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$1.50/JULY 19 - 25, 2010 Vol. 31, No. 28 SPECIAL SECTION We honor 12 distinguished business leaders for their contributions Page W-1 NEWSPAPER CrainsCleveland.com Port changes course “We’ll run the port based on the facilities today.” – William Friedman (below), CEO, Cleveland-Cuyahoga County Port Authority MARC GOLUB New CEO steers maritime agency toward less lofty goals in a marked departure from previous grandiose vision By JAY MILLER [email protected] See PORT Page 4 Help wanted Local law schools say some firms are seeking unpaid interns in place of summer associates, with some employers favoring stu- dents earlier in their law school careers with the belief that they are less likely to expect a job in the near future. Read Arielle Kass’ story on Page 3. INSIDE Asterisks now come with free checking By ARIELLE KASS [email protected] As a consumer, Pete Collins has noticed banks are doing less advertising for their free checking accounts. As the managing director of Aurora- based business intelligence firm Collins, Williams & Associates, he thinks he knows why. “To make up their lost revenue, they’re going to have to do something,” Mr. Collins said. “The era of fees is coming again in a big way.” Mr. Collins, himself a former banker who now focuses on busi- ness intelligence for banks, said he thinks banks will continue to de-emphasize free checking, looking instead to both fees and relation- ships as they seek more revenue sources. However, he doesn’t foresee all customers paying for their accounts — including those at banks where free checking is a thing of the past. Mary Kay Bean, a spokeswoman for Chase, put “air quotes” around the phrase free checking, as it is Athletic club redo may get moving By STAN BULLARD [email protected] Court filings signal the long- planned renovation of the former Cleveland Athletic Club Building may be starting to come together, albeit at the hands of a different investor than Eli Mann, who has owned the property since 2007 and secured state aid to remake it into apartments. A suit filed by lender Waring Investments Inc. of Clifton, N.J., in Cuyahoga County Common Pleas Court to collect a past-due, $2.9 million loan to CAC Buildings Prop- erties LLC, which is controlled by Mr. Mann, was settled out of court June 30, according to court records. Terms of the settlement were not disclosed, although Judge Brian J. Corrigan retained authority to enforce the private settlement. Investor Ned Weingart of Cleve- land Heights views the settlement as good news because his investor group, CAC Club Ventures LLC, will demand clear title to close the pur- chase of the 15-story building at 1118 Euclid Ave. before its option to buy expires next month. Tom Yablonsky, executive vice pres- ident of the Downtown Cleveland Alliance, which promotes downtown redevelopment, said, “Anything that clears up the situation with the prop- erty might help get the project started.” The four buildings Mr. Mann controls just east of East Ninth Street are the most blighted set of properties on Euclid between Public Square and the city’s Theater District. Although a settlement with Mr. Mann’s lender may go far toward advancing a sale of the CAC Building, other unpaid bills linger for entities controlled by Mr. Mann. For one, the Kohrman, Jackson & Krantz law firm of Cleveland sued another of Mr. Mann’s legal entities See FREE Page 5 See CAC Page 20 New investor plans hotel for downtown building Banks eye revenue in fees, relationships INSIDE: Promos, such as cash and electronics are some banks’ selling points for new products. Page 5 T he Cleveland-Cuyahoga County Port Authority, with the hiring of a new CEO, is getting back to basics. By choosing as its head William Friedman, the former executive director of the Indiana Ports Commission, the Port Authority board has a leader whose expertise is in running waterfront cargo operations and whose inclination is to play the hand he’s dealt. “We’ll run the port based on the facilities today,” he told Crain’s editorial board last Monday, July 12. “We’ve got plenty of land right now,” Mr. Friedman said. “We can move a lot (of cargo) right now.”
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Page 1: Crain's Cleveland Business

$1.50/JULY 19 - 25, 2010Vol. 31, No. 28

07148601032

628 SPECIAL SECTION

We honor 12 distinguished business leaders for their contributions ■■ Page W-1

NEW

SPAP

ER

CrainsCleveland.com

Port changes course

“We’ll run the port based on the facilities today.” – William Friedman (below), CEO, Cleveland-Cuyahoga County Port Authority

MARC GOLUB

New CEO steers maritime agency toward less lofty goalsin a marked departure from previous grandiose vision

By JAY MILLER ■■ [email protected]

See PORT Page 4

Help wanted Local law schools say some firms

are seeking unpaid interns in place ofsummer associates, with some employers favoring stu-dents earlier in theirlaw school careerswith the belief thatthey are less likelyto expect a job inthe near future.

Read Arielle Kass’ story on Page 3.

INSIDE

Asterisksnow comewith freechecking

By ARIELLE [email protected]

As a consumer, Pete Collins has noticed banks are doing less advertisingfor their free checking accounts.

As the managing director of Aurora-based business intelligence firmCollins, Williams & Associates, hethinks he knows why.

“To make up their lost revenue,they’re going to have to do something,”Mr. Collins said.“The era of feesis coming againin a big way.”

Mr. Collins,himself a formerbanker who nowfocuses on busi-ness intelligencefor banks, saidhe thinks banks will continue to de-emphasize free checking, lookinginstead to both fees and relation-ships as they seek more revenuesources. However, he doesn’t foreseeall customers paying for their accounts — including those at bankswhere free checking is a thing of thepast.

Mary Kay Bean, a spokeswomanfor Chase, put “air quotes” aroundthe phrase free checking, as it is

Athleticclub redomay getmoving

By STAN [email protected]

Court filings signal the long-planned renovation of the formerCleveland Athletic Club Buildingmay be starting to come together, albeit at the hands of a different investor than Eli Mann, who hasowned the property since 2007 andsecured state aid to remake it intoapartments.

A suit filed by lender Waring Investments Inc. of Clifton, N.J., inCuyahoga County Common PleasCourt to collect a past-due, $2.9 million loan to CAC Buildings Prop-erties LLC, which is controlled byMr. Mann, was settled out of courtJune 30, according to court records.Terms of the settlement were notdisclosed, although Judge Brian J.Corrigan retained authority to enforce the private settlement.

Investor Ned Weingart of Cleve-land Heights views the settlement asgood news because his investorgroup, CAC Club Ventures LLC, willdemand clear title to close the pur-chase of the 15-story building at1118 Euclid Ave. before its option tobuy expires next month.

Tom Yablonsky, executive vice pres-ident of the Downtown Cleveland Alliance, which promotes downtownredevelopment, said, “Anything thatclears up the situation with the prop-erty might help get the project started.”The four buildings Mr. Mann controlsjust east of East Ninth Street are the most blighted set of properties onEuclid between Public Square and thecity’s Theater District.

Although a settlement with Mr.Mann’s lender may go far toward advancing a sale of the CAC Building,other unpaid bills linger for entitiescontrolled by Mr. Mann.

For one, the Kohrman, Jackson &Krantz law firm of Cleveland suedanother of Mr. Mann’s legal entities

See FREE Page 5

See CAC Page 20

New investor plans hotelfor downtown building

Banks eye revenue in fees, relationships

INSIDE: Promos,such as cash and electronics are some banks’selling points fornew products.Page 5

The Cleveland-Cuyahoga CountyPort Authority, with the hiring of anew CEO, is getting back to basics.

By choosing as its head WilliamFriedman, the former executive director ofthe Indiana Ports Commission, the Port Authority board has a leader whose expertiseis in running waterfront cargo operations andwhose inclination is to play the hand he’sdealt.

“We’ll run the port based on the facilitiestoday,” he told Crain’s editorial board lastMonday, July 12.

“We’ve got plenty of land right now,” Mr.Friedman said. “We can move a lot (of cargo)right now.”

20100719-NEWS--1-NAT-CCI-CL_-- 7/16/2010 3:48 PM Page 1

Page 2: Crain's Cleveland Business

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Drafting the United Nations Charter at The Fairmont San Francisco, 1945

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22 CRAIN’S CLEVELAND BUSINESS WWW.CRAINSCLEVELAND.COM JULY 19-25, 2010

REGULAR FEATURES

CORRECTION

Best of the Blogs .........23Big Issue .......................8Classified ....................22Editorial ........................8Going Places ...............10List: Assisted livingcenters .....................21

Reporters’ Notebook....23The Week ....................23What’s New..................23

COMING NEXT WEEK

Some local institutions suchas Cleveland StateUniversity are incorporatingmore ameni-ties as theymodernize student centers. We explore in our Higher Educa-tion section how the centersare evolving into a homeaway from home.

A place to relax

Audit Bureauof Circulation

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There’s talk lately of an economic slowdown, but the Business Roundtable’s CEO Economic Outlook Survey for the next six months is fairly optimistic. The organiza-tion, which is an association of CEOs of U.S. corporations with a combined workforce of 12 million people and nearly $6 trillion in annual revenue, says membersexpect improved sales and some hiring gains, though they’re still cautious on capital spending. Here’s how results of the survey, released in late June, comparewith those of the group’s first-quarter survey:

HOPE THEY’RE RIGHT

Increase Decrease No change

Sales 73% 79% 5% 4% 23% 17%

Capital spending 47 43 7 7 46 50

U.S. employment 29 39 21 17 50 43

SOURCE: SOURCE: BUSINESS ROUNDTABLE; WWW.BUSINESSROUNDTABLE.ORG

1Q 2Q 1Q 2Q 1Q 2Q

Survey on economic outlook for next six months, first-quarter to second-quarter sentiment

A July 12, Page 12 story incorrectlyincluded Lexus among the brands ofnew automobiles sold by BernieMoreno in Northeast Ohio.

20100719-NEWS--2-NAT-CCI-CL_-- 7/16/2010 12:07 PM Page 1

Page 3: Crain's Cleveland Business

By CHUCK [email protected]

It seems Bill Fox left Fathom SEOin good shape.

In the midst of the recession, thesearch engine marketing companyposted record sales in 2009 afterseveral years of growth, and so far2010 sales have been even better,said CEO Scot Lowry.

That’s not to say 2010 has beenan easy year for the Valley Viewcompany. In March, Mr. Fox, whofounded the company, died of a heartattack at a Fathom SEO sales officein Fort Lauderdale, Fla. He was 50.

When Mr. Fox died, the companynot only lost its founder and CEO,but it also lost a good friend, saidMr. Lowry, who was Fathom’s chiefoperating officer before assumingMr. Fox’s title.

“You wouldn’t meet a guy whowas more full of life and more fun,”

Mr. Lowry said.The company he built, however,

should be able to maintain the momentum that has driven its salesup by roughly 30% in each of the lastthree years, Mr. Lowry said. Sales in2009 exceeded $8 million, and thefirst half of 2010 has been particu-larly strong, he added, noting thatrevenue should surpass $10 millionthis year.

“We’re seeing the market startingto heat up a bit,” Mr. Lowry said.

Demand for search engine marketing services — which areaimed at helping companies attractonline customers through searchengines such as Google and Bing —has been on the rise for years. The

size of the market tripled from $4.1billion in 2004 to $12.2 billion in2007, according to the Search EngineMarketing Professional Organiza-tion’s State of Search Report 2010.

The market since has continuedgrowing but at a slower rate, hitting$14.6 billion in 2009, the report stated.

The past three years have beenparticularly kind to the top line at Fathom SEO, which became a company in 2005 after spinning off from information technology services firm Fathom IT Solutionsof Cleveland.

Some of that success is the resultof the company expanding beyondthe specialty it was named for,

“(Businesses have) started to become more attuned tothe entire (search engine marketing) ecosystem.” – Chris Boggs, president, Search Engine Marketing Professional Organization

JULY 19-25, 2010 WWW.CRAINSCLEVELAND.COM CRAIN’S CLEVELAND BUSINESS 3

INSIGHT

THE WEEK IN QUOTES“Free checking hassort of been losing itsluster. It almost became a nasty word.It wasn’t free, whenpeople got down toit.”— Greg Mulach, Fifth Third Banksenior vice president and headof retail banking in NortheasternOhio. Page One

“It was a way tobridge traditionalads with digital communication. …You can create thatbridge and take aperson to a place onthe web where multimedia kicks in.”— Cindy Fink, Cleveland Museumof Art director of marketing andcommunications. Page 6

“We are so far awayfrom trend. I’m tiredof that. … I don’twant them to everthink it’s ‘last season.’I want to make piecesthat people are collecting.”— Heather Moore, founder,Heather B. Moore Inc., whichmakes personalized fine jewelry. Page W-6

“We die as we’velived, and it’s our jobto make sure thatyour dying is whatyou believe it shouldbe.”— Pat Stropko-O’Leary, executive director, Hospice ofMedina County. Page W-7

UA prof confident in clean coal technique

JASON MILLER

Steven Chuang (left), a professor of chemical and biomolecular engineering at the University of Akron, with the help ofstudents including Ph.D. candidate Mathew Isenberg, is working on a method to capture carbon dioxide emissionsfrom coal.

Momentum builds locally to better containcarbon dioxide; FirstEnergy, others pitch inBy CHUCK [email protected]

Only now is Steven Chuang confident enough to say that he expects the University of Akron —with help from FirstEnergy Corp. —to become a leader in developingclean coal technologies.

The university last month formallyestablished its FirstEnergy AdvancedEnergy Research Center, financedpartially by a $2 million grant theuniversity received from the Akron-based electric utility in 2008.

Back then, Dr. Chuang, the center’sdirector, only could describe howhis idea might give coal-fired powerplants a better way to capture thecarbon dioxide they emit. Today,however, he can show how it’sdone: In one of his laboratories sitsa 5-foot-tall rack of pipes hooked upto three containers designed to capture small amounts of the gasthat many say is the cause of globalwarming.

“This is a golden moment to formthe center. We have a technology in

a solid format, and there’s realprogress there,” said Dr. Chuang, aprofessor in the Department ofChemical and Biomolecular Engi-neering.

The center, which also is devel-oping a coal-powered fuel cell, isn’tNortheast Ohio’s only effort toclean up carbon emissions fromcoal. Aside from its contribution tothe center, FirstEnergy in 2008 allowed the Battelle research thinktank in Columbus to use its R.E.Burger coal-fired plant in south-eastern Ohio in one of many exper-iments nationwide aimed at testingthe ability of different geological formations to store captured carbondioxide underground. However, theground near the plant was able tohold only 12 tons of carbon dioxide,as opposed to the 3,000 tons Battellehoped to store.

In addition, Babcock & WilcoxPower Generation Group of Barbertonis working on multiple technologiesaimed at helping power plants capture carbon emissions. It even

See COAL Page 9

Search engine adviser’s growth easy to fathomLate CEO’s foundation works as rising demand leads to sales uptick

Summers freenow has newmeaning forlaw studentsSchools report moreunpaid labor requestsBy ARIELLE [email protected]

Law students continue to face difficulty in their quest to find employment in their field while stillin school unless they’re willing towork for free, Northeast Ohio lawschools are reporting.

Local law schools said employerssometimes are reluctant to pay summer associates and instead areseeking unpaid interns, with someemployers favoring students earlierin their law school careers in the belief that they will be less likely toexpect a job in the near future.

Barbara Weinzierl, director of theoffice of career planning for the University of Akron School of Law,said she has had “a couple” potentialemployers call, saying they wouldlove to hire an Akron law student,but that it wasn’t in their budgets todo so. Ms. Weinzierl said as wonderfulan experience as working for thosefirms or companies might be, shewas not advertising the unpaid posi-tions, which she thought might be inviolation of wage and hour laws.

“I don’t feel comfortable advertisingsomething that might be underscrutiny from the Department of Labor,” Ms. Weinzierl said. “That’snot to say that it’s not going on outthere.”

