The Business Journal - Serving Phoenix & the Valley of the Sun articles from January 1997

The Business Journal - Serving Phoenix & the Valley of the Sun archives from January 1997

Public work in valley to hit $500M. (Phoenix, AZ)
January 3, 1997... Contractors are expressing some amazement over the amount of public work that's about to hit the market - at least 12 jobs totaling more than a half-billion dollars will be put out for bid in the next three months. "It's like stealth...

Nasdaq plan may put squeeze on AZ firms. (NASDAQ market system)
January 3, 1997... Proposed changes to listing requirements could make it harder for some Arizona-based companies to get on the Nasdaq exchange. The board of directors of The Nasdaq Stock Market Inc. is reviewing comments regarding a plan to increase its...

Bill fires debate on tech funds. (bill seeking to improve funding for technology firms)
January 3, 1997... After years of being turned away by penny-pinching lawmakers, Arizona's high-tech sector is hoping to make it big by thinking small, proposing what supporters anticipate is a more palatable funding plan to boost the state's technology industry....

Crager rolls out $5 million IPO. (Cragar Industries Inc.; initial public offering)
January 3, 1997... Cragar Industries Inc., a maker of custom car wheels, went public last month with a $5.2 million offering. The Phoenix-based company, which moved its main operations to the state three years ago, sold 850,000 shares of common stock priced at $6...

Top 25 contributors ante up $830,000 for political parties.
January 3, 1997... Arizona contributed hard dollars to soft money campaigns in the 1995-96 election cycle - the top 10 business contributors gave a total of $608,000 to the Republican and Democratic national committees, as well as a host of smaller political...

Owners of Roadrunners to build valley ice rinks. (Phoenix Roadrunners hockey team)
January 3, 1997... Sensing a lull in activity relating to the development of new ice rinks in town, the ownership behind the Phoenix Roadrunners is taking it upon itself to build four to six rinks across the Valley in the next few years. Financial backing will...

Satisfaction drives caddy dealer. (Wayne Culiver, CEO of Kachina Cadillac)
January 3, 1997... The name Culiver has been associated with automobile dealerships in Arizona for more than 50 years. And today Wayne Culiver, 52, is in the driver's seat as president and CEO of Kachina Cadillac in Scottsdale. "My father, Lee, was a streetcar...

Hospitals taking charge of medical practices.
January 3, 1997... Physician practices provide pipeline for hospitals despite financial losses Valley hospitals are quickly gobbling up physician practices in an attempt to gain better bargaining power for managed-care contracts. A problem is, some of those...

Networking: get known by those who count.
January 3, 1997... Anne Boe is one of America's foremost networkers. In the past 12 years she has worked hundreds of rooms as a speaker and author. (Her book title: "Is Your 'NET' Working?") Boe turned an idea she had 12 years ago into a career as a keynote...

Heart hospital, Mayo HMO on call; $30M heart facility to pump in 250 health-care jobs. (Arizona Heart Institute; Medcath Inc.)
January 10, 1997... Arizona Heart Institute and MedCath Inc. have formed a venture to build a $30 million, 70-bed heart hospital in Phoenix that is expected to employ as many as 250 health-care professionals. The deal comes after much controversy whether MedCath...

Mayo Clinic wants cut of HMO industry. (health maintenance organization)
January 10, 1997... The renowned Mayo Clinic Scottsdale is trying to get a license to operate its own health maintenance organization. The move comes at a time when numerous players are seeking a share of the Valley HMO market. Two other physician groups are...

'SuperNet' to link colleges with business.
January 10, 1997... Education leaders and the state's high-tech community are hoping to create a blazingly fast data network that will connect Arizona schools and state agencies, jump-starting an advanced telecommunications infrastructure for business. Dubbed...

Southwall meeting Sony demand by building $14M Tempe plant. (Southwall Technologies)
January 10, 1997... Southwall Technologies, a publicly traded company headquartered in Palo Alto, Calif., is building a $14 million manufacturing facility in Tempe to serve the needs of Sony, one of its larger clients. The 15-year-old company, which was built on a...

Manager on deck for ailing county health-care system. (Maricopa County, Arizona)
January 10, 1997... The Maricopa County Board of Supervisors quietly began looking for a private manager of its troubled health-care system over the holidays, and is expected to choose one within days. Four candidates identified as top contenders are: * Frank...

