadle Drive, $50,000 James and Sharon Pope, 809 W. High St., $7,900
Marion Richard Terry, 109 Boswell, $15,000 Dr. Bill Todd, 106 Airway Drive, $15,000 Russell Trust, 1610 N. Russell, $200,000 Pat and Melissa Atkins, 2730 Kokopelli, $50,000 Seever Homes Partnership, 1708 Felts Drive, $174,000
Metropolis Lucian Solution Inc., 209 6th St., $1,500 Metropolis Fire Station, 106 W. 5th St., $4,300
Murphysboro Cameron Smith, 433 N. 7th St., $5,000 Denise Dilberto, 1822 Division St., $36,000 Todd Pierson, 439 S. 15th St., $100,000
Bankruptcies Chapter 7 Dennis W. Gill, 12230 Trinidad Terrace, Marion Michael G. Kearney and Roberta S. Tabor Kearney, 404 W. Reed St., Benton Tracy L. Drew, 105 S. Eighth, Herrin Baron V. Baucom, 1809 W. Main St., Carbondale William J. and Brandi N. Rush, 505 N. Parkhill St., West Frankfort Daniel L. Dooley, P.O. Box 111, Harrisburg Harry W. Clifford Jr. and Roberta K. Clifford, 502 Back St., R.R. 1 Box 35A, Wayne City Tana M. Willis, 64 Illinois 37 South, West Frankfort Larry D. May, R.R. 1, 113B, Dahlgren Brady A. Sherrard, 1526 W. Stotlar, Herrin James W. and Sheryl L. Gentry, 202 Grand Ave., Anna Kennith E. Blythe, P.O. Box 1194, Carbondale
Carmen R. Vandeveer, 2796 Pheasant Run, Marion Daniel Lewis Odom Jr., 507 N. Stuyvesant, Benton Jeremy C. Duty, 611 N. Main, Anna Gordon Tewell and Michelle Parker, 817 W. Malden St., Marion Sylvia Elaine Conaughty, 706 E. Elm, West Frankfort Chesteen M. Urban, 512 S. Cherry, West Frankfort Matthew D. Holley, 4 Colony Drive, Metropolis Betty J. Hutchison, 504 E. Vienna St., Anna Arawana M. Goins, 407 Olmsted Road, Villa Ridge Chad L. Frutiger, 106 Megan Lane, Carterville Erin C. Thien, P.O. Box 118, Percy Leah J. Hutton, 701 E. Stotlar, Herrin Walter F. Vickers and Debbie R. Vickers, 802 S. Hadfield St., Marion Timothy Jacob Hubbell, 3110 Mulberry Ave., Mount Vernon Bobby L. Moses Jr., 502 E. Charles St., West Frankfort Jesse L. and Kirstie L. Peldo, 807 Monroe Ave., Johnston City Karl W. and Teresa M. Hahn, 12 Sassatras Court, Mount Vernon Rita F. Heck, 20900 B N. Papertown Lane, Bluford Laura E. Essick, 104 S. Adams, West Frankfort Steven B. Ambler, 108 Pennsylvania, Carterville Thomas D. Sawyer, 1901 W. Poplar, Harrisburg Tonya Nicole Jungewaelter, 347 E. Buena Vista St., Chester Sammie James Grubbs, 5740 Brown Road, Galatia David B. Smock and Patricia L. Barger, P.O. Box 96, Cambria William F. Gunther, 302 N. Washington, McLeansboro Cr ystal L. Anderson, 1409 Girard St., Metropolis Wesley J. Anderson, 325 Peak Road, Harrisburg James A. VanHorn, 7250 Arkansas Road, Mulkeytown Leah J. Brown, 18920 U.S. 51, Dongola Megan M. Sperry, 18920 U.S. 51, Dongola Alan G. and Lisa D. Steinmetz, 1208 Monroe, Johnston City James E. and Deborah K. Mayberry, 909 N. Cherry St., Mount Carmel Carolyn Ann Gaston, 230 S. 14th St., Murphysboro Anna F. Robinson, 40 A Broderick Place, Murphysboro