See UNPAID Page 20

See FATHOM Page 20

search engine optimization,which is the practice of designinga web site to appear higher insearch engine rankings. For instance, Fathom SEO has increased its focus on “pay-per-click” advertising, which appearsalongside search results, and itnow films videos for clients touse online, which can boost aweb site’s search ranking, Mr.Lowry said.

The company also has hadsuccess retaining and winningnew business from existingclients, according to Mr. Lowry.

Employee ranks growThose successes have driven

the company to add 12 peoplesince the start of 2010, bringingits staff to more than 70, Mr.Lowry said. One new hire, KevinHerendeen, was brought on toserve as controller, giving Mr.Lowry time to take on the CEOrole, and to head up a business

20100719-NEWS--3-NAT-CCI-CL_-- 7/16/2010 2:47 PM Page 1

Page 4: Crain's Cleveland Business

That’s a different approach thanthe one taken by the port board andMr. Friedman’s predecessor, AdamWasserman, who resigned abruptlylast November under board pres-sure. Then, the focus was on a grand,long-range plan to move the docksand redevelop Cleveland’s lakefront.

One of Mr. Friedman’s first moveswill be to see if he can resuscitateplans for a passenger and cargo ferry service across Lake Erie thatcould attract freight that now travelsby truck around the lake. That planhas stalled because no communityin Ontario has been willing to be theCanadian terminus of the shuttleservice, partly because of the upfrontcost of creating a terminal.

Mr. Friedman also is exploringbringing container freight service tothe docks. Containers are cargo boxesthat move easily from ships to rail carsto truck trailers, and they’re expectedto be the fastest-growing segment of the shipping industry. But few nowenter the Great Lakes because no onehas figured out how to make lake container ships competitive on a costbasis with inland shipping by rail ortruck.

Don’t assumeEven if the Port Authority’s mar-

itime operations were to decamp fromtheir downtown location to anothersite along Lake Erie, Mr. Friedman saidthe new port would be smaller thanthe 200-acre one planned under Mr.Wasserman. The former CEO’s since-abandoned concept for a $500 millioncomplex of docks and warehouses atEast 55th Street was premised onbringing a large amount of new

44 CRAIN’S CLEVELAND BUSINESS WWW.CRAINSCLEVELAND.COM JULY 19-25, 2010

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Port: CEO focuses on shipping,starting ferry service across lakecontinued from PAGE 1 container cargo to Cleveland.

“I wish that was an assumptionwe could make,” Mr. Friedman said.“But there are reasons it hasn’t happened in 50 years.”

Mr. Friedman said changes intransportation economics, particu-larly rising fuel costs for trucks and areturn to the brisk level of interna-tional trade that clogged U.S. coastalseaports before the economy soured,eventually could alter the situation.But, he said, it won’t happen soon.

“There is a lot of capacity on theeast and west coasts and on the Gulf(of Mexico),” he said. “We can’tcompete with that infrastructure,but there are some niches.”

Mr. Friedman said he wants to diversify the cargo coming into thePort of Cleveland beyond the ironore and finished steel that nowmake up the bulk of the shipmentscrossing the docks. Potential niches,he said, are a cross-lake ferry serviceto carry passengers, their cars andtrucks and a shuttle service fromMontreal or Halifax, Nova Scotia,with ships carrying containers andother cargo.

“There is enormous trade betweenthe United States and Ontario,” Mr.Friedman said, and he believes someof the shipments connected with thatbusiness could be moving throughthe lakefront docks.

High hopesLast month, the Port Authority

agreed to spend $415,000 to hire ateam of consultants that will be ledby Martin Associates of Lancaster,Pa., a maritime specialist that hasworked for the Port Authority in thepast. Under this engagement, theconsultants will develop a new busi-ness plan that will assess opportu-nities to increase shipping throughthe port.

And because the city of Cleveland’s20-year waterfront plan envisionsmoving the docks, Martin Associatesalso will examine alternative loca-tions for the Port Authority’s docksand maritime terminals.

Though Mr. Friedman has onlybeen on the job since June 1, he already has made some favorableimpressions.

“I have high hopes for Will,” saidJohn D. Baker Sr., secretary-treasurerof Local 1317 of the InternationalLongshoremen’s Association. Themembers of Mr. Baker’s unionmake their living loading and unloading ships, and he had beencritical of what he saw as more than a decade of inattention to theshipping business under the Port Authority’s last two CEOs.

“Will knows what a ship lookslike,” Mr. Baker said.

Other Port Authority critics andwatchers are equally optimistic.

“Everybody is anticipating thatthe port business will be improvedand the Port Authority will get backto focusing on marketing,” said JimCox, executive director of the FlatsIndustry Association, which repre-

sents businesses along the lake andriverfront, many of which rely onthe water for their livelihood.

Dominic LoGalbo, commanderof the Greater Cleveland BoatingAssociation, is simply relieved thePort Authority isn’t moving to East55th Street. That change would havewiped out a boating marina andgenerally would have made navigatingwithin the lake break wall more difficult for boaters, he said.

“To me the port should staywhere it is,” Mr. LoGalbo said.“Somewhere along the way, theylost their way.”

Tough nut to crackDespite the new direction, Mr.

Friedman still knows he must address a key issue from the earlieragenda besides moving the port —namely, finding a place for the siltthat runs down into the navigablestretch of the Cuyahoga River. Theriver must be dredged and the siltdumped to keep the channel opento shipping as far down as theArcelorMittal steel plant.

The Port Authority had intendedto build its new port docks at East55th Street on top of filled-in landcreated as part of a confined disposalfacility, or CDF, in engineering jargon. A CDF is necessary becausethe U.S. Army Corps of Engineersneeds a place to dump the silt it regularly dredges from the river bottom to maintain a sufficientdepth to allow the big boats to continue to navigate the river.

The Port Authority continues towork with the Corps to find short-term solutions for dumping thedredge material. The problem ispaying the local share of the cost.

Until a recent change in federallaw, the cost of dredging was covered in its entirety by the federalgovernment. Now, when the currentdisposal site near Burke LakefrontAirport is filled, local communities— not necessarily the Port Authority— will pay 25% of the cost of dredgingwork.

Because it has managed the localend of the dredging in the past, thePort Authority expects to continuein that role. But it needs to find themoney for the local share.

Paying the local share wouldburst the Port Authority’s currentoperating budget, so it must look tonew sources of revenue to cover thecost. That money could come froma new tax or grants from state orfederal transportation funds.

Late last week, Mr. Friedmanwent to Washington, D.C., to enlistthe local congressional delegationin the effort to cover the local dredgingcost. Mr. Friedman said he alsohopes to defray some of the cost byselling dried river dredge to devel-opers as fill dirt.

“Upland placement is wherewe’re headed,” Mr. Friedman said,referring to the practice of movingdredge material off the lakefront todry land. ■

20100719-NEWS--4-NAT-CCI-CL_-- 7/16/2010 3:16 PM Page 1

Page 5: Crain's Cleveland Business

offered at Chase. While she wouldnot say how many customers pay tohave checking accounts at the bank,she said the fees — from $6 to $25 amonth, depending on the account —can be waived if customers meet certain minimum balances, use direct deposit or make a prescribednumber of debit card transactionseach month.

Such exemptions aren’t new atChase, nor are they new at ThirdFederal Savings & Loan, wherechecking customers are charged a $5monthly fee unless they have eithera mortgage with the bank or upwards of $1,500 in deposits inThird Federal accounts.

But at Third Federal, checking accounts are seen “primarily as aconvenience for loan customers,”spokeswoman Jennifer Rosa said,and not as stand-alone products.

Other banks are newer converts tothe idea of tying free checking to relationships or fees. Greg Mulach,senior vice president and head of retail banking in Northeastern Ohioat Fifth Third Bank, said the bankeliminated its free checking optionlast September.

“I think it’s been a very goodmove,” he said. “Free checking hassort of been losing its luster. It almost became a nasty word. It wasn’t free, when people got downto it.”

In the past, Mr. Mulach said, customers paid extra when theyoverdrafted their accounts or used

JULY 19-25, 2010 WWW.CRAINSCLEVELAND.COM CRAIN’S CLEVELAND BUSINESS 5

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Free: Financial reform likely to influence product mix

Want an iPod Touch? You couldspend $199 at the Apple Store, oropen a checking account at KeyBank.

The giveaway is one in a seriesthat Key offers, often of electronics,to get people in the front door.

“The different types of promotionshelp differentiate Key,” said ToddHays, senior vice president and retailexecutive in Northeast Ohio. “Theybreak through the market clutter.”

While some banks use such offersto attract certain clients, others do itto keep up. Rob Soroka, senior vicepresident of retail banking at Hunt-ington Bank, said cash has becomethe latest fad.

“We do it because our competitorsdo it,” he said.

In some cases, banks have steppedaway from such promotions. GregMulach, senior vice president andhead of retail banking in NortheasternOhio at Fifth Third Bank, said customers who open an account

because of a promotion are less likelyto remain.

“They don’t tend to attract a rela-tionship,” he said. “They just comefor the cash or for the toaster.”

If Fifth Third does have promotionsin the future, Mr. Mulach said he expects them to have “hooks,” like arequirement for direct deposit or debitcard transactions, as Key’s does.

Trading one big giveaway for offerssuch as a points program is becominga more frequent occurrence.

The gifts, though, aren’t always intended as a carrot for customers.Sometimes, Ohio Savings Bankspokeswoman Donna Winfield said,they’re a way to say thank you. All ofthe bank’s gifts are worth $10 orless, she said, and include kitchenitems such as Pyrex storage pieces.

“It’s a welcome surprise,” she said.“It’s really more about the productsand services we offer. That’s our focus.”

Gifts come with checking accountscontinued from PAGE 1

other banks’ ATMs. Now, they receive some services, such as outside ATM use, free of charge orat discounted rates, and customersknow what they must do to avoidusage charges altogether.

Ties that bindWhile banks such as Bank of

America, which does not have

branches here, are exploring elimi-nating their free checking products,Fifth Third appears to be the onlyone operating in Cleveland that already has done so. Banks such asPNC, Charter One and Ohio Savingssaid they continue to offer freechecking accounts and do not haveplans to do otherwise.

The key for Fifth Third and other

banks is to make their institutionsthe primary destination for an indi-vidual’s banking activity.

“Our focus is on relationships,”Mr. Mulach said. “We want to buildsomething long lasting with our customers.”

A customer who only has a freechecking account typically stayswith a bank for a year or a year and ahalf, he said. By adding a savings account, credit cards or other services, banks can increase the average life of a customer to four orfive years.

KeyBank still offers free checkingaccounts, but increasingly is lookingto focus on relationship banking,said Todd Hays, senior vice presi-dent and retail executive in North-east Ohio.

KeyBank constantly is reviewingits product mix and Mr. Hays said he had no immediate comment onthe future of free checking at thebank.

He did say, though, that Key ismore likely to require more relation-ships than to simply do away withfree accounts.

Relationship banking is what Keyseeks to foster in its promotions.That’s the case currently with aniPod Touch that new checking account customers can receive ifthey make a debit card transactionand complete two direct deposits orautomated payments of more than$100 in addition to simply openingthe account.

“We want to drive as many clients

as we can into the door,” Mr. Hayssaid. “It’s how we attract new clientsinto the bank. We wow them withour approach, then they never wantto leave.”

Staying the courseRob Soroka, senior vice president

of retail banking at HuntingtonBank, said it’s the free checking itselfthat brings in customers. Expandinghours, which the bank did earlierthis year, also helps provide morevolume.

“There are pressures, but we are finding new ways,” Mr. Sorokasaid.

James Thurston, a spokesman forthe Ohio Bankers League, said he expects to see an increase in fee-based accounts, or those that requireother relationships, as the nation’sbigger banks move away from freechecking, calling it a trend where“others will follow suit over time.”Mr. Thurston said part of the appealamong bigger banks is a chance tomake up fees that are lost in a new financial reform bill; those includeinterchange fees that are paid tobanks from retailers where creditand debit cards are used.

But others see free checking staying for the long run, at least attheir banks.

“It certainly is a big part of ourhistory,” said Ben Benack, vice presi-

dent of product management at Dollar Bank in Pittsburgh. “DollarBank has offered free checking as longas we’ve offered checking.” ■

20100719-NEWS--5-NAT-CCI-CL_-- 7/16/2010 11:56 AM Page 1

Page 6: Crain's Cleveland Business

66 CRAIN’S CLEVELAND BUSINESS WWW.CRAINSCLEVELAND.COM JULY 19-25, 2010

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Hopkins facelift pays off early onFour-year effort toupgrade terminal has yielded moreconsumer spendingBy JAY [email protected]

It’s a big year for Cleveland HopkinsInternational Airport.

Although a cloud hangs over Hopkins in the form of the proposedmerger of Continental and United airlines, the airport is holding a partynext Monday, July 26, to celebrateboth a four-year effort to spruce up itsterminal and retail operations and its85th birthday as the nation’s first municipally owned airport.

When he arrived to be Cleveland’sairports chief nearly four years ago,Ricky D. Smith pledged to make thecity-owned airport more attractiveto passengers and airlines. He began by reorganizing the flow of the airport’s ground transportation, notably its parking lots and taxi service,then brought in BAA USA, a retailerspecializing in airports, to transformHopkins’ retail operations.

BAA is using its “Airmall” conceptat Hopkins, a marketing strategy thefirm’s British parent pioneered inEurope. The idea, reinforced with theslogan, “Regular Mall Prices … Guar-anteed,” brings local and nationalrestaurateurs and merchants andlower prices to airport retailing.

By the end of this year, BAA willhave redeveloped 76,000 square feetof retail space at the airport. Amongthe new retailers for travelers to sample are Hudson News and HudsonBooksellers, Quaker Steak & Lube

and Great Lakes Brewing Co.The city also has updated the

concourses and restrooms.Though passenger satisfaction

hasn’t been gauged formally, thestrategy is succeeding financially. Theaverage retail dollar spent per passenger has risen since Mr. Smith’sarrival to $12 per passenger from $5.

“Our goal is to get to $15 per passenger,” he said.

Every dollar countsThe city gets a portion of that

revenue and that share is importantbecause of the complicated finan-cial structure of airports. Every dollar the city nets from parking,food operations and other conces-sions makes Hopkins less costly to theairlines, which pay Hopkins landingfees. The lower the fees Hopkinsneeds to charge the airlines tomaintain its operations, the morewilling they are to keep or increaseservice at Hopkins, which some observers say is critical to the region’s attractiveness to businesses.

Mr. Smith said the landing feehas dropped to $2.45 per ton of aircraft from $6 per ton in 2009.

“It’s been a struggle keeping (thelanding fee) down because traffic isdown,” Mr. Smith said.

Mr. Smith said his staff has beendoing the kind of business develop-ment spadework that could lead to anew airline or two flying into Hopkinsor to the addition of service by an existing airline. But, until the Con-tinental-United merger is resolvedand the economy stabilizes, it’s un-likely Hopkins will land new business.

Even so, Mr. Smith believes hehas succeeded in his pledge to improve the airport. It appears he’sright, based on anecdotal commentsby travelers, even though the airport’s

ranking in an annual survey of airports doesn’t reflect any change.

Decent early reviews“I like it, it’s a very neat place,”

said Robert Salmon of Chevy Chase,Md., a semi-retired business con-sultant and former Clevelander whoflies into Hopkins to visit family andthrough it on business trips.

“The prices (at the restaurants andother retailers) seem reasonable compared to other places,” he said.

He’s been through Hopkins threetimes in the last six months, he saidin a phone call. He considers it thebest transfer point when he’s travelingon business to the West Coast.

“The chance of being on timethrough Cleveland is better thanother places,” he said.

