The Business Journal - Serving Phoenix & the Valley of the Sun articles from April 1998

The Business Journal - Serving Phoenix & the Valley of the Sun archives from April 1998

MicroAge spinoff not a done deal.
April 3, 1998... Don't put in that buy order for Pinacor stock just yet. Contrary to reports, MicroAge Inc. has not yet decided how to spin off its distribution business, according to co-founder Jeff McKeever. McKeever and other MicroAge officials say it's...

1st quarter a fast start in Arizona. (mergers and acquisitions in Arizona)
April 3, 1998... Mergers and acquisitions are like Arizona's sunny days: they're hot and they're frequent. Deals announced involving Arizona companies totaled 228 last year, an average of more than four per week. The pace has stayed strong so far this year,...

Tourism funds questioned as visitors drop. (Arizona's tourist industry)
April 3, 1998... Alarmed at the loss of about 4 million annual visitors to other states since 1993, Arizona tourism officials believe they need more money to compete. Arizona is even losing its claim on the Grand Canyon, as Las Vegas helps bankroll Nevada's...

Luxury rentals on rise in city. (Phoenix, Arizona)
April 3, 1998... Central Phoenix is undergoing a renaissance in multifamily urban housing, ranging from luxury apartments to a renovation project downtown that includes a penthouse with its own elevator. Several builders say they are scouting the central city...

BOB gets wired with $26 million system. (Bank One Ballpark)
April 3, 1998... There was no game in progress, no crowds, no national media as workers put the finishing touches on Bank One Ballpark in preparations for opening day. But in the course of an hour, there was plenty to keep the facility's state-of-the-art...

Vacancies rise at limited-service hotels.
April 3, 1998... Tourism officials are considering shifting their advertising dollars to attract families to Arizona in an effort to cushion falling hotel occupancy rates, an outcome of an overbuilt market. As the weather heats up and the Valley's tourist peak...

Investors turning focus to Arizona businesses.
April 3, 1998... An indication of Arizona businesses' increasing lure to investors and financiers can be seen in one of the state's own equity funds and other investment banking interests. Cornerstone Equity Partners LLC, started in 1995 in Phoenix, is...

Maracay Homes plans retail, office projects.
April 3, 1998... Maracay Homes, Scottsdale, is gearing for the opening of four residential developments while commercial projects such as a $3 million headquarters and a $5 million Scottsdale retail complex get under way. The 7-year-old company also is keeping...

Cool lasers aid in delicate heart surgery.
April 3, 1998... Dr. Robert Siegel, chief of cardiology at Phoenix Memorial Hospital Cardiovascular Center, is the first doctor in Arizona to perform a new procedure involving pacemakers. Siegel also is one of few physicians nationwide to be certified to use...

Working with competitors helps Engenuity be winner. (Engenuity Systems)
April 3, 1998... High tech might be one of the most cutthroat industries around, but succeeding in today's marketplace means knowing when to put down the knife and shake the hand of a potential competitor. That's one of the first lessons Tracy Markie and Brad...

Health groups may ax 6,400 businesses. (Arizona Physicians Health Care Group and Mercy Healthcare Group to stop coverage renewal without government reinsurance program)
April 10, 1998... More than 6,400 small businesses in Arizona are in danger of losing their health insurance now that two managed care plans are threatening to close their doors if they don't get funds from the Arizona Legislature. Arizona Physicians Health...

Food fight: grocers add muscle to compete. (expansion expended among Arizona's major grocery store chains)
April 10, 1998... In seconds, grocery store cashiers can void unwanted items from a customer's order. If only whittling down the number of players in the Valley's grocery industry were as simple. But there is no slowing in sight for what is considered one of the...

Rio Salado plan seen as boost for downtown. (commercial redevelopment of Salt River sites in Phoenix, Arizona)
April 10, 1998... Phoenix officials hope a new version of the old Rio Salado Project will continue the downtown redevelopment momentum started with Arizona Center, America West Arena and Bank One Ballpark. And city planners are not alone in their thinking....

Mattel Toys signs lease for Glendale call center. (Mattel Toys's new call center in Glendale, Arizona)
April 10, 1998... The company that makes the world's most famous doll is opening a customer service center in Glendale this summer. Mattel Toys, after scouting potential sites for months in Phoenix and the east Valley, chose Glendale because of its availability...

Valley insurance agency sues HealthPartners. (Black, Gould and Associates Inc sues HealthPartners of Arizona Inc for breach of contract and bad faith)
April 10, 1998... Black, Gould & Associates Inc., an Arizona-based general insurance agency, has filed a lawsuit against HealthPartners of Arizona Inc. for alleged breach of contract and bad faith. Last month, HealthPartners Health Plans Inc., a managed-care...

Athena Awards recognize opportunities for women. (Phoenix, Arizona-based American International Cargo and Scottsdale, Arizona-based Martz Agency wins Arizona Athena Awards)
April 10, 1998... American International Cargo and The Martz Agency have won the 1998 Arizona Athena Awards for promoting leadership opportunities for women, community leadership and business excellence. American International, an air cargo company in Phoenix,...

Merger combines local loan, title services. (Fidelity National Financial Inc to buy Matrix capital Corp)
April 10, 1998... Two companies with substantial operations in the Valley's real estate and finance sectors will join under terms of a $187 million merger announced in March. Fidelity National Financial Inc., which operates the fifth-biggest title company in...

