34
VOL. 37, NO. 48 NOVEMBER 28 - DECEMBER 4, 2016 Entire contents © 2016 by Crain Communications Inc. CLEVELAND BUSINESS Source Lunch Paul Clark discusses banking, a revived city and more. Page 20 The List Northeast Ohio’s biggest banks. Page 23 Business of Life On your mark, get set, go-kart — the next big team builder. Page 19 Crain’s General & In-house Counsel Meet them on Pages 13-18 ere’s another new private equity firm taking root in Cleveland, but it’s the firm’s focus on diversity in its in- vestment strategy that seems to be setting it apart in a crowded and growing industry. e Inkwell Group launched earli- er this month with base offices in Cleveland and Washington, D.C. Co-founders Marques Martin, 33, and Chijioke Asomugha, 36, will be looking nationwide for deals, but fo- cusing predominantly on lower mid- dle market manufacturing and ser- vice companies with up to $10 million in annual EBITDA (earnings before interest, taxes, depreciation and amortization). Besides having strong ties to the Cleveland investment market — Aso- mugha was formerly an executive vice president who oversaw mergers and acquisitions at Solon-based manufacturer ERICO International Corp. and a principal investor at Cy- prium Partners, while Martin’s ré- sumé includes overseeing KeyBank’s small business team and serving as a principal at e Riverside Co. in its micro-cap fund — a presence here underscores the opportunity they see for finding deals in Northeast Ohio and the greater Midwest. e challenge, of course, will be finding the best companies flying un- der competitors’ radar, particularly as fundraising in the private equity space has been so strong. at’s resulting in a buildup of dry powder as more dollars chase fewer deals, Martin acknowledges, creating the seller’s market that’s prevailing today as business valuations grow. e University of Akron has a huge new partner with big plans for what it views as the nation’s top school for polymer science research and tech- nology. Together, the university and Sand- ia National Labo- ratories hope to make large strides in apply- ing new material science to ad- vanced manufac- turing, transfer- ring new technology to in- dustry and find- ing new ways to make some of the smallest things mankind has ever created. Sandia, the university’s new part- ner thanks to a September agree- ment to coordinate on research and share in the benefits, might not be a household name, but it is a big deal on the nation’s tech scene and one of the U.S. Department of Energy’s ma- jor facilities. e lab’s work, largely funded by the DOE, is broad-based. Sandia is a chief source of research and develop- ment for systems that control, man- age and monitor nuclear weapons. It also works on technology for large energy projects and does a lot of sci- ence and development in areas such as microscopic 3-D printing. If you need a giant solar array, a supercom- puter or the world’s largest X-ray gen- erator, you can find them at Sandia. Between the lab’s direct employ- ees and a few thousand contractors who work there, about 12,000 people work at Sandia, said Mike Valley, the lab’s senior manager for materials science research and development. FINANCE Private equity firm puts diversity at its core MANUFACTURING Akron, lab pair up to bring new polymers By JEREMY NOBILE @JeremyNobile [email protected] By DAN SHINGLER [email protected] @DanShingler Emulating his great-grandfa- ther, James Robenalt has juggled several careers, which has al- lowed him to learn about several presidents as well as his great-grandfather. His great-grandfather, William W. Durbin, was a small-town Ohio lawyer from Kenton in the early 20th century and a behind- the-scenes Democratic activist who played a role in the presiden- tial elections of Woodrow Wilson and Franklin Roosevelt. He also was a magician (a one-time presi- dent of the International Brother- hood of Magicians, no less) who occasionally performed for War- ren Harding, a future president from nearby Marion. Robenalt also is a lawyer, a partner at ompson Hine LLP in Cleveland. But he’s not a magi- cian. Instead, he’s a writer who, in part because of his great-grandfa- ther, writes about presidents. So far, he has written about two of them — Harding and Richard Nixon — and he’s working on a book about FDR. He believes Harding is under- estimated in part because he was unfairly tarnished by scandals that roiled Washington after his sudden death, two-and-a-half years into his term of office in 1923. Nixon, though, who re- signed in 1973 to avoid impeach- ment, is getting a fair shake from history, Robenalt believes, be- cause he obstructed justice with the Watergate coverup. And Robenalt should know, since he has listened to the fa- mous Watergate tapes. POLITICS Lawyer looks back in time By JAY MILLER [email protected] @millerjh SEE ROBENALT, PAGE 21 James Robenalt’s book, “January 1973,” details a tumultuous month for Richard Nixon. Photographs: National Archive; Jay Miller Amis SEE AKRON, PAGE 22 SEE INKWELL, PAGE 4

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VOL. 37, NO. 48 NOVEMBER 28 - DECEMBER 4, 2016

Entire contents © 2016 by Crain Communications Inc.

CLEVELAND BUSINESS

Source LunchPaul Clark discusses banking, a revived city and more. Page 20

The ListNortheast Ohio’s biggest banks. Page 23

Business of Life

On your mark, get set, go-kart — the next big team builder. Page 19

Crain’s General & In-house CounselMeet them on Pages 13-18

� ere’s another new private equity � rm taking root in Cleveland, but it’s the � rm’s focus on diversity in its in-vestment strategy that seems to be setting it apart in a crowded and growing industry.

� e Inkwell Group launched earli-er this month with base o� ces in Cleveland and Washington, D.C. Co-founders Marques Martin, 33, and Chijioke Asomugha, 36, will be looking nationwide for deals, but fo-cusing predominantly on lower mid-dle market manufacturing and ser-vice companies with up to $10 million in annual EBITDA (earnings before interest, taxes, depreciation and amortization).

Besides having strong ties to the Cleveland investment market — Aso-mugha was formerly an executive vice president who oversaw mergers and acquisitions at Solon-based manufacturer ERICO International Corp. and a principal investor at Cy-prium Partners, while Martin’s ré-sumé includes overseeing KeyBank’s small business team and serving as a principal at � e Riverside Co. in its micro-cap fund — a presence here underscores the opportunity they see for � nding deals in Northeast Ohio and the greater Midwest.

� e challenge, of course, will be � nding the best companies � ying un-der competitors’ radar, particularly as fundraising in the private equity space has been so strong.

� at’s resulting in a buildup of dry powder as more dollars chase fewer deals, Martin acknowledges, creating the seller’s market that’s prevailing today as business valuations grow.

� e University of Akron has a huge new partner with big plans for what it views as the nation’s top school for polymer science research and tech-nology.

Together, the university and Sand-ia National Labo-ratories hope to make large strides in apply-ing new material science to ad-vanced manufac-turing, transfer-ring new technology to in-dustry and � nd-ing new ways to make some of the smallest things mankind has ever created.

Sandia, the university’s new part-ner thanks to a September agree-ment to coordinate on research and share in the bene� ts, might not be a household name, but it is a big deal on the nation’s tech scene and one of the U.S. Department of Energy’s ma-jor facilities.

� e lab’s work, largely funded by the DOE, is broad-based. Sandia is a chief source of research and develop-ment for systems that control, man-age and monitor nuclear weapons. It also works on technology for large energy projects and does a lot of sci-ence and development in areas such as microscopic 3-D printing. If you need a giant solar array, a supercom-puter or the world’s largest X-ray gen-erator, you can � nd them at Sandia.

Between the lab’s direct employ-ees and a few thousand contractors who work there, about 12,000 people work at Sandia, said Mike Valley, the lab’s senior manager for materials science research and development.

FINANCE

Private equity fi rm puts diversity at its core

MANUFACTURING

Akron, lab pair up to bring new polymers

By JEREMY NOBILE

@[email protected]

By DAN SHINGLER

[email protected]@DanShingler

Emulating his great-grandfa-ther, James Robenalt has juggled several careers, which has al-lowed him to learn about several presidents — as well as his great-grandfather.

His great-grandfather, William W. Durbin, was a small-town Ohio lawyer from Kenton in the early 20th century and a behind-the-scenes Democratic activist who played a role in the presiden-tial elections of Woodrow Wilson and Franklin Roosevelt. He also was a magician (a one-time presi-dent of the International Brother-hood of Magicians, no less) who occasionally performed for War-ren Harding, a future president from nearby Marion.

Robenalt also is a lawyer, a partner at � ompson Hine LLP in Cleveland. But he’s not a magi-cian. Instead, he’s a writer who, in part because of his great-grandfa-ther, writes about presidents. So far, he has written about two of them — Harding and Richard Nixon — and he’s working on a book about FDR.

He believes Harding is under-estimated in part because he was unfairly tarnished by scandals that roiled Washington after his sudden death, two-and-a-half years into his term of o� ce in 1923. Nixon, though, who re-signed in 1973 to avoid impeach-ment, is getting a fair shake from history, Robenalt believes, be-cause he obstructed justice with the Watergate coverup.

And Robenalt should know, since he has listened to the fa-mous Watergate tapes.

POLITICS

Lawyer looks back in timeBy JAY MILLER

[email protected]@millerjh

SEE ROBENALT , PAGE 21

James Robenalt’s book, “January 1973,” details a tumultuous month for Richard Nixon.Photographs: National Archive; Jay Miller

Amis

SEE AKRON, PAGE 22SEE INKWELL , PAGE 4

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�e front door to Forest City Realty Trust Inc.’s new corporate headquar-ters may be across Public Square at the 57-story Key Tower. �at’s just steps — about 170 of them — from its Terminal Tower home.

As the Cleveland-based real es-tate titan hunts for a new location for its headquarters after selling Ter-minal Tower to Willoughby-based K&D Group, downtown o�ce bro-kers consider it an open secret that Forest City is bound for Key Tower. One source familiar with the situa-tion said the parties are in the �nal stages of negotiating a deal but no pens have been put to paper. He asked not to be identi�ed because he’s not cleared to speak for the companies.

Je� Linton, Forest City spokesman, said in a Nov. 22 phone interview that Key Tower “is certainly one of the buildings we would give serious con-sideration to, but we don’t have any announcement to make today.”

Moreover, if Forest City cuts a deal for as many as eight �oors at 127 Public Square, it may help owner Co-lumbia Property Trust Inc., of Atlan-ta, Ga., and prospective owner Valley View-based Millennia Housing con-summate the sale of Cleveland’s tall-est building by preening the trophy tower’s performance for lenders.

With Forest City saying it is in the market for 160,000 square feet to house its 400-person corporate sta�, a deal would slash Key Tower’s vol-ume of available space by half. More-over, Millennia plans to move its headquarters to Key if it closes the deal. Both o�ce moves would make the building more likely to land �-nancing for a sale.

Simply put, both moves would make it easier to underwrite a multi-million-dollar loan for a 1.4-million-square-foot building with just 40,000 square feet of empty space. If Forest City doesn’t consum-mate a deal there and Millennia doesn’t move there, the o�ce tower as it stands has 245,000 square feet of vacant space, a 17% vacancy rate, ac-cording to CoStar, an online realty data provider.

Key to the deal

Millennia CEO Frank Sinito de-clined comment Nov. 22 when asked if his �rm is wooing Forest City as a prospective tenant for Ohio’s tallest o�ce tower. However, Sinito has in the past con�rmed Millennia is in pursuit of the building and talked about plans to upgrade the building and attached 400-room Marriott Corp. hotel.

A deal with Columbia is also so close that Millennia announced it plans to shut �e Club at Key Center after it completes a purchase. More-over, the trophy o�ce tower has va-cancy because it commands almost the highest rents in town — and �nd-ing prospects willing to pay such rates has been a challenge for the building. �e 1992-vintage tower is already home to three top-tier �rms such as Squire Patton Boggs, �omp-son Hine and BakerHostetler, as well

as accounting and consulting �rm heavyweight Deloitte.

For Columbia Property’s part, spokesman Bud Perrone issued an email on Forest City’s potential ten-ancy saying, “Columbia Property Trust is under contract to sell the Key Center and anticipates closing on the transaction soon. We have not been privy to any conversations that the buyer may be having with prospec-tive tenants.”

Although several buildings in downtown Cleveland could accom-modate a tenant Forest City’s size, key requirements appear to be the ability to put sta�ers on adjoining �oors and a preference for staying on Public Square. �at knocks out most of the other contenders. Moreover, 200 Public Square no longer has enough empty space to accommo-date Forest City.

Andrew Coleman, a JLL Inc. senior vice president, said his client, Fifth

�ird Center, 600 Superior Avenue, vied for the Forest City tenancy.

However, Coleman said he felt it did not make the short list because the realty company wants adjoining �oors on the same elevator bank. Fifth �ird had proposed moving tenants around to put together enough space to house the company, but on di�erent �oors and di�erent sides of the modernist o�ce build-ing.

“�ere is also a clear preference for staying near Public Square,” Cole-man said, something echoed by sev-eral other downtown o�ce leasing agents.

�e word about the Public Square focus is the same from Tom Fox, a JLL managing director who handles leas-ing at Tower at Erieview, which has the space to accommodate Forest City but won’t under the building owner’s plans to convert a third of the skyscraper to residential use.

Forest City’s Linton put its prefer-ence less precisely, saying it wants “to stay in the Central Business Dis-trict with easy access to Public Square as about a third of our em-ployees use public transportation.”

The big picture

Forest City also su�ered through lean and rich times for the city on Public Square as Terminal Tower be-came its headquarters in 1994 and its 1985 purchase of the building and associated properties put the rising, suburban-based developer on the map locally.

Now Public Square is the place to be in downtown Cleveland, if only for a snack or fresh air downtown after a massive renovation. For Forest City’s part, it’s now a national realty devel-oper with holdings from coast to coast. In August, it sold Terminal Tower to apartment and o�ce build-ing owner K&D, which plans to add 200 apartments to the building, mostly in o�ce space that Forest City agreed to vacate by 2018.

�e Terminal sale is part of Forest City’s plan to shed properties that are not in key markets such as New York and Dallas as part of its quest to strengthen its stock price. �e �rm has already shed multiple lines of business and transformed itself into a real estate investment trust earlier this year in hopes of boosting its cur-rency with Wall Street.

�e only building Forest City still owns downtown is Post O�ce Plaza, 1500 West �ird Street, considered an early favorite to become the com-pany’s new headquarters.

However, leasing space at Key Tower means Forest City does not have to undertake costly updates from its own pocketbook for Post Of-�ce Plaza. Insiders see the building, which has massive �oors as a more likely prospect for sta�-rich back of-�ce operations than a corporate headquarters.

Forest City’s search for a new head-quarters is being handled by CBRE Inc.’s tenant-occupier team led by Chandler Converse, a managing di-rector in the �rm’s Cleveland o�ce.

Asked Nov. 22 if Forest City is bound for Key Tower, Converse said, “I have no comment. And put that in the paper.”

Forest City may not go far for new headquartersBy STAN BULLARD

[email protected]@CrainRltywriter

Forest City could be shifting its headquarters from the Terminal Tower to the 57-story Key Tower. (Stan Bullard)

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Volume 37, Number 48 Crain’s Cleveland Business (ISSN 0197-2375) is published weekly at 700 West St. Clair Ave., Suite 310, Cleveland, OH 44113-1230. Copyright © 2016 by Crain Communications Inc. Periodicals postage paid at Cleveland, Ohio, and at additional mailing o�ces. Price per copy: $2.00.

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But those are simply the challeng-es for any investor in today’s market.

To set itself apart from others — and capitalize on a building body of evidence showing that diverse boards and executives result in stron-ger companies — the �rm is building a goal of diversity into its investment approach.

It’s a pitch the duo was working on as their professional work connected them together in Cleveland as each dreamed of starting their own busi-ness. While not entirely novel, it’s an approach few �rms expressively em-brace.

“Private equity �rms are popping up every day, and they all tend to say something very similar,” said Martin, who is running Inkwell’s Cleveland base. “�ere is proven research sup-porting the case for diverse manage-ment teams and diverse boards. It helps drive value. And that’s what a private equity �rm should do.

“We think some people are just leaving this lever o�,” he added, “or simply not attacking it the way we are going to go about it.”

According to �e National Associ-ation of Investment Companies, an industry association of di-verse-owned and emerging manager private equity �rms and hedge funds, an analysis of �nancial returns of NAIC �rms between 1998-2011 showed those companies signi�cant-ly outperforming the broader private equity market.

�e study — their most recent analysis — showed NAIC �rms achieving investment returns on av-erage of 20.9%, compared to 11.8% for all U.S. private equity. NAIC �rms also saw returning capital to inves-

tors at 160%, compared to about 67% for the broader market.

For Inkwell, when the company makes control investments, the goal will be to inject diverse people into executive and boards roles, possibly expanding boards in some cases to take on more people.

�at approach would likely work better for smaller companies the �rm is looking for anyhow, Martin said. In many cases, those are led by small, homogeneous teams anyway. And while that may not be an inherently bad thing, the facts are that diverse leadership in terms of race and gen-der generally leads to stronger busi-nesses and, in the for-pro�t invest-

ment industry, better returns.“Smaller companies tend to have

incomplete management teams as it is,” Martin said. “�e notion that we’re going to build their manage-ment teams tends to be less contro-versial to begin with. And with the ability to in�uence these companies versus larger companies by making some key hires at the top level, we can grow a culturally diverse culture.”

Besides being a smart strategy, the diversity is of personal importance to this team as well, Asomugha said.

“We do truly believe in this inclu-sive model,” Asomugha said. “It’s not just about having the best and bright-est people, but having equal represen-tation in these companies to drive value. It’s a way you can spark innova-tion and growth in these companies.”