Other travelers agreed.“It’s friendlier and definitely

cleaner,” said Terry Aiken of Hudson,a real estate agent with the KellerWilliams brokerage, who was at theairport last Wednesday to meet hisson’s plane. “The pickup area ismuch improved.”

BAA has put a Dunkin’ Donutscoffee shop in the baggage claimarea, which until now has lackedany food service. It also put aDunkin’ Donuts and Hudson Newscafé in the ticketing area, along withtable seating. Until now, that con-course, which is outside the securedarea, has not had any food service.

Paul Barnes, national sales manager for Hunter Laboratories Inc.in Reston, Va., said the airport“smelled musty” when he got off theplane last Wednesday, but he wasotherwise complimentary.

“It’s starting to shape up, althoughthey’ve got a ways to go yet,” he said.“The food court is looking more hospitable than in the past.” ■

Art museum quick to try new ad formatBy SHANNON [email protected]

You might have seen the two-dimensional, black and white boxesaround town and wondered whatthey were.

Located on kiosks and in newspaperads, the boxes have lines running inall directions and are called quick response — or QR — codes. Thoughthey’re popular in countries such asJapan and Canada, the ClevelandMuseum of Art is among the first toadopt them in Northeast Ohio aspart of its marketing strategy.

“It was a way to bridge traditionalads with digital communication,”said Cindy Fink, the museum’s director of marketing and communi-cations. “You can create that bridgeand take a person to a place on theweb where multimedia kicks in.”

Using a smart phone, a consumercan download a free application toenable the phone to take a picture ofthe QR code, which then will imme-diately connect the person to a website that provides more informationon the topic advertised. The consumercan watch videos, read more aboutan exhibit or learn where and whento see it, Ms. Fink said.

“They’re going to land on the exact page we want them to landon,” Ms. Fink said. “We could reallydirect their (Internet) path.”

Posters with the quick responsecodes will be on 11 kiosks down-

new things, Mr. Brokaw said. Theuse of QR codes is one way to makethe art museum more accessible andattractive to young audiences, he said.

The campaign coincides with thereopening of 17 galleries at the artmuseum that had been closed forconstruction, Ms. Fink said.

Though QR codes have been slowto catch on in the United States, theirpopularity is expected to rise nowthat 50 million Americans havesmart phones, Mr. Brokaw said.

QR codes were tested on kiosks atCase Western Reserve University twoyears ago by Mobile Discovery Inc.,a mobile marketing firm in Reston,Va. During a two-week campaign,thousands of people clicked on theQR codes to register for free prizes,said David Miller, CEO of MobileDiscovery.

Mr. Miller said Americans’ shortattention span is precisely what willboost the use of QR codes in the nearfuture.

“The fact that the U.S. has a littlebit of (attention deficit disorder) iswhat makes them successful,” Mr.Miller said.

Ms. Fink said some museums areusing QR codes in the galleries toprovide audio tours of the artwork,and the Cleveland Museum of Art isconsidering following their lead.

“As more and more people adoptand use smart phones, it makes senseto use (QR codes) in museums,” shesaid. ■

town and in Little Italy, Tremontand Ohio City until Aug. 2. Print adsare running in The Plain Dealer andScene, said Tim Brokaw, managingpartner at Cleveland advertisingagency Brokaw Inc., which helpedthe art museum create the ad cam-paign. Posters with the codes alsowill appear in bars and restaurants,Ms. Fink said.

The art museum chose to experi-ment with QR codes for the first timeto become more attractive to thosepeople who often are early adoptersof technology and are willing to try

When consumers photograph “quickresponse” ads with a smart phone, thebar code takes the user to a specificweb page on the advertiser’s site.

20100719-NEWS--6-NAT-CCI-CL_-- 7/16/2010 3:15 PM Page 1

Page 7: Crain's Cleveland Business

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Page 8: Crain's Cleveland Business

Ithought waiting might take the stingaway, perhaps temper my comments.Maybe even lead me to a differentconclusion about LeBron James.

Nope.The day after the airing of “The Deci-

sion,” the self-absorbed ESPN special toannounce LeBron’s intentions as a freeagent, I was with Darrell McNair, athoughtful CEO who has a habitof looking at things with a thor-ough attention to detail.

“What LeBron did was murder,” Darrell said. “Not invol-untary manslaughter, mind you.This was premeditated murder.”

He wasn’t being literal, ofcourse; he was describing themanner in which LeBron slappedthe Cleveland Cavaliers and allof Northeast Ohio in the face.

To stage this TV special to shine thelight on himself, and try to wrap it in theform of some contribution to the Boysand Girls Club, was shameful. It was acalculated attempt to bring more atten-tion to the LeBron brand, and it was apathetic failure.

For the first time in his young life, LeBron James acted his age and joined theranks of the other self-obsessed athleteswe’ve watched in the glare of TV lights.“I’m taking my talents to South Beach andthe Miami Heat,” he told Jim Gray, who Ionce respected as a commentator. In this,he was a paid actor in an attempt to wrapthis farce in journalistic credibility.

I thought it was telling that LeBron chose the words “SouthBeach,” rather than “Miami.” It’sas if he couldn’t wait to get to theflashy strip of clubs, restaurantsand hotels that rejuvenated aonce-decrepit neighborhood. Heseems to be choosing a lifestyleas well as the chance to join theother two high-profile freeagents, Dwyane Wade and ChrisBosh. So be it; he has the right to

peddle his wares anywhere he chooses. Hedid, however, owe the Cavaliers a phonecall before trumpeting his decision. But hedidn’t have the guts.

Then came the bombast from DanGilbert, who excoriated his former superstar player as a coward and vowed

that his Cavaliers would win an NBA titlebefore the newly energized Heat. We’llsee about that, but if it doesn’t happen,it won’t be because of a lack of will on thepart of Mr. Gilbert. He has shown repeat-edly since buying the team that he intends to give the organization everytool to win.

As for that $100,000 fine NBA Commis-sioner David Stern slapped on him, theowner must have known he’d get hit hardfor his rant. He’s too smart to have spoutedoff without thinking. His comments weremeant to express the same betrayal felt byall Cavaliers fans.

We can only wait and see how the triumvirate plays together in Miami andwhether the trio can share the spotlight,let alone the ball. And will they play thedefense needed to win championships,or just want to dazzle the fans with theirdunks?

Only time will tell, but for now, life goeson in Cleveland. We’ll recall the winningseasons LeBron James brought to thisteam, but I hope we never, ever see his jersey in the rafters of Quicken Loans Arena. He doesn’t deserve it. ■

88 CRAIN’S CLEVELAND BUSINESS WWW.CRAINSCLEVELAND.COM JULY 19-25, 2010

Cut the carpA

fter looking on helplessly for three monthsas one ecological disaster has unfolded inthe Gulf of Mexico, President Barack Obamafinally may be realizing it would be a good

idea to head off another from developing in theGreat Lakes. Or so we hope.

Little did we know when we were writing our “Carpcrapshoot” editorial for last week’s issue that Gov.Ted Strickland and Ohio Attorney General RichardCordray were doing some writing, too. They sent aletter dated July 8 to Mr. Obama pleading with thepresident to take emergency action to stop the poten-tial invasion of Asian carp into Great Lakes waters.

It’s unusual for two high-profile members of apresident’s own party to take a demanding tonewith the big boss. However, the immediacy of thethreat posed to native aquatic life by the voraciousAsian carp and the devastation the invader couldinflict on Ohio’s fishing and tourism industriesleaves no time for subtle suggestions that the Obama administration take a less contemplativeapproach to the problem.

With evidence growing that electric barriers aren’tkeeping the big fish from advancing into tributariesof Lake Michigan, Messrs. Strickland and Cordraydo not mince words in calling for the immediateconstruction of a permanent physical barrier in theCalumet River between Chicago’s Lake Calumet,where an Asian carp was caught last month, andLake Michigan.

“While it is always an admirable goal to find thebest, most precise solution to any problem, in thiscase it is entirely impractical,” they wrote. “By thetime we identify a better solution to the permanentphysical barrier, if there is one, it will be too late. Wecannot tolerate further delays in the construction ofa physical barrier, nor maintain the current ‘studyand monitor’ status quo as the only solution.”

In their letter, the two men asked Mr. Obama tohost an emergency summit today, July 19, to addressthe Asian carp issue. That isn’t happening. However,Amanda Wurst, a spokeswoman in the governor’s office, said the White House late last week indicated itwould convene a summit in the next 30 days.

Also last week, U.S. Sen. Richard Durbin of Illinoisannounced the Obama administration planned toname an Asian carp czar within a month to overseestate and federal efforts to keep the fish in check.

Both steps are welcome. However, we fear theyonly will add weeks, if not months, to the alreadydrawn-out process of addressing the carp threat.

Any lengthy delay would be regrettable, especiallyin light of the ongoing mess in the gulf. The massiveoil leak there put Mr. Obama in a reactive position.In the case of the Asian carp, the president couldavert an ecological calamity before it happens. Instead, it appears he has been trying to appeaseshippers in his home state of Illinois who don’t wantto see their inland waterway connections disrupted.

As any commercial or sport fisherman knows, efforts over the last 30 years to improve the waterquality of the Great Lakes have yielded wonderfulresults, with fish such as walleye now in abundance.It would be a crime to see that hard work destroyedby a failure to act. The carp must be cut off ASAP.

FROM THE PUBLISHER

BRIANTUCKER

LeBron killed more than his legacy

PUBLISHER/EDITORIAL DIRECTOR:Brian D.Tucker ([email protected])

EDITOR:Mark Dodosh ([email protected])

MANAGING EDITOR:Scott Suttell ([email protected])

OPINION

ANDREW STEBBINS Cleveland“I saw a great picture of (theBrowns’) Josh Cribbs goingaround the Internet … some-thing about the Browns orsomething from Dan Gilberttalking about the Cavs and howthey’re still our team.”

THE BIG ISSUE

JORDAN MARKHAM Brecksville “I think they should put up theCleveland Indians.”

HELEN RHYNARD Cleveland“The Cavs … the new Cavswithout LeBron.”

BEN ANDERSON Cleveland Heights“(Browns president) MikeHolmgren. … I fully expectthat if he gets the team’s attention and gets the resultshe has in other places thathe’s going to return us tosome long overdue past glory.”

Now that the LeBron James banner that was hanging in downtown Cleveland has been removed, what should go upin its place?

➤➤➤➤ Watch more people weigh in by visiting the Multimedia section at www.CrainsCleveland.com.

20100719-NEWS--8-NAT-CCI-CL_-- 7/16/2010 11:56 AM Page 1

Page 9: Crain's Cleveland Business

has a joint marketing agreement inplace to help sell another company’stechnology.

The government is becoming involved, too. Sens. George Voinovich,R-Ohio, and Jay Rockefeller, D-W.Va., last week introduced legislationthat would add a fee to utility bills to finance $20 billion in research and development related to carbon capture and sequestration technologyover the next 10 years. The bill alsowould promote the adoption of suchtechnologies by giving tax breaks topower plants that use them.

Plus, the state of Ohio in 2008passed a jobs bill that included $66million to fund clean coal projects.That’s on top of bonds the state regularly issues to finance coal researchand development.

Two is better than oneIt’s no coincidence that Dr. Chuang

has received money from FirstEnergy,Babcock & Wilcox and the state ofOhio, given their common interests.He has received two grants fromBabcock & Wilcox’s Barberton divi-sion, part of Babcock & Wilcox Co. ofLynchburg, Va., and each year he secures about $80,000 from the OhioCoal Development Office. The bulkof his financial support, however,comes from the federal governmentand now FirstEnergy.

That money helps Dr. Chuang buyequipment and pay stipends to almost all of the 30 undergraduateand graduate students who do research in his laboratories.

One of his labs contains the machines that his team uses to test amethod of pulling carbon dioxidefrom a stream of air with a solidamine as opposed to a liquid. Thesolid, he said, is more effective because liquids typically used for theprocess are diluted with water, resulting in less contact betweencarbon dioxide molecules and theamine molecules that catch them.

Dr. Chuang said he expects thetechnology to be ready for commer-cialization in two or three years,while the coal-powered fuel cell willtake another four or five years to

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continued from PAGE 3

Coal: Technology plays to region’s strengthsrequests for an interview. On its own,the company is developing ways toimprove liquid solvents to removecarbon dioxide from coal plant emis-sions, and it has developed a tech-nology that replaces air used in thecoal combustion process with nearlypure oxygen, resulting in a gas streamof nearly pure carbon dioxide.

The presence of Babcock & Wilcoxgives Northeast Ohio an edge whenit comes to taking advantage of theeconomic development opportunitiesrelated to clean coal, though it isamong many blue chip companiesdeveloping technologies, said TomSarkus, deputy director of the officeof major demonstrations at the National Energy Technology Labora-tory in Pittsburgh. Mr. Sarkus said heexpects carbon capture and storagetechnologies to become widespreadas they become more affordable during the 2020s.

The state of Ohio is interested incommercializing more clean coaltechnologies, but to date just $11.5million of the $66 million allotted to such projects in the 2008 jobs billhas been awarded so far, said MarkShanahan, director of the Ohio AirQuality Development Authority,which oversees the Ohio Coal Devel-opment Office. About $30 millionhad been reserved to install carboncapture technology on a coal plantAmerican Municipal Power Inc. intended to build in southeasternOhio, but the nonprofit utilityshelved that project earlier this year,citing increasing costs.

Regardless, Mr. Shanahan said heexpects there to be plenty of oppor-tunities to use that money in the future.

“This whole issue of having tocapture carbon dioxide is the nexthuge challenge to the coal industry,”he said. ■

COMING UP IN CRAIN’SForty Under 40

Crain’s Cleveland Business is accepting nominations for our annualForty Under 40 feature, which profiles40 people under the age of 40 whoare making their marks on NortheastOhio.

Nominations can be submitted viathe nomination form on Crain’s website, CrainsCleveland.com. Nomina-tions also can be sent to editor MarkDodosh via e-mail at [email protected] or via regular mail to 700 W. St.Clair Ave., suite 310, Cleveland44113. E-mail nominations must include “Forty Under 40” in thesubject line. All nominationsshould be no longer than a singlepage; longer submissions will berejected.

Self-nominations are welcome, butpeople eligible for the feature shouldstill be under the age of 40 as of thesection’s Nov. 22 publication date. Thedeadline for submissions is Aug. 9.

Health Care DirectoryCrain’s Cleveland Business on

Sept. 20 will publish its 13th HealthCare Directory, a listing of companiesand organizations that provide health

care services in Northeast Ohio. Goto www.CrainsCleveland.com/section/hcd to view the Health CareDirectory.

If your company or organizationhas never submitted information forthe directory, send an e-mail requesting a survey to Deb Hillyer,[email protected]. The e-mail mustinclude company name, address,phone number and a contact name;incomplete requests will not receive aresponse. The deadline to submit information is Aug. 13.

The directory will be divided into 18 categories: addiction services; associations and professional groups;dentists and dental groups; fitnessand wellness; health insurance under-writers (only those companies listedas Health Insuring Corporations bythe state of Ohio); home health; hospice; hospitals and hospital systems; laboratories; medical equipment and imaging; mentalhealth; occupational health/occupa-tional therapy; outpatient services;physical therapy/rehabilitation; physicians and physician groups; prescription services; senior andlong-term care services; and women’shealth services.

develop. The fuel cell should be ableto generate power from coal more efficiently while emitting a nearly purestream of carbon dioxide, which Dr.Chuang said is easier to capture thancarbon dioxide mixed with air.