Venture funds finance state's start-ups, others. (Kinex IHA; Arizona)
January 10, 1997... A presenter at last month's Arizona Venture Capital Conference has secured the first chunk of venture funding it was soliciting and two others are in serious negotiations for similar financing - deals some say reflect a growing interest in...

Finance plan may help launch high-tech firms.
January 10, 1997... The state's high-tech community is banking on proposed changes to Arizona securities law that would make it easier for promising startups to get financed. The legislation, being proposed by state Sen. John Huppenthal, R-Chandler, is designed...

Theater restoration work holds Ohio architect here. (Orpheum Theater)
January 10, 1997... The Orpheum Theater in downtown Phoenix has been painstakingly restored to its original state of grandeur, but the architect behind the project isn't packing up his bags to go home. Instead, Paul Westlake of vanDijk, Pace, Westlake Architects...

Defining contractors is small-business concern.
January 10, 1997... Small business may find relief for the last big headache in the confusing maze of dealing with independent contractors, if lobbyists have their way. Many of the items on the small-business-interests agenda this year have a familiar ring, but...

Hotel merger is Ramada deja vu for Valley. (DoubleTree Corp. announces merger with Renaissance Hotel Group NV)
January 10, 1997... Phoenix-based Doubletree Corp. is bringing full circle the hotel holdings of the former Ramada Inc. It is too soon to tell whether the $890 million merger announced Sunday by Doubletree and Renaissance Hotel Group NV - partially owned by New...

Chasing ... and catching dreams ... "doing something somebody told you you couldn't. I love that." (Great Scott Productions President Heidi Scott)
January 10, 1997... The first thing that you notice about Valley business owner Heidi Scott is that she's not afraid - not afraid to laugh out loud, not afraid to buy a business in an industry she knew nothing about, not afraid to admit what she doesn't know, and...

No funding solution on horizon for state schools. (Arizona)
January 10, 1997... The speaker-elect of the 43rd Arizona Legislature, Sen. Don Aldridge, R-Lake Havasu City, hopes to resolve the inequities in the state's funding formula for capital expenditures for public schools - but lobbyists and others close to the issue say...

High-tech looks to high schools.
January 10, 1997... While businesses scramble to find qualified high-tech workers from the state's universities, one program is looking farther down the educational ladder, targeting high school students for some of the industry's most skilled jobs. Starting this...

Master's in telecommunications on call at Keller. (Keller Graduate School of Management)
January 10, 1997... A growing demand for technology and management skills - specifically in telecommunications - has prompted the Keller Graduate School of Management to launch a new master's degree program in telecommunications management. The program is being...

Library charts new waters with Electronic Island.
January 10, 1997... Phoenix Public Library's new Electronic Island is up and fully functional, with new CD-ROM and database products for the Valley's business community. Patrons now can access more than 40 different electronic databases, which include information...

Tempe firm has vision, sees frames as fashion. (Western Marketing and Trading Co. of Arizona Inc.)
January 10, 1997... Gone are the days when eyeglasses were characteristic of the shy, brook-loving recluse. Now, frames are marketed for the fashion-conscious, and licensed names are used as marketing tools, such as the Melrose Place and Beverly Hills 90210...

Group sales are much different from 1-on-1.(Column)
January 10, 1997... Group sales separate the men from the boys. You must be skilled at sales, more skilled at people reading - and even more skilled at group dynamics. In a group you can sell five out of six and not make the sale. Worse, you can sell 99 of 100...

Give workers gift of good communication.(Column)
January 10, 1997... We all aspire to being the "manager" only to discover how complex, convoluted and confusing this position really is. For you see, most managers don't have difficulty with the technical execution of their job, the difficulty lies in the people...

National small-business group names new head. (National Small Business United; Todd McCracken)
January 10, 1997... WASHINGTON - After a lengthy search, the nation's second-largest small-business advocacy group has promoted one of its own to head the organization. In its latest board meeting, the 32-member trustees at National Small Business United voted to...

More buses, rail no cure for transit woes.
January 10, 1997... As the drum beat calling for higher taxes to pay for more mass transit grows louder, many of the practical arguments over the solution to congestion and pollution are drowned out. Light rail and more buses are not the silver bullets they have...

1,200-room resort on drawing board. (Northeast Phoenix Partners interested in developing large golfing resort in Desert Ridge in Phoenix)
January 17, 1997... Marriott may be player in Desert Ridge plans Northeast Phoenix Partners is seeking a zoning change that would allow developers to build a $100 million, 1,200-room resort within the Desert Ridge master-planned community in north Phoenix....