With two associates, Inkwell cur-rently includes four people. �ey’re currently looking for investments on an ad hoc basis.

If things go “according to plan,” Martin said, the whole team will grow to seven before the end of next year. When they’re ready to raise their �rst formal fund and eventually debut it within the next two years, they plan to have a team of about 20. �ey plan to do between two to four deals by then.

In a private equity sector ripe with players and capital, the diversity message may not only help Inkwell di�erentiate itself from others, but, according to the numbers, it could result in even better returns.

And that’s a message that speaks for itself.

“�e reception has been warm from that group (of investors),” Aso-mugha said. “�ere’s a lot of interest in what we’re trying to do, and that’s been helpful from the fundraising standpoint as we begin our outreach. We’re excited to bring this di�erenti-ated model to the marketplace.”

INKWELLCONTINUED FROM PAGE 1

“There is proven research supporting the case for diverse management teams and diverse boards. It helps drive value. And that’s what a private equity firm should do.”

Marques Martin, Inkwell co-founder

Transtar Holding Co. files for bankruptcyAuto parts maker Transtar Holding

Co. of Walton Hills �led for bank-ruptcy protection and entered into an agreement to restructure its bal-ance sheet to reduce long-term debt and improve liquidity.

�e company on Sunday, Nov. 20, �led for protection in U.S. Bankrupt-cy Court in New York with a “pre-packaged” Chapter 11 plan.

In a news release, Transtar said

key terms of the restructuring agree-ment “include a debt reduction of approximately $290 million and ap-proximately $74 million in new mon-ey �nancing.” �e agreement “is sup-ported by holders owning more than 98.8% of the company’s �rst lien debt and the company’s equity sponsor,” Transtar said in the release.

Edward H. Orzetti, CEO of Trans-tar, said the moves “represent an im-

portant and positive step forward in our e�orts to strengthen Transtar’s �nancial position. We will emerge from this restructuring as a stronger company with a more �exible capital structure.”

�e Wall Street Journal reported that the plan calls for Transtar’s se-nior lenders, led by Greenwich, Conn.-based Silver Point Capital, “to swap about $425 million in debt for 100% of the equity in the reorganized company.”

A Silver Point lending a�liate “is providing Transtar with up to $69.7 million in bankruptcy �nancing in order for the company to continue operating during the chapter 11 case,” according to �e Journal.

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ROE Dental Laboratory, a 90-year-old maker of functional and aesthetic dental restorations, has set itself up for the future with a new home in In-dependence that’s about triple the size of its former location in Gar�eld Heights.

�e company has been in the new building, at 7165 E. Pleasant Valley Road, for about six months. �e 40,000-square-foot structure, which ROE Dental bought for about $1 mil-lion, had served as a data center for a national wireless carrier. As a result, it was, relatively speaking, in a good position to accommodate ROE Den-tal’s $3.5 million buildout as the company moves toward greater digi-tal fabrication/3-D printing of its products, said president B.J. Kowals-ki.

“By expanding our space, we will be able to meet our increasing pro-duction demands and accommodate future technologies, all of which im-prove the products we manufacture,” said Kowalski, who has run the fami-ly-owned business for about 12 years since taking over as president from his father.

ROE Dental has about 125 employ-ees in the Independence space. Kow-alski said that as the company grew in recent years, it began looking for a new home base, as the Gar�eld Heights building did not have enough space to accommodate the company’s parking and expanded production needs. He declined to disclose the company’s annual sales. (Cuyahoga County records show ROE Dental sold the Gar�eld Heights building this month for about $366,000.)

�e Independence building in-

cludes features such as a 100-seat conference center available to ROE Dental clients and vendors; a full-building backup power system to ensure uninterrupted product quali-ty; and areas dedicated to consulta-tions with dentists and their patients, and to training courses.

�ere’s also a modern kitchen and an outside eating area for employees, Kowalski said.

Kowalski said the investment in the building was crucial for ROE Dental, which finds itself compet-ing in an industry space increasing-ly focused on digital production — a far cry from the company’s founding in 1926 until just a few years ago, when the industry was dominated by mom-and-pop oper-ations using traditional fabrication techniques.

A recent study from SmarTech Publishing found revenues from ad-ditive manufacturing in the dental sector have grown almost 12% since 2015. �e dental industry “continues to be one of the strongest targets for development of new 3-D printers, materials and applications,” the study found.

Kowalski said about 70% of the company’s clients are individual dentists, but the share of business from group practices is rising as den-tistry moves to more of a corporate model.

�e company’s client base also is increasingly national, Kowalski said. In addition to the headquarters in Independence, ROE Dental has small operations in Columbus and Martins Ferry, Ohio, near Wheeling, W.Va.

ROE Dental’s new home is more spaciousBy SCOTT SUTTELL

[email protected]@ssuttell

ROE Dental Laboratory has moved into a 40,000-square-foot space in Independence. (Contributed photos)

About 70% of ROE Dental’s clients are individual dentists, but business from group practices is growing.

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It was a typical lunch hour at Polaris Career Center in Middleburg Heights. In equal numbers, backpack-carrying teenagers and adults of all ages �led purposefully through the front doors of the vocational center.

Students, in grades seven through 12, were heading for classes. �e adults? �ey were looking forward to the �rst of two lunchtime sittings in the student-run restaurant, Mise en Place.

On the menu that day, in addition to salads and fresh soups, were chicken Rockefeller, baked with fresh spinach, Swiss cheese and bacon; herb-crusted pork loin, sliced and served on but-ter-whipped potatoes with ma-ple-whiskey barbecue sauce and fresh vegetables; and Canadian walleye �l-let, big enough to hang over both ends of the plate and served with fresh vege-tables and a side of homemade tartar sauce. �ose with room for more could choose from apple walnut up-side-down pie or white chocolate rasp-berry cheesecake, or walk down the hallway to a little pastry shop �lled with eclairs, cakes and cupcakes.

All the tempting fare was made by students, served by students and �-nessed to culinary excellence under the tutelage of professional chefs.

Polaris Career Center, which pro-vides career-technical education and college credit for high school stu-dents interested in aeronautics, auto-motive technology, baking and pas-try arts, chef training, construction and criminal justice, has partner-ships with Berea-Midpark, Fairview, Olmsted Falls, Brooklyn, North Olm-sted and Strongsville high schools.

Polaris’ chef and pastry training programs are receiving particular at-tention recently, thanks to a national culinary competition win. Five Polaris students in the chef training program in May won the national title at the 2016 National ProStart Invitational Culinary Team Competition in Dallas.

“�e event, presented by the Na-tional Restaurant Association Educa-tional Foundation, provides a plat-form for students across the United States to showcase their culinary tal-ents in a real-world setting,” said Doug Miller, director of community outreach at the career center.

�e students won $5,000 in schol-arship money, to be divided among team members. In addition to the na-tional title, Polaris’ teams have won seven consecutive state culinary championships. Ten teams of high school students, nearly 400 kids in total, competed in the National ProS-tart Invitational.

In the challenge, the Polaris team had to present a three-course meal to a panel of certi�ed chefs and exhibit comprehensive skills in creativity, communication, teamwork, organi-zation, time management, skill level, safety and sanitation. �e team had 60 minutes and two butane burners to complete the task. No ovens or electrical appliances were permitted.

High school-level culinary schools such as Polaris — which dedicates more than 9,600 square feet of class-room/kitchen/retail space for its three culinary and food-production pro-grams, currently with 86 students — are increasingly ful�lling a need for talented and trained employees for Northeast Ohio’s restaurant scene.

Culinary programs are popular. Other area schools o�ering culinary

programs include the Cleveland Metropolitan School District, Lake-wood School District, Cuyahoga Val-ley Career Center in Brecksville, Lo-rain County Joint Vocational School in Oberlin, Auburn Career Center in Painesville and the Portage Lakes Ca-reer Center, among others.

“It’s great to see the hospitality in-dustry becoming a targeted career for more and more talented and am-bitious young people, rather than simply a means to an end until they get a ‘real’ job,” said Sam McNulty, restaurateur and co-owner of Ohio City establishments such as Market Garden Brewery and Nano Brew. “Europe is ahead of us in this regard in that they have for decades em-braced the reality that a career in hospitality is a great way to make a good living and live a ful�lling life.”

Business is booming

�e Polaris national award is bringing attention to its student-run restaurant Mise en Place, named for a French culinary phrase that trans-lates to “putting in place” or “every-thing in its place.” Business is brisk.

“We recommend reservations well in advance,” Miller said.

�e students’ winning three-course meal is representative of the fare o�ered at Mise En Place. It in-cluded an appetizers of pan-seared scallops, Ohio sweet pea puree, creamed winter corn, applewood ba-con jam, espelette pepper oil and to-mato ginger relish; a �let mignon en-tree with tru�e foie gras potato croquette, morel mushrooms, �nger-ling potatoes, leeks and Swiss chard; and a dessert course featuring Gi-anduja chocolate mousse with dark chocolate glaze.

Winning students were �erese Napier, a senior at North Olmsted High School interested in Johnson & Wales Culinary School in Charlotte, N.C.; Dakota Stevens, formerly at Berea-Midpark and now at Hocking

College; Amber Stevens, formerly at Berea-Midpark and now at Hocking College; Christ Hritz, a senior at Strongsville High School interested in attending the Culinary Institute of America in New York City; and Emily Leopold, formerly at Berea-Midpark and now at the Culinary Institute of America in New York City.

Patience, showing up for work on time and wearing the correct uniforms are all part of the learning process to make students ready for “real-world” restaurant work, said chef Chris Olsze-wski, who runs Polaris’ restaurant pro-gram. “We are trying to emphasize the soft skills. Showing up for work on time, speaking clearly, teamwork.”

�ese skill sets, paired with culi-nary training, create employable workers, said Olszewski, whose pro-fessional experience includes work-ing with the Stou�er chain.

�eir employability is certainly born from �re: Some 9,000 custom-ers per year are served during the seven months (three days a week) the Polaris restaurant is open.

“�at averages to about 1,300 restaurant customers a month,” said Miller.

Students also cater about 12 events a year.

Olszewski potentially is working with future restaurant owners, based on statistics. According to the Na-tional Restaurant Association, 80% of restaurant owners started as en-try-level restaurant employees, one in 10 American jobs is in the restau-rant industry and one in three Amer-icans’ �rst job was in the restaurant industry.

“We create employable, prepared workers who arrive in uniform and say, ‘Yes, chef.’ �ey do the job,” said Tammy Hoegler, the chef instructor in Polaris’ baking and pastry arts pro-gram for the past six years. She is re-sponsible for training students to �ll the Mon Delice pastry shop, with such sweets as cheesecakes, eclairs, cream pu�s and cupcakes. �e pas-try shop is also open to the public.

�e third school restaurant/cafete-ria at Polaris is the Old Oak Cafe, which o�ers “grab and go” items and is operated by students in the deli and food production program. It serves mostly faculty, sta� and students.

“Fifty percent to 60% of our stu-dents go into post-secondary pro-grams,” Miller said. “�irty percent to 40% go directly into the industry.”

“We hone the skills,” he added. “�e students do all the work.”

Patrons taking notice of Polaris’ esteemed culinary program

The Dish: Susan Condon Love

Chef Chris Olszewski shows a Polaris Career Center student the correct presentation of an entree. (Susan Love for Crain’s)

Susan Condon Love is a freelance writer who was an editor and writer at The Plain Dealer,

The Las Vegas Review-Journal, the Savannah (Ga.) Morning News and The Annapolis Capital.

CR AIN ’S CLE VEL AND BUSINESS | N OV E MB ER 28 - D ECE MB ER 4, 2016 | PAG E 7

Arteriocyte Inc. has sold its medi-cal device business, but its small lo-cal o�ce will remain open.

In October, Isto Holdings of St. Louis acquired Arteriocyte Medical Systems Inc., which sells the Magel-lan, a device that surgeons and re-searchers use to separate blood plasma into Platelet Rich Plasma and Platelet Poor Plasma. Isto Hold-ings also bought the right to the Ar-teriocyte name. �us, the Hopkin-ton Mass.-based stem cell

technology company plans to change its name to Compass Bio-medical by year’s end, said general manager Kolby Day.

Arteriocyte Inc. still employs 16 people, including four in Cleveland.

�e local o�ce shrunk consider-ably last year, when the company moved its research and develop-ment team to its Massachusetts of-�ce.

It employed 21 people at the Bak-er Electric Building on Euclid Ave-nue in March 2015. That month, the city of Cleveland decided to give Arteriocyte Inc. a $150,000 eco-nomic development loan, but the company didn’t receive the money

because it couldn’t meet the city’s job creation requirements, Day noted.

Why did the company move its R&D team? Day noted that several new and existing employees had spouses who had a hard time �nding jobs in Cleveland, so they started hunting for jobs in the Boston area. Many of those spouses were looking for biomedical jobs.

Cleveland’s biomedical communi-ty isn’t yet as vibrant as Boston’s, but Day remains positive about progress made by the local community.

“We’re doing OK — we’re grow-ing,” he said.

Could the local o�ce bene�t from

the sale of Arteriocyte Medical Sys-tems? Day wouldn’t say much on that topic, but he noted that Arteriocyte Inc. did receive a payout from the deal.

Don Brown, who lives in Massa-chusetts, remains CEO of Arterio-cyte Inc. �e company continues to develop therapies that use adult stem cells to treat wounds and other medical conditions, as well as other cell-related products.

It also retained the right to sell the Magellan device for uses related to burn wounds and chronic wounds, Day said. He noted that the compa-ny is developing what could be de-scribed as the “next version” of the

Magellan technology, adding that it has �led for a patent on that new technology.

In 2007, Arteriocyte Inc. formed Arteriocyte Medical Systems with help from DW Healthcare Partners of Salt Lake City and Comerica Bank’s Technology and Life Sciences divi-sion. �e medical device business acquired the Magellan from Medtronic Inc. of Minneapolis.

Isto Holdings will now combine that business unit with a subsidiary called Isto Technologies. �e com-bined company, Isto Biologics, also will be based in St. Louis, though it will retain operations in Massachu-setts.

Arteriocyte sells medical device unitCleveland facility shrunk last year, when company moved R&D to East CoastBy CHUCK SODER

[email protected]@ChuckSoder

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Business partners James Wise and John Holton just purchased the Lynett Medical Building at 6731 Ridge Road in Parma because they prized its visi-bility and empty third-�oor space.

“I wanted it for the signage for our brokerage on busy Ridge Road,” said Wise, the broker for Holton-Wise Commercial & Residential Real Es-tate. Holton-Wise includes a broker-age, investment, property manage-ment, construction and even an interest in an insurance a�liate.

�e Parma-based �rm also needed more space to accommodate its 35-agent residential and commercial realty brokerage. Other sta�ers in-clude �ve full-time administrators who manage properties and a dozen construction sta�ers in the construc-tion unit Holton oversees who will re-main based at the company’s current building at 4207 Brookpark Road.

Lynett Medical is the �rst $1 mil-lion property the two have pur-chased, which Wise said would not have been possible a few years ago. However, Lynett joins a portfolio of �ve other small retail and o�ce mixed-use residential properties Holton-Wise purchased this year for prices ranging from $91,000 to $300,000 in Parma and Cleveland’s Old Brooklyn neighborhood.

�e new commercial purchases are part of a portfolio of 600 single-family and apartment, o�ce and retail prop-

erty managed by Holton-Wise. �e duo owns about 20% of it, Wise said. �e �rm does not track its commercial properties by square footage, the in-dustry standard, or separate its apart-ment rentals from single family rentals.

“I just count tenants,” Wise said, whether they are retailers, small businesses or residents. However, he put the owned and managed portfo-lio’s value at more than $27 million.

Holton-Wise had expected its building at 4207 Brookpark Road in Parma, which was purchased in 2015, would have lasted them another three years. �e residential broker-

age grew faster than Wise expected it to as it was launched in just 2015.

How did it expand so quickly?“We don’t sleep,” Wise said. “I

work 80 to 85 hours a week.”Work, indeed. Holton-Wise was

launched in 2013 when Wise consult-ed Holton, a general contractor, about making repairs to a house Wise had purchased.

�e two, who had known each other socially for almost a decade, realized their skills complemented each other.

Holton recalls saying, “ ‘Hey, man, you be the pretty face. You do all the stu� with tenants and people. I’ll do

the (construction) work.’ �at’s the easy part.”

�ey also shared a taste for property and seized on the housing collapse and low-priced homes as an opportunity rather than a source for delay. Wise, 29, bought his �rst house at 21. Holton, 36, bought his �rst domicile at 25.

Initially Wise worked at another residential brokerage, but in 2015 he joined Holton in making Holton-Wise a full-time endeavor.

Today, Wise oversees the broker-age, investment and property man-agement functions, along with a sideline promoting techniques for

real estate investing. Holton oversees workers ranging from people who clean out purchased homes to plumbers and roofers.

At Lynett Medical, Holton-Wise plans to �ll vacancies with o�ce ten-ants and retain the tenant roster of docs and dentists.

Many investors shy away from in-vestor-owned medical o�ce build-ings because of challenges indepen-dent physicians who typically occupy them face in the era of big medicine.

�at was not news to Wise.He saw it �rst hand. Holton-Wise

bought Lynett Medical after he’d list-ed it for sale from an estate and was unable to �nd a buyer.

