The Chicago Economy Thread: News and Commentary

[The Urban Politician]

Scientific showdown takes shape
Fermilab hopes to find elusive particle before Swiss site opens

By Jeremy Manier | Tribune staff reporter
September 5, 2007
GENEVA, Switzerland - More than 300 feet beneath the suburbs and sunflower fields at the French-Swiss border lies a high-tech beast that may signal the doom of Fermilab.
Tribune



Sept. 05, 2007
Allscripts stock rises after news of contract
(AP) — Shares of Allscripts Healthcare Solutions Inc. rose more than 6% Wednesday after the prescription management software company said it will provide electronic health records to Columbia University Medical Center in a deal it described as the largest in its history.
Crains



Chicago Ad Firm Gets Porsche Account

By STUART ELLIOTT
Published: September 5, 2007
Porsche Cars North America is changing advertising agencies after eight years, awarding its estimated $40 million account to an agency that has never before handled a national automotive assignment.
New York Times



Children's Hospital to get $100 million donation, new name
By Bruce Japsen | Tribune staff reporter
1:30 PM CDT, September 5, 2007
Children's Memorial Hospital will change its name in honor of a $100 million donation from Chicago philanthropist Ann Lurie to help build its new hospital in the Streeterville neighborhood east of Michigan Avenue.
Tribune



Unitrin to sell its business-insurance unit to AmTrust Financial Services
By James P. Miller | Tribune staff reporter
5:06 PM CDT, September 5, 2007
Unitrin Inc. said it tentatively agreed to sell its Unitrin Business Insurance segment to New York-based AmTrust Financial Services, for terms that weren't disclosed.
Tribune



Law firm Mayer Brown to open South American office
By Ameet Sachdev | Tribune staff reporter
4:03 PM CDT, September 5, 2007
Chicago law firm Mayer Brown said Wednesday it plans to open its first office in South America as part of a broader push into Latin American markets.
Tribune

[The Urban Politician]

Originally Posted by arbeiter

What about posting unemployment rates and jobs growth info?

^ If you have such data feel free to post it.

For the most part, this hasn't been a data-heavy thread; the major focus has been posting up to date articles discussing the state of affairs of Chicago's various industries, companies, and educational institutions, as well as published editorials/opinions when significant. Like its progenitor (Bond James Bond's US Economy Thread) there is a focus here on good news, but bad news is also posted when relevant.

Nevertheless, that's just the formula I have been following, and this being a public forum, anybody can contribute to this thread as they see fit.

[bnk]

Originally Posted by The Urban Politician

[B
Children's Hospital to get $100 million donation, new name
By Bruce Japsen | Tribune staff reporter
1:30 PM CDT, September 5, 2007
Children's Memorial Hospital will change its name in honor of a $100 million donation from Chicago philanthropist Ann Lurie to help build its new hospital in the Streeterville neighborhood east of Michigan Avenue.
Tribune

l]

This is a great article and a boost that Childrens really needs to build an awesome facility.

Some noteable quotes.

Children's Memorial Hospital will change its name in honor of a $100 million donation from Chicago philanthropist Ann Lurie to help build its new hospital in the Streeterville neighborhood east of Michigan Avenue.

Children's said the gift is the largest in the hospital's 125-year-history and the largest by an individual given to a children's hospital in the U.S. Hospital executives said the gift will provide much needed financing toward the $850 million new hospital, which is being relocated from its longtime Lincoln Park home.


Not in the original link but in this expanded story link

http://www.chicagotribune.com/busine...,6681428.story


...

Lurie was outspoken during deliberations among Children's officials that the new location be in Streeterville because of its proximity to Northwestern University's medical school and nearby affiliated facilities. More than 100 Children's patients have to be taken by ambulance for radiation oncology services and other treatments each year at Northwestern Memorial Hospital.

"That decision" to locate to Streeterville was "pivotal" to her gift, she said in an interview. "The synergies of the other institutions [in Streeterville] will be so important. Organs for transplant can be carried across the street."