Using the two technologies as astarting point, the University of Akronis in a good position to capitalize onincreasing demand for clean coaltechnologies, Dr. Chuang said. Besidesthe research money already flowinginto the university and the expertiseof his team, he’s cultivating knowl-edge among the students who workwith him, some of whom may continuecollaborating with the college aftergraduation. Plus, Northeast Ohio hasa manufacturing base capable ofproducing and improving the partshis high-tech machines need.

“For these two technologies, we areable to get a lot of parts and a lot ofmaterials from the nearby area,” he said.

Regional advantageBabcock & Wilcox continues to

work with Dr. Chuang’s team, thoughofficials from the company declined

A CLEAN COAL PRIMERSteven Chuang, a University

of Akron professor in chemicaland biomolecular engineering,with the help of FirstEnergyCorp. is making progress onclean coal technologies.

How his idea works:Using a solid material consisting of

amine molecules, machines attemptto pull carbon dioxide from streamsof air. Carbon dioxide is blamed bymany for causing global warming.

The amine molecules in solidform interact better with carbondioxide, without the water that limitsliquid amines’ effectiveness.

Meanwhile, Dr. Chuang also isworking on a longer-term project, aclean coal fuel cell. The fuel cell, hehopes, will generate power fromcoal more efficiently while also emitting a nearly pure stream ofcarbon dioxide, making the gaseasier to capture than when it ismixed with air.

20100719-NEWS--9-NAT-CCI-CL_-- 7/15/2010 2:52 PM Page 1

Page 10: Crain's Cleveland Business

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GOING PLACESJOB CHANGES

CONSTRUCTIONH.R. GRAY: Aaron Smith to construction engineer. SHOOK CONSTRUCTION: JosephLammlein to project superintendent.

EDUCATIONCASE WESTERN RESERVE UNIVER-SITY: Arnold Hirshon to university librarian and associate provost. UNIVERSITY OF AKRON: William J.Landis to the G. Stafford Whitby Chairin Polymer Science; Abraham Joy toassistant professor, polymer science.

FINANCEOHIO COMMERCE BANK: ValerieLehman to loan administrator.

FINANCIAL SERVICEANCORA ADVISORS LLC: JohnMicklitsch to senior vice president; Renie Walters to assistant vice president. CORRIGAN KRAUSE: Susanne Morgan to bookkeeper; Dennis M.Dlugosz, Timothy M. Radigan andBrian J. Weisbarth to supervisors.

HEALTH CARETHE SISTERS OF CHARITY HEALTH

REAL ESTATEABODE LIVING: Carolyn Karas tomarketing associate.

SERVICEINFOCISION MANAGEMENTCORP.: Curt Cramblett to vice president, new business development. MIDWEST DIRECT: Sean Gebbie tonational sales manager. NEUNDORFER INC.: Steve Ostanekto president, chief operating officer;Mike Neundorfer to chairman, CEO. NORTHCOAST CONFLICT SOLU-TIONS: Joyce A. Banjac to vicepresident, chief strategist for organi-zational markets. O’SULLIVAN CONSULTING: RonaldOchoa to director, CareTracker imple-mentation; Joseph Maruk to seniorconsultant and trainer, CareTrackerimplementation.

BOARDSARTISTS ARCHIVES OF THE WESTERN RESERVE: Herbert Ascherman Jr. to president. CLEVELAND LEADERSHIP CENTER: Marc Byrnes (OswaldCos.) to chair.

Send information for Going Places [email protected].

SYSTEM: Dr. Giesele RobinsonGreene to chief medical officer,health system and St. Vincent CharityMedical Center.

INSURANCEUSI INSURANCE: Matt Baird to benefits consultant.

MANUFACTURINGLASZERAY TECHNOLOGY INC.:Joe Pavlescak to manufacturingmanager; Bryan Disterhof andJason Tichy to design engineering.

MARKETINGHITCHCOCK FLEMING & ASSOCI-ATES INC.: Greg Pfiffner to associatecreative director. KNOTICE: Stephenie Vanchoff to account executive; Matt Sloan to production specialist; Patti Renner tocopywriter; Susan Botson to onboardingspecialist; Daniel Spohn to databaseadministrator/developer; Kristen Curtisto marketing coordinator.

MUNICIPALCITY OF SHAKER HEIGHTS: TaniaMenesse to director of economic development.

NONPROFITBIG BROTHERS BIG SISTERS: JenniferAnzalone to development officer. CLEVELAND FOUNDATION:Caprice Bragg to senior vice presi-dent, gift planning and donor relations. MONTEFIORE: Roberta Brofmanto director of nursing and clinical programs, post-hospital care center.

20100719-NEWS--10-NAT-CCI-CL_-- 7/15/2010 1:47 PM Page 1

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JULY 19-25, 2010 WWW.CRAINSCLEVELAND.COM CRAIN’S CLEVELAND BUSINESS 11

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Regulators have eyes onGeauga Savings’ parent

By ARIELLE [email protected]

Sporting a capital ratio lower thanthe bank for which it’s supposed toserve as a “source of strength” hascaused federal regulators to require anew capital plan for the holding com-pany of Geauga Savings Bank.

Maple Leaf Financial Inc. has beenordered to create a capital plan toraise its tangible capital ratio, MapleLeaf president and CEO AllenLencioni Sr. said. The company hasuntil Aug. 31 to submit a plan, effec-tive for the period from Sept. 30, 2010,to Dec. 31, 2012.

Mr. Lencioni, who also is presidentand CEO of Geauga Savings, said hedoes not know what the new capitallevel is required to be, and no figure isgiven in the order. The company’slevel is currently around 4.75%, hesaid, while the bank’s is around 10%.

“The irony here is that the bankdoesn’t really need a source ofstrength,” he said. “The bank isstronger than it’s been in five years.”

The July 8 order by the Office ofThrift Supervision amends a March27, 2009, cease-and-desist order thecompany received. Mr. Lencioni saidwhile the new requirement “doesn’treally change my world,” it is not

something he expected.“I did not walk away from the

examination thinking I would haveto write a capital plan,” he said. “Iwrote a cash flow plan. … I thoughtwe were done with this.”

Mr. Lencioni said he expects to reclassify some debt, converting it toequity. In the longer run, he would liketo see Geauga Savings make moneyand give it to the holding company in the form of dividends. The bankcurrently is close to break-even.

For a closely held bank like his, Mr.Lencioni said, raising capital is a nearimpossibility. But he said once thenew requirements are met, he willconsider eliminating the holdingcompany, which is costing the bankmore than it is benefiting it.

Geauga Savings has begun offeringonline banking and is in the midstof launching new products that Mr.Lencioni said he hopes will help itgrow. It also is allowed to competeon rates now, something that wasnot the case immediately followingthe initial 2009 order.

None of that will be affected as aresult of the new requirements.

“It doesn’t change the way we operate our bank, or what the goalsare,” Mr. Lencioni said. “It just createsanother hurdle.” ■

Maple Leaf Financial ordered to raise capital ratio

20100719-NEWS--11-NAT-CCI-CL_-- 7/15/2010 3:01 PM Page 1

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20100719-NEWS--12-NAT-CCI-CL_-- 7/15/2010 1:48 PM Page 1

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Laurie Brlas, the executive vice president and CFO of Cliffs Natural Resources, in front of a portrait of Dora Wheeler by William Merritt Chase,in the American art/1800-1925 room

Caprice Bragg, the Cleveland Foundation’s senior vice president of giftplanning and donor relations, in the European art room

CapriceBragg

on gift giving to the foundation, butMs. Bragg believes the community’sstrong history of philanthropy willprevail.

“People are still giving,” she said.“I’m humbled every day and gratefulthat people still think about andcare about their community.”

Ms. Bragg is also involved in a variety of her own charitable works.She is on the advisory committee ofthe MC STEM High School, a schoolon Cleveland’s East Side that focuseson science and medicine; on theboard of the Black Professionals Association Charitable Foundation;and on the advisory committee ofLake Ridge Academy in NorthRidgeville, where her two sons havebeen educated.

Professionally, she is a past president of the Estate PlanningCouncil of Cleveland and is activein other professional organizations

in the legal and philanthropic communities.

In her free time she is active inher church and enjoys art.

“Art is my first love and I enjoyour museums,” she said. “I like towander through the galleries” of theCleveland Museum of Art.

Her boss at the foundation, president Ronn Richard, praisedthe job Ms. Bragg and her team doin bringing new money into thefoundation.

“Caprice is the consummate professional and her dedication to serving charitable donors is exemplary,” he said. “We’re incredibly fortunate to have her.”

Ms. Bragg was born in Akron andgraduated from Oberlin College witha bachelor’s degree in government.

She earned her law degree fromNew York University and then returned to Cleveland to be close toher future husband, who was working in Oberlin. The couplehave lived with their two sons inNorth Olmsted for 20 years.

She continues to believe thatphilanthropy can and should playan important role in the community.

“We as a community must continue to build wealth and innovate around wealth creationand entrepreneurship,” Ms. Braggsaid.

“That sows the seeds for what ultimately can be deployed forcharitable needs.” — Jay Miller

Laurie Brlas

last two accomplishments. Buteven they don’t tell the whole story.

“If I tell someone I went toYoungstown State, people say‘Ehhh.’ If I say I finished first on theCPA exam, people say ‘Wow!’ Butneither of those things says who Iam,” Mr. Brlas said.

What might say a little moreabout her, she says, is that her degrees at Youngstown State andfrom Lake High School came morethan 10 years apart. In between,Ms. Brlas stayed at home so shecould raise her two children, nowboth in their early 30s and workingon their own careers.

“I didn’t go to college until I wasin my 30s,” Ms. Brlas said.

Fortunately for Ms. Brlas, re-entering the classroom was like aformer cowboy getting back on ahorse, and she had no trouble acingher classes. Then, it was off to theraces in the corporate arena, whereshe navigated the field with equalgrace.

She worked for the accounting

firm Deloitte in Cleveland, thenCorning Clinical Labs in New Jersey.But she missed Cleveland, she said— and its lake, where she enjoysboating — and came back to workat OfficeMax and then sterilizationequipment maker Steris Corp.,where she also became CFO.

Today, Ms. Brlas has more than20 years of financial experience under her belt and helps run one ofthe world’s largest mining and natural resources companies.

The accounting came easy, shesaid. She saw her first ledger whenshe was about 12, and her motherkept the books for the family’smanufacturing business. What’sbeen more important, Ms. Brlassaid, has been to fully understandthe business behind the numbers.Her boss says she’s done just that.

“While Laurie’s knowledgearound traditional CFO disciplinessuch as disclosure, accounting andfinance is exemplary, she also has ademonstrated ability to rise abovewhat are the straight numbers tosee larger business and industrytrends,” said Cliffs chairman andCEO Joseph Carrabba.

“She is a business partner helpingto shape our strategic direction andbuilding suitable processes and organizational structures for a com-pany experiencing meteoric growth,including Cliffs’ ascent into the Fortune 1000 and S&P 500,” he said.

But then, that’s probably all justanother day at the office for Ms. Brlas.

— Dan Shingler

Each summer, our Women of Notesection matches a dozen of the region’sleading business women with one ofNortheast Ohio’s cultural treasures.

This year, we’ve paired our honorees with the sparkling Cleveland Museum of Art.

Enjoy.

◆◆ PHOTOGRAPHY BY JANET CENTURY ◆◆

Caprice Bragg was on herway to a career in the corporate world as a taxlawyer at KeyCorp

Management Co. when a friend,who worked at the Cleveland Foundation, asked her a question.

“The question was, ‘Did you everthink about using your technicalskills for the good of the community?’”Ms. Bragg recalled recently. “Although I was happily employedat the law department at Key, it wasjust enough to hook me.”

She started as a gift planning officer in 1999, became director ofgift planning in 2003 and then tookher current job in 2004.

“It’s part of my DNA to look forways to give back,” Ms. Bragg said.“So the opportunity to combine mytechnical background with a way tobe helpful to Cleveland is what attracted me to the ClevelandFoundation.”

It’s the job of Ms. Bragg and her staff to make the communityaware of the philanthropic oppor-tunities at the foundation. Theyalso help donors plan their givingand understand the tax and financial consequences of theirchoices.

“We have thousands of fundsthat support different facets of thecommunity,” she said.

The rocky economy of the lastfew years and uncertainties in estate tax law have had an impact

Senior vice president of gift planning and donor relationsThe Cleveland Foundation

If you want to hear great thingsabout Laurie Brlas, you’re betteroff on these pages, or maybetalking to one of her colleagues,

than you would be talking to her.As chief financial officer of one of

Cleveland’s largest companies, andone that’s part of the S&P 500 Index, Ms. Brlas has made morethan a little success out of life. Butshe’s not one to brag.

Asked about her high school career, for example, and she replied“pretty normal.” She was just a regular student at Lake High Schoolin Hartville.

But you have to remember, Ms.Brlas is the financial voice of a publiccompany in an age when such voicesmust watch what they say more thanArmy generals. You have to ask justthe right question, like, “Were youvaledictorian or anything?”

“Oh, yes, I was,” Ms. Brlasreplied, as if confirming that shepassed plane geometry.

When she went on to YoungstownState University, it was more of thesame — a perfect grade point average. Not one to dally when there’sreally no need, she finished her accounting degree in three years.

After that, she went on to takeboth the CPA and CMA, as in Certi-fied Management Accountant, exams. She said she had the highestscore in the United States on theCPA test and the highest in theworld on the CMA, which she tooka month later. And, yes, Ms. Brlassaid, she is a tiny bit proud of those

Executive vice president,chief financial officerCliffs Natural Resources

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WW--22 CRAIN’S CLEVELAND BUSINESS JULY 19-25, 2010

PhyllisBrody

pipe cleaners to popsicle sticksand wood blocks with suggestionsfor possible activities.

“Adults need to make somethinglook a certain way, not too messy,use the right colors — that’s whatwe were the antithesis of,” Ms.Brody said. “That’s what gave usthe motivation and passion to persist even though we were notbusiness people at all.”

They debuted their products nationally at the 1978 AmericanInternational Toy Fair, where Ms.Brody said the likes of Creativityfor Kids had never been seen.

“People didn’t know whether totake them seriously,” said LisaBrody, Ms. Brody’s daughter andpublic relations manager for Cre-

ativity for Kids. “No one saw them ascompetition, but they knew how totap into something with parents andkids that other companies weren’tdoing as successfully.”

By the following year, PlaythingsMagazine had created a new toycategory called “Creative Activities”with Creativity for Kids as the solecompany listed.

“It was a very pioneering thingat the time,” Phyllis Brody said.

While the market for creative kids’activities has exploded, Creativity forKids — with Ms. Brody as the creative force behind it — has remained a leader, snagging suchhonors as the Oppenheim Best ToyAward and the Parents’ ChoiceAward. Today, Creativity for Kids

products with such names as “ThePop-Up Book of Me” can be foundon retail shelves worldwide.

“The fact that creative play is somuch a part of children’s lives now, Ifeel really great about that,” she said.

In 1999, the company gained theattention of German art suppliesmaker Faber-Castell, which acquiredCreativity for Kids and made itsCleveland facility the headquartersof Faber-Castell USA, installing Ms.Brody as chief creativity officer.

While Ms. Greenwald retired in2004, Ms. Brody remains active twodays a week in special projects forCreativity for Kids. They include anew partnership with The ClevelandInstitute of Art that uses student illustrations for coloring books.

“It was a fantastic collaboration,”said Richard Konisiewicz, CIA’s director of corporate, foundationand government relations. “Sheworked with these students almostas an adjunct professor, teachingthem to be professionals. (She’s amodel for) the business sense youneed to get your work published.”

Ms. Brody currently serves on theboard of the Hanna Perkins ChildDevelopment Center and founded a group in 2008 called Women Connect for Change, to help womenbecome more politically active.