�e two say they plan to spend about $500,000 on needed updates on the 1983-vintage building, from refreshing the landscaping and up-dating lobbies (the structure has en-trances from Ridge Road and Lynett Drive) to installing automatic doors to ease handicapped access.

For now, Holton-Wise intends to ex-pand geographically around its exist-ing property base in Parma, Cleveland and Gar�eld Heights. Wise also looks forward to getting into other associated real estate businesses because he val-ues being vertically integrated.

“What’s the �rst question some-one asks when they buy a house?” Wise asked. “ ‘Where do I get insur-ance?’ So we did that.”

�e vision the two young men have for Holton-Wise is huge: to make it the largest property �rm in Ohio.

“�ink K&D Group and Howard Hanna,” Wise said.

Holton-Wise team keeps looking for moreBy STAN BULLARD

[email protected]@CrainRltywriter

Stan Bullard

“Hey, man, you be the pretty face. You do all the stu� with tenants and people. I’ll do the (construction) work.’ That’s the easy part.”— John Holton, at right, speaking about his partner, James Wise

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More than 300 people attended Crain’s Forty Under 40 gala at Public Auditorium.Honorees Nick Alexander (left) and Jason Estremera (right) with Jennifer Alexander.

Eric Johnson and honoree Kathryn Bryan of Skylight Financial Group.

Jill Christo� and honoree Michael Christo� of Vocon.

Patty Quiñónez, honoree Luis Cabera of Forest City and Diana Le-Cabrera.

Honoree Brian Barnes of the Ohio Republican Party and Annalisa Longo.

Last week, Crain’s Cleveland Business celebrated its 25th Forty Under 40 class with a celebration at Cleveland’s historic Public Audi-torium. In celebration of the program’s silver anniversary, we’ve launched an interactive database at CrainsCleveland.com/awards/40u40, which in addition to this year’s class, features all 1,000 of our honorees over the years. If you’re a previous winner, check out our Honoree Center, where you can update your information to let us know where you are now.

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Le�er to the Editor

CLEVELAND BUSINESSCLEVELAND BUSINESS

Publisher and Editor: Elizabeth McIntyre ([email protected])

Managing Editor: Scott Suttell ([email protected])

Sections editor: Timothy Magaw ([email protected])

Contact Crain’s : (216) 522-1383

Editorial

Opinion

Write us: Crain’s welcomes responses from readers. Letters should be as brief as possible and may be edited. Send letters to Crain’s Cleveland Business, 700 West St. Clair Ave., Suite 310, Cleveland, OH 44113, or by emailing [email protected]. Please include your complete name and city from which you are writing, and a telephone number for fact-checking purposes.Sound o�: Send a Personal View for the opinion page to [email protected]. Please include a telephone number for verification purposes.

Over the next four years under a Donald Trump presidency, it’s going to be as important as ever for the Democratic Party to have a leader in Congress who can articulate the di�cult eco-nomic realties facing the middle class and to be able to do so with intelligence, �nesse and heart rather than the �ery, and often misinformed, rhetoric we’re hearing from the president-elect.

So, it’s refreshing to have the Mahoning Valley’s own U.S. Rep. Tim Ryan challenge U.S. Rep. Nancy Pelosi to lead the House Democrats. Can he pull it o�? �e pundits don’t seem to think so, but it’s due time for Ryan — whose name has been �oated countless times for higher o�ce — to emerge from his cozy congressional seat and raise his pro�le on a national scale.

A Pelosi win in a party election set for Nov. 30 wouldn’t be a bad thing. �e �erce loyalty many progressives hold for her, as well as her fundraising abilities and her knowledge of the sys-tem, could be critically important in the coming years if Con-gress has to take action to derail any of the most frightening pieces of the president-elect’s agenda.

Still, if someone makes a go at giving the Democrats a fresh face at the top of the House, we’re glad it’s one of Ohio’s own.

Work on itNortheast Ohio has many wonderful qualities that are ap-

pealing to a variety of residents and companies. Being on the cutting edge of social change as it relates to the business envi-ronment, though, generally isn't among them.

It's encouraging, then, to see two local institutions making statements with new initiatives that are forward-looking in their approaches to attracting a younger, more diverse work-force to the region.

One institution, the Cleveland Metropolitan Bar Association, is raising money from local law �rms to hire a legal inclusion director whose job will focus on recruiting diverse attorneys to Northeast Ohio. (�e goal is to raise $200,000 to cover salary and travel costs.)

“We want to make Cleveland the preeminent place for diver-sity and inclusion in the legal profession,” Majeed Makhlouf, vice president of diversity and inclusion for the bar association, told Crain's �nance and legal reporter Jeremy Nobile for a story published last month. “So how do we achieve that?”

For the most part, they haven’t, as a CMBA survey of law �rms found that less than 4% of local equity and non-equity partners were attorneys of color. But CMBA’s planned hire of an inclusion director, as well as the recent launch of its Cleveland Legal Inclusion 2020 Collective Action Plan, are positive indica-tions that the organization is focused on making Northeast Ohio a top destination for lawyers of diverse backgrounds.

We also applaud the work of the Independence-based trade association Precision Metalforming Association for an e�ort to bolster its support for young professionals in the manufactur-ing �eld.

Over the summer, PMA launched a recruitment and reten-tion initiative called MFG NXT aimed at millennials and Gen Xers working in or considering a career in manufacturing. �e organization describes MFG NXT as an “ideas hub and support network” designed to help young talent rise through the ranks of the manufacturing industry.

Allison Grealis, vice president of association services, told Crain’s manufacturing reporter Rachel Abbey McCa�erty that PMA found many of its member companies were going through leadership changes and needed help “supporting and connect-ing this next generation of manufacturing talent.”

�e group has started a private email list so members can communicate with each other, and it’s planning for virtual learning courses to be available early next year.

�ere’s no guarantee, of course, that the CMBA or PMA ef-forts will bear fruit, in the long term or even the short term. But the initiatives are targeted at challenges the region needs des-perately to address, and their practical design gives us hope that they will make inroads in shaping the local workforces of the future.

Think di�erent

Cleveland’s global view is open to allBy CRAIN’S BUSINESS DIVERSITY COUNCIL

Our global city is in the midst of a renaissance and our great nation is in the midst of transition. For Cleveland and beyond, the conclusion of the 2016 U.S. presidential campaign rep-resents the dawn of a new era. �rough competing visions, an epic conclusion unfolds to endless possibilities for Presi-dent-elect Donald J. Trump.

We would like to share our thoughts and experiences as we forge a new administration poised to champion a legacy of its own. �e thoughts shared here are of the Crain’s Business Di-versity Council and not Crain’s Cleveland Business.

In 2014, we formed the Crain’s Business Diversity Council (CBDC) with the primary focus on bringing attention to Crain’s subscribers that minority businesses and inclusion activities are relevant in Northeast Ohio and enhance the fabric of our community as it aspires to be a great city and a city for all. Since our inception, we have seen more balanced coverage on mat-ters that re�ect the minority business communities and imple-mentation of programs in some of our leading organizations.

We wish the president-elect and his family congratulations. He carries the hopes and aspirations of the republic and the free world. As patriots and well-wishers, we add our thoughts to celebrate our multiracial, multicultural and multiethnic soci-ety. Cleveland is a great American city, welcoming and open to all willing to work hard, as many immigrants who helped build this city and region can attest.

First, let us all agree that there are great challenges ahead for America. �e U.S. debt crisis is serious and remains one of the moral de�cits of our age. �ere are two Americas — a rural one and an urban one — with distinct methodologies and failing communications. �e disconnect is a symbol of a declining cul-ture of tolerance and, in its wake, is the infancy of an unhealthy depreciation of diversity, inclusion and equality.

�ese separate societies produce disparate and distinct val-ues. For this we express concern because our shared values are the hallmark of a great nation. As much of this lack of connect-edness extends from failing infrastructure, substandard educa-tion, a digital divide that expanded to a gulf, and the faded glory associated with a perception the American dream is not avail-able for all. �ese are all correctable issues as we forge a better future together.

Second, a global city relies on open borders to and from in-ternational airports, ports-of-call and transport systems that deliver products to markets. �e new administration should hear our voices in cooperation on issues that matter to all of us.

Small business owners cannot feel and shoulder these head-winds alone. We need to help grow, hire and produce goods and services that meet the needs of a growing city on the preci-pice of change. Fertile environments include capital, loans, la-bor with dignity and reasonable regulations.

We need focus on human capital development. Our city must see the advancement of resources for education, rehabilitation and transformation. Not every child is equipped with the same skills but each enjoys dreams.

We are a global city on the move toward discovery and excel-lence. We cherish our local amenities like our professional sports culture; major projects like the lakefront, Public Square, the Innerbelt bridge and Opportunity Corridor; and our diverse cultural amenities, like Karamu House and Playhouse Square, the Cultural Gardens and Severance Hall. �e pride we take in these amenities must also be the same toward the e�orts this community has taken toward inclusion activities from a host of

SEE GLOBAL, PAGE 11

CR AIN ’S CLE VEL AND BUSINESS | N OV E MB ER 28 - D ECE MB ER 4, 2016 | PAG E 11

Web TalkRe: Buying American

True, it is no longer possible to buy a 100% American vehicle, but there are vast di�erences in the percentage of USA-made content. The manufacturers want to tell us the “North American” content (which includes Mexico and Canada), but there are ways to determine the actual percentage that a car or truck is U.S. made. The Kogod School of Business at American University has done an excellent job of compiling the true USA content in all vehicles. Consumers can make choices which more greatly benefit the American economy and their fellow citizens. — populistovice

Re: State of the Browns

Why does anyone pay any attention to the Browns?The only way to make them better is to hurt owner Jimmy Haslam in the pocketbook until he produces results — "results" means winning games, not firing coaches and drafting rookies. Until then, ignore them. Thank goodness for the Cavs and the Indians. Many people judge cities, in part, by their sports teams. Cleveland deserves better than the Browns. — Robert Fritz

organizations like the Hispanic Business Center, Greater Cleveland Partnership — Commission on Economic Inclusion, the Urban League and the Presidents’ Council Business Chamber, to name a few.

�e tenor of our presidential campaign has the CBDC concerned that what is now being described as two Americas has the potential to stall and, even worse, roll back advancements we have made in our community, where inclusion has been deemed a priority to be a great city and a community that provides opportunity for all.

May through challenge we emerge triumphant.

Crain’s Business Diversity Council

Darrell McNairPresident and CEO, MVP Plastics

Montrie Rucker AdamsPresident, Visibility Marketing Inc.

Luis CartagenaInclusion O�cer, Cuyahoga County Department of Public Works

Samir D. GautamManaging Director, Caritas Financial

Pradip KamatPresident, Indus International Inc.

Adrian MaldonadoOwner, Adrian Maldonado & Associates

Kimberly Martinez-GieringPresident, KLN Logistics Corp.

Michael ObiCEO, Spectrum Global Solutions

Margaret WongPresident and Managing Partner, Margaret W. Wong & Associates Co. LPA

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CLEVELAND BUSINESS

35th Anniversary

VOL. 36, NO. 48 November 30 - December 6, 2015

Public Company

Cliffs Natural Resources wouldn’t bewhere it is today without its top lawyer,James Graham.

The company has undergone majorchanges in management and corporatedirection since CEO Lourenco Goncalvestook over in August 2014 following a pro-longed and acrimonious fight with anactivist shareholder group.

When the dust settled, new leadership anda completely rebuilt board of directors wereinstalled to set the iron ore supplier and min-ing company on a fresh path. Graham quick-ly won over the management in place today.

An eight-year veteran of Cliffs, Grahamremains one of the company’s stalwarts. Henot only guided the $4.6 billion companythrough one of its most tumultuous periodsas a business, but continues to steer manage-ment today as a recently named executivevice president.

“All his knowledge about Cliffs and themoves we were making to turn the companyaround have made him a very key member ofmy close-to-me coworkers who work withme to take this company to the next level,”Goncalves said. “He plays a very importantsupporting role.”

And that’s all in addition to representingthe company in a host of bet-the-companylawsuits, which includes seven class-actionsuits related to the strategies and decisions

of the former management and a couplecommercial-related claims, Goncalves said,emphasizing Graham is a “very well-round-ed” lawyer.

Graham joined Cliffs in 2007 when thecompany was hungry for acquisitions,overseeing $9 billion in deals in his firstfour years.

As a down-cycle in commodities hitaround 2012, the firm reconsidered itsgrowth strategy, which included sometough belt-tightening decisions that led tocuts in the corporate and legal officeswhile the overall workload remained rela-tively constant.

Through some cuts and fresh budgeting,in the past three quarters Graham hasslashed the legal budget by 50% andtrimmed the overall headcount.

“The company’s legal resources have beenpushed to the limit, but without sacrificingthe efficacy and timeliness of the mostimportant advice,” the nomination said.

“These efforts will help the company sur-vive the end of the down cycle and comeout as a more nimble and efficient miningcompany.”

But Graham’s role during Cliffs’ recentlegal battles that ended with the installmentof a new leadership team can’t be understat-ed, Goncalves said.

“His willingness to cooperate was

extremely helpful when you’re coming in likeI did,” Goncalves said.

“He never took sides, but he knew the mis-takes of the past that led to the companybeing in a state that wasn’t ideal and allowedme to win the battle with shareholders.”

“It’s been a long ride,” he added, “and he’sbeen right there with me.” — Jeremy Nobile

JAMES GRAHAM

Executive vice president, chief legal officer and secretary; Cliffs Natural Resources

Reprinted with permission from the Crain's Cleveland Business. © 2015 Crain Communications Inc. All Rights reserved. Further duplication without permission is prohibited. Visit www.crainscleveland.com. #CC15033

CLEVELAND BUSINESS

35th Anniversary

NOVEMBER 30, 2015

Lisa Kunkle’s work behind the scenes helped transform PolyOne from a plastics manufac-

turer into a specialty polymer company.

As PolyOne’s general counsel, Kunkle has overseen a variety of substantial acquisitions,

positioning the $3.8 billion company for where it is today. Those include the three largest

acquisitions in company history, representing more than $1 billion in revenue.

“These acquisitions, coupled with the important divestiture of commodity businesses,” the

nomination said, “has helped to accelerate our specialty growth.”

And now, as the company has become more specialized, Kunkle focuses on protecting the

company’s intellectual property rights.

Those efforts combined are a top reason PolyOne’s share price has surged from an historic

low of $1.32 in 2009 to an all-time high over $43, CEO Robert Patterson will point out. That

high was hit in June 2014.

“Lisa is a composed yet fierce competitor who loves to win,” he said. “She’s balanced, can-

did and disciplined in her approach to providing input, and

she’s earned the respect of our entire management team.”

Kunkle even has served as president of PolyOne’s political

action committee. While no longer in that role, she’s still quite

active in identifying legislative and political issues affecting

the business.

Described by Patterson as a “tireless worker” — she even

took on interim duties as the head of the company’s environ-

mental, health and safety function during a transitional period

for PolyOne — and a “role model” for ethics and integrity,

Kunkle’s leadership extends well beyond the corporate world.

She regularly volunteers for a variety of local nonprofits,

including the Positive Coaching Alliance in addition to pro-

moting career development for women. She’s a member of In

Counsel for Women in Cleveland and the Northeast Ohio

chapter of the Association of Corporate Counsel and serves as

president of Greater Cleveland General Counsel Association.

And that’s when she’s not advocating for her city.

“A huge advocate for all things Cleveland, Lisa is a proud

graduate of Leadership Cleveland, and as an active alumnus,

utilizes the learnings and connections she’s made to continue

to advance the positive momentum building in our great city,”

the nomination said.

— Jeremy Nobile

LISA KUNKLESenior vice president, general counsel and secretary; PolyOne

Public Company

GENERAL & IN-HOUSE COUNSEL

CONGRATULATIONS

Lisa KunkleSenior Vice President General

General Counsel and Secretary

PolyOne Corporation

And All the Crain’s

General and In-House

Counsel Finalists

www.polyone.com

G G Genenerer lalal

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PAG E 12 | N OV E MB ER 28 - D ECE MB ER 4, 2016 | CR AIN ’S CLE VEL AND BUSINESS

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CongratulationsThompson Hine LLP is pleased to recognize the 2016 Crain’s Cleveland Business General & In-House Counsel Award honorees:

A Smarter Way to Work – predictable, ef�cient and aligned with client goals.

Atlanta | Cincinnati | Cleveland | Columbus Dayton | New York | Washington, D.C. | ThompsonHine.com

Chuck Jarrett Catherine Kilbane Jonathan Leiken David Weiss

Clifford DeCamp Lou Vitantonio George Zilich Tracy Crandall

TAX LIENSThe Internal Revenue Service filed tax liens against the following businesses in the Cuyahoga County Recorder’s O�ce. The IRS files a tax lien to protect the interests of the federal government. The lien is a public notice to creditors that the government has a claim against a company’s property. Liens reported here are $5,000 and higher. Dates listed are the dates the documents were filed in the Recorder’s O�ce.