[The Urban Politician]

Sept. 06, 2007
Boeing gets $3.8-bil. order from China Southern Airlines
(Reuters) - Boeing Co. said it received an order from China Southern Airlines, China's largest carrier by fleet size, for 55 additional next-generation 737-700s and 737-800s.
Crains



MidAmerica Bank lays off 390 in suburbs
By Becky Yerak | Tribune staff reporter
11:51 AM CDT, September 6, 2007
MidAmerica Bank is laying off 390 workers in Clarendon Hills and Downers Grove, days after parent company MAF Bancorp Inc., was bought by Cleveland-based National City Corp.
Tribune



CME to offer more foreign options
Dow Jones Newswires
8:45 AM CDT, September 6, 2007
CME Group Inc. today said it will expand its offerings of electronically traded foreign exchange options products, marking the exchange's latest effort to spur more options trading on the screen.
Tribune

[The Urban Politician]

More bad news for Michigan:

VW moving U.S. headquarters from Michigan to Virginia
By MATTHEW BARAKAT | Associated Press Writer
4:40 PM CDT, September 6, 2007
HERNDON, Va. - Volkswagen is moving its North American headquarters out of the Detroit area -- the nation's automotive capital -- to the suburbs of the nation's capital and will cut 400 jobs in the process, the German automaker said Thursday.
Tribune



Sept. 06, 2007
Big Ten Network cuts deal with satellite provider Dish Network
(AP) — The Big Ten Network reached an agreement on Thursday with satellite TV provider Dish Network, expanding the reach of the new channel.

The number of households with the network nationwide will initially increase to 28.5 million from about 17 million. In the eight states with Big Ten schools, the number will increase to 6.2 million from 3.5 million.
Crains



9/5/2007
New Rush hospital in 2012
$810 million project includes green designs

By ALLISON RIGGIO
Contributing Writer
Officials at Rush University Medical Center estimate its new hospital will be open for business in early 2012, though the project is not expected to break ground until mid-2008. Board members of the University Village Association were updated on the project, which includes the modernization of several other campus buildings, at their Aug. 29 meeting


Rendering courtesy of Perkins and Will
Chicago Journal



Optiver Expands, Relocates to One Prudential
By Gina Kenny

CHICAGO-Optiver, an international trading firm with its main offices in Amsterdam, is expanding and relocating its United States’ office to 23,000 sf at One Prudential Plaza. The firm will occupy a full floor on the upper floors of the 41-story building at 130 E. Randolph St., says David Cobb, president and chief executive officer of Bentley Forbes. The two-building Plaza, which has a total of 2.2 million sf, is owned and managed by Los Angeles-based BentleyForbes, which acquired the buildings last year for $470 million.
Globe St



Virent Energy raises $21M
The Business Journal of Milwaukee - 10:19 AM CDT Thursday, September 6, 2007

Virent Energy Systems Inc. said Wednesday that it has closed a $21 million second round of venture financing, lifting the total grant and venture funding raised to nearly $40 million since its founding in 2002.

The Madison company, which is developing a process for making hydrogen and hydrocarbon fuel gas, said the financing was led by Stark Investments of St. Francis and Venture Investors, a Madison-based manager of venture capital funds primarily serving Wisconsin and the Midwest. In addition, past investor Cargill Venture participated in the round.
Business Journal of Milwaukee

[bnk]

Originally Posted by The Urban Politician

9/5/2007
New Rush hospital in 2012
$810 million project includes green designs

]

Another great hospital expansion.

Add this one to
Children's, Soon to be finished Prentice Hospital, Sherman Hospital's 360 million dollar green replacement hospital in Elgin www.thefutureofsherman.com and St. Alexis expansion in Hoffman Estates and many more not mentioned; The combined construction expenditures of these medical projects are in the several billion dollar range for the Chicagoland metro in the next couple of years alone.

These projects really are major players right now.

[The Urban Politician]

Originally Posted by bnk

Another great hospital expansion.

Add this one to
Children's, Soon to be finished Prentice Hospital, Sherman Hospital's 360 million dollar green replacement hospital in Elgin www.thefutureofsherman.com and St. Alexis expansion in Hoffman Estates and many more not mentioned; The combined construction expenditures of these medical projects are in the several billion dollar range for the Chicagoland metro in the next couple of years alone.

These projects really are major players right now.

Don't forget University of Chicago's upcoming hospital expansion.

The only black sheep of the bunch is the possible closure of Michael Reese Hospital. Being in the medical field, I for one hold smaller hospitals to high esteem in what they can do for a community. Big centers like Rush are nice in their ability to attract top notch talent and world-class research, but a smaller community hospital without all the floo-floo can also serve a community well. It's too bad they seem to be going by the wayside.

