Tuesday, January 8, 2008
Menominee Tribe criticizes Potawatomi simulcast plans
The Menominee Indian Tribe of Wisconsin today criticized the Forest County Potawatomi Tribe's plans to offer off-track pari-mutuel betting on horse and dog races at the Potawatomi Bingo Casino in Milwaukee.
Potawatomi spokesman Ken Walsh confirmed that the tribe is negotiating with out-of-state tracks to simulcast their races at the casino.
Walsh said the betting will be available later this year when the Potawatomi complete their expansion of the Milwaukee casino.
The news about the Potawatomi's plans to add off-track betting prompted the Menominee to issue a media alert, headlined, "Another Worthless Potawatomi Promise," this morning.
"The Potawatomi promised Wisconsin they wouldn't do it - but apparently, they've changed their minds," the Menominee's bulletin said. "The Potawatomi have decided to go back on their word to the state and offer off-track betting at their off-reservation casino in Milwaukee … It's another example of the Potawatomi using strong-arm tactics to get what they want … not a piece of the pie, but the whole pie for themselves."
However, Walsh said the Potawatomi negotiated the right to provide pari-mutuel betting in their 2003 gaming compact with the state.
"It's always been part of the plan. There was never an agreement not to offer it by the tribe," Walsh told SBT this morning.
Off-track betting in Milwaukee would take betting customers away from the Dairyland Greyhound Park in Kenosha, where the Menominee Tribe is attempting to gain approval to build an $808 million entertainment center and casino. For more information on that project, visit www.CasinoCompetitionForWisconsin.com.
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Oshkosh Truck joins military contract partnership
Northrop Grumman Corp. and Oshkosh Truck Corp. have launched a joint partnership to compete for the contract to manufacture the U.S. military's next-generation family of lightweight vehicles.
The U.S. Department of Defense plans to acquire the JLTV for use by the U.S. Army and U.S. Marine Corps. As currently envisioned, the JLTV will be stronger and more survivable than current tactical vehicles in its class. It also will be more mobile and maneuverable than the mine-resistant ambush-protected vehicle, or MRAP, being widely deployed in Iraq.
Under the agreement announced today, if selected for the Joint Light Tactical Vehicle Technology Demonstration (JLTV) program, Northrop Grumman's Mission Systems sector will be the prime contractor and systems integrator. Oshkosh Truck's Defense Group will be responsible for designing, engineering and manufacturing the vehicle.
"Northrop Grumman brings enormous experience in the design, development and systems integration of complex mission equipment on military platforms," said Ronald Sugar, chairman and chief executive officer of Reston, Va.-based Northrop Grumman. "The fusion of this expertise with Oshkosh Truck's unparalleled capability in advanced extreme-duty vehicles enables our team to deliver the best JLTV solution to our nation's warfighters."
"Oshkosh Truck has proven its vehicles work in actual rugged conditions - and not just on a tradeshow floor. By working together with Northrop Grumman and our partners, Oshkosh can provide the total package to meet the military's vehicle needs and ultimately help protect soldiers and Marines," said Robert Bohn, chairman and chief executive officer of Oshkosh Truck.
Joy Global to acquire conveyor systems company
Milwaukee-based Joy Global Inc. announced today it has entered into a definitive agreement with NES Group Inc. to acquire Continental Global Inc., a provider of conveyor systems for bulk material handling in mining and other industrial applications.
The purchase price will be $270 million.
Canonsburg, Pa.-based Continental designs, manufactures, installs and services highly engineered conveyor solutions for customers on six continents and has manufacturing facilities in the United States, United Kingdom, South Africa and Australia.
Continental's 2007 sales of conveyor equipment are expected to be approximately $340 million.
The transaction is structured as a purchase from NES Group of the stock of NES Investment, Co., the parent holding company of Continental.
"Continental Global expands the range of products and services we can deliver to our customers, and is consistent with our strategy of adding related and highly synergistic product lines," said Mike Sutherlin, president and chief executive officer of Joy Global, which manufactures mining equipment. "Continental's conveyor systems fit closely with our surface and underground businesses, allowing us to leverage our strong global presence in both segments. Integrating conveyor systems into our life cycle management programs will extend the impact of these programs to deliver the highest reliability in equipment and systems that are mission critical to our customers. This enhances the efficiency of our existing mine site operations, and is even more important as our customers look to green field projects for future expansion."
Sears to carry Snapper lawnmowers
Beginning this spring, Sears will become the exclusive national retailer to sell the Snapper brand of lawn equipment manufactured by Briggs & Stratton Corp.
The select Snapper branded products to be carried at Sears stores nationwide will include three new self-propelled walk behind mowers, two new lawn tractors and a new zero turn riding mower.
Since introducing the industry's first self-propelled rotary mower in 1951, the Snapper brand has been dedicated to providing homeowners with a wide variety of walk-behind and riding mowers to meet their lawn care needs. In addition to these new products being available at Sears, they will continue to be sold the Snapper dealership network.
"We are excited about the prospects of combining the strength of the Snapper brand and product line with the merchandising and trusted leadership of Sears in lawn and garden equipment," said Vince Shiely, president of the Milwaukee-based Briggs & Stratton Yard Power Products Group.
"Here's an opportunity to combine two really strong brands to both their benefits," Troy Blewett, spokesman for the Briggs Yard Power Products Group, told SBT.
Snapper mowers are manufactured in McDonough, Ga.
Madison biotech company raises $13 million in private offering
Cellectar Inc., a Madison-based radiopharmaceuticals company that designs and develops products to detect, treat and monitor human cancers, today announced it has raised $13 million in a private offering.