LIENS FILEDMK Auto Repair Inc. 3596 Lee Road, Shaker Heights

Date filed: Sept. 14, 2016Type: Employer’s withholdingAmount: $87,482

Comm Steel Inc.; Business Improvement Group 900 E. 69th St., Cleveland

Date filed: Sept. 14, 2016Type: Unemployment, employer’s withholding, penaltyAmount: $67,049

Amara Home Care Inc. 5285 Northfield Road, Bedford Heights

Date filed: Sept. 14, 2016Type: Employer’s withholdingAmount: $47,704

Healthlink Systems Inc. 18 N. Main St., Suite 200, Chagrin Falls

Date filed: Sept. 14, 2016Type: Corporate incomeAmount: $44,760

Erie Container Corp. 4700 Lorain Ave., Cleveland

Date filed: Sept. 14, 2016Type: Employer’s withholding, corporate incomeAmount: $38,482

K Burns Consulting Inc. 6942 Crystal Creek Drive, Brecksville

Date filed: Sept. 14, 2016Type: Corporate incomeAmount: $35,115

Hahn & Pollock LLC 820 W. Superior Ave., Suite 510, Cleveland

Date filed: Sept. 14, 2016Type: Employer’s withholding, unemploymentAmount: $33,423

CMCO Mortgage LLC 7851 Freeway Circle, Cleveland

Date filed: Sept. 14, 2016Type: CIVPAmount: $29,940

Medport Inc. P.O. Box 25277, Garfield Heights

Date filed: Sept. 14, 2016Type: Employer’s withholdingAmount: $29,250

Safeguard LLC 29638 Detroit Road, Westlake

Date filed: Sept. 14, 2016Type: Employer’s withholdingAmount: $28,414

M Boss Inc. 4510 E. 71st St., Suite 12, Cleveland

Date filed: Sept. 14, 2016Type: Unemployment, corporate income, employer’s withholdingAmount: $17,305 (two liens combined)

Westlake Methodist Church 27650 Center Ridge Road, Westlake

Date filed: Sept. 14, 2016Type: Employer’s withholdingAmount: $16,009

DPG Lounge LLC 18414 Saint Clair Ave., Cleveland

Date filed: Sept. 14, 2016Type: Employer’s withholding, unemployment, partnership, annual tax returnAmount: $10,623

LIENS RELEASEDLago Flats LLC 1091 W. 10th St., Cleveland

Date filed: June 16, 2016Date released: Sept. 14, 2016Type: Employer’s withholdingAmount: $87,396

C&D Truck & Equipment Service Inc. 4015 Jennings Road, Cleveland

Date filed: Jan. 22, 2016Date released: Sept. 14, 2016Type: Employer’s withholdingAmount: $24,206

Plantrex, an Interior Landscaping Co. 30628 Detroit Road, Suite 196, Westlake

Date filed: Sept. 3, Dec. 11, 2015Date released: Sept. 14, 2016Type: Employer’s withholding, unemployment, corporate income, failure to file complete returnAmount: $18,401 (four liens combined)

PMG Patrick Management Group Inc. 1991 Crocker Road, Suite 600, Westlake

Date filed: April 27, 2010Date released: Sept. 13, 2016Type: Employer’s withholdingAmount: $18,131

Cornerstone Missionary Baptist Church Inc. 8915 Miles Park Ave., Cleveland

Date filed: Feb. 7, 2013Date released: Sept. 14, 2016Type: Employer’s withholding, failure to file complete returnAmount: $17,661

Carnegie Cedar LLC 19904 Cottonwood Trail, Strongsville

Date filed: Aug. 4, 2016Date released: Sept. 14, 2016Type: PartnershipAmount: $15,893

Family for Life Foundation; Little Scholars 3639 Lee Road, Cleveland

Date filed: May 16, 2014Date released: Sept. 16, 2016Type: Employer’s withholdingAmount: $36,668

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CR AIN ’S CLE VEL AND BUSINESS | N OV E MB ER 28 - D ECE MB ER 4, 2016 | PAG E 13

From his work with new tech-nologies to the launch of an in-surance model that uses real data to align driving behaviors with premium auto coverage rates, it’s fair to say Charles “Chuck” Jarrett is at the forefront of change at Progressive Corp.

As chief legal o� cer at the May� eld Village-based insur-ance giant since 2000, Jarrett also helped establish and re� ne a strategy that includes success-fully defending challenges to the rapidly evolving product of-ferings created by the company.

“When I started here, the concept of usage-based insur-ance was in its infancy,” said Jarrett, 59. “Nobody was doing it on a full-scale basis, and now we’re the leader in the area. As we designed our program, it created all kinds of legal and business issues.”

In a usage-based model, mile-age and driving behaviors are tracked via odometer readings or through in-vehicle telecom-munication devices. � is area of “telematics” was only one of the complex technologies Jarrett had to school himself in to do his job well.

“From day one, I had a seat at the table of these innovations and products,” Jarrett said. “� e key was understanding what we’re doing on the business side, and then working with our legal team.”

Jarrett manages a corporate law department numbering 140 people, including 42 lawyers. A house counsel organization, representing a team nationwide that defends insureds sued as a result of an auto accident, now

For the fi fth year in a row, Crain’s is honoring the top legal minds in Northeast Ohio’s business community. These men and women, while often fl ying under the radar, are tasked with navigating the increasingly complex regulatory framework in which the region’s businesses operate. Winners in the public and private company categories will be announced at the Dec. 7 event.

By DOUGLAS J. GUTH

[email protected]

Crain’s General & In-House Counsel Awards Presented by

LIFETIME ACHIEVEMENT, PRESENTED BY BENESCH:

Charles E. “Chuck” Jarre� Chief legal o� cer, Progressive Corp.

numbers 360 lawyers. Both departments have doubled since Jarrett’s arrival, while company revenues have tripled. Build-ing a legal team to work within the boundaries of new con-cepts is a challenge Jarrett has always enjoyed.

“I’m fortunate to have the resources to hire some really talented people,” he said. “You have to put people into the right roles and empower them to do their jobs. � at’s basic management.”

Similar to most chief legal o� cers, Jarrett is responsible for overseeing all corporate litigation, transactions, regula-tory work, securities � lings, shareholder issues and anything else that requires legal input or oversight.

In 2008, the Pepper Pike resident led negotiations on naming rights for Progressive Field, a multi-month process that Jarrett said created value for both his company and the

Cleveland Indians. � e � nal deal included “category exclu-sivity” for Progressive, meaning no other insurance advertis-ers could be displayed inside the stadium.

“� e focus was on when our signage and brand would be seen on television,” Jarrett said. “Our impression was we got a deal that both sides were happy with.”

Jarrett also orchestrates Progressive’s ethics function, es-tablishing a company-wide training initiative for all employ-ees on ethical decision-making. � e program gives workers a framework in handling scenarios such as what to do when a colleague accepts gifts from a business partner.

“How do you report that without feeling like you’re ratting out your friends?” Jarrett said. “Figuring out the right thing isn’t easy, but you’re not on an island. You can reach out and get help.”

Over the years, Jarrett has tak-en on responsibilities outside the legal realm, including six months as interim chief human resources o� cer, as well as management of Progressive’s public relations and communications team. He was assigned these duties by former company CEO and current board chairman Glenn Renwick, who said Jarrett’s commitment to un-derstanding all levels of the busi-ness made him an indispensable leader.

“Chuck’s legacy will be as an important part in Progressive’s evolution from a small, behind-the-scenes company to one with a great national presence,” Renwick said.

He added, “He has a great compass as to when to contrib-ute to any issue, and as a result he commands the respect of those he works with.”

Continuous learning and cu-riosity, along with knowledge gleaned from years of busi-ness-related litigation experi-ence, is something Jarrett hopes to pass on to his yet unnamed successor as he prepares for re-tirement early next year.

“A law background is helpful, but whether you come in with a litigation or business back-ground, it starts with being able to learn things you haven’t per-sonally done,” Jarrett said.

An open-minded attitude will only help the next genera-tion of attorneys navigate a job market still recovering from the recession, noted Jarrett. In the meantime, he’s satis� ed to be a key facet of a company doing things the right way.

“Leadership here built a great company with a bright future,” Jarrett said. “We’re all very proud of what we’ve done and what we’ll continue to do.”

Crain’s General & In-house CounselTHIS YEAR’S JUDGES:Colleen Cotter, executive director, Legal Aid Society of Cleveland

Lisa K. Kunkle, senior vice president, general counsel and secretary, PolyOne Corp.

Halle Fine Terrion, general counsel, chief compliance o� cer and secretary, TransDigm

Robin M. Wilson, chief trial counsel, Cuyahoga County

Thomas M. Wynne, vice president and general counsel, The Interlake Steamship Co.

This year’s class will be honored Wednesday, Dec. 7, at The English Oak Room at Tower City CenterFor tickets and post-event coverage, visit CrainsCleveland.com/GC

PAG E 14 | N OV E MB ER 28 - D ECE MB ER 4, 2016 | CR AIN ’S CLE VEL AND BUSINESS

GENERAL & IN-HOUSE COUNSEL

RPM International Inc., based in Medina, Ohio, owns subsidiaries that are world leaders in

specialty coatings and sealants serving both industrial and consumer markets.

www.RPMinc.com

RPM International Inc. congratulates

our very own

Tracy Crandall2016 Crain’s General & In-House

Counsel Awards

Rising Star Award Recipient

PUBLIC CATEGORY FINALIST:

Jonathan LeikenSenior vice president, chief legal o�cer, corporate secretary, Diebold Nixdorf

As senior vice president and chief legal o�cer of Diebold Nixdorf, Jonathan Leiken over-sees the company’s global legal functions and corporate com-pliance program. He also serves as the corporate secretary to the board of directors.

Leiken oversaw all legal as-pects of Diebold’s acquisition of one of its largest competitors — Wincor Nixdorf AG — for $1.9 bil-lion. �e transaction was the �rst takeover of a German public company by a U.S. public compa-ny that involved a mixture of cash and stock. It also was the largest acquisition in Diebold’s 100-plus-year history. Leiken’s leadership and management of all aspects of this complicated deal elevated the company’s status in its indus-try, creating the largest company in the multi-billion dollar �nan-cial self-service industry, accord-ing to the nomination.

He also oversaw the compa-ny’s $300 million divestiture of its Northern American security business to Securitas.

“His breadth of knowledge and experience is an asset to the company and adds value to our leadership team,” Diebold Nix-dorf CEO Andy W. Mattes wrote in his recommendation. “His exceptional leadership abilities, dedication to advancing the company’s interests and busi-ness strategies, and knowledge of governance and compliance matters all make him a prime candidate for this award.”

Prior to joining Diebold in

PUBLIC CATEGORY FINALIST:

David WeissExecutive vice president and general counsel, DDR Corp.

Colleagues describe David Weiss as strategic, pragmatic and ethical in his work as the top lawyer at the Beachwood-based shopping center company.

He joined DDR in 2002 from a partnership at the McDonald, Hopkins, Burke and Haber law �rm. Today as general counsel, he runs DDR's law department, which rivals a midsize law �rm in size, with 45 professionals. �e tasks run the gamut from leasing to securities. He has worked with management as DDR enjoyed blockbuster growth and teetered during the Great Recession, as well as the long slog back to stability.

For his part, Weiss calls it the best job in the world.However, those demands don’t keep him from a busy civic schedule. He

serves on city committees in Shaker Heights as well as its planning com-mission. He undertook those tasks after serving as an elected city council-man. He also is chair-elect for �e Centers for Families and Children, where he has served on the board for eight years. Among other civic en-gagements, he is a board member for �e City Club of Cleveland.

Robyn Minter Smyers, partner-in-charge of �ompson Hine’s Cleveland o�ce, met Weiss early in her career on assignment by the �rm to DDR.

“David Weiss helped me learn the ropes and served as a mentor and coach,” she said, which she knows is common for him to do.

Weiss got a new boss in July from outside DDR, who has experience running several big property companies.

“In the short time I’ve worked with (Weiss), he’s proven himself to provide valuable counsel on a wide range of business issues affecting DDR,” said Tom August, president and CEO. “One of the challenges any retail REIT faces is striking a balance between our tenants’ needs and our own strategic objectives. (Weiss) and his team have demonstrated

2014, Leiken was a partner at Jones Day in the global corporate, criminal inves-tigations and trial practice groups, and an assistant U.S. attorney in the criminal division of the U.S. Attorney’s O�ce for the Southern District of New York.

“John is a true strategic partner and trusted adviser for the business. He’s able to really quickly assess risks and provide practical advice for complex business challenges as they arise,” said Elizabeth Radigan, Diebold Nixdorf vice president and chief ethics and compliance o�cer. “He’s pragmatic and provides advice that protects the business, but lets it grow and prosper.”

Leiken is a past president of the Cleveland Metropolitan Bar Association. He is an adjunct professor of law at Case Western Reserve University’s law school.

He also participated in Sing Out!, a biennial bene�t that supports the Cleveland Rape Crisis Center, and he served on the board of Great Lakes �eater Festival, where he annually performs a one-man show. — Kimberly Bonvissuto

CR AIN ’S CLE VEL AND BUSINESS | N OV E MB ER 28 - D ECE MB ER 4, 2016 | PAG E 15

GENERAL & IN-HOUSE COUNSEL

We congratulate our clients

Chuck Jarrett, The Progressive Corp.

Catherine Kilbane, Sherwin-Williams Co.

Jonathan Leiken, Diebold Nixdorf

David Weiss, DDR Corp.

Tracy Crandall, RPM International Inc.

and all of the Crain’s Cleveland General and

In-House Counsel honorees on their leadership,

innovation and success.

Congratulations

E X P E R I E N C E F O R T O M O R R O W

bakerlaw.com

PUBLIC CATEGORY FINALIST:

Catherine KilbaneSenior vice president, general counsel, secretary, The Sherwin-Williams Co.

When it comes to in-house attorneys, you’d be hard pressed to �nd one more critical to a company’s success than Cath-erine Kilbane.

At Sherwin-Williams, Kilbane — a native Clevelander — has transformed the legal department, which spans four countries, into a team of business partners who are “engaged and responsive” to the ever-changing needs of the busi-ness, according to an endorse-ment letter from Sherwin-Wil-liams CEO John G. Morikis.

“She is creative thinker who seeks continuous improvement in everything that she touches,” Morikis wrote. “Her ethics and integrity are at the highest level and set a tremendous example for others.”

In particular, Morikis said Kil-bane led the company through an intensive regulatory process over a multi-year period to allow the company to be �rst to market with a paint that kills several types of bacteria on contact. In addition, she’s led the company through a complex purchase agreement to acquire Valspar, which, if completed, would be the largest acquisition in Sher-win-Williams 150-year history. Kilbane has worked closely with

that they possess the business acumen and foresight to make sound legal decisions while remaining focused on our long-term business goals.” — Stan Bullard

Morikis and the company’s former CEO and outgoing chairman, Christopher Connor.Kilbane has been with Sherwin-Williams since January 2013, and since then has

transformed the legal processes across the company through the use of advanced technology, which has streamlined processes and ultimately resulted in more e�-ciencies for the legal team and the business as a whole.

Before joining Sherwin-Williams, Kilbane served as senior vice president, gener-

al counsel and secretary at American Greetings. While there, she was a key member of the company’s eight-member senior leadership team. She’s also held roles during her career at �e Andersons Inc. and Bak-erHostetler.

Kilbane also is deeply engaged in the community through her professional and civic involve-ment. She’s been involved with leadership roles on boards at the Cleveland Clinic, Cuyahoga Community College Foundation, and the 50 Club of Cleveland. She also sits on the advisory panel of the National Association of Cor-porate Directors. Her past in-volvement includes roles with the United Way, University Hospitals, Great Lakes �eater Festival and Magni�cat High School.

Kilbane is a 1987 graduate of Case Western Reserve Universi-ty’s School of Law. She also earned her bachelor’s from Case Western Reserve in 1984. She has been recognized as a YMCA Woman of Achievement and received the St. �omas More Award from the Catholic Diocese of Cleveland, which is given annually to a lawyer rec-ognized for his or her ethics and integrity. — Timothy Magaw

PAG E 16 | N OV E MB ER 28 - D ECE MB ER 4, 2016 | CR AIN ’S CLE VEL AND BUSINESS

GENERAL & IN-HOUSE COUNSEL

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CR AIN ’S CLE VEL AND BUSINESS | N OV E MB ER 28 - D ECE MB ER 4, 2016 | PAG E 17

PRIVATE CATEGORY FINALIST:

Lou VitantonioPresident, Greater Cleveland Automobile Dealers Association

It could be said Lou Vitantonio grew up in the car business and at the Greater Cleveland Automobile Dealers Association.

Vitantonio learned to run the automobile trade association from the ground up. �e GCADA serves 275 franchised new car dealerships in 21 Northern Ohio counties and includes the Cleveland Automobile Trade As-sociation, Cleveland Auto Show, Automobile Dealers Educational Assis-tance Foundation, Motor Vehicle Acceptance Limited Partnerships and CADA Properties LLC.

At GCADA, Vitantonio served as program manager, director of member-ship services, director of properties, director of operations and legal and regulatory a�airs, and now president. He also served as assistant �oor manager and sta� counsel for the Cleveland Auto Show.

Today, Vitantonio helps member dealerships through legal and regula-tory mine �elds, union negotiations and changing market conditions.

“He is the go-to person for dealer operators, managers, vendors and gov-ernment o�cials,” Michelle Primm, managing partner at Cascade Auto Group in Cuyahoga Falls, wrote in her nomination. “On the way to a union negotiation meeting, he may take a call from a dealer with a human re-sources issue. �e next call may be a legislator trying to understand how proposed regulatory rules will a�ect a small business on Main Street.”