[The Urban Politician]

CNBC is launching an 8 part series where it broadcasts from 8 major American cities. Its first stop is Chicago (naturally), where it is broadcasting from Navy Pier and discussing the national economy, with an emphasis on local flair (Chicago and midwestern industries, companies, real estate, investment opportunities). It is on the air right now (12p - 2p ET):

http://www.cnbc.com/id/20485132
Snapshot

When: Friday, September 7 12p ET | 11a CT

Where: Navy Pier, East End Plaza near the Grand Ballroom

Co-Hosts: Bill Griffeth & Sue Herera

Why We're Here: Chicago is the biggest financial market in the world! Surprised? Consider that it is the home of the Chicago Mercantile Exchange, the Chicago Board of Trade and the Chicago Board Options Exchange. In terms of dollars and volume, more trades happen here than in New York. Chicago is where the action is, and we will meet the people in the middle of that action. And we have lots of questions: How's business? What's going on with the real estate market? Where are the hottest investment opportunities? Oh, and who has the city's best deep dish pizza?

[asauterChicago]

Originally Posted by The Urban Politician

Oh, and who has the city's best deep dish pizza?

I love when people from out of town ask this... what they don't realize is that those are fighting words with more than 2 people in a room.

(the best pizza is Renaldi's on N. Clark btw)

[The Urban Politician]

Rock Island engineering firm moving to Iowa
Associated Press
7:25 AM CDT, September 7, 2007
Illinois engineering and consulting firm eServ will move to Davenport, bringing about 265 jobs, officials said.

The company, currently based in Rock Island, will begin construction on a $6 million, 32,000 square-foot facility in the fall and vacate its current location when it is complete. A specific date has not been set.
Tribune



Sept. 07, 2007
Madison Dearborn's Boise Cascade to sell unit for $1.6 billion
(AP) — Boise Cascade LLC is selling its paper, packaging and newsprint division for about $1.63 billion to a company formed in February by private equity investors.
Crains



City hopes cyber catwalk dresses up industry here
RESOURCES | Will soon launch Web site that's all things stylish

September 7, 2007
BY SANDRA GUY sguy@suntimes.com
Chicago this fall will launch the city's first fashion-centric Web site, ChicagoFashionResource.com, as it tries to show the Windy City can be the Trendy City.
Sun Times



Motorola promises a wave of new products next month
By Mike Hughlett | Tribune staff reporter
10:02 AM CDT, September 7, 2007
NEW YORK - While Motorola had no new phones to unveil here today -- as it usually does at its annual analysts meeting -- the company's new mobile phone chief hinted at big things to come beginning next month.
Tribune



Sept. 07, 2007
Moto vows new phones but cuts R&D by 15%
(Reuters) — Motorola Inc. is aiming to cut its quarterly research and development expenses for mobile devices by about 15 percent by the end of 2007 to try to return to profitability.
Crains



Sept. 07, 2007
By Brandon Glenn
Illinois will feel national jobs pinch: economist
(Crain’s) — Illinois is likely to feel the squeeze as national payrolls shrink, a local economist said.

Employers sliced payrolls by 4,000 jobs in August, the first such decline in four years and a stark sign that a painful credit crunch that has unnerved Wall Street is putting a strain on the national economy.
Crains

[ardecila]

Originally Posted by asauterChicago

I love when people from out of town ask this... what they don't realize is that those are fighting words with more than 2 people in a room.

Tell me about it....

(the best pizza is Renaldi's on N. Clark btw)

Man, are you serious?? NO way.

[NOLAUSA]

Everyone knows its Dominos!!!

[The Urban Politician]

Real estate giant buys German firm
By Tribune staff
September 8, 2007
Jones Lang LaSalle has purchased Camilli Veiel, based in Stuttgart, Germany, to increase its presence in that country, Chicago-based Jones Lang LaSalle announced Friday.
Tribune



Chicago, brought to you by ...
AD IT UP | City lines up marketing firm -- logos could sprout on Skyway, garbage trucks

September 9, 2007
BY FRAN SPIELMAN City Hall Reporter fspielman@suntimes.com
Chicago is moving closer to the days of Morton's Salt spreaders, Geritol senior citizen centers and Hinckley & Schmitt water filtration plants.