But Ms. Brody spends most ofher spare time reconnecting withher own art, working in collage andencaustic — or hot wax — paintingmediums. And true to character,she’s open-ended about where herart may take her in the future.

“I don’t want to have an end goalwith it,” Ms. Brody said. “The realjoy for me is just getting up in themorning and taking out my materi-als and doing whatever it is I’m somoved to do.”

— Jennifer Keirn

InajoDavisChappell

Phyllis Brody, the co-founder of Creativity for Kids, in an Impressionist room, featuring Monet’s famous “Water Lilies”painting

Inajo Davis Chappell, a partner at law firm Ulm

Co-founderCreativity for Kids

As a young stay-at-homemother in the mid-1970s,Phyllis Brody was troubledby what she called the

“turkey syndrome.”Her two children would bring

home art projects that encourageduniformity and rule-following, typified by the hand-traced outlinesthat millions of American childrencolor to look like turkeys aroundThanksgiving time.

Ms. Brody, herself an artist,found a compatriot in fellow momEvelyn Greenwald, and the pairstarted working together to infusegreater creativity into their children’sartwork — first within their class-room, then gradually in after-schooland lunchtime sessions throughoutthe Cleveland Heights-UniversityHeights school district.

“When we introduced children tocreative experiences where therewas no end goal, where they didn’thave to make it look like some-thing,” recalled Ms. Brody, “some-thing magical would happen.”

Parents took notice and beganasking where they could buy kitsthat would replicate that kind ofopen-ended creative experience athome. That interest was all theprompting the two women neededto start Creative Art Activities Inc.— later renamed Creativity for Kids— out of Ms. Brody’s basement in1976. They packaged kits of art materials ranging from feathers and

PartnerUlmer & Berne LLP

It’s not just that Inajo DavisChappell marches to the beatof a different drummer. It’s thatfor her, the drummer might as

well be playing the tambourine.“There’s nothing about me that’s

typical,” said Ms. Chappell, chair ofthe nonprofit and school law groupsand co-chair of the diversity com-mittee at Cleveland law firm Ulmer& Berne. “I can do anything on anygiven day. I march to my own arrhythmic, erratic, crazy beat.”

And Ms. Chappell knows some-thing about beats. The daughter oftwo music teachers who taught in theCleveland schools, she has a piano inher home and plays to relax.

Much of her time in school, though,wasn’t spent in the classroom.

A graduate of Hathaway BrownSchool and Yale University andwith a law degree from ColumbiaUniversity, Ms. Chappell worked asin-house counsel to the businessunit of the Cleveland MunicipalSchool District, as it was known atthe time, for more than five yearsafter a three-year stint at Ulmer &Berne.

She worked with purchasing,

20100719-NEWS--14-NAT-CCI-CL_-- 7/15/2010 2:42 PM Page 1

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m Ulmer & Berne LLP, in the Art in Britain/1600-1870 room

Marilyn Chase always has beeneffective at sendinga message.

Right after graduatingfrom Cuyahoga HeightsHigh School in 1971, shetook an entry-level secretarialjob at a manufacturing plantin Cuyahoga Heights whereshe was the only womanemployee. She continuedher career climb from there withouta college degree, which has takenher to her current role as chiefbrand management officer atCleveland marketing agency LiggettStashower.

“I think the progression was extremely methodical,” said Ms.Chase, 57. “It’s all about choices.Being from a family of seven, I hadto go to work after high school. Butmy career has been an evolution ofhaving good solid writing skills andbuilding on that.”

Colleagues say Ms. Chase is affable and approachable, whichare key reasons why she is so effec-tive in her job as a liaison betweenthe executive staffs of Liggett’sclients and her firm’s brand strategyteam.

“She sets the tone of the process,”Liggett CEO Mark Nylander said.“She is a skilled practitioner and isalways at the top of her game whiledeveloping and nurturing relation-ships.”

Chief brand management officerLiggett Stashower

JULY 19-25, 2010 CRAIN’S CLEVELAND BUSINESS W-3

Cleveland Columbus Cincinnati Chicago

www.ulmer.com

Kip Reader

216.583.7380

[email protected]

Established more than 100 years ago,

Ulmer & Berne LLP is a large Midwest

law firm with the reach and depth to

serve the needs of local, national and

international businesses.

Congratulations to our partner

Inajo Davis Chappell, a member of

Women of Note, Class of 2010.

We are proud of Inajo for being part

of this year’s distinguished class of

talented female business leaders.

procurement, food and other busi-nesses, and said it was one of the“most interesting and most funjobs” she had because it was alwayssomething new.

“I felt like we were helping kids,”she said.

But seeing little room forgrowth, Ms. Chappell returned toUlmer & Berne.

There, she managed to build abroad-based practice that touchedon any number of specialties. Ms.Chappell has experience in real estate acquisition and financing,community development projectsand construction; does public andcorporate finance and contractsand commercial law; and workswith school contract preparation,competitive bidding complianceand special education, in additionto the groups she chairs.

“I never want to be pigeonholedin only one area. It would just boreme to tears, frankly,” she said. “Itend to be a slightly obsessive person. I’m a little bit fanatical. I’mvery tenacious, very driven, veryself-motivated.”

Ms. Chappell said in addition toher aptitude for problem-solving,and the gratification she got fromdoing so, some of those qualitieswere the basis of her interest inlaw. They also helped her becomea partner at the firm in 1999.

And after spending years volun-teering and serving on the boardsof a wide array of organizations, Ms.Chappell said she formed her legalpractice in a way that allowed her tofocus on the educational and socialservice work she enjoys on a moreregular basis.

Ms. Chappell said she still findsher work with the school district tobe particularly rewarding. Her

husband, John, is a special educa-tion teacher in the Clevelandschools. The couple live in Solon.

Though she was born in NewOrleans, Ms. Chappell was raisedin East Cleveland. Both herLouisiana roots and her parents’profession have left her a fan ofjazz and Broadway musicals, shesaid. She tries to make it to NewYork to see several musicals a year.

While Ms. Chappell was recruitedby several Wall Street law firms outof law school, she said she preferredvisiting New York than living there,and considers Cleveland to behome. She was a board member atHathaway Brown, where as a studentshe was encouraged to march differently and taught to be intel-lectually curious and “high-achieving, but not obnoxious.”

These days, much of her timethat isn’t spent at the law firm isspent working on the CuyahogaCounty Board of Elections, whereshe was just appointed to a secondterm. Ms. Chappell also chairs theOhio Board of Voting Machine Examiners. She has consideredrunning for office herself, some day.

A political science and Afro-American studies major at Yale,Ms. Chappell said she always hasbeen a political junkie, but isn’tsure if she wants to be in the throesof the political world.

Jane Platten, director of theCuyahoga County Board of Elec-tions, said one of Ms. Chappell’sbest qualities is the “reality” ofwho she is. In her company, thereis “no guessing,” Ms. Platten said.

“She has her own opinion, herown thinking, she stands on herown,” Ms. Platten said. “It servesher very well.”

— Arielle Kass

MarilynChase

After working as a secretary atthe manufacturing plant for aboutthree years, Ms. Chase moved toJBRobinson Jewelers in Clevelandas an assistant to company ownerLarry Robinson’s assistant. Whileshe was there, she used her creativewriting skills by writing radio copyfor Mr. Robinson — a practice thatevolved into an advertising role.

“I think I would’ve ended up inthat position anyway, but probablyfaster if I had had a college degree,”she said.

She then became an editor of internal newsletters for threeyears at Revco Drug Stores (nowCVS), where she also managedstore openings nationally, and forfive years was a communicationsmanager at Master Builders Technology in Beachwood —which now is BASF ConstructionChemicals .

Since Ms. Chase joined LiggettStashower in 1987, she has directedsome of the agency’s largest busi-

ness-to-business and consumeraccounts, has served as the CEO’smanagerial right arm and is the go-to person when problems arise.

“She has this innate ability to assess and identify problems andnavigate through different person-alities,” Mr. Nylander said.

Though Ms. Chase said her career with Liggett Stashower hasbeen enriched with experience andprofessional relationships, her 23years there have not been withoutchallenges.

The biggest adjustment, shesaid, was the digital revolution thatbegan in the mid-1990s. Duringthose days, people were not ascomfortable adapting to changeand the way the Internet alteredhow companies do business. Now,though, change on a daily basisnot only has become a reality, it’sembraced, she said.

Meanwhile, she helped overseethe process about three years ago

Marilyn Chase, the chief brand management officer at Liggett Stashower, in the armorcourt, which features European arms and armor

SPECIALTHANKSCrain’s Cleveland Business would

like to thank the staff of the Cleveland Museum of Art, including assistant director of communications ChristaSkiles, for accommodating this year’sWomen of Note.

This year’s luncheon, sponsored byCBiz and presented by Reminger andCleveland.com, will be held this Thurs-day, July 22, at Executive Caterers atLanderhaven in Mayfield Heights.

Tickets still are on sale, but are goingfast.

Contact Laura Franks at (216) 771-5388 to purchase tickets.

We’ll have coverage, including aphoto slideshow, of the luncheon atour web site, CrainsCleveland.com,on Thursday afternoon, and for information on past Women of Noteclasses, visit http://tinyurl.com/234rmrd.

See CHASE Page W-5

20100719-NEWS--15-NAT-CCI-CL_-- 7/15/2010 2:59 PM Page 1

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WW--44 CRAIN’S CLEVELAND BUSINESS JULY 19-25, 2010

CONGRATULATIONS Laurie Brlas, our CFO, Colleague and 2010 Woman of Note

WWW.CLIFFSNATURALRESOURCES.COM

Patricia A. Gazey

The world of trucking andwarehousing used to be aman’s domain. It’s not Patricia A. Gazey’s fault she

was better at running it than mostmen — or most anyone else, forthat matter.

The owner and president ofBrook Park’s North Coast Logisticshas stored, shipped, tracked anddelivered a lot of stuff during hertime in the business. Much of thatstuff has been food, which requiresspecial handling and shelf-lifemanagement.

Ms. Gazey has worked for juice-maker Ohio Pure Foods in Akron aswell as butter behemoth Land O’Lakes, for which she managed 13facilities. Prior to striking out on herown, she was a vice president for aunit of GATX Corp., which leases

When Monica Green visitedthe Grand Canyon forthe first time in the1990s — after her

husband Steve Rosenberg’s urgingfor the umpteenth time — shefound the landmark’s vistas had aprofound effect on her viewpoint asan architect.

“People whisper when they visitthe Grand Canyon,” Ms. Green said.“It made me want to think deeplyabout preserving our environment.That is probably why I got so involved in LEED (Leadership inEnergy and Environmental Design).”

Ms. Green was part of the cabalof Clevelanders who early in the2000s launched what became theNortheast Ohio Chapter of the U.S.Green Building Coalition tradegroup. She also was the first architectto become LEED certified in Ohio.The LEED involvement changednot only her own practice andhelped the region’s realty and corporate communities embracesustainability, but it shaped the culture of Westlake Reed Leskosky,

Monica Green, a principal at Westlake Reed Leskosky, in an Impressionist roomfeaturing a sculpture and painting by Edgar Degas

Patricia A. Gazey, the president of North Coast Logistics, in the European art,romanticism to realism/1800-1880 room

President ◆ North Coast Logistics Inc.

Gazey owns North Coast outright.Under her command are seven

facilities with 85 employees, six inOhio and one outside of Chicago.Ranging in size from about 75,000square feet to 400,000 square feet atits Brook Park headquarters, mostof the company’s customers still dealin retail food items, but others arein a variety of industries, includingmedical devices and industrialproducts, Ms. Gazey said. A fleet ofcompany-owned trucks servesabout 50 customers.

Ms. Gazey says she’s never feltany discrimination in her business— customers and colleagues have respected her business acumen.She spent a good deal of her earlycareer as a single parent and saysher daughter has inherited herdrive and willingness to take theright risks to succeed.

But even her present-day com-petitors give her due respect; theysay anyone who has succeeded inthe logistics business in the pastfew years deserves respect.

It has not been easy, as inventorieswere jerked around and the wholeworld stocked, destocked and thenstarted restocking its supplies, saidBob Shaunnessey, co-owner ofPartners Warehouse in Elwood, Ill.He is also a longtime friend whowas Ms. Gazey’s boss at GATX.

“There have been several severerecessions, particularly in the sup-ply chain business,” he said. “She’snoteworthy for her survival skillsand ability to thrive.”

Mr. Shaunnessey said Ms. Gazeysucceeds because she’s tenacious,follows through and knows how tolisten to customers and properlyaddress their needs. That’s why hesends people looking for logisticswork to her on a regular basis.

Except, he said, in the Chicagoarea — but only because that’s oneplace where he’s among those try-ing to compete with Ms. Gazey.

— Dan Shingler

equipment to industrial freighthandlers. At that company, she alsoworked in logistics and was incharge of more than 2 millionsquare feet of warehouse space.

The Canal Fulton native concededit’s not an easy business, getting theright things from the right sourcesat the right time, back out on com-mand with the same effectiveness.

“The customer is basically givingyou the problems they don’t wantto handle,” she joked.

Eighteen years ago, Ms. Gazeysaid, she decided she wanted to keephandling other people’s problems,but her way, without working foranyone but her own customers. Sheand a partner bought a Brook Parkwarehouse operation and foundedNorth Coast Logistics. The partnersince has been bought out, and Ms.

Monica GreenPrincipal ◆ Westlake Reed Leskosky

where her passion for sustainabilitybecame part of the corporate culture.

Bill Doty, president of Doty &Miller architects in Bedford andone of the region’s most high-profile green promulgators, recalledthat other architects and membersof the startup green building groupcalled Ms. Green the “green god-dess.”

“She’s a green purist, from top tobottom. There is no green-washingwith Monica,” Mr. Doty said. “Sheused to bust my chops about getting LEED certified before I did.She would say, ‘I have mine, whatabout you?’”

Ms. Green’s focus on sustainabilityhelped Westlake Reed establish avalue system incorporating sustainability, said Paul Westlake,managing principal.

“This is one of the reasons shebecame a principal here,” Mr.Westlake said. “She trained thestaff. She helped educate clients.She has worked as a design archi-tect, a technical architect and a supervisor of other architects. She

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when the firm blended its advertisingand public relations services to becomemore of an interactive agency.

“We couldn’t have silos,” she said.“We were missing the bigger picture.”

As chief brand management officer, Ms. Chase is responsible forhelping clients establish overallbrand strategies, rather than simplya new advertising or public relationscampaign.

“Our new business efforts in thelast two years are the best I’ve seenin the agency,” she said.

Ms. Chase also is a foundingmember and champion of Friendsof Conservation Lower Zambezi,

JULY 19-25, 2010 CRAIN’S CLEVELAND BUSINESS W-5

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is now our head specificationswriter, where she serves as our filterfor sustainability for all of our projects.”

Moreover, Mr. Westlake said, Ms.Green has worked to improve thefirm as a workplace and has set agoal for the firm to gain notice asone of the nation’s best places towork.

Ms. Green said specification writing — which sets what materialsand systems will be used throughouta building — determine how“green” a building becomes evenmore so than design. A specificationsbook for a recent U.S. State Department project in Washington,D.C., occupies 16 inches on thebookshelf of her office in the Huntington Building in downtownCleveland.

Ms. Green was instrumental inobtaining the LEED certification forthe $44 million renovation of theHoward M. Metzenbaum U.S.Courthouse in Cleveland in 2005.She also worked on environmentaldesign aspects of the recent Cleve-land Food Bank warehouse inCollinwood and PlayhouseSquare’sIdeaCenter and Hanna Theater rehabilitation projects, and dozensmore around the country.