Vitantonio is credited with bringing the 100-year-old GCADA into the modern world as a respected, lean, �nancially stable trade association.

“When Lou Vitantonio speaks on behalf of Greater Cleveland dealers, Detroit, Columbus and Washington listen,” Primm wrote.

Under Vitantonio's leadership, the GCADA Auto Show organized one of the largest single food collections for the Greater Cleveland Food Bank. He also directs the association’s participation in the National Automobile Dealers Association Charitable Foundation, which directs donations back to local communities. �e foundation has an emergency relief fund for dealer employees a�ected by natural disasters, a canine companion fund and an education fund for children of victims of the Sept. 11, 2001, terrorist attacks.

“He has been the conduit for charitable growth, public events such as the Cleveland Auto Show, dealer events, legal assistance, legislative grass-roots and regulatory navigation,” said Zach Doran, president of the Ohio Automobile Dealers Association. “He always put his dealer members �rst and has represented some of the �nest entrepreneurs in the Greater Cleve-land area with dignity and class.” — Kimberly Bonvissuto

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GENERAL & IN-HOUSE COUNSEL AWARDS

PRESENTED BY

The networking event of the year for NEO's legal community.The networking event of the year for NEO's legal community.

Wednesday, December 7 • 4:30-7:30pmThe English Oak Room at Tower City CenteThe English Oak Room at Tower City Center

PRIVATE CATEGORY FINALIST:

George ZilichGeneral counsel and CFO, The Mid-America Management Corp.

George Zilich, apparently, can do it all.He has been with Mid-America Management Corp. since 2007 and is re-

sponsible for all legal and �nancial activities of this privately held real es-tate ownership/management company. Mid-America’s $700 million port-folio includes market-rate multifamily, retail and industrial real estate in 12 states.

Mid-America president and CEO Mark Misencik described Zilich as a skilled negotiator who keeps his focus on the goal.

“From negotiating successful transactions with di�cult personalities in complex transactions to negotiating numerous �nancings and acquisi-tions and resolving litigation, he has protected and advanced the interests of our company and our partners,” Misencik wrote in his nomination.

At Mid-America, Zilich oversees more than $300 million of debt with banks and lenders, and is responsible for about 25 �nancial, accounting, leasing and administrative personnel.

“George is at his best when circumstances are the most challenging,” Misencik said. “He consistently demonstrates the ability to quickly grasp and respond quite appropriately to di�cult situations. His legal opinions always take into account the business realities, and I appreciate his candid and thoughtful advice.”

Mark Avsec and Je� Wild, partners at Benesch, Friedlander, Coplan & Arono�, along with associate Adam Saurwein, describe Zilich as an advo-cate for his clients.

“�e Mid-American Management Corporation could not have hired a better ambassador, strategist, legal mind and chief �nancial o�cer — all in one package,” the trio wrote in Zilich’s nomination. “George is a very strong general counsel and chief �nancial o�cer, always advocating for his client. He never backs down; George digs in for what he believes is the right out-come.”

Prior to joining Mid-America, Zilich was a practicing accountant who decided to take some time o� to go to law school, where he graduated at the top of his class. With his background, he was able to leverage his years of private accounting and practical business experience, as well as his legal skills, to negotiate favorable �nancing and business agreements for his em-ployers. He has held roles with BPI Energy Inc., Jones Day, Archer Steel Co., LeeMar Steel Co., Hallmark Financial Group and Arthur Andersen & Co. — Kimberly Bonvissuto

PAG E 18 | N OV E MB ER 28 - D ECE MB ER 4, 2016 | CR AIN ’S CLE VEL AND BUSINESS

As Applied Medical Technology’s �rst general counsel and compliance o�cer, Cli�ord DeCamp has signi�cantly impacted the company’s business prac-tices and growth. �e nearly 30-year-old company, for one, quadrupled its sales since DeCamp joined the company in 2014.

The company credits DeCamp’s oversight and ability to develop multiple new distributor and cus-tomer agreements with impacting the company’s growth. Today, Applied Medical Technology, a Brecksville-based manufacturer of enteral medical devices, is the third largest specialty feeding tube manufacturer in the world. DeCamp’s strategic counseling directly led to the company significantly expanding its footprint throughout Europe, South America, the Middle East and Australia.

“With his background, he provides insights across all facets of the business. As AMT expands, he focuses on maintaining compliance, protecting AMT’s inter-ests and mitigating risks,” said Dan Filler, the compa-ny’s director of regulatory a�airs.

DeCamp ensures compliance with regulations in the United States and 30-plus countries. He brought in third-party consultants to help the company un-dergo test audits to ensure compliance with the U.S. Food and Drug Administration and international standards.

“Cli� came to us with a diverse background from private practice, teaching, consulting, business trans-actions, as well as contract negotiations, all of which have been applied to an emerging company on a global platform in the medical industry,” Applied Medical Technology CEO Dr. George J. Picha wrote in his nomination. “As AMT is dedicated to the care of children and adults, this theme at his guidance has moved over to bringing in special needs associates to help with the AMT mission.”

Prior to AMT, DeCamp was a contract attorney with Jones Day, �ompson Hine and Calfee, Halter & Griswold. He also held positions with Integra Life Sci-ence Corp., Agilysys, Strike One Enterprises LLC, and DeCamp Roth Devany & Nace.

As a parent to a child with special needs, De-Camp is active in community organizations that help children with mental and phys-ical disabilities. He provides free legal counseling for Here’s Hope Horse Farm, a horse farm in Cuyahoga Falls for disabled children. He volunteers for National Super Kids Classic in Ak-ron — a Soap Box Derby for those with special needs — and the Summit County Special Olympics swim team.

He also initiated a partnership be-tween Applied Medical Technology and Hattie Larlham to provide job training for handicapped adults. His company employs eight Hattie Larlham clients. —Kimberly Bonvissuto

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Cli�ord L. DeCampRISING STAR AWARD RECIPIENT:

Tracy CrandallGeneral counsel and compliance o�cer, Applied Medical Technology

Vice president, associate general counsel, assistant secretary, RPM International Inc.

In her more than six years with Medina-based RPM International Inc., Tracy Crandall has built trust and lived up to her motto of demonstrating her value to her coworkers.

Crandall is described as a go-to problem-solver for attorneys at RPM’s subsid-iaries around the world. She serves as vice president, associate general counsel and assistant secretary of the holding company that owns RPM’s subsidiaries. She provides oversight and guidance to in-house attorneys at RPM’s operating com-panies in handling litigation and business negotiations.

Among her achievements cited in the nomination are guiding a group of sub-sidiaries through a �ve-year tort liability-related bankruptcy proceeding, and en-hancing and expanding the company’s compliance programs.

She managed all privacy and cybersecurity matters for RPM and led the subsid-iaries’ implementation of the Global Intra-Group Data Transfer Agreement for the transfer of personal data and the development of an electronic records manage-ment system. She also developed standard terms and conditions of purchase and supplier expectations for the company’s raw material purchasing groups.

“Tracy is highly skilled at managing people, situations and expectations, while maintaining focus on the best interests of RPM,” wrote Edward W. Moore, RPM senior vice president, general counsel and chief compliance o�cer, in the nomi-nation. “She is an experienced contract negotiator who can maintain valuable relationships throughout a sometimes contentious process.

“On top of these skills as a lawyer, Tracy is a person of great integrity, commit-ment and courage,” Moore wrote.

Prior to RPM, Crandall served as a partner at Calfee, Halter & Griswold LLP in Cleveland, assistant general counsel at �e Scott Fetzer Co. in Westlake, and se-nior counsel at General Electric Co.-Lighting Business in Cleveland.

Outside of the o�ce, Crandall works with disadvantaged children and young adults through the YWCA, where she helped create a program to assist young

women aging out of foster care. She also serves on the board of trustees of Beech Brook, where she chairs the services review committee, and is a trustee of the strategic planning committee of Leadership Medina County.

“Tracy Crandall is a skillful le-gal practitioner, astute business-person and talented leader who has made substantial contribu-tions to her professional and per-sonal communities, and who will continue to do so for many years to come,” said Robyn Minter Smyers, partner-in-charge at �ompson Hine LLP in Cleve-land. — Kimberly Bonvissuto

For a region of the state well-known by race-car a�cionados for its Mid-Ohio Sports Car Course and Burke Lakefront Airport, which was formerly home to the Grand Prix of Cleveland, it’s a bit surprising the go-kart scene hasn’t been livelier.

But thanks to some local entrepreneurs, that’s beginning to change.

At spots such as High Voltage Indoor Karting, which opened in Medina in March 2015, and Boss Pro Karting, which debuted over the sum-mer, some local entrepreneurs have been tap-ping into an apparent pent-up demand for competitive go-karting.

Both venues feature about one-quarter-mile long tracks — speeds can �irt with 40 mph be-fore you need to hit the brakes — where racers speed and skid through ever-changing courses. �ey draw everyone from young �rst-timers to competitive racecar drivers honing their skills and corporate groups seeking an adrena-line-pumping alternative to the usual team-building exercises.

Both spots also are the result of race enthusi-asts who noticed this region was a true go-kart scene.

High Voltage was started by Greg Cordray and Steve Madden. Madden worked for Cordray at Akron’s Keystone Technology Consultants. �e two became friends and eventually decided to start their own track. Cordray has raced go-kart tracks around the world, and Madden, a former motocross racer, has always been interested in racing. Madden has since quite his job at Key-stone to focus on High Voltage full-time.

“We simply wanted to do some go-karting around here and couldn’t �nd one,” Madden said. “�ere are some recreational options. But we wanted something faster, more competitive, more race-y.”

�e eventually found a former foundry in

Medina, a 40,000-square-foot building more than a century old that had sat unused for years. �e co-owners picked up the property for just $250,000.

A massive remodeling has converted the space into a complete indoor track that’s preparing to unveil an outdoor expansion next year nearly doubling its track length. In good weather, the space will open its bay doors to connect to the outdoor section currently under development.

Meanwhile, Boss — which was founded in Cleveland by Brad Copley, a former vice presi-dent at MTD Products, and his cousin Lee Boss, an accomplished racer — marks a $4 million project spawned from similar motivations by racers who noticed a lack of go-kart options.

But the timing was right as interest in the sport appears to be growing.

“Go-karting is very popular in California and Arizona,” Copley said. “But with us being in Cleveland, we can bring a little more awareness and interest to the sport.”

Interestingly, Copley, who was used to the business scene as an executive at an outdoor power-equipment manufacturer, was equally motivated by the chance to mold his business around corporate team-building exercises.

“�ere are great venues in Cleveland to have a meeting, but most of those things ended the same way for me: with a $3,000 bar tab,” Copley said. “We wanted to bring teams together in a way where it’s not all about just standing around and getting drunk.”

Boss has a liquor license. It's also working on an outdoor extension.

But when the drinking starts, the racing stops. Copley �nds that some teams come planning to get to their beers quickly, but end up racing much longer instead.

While go-karting may seem like a downgrad-ed activity compared to Formula 1 and stock car racing, professional drivers use the tracks to hone their pure driving skills. �ose other races are heavy on car adjustments, and go-karting brings driving to its basic skills where smooth maneuvering yields the best results.

�e experience itself is quite visceral and more physical than a �rst-timer will appreciate until they’re in the driver’s seat.

In addition to leagues, both High Voltage and Boss o�er corporate packages.

But Boss is taking that to the next level. Cor-porate packages there can include team races and pit-stop challenges, where teams actually break into pit crews to do things like change tires on a full-size stock car.

�ey even have a “high-performance acade-my” that mixes behavioral analysis with actual racing performance, Copley said, making a connection for participants between teamwork among people with di�erent personality types on the track and in the o�ce.

While Boss is only a few months into busi-ness, the folks at High Voltage are already scouting locations for a potential second track in the future, Madden said.

And if racers continue to �ock to the area’s newest go-kart tracks, it may be only a matter of time until each capitalizes on their success so far to grow even bigger.

“�is is still racing, and you still get that rush,” said Marc Langworthy, a shift manager at High Voltage. “If you don’t get to play with a racecar, this really is the next best thing.”

Competitive racers are drawn to new spots in Cleveland, Medina

CR AIN ’S CLE VEL AND BUSINESS | N OV E MB ER 28 - D ECE MB ER 4, 2016 | PAG E 19

By JEREMY NOBILE

@[email protected]

Business of Life

REGION’S GO-KART SCENE IS BACK IN FAST LANE

Two ComDoc sta�ers pull onto a straightaway at High Voltage Indoor Karting. (Peggy Turbett for Crain’s)

Chris Rembold of ComDoc signals a triumphant end of a racing session.

Helmets and other protective gear await the next group of riders.

PAG E 20 | N OV E MB ER 28 - D ECE MB ER 4, 2016 | CR AIN ’S CLE VEL AND BUSINESS

Paul Clark has devoted his four-decade career to banking and, in e�ect, Northeast Ohio.Previously with National City Corp., Clark could have faded out from the banking scene when the legacy Cleveland company merged with PNC Financial Services in 2008 in the wake of the subprime mortgage crisis. Instead, he joined the Pittsburgh-based bank as president of Northern Ohio and the Cleveland region, a role securing him a place among this market’s most well-known bankers.Crain’s sat down with Clark to talk about his reflections on an atypical year in an otherwise familiar region that has seen a Republican National Convention, a veritable Cleveland renaissance kick into high gear and a president-elect that invites uncertainty in every nearly every business sector. — Jeremy Nobile

Source Lunch

Novelty doesn’t come as often for a banking veteran like yourself. Looking back on 2016, what’s surprised you? Really, it’s how far our community has come. Unprecedented public and private partnerships are driving historic momentum here, and as a result, I think we’re building a foundation for more success. There’s the planning, preparation and flawless execution of RNC week alone, which changed the narrative of Cleveland. And PNC played a big role with that, as did many others, and we’re all continuing to reap the benefits of that work.

Right, PNC was part of the RNC host committee. That’s obviously not something that happens to everyone every day. What’s something that you learned in being a part of that? Cleveland has truly differentiated itself from other communities facing similar challenges. But also, what I’ve learned is to sustain the success we’re enjoying and overcome challenges that remain, we have to recognize that some things are far greater than any of us can tackle on our own. Success, for us, as a city requires an unwavering commitment to partnership, collaboration, transparency and work ethic. I also have a renewed appreciation for law enforcement and the sacrifices so many make to protect and sustain our community.

You were part of some panels about early childhood education during the RNC. Why has that been an important mission to you personally? Decades of research show that the first 2,000 days of life are the most critical for school and life. Children today are our workforce of tomorrow, and that workforce will only be as strong as our children are. Returns on investment in access to high-quality pre-K are clear. This is not an option. It’s imperative.

In terms of Cleveland development, any thoughts on something the city as a whole can do to further the ongoing renaissance? We must just commit ourselves to an unwavering focus on ensuring opportunities that stem from today’s successes extend to the neighborhoods where years of disinvestment have resulted in the biggest challenges we face, all of which stem from economic disparities that drive inequitable access to education and opportunity.

You’re generally a pretty optimistic person. Is there anything that you do worry about?Just ensuring that we are doing all that we can to cultivate, engage and inspire our next generation of leaders, and that those leaders reflect the rich diversity of our community and they embrace and

sustain our great legacy of philanthropy and community service.

Let’s not gloss over some of the biggest news of this month with the result of a contentious presidential election. What have you been hearing from clients since Donald Trump was elected?I’ve been talking to lots of people. I usually call and ask about what they think just to get that pulse from the client base. What I take from those conversations is that no one really knows what to expect. It’s very di�erent. All they know is they’re working on stu� they can deal with right now — making sales calls, talking to their clients. They’re doing business as usual right now, and that’s the common thread. What’s going to happen, I don’t think anybody knows. So that’s when you do what you can do, like doing good business every day.

So while there’s an air of uncertainty, you can’t be paralyzed by that all the same. But is there a sense of excitement or apprehension from the people you’ve spoken with about a Trump presidency? Do you have a sense of that? It’s neither, really. With business clients, I don’t know that it’s translating into any other emotion other than: We don’t know what comes next, but we’re going to find out. And in the meantime, we all have to continue to do what we do.

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The mealBoth had tater tots and hot dogs, one with bacon, brie cheese, honey mustard and “alien” relish, and the other with Bertman’s mustard, sloppy joe sauce and blue cheese cole slaw. Our tots dippers included Srirachca hot sauce, yum yum sauce and chipotle ketchup.

The vibeThe Ohio City venue has a laid-back, dive-bar type atmosphere perfect for an after-work beer, but also a loose and comfortable setting for a casual lunch.

The bill$23.85, plus tip

Five Things ANY FAVORITE READING?“A Journey,” the memoirs of former United Kingdom Prime Minister Tony Blair. I have a copy I’ve used so much the binding is broken.

WOULD YOU EVER WRITE SOMETHING YOURSELF?When I travel, I have a thick notebook I often write down musings in. I’d like to turn that into poetry someday.

ANY OTHER HOBBIES? I play a little bit of electric guitar. And my wife and I like to travel. Our next place to go will be somewhere in the Pacific Northwest, like Seattle, Portland or Vancouver.

WHAT’S SOME OF YOUR FAVORITE MUSIC?I have rock ’n’ roll on constantly. And I’ve been to 26 Grateful Dead shows. But my favorite would be any combination of Crosby, Stills, Nash and Young.

ANY HEROES OR ROLE MODELS THAT YOU USED TO, OR STILL DO, LOOK UP TO?As a kid, my hero was Mickey Mantle. My hero today would still be John Kennedy.