The Daley administration is wrapping up negotiations with an unidentified company to turn city assets into moneymakers.
Sun Times



Gloom spreads on housing front
The Curious Investor | Chicago market might hold up OK, but experts say things will get worse, economy will slow

September 9, 2007
DAVID ROEDER curiousinvestor@suntimes.com
Last weekend, the Federal Reserve held its annual summer retreat in Jackson Hole, Wyo., for the great economic minds of our time. The accounts I read said it nearly turned into a sobfest.
Sun Times



Sept. 09, 2007
By Monée Fields-White
Hedge funds are walking away from Sears
Fellow hedge fund managers are bailing out of Edward Lampert's Sears Holdings Corp. as eroding sales and profits dog the nation's largest department store chain.
Crains



Sept. 08, 2007
By David Sterrett
Sara Lee's Barnes faces tough crowd
Investors anxious for CEO to show she can develop big products

It's show time for Brenda Barnes.
The CEO, halfway through her turnaround of Sara Lee Corp., will put her marketing skills to work this week when she unveils new products aimed at wowing Wall Street and spurring growth at the 68-year-old company.
Crains



Chicago designers in fashion
The burgeoning ranks of independents here have gained notice and helped foster a "renaissance" for the local apparel industry
By Ann Meyer | Special to the Tribune
September 10, 2007
With her designer label in Saks, Barneys and other big-name retailers, Chicago's Maria Pinto has, as they say, made it.
Tribune

[The Urban Politician]

From now on, I will place Crains articles that are not for public viewing in a separate post titled inacessibles so that you guys will know which ones you guys actually can read (post #73 below, for example, has 2 Crains articles that are available to the public)

By Bob Tita
Rail deal offers city a remedy
Canadian National bid would cut down on train congestion

Canadian National Railway Co. is angling to buy a suburban rail route that would be a major step toward relieving train congestion in Chicago.
Crains

^ Summary: This could potentially relieve a lot of congestion in Chicago's freight rail industry and finally free up the St Charles Air line. Also, it is speculated that with slow federal funding for CREATE, railroad companies will find their own way (and spend their own money) to relieve Chicago's choke-hold on the nation's rail system.



By Mike Colias
For Abbott's new drug, the clot thickens
Merck's answer to its cholesterol treatment suddenly on fast track

Abbott Laboratories Inc. is coming up against an unexpectedly potent rival in the cholesterol-treatment business.
Crains



Daley touting city, neglecting work to be done
Mayor Richard M. Daley is on the road again, this time to Paris.
Trips like this — he's been to Rio de Janeiro, London and Athens in the past year — are meant at least in part to boost Chicago's international profile as it competes to host the 2016 Olympic Games. But while our mayor tours the globe touting Chicago's many charms, he neglects less glamorous chores closer to home that have as much bearing on our chances of winning and successfully hosting the Olympics.
Crains

[The Urban Politician]

Sept. 10, 2007
Pactiv on the lookout for more acquisitions
(Reuters) — Pactiv Corp., which acquired Prairie Packaging earlier this year, is looking for opportunities to expand its business through further acquisitions, Richard Wambold, the packaging maker's chief executive, said on Monday.
Crains



Zuccarini has way of printing money
Innerworkings CEO links businesses with printers, enhancing everyone's profits

September 11, 2007
BY TED PINCUS
When the annals of American business history are next updated, I predict that one of the more remarkable highlights will be the ability of human ingenuity to create a major enterprise out of almost nothing.
Today the only tangible asset some business people have is a perceptive eye for an untapped market opportunity and a gutsy investment in building specialized knowledge.

Chicago's shining example of this phenomenon is a five-year-old company that simply spotted a chance to fill perhaps the last bastion that had resisted outsourcing, then nailed down a proprietary database, and has racked up compound annual revenue growth of 138 percent. It's called Innerworkings Inc. (Nasdaq: INWK) and it's aiming for $1 billion top line in the next three to five years.
Sun Times



Notable excerpt from a larger article about a rapidly growing industry (and investment opportunity) in China:

An Opportunity for Wall St. in China’s Surveillance Boom
Timothy O’Rourke for The New York Times
By KEITH BRADSHER
Published: September 11, 2007
China Security and Surveillance has been aggressively raising money in the United States, including $110 million in convertible loans so far this year from the Citadel Group, a big hedge fund in Chicago. In the last 18 months, the company has used the money to acquire or make a deal to buy 10 of the 50 largest surveillance companies in China.
New York Times