Insurance giants hit legal wall. (planned merger between Capitol American Financial Corp. and Conseco Inc. challenged)
January 17, 1997... A major shareholder has gone to Maricopa County Superior Court in an attempt to squelch a $640 million merger deal between two national insurance companies. Virginia attorney Loren Hershey, a founding member and 14.4 percent shareholder of...

Gazette closing savings parent $6.4 annually. (Central newspapers Inc. closes 'The Phoenix Gazette')
January 17, 1997... While closing of The Phoenix Gazette was bad news for at least 55 employees who lost their jobs this week, the move bodes much better for the paper's parent company, Central Newspapers Inc., and its investors. While closure of the 116-year-old...

Spicy idea brings New Orleans to Scottsdale. (entertainment venue Cajun House being constructed in Scottsdale, Arizona)
January 17, 1997... It's Planet Hollywood meets Bourbon Street and the House of Blues, with shades of the Arizona Center. The Valley will serve as the testing ground for a high-end entertainment venue that could bring a taste of New Orleans to markets across the...

Electronic-gaming firm expanding operations. (Atronic Casino Technology Ltd.)
January 17, 1997... German electronic gaming machine maker Atronic Casino Technology Ltd. is betting on a new Scottsdale Airpark location to consolidate the company's East and West Coast operations. Atronic is expected to take local employment from 12 to between...

Software firm finds itself on other end of buyout. (MC2 being purchased by Compuware Corp.)
January 17, 1997... Less than two months after acquiring another Valley software maker, Phoenix-based networking firm M[C.sup.2] is being purchased by Farmington Hills, Mich.-based Compuware Corp., a publicly held $614 million-a-year company with more than 5,000...

Program's growth gives birth to executive job search plan. (Arizona Technology Incubator)
January 17, 1997... The Arizona Technology Incubator, a 4-year-old program that helps develop high-tech startups with low-rent office space and the tutelage of successful entrepreneurs, is hoping for growth of its own with plans for a salaried vice-president...

Flat phone fee for ISDN nears extinction. (US West Communications' Integrated Services Digital Network)
January 17, 1997... The free ride is about to end for about 200 of US West's heaviest ISDN line users, an estimated 10 percent of business subscribers that have benefited from the telecommunications company's billing problems. Until last month, US West...

Arizona Healthcare narrows consultant search. (organization seeks professional advice on integration strategies)
January 17, 1997... Arizona Healthcare Federation is close to selecting an outside consultant to help its 10-hospital members explore integration strategies. The federation had sent out a request-for-proposals late last year to eight firms, and so far has...

International Fibercom merger simmers. (merger plans delayed)
January 17, 1997... A proposed telecommunications merger involving Phoenix-based International Fibercom Inc. appears to be on hold. The plans, announced Dec. 5 by lFCI to buy a company located in the Southeast, would involve cash, stock and debt. In a...

December Finova issue yields a resounding $115 million. (Finova Group Inc.'s debt offering in Dec. 1996)
January 17, 1997... Phoenix-based The Finova Group Inc. completed a successful debt offering last month, raising $115 million. The issue, backed by lead underwriter Merrill Lynch, was priced at $100 million and sold an additional $15 million. The offering was...

Neighborhood group sours Finova on city. (The Finova Group Inc. scraps plans to move headquarters to new building in Phoenix, Arizona)
January 17, 1997... A decision by The Finova Group Inc. not to occupy a proposed new Phoenix high-rise tower in The Esplanade sends out a negative message to other large corporations across the country, said Finova chairman, president and CEO Sam Eichenfield....

Scottsdale company steers to shock would-be thieves. (Air Taser Inc. introduces Auto Taser car protection device)
January 17, 1997... Scottsdale-based Air Taser Inc., which grabbed headlines two years ago with the introduction of its personal defense device, is hoping to move the company forward by applying its technology to auto protection. The company, which doubled its...

City moves against downtown 'eyesore' lot. (Phoenix city officials demand that surface parking lot owner make improvements on his property)
January 17, 1997... Saying that the property is an eyesore, the city of Phoenix is demanding that the owner of a surface parking lot sited on a prime piece of downtown real estate clean up his act. City officials last week informed representatives for the property...

ASU team is competing to build a $1.5M center. (Arizona State University researchers partners with businesses to national educational center)
January 17, 1997... A group of Arizona State University researchers and industry partners is vying to build a national center to study learning technologies. As technology such as personal computers, software and cabling becomes more affordable and available,...