BUSINESS OF LIFE

Paul ClarkBANKING

CR AIN ’S CLE VEL AND BUSINESS | N OV E MB ER 28 - D ECE MB ER 4, 2016 | PAG E 21

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He has his opinions about presi-dent-elect Donald Trump, but more about that later.

Robenalt’s writing career began after his mother died in 1990. He began to look back into his family’s history and started to learn about her grandfather.

“One of the people I found was part of his life was Harding,” he said. “Harding loved magic and he would come (from Marion, about 28 miles away) to see my great-grandfather do magic programs.”

� at connection led to his � rst book,

“Linking Rings: William W. Durbin and the Magic and Mystery of America.”

Soon after the book was published in 2004, Robenalt was invited to speak on Ohio’s presidents at Case Western Reserve University as part of a program leading up to the Dick Cheney-John Edwards vice presiden-tial debate held at the school that fall.

“� at’s how I got the love letters, and then the second book, on Warren Harding,” Robenalt said. “And that’s how I started my relationship with John Dean.”

� e program drew presidential de-scendants and biographers, includ-ing a great-nephew of Harding, and Dean, who had written a biography

of Harding. Dean, of course, is better known as White House counsel during the Nixon-Watergate scandal.

At that time, Robenalt asked the chief archivist at the Western Reserve Historical Society if the library there had anything of interest on Harding and was told about micro� lmed copies of love letters written by Harding to a Marion neighbor, a married woman named Carrie Phillips. � e two carried on an a� air for 15 years before Harding was elected president in 1920.

� ose letters were background material for Robenalt’s next book, “� e Harding A� air: Love and Espio-nage During the Great War.”

Meeting Dean led Robenalt to his

third career — lecturing to lawyers about ethics. � e two men decided to put together a legal continuing educa-tion course about the legal ethics learned from the Watergate experience.

“So the next thing I know, he’s sending me all the tapes to listen to and sending me all the transcripts to read, and six months later we did our � rst program in Chicago in 2011,” Ro-benalt said. “It was so well-received that as I sit here, we’ve done about 125 of them nationally. People just started calling us regularly.”

� ose Watergate documents led Robenalt to write “January 1973,” which was released in 2015. It exam-ines the 31-day span during which the

trial of the Watergate burglars began, the Vietnam war ended and Richard Nixon was sworn in for his second term. On one day that month, Jan. 22, former president Lyndon Johnson died, and the U.S. Supreme Court an-nounced its decision in Roe v. Wade, the decision that legalized abortion.

As for Trump, Robenalt sees in the president-elect traits that led to some of Nixon’s blunders. “Nixon and Trump, I de� nitely see a lot of resemblances in their personalities and approaches to things,” he said. “If you think about Trump, his primary years of political maturation would have been during the Nixon era. So I think it had a huge im-print on him, what he saw Nixon doing.”

ROBENALT CONTINUED FROM PAGE 1

PAG E 22 | N OV E MB ER 28 - D ECE MB ER 4, 2016 | CR AIN ’S CLE VEL AND BUSINESS

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LAST CALL

ADCLOSE

DECEMBE

R

1

“We’re a big lab. Last year, we did $3 billion worth of work,” Valley said.

Sandia is physically big as well. Its labs occupy 700 buildings and near-ly 13,000 acres in and around Albu-querque, N.M. Plus it has smaller facilities in California and Hawaii, and a 179,000-acre test range in Ne-vada.

Sandia’s size and the broad scope of its work mean it has many oppor-tunities to use the University of Ak-ron’s expertise as it seeks to develop new materials, Valley said.

He hopes new polymers can be used in energy-related products and to develop things like new ma-terials for advanced 3-D printers that can make tiny sensors and oth-er devices virtually one molecule at a time.

Sandia has the science, but it needs new materials to employ what it has learned, Valley said.

“One of the areas we identi�ed as a gap was polymers and polymer sci-ence,” he said.

“We had no one, and we had no ongoing relationships with anyone in academia. We pretty quickly dis-covered that the University of Akron was the premier school for polymer science. Polymer science is particu-larly important … we use polymers

in so many of our mission applica-tions.”

That includes things like materi-als used in power plants and nucle-ar devices, but also things more ap-plicable to industry and everyday lives, such as medical devices, Val-ley said.

‘Ink’ for 3-D printers

One of the areas in which Sandia hopes UA can make a major contri-bution is in the �eld of advanced, mi-cro 3-D printing. Sandia works with the most advanced 3-D printers in the world.

“We’ve now evolved to the point that we do manufacturing on an atomic scale,” Valley said.

Sandia knows how to make things like tiny sensors, which could be em-ployed in fuel cells or other energy applications, or tiny devices that could be inserted into the human body, where they could more e�ec-tively deliver drugs directly into the patient’s blood.

Sandia has the printers, what it needs now is the ink, or the materials that can perform as designed and survive in harsh environments, or not poison their human hosts. Valley and others at the lab think polymers can solve those problems.

“�at’s a big area we’re looking to team with the University of Akron on ... to develop ink for that magic pen. And then it will do things we can’t even imagine now,” Valley said.

If Sandia is right, then it and UA will produce new materials and in-ventions and sell or license that tech-nology in the private sector. Ulti-mately, it could mean a host of new products used in health care and en-ergy production and management. It also could lead to sensors that moni-tor the nation’s infrastructure — or even sensors used in cars, fuel cells and other products.

If they’re successful, both Sandia and the university will share in the proceeds gained from commercializ-ing new technologies, as spelled out in their Sept. 19 master research agreement.

UA eager to collaborate

If anyone is more excited about the partnership than Valley and his San-dia coworkers, it might be Dr. Eric Amis, vice provost of research and dean of the College of Polymer Sci-ence and Polymer Engineering.

“(Sandia) played an important role in the Manhattan Project and all that, and their mission in terms of nuclear security and stockpile stewardship is core to Sandia, but the number of

other things they do is amazing,” Amis said. “�ey view themselves as the nation’s engineering lab. On any-thing that they put their mind to do-ing, I would not want to compete with them. I’d prefer to collaborate.”

Amis shares Sandia’s enthusiasm because he said polymers are ideally suited to many of the applications the lab targets. Polymers can outperform ceramics, metals and other materials in many respects, such as withstand-ing temperature changes and expo-sure to chemicals, or not reacting to other materials around them, de-pending on how they’re engineered.

“With polymers, you can go all the way from something that behaves like a hard plastic pipe to thin �exible �lms — and it’s the same polymer,” Amis said.

In addition to working on new ma-terials for micro 3-D printing, Amis also is excited to work with Sandia on new “continuous roll” manufactur-ing methods. �at could mean that things like solar panels, which are now produced one at a time, could be produced in continuous process-es and even rolled up, the way that plastic �lms or other materials are.

Amis already has been to Sandia to present an overview of his universi-ty’s work in polymer science, and sci-entists will be going back and forth between the school and Sandia in the future, Valley said.

Amis said he’s been impressed with the breadth of work in which Sandia is involved. He’s also looking forward to getting from the lab some-thing he always looks for in relation-ships with other researchers or in-dustries — application challenges.

Academic researchers often know more than anyone about their �elds of expertise, but they need others to present to them speci�c applications for their science, Amis said.

Now he and other researchers at the University of Akron will have such challenges.

“In my mind, we get to do the fun stu� now,” Amis said.

AKRONCONTINUED FROM PAGE 1

This tiny example of 3-D microprinting was done at Sandia National Laboratories. Each piece is about 200 micrometers in length — about twice the width of a human hair. Sandia scientists hope they can develop new materials for their printers with help from researchers at the University of Akron. (Contributed photo)

CR AIN ’S CLE VEL AND BUSINESS | N OV E MB ER 28 - D ECE MB ER 4, 2016 | PAG E 23

The List LARGEST BANKS IN NORTHEAST OHIORanked by Local Deposits

NORTHEAST OHIODEPOSITS (MILLIONS)

THISYEAR

NAMEADDRESSPHONE/WEBSITE 6-30-2016 6-30-2015 % CHANGE

OFFICES INNE OHIO

EMPLOYEES(COMPANYWIDE)6-30-2016 HOLDING COMPANY TOP LOCAL EXECUTIVE

1KeyBank NA127 Public Square, Cleveland 44114(216) 689-3000/www.keybank.com

$17,478.4 (1) $20,262.6 (1) -13.7% (1) 122 14,340 KeyCorpCleveland

Beth E. Mooneychair, CEO

2PNC Bank1900 E. Ninth St., Cleveland 44114(888) 762-2265/www.pnc.com

$12,617.7 $11,249.2 12.2% 136 51,345 PNC Financial Services Group Inc.Pittsburgh

Paul Clarkregional president

3FirstMerit Bank (2)106 S. Main St., Akron 44308(888) 384-6388/www.firstmerit.com

$10,807.4 $9,866.5 9.5% 119 3,844 Huntington Bancshares Inc.Columbus

NA

4Huntington National Bank (2)200 Public Square, Cleveland 44114(800) 480-2265/www.huntington.com

$9,771.7 $9,480.6 3.1% 118 11,656 Huntington Bancshares Inc.Columbus

Sean P. Richardsonpresident for Huntington Bank inCleveland

5Citizens Bank1215 Superior Ave., Cleveland 44114(216) 566-5300/www.citizensbank.com

$9,006.2 (3) $7,095.3 26.9% (3) 92 14,772 Citizens Financial Group Inc.Providence, R.I.

Joseph D. DiRoccopresident, Citizens Bank Ohio

6JPMorgan Chase & Co.1300 E. Ninth St., Cleveland 44114(800) 935-9935/www.chase.com

$7,377.6 $6,909.6 6.8% 92 183,490 JPMorgan Chase & Co.New York

James M. Malzhead of commercial banking,Ohio

7Fifth Third Bank600 Superior Ave. E, Cleveland 44114(216) 274-5307/www.53.com

$4,915.1 $4,860.0 1.1% 81 17,906 Fifth Third BancorpCincinnati

Jerry Kelsheimerregional president and CEO,Northeastern Ohio

8U.S. Bank1350 Euclid Ave., Cleveland 44115(216) 623-9300/www.usbank.com

$2,559.9 $2,652.8 -3.5% 83 66,354 U.S. BancorpMinneapolis

Alan Zangpresident, Northeast Ohio market

9Talmer Bank and Trust (now Chemical Bank) (4)23240 Chagrin Blvd., Suite 600, Cleveland 44122(800) 867-9757/www.ChemicalBank.com

$1,223.4 $1,095.6 11.7% 25 1,281 Chemical Financial Corp.Midland, Mich.

James R. Lynch Jr.regional president, NortheastOhio

10The Farmers National Bank of Canfield20 S. Broad St., Canfield 44406(888) 988-3276/www.farmersbankgroup.com

$1,204.9 $1,172.0 2.8% 31 396 Farmers National Banc Corp.Canfield

Kevin Helmickpresident, CEO

11First National Bank of Pennsylvania55 Public Square, Cleveland 16125(800) 555-5455/www.fnb-online.com

$1,071.5 $1,025.2 4.5% 27 396 F.N.B. Corp.Pittsburgh, Pa.

Boyd K. Pethelregional president, Cleveland

12Civista Bank100 E. Water St., Sandusky 44870(419) 625-4121/www.civistabank.com

$689.9 $648.9 6.3% 12 333 Civista Bancshares Inc.Sandusky

James O. Millerchairman, CEO

13Middlefield Banking Co. (5)15985 E. High St., Middlefield 44062(440) 632-1666/www.middlefieldbank.com

$575.1 $566.5 1.5% 8 141 Middlefield Banc Corp.Middlefield

Thomas G. Caldwellpresident, CEO

14Cortland Savings and Banking Co.194 W. Main St., Cortland 44410(330) 637-8040/www.cortlandbank.com

$489.1 $438.4 11.6% 13 164 Cortland BancorpCortland

James M. Gasiorpresident, CEO

15Andover Bank600 E. Main St., Andover 44003(440) 293-7605/www.andoverbankohio.com

$270.9 $279.3 -3.0% 8 92 Andover Bancorp Inc.Andover

Martin R. Colechairman, CEO

16Portage Community Bank1311 E. Main St., Ravenna 44266(330) 296-8090/www.pcbbank.com

$245.2 $238.2 2.9% 2 56 Portage Bancshares Inc.Ravenna

Richard J. CoeCEO

17Premier Bank and Trust (6)6141 Whipple Ave. NW, North Canton 44720(330) 497-7201/www.mypremierbankandtrust.com

$225.3 $209.1 7.8% 3 73 Ohio Legacy Corp.North Canton

Rick L. Hullpresident, CEO

18Farmers Savings Bank111 W. Main St., Spencer 44275(330) 648-2441/www.fsb-spencer.com

$208.8 $211.3 -1.2% 2 29 None Thomas W. Leepresident, CEO

19Peoples Bank NA24400 Chagrin Blvd., Suite 100, Beachwood 44122(216) 910-0550/www.peoplesbancorp.com

$200.0 $203.1 -1.5% 5 803 Peoples Bancorp Inc.Marietta

Cindy Crottyexecutive vice president;regional president, NortheastOhio market

20Consumers National Bank614 E. Lincoln Way, Minerva 44657(330) 868-7701/www.consumersbank.com

$192.5 $176.0 9.4% 7 122 Consumers Bancorp Inc.Minerva

Ralph J. Lober IIpresident, CEO

21Liberty Bank NA (5)25201 Chagrin Blvd, Suite 120, Beachwood 44122(216) 359-5500/www.libertybankna.com

$189.9 $181.3 4.8% 3 39 None William A. Valerianchairman, president, CEO

22Independence Bank4401 Rockside Road, Independence 44131(216) 447-1444/www.theindebank.com

$165.2 $147.8 11.8% 1 23 Independence BanccorpIndependence

Christopher MackCEO

23Sutton Bank1 S. Main St., Attica 44807(419) 426-3641/www.suttonbank.com

$149.0 $143.0 4.2% 4 87 Sutton Bancshares Inc.Attica

Eric A. Gillettvice chairman, CEO

24Lake National Bank (now ERIEBANK) (7)7402 Center St., Mentor 44060(440) 205-8100/www.eriebank.bank

$139.7 $132.6 5.3% 2 28 CNB Financial Corp.Clearfield, Pa.

Andrew L. Meinholdsenior vice president, areamanager

25Buckeye Community Bank105 Sheffield Center, Lorain 44055(440) 233-8800/www.buckeyebank.com

$136.5 $135.0 1.1% 1 30 Buckeye Bancshares Inc.Lorain

Bruce E. Stevenspresident, CEO

26The First National Bank of Bellevue120 North St., Bellevue 44811(419) 483-7340/www.fnblifetime.com

$123.8 $115.9 6.8% 2 51 First Bancshares Inc.Bellevue

Dean J. Millerpresident, CEO

RESEARCHED BY CHUCK SODER

The full length version of this list includes 34 banks and is available for purchase at crainscleveland.com/section/data_lists. All financial data comes from fdic.gov. The list excludes banks registered as savings institutions; a list ofthose banks was published on Nov. 21. Northeast Ohio deposits include deposits in 15 counties: Ashland, Ashtabula, Cuyahoga, Erie, Geauga, Huron, Lake, Lorain, Mahoning, Medina, Portage, Stark, Summit, Trumbull and Wayne.Crain's does not independently verify the information and there is no guarantee these listings are complete or accurate. We welcome all responses to our lists and will include omitted information or clarifications in coming issues.(1) Key says local deposits actually grew in 2016 because the 2015 number reported to the FDIC was too high. The company says the number was later restated "to address large fluctuations ... caused by the intra-companymovement of public sector deposits." (2) Huntington National Bank acquired FirstMerit on Aug. 16, 2016. (3) Citizens attributes this increase to strong organic growth since being sold by The Royal Bank of Scotland. (4) Talmermerged with Chemical Bank on Nov. 10. (5) Middlefield Banking Co. and Liberty Bank are scheduled to merge during the first quarter of 2017. (6) Premier and Ohio Legacy Corp. are scheduled to be acquired by Youngstown-basedUnited Community Financial Corp. on Jan. 31, 2017. (7) Lake National was acquired by CNB Financial Corp. on July 15, 2016.

Source LunchPaul Clark discusses banking, a revived city and more. Page 20

The ListNortheast Ohio’s biggest banks. Page 23

Business of Life

On your mark, get set, go-kart — the next big team builder. Page 19

VOL. 37, NO. 48 NOVEMBER 28 - DECEMBER 4, 2016

CLEVELAND BUSINESS

AKRON EDITION

Entire contents © 2016 by Crain Communications Inc.

Crain’s General & In-house CounselMeet them on Pages 13-18

� ere’s another new private equity � rm taking root in Cleveland, but it’s the � rm’s focus on diversity in its in-vestment strategy that seems to be setting it apart in a crowded and growing industry.

� e Inkwell Group launched earli-er this month with base o� ces in Cleveland and Washington, D.C. Co-founders Marques Martin, 33, and Chijioke Asomugha, 36, will be looking nationwide for deals, but fo-cusing predominantly on lower mid-dle market manufacturing and ser-vice companies with up to $10 million in annual EBITDA (earnings before interest, taxes, depreciation and amortization).