Sept. 11, 2007
Boeing awarded $1.1 bil. Air Force contract

(Reuters) — Boeing Co. said it has been awarded a $1.1 billion U.S. Air Force contract to continue providing programmed depot maintenance for the KC-135Stratotanker fleet.
Crains



Sept. 11, 2007
Deere wins $126 million U.S. Marine Corps contract
(Reuters) — John Deere Construction Retail Sales, a unit of Deere & Co., has won a contract valued at up to $126 million to supply up to 540 tractors for the U.S. Marine Corps, the Pentagon said in its daily list of defense contracts on Tuesday.
Crains



Cost of Biotech: Midwest Cheaper Than Coasts, But Not By Much 9/10/2007
CHICAGO – In a column from a few years ago, I reviewed the cost of doing business for a biotech firm in different regions of the U.S. The biotech monthly journal Genetic Engineering News (GEN) has just published a new U.S. and Canadian update on these costs in its September edition.

Before we look at this analysis, the first reaction one has is that both the east and west coasts will be significantly higher than the Midwest due to the high cost of real estate (office, wet labs and personal). The results of this latest study suggest that the costs are higher but not by as much as we think.
Midwest Business



Sunday, September 09, 2007
Michigan University Research Corridor Creates 68,803 Jobs

LANSING - Urging lawmakers to "invest in what works for Michigan," the University Research Corridor presidents on Monday released an independent analysis showing the state's three research universities helped create 68,803 Michigan jobs and produced $12.8 billion of net economic benefit in 2006.

"This report documents how Michigan's URC universities have become a vital economic engine for the state," said Patrick Anderson, principal and CEO of Anderson Economic Group, who led the four-month effort. "These institutions attract enormous amounts of research dollars, produce highly-trained graduates that attract employers around the country, and are some of the largest employers in the state. At a time when Michigan's economy is suffering, it is important to note this is one sector where we have truly world-class institutions."
Michigan Technology News



Indiana is ‘Undisputed Juggernaut in Attracting Japanese Investment’ 9/7/2007
INDIANAPOLIS – In these days of dried-up capital, try using the following three phrases in a complete sentence: Indiana, No. 1 position and foreign direct investment.

If you were parsing up a syllogism regarding Japan and the Hoosier state, you might be surprised to know that over the past few years the Midwest has played a dominant role in attracting fresh foreign direct investment (FDI). Perhaps more surprising, Indiana has led the Midwest in at least two critical categories: facilities (No. 1 in percent increase) and employees (No. 1).

As those who follow William Testa at the Federal Reserve Bank of Chicago know, the Midwest became a strong magnet for foreign investors in the first half of the millennium’s new decade. While that at first may seem a bit like an economic oxymoron, consider the manufacturing prowess of the mid-America states and it begins to make sense.
Midwest Business

[The Urban Politician]

Sept. 12, 2007
OptionsXpress' August volume jumps
(AP) — Online brokerage optionsXpress Holdings Inc. said Wednesday it handled 58% more trades last month as it expanded its customer base.
Crains



Sept. 12, 2007
By Lorene Yue
Lord Bissell & Brook, Texas firm OK merger
(Crain’s) — Lawyers from Lord Bissell & Brook LLP and a Texas-based law firm have approved their merger.

The deal between Chicago-based Lord Bissell and Locke Liddell & Sapp PLLC voted to green-light the deal, which is to form Locke Lord Bissell & Liddell LLP on Oct. 2, according to a statement. Based in Texas, the firm will have roughly 700 lawyers.
Crains



OpGen raises $23.6M in financing
The Business Journal of Milwaukee - 10:15 AM CDT Wednesday, September 12, 2007
OpGen Inc., a Madison genomics company providing gene mapping technology, has raised $23.6 million in equity financing to finance the expansion of its product lines.