Cellectar will use the money to continue operations and execute a Phase 1 clinical trial for its lead oncology product candidate, CLR1404, which is planned to start this summer. Cellectar recently opened a new manufacturing facility in Madison, which will make it possible to complete its clinical trials while remaining independent.
The round was led by Venture Investors, LLC, with participants including Advantage Capital, several Wisconsin based angel investor groups and a large private equity firm. John Neis, managing director of Venture Investors, has joined the Cellectar board of directors.
Bill Clarke, M.D., Cellectar's president and chief executive officer, said, "Based on the encouraging data for our lead product candidate, CLR1404, these funds will allow us to move into the clinical trial phase of development. We are pleased with the confidence that our investors have in the Cellectar team. Additionally, John Neis brings a tremendous amount of experience to our Board and will be a key contributor not only to the management of our company, but also to our future fundraising efforts."
During 2007, Cellectar raised $7 million in the largest angel round in Wisconsin history.
Middleton firm names new CEO
Middleton-based Parts Now!, the largest distributor of laser printer parts in North America, has appointed Bruce Hagan as its new chief executive officer.
A business-to-business industry veteran, Hagan has held senior positions at several large companies. He most recently served as president and CEO of Conney Safety Products in Madison. He previously spent a decade at W.W. Grainger.
Parts Now! advisory board member Andrew Albert said, "We are delighted to have Bruce at the helm. His career background coupled with his strong leadership and interpersonal skills will enable Parts Now! to accelerate its enviable growth record."
"My goal is to build upon Parts Now!'s solid industry leadership position, successful track record and its 17 consecutive years of growth," Hagan said. "I look forward to applying my knowledge of world class distribution, logistics and customer service to provide an even better customer experience at Parts Now!"
Parts Now! reported annual sales of $95.5 million in 2006.
CIB Marine appoints new CFO
Pewaukee-based CIB Marine Bancshares Inc. announced that Edwin Depenbrok has been appointed chief financial officer, succeeding Steven Klitzing, who resigned in November.
Depenbrok, who has more than 30 years of banking and operations experience, founded Dbrok Group in 2001 to provide finance and treasury management services to community banks.
John Hickey, president and chief executive officer of CIB Marine, said, "Having previously worked with Mr. Depenbrok at Bank One, I knew that he possessed the right skill set to take CIB Marine to the next level. Since joining CIB Marine, Ed has spearheaded major initiatives and demonstrated a keen ability to troubleshoot and forecast financial trends."
CIB Marine is a multi-bank holding company with 24 banking offices in central Illinois, Wisconsin, Indiana, Florida, and Arizona.
State headlines: Plenty of Packer tickets available on the market
Ticket brokers say there is a glut of tickets on the secondary market for Saturday's Green Bay Packers playoff game at Lambeau Field against the Seattle Seahawks. Ticket prices should fall later this week, some brokers say. Read more in SBT's daily roundup of headlines from newspapers across the state at www.biztimes.com.
Milwaukee Biz Blog: A fresh start for Milwaukee Police Department
After taking his oath of office, Milwaukee Police Chief Edward Flynn says change is inevitable for the police department. Read more in today's Milwaukee Biz Blog.
Local stocks on the trampoline
The BizTimes Stock Index regained 10 points to close at 165.00 Monday afternoon, but local stocks back into the abyss in early morning trading today. The largest local decliners this morning were MGIC Investment Corp. (down $2.14 to $17.36) and Badger Meter Inc. (down $2.09 to $41.21). The largest local advancers this morning were Joy Global Inc. (up $2.57 to $62.67) and Strattec Security Corp. (up $1.09 to $44.77). The BizTimes Stock Index was created by Small Business Times and is monitored by North Shore Bank. The index, which measures the stock values of publicly held companies based in southeastern Wisconsin, is updated daily and can be viewed at www.biztimes.com.
Manufacturer to expand and move jobs to Milwaukee
HellermannTyton Corp. will shift its manufacturing operations from Naples, Fla., to Milwaukee, where it plans to expand and create 154 new jobs over the next three years.
The company is acquiring and renovating a facility at 8475 N. 87th St. and expanding an existing facility at 7930 N. Faulkner Road. The total project cost is estimated at $7.8 million.
HellermannTyton's key markets include the light vehicle, truck manufacturing, OEM, and voice and data markets. The company's customers include General Motors, Ford, Mercedes Benz, Freightliner, Peterbilt, Caterpillar, John Deere, the Smithsonian Institute, AT&T and Hewlett Packard.
Jim Campion, president of HellermannTyton North America, said, "We put together a very solid plan to expand our manufacturing operations in Milwaukee. With assistance from the state of Wisconsin, we feel confident we will be able to grow our manufacturing base in Milwaukee. This area offers a manufacturing mindset and vehicles to recruit and train employees, and that is critical to our long term, aggressive growth plans."
Wisconsin Gov. Jim Doyle will announce this afternoon that the Wisconsin Department of Commerce will provide $548,000 in Community Development Zone tax credits for HellermannTyton expansion project.
"Manufacturing helped define our heritage, and it will determine our future as well. It is a cornerstone of our economy, and we want to invest in projects that will keep our manufacturing base strong and growing," Doyle said. "I am pleased that we could assist HellermannTyton Corp. with a project that moves manufacturing capacity to Milwaukee."
Today's announcement comes on the heels of the news that Uline Inc. will move its corporate headquarters from Waukegan, Ill., 15 miles north to Pleasant Prairie, bringing 1,000 jobs to Wisconsin and becoming one of the largest private employers in Kenosha County. Uline will receive about $6 million in incentives and assistance from the state to help build its $100 million new headquarters and distribution center.
For more information on the Department of Commerce programs and services, visit www.commerce.wi.gov.