Besides having strong ties to the Cleveland investment market — Aso-mugha was formerly an executive vice president who oversaw mergers and acquisitions at Solon-based manufacturer ERICO International Corp. and a principal investor at Cy-prium Partners, while Martin’s ré-sumé includes overseeing KeyBank’s small business team and serving as a principal at � e Riverside Co. in its micro-cap fund — a presence here underscores the opportunity they see for � nding deals in Northeast Ohio and the greater Midwest.

� e challenge, of course, will be � nding the best companies � ying un-der competitors’ radar, particularly as fundraising in the private equity space has been so strong.

� at’s resulting in a buildup of dry powder as more dollars chase fewer deals, Martin acknowledges, creating the seller’s market that’s prevailing today as business valuations grow.

� e University of Akron has a huge new partner with big plans for what it views as the nation’s top school for polymer science research and tech-nology.

Together, the university and Sand-ia National Labo-ratories hope to make large strides in apply-ing new material science to ad-vanced manufac-turing, transfer-ring new technology to in-dustry and � nd-ing new ways to make some of the smallest things mankind has ever created.

Sandia, the university’s new part-ner thanks to a September agree-ment to coordinate on research and share in the bene� ts, might not be a household name, but it is a big deal on the nation’s tech scene and one of the U.S. Department of Energy’s ma-jor facilities.

� e lab’s work, largely funded by the DOE, is broad-based. Sandia is a chief source of research and develop-ment for systems that control, man-age and monitor nuclear weapons. It also works on technology for large energy projects and does a lot of sci-ence and development in areas such as microscopic 3-D printing. If you need a giant solar array, a supercom-puter or the world’s largest X-ray gen-erator, you can � nd them at Sandia.

Between the lab’s direct employ-ees and a few thousand contractors who work there, about 12,000 people work at Sandia, said Mike Valley, the lab’s senior manager for materials science research and development.

FINANCE

Private equity fi rm puts diversity at its core

MANUFACTURING

Akron, lab pair up to bring new polymers

By JEREMY NOBILE

@[email protected]

By DAN SHINGLER

[email protected]@DanShingler

Emulating his great-grandfa-ther, James Robenalt has juggled several careers, which has al-lowed him to learn about several presidents — as well as his great-grandfather.

His great-grandfather, William W. Durbin, was a small-town Ohio lawyer from Kenton in the early 20th century and a behind-the-scenes Democratic activist who played a role in the presiden-tial elections of Woodrow Wilson and Franklin Roosevelt. He also was a magician (a one-time presi-dent of the International Brother-hood of Magicians, no less) who occasionally performed for War-ren Harding, a future president from nearby Marion.

Robenalt also is a lawyer, a partner at � ompson Hine LLP in Cleveland. But he’s not a magi-cian. Instead, he’s a writer who, in part because of his great-grandfa-ther, writes about presidents. So far, he has written about two of them — Harding and Richard Nixon — and he’s working on a book about FDR.

He believes Harding is under-estimated in part because he was unfairly tarnished by scandals that roiled Washington after his sudden death, two-and-a-half years into his term of o� ce in 1923. Nixon, though, who re-signed in 1973 to avoid impeach-ment, is getting a fair shake from history, Robenalt believes, be-cause he obstructed justice with the Watergate coverup.

And Robenalt should know, since he has listened to the fa-mous Watergate tapes.

POLITICS

Lawyer looks back in timeBy JAY MILLER

[email protected]@millerjh

SEE ROBENALT , PAGE 21

James Robenalt’s book, “January 1973,” details a tumultuous month for Richard Nixon.Photographs: National Archive; Jay Miller

Amis

SEE AKRON, PAGE 22SEE INKWELL , PAGE 4

CR AIN ’S CLE VEL AND BUSINESS | N OV E MB ER 28 - D ECE MB ER 4, 2016 | PAG E A-1

AKRON BUSINESS Meet Akron’s honorees Pages A-4-A-6

Tobin BucknerThe reasons for starting

a business might not be what you think Page A-7

�e skills gap is nothing new to those familiar with the U.S. manufac-turing industry — there simply aren’t enough skilled workers to meet the demand.

But Roger Wright, the new director of the Four Cities Compact, a career and technical education program shared by four Greater Akron school districts, thinks he’s got the programs in place to make a di�erence.

First, like many manufacturing employers, he has to help today’s stu-dents and parents overcome outdat-ed perceptions.

“It used to be that these types of programs were only for high school students who weren’t planning on going to college, but that has changed,” Wright said.

Many of the students in the Four Cities Compact, which is operated by the Barberton, Norton, Wadsworth and Copley school districts, go on to four-year colleges after graduation. For those who prefer to enter the workforce right away, good-paying jobs are readily available and can help pay for college if students de-cide to go that route later, Wright said.

Wright also sees another bene�t to participating in career and technical education programs — some stu-dents come away knowing a certain �eld isn’t for them after all.

“College is never bad, but be sure what you want to study and make sure there are jobs in your �eld of in-terest,” he said.

Wright came to the compact after nearly 30 years in local education as a teacher, coach and administrator in the Wadsworth district. He most re-cently spent two years as associate principal at Wadsworth High School. Seeing �rst-hand the high-tech class-es o�ered there through the compact piqued his interest.

“I was impressed with the high cal-iber of the programs, in engineering, in design and in robotics, as well the students who were participating in them,” he said. “We still o�er the tra-ditional programs that primarily lead directly to employment, but we have a whole other group of kids who will go on to pursue four-year degrees and beyond. Many of our programs also o�er college credit, so the stu-dents graduate with that under their belt already.”

Each of the four high schools houses several compact programs, and the 700 students who participate typically spend about half a day in

their program and half at their own high school for core curriculum classes.

A PRIME partnership

A key to the Four Cities Compact’s strategy in preparing students is the partnerships that it has formed, Wright said. �e compact’s engineer-ing, design programming and robot-ics programs received a major boost two years ago when SME (formerly the Society of Manufacturing Engi-neers) selected them for its Partner-ship Response in Manufacturing Ed-ucation (PRIME) program.

Motivated by the fact that there will be 2 million un�lled manufac-turing jobs in the U.S. by 2025, SME works with Fortune 500 companies to develop workforce solutions spe-ci�c to their communities. It chose the Four Cities Compact to help Ar-conic (formerly Alcoa) close the gap it faced in �lling high-tech jobs in its Barberton facility, said Josh Cramer, senior educational programs o�cer with the SME Educational Founda-tion.

“When we had our initial discus-sion with Alcoa/Arconic, we looked across the Unites States at where they had the hardest time trying to fill their positions,” Cram-er said. “We asked them, ‘What do you need today? What do you need five years from now in the skilled labor pool?’

“After they told us that the Barber-ton facility had a lot of growth poten-tial but had trouble �nding skilled workers, that became the pinpoint on the map. And we went looking for a school in the area with which to form a partnership.”

PRIME donated more than $250,000 in high-tech equipment to Four Cities last year, along with the resources to train teachers to use them. �e equipment includes 3-D printers, a programmable plasma cutter, a computerized numerical control engraver and a robotic arm. All of this equipment is similar or identical to that used in Arconic fac-tories and elsewhere so that students arrive prepared on their �rst day on the job.

Arconic’s local workforce demands spurunique high-tech training partnershipBy BETH THOMAS HERTZ

[email protected]

SME’s Partnership Response in Manufacturing Education (PRIME) program supplied high-tech manufacturing equipment to the Four Cities Compact, which is operated by the Barberton, Norton, Wadsworth and Copley school districts. (Contributed photo)

SME’s PRIME program reached out to Four Cities Compact to help Arconic fill demand for workers at its Barberton facility. SEE PRIME, PAGE A-8

Forty Under 40

PAG E A-2 | N OV E MB ER 28 - D ECE MB ER 4, 2016 | CR AIN ’S CLE VEL AND BUSINESS

AKRON

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Northeast Ohio is home to some of the nation’s most respected ad men and women. Yet when Ned Parks was ready to rebrand his 15-year-old con-sulting �rm last year, he tapped an-other rich local resource — market-ing students.

For �ve months in early 2015, four teams of students in Kent State Uni-versity professor Don �acker’s se-nior marketing class grilled Parks about his business, pored over the �-

nancials, inter-viewed clients and employees, and reviewed in-dustry reports and projections to formulate group proposals on how to reposi-tion the Fair-lawn-based com-

pany in the minds of its partners, customers and prospective clients. Each group presented ideas to Park and eight assembled “trusted advis-ers” in May.

In the end, New Directions Learn-ing and Development became Aegis 360 Consulting. According to my-thology, “aegis” is the Greek name of a shield that Zeus and Athena used to protect themselves and others.

“�e shield wrapped all around them,” Parks said, “and I think that embodies who we are because we want to take comprehensive ap-proach and work with clients to set them up for success.”

�e decision to take the Aegis 360 project was an easy one, according to �acker. His classes have worked with a variety of companies over the

years as a way for students to apply classroom learning to real-life busi-ness challenges. Before agreeing to work with a business, however, he ensures owners and management are prepared to embrace change.

“Ned seemed very open-minded, de�nitely looking for growth oppor-tunities.” �acker said.

Much of that growth, Parks said, was already underway. �e former Army helicopter instructor pilot, business owner and manufacturing executive started New Directions Learning and Development in 2000 to capitalize on a decade of experi-

Students school Fairlawn consulting firmKent State University marketing class steers business to new branding, restructured focusBy JUDY STRINGER

[email protected]

ence in training employees. In 2012, the �rm, which consists of Parks and six part-time associates, began taking on some “more traditional” business consulting and coaching roles pri-marily for small, privately held com-panies.

Soon its name and image in the marketplace — as exclusively a pro-vider of employee training and sta� development services — was no lon-ger an accurate re�ection of where his company was or where it was go-ing.

“We really needed a fresh look,” Parks said.

Building better businesses

�acker said the biggest challenge for the students was understanding “truly what a consulting �rm does, especially on the executive business side.

“�ey really had to wrap their heads around what is important to the client, but more speci�cally what you need to tell prospective clients about the kind of expertise you actu-ally bring to their business. It’s not something they see �rsthand.”

�e biggest challenge for Parks was being available to four separate groups of students, which could not consult with one another.

“I would get asked the same ques-tion four times,” he chuckled. “Still, there were a lot of other questions some of the groups would ask and others wouldn’t. … We got four inde-pendent reports and suggestions thrown back at us.”

Parks connected with one group’s color suggestion — blue and orange. His wife later pointed out that they are the colors of the Army’s aviation branch. Another group’s name sug-gestion of Aegis 360 Consulting was an “immediate hit” with him and the adviser board, he said, with one friend telling him to secure the Twit-ter handle before the group was done presenting.

�e student groups also had sug-gestions about what product lines were performing best and those the company might consider ratcheting down to focus on more productive business opportunities.

“�ey went beyond the branding,” Parks said. “�ey looked at the whole business and products lines and ser-vice areas. We took some of that ad-vice and used it to restructure some of the focus of what we do.”

�acker said in recent years his classes have taken on the merchan-dising challenges of Minerva-based Journey to Botanicals, written a white paper for Green-based Diebold Inc. and conducted market research for a credit card program of GE Capital and American Eagle Out�tters — all at no cost to the businesses.

“I kind of look at this as our form of economic development,” �acker said. “We are helping businesses to get better.”

Aegis 360 o�cially launched its refreshed brand in January, com-plete with a new logo and website. Parks said the reaction has been positive.

“Everybody wants to know what it is, where the name came from,” he said. “It is unique and causes people to ask further questions. It has done everything from a branding perspec-tive that you would want a new brand to do.”

Parks

CR AIN ’S CLE VEL AND BUSINESS | N OV E MB ER 28 - D ECE MB ER 4, 2016 | PAG E A-3

GREAT THINGS HAPPEN WHEN WE LIVE UNITED!

United Way of Summit County | 330.762.7601 | uwsummit.org

Join us to collect & distribute healthy snacks for kids to eat on their winter break.

For students across the country, the holidays are a time for rest, fun and celebration. Yet many children in Summit County whose families struggle to afford food will come home to empty cupboards. United Way’s Holiday Snack Packs Food Drive gives Akron Public School students nutritious snacks to enjoy over their winter break, so that they can spend their holidays being happy and healthy instead of hungry.

COLLECT SNACKS - THROUGH DECEMBER 12SORT-A-THON - DECEMBER 14 | DISTRIBUTION DAY - DECEMBER 21

GET YOUR ORGANIZATION INVOLVED AT

UWSUMMIT.ORG/SNACKS

United Way of Summit County

WHAT THIS PLACE NEEDS IS HEALTHY FOOD FOR EVERYONE.WHAT THIS PLACE NEEDS IS

HEALTHY FOOD FOR EVERYONE.

Oil and gas drilling is still moving at a fairly slow pace in Ohio, but edu-cating workers for the industry is moving forward at North Canton’s Stark State College, which continues to expand its ShaleNet Share project.

�at’s because both the school and its industry partners expect the sec-tor to come back in Ohio, and they want students to be ready for jobs at re�neries and gas processing centers — or in industries that use similar process-control technologies being taught at Stark State.

“All of our students have quickly found jobs so far,” said Dan Sch-weitzer, regional hub coordinator for Stark State’s ShaleNet program.

�e school has graduated 46 stu-dents from the �rst two classes of its two-year program, which began in 2013. In 2014, the school opened a wellhead training center. �at facili-ty, built with $3.7 million in state grants and industry funding, pro-vides students with real-world equip-ment on which to learn, Schweitzer said.

�e school announced in October that it had received new funding from Chevron Corp. and a new edu-cational partner in St. Clairs-ville-based Belmont College.

Chevron is giving the school $215,000 in additional funding, and the Ohio Education Innovation Pro-gram has awarded the school anoth-er grant of just over $500,000. Chev-ron also has been paying for student scholarships since the program be-gan as part of a $20 million company initiative to train new energy sector

workers in Ohio, Pennsylvania and West Virginia.

Belmont joins Eastern Gateway Community College in Steubenville and Nelsonville’s Hocking College as part of a network of schools that will all use the Stark State training site, said Stark State president Para Jones.

�e school also is expanding its curriculum with regard to the ShaleNet program. It already pro-vides coursework in petroleum pro-duction, pipeline operation, process operations, and instrumentations and electronics. It’s adding programs for industrial measurement and mechatronics, which is the combina-tion of electrical and mechanical sys-tems, Jones said.

�at’s a response to what partners

ShaleNet program not seeing slowdownBy DAN SHINGLER

[email protected]@DanShingler

like Chevron have asked for. “�ey want to fund shale commu-

nities in Pennsylvania, West Virginia and Ohio, and their philosophy is to leave the community stronger than when they found it,” Jones said. “So what they really love is the fact that the people we’re training also have the ability to work in other industries.”

In fact, Schweitzer said Chevron told him it’s more concerned about getting people trained for its industry partners than it is with supplying its own workforce.

“Chevron has said from Day One, ‘It’s unlikely we’re going to hire these students. But we employ tens of thousands of people who work with service contractors, and that’s where we envision some of these students working,’ ” Schweitzer said.

Chevron echoed those sentiments. “By partnering with community

colleges like Stark State, Chevron is helping to prepare residents of the region for jobs in the tri-state area's growing energy and advanced manu-facturing economy,” said Chevron spokeswoman Laurie Serwinski.

Chevron, like some other compa-nies in the oil and gas industry, isn’t looking for crews to man its own

drilling rigs, Schweitzer said. But it very much wants to know that the oil-�eld service companies and other suppliers it uses will be manned and ready.

It also wants the region to have plenty of process-operations workers to man the new ethane crackers that are expected to be built in the region. Further downstream, companies that take the crackers’ polyethylene and turn it into plastics also will need similarly skilled workers, he said.

However, with activity still slow in many of the areas of eastern Ohio, Stark State’s oil and gas program is not full.

“We can handle about 300 stu-dents right now; we have about 80,” Schweitzer said.

Jones said she’s not worried about enrollment so far. �e industry con-tinues to support the school with scholarships, she said. Almost every student gets some help and many get a full-ride from ShaleNet sponsors like Chevron, Marathon Petroleum Corp. or Anadarko Petroleum Corp., Schweitzer said.

Jones also thinks the expanded coursework into electro-mechanical systems, which will prepare students

to work in a variety of industries, will help attract people.

“�e people who complete this program are technicians who can work with other types of industrial processing,” Jones said.

Finally, she said, oil and gas is a cy-clical industry — something Stark State knew when it got involved with it. She said she’s pleased that the pro-gram has grown to include about 40 students per year (up from about 20 per year in its �rst two years) even during a downtime for the industry.

“We’re growing the program,” Jones said. “It’s demand driven. �ey’re not �ooding in when the jobs aren’t here.”

Schweitzer and Jones think some-thing else will help as well — the fact that all of the ShaleNet program’s graduates have gotten jobs, many of them with companies outside of the oil and gas industry. �ose jobs typi-cally pay about $40,000 a year to start and about $60,000 to $70,000 per year after new employees complete an initial probation period.

“Even with the lull, all of our grad-uates are employed,” Schweitzer said. “And they’re getting jobs that are hard to get into.”