The round was led by CHL Medical Partners, Highland Capital Partners and Versant Ventures, with previous investor Mason Wells, of Milwaukee, also participating. In conjunction, CHL's Ron Lennox will become chairman of the OpGen board of directors and will also be joined on the board by Corey Mulloy and Bijan Salehizadeh from Highland, and Versant's Brian Atwood.
Business Journal of Milwaukee



Condos brake the bank
FINANCE | Corus hurt by downturn in real estate

September 13, 2007
BY MARY WISNIEWSKIwisniewski@suntimes.com
Excerpt:
The Chicago bank has done great business in commercial real estate: Last year Fortune magazine named it among the 100 fastest growing companies in the United States, with three-year average revenue growth of 44 percent.
Sun Times



Sept. 13, 2007
Boeing surges ahead of Airbus
(Reuters) — Boeing Co. booked orders for 75 commercial planes in August, compared to 25 for Europe's Airbus, propelling the U.S. planemaker ahead of its main rival in the annual race for orders.
Crains



Nigeria's Arik Air orders more Boeing jets
Associated Press
6:08 PM CDT, September 12, 2007
SEATTLE - Arik Air, Nigeria's newest commercial carrier, has ordered 10 single-aisle 737s, four midsize 787s and one extended-range 777 jetliner, Boeing Co. said Wednesday.
Tribune



Big Changes Under Way For $6 Billion Defense Industry in Indiana 9/13/2007
INDIANAPOLIS – Already a major player in the U.S. defense industry, Indiana wants much more growth.

Presently ranked No. 20 nationally in prime defense contracting, Indiana plans to soon leverage its considerable assets to advance even further up the defense-related food chain, according to state leaders. Drawing on fresh data assembled by seven consulting firms, Indiana will soon unveil a new comprehensive public-private partnership to propel growth in Hoosier defense business.

“While we’re working through the mechanics of it right now, we expect this new defense public-private partnership to become an engine of expansion for Indiana,” said Jason Lovell in an interview with MidwestBusiness.com. Lovell is presently division manager of Indiana’s Office of Energy & Defense Development (OED), which is a new entity created by Indiana Gov. Mitch Daniels.
Midwest Business



Some builders see bright side
As some firms lose hundreds of millions from plunging home sales, a few optimists in the industry are expanding in the Chicago market
By Mary Umberger | Tribune staff reporter
September 14, 2007
Bob Schottenstein says people ask him if he's crazy.

"They do, every day," said Schottenstein, chief executive of M/I Homes, a home builder based in Columbus, Ohio.

He laughs, saying his sanity is questioned because, in the darkest hour the housing industry has seen in decades, he is about to expand his firm -- ranked among the 20 largest in the nation -- into the Chicago market.

And he is among a handful of others -- new builders and established out-of-towners -- setting up shop in Chicago. At least a couple of real estate brokerages also are moving in.
Tribune

[ardecila]

Originally Posted by The Urban Politician

By Bob Tita
Rail deal offers city a remedy
Canadian National bid would cut down on train congestion

Canadian National Railway Co. is angling to buy a suburban rail route that would be a major step toward relieving train congestion in Chicago.
Crains

^ Summary: This could potentially relieve a lot of congestion in Chicago's freight rail industry and finally free up the St Charles Air line. Also, it is speculated that with slow federal funding for CREATE, railroad companies will find their own way (and spend their own money) to relieve Chicago's choke-hold on the nation's rail system.

The railroad in question is the Elgin, Joliet, & Eastern, less than a block from where I sit. Most of it is single-track, but now that CN owns it, they may try to double-track it. All of a sudden, this makes the STAR Line proposal that much more viable. Now all you need are a couple of sidings and the stations.

[The Urban Politician]

I have no idea why the Chicago Tribune's website is not accessible right now, but until this annoying disruption is resolved, I am unable to post my usual Sunday night list of updated articles (to whom it may concern)

[The Urban Politician]

While we're waiting on the Tribune website, here are articles from this week's Crains, not publically accessible:

Sept. 16, 2007
By Paul Merrion
Local companies boost lobbying dollars
With Dems in charge in D.C., spending on the rise

Some of Chicago's biggest companies are significantly upping their spending to lobby Congress.
Eleven Illinois companies spent at least $1 million apiece on lobbying in the first six months of this year, with six reporting double-digit spending increases from the same period in 2006, reports filed with the U.S. Senate's Office of Public Records show.
Crains



By Bob Tita
A speed bump in ethanol country
As prices plummet, construction of new plants grinds to a halt

Construction of new ethanol plants in Illinois has stalled, a sign that the ethanol boom that's fueled a Farm Belt renaissance has peaked.
Crains



By Steven R. Strahler
VC firm sees gold in local biotechs
Apjohn Ventures plans fund of up to $100 mil.
A Michigan-based venture capital firm is expanding into Chicago, lured by what it says is an underfunded market here for early-stage investments in biotech companies.
Crains