In all, Ms. Green said, she hasworked on eight Westlake Reedprojects in downtown Clevelandthat combined LEED with existingbuildings.

“It makes me feel very goodabout the future of the city,” shesaid. “It means that these buildingswill be here to be a part of the future of the city.”

Although Ms. Green grew up in acreative family — her father was apastry chef, her mother plays pianoand her sister is a potter — therewas nothing in her background thatled her to become an architect, agoal she set as a young girl growingup in Canton.

While she was attending highschool, a male guidance counselortried to dissuade her from pursuingarchitecture as a career because fewwomen were in it in the 1970s.

“That made me all the more determined,” Ms. Green said.

She and her husband live inMoreland Hills with three cats. Herfavorite leisure activities are reading and cross-country skiing.

In a nod to that love of reading,this architect’s favorite spot inCleveland is the Eastman ReadingGarden at Cleveland Public Library’s Main Branch.

“It is such a nice place in our city.I love to eat lunch there,” Ms. Greensaid. Ironically, the reading gardenis a green space between twodowntown buildings.

— Stan Bullard

ValerieLyons

She never became an astronaut,but she did land in the same solarsystem: Today Dr. Lyons is chief ofthe power and in-space propulsiondivision at NASA Glenn ResearchCenter.

Valerie Lyons, the chief of the power and in-space propulsion division at NASAGlenn Research Center, stands in front of the European art/1525-1825 room

She oversees a division of morethan 165 scientists and engineersworking on different technologies —such as electric and chemicalpropulsion systems, solar cells,fuel cells and energy storage systems — meant to get rocketsinto orbit and power whateverNASA sends into space.

Her duties include leadingstrategic planning for the division,making sure it has the right peoplein the right places, serving as a liaison between the division andsenior management and informingNASA leaders of new technologiesNASA Glenn is developing.

Dr. Lyons spent more than 20years at NASA Glenn before takingher current position in 1997. Shehas authored more than a dozenresearch papers on combustionand the reduction of emissionsfrom aircraft engines, but nowadaysshe leaves the technical details toher researchers.

Dr. Lyons also spent seven yearsas deputy chief of the combustiontechnology branch, a year as chiefof NASA Glenn’s facilities manage-ment branch and rotated throughseveral other management posi-tions at the center. She tries toconvey that broad perspective tothe researchers in her division.

“I’m trying to get them to knowthe people in the other branchesand talk to them about what we’redoing,” she said.

Dr. Lyons grew up in Byram, N.J.Her parents couldn’t afford to payfor her to go to college, butthrough her uncle, a chauffeur, Dr.Lyons met a New York lawyer involved with a scholarship fundthat would pay for her to attendRensselaer Polytechnic Institute inTroy, N.Y. After earning a bachelor’sdegree in aerospace engineering,she won another free ride to gether master’s in the subject at theUniversity of Michigan.

Back then, she still wanted to be

an astronaut. She applied twice inher 20s, and was rejected each time.She thought obtaining her Ph.Dwould help, and she did so, earningher doctorate in mechanical engi-neering from the University of Cali-fornia at Berkeley. By the time shewas married and had kids, she gaveup on the dream. Even spacetourism is likely out of the question.

“Now I get too motion sick,” shesaid.

Dr. Lyons grew to like workingwith researchers, though, being afan of “far-out crazy people.” Shealso has a passion for getting chil-dren, particularly girls, interestedin science and technology careers.She has spoken to junior high andhigh school students on the topicand for several years has organizeda science summer camp, whichboth of her adult children, Jasonand Jamie, have attended. Jamie,who attends Ohio State University,even claims it helped inspire her togo to medical school, Dr. Lyons said.

According to Dr. Lyons, peopletend to “overdo the math thing”when selling engineering as a profession, which scares awaymany of them.

“You’re trained to solve problems.You’re trained to think in a logicalway,” she said.

Dr. Lyons even inspired one ofher friends to pursue engineering.When Dr. Lyons met Priscilla Diemabout 30 years ago, Ms. Diem wassurprised to meet a female engi-neer and soon decided to give theprofession a try herself. She even-tually joined Dr. Lyons at NASAGlenn, though they never workedtogether, and today she is a con-sultant to technology companies.

Dr. Lyons said she enjoys scubadiving, skiing and knitting. Ms.Diem added that Dr. Lyons is agood cook and a good friend.

“She’s a very generous and warmperson. She’s fun,” Ms. Diem said.

— Chuck Soder

Like many aerospace engineers,Valerie Lyons knew shewanted to work with flyingmachines when she was 10.

Back then, though, she didn’tknow what an aerospace engineerwas. She just wanted to be an astronaut. And astronauts, accordingto what she found in the WorldBook Encyclopedia, often studiedaerospace engineering in college.

“I’m like, ‘Whatever that is, I’vegot to study that,’” she said.

Chief, power and in-spacepropulsion division

NASA Glenn Research Center

continued from PAGE W-3

Chase which works to protect wildlife inthe Lower Zambezi National Parkin Africa. Ms. Chase has visitedthe area four times, advocatingagainst poaching and educatingAfricans on living in harmonywith wildlife.

She also is a board member ofUniversity Settlement, which provides social services to residents of the Broadway/SlavicVillage neighborhood. Ms. Chasepromotes awareness of AmericanCancer Society’s DetermiNation, a marathon program that benefitscancer research, on behalf of aclose friend and her late husband,Don Holub, whom she lost fiveyears ago to a battle with cancer.

Ms. Chase lives in Brecksville andenjoys hiking and writing.

— Kathy Ames Carr

20100719-NEWS--17-NAT-CCI-CL_-- 7/16/2010 1:51 PM Page 1

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WW--66 CRAIN’S CLEVELAND BUSINESS JULY 19-25, 2010

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HeatherMooreFounder ◆ Heather B. Moore Inc.

AnnNeronePresident ◆ Ballast Fence

Heather Moore, the founder of Heather B. Moore Inc., in the European art/mythology, history and portraiture room

from-a-menu choices. Each sale is a consultation, in

which customers may requestMoore-designed fonts for hand-stamped lettering, inset jewels andmetals ranging from sterling silverto various colors of 14-karat gold.

Just last month, Ms. Moore wontop honors in the gold category atthe prestigious Couture DesignAwards for a selection of work thatincluded a gold cuff bracelet thatrecreated the last letter she receivedfrom her late sister, Wendy.

“She took an art form and madeit highly personal,” said her father,noted entrepreneur Dan Moore,president of Dan T. Moore Cos. inCleveland. “She has a very keenmind about people, and that’swhat has been strong for her (inher business).”

Ms. Moore started her art careeras a glassblower, but began workingwith metals as an assistant torenowned New York artist JudyPfaff.

During that time, making jewelrywas Ms. Moore’s weekend diversion.

“It was meditative,” she said. By 1994, she decided to launch

her own jewelry company with a linethat combined glass and sterling andwas picked up by such retailers asBarney’s and Neiman Marcus.

When her grandmother’s long-time home in Cleveland Heightswent up for sale in 1999, Ms.Moore and her artist husbandThomas Frontini moved theiryoung family and businesses here.

“It was a big change,” she said.“But we love it here. Cleveland’slike a gem.”

Today, Ms. Moore is a mother offour who operates her 30-employeecompany out of that ClevelandHeights home, where engravers,metalworkers, marketers andgraphic designers can be found inevery cranny from attic to basement.

Under such space constraints, sheis preparing to move her expandingcompany into a converted ware-house in Midtown Cleveland.

“Everyone who works here seesthe insane potential of this company,”she said. “This company can outgrow every single person whoworks here. We want to be able tosay, ‘Yeah, we were the founders.’”

It’s exactly that successful combination of art and businessthat so impressed David Deming,the recently retired president andCEO of The Cleveland Institute ofArt, from the first time he visitedMs. Moore, a 1993 CIA grad.

“I was so impressed not onlywith the creativity and the innova-tion, but the business-mind side,”Mr. Deming said. “She became agreat example (that) you can havea very creative mind … but to havea successful career, you need toknow how to run a business.”

Mr. Deming has brought Ms.Moore in as a speaker for CIA students many times to deliver exactly that message.

“The kids get excited about it,” hesaid. “For decades, art schools neverdid a very good job of preparingstudents for what the business sideof their career would be.”

In a field that, like fashion design,tends to be trend-oriented, Ms.Moore works hard to create jewelrythat can become family heirlooms,passed down through the generations.

“We are so far away from trend.I’m tired of that,” she said. “I don’twant them to ever think it’s ‘lastseason.’ I want to make pieces thatpeople are collecting.”

— Jennifer Keirn

Victoria Tifft, the president and CEO of Clinical

The woman on the phone explained that her motherrecently had died, and thatshe wanted a charm to

memorialize her. “Forever Missed” was the

insignia she requested of jewelryartist Heather Moore, whoseHeather B. Moore Inc. in ClevelandHeights creates personalized finejewelry sold through 150 retailersaround the world.

“I said, no,” recalled Ms. Moore,“we already know that.”

Instead, she engaged the womanin conversation. What were yourmemories of your mother? Howwas your relationship special? Thewoman shared a memory of her sixsiblings good-naturedly debatingwhom their mother loved best, andMs. Moore knew she had her hook:“Loved Me Best” became thewoman’s treasured pendant.

“It’s all about sharing your story,”said Ms. Moore of her jewelrypieces. “It’s about telling peoplewhat made you be the person thatyou are.”

Indeed, Ms. Moore’s jewelry hasearned international notoriety —her pieces have landed on the necksof celebrities such as Beyoncé andPaula Deen and on TV shows suchas “Gossip Girl” — by taking personalization far beyond select-

Ann Nerone still shakes herhead and chuckles whenrecounting the details ofhow she got into the

fencing business.Mrs. Nerone, owner of Ballast

Fence in Warrensville Heights, hadbeen working part time for sevenyears, doing bookkeeping and otherjobs while raising her two children,Nick and Theresa. Her husband,Tom, who owns excavation specialistNerone & Sons, told her there was anopportunity for women in construc-tion; Mrs. Nerone had worked priorto the birth of her two children at re-tail company Cole National, so shewas a touch skeptical.

As it turns out, that whole womanthing was a relative molehill ascompared the other obstacles she’sfaced since incorporating in 1993.

“Being a woman in constructionwas not the biggest challenge,” shesaid. “It’s being competitive, anddelivering what you say you will.Customers don’t care if you’re purple; they care about completingprojects and (contractors) not being a detriment.”

With a push from Greg Reynolds,who now serves as Ballast’s vice president of operations, Mrs. Neronegravitated toward the fencingindustry, where she said there werefew competitors at the time. Mr.Reynolds, she said, had the fencingindustry experience — he promisedher he’d bring in $500,000 in sales thecompany’s first year — while shecould provide the business leader-ship. (Mr. Reynolds had been working at a larger company and haddone work at Mr. Nerone’s SouthMiles Road office.)

He came up a little short, Mrs.Nerone said, but Ballast still is going strong today. Among otherthings, it provides fencing and installation to commercial builders;the company currently is workingon the new taxi structure at Cleve-land-Hopkins International Airportand with the Northeast Ohio Re-

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nical Research Management, in the American art/1800-1925 room

JULY 19-25, 2010 CRAIN’S CLEVELAND BUSINESS W-7

gional Sewer District.“(Mrs. Nerone) is one of the

classiest people I’ve ever workedwith,” said Bobby DiGeronimo,secretary of the 54-year-old Inde-pendence Excavating. “She’s reallydiligent about understanding thescope of the work. She’s a very aggressive female entrepreneur;there are some companies you haveto work with, and some you wantto work with. She’s in the latter.”

That’s not to say there haven’tbeen some bumps, she said: It’s difficult to find experienced labor;the company is low on the subcon-tractor totem pole and paid, timing-wise, accordingly; and the risk —liability on jobs, unreliable cus-tomers, etc. — is at an all-time high.

Add in out-of-state competitionand contractors who normally don’tbid on fencing work vying with Bal-last for the same jobs, and it’s atough row to hoe.

“This is an industry where youhave to stay on your toes, nodoubt,” Mr. Reynolds said.

Mrs. Nerone has a soundingboard in her husband, whose father founded Nerone & Sons in1955 and who works in an office ad-jacent to Ballast’s. Mrs. Nerone saidshe solicits advice from her hus-band, but may not use it; she admitsthose conversations took some get-ting used to for the couple, whichnow has been married for 29 years.

“(Ballast’s) growth has been aslow, steady climb,” Mrs. Neronesays. “You’re only as good as yourlast job in this business.”

Mrs. Nerone, who lives in High-land Heights, said she and her husband enjoy golf and traveling —as you read this, she’s in France withher daughter — and she also sits onthe board of the Ohio ContractorsAssociation.

— Joel Hammond

PatStropko-O’Leary

Pat Stropko-O’Leary, the executive direc-tor of Hospiceof MedinaCounty, outsidethe museum’ssouth entrancewith TheThinker, part ofwhich wasblown off bywar protestersin 1970

Ballast Fence president Ann Nerone in the American art/1875-1925 room

Executive director

Hospice of Medina County

Pat Stropko-O’Leary used towhisper to patients that itwas OK for them to die.

“I saw people being resus-citated that had no business beingresuscitated,” she said. “We werecondemning them to life in an institution.”

That was early in her 47-year career as a registered nurse. Then,in the late 1970s, her beliefs materi-alized in a new treatment calledhospice care, which strives to makepeople comfortable at the end oftheir lives. In 1983, she became ahospice nurse at Parma CommunityGeneral Hospital and began man-aging the program four years later.

Ms. Stropko-O’Leary now is exec-utive director of Hospice of MedinaCounty, which cares for an average

of 150 patients each day. Her employees try to help patients livetheir last days as they want to livethem and to die peacefully.

“We die as we’ve lived, and it’sour job to make sure that your dying is what you believe it shouldbe,” she said.

Since she took over the reins in1993, Ms. Stropko-O’Leary signifi-cantly has expanded Hospice ofMedina County.

Initially, 10 employees took careof fewer than a dozen patientseach day. Today, 140 employeescare for patients at Hospice’s Medinaand Barberton locations, conductbereavement services for those leftbehind by deceased loved ones,and provide home health care andpalliative care — all of which areservices she has added during hertenure. Hospice of Medina Countyalso opened a thrift store in 2006 toprovide clothing for patients whocan’t afford it.

Such growth has caused Hospiceof Medina County’s tiny office tobecome severely cramped, so Ms.Stropko-O’Leary spearheaded acampaign to build a $9.6 million,33,000-square-foot home for it onstate Route 18 near Interstate 71 inMedina. The new location is slatedto open next May 31.

Though construction is well under way, Ms. Stropko-O’Leary’swork — and that of her organization

— is nowhere near finished. Shecontinuously meets with localnonprofits to determine how theycan work together.

Beth McGuire, director of bereave-ment services at Hospice of MedinaCounty, said Ms. Stropko-O’Leary’spersonality enables her to antici-pate the community’s needs.

For instance, Ms. Stropko-O’Learyenvisions a referral service whereher organization would providethe names of approved, local contractors to area residents. Additional counseling services alsoare necessary, she said.

“I know full well how grief affects people, because I’ve beendoing this for so long,” said Ms.Stropko-O’Leary, who still tears upwhen talking about her love for herjob. “People just don’t understand.You don’t get over those things;you integrate them into your life.”

Though death is somewhat of ataboo and uncomfortable subjectfor Americans, she sees it as an opportunity for the terminally ill tosay goodbye to loved ones and gettheir finances in order. Hospiceworkers are able to affect the livesof many people, she added.

“It’s been a vocation to bringabout understanding that there’s abetter way to do this,” she said. “Wedon’t have to be hooked up to ma-chinery.”