Stark State instructor Fred Albrecht shows ShaleNet stu-dents around some of the school’s oil and gas equipment at its North Canton campus. (Dan Shingler)

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Cardinal-Roofing_Crains-Ad_Final.indd 1 11/16/16 9:18 AM

Forty Under 40: the Akron-area connections

Northeast Ohio is on the rise, and members of Crain’s 2016 Forty Under 40 Class are doing much of the heavy lifting. They are innovators, entrepreneurs, educators and public ser-vants. While their backgrounds and expertise di�er, they share one common trait: a commitment to this region. The Akron area is represented by four of these driven people: Michael J. Beder, serial entrepreneur; Nancy Berardinelli-Krantz, senior legal counsel, The Goodyear Tire & Rubber Co.; Christopher Fair-cloth, Akron lending manager, ECDI; and Ethan McPeake, own-er, president, New Era Benefits Consulting. On pages A-5 and A-6, we take a look at the accomplishments of these individuals. To check out more in-depth information on the entire Forty Un-der 40 class, visit CrainsCleveland.com.

The remainder of the 2016 Forty Under 40 Class Nicholas Alexander, account vice president, wealth adviser, UBS Financial ServicesRenjun Bao, business development manager and senior sports writer, TencentBrian F. Barnes, director of African-American strategic initiatives, Ohio Republican PartyChris Bellamy, president, investment industry services, Cohen & Co.Kathryn Bryan, �nancial planner, Skylight Financial GroupLuis Cabrera, application systems analyst, Forest City EnterprisesCarly Cahlik, president, Ohio High ReachPriyanka Chaudhry, tax partner, Ernst & Young LLPGabrielle Christman, president, Hunter International RecruitingMichael Christo�, project architect, VoconJoseph Connolly, aerospace engineer, NASA Glenn Research CenterJade Davis, vice president, external a�airs, Port of ClevelandDavid Ebersole, assistant director, department of economic development, city of ClevelandJason Estremera, director of business services, Hispanic Business CenterShibani Faehnle, initiative development manager, KeyBankSarah Flannery, partner, �ompson Hine LLPTrevor Gile, general manager, Motorcars HondaGregory C. Hutchings Jr., superintendent of schools, Shaker Heights SchoolsJessica Jung, senior vice president; director, property and casualty, Oswald Cos.Ethan Karp, CEO, MAGNETJohn Litten, executive director, Society of St. Vincent de Paul; councilman, city of LakewoodLyvian Loh, marketing analyst, Spang & Co.Ann McCarthy-Garland, credit executive, PNC Financial Services GroupAllison M. McMeechan, co-chair, elder and special needs planning group, Reminger Co. LPADominique Moceanu, founder, owner, designer, Creations by C&CAndrew Pacyna, deputy medical center director, Louis Stokes Cleveland VA Medical CenterMark Panzica, executive vice president, Panzica ConstructionBrent M. Pietrafese, partner, Calfee, Halter & Griswold LLPStephanie Pope, probation o�cer, city of Cleveland; commissioner, Cuyahoga Metropolitan Housing AuthorityMatthew J. Previts, account executive, LogicalisAmanda T. Quan, associate attorney, Ogletree, Deakins, Nash, Smoak & Stewart P.C.Jasmin Santana Fernández, community engagement coordinator, Hispanic Alliance Inc.Dr. Jennifer Sweet, neurosurgeon; assistant professor of neurosurgery and psychiatry, UH Cleveland Medical Center;

Case Western Reserve UniversityValissa Turner Howard, deputy inspector general, Cuyahoga CountyKatie Watts, vice president, Colliers InternationalHayley B. Williams, attorney, Taft, Stettinius & Hollister LLP

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Michael J. Beder, 39 Nancy Berardinelli-Krantz, 39Serial entrepreneur, Water Street Tavern, Tree City Co�ee & Pastry, The Venice Café, Taproot Catering, Franklin Hotel Bar

Senior legal counsel, The Goodyear Tire & Rubber Co.

Carving out a niche in the bar and restaurant scene in any city is no easy task. But with the right connections, plenty of hard work, lots of support and a bit of luck, Michael J. Beder, a Connecticut native who never really dreamed of starting his own busi-ness, has become one of Kent’s most successful entrepreneurs and a veri-table institution in the college town.

“I was always the kid with the lemonade stand,” Beder said. “Even though I didn’t really know it neces-sarily, I think I always had the entre-preneurial spirit.” — Jeremy Nobile

You started with one small college bar and now operate a series of businesses in Kent with more on the way. What’s been a key to your success?

I think I just know the Kent com-munity pretty well. �ere are a lot of resources here and I have a good network here, so when I think about how I’ve grown, it’s basically about identifying niches for an under-served audience or starting some-thing that doesn’t exist already that I think people would like. I feel con�-dent about what I’m doing, and my biggest comfort zone is Kent. But �nd those niches. I think that’s ad-vice I could apply anywhere.

What’s been the most satisfying part of being an entrepreneur?

I think building something that

didn’t exist before that you get to see people take to and enjoy, and then that becomes ingrained in the community. �at’s the most enjoy-able thing to me. To see something come together that you thought up, and then see that it’s something people really want or seem to need, that’s all very rewarding.

If all these businesses hadn’t panned out as they have, what do you think you’d be doing?

�at’s hard because I’ve never known anything di�erent in my adult life. But I do manage my friend Mike Polk Jr., the comedian. I’ve al-ways enjoyed that. And he’s given me a lot of opportunities to do and see things I otherwise wouldn’t. So I’d probably do something in talent management — or maybe produc-tion in television or music.

Nancy Berardinelli-Krantz has a serious legal resume that any sea-soned lawyer would be proud of — let alone someone who might not yet be at the peak of her career. For the past year, she’s been a se-nior legal counsel at Goodyear, and before that she was an in-house counsel at Eaton Corp.

Today, she handles commercial law, regulatory matters and other legal issues that confront Good-year across North America.

Oh, and before entering the ci-vilian legal profession, Krantz was in another tough job: She was an Army judge advocate in military courts. — Dan Shingler

Do you come from a long line of lawyers?

No, I’m the �rst one in my fami-ly. I’m also former military, so I’m also the �rst person to go into any branch of the service.

Did you always want to be an attorney?

I didn’t always want to be a law-yer. I really wanted to design clothes for a very long time. �en my parents kind of looked at me like I had three heads and said, ‘You’ll never make a living doing this. Why don’t you look for a real job?’

You were in Iraq in 2005 and

2006, at the height of U.S. fighting there. What was that like and what did you do there?

It was not nice. I de�nitely would not want to go back there again. I was in the Trial Defense Service, and we defended soldiers who got in trouble for all sorts of crimes.

Are you happy now in a corporate setting at Goodyear?

Yes. I wanted something more consumer-facing. �at was a pri-mary reason I came to Goodyear. I’ve always wanted to work for a big consumer brand that had retail outlets, and it’s a brand that every-one can identify with.

And it’s so neat and cool to see the Goodyear blimp on televi-sion.

Five things Five thingsLast concert: Paul McCartney in Cleveland

Top bands or artists: Bruce Springsteen, Jason Isbell, Sturgill Simpson, Paul Simon

Entrepreneur he looks up to: Pickwick & Frolic’s Nick Kostis

Favorite show: ‘Breaking Bad’

Breweries of choice: Samuel Adams, Harpoon Brewery and Platform Beer Co.

Favorite restaurant: Joe’s Deli, Rocky River

Favorite spots: West Side Market and Cuyahoga Valley National Park

Favorite artist: Patty Gri�n

Favorite memory: Spending the summer in Italy with her grandma.

Favorite book: ‘A Thou-sand Splendid Suns’ by Khaled Hosseini

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Sometimes, you have a plan. Sometimes, you just �nd yourself do-ing what you love and are good at naturally. Ethan McPeake took the latter path both into the insurance and bene�ts industry, and into entre-preneurialism. He's got no regrets, though. McPeake admits he got into the insurance business largely by ac-cident. But today, the Akron native and current Bath resident says he not only loves what he does, but loves that he gets to serve others who are often engaged in running important nonpro�ts in and around the Rubber City. — Dan Shingler

So, you’re a benefits consultant. Was that something you planned?

No. When I got out of college, I sort of stumbled into becoming an insurance broker. �at was vastly di�erent from what my parents did.

�ere were a lot of nights staring at the ceiling and saying ,‘What am I really doing for people?’ Now, I have a lot of clients working to help people, and I help them. I like to think I’m indirectly helping them to serve the people that they help.

You’re also an entrepreneur. How did that come about?

I was let go from CPI-HR. People tell me, ‘You’re such an entrepre-neur,’ but I don’t really feel that way. My back was against the wall.

But, now, I don’t ever want to work for anyone else.

What was the key to your business’ success?

Having done this for 15 years, I know a lot of people and companies. �at makes it easier than if you were starting out fresh. But I had to go backwards at �rst. You go from a cer-tain income to earning zero, initially.

You founded your business in 2013, and there’s been a lot happening with regards to benefits. How was your timing?

Right now, people need a ton of help, so services are needed. And there’s a lot of uncertainty right now. I think services are needed more than ever — along with trust-ed relationships that people can turn to.

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Ethan McPeake, 38Owner, president, New Era Benefits Consulting

Five thingsHis Saturdays: Gardening. ‘We have kind of a mini farm at our house — with chickens!’

Beyond the o�ce: He loves travel, especially internation-ally. His wife, Janine, is from Australia.

Favorite place to visit: Thailand

Social activity: Volleyball at Whitey’s (Booze N’ Burgers) in Richfield

Where he takes visitors: Swenson’s for burgers

Christopher Faircloth, 36Akron lending manager, Economic & Community Development Institute

Chris Faircloth was a banker with a heart of gold — and a heart with a bent toward community in-volvement. He used to be a lender for some well-known names — Countrywide, Chase, Huntington — making loans to the usual cadre of safe borrowers. Today, he’s still a lending o�cer, but as the point person for the nonpro�t Economic & Community Development Insti-tute in Akron. He spends his time �nding ways to make loans to peo-ple and businesses too small, too new or too unknown to get loans from regular banks. — Dan Shin-gler

How did you get into finance? �at was entirely coincidental.

In college, I had a string of part-time jobs, mostly telemarketing, but there was a bank looking for someone with sales experience. I guess I was the closest they could �nd.

What kind of lending do you do? �e role that our organization

plays is to be able to lend to at least some of the people who have been turned down by banks. It’s all busi-ness loans. It’s bakeries, restau-

rants and we have accountants and barber shops.

Does your job also fulfill your desire to help others?

Yes. A lot of times, if we had not been able to do it, it would have been very di�cult for that busi-ness to get o� the ground.

What keeps you busy outside of work?

I’m very involved in the com-munity, things like PorchRokr in Highland Square, Torchbearers and the EXL Center at the Univer-sity of Akron.

Five thingsFavorite music: Old school hip-hop. He recently saw Grandmaster Flash and Wu-Tang Clan.

Cheap eats: If it’s inexpensive, he’s there. He’s not above eating at gas stations.

In his free time: He volunteers in Akron and around Highland Square.

Binge watches: ‘Seinfeld,’ ‘Friends,’ ‘The Walking Dead’

All-time favorite thing: Naps

Portraits by Jason Miller for Crain’s

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ing company. So White was able to see, �rsthand, the ins and outs and ups and downs of business owner-

ship before starting WhiteSpace Cre-ative. During his junior year in col-lege, White took a course called “the Business of Graphic Design,” which ultimately led him to start his own company.

White originally envisioned start-ing a business in a big city and grow-ing it to 10 or 12 employees. �e op-portunities came easily at �rst. �en the terror attacks of Sept. 11, 2001, happened, and it reoriented his pri-orities, leading him to design a busi-ness plan that focused on creating more jobs.

“I really wanted to focus on posi-

tively impacting individuals and families,” White said. “I want to make a di�erence in the lives of others.”

After acquiring two other compa-nies, Smiley Hanchulak and High-land PR, both with rich traditions of their own, White embarked on the challenge of integrating the cul-tures of all three companies. Today, he has an “all-in commitment” to his new building on the north side of Akron, a historical property that he has renovated and will soon open.

“I do have days where I think to myself, ‘Why am I doing things this

way versus that way,” White said. “But I hardly ever have days where I wonder why I’m doing what I am do-ing.”

A lot of people assume that entre-preneurs start businesses because they want to call all the shots, make a bunch of money and control their own destiny. I suppose that is true to an extent. But the common thread for all three of these local founders is something more — an urge to help others and make their community a better place to live and work.

�at’s a pretty good “why” if you ask me.

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Sometimes, it seems as if being the founder of a company is paved in glo-ry. And while I won’t deny that entre-preneurship is an incredible rush, the truth is that it comes with as much pain and struggle as it does fame and fortune.

Given all the stress and frustration of entrepreneurship, there has to be a compelling “why.” Why start your own business? Why put in all the blood, sweat and tears?

Recently, I had the opportunity to speak with several Akron-based founders who I’ve been fortunate enough to know and work with over the past few years. We talked about why they do what they do, and what keeps them going.

Brent Wesley, Akron Honey Co.: Wesley (also known as Wesley Bright of Wesley Bright and the Honey-tones) has become a bit of a local ce-lebrity as a result of his appearance on the entrepreneurial competition show “Cleveland Hustles.”

�e show, for which LeBron James is an executive producer, focuses on revitalizing Cleveland’s Gordon Square Arts District. �e show of-fered Akron Honey Co. an opportu-nity to set up in Cleveland, but Wes-ley ultimately turned down the investment and chose instead to pursue a new manufacturing facility on Akron’s north side. He eventually hopes to branch out into a retail space and expand on a new line of honey-based cosmetics. He is cur-rently working with local entrepre-neurial support organizations and other mentors/experts to help grow his company.

“I wanted to help make my com-munity better by taking an empty plot of land near my house and turn-ing it in to an apiary (a collection of beehives),” Wesley said. “Now I have the opportunity to create an experi-ence for those that are interested in not only honey, but honey-based skin-care products, sourced organi-cally, right here where I started farm-ing my bees.”

Amy Husted and Audrey Wal-lace, Komae: Komae is a social net-working application for parents who share baby-sitting duties with people they already know and trust. Husted and Wallace never really intended to start a company. �ey were simply trying to create a pain-free baby-sit-ting option for stressed-out moms and dads they knew needed help.

Now, these accidental entrepre-neurs are working on a much faster timeline than they originally expect-ed. Being your own boss and making things happen can be glorious — but it comes with sacri�ces.

“I thought that once we got the company up and running, it would be easy to maintain and I wondered what I would do with all of my free time,” Husted quipped. “But we are passion-ate about helping families, by lessen-ing their guilt and stress, and, at the same time, saving them money.”

Wallace said: “It’s progress over perfection. �at’s how I see our day-to-day growth. I just wanted to help people �nd baby-sitting services, but now I am sitting here working on health care bene�ts for our company — what a surprise!”

Keeven White, WhiteSpace Cre-ative: White’s father owned a print-

Why start a business? Their answers might surprise youEntrepreneurship: Tobin Buckner

Tobin Buckner is JumpStart’s Akron entrepreneurial community manager and writes a blog about

entrepreneurship in Northeast Ohio.

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Wright said that SME has told him that more investments will be com-ing this year. In addition to the �nan-cial support, PRIME also helps schools with curriculum related to manufacturing and works to engage the manufacturing community, par-ents and students, local chambers of commerce and elected o�cials to change perceptions about these jobs. “One of the biggest obstacles we face is the image that manufacturing fa-cilities are dark, dirty and dingy,” Cramer said. “In fact, most manufac-turing environments today are cli-mate-controlled, and are clean and quiet. We need to spread the mes-sage that these high-skilled, high-tech positions look nothing like man-ufacturing of yesteryear.”

He said that about 90% of the grad-uates coming out of a PRIME pro-gram actually enter the manufactur-ing sector, either directly as an entry-level worker with a skill that is needed in that local economy, or af-ter attending a community/technical college or a four-year program.

PRIME currently partners with 40 schools in 22 states, involving about 12,000 students. Its goal is to increase that to 25,000 students over the next �ve years, Cramer said. �e Four Cit-ies Compact is the only PRIME part-ner in Northeast Ohio.

Not just manufacturing

Manufacturing isn’t the only �eld in which Four Cities has community partnerships with the intent of pre-paring the incoming workforce. �e Advancement to Nursing students get hands-on experience at Summa Health’s Barberton Hospital.

“�ey provide basic patient care

similar to what the nursing assistants do,” said Valerie Ison, clinical devel-opment instructor at Barberton who is the liaison for the Four Cities pro-gram. “�ey answer lights, bathe and feed patients, make beds — whatever a patient needs.”

�e students are typically at the hospital twice a week for about two hours at a time, she said. When they leave the program, they have the cre-dentials to work as state-tested nurs-ing assistants, a job that is in much demand. �ey also can earn a phle-botomy certi�cation in the program.

Many of the students go on to nursing school, she said, with some coming back to work at Barberton Hospital afterward.

“It’s nice that we can feed back into the community,” she said.

Other partnerships include car-

pentry students building a house with Habitat for Humanity in Wad-sworth this year, cosmetology stu-dents visiting a local assisted-living community to do hair and nails for residents, marketing students help-ing local companies and �re safety students doing internships with local �re departments.

�e Four Cities Compact receives funding from the state and federal governments as well as from the four school districts. �e overall budget is about $470,000 per year, according to Wadsworth School District treasurer Doug Beeman. Wadsworth is the �s-cal agent for the compact and pro-vides o�ce space to the administra-tive sta� of four.

Beeman said each district pays the cost of the programs they house themselves.

Students at Four Cities Compact career education center who are studying engineering, design or robotics have access to state-of-the-art equipment. (Contributed photo)

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