By Dagmar Mussey and Laurel Wentz
McCafés: a foreign concept
McD's coffee bars take off overseas

(Excerpt):

McCafés are all over Australia, ramping up fast in Germany and just starting in Japan, where McDonald's has 3,300 restaurants. The Oak Brook-based burger giant opened the first 15 McCafés around Tokyo in late August, with menu items including green tea and red-bean shaved ice.
Crains



Local contractor wins Pentagon deals
After a slow start, it's been a good summer for Alion Science & Technology. The Chicago defense contractor, formerly known as Illinois Institute of Technology Research Institute, won a $15-million Navy research contract last week to develop a device for transferring vehicles from one ship to another in rough seas, as well as a $47-million consulting contract on Army communications systems. While sales of $554 million for the nine months ended June 30 were below expectations, in August the firm won several other defense contracts and was named to a short list of contractors eligible to bid on up to $50 billion worth of government computer services. [Paul Merrion]
Crains

[The Urban Politician]

Fed OKs LaSalle Bank sale
Tribune staff report
11:58 AM CDT, September 14, 2007
Bank of America Corporation today received approval from the Board of Governors of the Federal Reserve System of the company's purchase of LaSalle Bank.
Tribune



Sept. 14, 2007
By Steve Daniels
Obama, Durbin want to meet with B of A on LaSalle deal
(Crain’s) — Sens. Richard J. Durbin and Barack Obama are seeking a meeting with Bank of America Corp. CEO Kenneth Lewis to discuss the impact of B of A’s pending acquisition of LaSalle Bank Corp. — a move that signals a shift in what until now has been a largely mute response from Chicago’s political leaders to the prospect of thousands of lost jobs here.
Crains



Fifth Third to add 20 Chicago branches
By Becky Yerak | Tribune staff reporter
12:33 PM CDT, September 14, 2007
Fifth Third Bank Chicago, which currently has 159 Chicago-area branches, plans to open 20 branches during the next three months as part of a bigger strategy to expand by 100 locations over the next three years.

"With five to eight employees needed to staff each of those locations, we're looking at the addition of 100 to 160 new team members by the end of the year," said Terry Zink, president and CEO of Fifth Third Bank Chicago.
Tribune



Madison Dearborn acquires shares of Capital Source
By James P. Miller | Tribune staff reporter
12:35 PM CDT, September 14, 2007
CapitalSource Inc. confirmed Friday that a fund affiliated with Madison Dearborn Partners has acquired about 2.8 million CapitalSource shares through an open-market purchase.
Tribune



U.S. Marine Corps awards Navistar $71.5 million contract
By James P. Miller | Tribune staff reporter
5:32 PM CDT, September 13, 2007
Navistar International Corp. said late Thursday that the U.S. Marine Corps awarded the Warrenville truck- and engine-maker a $71.5 million contract to provide parts support for the mine-resistant vehicles Navistar supplies to the military.
Tribune



Big ethanol shakeout coming?
As the U.S. tries to free itself from Big Oil's grip, larger biofuel producers look to stake their claim in a growing business.
By Jeff Cox, CNNMoney.com contributing writer
August 21 2007: 7:59 AM EDT

NEW YORK (CNNMoney.com) -- Get ready: It may still be a fairly new industry, but there's probably a big shakeout brewing in the fast-growing ethanol business.

The rising cost of raw materials and demand for newer and better technology has Big Ethanol poised to take control of the $23 billion biofuel industry.

In the decades since corn ethanol production began in the United States, a small army of plants has popped up across the national landscape. Most produce around 50 million gallons a year or less, and have survived in Midwest markets where corn is plentiful and demand for flex-fuels sufficient.
CNN



Employees of LaSalle Bank, target of takeover, fear for their jobs
By Gerry Smith | Tribune staff reporter
September 16, 2007
Carlos Malave, a security officer at a North Side branch of LaSalle Bank, is bracing for his pink slip.

When Bank of America, the nation's largest bank, takes over LaSalle Bank Corp. next month, Malave, 34, expects it will hire its own security officers. "It could mean I'm out of a job," said Malave, of Logan Square.

His concerns about the takeover were shared by many on Saturday during a public hearing at First United Methodist Church in the Loop.
Tribune