Find more business news at www.sbj.biz. Roseann M. Holman, 212 E. Clark St., West Frankfort Paul E. and Ellen L. Shockley, 411 W. Taylor St., Benton Shawn Alan Stanley, 701 E. Park, Du Quoin Marsha K. McGuire, 417 Elles Ave., Carterville Carrie Elizabeth Decker, 3755 Canna Road, Pinckneyville Karin Bodilla Galant, P.O. Box 315, Sesser Donald R. Malinski, 129 N. Walnut, Du Quoin Fallon Denise Cole, 218 E. North, Du Quoin Lilia A. Angel, P.O. Box 3634, Carbondale Donald Lee Howard, 300 S. Glenview, Carbondale Katrina M. Cox, 417 N. Fourth St., Vienna Kelvin D. and Cristine D. Thomas, P.O. Box 82, Bone Gap Colin R. and Niki J. Tritschler, 7534 Bailey Lane, Du Quoin James R. Redpath, 14858 E. Clearview Road, Mount Vernon Catherine K. Diaz, 3418 Westmont, Apt. 6, Mount Vernon April M. Kesterson, 700 S. Jackson, McLeansboro Charles Conndee Lemmons, R.R. 5 Box 2104, McLeansboro Stanford M Sparks, 15579 Ozment Lane, Johnston City William J. Woodhouse, 1620 W. Tyler, Herrin Flossy Jane Becker, 117 W. Second St., Nashville Charles C. Cook, 235 Nobel Ave., Buncombe Tara Rae Nelsen, 2026 Clarke St., Murphysboro Brian Joseph Sims, R.R. 1, Box 116A, Cave-InRock Benjamin A. Wesley, 2479 New Era Road, Murphysboro Catherine Katrinka Stevers, 703 S. Land, Harrisburg Jennifer Dawn Robinson, 602 S. Bentley, Marion Ryan C. Sigler, 9893 N. Nason Lane, Mount Vernon Br yan J. Grzanich, 402 N. Gardner, West Frankfort
Chapter 13 Terry D. and Rebecca R. Glodo, 56 Eastwood Drive, McClure Mary F. Luke, P.O. Box 212, Goreville Steven J. Borta, 401 E. Young St., Sesser Gladys E. Johnson, P.O. Box 103, Colp
Louvania Dee Gibbs, 604 E. Walnut, Carrier Mills John M. and Jenny E. Orr, 505 Victor Lane, Carterville Rodney L. Webb II, 604 W. 10th, Johnston City Dax and Deanna M. Davidson, 1909 E. Elm, West Frankfort Allen L. Brooks, P.O. Box 400, Olive Branch Frank L. and Andrea L. Rice, 250 Elkins Lane, Vienna Brandy J. and Chrystal D. Herron, 23949 Ridgeway Road, Thompsonville Elizabeth A. Lingle, P.O. Box 430, Anna Brian L. Myers, 201 E. North St., Sesser Gerald R. and Linda L. Rodighiero, 350 Shepherd Lane, Anna David L. and Connie R. Bandera, 1500 E. Stotlar, Herrin Trenton L. and Heather M. Waller, 812 Blacktop Road, Du Quoin Jennifer M. Rose, P.O. Box 606, Royalton Loretta F. Collier, 622 McBride, Cairo Devon K. and Melanie L. Swenson, 306 W. Plaza, Carterville Gary G. Melville, 308 S. Jefferson St., Apt 310, West Frankfort Steven Wayne Sargeant, 1007 W. Vine St., Apt. C, Vienna Guy Parks Jr. 12759 Sears Road, Cairo David Scott and Mary Kay Rayborn, 1331 College Drive, Mount Carmel Romelia Newburn, 2579 Normandy Road, Ullin Tonya R. Browning, P.O. Box 42, Olive Branch Bryan C. Hosch, 206 Missouri Ave., Carterville John W. and Angela M. Grant, 1560 Hummingbird Road, Buncombe Rex Gene and Daye Ann Roach, 616 S. Carbon, Marion Timothy L. and Cheri Muse, 4387 Maple Road, Metropolis Kevin E. and Sherry A. Reichert, 1827 Edith St., Murphysboro Carrie D. Cassidy, 202 N. Main, Belle Rive Jamie D. and Stephane R. Rathert, 3282 Willow Road, Du Quoin Rose L. Covington, P.O. Box 4, Cairo Sandy L. Rose and Michael H. Pearl, P.O. Box 606, Royalton Alaina B. Greene, 769 County Road 2500 East, Fairfield Kenneth L. Bradley, 2127 Illinois 37, Marion Matthew T. and Meghan J. Shackleton, 204 N. Reed Station Road, De Soto Allan B. Sweet Jr., 8243 Eden Road, Sparta Kimberly A. Pool, 157 S. Walnut, Apt. 7A, Equality David Vincent and Polly Anne Campbell, 1418 CR 750 East, Carmi