Super marketing by grocers: discount savings cards all the rage in store wars. (Fry Food Stores of Arizona Inc, Safeway Food and Drug, Smith's Food and Drug Centers Inc, Smitty's and Smitty's Marketplace)
April 10, 1998... Double, triple and quadruple coupons. Coupon books. Customer savings cards. They've all been heavily promoted in the Valley's grocery store wars to snare customers. The latest promotional tools are the cards providing discounts and...

Great Bagel finds success with focus on recognition. (Great Bagel and Coffee Co in Phoenix, Arizona)
April 10, 1998... The bagel business is about a lot more than food, says the president of The Great Bagel and Coffee Co., based in Phoenix. Gary Sandeen wants the bagel eatery chain to become known as the Phoenix joint, where customers can come in and be...

Bankers entertain to lure new customers. (Valley First Community Banks)
April 10, 1998... Banks are faced with the challenge of staying competitive in a changing industry, but sometimes the best strategy may be to try something old. Valley First Community Bank has been hosting open-house parties to gain introductions to potential...

Small bankers cheer merger action.
April 17, 1998... The Valley's community bankers do not feel dwarfed by the separate mergers making Arizona's two biggest banks national powerhouses. "It creates a better opportunity for us," said Kyle Curtis, president and chief executive of Stearns Bank,...

Brain waves. (mixed experiences of female executives in Arizona's health care industry)
April 17, 1998... Valley's female health care leaders find mixed success It wasn't that long ago when the glass ceiling for women in health care was as head nurse of a hospital. But these days, women are taking strides that would have made Florence...

Reduced demand catches up to Intel. (Intel Corp.)
April 17, 1998... Intel stunned the computer industry this week with its first significant work-force reductions in a decade, but some observers warn that the worst may not be over. Although the chip maker reported better than expected first-quarter earnings of...

Park Plaza quietly expanding. (Park Plaza International Hotels and Resorts)
April 17, 1998... Arizona economic developers may be mourning the loss of the corporate headquarters of Doubletree and Starwood Hotels and Resorts, but not executives at Park Plaza International. The Scottsdale hospitality company is quickly scooping up the...

US West dialing long-distance. (US West Inc.)
April 17, 1998... US West Inc. is navigating the rocky waters of the telecommunications industry with moves to exit the cable business and enter the long-distance market. As the the phone behemoth touted the approval it received from the Securities and Exchange...

Sunwest acquires Florida, Nevada firms. (Sunwest P.E.O. Inc.)
April 17, 1998... Sunwest P.E.O. Inc. of Scottsdale has agreed to acquire two professional staffing organizations, a move that will boost the company's leased employee roster from 5,000 to more than 13,000. Sunwest will acquire EMP Services of Tampa, Fla., and...

Pinacor chief enjoys taking risks. (Pinacor CEO Bob O'Malley)
April 17, 1998... O'Malley pilots renamed MicroAge subsidiary Walking into the sea of cubicles on the first floor of Pinacor Inc. s Tempe headquarters, you'd have a hard time telling the difference between Bob O'Malley's office and that of the company's 1,499...

Strong economy boosts building industry.
April 17, 1998... It doesn't take a rocket scientist to figure out that when a major metro area's growth rate rises as fast as summer heat in Phoenix, two of the industries mostly likely to win are construction and real estate development. And last year in...

Dry cleaners changing environmental image.
April 17, 1998... An obvious irony of the dry-cleaning industry is its reputation for being one of the biggest sources of pollution, removing stains from clothing but sullying air and groundwater in the process. Several dry cleaners in the Valley hope to change...

Solutions key to future. (Arizona)
April 24, 1998... Arizona's state and local leaders are facing an issue this year that many say threatens the state's future economy. From opposite ends of the political spectrum come proposals to manage growth, either through local zoning and development codes...

Valley's tech access best in the U.S. (Phoenix, Arizona)
April 24, 1998... Phoenix could steal Silicon Valley's reputation as the nation's breeding ground for Internet-oriented startups, thanks to a telecommunications infrastructure that promises to wire most residents for speed within the next 18 months. Announcing...

Vencor to add Mesa hospital, nursing centers. (Vencor Inc.)
April 24, 1998... Vencor Inc., which operates six skilled-nursing centers and two hospitals in Arizona, is planning to build another hospital and five more skilled-nursing facilities in the Valley. Construction is set to begin on a 60-bed hospital and a 120-bed...

Two sound off. (discussion with land-use attorney Grady Gammage Jr. and Chris Gehlker)
April 24, 1998... Grady Gammage Jr., a land-use attorney and Chris Gehlker, who helped write the Citizens Growth Management Initiative, sat down with The Business Journal this week to debate the issues. Their wide-ranging conversation covered lots of ground. They...

Ironite founder blasts bad press on product. (Ironite Products Co. founder Heinz Brungs)
April 24, 1998... The founder of a Scottsdale fertilizer company is fighting accusations that his company's best-selling product breaks down to produce lead and arsenic in potentially lethal doses. Ironite Products Co. founder Heinz Brungs is accusing The Dallas...

You make the call: pagers go head-to-head with advanced wireless products.
April 24, 1998... Once a status symbol for doctors and other on-the-run professionals, pagers have lost much of their luster to low-cost cellular phones and new digital wireless services. Intense price competition among cellular and PCS providers has made...

Computers offered as telecommuting trade. (Arizona)
April 24, 1998... Working from home one or more days during the week may not only help the environment, but it can pay off big for employees who commit to telecommuting for at least a year. Through a new program called Project ADOPT - Arizona Donates Office...

Intranets, extranets can boost advantage.
April 24, 1998... Having a competitive advantage is the key to success in today's global marketplace. An intranet and/or an extranet could be just what you need to gain that important edge over your competition. Both intranets and extranets are secure versions...