— Shannon Mortland

Victoria Tifftsolid foundation for steady growth fromits Maryland headquarters.

Then, even as business was booming,Ms. Tifft and her husband rolled the dicein the mid-1990s and decided to movethe company headquarters to NortheastOhio, where they managed affairs from ahome office in Hinckley.

Eventually, Clinical Research Manage-ment moved out of the Tiffts’ home andinto its Ridge Road headquarters. A biggovernment contract landed two years agoled to an 80-person jump in the employeeroster, and the company now has officesin a neighboring building as well.

While the majority of her employeesare on the East Coast — about 280 of thecompany’s 320 employees work in theMaryland office or in military facilities inthe Washington, D.C., area — Ms. Tifftstill puts Clinical Research Manage-ment’s reputation and experience towork in boosting this region’s biomed-ical and bioscience profile.

In 2008, she also pulled together hercontacts and resources at Case WesternReserve University, University HospitalsCase Medical Center and Johns HopkinsUniversity to win a seven-year, $16 millioncontract from the National Institute of Al-lergy and Infectious Diseases for testinganti-infection agents.

BioEnterprise Corp. president and CEOBaiju Shah says a big part of Ms. Tifft’ssuccess lies in her team-building ability.

He’s also a fan of Ms. Tifft’s efforts inlanding deals such as the 2008 contract thatgave CWRU and University Hospitals partsin the seven-year drug testing program.

“To have somebody come back andleverage her network not just for the benefit of herself but for the broadercommunity has been significant,” saidMr. Shah, whose organization helpsNortheast Ohio bioscience companiesgrow.

Ms. Tifft calls Northeast Ohio’s range ofspecialty laboratories, hospitals, universi-ties and research centers “astounding” andsays the collective pluses “can be leveragedto bring more work to the area.”

Ms. Tifft and her husband have twosons — Matthew, 14, and Morgan, 9 —and a 7-year-old daughter, Maggie.

— John Booth

President/CEO

Clinical Research Management, Inc.

To find the origins of Clinical Research Management — a $40million-a-year contract researchorganization in Hinckley with

300-plus employees — well, you’ve got tostart small: with the microscopic parasitethat causes malaria.

Company co-founder, president andCEO Victoria Tifft, a Hinckley native andUniversity of Akron graduate, took her bi-ology degree in 1987 and headed to Togo,West Africa, where she worked in the med-ical field.

“Part of my job was to prevent thecontraction of malaria,” Ms. Tifftsaid,“which I contracted a few times.”

Following her return to the UnitedStates and a stint cataloging fish for theSmithsonian Institution, Ms. Tifft puther bug for infectious disease study towork, founding Clinical Research Man-agement with her husband, Quinten,and pursuing a contract with the WalterReed Army Institute of Research.

It was right up her alley.“They were working on creating a

clinical trial center, and one of the thingsthey work on is malaria,” Ms. Tifft said.

One of two Army contracts Clinical Research Management landed in its firstyear, the deal with Walter Reed formed a

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involved in the CAC deal for $45,504in county court for unpaid legal fees— nearly half of it incurred for work involving the CAC Building.The case is pending before JudgeJoseph Russo.

The CAC Building’s ownershipalso owes $518,000 in current andback property taxes and assess-ments for the Downtown ClevelandAlliance, according to county taxrecords.

A big plus: tax creditsA big inducement for Mr. Wein-

gart’s group in securing the CACBuilding is the $4 million in OhioHistoric Preservation Tax creditsapproved in 2007 for the plannedrenovation project. Mr. Weingartsaid he’s negotiating with a lenderto obtain loans for the project,which also would benefit from federal New Markets Tax Credits.The credits provide another equitysource that increases lender appetitefor such development loans, whichare scarce in the real estate creditcrunch.

Rather than create 103 apart-ments as envisioned by Mr. Mann,Mr. Weingart said he wants to put ahotel with more than 160 units in

the CAC Building. The landmarkclub’s fitness center and poolwould serve as an amenity for hotelguests and the community.

Reached by phone last Wednesday,July 14, Mr. Mann said he was on aconference call and would not discuss the lawsuit settlement orthe projects. He did not return fourother calls from Crain’s.

Mr. Mann has been a quizzicalfigure since he surfaced in 2005 asthe buyer of first one, then twomore empty office buildings on thenorth side of Euclid Avenue justeast of East Ninth Street; thosebuildings run from 1001 to 1101 Euclid. He has rebuffed requests fordetailed interviews. Most newsabout his activities comes fromcounty and state records.

Tax bills overdueIndustry insiders say Mr. Mann is

in talks to dispose of those buildingsalong with the CAC Building, whichis on the south side of Euclid. Countytax records show Mr. Mann’s partnership owes more than $300,000in current and back taxes on theproperties on the north side of Euclid.

Cuyahoga County had consideredin 2006 providing a $1 million

brownfield loan to aid the makeoverof the three buildings on the northside of Euclid. County commissionersadopted a preliminary measure in2006 to allow Mr. Mann’s groups toissue $25 million in tax-exempthousing bonds to advance hisplans. However, he never followedthrough with the issue and countyofficials said they have not seenhim since.

James Herron, the county’s chiefdevelopment officer, said the loanapplications never proceeded, asMr. Mann was not able to obtainloan commitments.

“I don’t think he has the ability todo it,” Mr. Herron said. “It seemsthe investors he relied on wentaway.”

Moreover, that was in 2006 — afew years before the real estatecredit crunch set in. However, thosebuildings still have state OKs for$5.8 million in historic tax credits.

Waring Investments did not return three phone messages andtwo e-mails; its attorney, RobertWeltman, did not return three calls.Mark Schlachet, the Cleveland attorney for Mr. Mann’s partner-ships, declined comment, as didMarc Krantz, managing partner ofKohrman Jackson. ■

2200 CRAIN’S CLEVELAND BUSINESS WWW.CRAINSCLEVELAND.COM JULY 19-25, 2010

Indeed, Ms. Weinzierl said the requests for unpaid labor have risennot just at Akron, but among her colleagues around the country.

Many employers are not aware of the potential illegality of whatthey’re proposing, Ms. Weinzierlsaid, and one has come back to revise a job so that it offered mini-mum wage. But Ms. Weinzierl saidshe expects some students may betaking advantage of connections totake work even if it doesn’t pay.

“Our students are anxious to getexperience,” she said. “Some, whereit’s financially feasible for them todo such a thing, may.”

Jennifer Blaga, director of careerplanning at Cleveland-MarshallCollege of Law at Cleveland StateUniversity, also said she’s seeingmore unpaid internships offered.

The Department of Labor outlinessix criteria that are required in orderfor an internship to qualify as unpaid. They include intern trainingthat would be similar to an educa-tional environment and a conclu-sion that the employer does not immediately benefit from an intern’s work and may be impededby it, as in cases where an intern requires instruction that takes uptime other employees would bespending on work.

Ms. Blaga said she brings upthose criteria with students, who in turn are discussing them with potential supervisors. In addition tothe three law firms Ms. Blaga said hadinquired about Cleveland-Marshallstudents’ interest in unpaid intern-ships, she has heard that some companies are looking for law studentson an uncompensated basis.

“It’s a pretty hot issue,” she said.“Students are taking anything theycan get.”

Some are bartending or workingother part-time jobs so they can afford to get the unpaid law experi-ence that will help build their résumés, Ms. Blaga said.

“A large and increasing numberof students are able and willing towork for free,” she said.

Opportunity knocksSteven Larson, a second-year law

student at Cleveland-Marshall, saidhe participated in a six-week unpaidprogram at the Reminger Co. lawfirm, along with one other student.The firm also is hosting two morestudents in a second six-week

session and had a third split histime between the first and secondsix-week session.

Mr. Larson said his work atReminger allowed him to “dip mytoes in the water a little bit and seehow a law firm really operates.” Hespent much of his time shadowing attorneys and seeing what paid lawclerks do, writing motions and memoranda. He said he also was ableto assist with research projects and tohelp prepare presentations.

“I’m grateful for the opportunityto have this experience,” he said. “Inthis market, there’s really nothingavailable.”

Bethanie Ricketts, a Reminger associate who runs the firm’s lawclerk program, said the firm couldn’tbill clients for anything done by thesummer interns. Instead, the incen-tive was to provide opportunities tostudents who might not otherwisesee the inside of a law firm.

“Financially, there really was nobenefit to us at all,” she said. “It’s away to give back to the legal com-munity a little bit and hopefullyhelp them out with their next job.So many people are just looking forsomething.”

‘Everything’s tougher’Kelli Curtis, assistant dean for

career services at the Case WesternReserve University School of Law,said in an e-mailed statement that theschool “supports students who se-cure unpaid opportunities by offeringa variety of summer fellowships.”Many she listed are focused on specif-ic work, such as fellowships for human rights or environmental law.

Ms. Curtis wrote that CWRU’s first-and second-year students “have beensuccessful in securing summer employment” and the school’s employment rates have been consis-tent with past years. She said the career services office “is working hardto help students and graduates navi-gate today’s legal hiring landscape.”

As for those students who arecloser to graduation, Cleveland-Marshall’s Ms. Blaga said she hasseen some “hesitation” from employers looking to hire law clerksbecause they are “cautious about(the students’) expectations.”

“They say they’d prefer not to hirethird years,” she said. “I don’t know ifit’s ever easy to get a job as a (third-year law student) cold, but it’s moredifficult now because of the pressures.Everything’s tougher generally.” ■

unit Mr. Fox was leading.Fathom SEO isn’t the only local

company expanding its search engine marketing practice. For instance, Rosetta, a New Jersey-based digital marketing companythat employs hundreds in NortheastOhio, grew its search practice to$14.3 million in revenue last yearfrom $9 million in 2008, said ChrisBoggs, who is both director of searchengine optimization at Rosetta andpresident of the Search Engine Mar-keting Professional Organization.

Mr. Boggs attributes some of theindustry’s continuing expansion toa growing acceptance of search engine marketing in the businesscommunity.

“They’ve started to become moreattuned to the entire ecosystem,” hesaid.

A bad experience with anothersearch engine marketing companymade Alon Weiner, vice president atPost-Up Stand Inc. of MapleHeights, leery of Fathom SEO atfirst. However, since the maker ofdisplay products for trade showsand corporate events started workingwith Fathom SEC five years ago, ithas seen big improvements insearch engine rankings, web trafficand online sales.

Mr. Weiner lauded its staff, notingthat he has worked with 10 FathomSEO employees over the years.

“They’re always a little bit aheadof the curve,” he said. ■

continued from PAGE 3

Fathom: Clients accept SEO’s value

Unpaid: Students, needing experience, in tough spotcontinued from PAGE 3

continued from PAGE 1

CAC: Historic tax credits boost plan

20100719-NEWS--20-NAT-CCI-CL_-- 7/16/2010 3:19 PM Page 1

Page 21: Crain's Cleveland Business

JULY 19-25, 2010 WWW.CRAINSCLEVELAND.COM CRAIN’S CLEVELAND BUSINESS 21

SOUND SOLUTIONS FOR ASSISTED LIVINGSContact Mike Mullee + [email protected] + 216.363.0100

LARGEST ASSISTED-LIVING CENTERSRANKED BY NUMBER OF RESIDENTS(1)

Rank

NameAddressPhone/Web site

Number ofresidents

Number ofliving units

Number ofRNs (FTE)

Number ofLPNs (FTE)

Total staff(FTE) Profit status

Monthly rate indollars ($)

Yearfounded

OwnershipAdministrator

1Woodside Village19455 Rockside Road, Bedford 44146(440) 439-8666/www.horizonbay.com

205 229 NA NA 85 profit 1,995-2,995 1988 Horizon BayJill Ann Risner

2Abbewood Senior Living Community1210 S. Abbe Road, Elyria 44035(440) 366-8980/www.centurypa.com

162 165 NA NA 85 profit 1,700+ 1986 Century Park Associates Inc.Jeff Nieberding

3The Briarwood - Assisted Living Center3700 Englewood Drive, Stow 44224(330) 688-1828/www.thebriarwood.com

149 160 7 16 121 profit 2,760 1991 The Briarwood Ltd.Jon Trimble

4Wiggins Place27070 Cedar Road, Beachwood 44122(216) 831-2881/www.wigginsplace.org

124 114 1 0 30 nonprofit 2,714-4,179 2004 Board of trusteesNancy Sutula

5Stone Gardens Assisted Living27090 Cedar Road, Beachwood 44122(216) 292-0070/www.stonegardens.org

122 116 11 1 66 nonprofit 3,355-5,509 1994 Board of trusteesRoss Wilkoff

6The Gardens at Westlake27569 Detroit Road, Westlake 44145(440) 892-9777/www.gardensatwestlake.com

108 95 0 6 50 profit 2,530-2,880 1988 Spectrum Retirement CommuntiesChristina Melaragno

7Rockport Independent and Assisted Living20375 Center Ridge Road, Rocky River 44116(440) 356-5444/www.rockportretirement.com

106 125 1 3 14 profit 1,575-3,015 1995 Rockport Retirement Ltd.Penny Kelly

8Judson at University Circle2181 Ambleside Drive, Cleveland 44106(216) 721-1234/www.judsonsmartliving.org

103 107 6 6 45 nonprofit 4,700-5,900 1906 Judson Services Inc.Cynthia H. Dunn

9St. Augustine Health Campus-Towers Assisted Living7821 Lake Ave., Cleveland 44102(216) 634-7444/www.staugustinemanor.org

102 99 2 5 43 nonprofit 800-2,317 1996 Catholic CharitiesK. Patrick Gareau

10Berea Lake Towers Retirement Community4 Berea Commons, Berea 44017(440) 243-9050/www.berealaketowers.com

98 94 2 3 35 profit 2,100-3,800 1989 Robert M. Coury TrustTammy Cummins

11The Inn at Belden Village3927 38th St. NW, Canton 44718(330) 493-0096/www.theinnatbeldenvillage.com

97 91 1 6 60 nonprofit 2,880-4,650 2000 The Cathedral of Life MinistriesNanette Gammill

12Sunrise of Willoughby35300 Kaiser Court, Willoughby 44094(440) 269-8600/www.sunriseseniorliving.com

96 90 0 4 65 profit 2,853 1999 CNLBrian Appleby

13Marymount Place5100 Marymount Village Drive, Garfield Heights 44125(216) 332-1070/www.villageatmarymount.org

94 104 1 4 21 nonprofit 2,028-3,461 1988 The Village at MarymountPeggy Mathews

14Mulberry Gardens395 S. Main St., Munroe Falls 44262(330) 634-9919/www.seniorlivinginstyle.com

93 86 1 8 58 profit 2,895 2004 Hawthorne RetirementMaryann Ervin

15Anna Maria of Aurora889 N. Aurora Road, Aurora 44202(330) 562-6171/www.annamariaofaurora.com

92 100 2 2 20 profit 3,500-4,000 1982 Robert Norton, George NortonAaron Baker

15Brighton Gardens of Westlake27819 Center Ridge Road, Westlake 44145(440) 808-0074/www.sunriseseniorliving.com

92 104 1 4 65 profit 3,000-6,000 1999 Sunrise Senior Living Inc.M.J. Giovanetti

15Emeritus at Mentor(1)5700 Emerald Court, Mentor 44060(440) 354-5499/www.emeritus.com

92 85 NA NA 30 profit 2,900-4,500 1999 Emeritus Senior LivingTerry Sombat

18Wellington Place4800 Clague Road, North Olmsted 44070(440) 734-9933/www.wellingtonplace.net

90 87 2 15 36 profit 2,250-5,460 2001 John T. O'NeillRick M. Meserini

19Kentridge at Golden Pond5241 Sunnybrook Road, Kent 44240(330) 677-4040/www.kentridgeatgoldenpond.com

87 91 2 12 90 profit 2,500-4,200 2005 Inn at Golden Pond LLCSandy Warner

20Harbor Court & Annie's Place Memory Care22900 Center Ridge Road, Rocky River 44116(440) 356-2282/www.theharborcourt.com

85 118 4 4 60 profit 2,450-2,875 1988 Harbor Court Ltd.Tina Lilly

20Hearthstone Assisted Living at Lorain3290 Cooper Foster Park Road, Lorain 44053(440) 960-2813/www.hearthstoneassisted.com

85 133 0 5 30 profit 1,695-4,000 2000 Hearthstone Senior ServicesCarrie Pavlas

22Vantage Place Inc.3105 Franklin Blvd., Cleveland 44113(216) 566-8707/http://vantageplace.com

81 86 2 10 30 profit 877.50-1,775 NA Vantage PlaceRobert L. Royer Jr.

