Friday, September 5, 2008
Exclusives in this week's SBT
A variety of factors, including global competition, the rising costs of raw materials and the omnipresence of desktop publishing are colluding to force significant changes upon the printing industry, which has long been one of Wisconsin's most important employment sectors. Read about more about how the strategies the state's printers are deploying to survive in the cover story in the print edition of this week's Small Business Times. Other highlights of this week's SBT include a story about the success of the venerable Germantown Mutual Insurance, the call for health care reform by the National Federation of Independent Business (NFIB) and the Commercial Real Estate Spotlight.
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Doyle appoints Leinenkugel as new commerce secretary
Wisconsin Gov. Jim Doyle today announced the appointment of Richard J. Leinenkugel as the secretary of the Department of Commerce.
Leinenkugel, currently the vice president of sales and marketing at the Jacob Leinenkugel Brewing Company, will begin serving on Sept. 29.
"Dick Leinenkugel comes from a family that has for generations run the kind of business we must have here in Wisconsin to grow our economy - producing a top quality product made by the best workers in the world," Doyle said. "Dick is a leader of one of the state's marquee companies. He knows what it takes for a company to succeed in this state and I am confident his talent and experience are what we need to help create the jobs of tomorrow and move our economy forward."
"I appreciate Gov. Doyle's confidence in me and am delighted to have the opportunity to lead the Department of Commerce," Leinenkugel said. "I look forward to working with my colleagues at Commerce to serve our great state of Wisconsin and help create jobs and grow our economy. I am energized to have this opportunity to give back to the state that has been so good to our family for over 141 years and to me personally."
Leinenkugel, 50, graduated Magna Cum Laude from Marquette University with a bachelor of science degree in business administration. He went on to serve as an officer in the United States Marine Corps.
Leinenkugel began his career with Chippewa Falls-based Jacob Leinenkugel Brewing Company in 1987, when he started out as a district sales manager/chain sales manager. He currently serves as vice president of sales and marketing for the Jacob Leinenkugel Brewing Company and group manager, specialty and craft brands, for Miller Brewing Co. He was appointed to the Waukesha County Board of Supervisors, where he represented Menomonee Falls from 1997 through 2000.
Leinenkugel is married to wife Jean, a registered nurse, and has three children: Jeffrey, Katie and Lindsay.
The Department of Commerce has approximately 400 employees who provide development assistance in areas such as marketing, business and community finance, exporting, and small business advocacy.
The department issues professional credentials for the construction trades and administers safety and building codes. The department also regulates petroleum products and tank systems and administers the Petroleum Environmental Clean-up Fund.
Leinenkugel succeeds Jack Fischer, who resigned July 16 amid alleged excessive travel expenses.
Unemployment rate jumps, stocks fall
The stock market continued its freefall today after the U.S. Department of Labor reported that the nation's unemployment rate in August jumped to a near five-year high of 6.1 percent, with non-farm payrolls shrinking by more than 84,000 jobs.
The Dow Jones Industrials Average, which fell by more than 340 points Thursday, continued to slide in a volatile session of trading this morning.
The BizTimes Stock Index slid with the broader market, falling 4.87 points to close at 135.61 Thursday, and local stocks also were down again this morning. The largest local decliners this morning were Harley-Davidson Inc. (down $1.57 to $38.50), Twin Disc Inc. (down 82 cents to $15.80) and Rockwell Automation Inc. (down 72 cents to $43.07). The largest local advancers this morning were mining equipment manufacturers Bucyrus International Inc. (up 49 cents to $50.61) and Joy Global Inc. (up 31 cents to $51.05).
The ADP National Employment Report showed that companies with 50 or more employees shed 53,000 jobs in August, while small businesses with less than 50 workers, gained 20,000 workers in August.
"Once again, we see that America's small businesses are leading the way in creating new jobs. Despite difficult times - rising healthcare and energy costs causing inflation to spiral upward - small business owners are still adding much-needed jobs. Our nation's policymakers, including the presidential candidates, need to pay heed to the message in these numbers. Take care of small business and its needs, and we will continue to drive America's economic engine," said Todd Stottlemyer, president and chief executive officer of the National Federation of Independent Business (NFIB), the nation's leading small business organization.
MMAC says local economy remains sluggish
Only six of the 19 available July indicators of metro area economic activity registered improvement from year-ago levels, according to the latest report by the Metropolitan Milwaukee Association of Commerce (MMAC).
July marked the ninth consecutive month in which less than half of the indicators tracked by the MMAC showed improvements. July's total matches the revised number of improved indicators recorded for June.