23The Fairways30630 Ridge Road, Wickliffe 44092(440) 943-2050/www.brookdaleliving.com

78 80 2 11 65 profit 3,500-4,200 1998 Brookdale Senior Living Inc.Jeffrey Knight

23Kemper House Mentor8155 Mentor Hills Drive, Mentor 44060(440) 256-5200/www.kemperhouse.com

78 60 NA NA 45 profit 4,380-4,950 2001 Betty KemperChera Ihnat

25Fountains on the Greens1555 Brainard Road, Lyndhurst 44124(440) 460-1000/www.greenscommunities.com

77 82 5 6 48 profit 2,900-4,900 1996 Kindred HealthcareCarol Rose

26Elmcroft of Medina1046 N. Jefferson St., Medina 44256(330) 721-2000/www.elmcroftal.com

76 80 NA NA 60 profit 2,500 1999 Senior Care Corp.Chrissy Kacirek

26Light of Hearts Villa Inc.283 Union St., Bedford 44146(440) 232-1991/www.lightofheartsvilla.org

76 90 2 2 40 nonprofit 2,362 1989Sisters of Charity of Cincinnati andSisters of Charity Health SystemArlene C. Jaroscak

Source: Information is supplied by the companies unless footnoted. Crain's Cleveland Business does not independently verify the information and there is no guarantee theselistings are complete or accurate. Individual lists and The Book of Lists are available to purchase at www.crainscleveland.com. (1) All information as of May 1, 2010. (2)Previously Summerville at Mentor.

RESEARCHED BY Deborah W. Hillyer

20100719-NEWS--21-NAT-CCI-CL_-- 7/15/2010 1:59 PM Page 1

Page 22: Crain's Cleveland Business

2222 CRAIN’S CLEVELAND BUSINESS WWW.CRAINSCLEVELAND.COM JULY 19-25, 2010

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CERTIFIED PUBLIC ACCOUNTANTSThe Cleveland Treatment Center (a non profit agency) issoliciting proposals from qualified CPA (persons and firms)interested in performing the financial audit for fiscal year2010. Specific requirements and/or information can beobtained from J. Joel Nacion , Fiscal Director. [email protected] or call 216-861-4246 and ask forcopy of Audit Requirements.

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FOR LEASE OR LEASECleveland/Shaker Hts.

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20100719-NEWS--22-NAT-CCI-CL_-- 7/16/2010 11:57 AM Page 1

Page 23: Crain's Cleveland Business

The hole story on Presti’s doughnuts■ Presti’s doughnuts are back.

The fried sour cream doughnut had a devoted following when they were sold outof a tiny shop on Mayfield Road in LittleItaly. Open all night, it was on the way homefor Case Western Reserve University stu-dents and the late-night crowd spilling outof nearby bars.

The Presti family has been in the bakerybusiness in Little Italy since 1903. By the late1990s, Charles Presti Sr. had two operations:the doughnut shop, which eventually wasowned by his son, Charles, and the bakeryrun by daughters Claudia and Sheila.Charles Jr. sold the small store and thedoughnut-making equipment in 1999 andthe daughters moved to a new café fartherwest on Mayfield in the late 1990s.

The new owner of the doughnut shopcontinued for a time as Gilly’s Not JustDoughnuts, adding a downtown location onthe edge of Cleveland’s Warehouse District,where the doughnuts became a morning favorite at Crain’s. That business closed in2006.

“Every day customers come in and ask fordoughnuts,” said Claudia DiBartolo, CharlesPresti’s daughter. However, the bakerylacked the special equipment needed to make fried-cake doughnuts. “It’s totally different from a bakery, it’s a whole separateoperation.”

But she finally broke down and bought adoughnut-maker. The doughnuts went onsale this month. — Jay Miller

A mentor joinshis pupil’s firm■ The founder and president of a Clevelandmarketing firm has hired his former boss, whopreviously worked in various executive posi-tions at McDonald’s Corp. for 32 years.

Roy T. Bergold Jr. has joined Cleveland-based Dorsey & Co. as its managing director of

communication and cre-ative strategy to help thefirm expand its marketingconsulting services.

Mr. Bergold helpedfoster at McDonald’smore than 30 years agothe marketing career ofhis new boss — Julius C.Dorsey Jr.

“We were a bit of anodd pair — an ad VP andan ad supervisor twoyears out of MichiganState,” Mr. Dorsey said.

“I cannot tell youwhat an honor it is to be working with Roy again, especially as the compa-ny is at a point where

it is poised for growth,” he said. — KathyAmes Carr

Stimulus efforts sure don’t stimulate this CEO■ Daniel Hurwitz, CEO of Developers Diversi-fied Realty Corp. in Beachwood, is optimisticabout an improving retail environment but

not about government stimulus efforts.Mr. Hurwitz told an International Council

of Shopping Centers Next Gen meeting June22 he saw something at this year’s conventionhe had not seen in a long time: retailers hunt-ing for stores they want to open this year.

However, Mr. Hurwitz — who noted his remarks were as a honcho with his industrygroup rather than as CEO of Developers Diver-sified — likened federal stimulus efforts to giv-ing a 10-year-old a Milky Way for a sugar high.

“In Ohio, we’re paving roads that don’tneed to be paved,” Mr. Hurwitz said. “We havea stimulant-driven economy, not a job-driveneconomy. We need jobs to sustain us. We havea federal government that likes jobs but doesnot like employers.” — Stan Bullard

Empty feeling to grow just west of Public Square■ A collection of parking lots northwest ofCleveland’s Public Square that visionaries toutas a site with redevelopment potential will bea bit more wind-swept by winter.

Kerry Chelm, president of Chelm PropertiesInc. in Solon, said he has applied for city permits needed to raze the parking garage on the northeast corner of West Sixth Streetand Superior Avenue. In need of substantialrepairs, the garage closed months ago.

Mr. Chelm’s late father, Irving Chelm, ac-quired the garage in 1988 in a partnership thatincluded Forest City Enterprises Inc. It wasviewed as a potential skyscraper site.

Network Parking will manage the resultinglot until the time is right to develop it, Mr.Chelm said. — Stan Bullard

WHAT’S NEWCOMPANY: CWP Technologies,ClevelandPRODUCT: Tile Diamond CeramicFloor Cleaning System

Here’s a basic fact of life: It’s not fun to geton your hand and knees to clean ceramic tilefloors.

CWP Technologies’ answer to this is the Tile Diamond floor cleaning tool, which is whatthe company bills as one of the first handheldtools on the market that cleans both tile andgrout.

As such, CWP Technologies says,its complete Tile Diamond floorcleaning systemcuts in half the num-ber of tools andchemicals neededto give a propercleaning to tile floors.

The Tile Diamondtool features twotypes of bristles forcleaning. The red,diamond-shapedbristles are used toclean hard-to-reachgrout areas of tile,while the gray bristles clean the tile surface. An 8-inch cleaning head allows the brush to maneuver into tight spots, such as behind toilets, the company says.

The complete floor cleaning system includesCWP Technologies’ no-rinse Tile & Grout Cleanerthat’s safe around non-tile areas and leaves noresidue upon wiping up the excess fluid with thesystem’s microfiber towel.

For information, visit www.CWPFloorCare.com.

Send new product information to managing editor Scott Suttell at [email protected].

REPORTERS’ NOTEBOOKBEHIND THE NEWS WITH CRAIN’S WRITERS

THEINSIDER

THEWEEK JULY 12 – 18

Goodbye to The Boss: George Steinbrenner,the iconic owner of the New York Yankees whohad his roots in Northeast Ohio, died lastWednesday of a massive heart attack at the age of80. In a case of what could have been for Cleveland,the man who was born in Rocky River led a failedattempt in 1972 to buy the Indians from VernonStouffer. Instead, he bought the Yankees a year later. He would come to be known as “The Boss”for his hands-on management style and for buttingheads with players and managers. During histenure, the Yankees won seven World Series and 11American League championships. Before buyingthe Yankees, he worked for his father’s lake carrierbusiness and would amass his fortune by shapingand running Cleveland-based American Ship-building Co.

Calfee makes a move: The Calfee, Halter &Griswold law firm plans to put a different stampon downtown Cleveland’s office market by occupying all of the former WKYC Building,1401 E. Sixth St., in a $30 million project that includes construction of an adjoining, 190-spaceparking deck. Calfee is bound for a classic buildingdating from 1916 instead of another downtownskyscraper or a suburban building. Calfee agreedto a 20-year lease, said Steve Calabrese, whoheads Rockwell Property LLC, an investor groupthat owns the building, which originally housedEast Ohio Gas Co. and was the former home ofWKYC-TV, Channel 3.

The Illinois connection: The ClevelandClinic inked an affiliation agreement with Central

DuPage Hospital in Winfield, Ill.,west of Chicago, to work together on its heart care pro-gram. Under the agreement,patients at the 313-bed CentralDuPage will have greater

access to heart surgery clinicaltrials and the Clinic’s treatment

protocols. It is the first hospital theClinic’s cardiac surgery program has

partnered with west of Ohio.

Busy Eaton: Eaton Corp. made two significantannouncements, with the bigger of the two involving its operations in China. The diversifiedmanufacturer signed a letter of intent withShanghai Aviation Electric Co. and CommercialAircraft Corp. of China to supply the cockpit panel assemblies and dimming control system forCommercial Aircraft’s C919 aircraft program.Eaton said total value of the program is estimatedto exceed $425 million, based on an anticipatedvolume of 2,500 aircraft. Separately, Eaton said itacquired EMC Engineers Inc. of Denver for anundisclosed price. EMC Engineers is a provider ofenergy efficiency services that had 2009 sales of $24million and employs about 155 workers.

Jobs roll out: Novelis, an aluminum rollingand recycling company that announced over thewinter it would be moving its North Americanheadquarters from Cleveland to its corporateheadquarters in Atlanta, will take some employeesto Georgia with it. Novelis said 62 of its 191 full-time employees accepted offers to transferto Atlanta. Another 70 will be laid off and 59 arenot affected by the move.

This and that: Five employees from Stifel,Nicolaus & Co.’s investment banking office inCleveland — including managing directorsCharles R. Crowley and Michael C. Voinovich —joined Paragon Capital Group. … KeyCorp saidBarbara R. Snyder, president of Case WesternReserve University, was elected to the company’sboard. … Sherwin-Williams Co. entered into anexclusive supply agreement with M/I Homes ofColumbus to supply the homebuilder withpaints and coatings in various markets.

JULY 19-25, 2010 WWW.CRAINSCLEVELAND.COM CRAIN’S CLEVELAND BUSINESS 23

Excerpts from blog entries on CrainsCleveland.com.

BEST OF THE BLOGS

Come for medical care, stayfor the tourist destinations■ More employers and insurers are offeringfinancial incentives to encourage workersto consider “domestic medical travel” toplaces — including Cleveland — where better-quality, less-expensive care can befound, according to a July 7 story fromKaiser Health News and USA Today.

By steering workers to facilities with high-quality care and lower prices, employers saythey can reduce their costs 20% to 40% —more than enough to cover the travel expenses,” Kaiser and USA Today reported.

The story notes that employers with domestic travel programs say they save moneyin part by negotiating a single rate, which includes the fees for surgeons, anesthesiolo-gists and all medical care up until the patient is discharged.

“This is one of our ways oftrying to bend the cost curve,”said Bob Ihrie, senior vicepresident in charge of employeeprograms at Lowe’s.

The national home-improvement retailer“has a three-year deal with the ClevelandClinic to send the medical center willing employees and their dependents who needtreatments such as open-heart surgeries,valve repairs and pacemakers,” the story noted. Lowe’s may add orthopedic surgeriesto its travel program, according to Mr. Ihrie.

Kaiser and USA Today say Lowe’s negoti-ated flat-rate fees with the Clinic for complex cardiac procedures. Lowe’s is notcharged extra if a patient is re-admitted tothe clinic for care resulting from thesurgery. But the retailer “agreed to makeadditional payments for patients whosemedical needs are so complex that they exceed normal ranges, such as a patient

who might have multiple problems,” according to the story.

“Already, one Lowe’s employee had threecomplex heart procedures while hospitalizedunder the new program,” Kaiser and USA Today reported. “Lowe’s asked benefit firmMercer to calculate the cost of those proce-dures if they were done under the company’sstandard insurance plan. Mercer estimated$531,000. Under the agreement with theCleveland Clinic, Lowe’s paid $469,000.”

Banking pros see qualityoperators at PNC■ There’s abundant respect in the bankingcommunity for PNC Financial ServicesGroup, according to blogs at The Wall StreetJournal and Fortune.

A Deal Journal blog post speculated thatbank M&A activity is back, and that large regional players including PNC “are in the

sweet spot for making acquisi-tions.”

The big regional banks’balance sheets are strong,

they have raised billions of dollars in new capital and they

“fly under the too-big-to-failradar,” according to Keefe, Bruyette &Woods analyst Chris McGratty.

Fortune took a look at why Canadianbanks generally are in so much better shapethan their American counterparts. (FitchRatings said that’s because of “solid capitaland liquidity levels; conservative overall riskmanagement practices partly associatedwith a relatively concentrated market struc-ture that allows close and clear regulatorysupervision; a relatively stable housingmarket; and the diversification derivedfrom the banks’ universal model.”)

Toward the end of the piece, Fortunenoted that Deutsche Bank’s update on U.S.banks and brokers says the bank is bullish ononly five American banks, including PNC.

Dorsey

Bergold

20100719-NEWS--23-NAT-CCI-CL_-- 7/16/2010 4:13 PM Page 1

Page 24: Crain's Cleveland Business

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* Jaguar Platinum Coverage includes all factory recommended scheduled maintenance for five years of 50,000miles, whichever occurs first. Wear andtear items are limited to brake pads, brake dics, brake fluid changes and wiper blade inserts based on factory specified wear limits or intervals. All workmust be performed by an authorized Jaguar dealer. For complete details on Jaguar Platinum Coverage, including warranty and maintenance coverageand exclusions, please visit your local Jaguar dealer or JaguarUSA.com. ©2010 JAGUAR LAND ROVER NORTH AMERICA LLC

JAGUAR CLEVELAND6137 KRUSE DR., SOLON (440) 542-0601

LAND ROVER SOLON6137 KRUSE DR.• SOLON • 1-866-210-6707

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Please call for details on our specials.2010 Quattroporte 4.7S . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Nero/Cuoio New2010 GranTurismo . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Nero/Nero New2010 GranTurismo 4.7S . . . . . . . . . . . . . . . . . . . . . . . . . .Bianco Eldorado/Cuoio New2009 GranTurismo S . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Grigio/Corallo New

20100719-NEWS--24-NAT-CCI-CL_-- 7/16/2010 11:57 AM Page 1


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