"A sluggish employment trend continues to be the principle drag on the local economic environment," said Bret Mayborne, economic research director for the MMAC. "Year-over-year job declines were posted both in the metro area and nationally in July across a majority of major industry sectors."
Highlights of the latest report include:
Nonfarm employment levels in the metro area fell at a 0.4-percent pace in July, smaller than the 1.1-percent decline recorded in June (vs. one year ago), but somewhat steeper than July's 0.1-percent job decrease for the nation as a whole.
Four of 10 major industry sectors registered July job gains (vs. one year ago), while six posted declines. The largest percentage increase was posted in the government sector (each up 3.6 percent over year-ago levels). Conversely, a 3.9-percent job decline was posted in the construction, mining & natural resources sector, the largest decrease registered.
A mixed trend was registered among metro area unemployment indicators. The number of unemployed fell 4.1 percent in July (vs. July 2007) to 41,700, but new unemployment compensation claims rose significantly, up 63 percent (vs. year-ago levels), the sixth year-over-year increase in the first seven months of 2008.
Local area housing and real estate indicators continued to slide. Existing home sales in the metro area fell 8.8 percent (to 1,207), but July's percentage decline was the smallest posted in almost one year (since August, 2007). Mortgages recorded in Milwaukee County fell at a 29.4-percent pace to 3,557.
New-car registrations posted a 1.8-percent decline in July (to 3,420), following a 15.9-percent fall in June.
The value of signed construction contracts, as reported by F.W. Dodge for June, was $118.3 million, down 6.3-percent from June, 2007.
The Milwaukee area consumer price index for urban consumers (CPI-U) reached 201.955 for the first half of 2008, a 4.8-percent increase from the first half of 2007.
Master Lock launches security skins for iPods
Oak Creek-based Master Lock Company LLC hopes to cash in on the popularity of iPods, which have become some of the most popular and widely used portable media devices, with more than 170 million sold worldwide since its introduction in 2001.
Their frequent use while people are on the go and potentially less attentive to their surroundings have made them an easy target for would be thieves on campuses, in urban areas, on city transportation systems, and in many other public environments.
Master Lock unveiled today the first- of-its-kind iCage, a family of locking skins for iPod players. The iCage includes a durable, lightweight protective skin, set-your-own three-digit combination lock for keyless convenience, flexible cable for lock-down security, and three invisible shrink wraps for screen and body scratch protection.
The device remains fully functional in the new locking skin with access to all ports for the user.
"So many people have made their iPod an essential part of their lives and that means more, and often easier, opportunities for theft. The iCage maintains the ease of use of these devices while keeping them more secure," said John Heppner, president and chief executive officer of Fortune Brands Storage and Security, which includes Master Lock. "The iCage locking skin enhances the iPod user experience by making security possible wherever and whenever people are using them."
The new iCage is available for the 4GB and 8GB iPod nano; and the 30GB, 60GB, 80GB or 160GB iPod classic. The iCage has a suggested retail price of $14.99 for the nano models and $19.99 for the classic models.
For more information, visit www.masterlockitup.com.
Associated Banc-Corp to raise capital with new notes
Associated Banc-Corp today announced the filing of a prospectus supplement with the U.S. Securities and Exchange Commission for the issue of up to $100 million aggregate principal amount of its Associated Banc-Corp InterNotes.
The additional capital that is raised by the notes will be used by Green Bay-based Associated Banc-Corp for general corporate purposes.
The notes will be offered through Incapital's InterNotes Medium-Term Note program. Banc of America Securities LLC and Incapital LLC, will act as joint lead managers and lead agents of the InterNotes program.
Beginning today, Associated Banc-Corp InterNotes will be offered by prospectus only directly to investors through Incapital's extensive network of approximately 600 broker-dealer firms throughout the United States.
InterNotes are unsecured medium-term notes issued by corporations and offered for sale to retail investors. InterNotes are generally offered at par in $1,000 increments, and provide individual investors a variety of rates, maturity dates and interest payment options.
Racine company to expand
TriCore AEA is planning to a 2,000-square-foot addition to its plant in Racine.
The company, which produces automated manufacturing solutions comprising engineering services, applied technology and related equipment, plans to create 15 more jobs with the expansion and the addition of special air handling equipment.
The total project cost is $250,500. TriCor will receive $97,000 in Enterprise Development Zone tax credits from the Wisconsin Department of Commerce for the expansion.
For more information on the Department of Commerce and its programs and services, contact the area development manager at http://commerce.wi.gov/BD/BD-AreaDevManagers.html.
Tech conference to assess M&A market
John Emory Jr., president and chief executive officer of Emory & Co., and Tom Smith, senior managing director of Mason Wells, will speak on the current state of mergers & acquisitions and private equity investment in the state at an upcoming Wisconsin Innovation Network (WIN) conference.
The luncheon meeting will take place on Thursday, Sept. 11, at the Brookfield Suites Hotel and Convention Center, 1200 S. Moorland Road.
Emory and Smith will discuss local mergers and acquisitions, and why middle-market mergers and acquisitions are going strong in today's economy.
WIN is the membership arm of the Wisconsin Technology Council, which is the independent, nonprofit science and technology adviser to the governor and the legislature.
To register online to attend the event, visit www.wisconsintechnologycouncil.com/events/win.
ProHealth renames clinics system
ProHealth Care announces a new name for its physician clinics, which are now called ProHealth Care Medical Associates.
ProHealth Care Medical Centers and Medical Associates Health Centers united in January. To formalize the partnership, the groups now share one name.
"Joining forces gives our patients more options and additional resources," said Dr. Christine Wahmhoff, medical director of ProHealth Care Medical Associates. "Working together, we have the shared ability to bring superior quality to those who trust us for their health care needs. I am proud to be medical director of ProHealth Care Medical Associates."
ProHealth Care Medical Associates has more than 200 primary and specialty care physicians at 26 locations throughout Waukesha, Washington, Jefferson, Racine and Milwaukee Counties. Clinic signs will reflect the new name after Oct. 1.
Gallery Night & Day set for October
The annual fall Gallery Night & Day presented by the East Town and Historic Third Ward Associations will take place Friday and Saturday, Oct. 17-18.
The 21-year-old Gallery Night & Day is the premier art event in Milwaukee for both the experienced artist and most beginning admirer. The quarterly event showcases 64 venues throughout the downtown Milwaukee area.
Gallery Night and Day will again feature free parking in the Historic Third Ward parking structures. Patrons can ride the Friday Gallery Night Xpress for free.
Meet the best chefs in town
The Final Battle of the Chefs will take place Saturday, Sept. 6, at the East Town Market in Cathedral Square Park in downtown Milwaukee.
The Final Battle will showcase the winners of the previous four preliminary battles. The contestants will compete for the title of "The Best Chef in East Town."
The four chefs competing will be Mike Wolf of The Knick, Peter Alioto of Mi-Key's, Dominic Zumpano of Umami Moto and Joey Lisowski of Zim's. The chefs will have one hour, beginning at 10:30 a.m., to purchase items from the farm market vendors and use them to prepare a three course meal for the judges.
Entertainer John McGivern will emcee the event. For more information, visit www.easttown.com.
Busy readers of the BizTimes Daily can get a jumpstart on the weekend ahead by visiting the OnMilwaukee.com Weekend Preview. OnMilwaukee.com is a media partner of Small Business Times.
Brooklyn's restaurant opens today
Brooklyn's restaurant at 4610 W. Fond du Lac Ave. officially opened for lunch on Milwaukee's northwest side today.
The restaurant is an eat-in dining establishment designed to offer menu options and a meal setting that offers an alternative to fast food.
Milwaukee Alderman Willie Wade said, "We are happy Brooklyn's is settling in our district and giving the residents of this area more food choices. With recent debates over fast and fresh food choices in large cities, I'm proud to see our district step up and make positive change through business development like this."
Fruit Ranch, a past resident of the same building, also is looking to re-open in its old facility and will offer a variety of fruits, vegetables, specialty items and deli-style food choices.
State headlines: Wisconsin Institutes for Medical Research opens first tower
The East Tower of the Wisconsin Institutes for Medical Research officially opened Thursday at UW-Madison. About 500 researchers from a range of fields, including medicine, physics, biology, chemistry and engineering, will work in the East Tower, with many of the scientists focusing on cancer. Read more in SBT's daily roundup of headlines from newspapers across the state at www.biztimes.com/#news.
Milwaukee Biz Blog: Burkee stands up to Belling
Republican candidate for Congress Jim Burkee defends himself against verbal attacks from radio talk show host Mark Belling in today's Milwaukee Biz Blog.
Dispatches From China: What's China really like?
SBT China correspondent Einar Tangen says his American visitors make some interesting first observations when they first set foot in China. Learn more in the latest edition of Tangen's Dispatches From China.
SBT Around Town: Kenosha Legislative Update
The Kenosha Area Business Alliance (KABA) and the Kenosha Area Chamber of Commerce recently held a Legislative Update event, where U.S. Rep. Paul Ryan (R-Wis.) spoke. To view a photographic slideshow of the event, visit the latest edition of SBT Around Town.