Better access to court decisions is sought. (State Bar of Arizona urges Arizona Supreme Court to increase public access to state appellate court decisions)
January 17, 1997... The State Bar of Arizona has petitioned the Arizona Supreme Court to adopt a proposed role change that will increase public access to state appellate court decisions. The change would standardize the way such decisions are cited within the...

Changes on tap as BofA mergers. (Bank of America Arizona merges with Bank of American National Trust and Saving Assn.)
January 17, 1997... Bank of America Arizona customers received information this week about upcoming changes as the bank merges with Bank of America National Trust and Saving Association. The conversion, reported last month, will be effective Feb. 18. With the...

Profit, not-for-profit - what's in a name? (1996-97 Gallup Arizona Healthcare Poll)
January 17, 1997... For-profit vs. not-for-profit may be a hotly debated issue among the health-care community, but Arizona consumers really don't care. According to the Seventh Annual Gallup Poll. commissioned by the Arizona Hospital and Healthcare Association,...

BJComm to open San Diego satellite office. (BJ Communications Inc.)
January 17, 1997... After many years of speculation on the possibility of a San-Diego office, B.J. Communications Inc.'s founder, Barb DeMichele, has confirmed she is opening a satellite office in San Diego's Coronado community, where she and husband, Mark...

Eatery designer serves amazement. (restaurant designer Mark Schipper)
January 17, 1997... Mark Schipper, by design, was destined to become a success - not because he owns a flourishing business or because he has managed to overcome adversity - but for his ability to follow his dreams and reach his goals. "One thing I have learned...

Finding skilled tech labor still hard work.
January 17, 1997... High-tech companies that had a tough time finding employees in 1996 shouldn't expect things to change anytime soon, thanks to the area's rapidly expanding technology sector. Industry watchers say there's little indication that the Phoenix job...

Skyrocketing Net use may put end to flat-rate pay. (Internet)
January 17, 1997... When America Online dropped its lucrative hourly rate last month in favor of the $20-per-month price structure charged by most Internet service providers, few in the industry were surprised. But while some saw the move as an inevitability of...

On-board PC moves Intel into fast lane. (Intel Corp. unveils personal-computer technology for automobiles)
January 17, 1997... Fasten your seatbelts. Intel Corp. is at the wheel and fast becoming the driving force behind personal-computer technology for automobiles. So get ready. Your next car may be able to access databases, browse the Internet, do the banking and...

Phoenix duo court idea of virtual law firm. (lawyers Bob Allen and Charles Price plans to form 'virtual practice')
January 17, 1997... Veteran high-tech attorney Bob Allen says that when he told his clients three months ago that he was lowering their fees by 40 percent as part of what he still calls an experiment, they thought he was crazy. But then again, Allen thought, so...

Legal eagles perched on cutting edge of technology. (Phoenix law firms automate)
January 17, 1997... Over the past two years, Phoenix law firms have been upgrading their computer systems, and the trend continues. In the coming year, both Fennemore Craig and Gallagher & Kennedy, two of the 10 largest law firms in Phoenix, are planning major...

Alco's Arizona entities becoming an IKON. (office products companies acquired by Alco Standard Corp. to be renamed Ikon Office Solutions)
January 17, 1997... Eight office-products companies throughout the state will be taking on a new common name - Ikon Office Solutions - this month. The group of companies, all acquired at different times over the past 10 years by the office products division of...

US West, TCG grappling for telephone market. (competition between US West and Teleport Communications Group Inc.)
January 17, 1997... Things are getting nasty between US West and Teleport Communications Group Inc., the firm pining to be "The Other Local Phone Company." US West Communications last week appealed TCG's license to be a competitive local exchange carrier,...

Growing revenue comes out in the wash. (Phoenix Linen & Towel Supply)(Company Profile)
January 17, 1997... The idea of washing uniforms for workers at Gardiner's Resort on Camelback or taking suds to a cook's apron at Peter Piper Pizza may not sound all that glamorous, but it's a business that continues to lather up profits for Phoenix Linen & Towel...

Motorola stays, Texas ties keep chief at home.
January 24, 1997... Hector Ruiz says he never thought he could cause so much havoc by doing nothing. "Let me tell you, I'm really flattered by all this mess I created when I haven't even taken over yet," chuckled Ruiz, who will assume control of Motorola's $7.9...

Prelude to merger?: 3 systems unite home-health networks.
January 24, 1997... A first step toward a systemwide merger may have been taken by Baptist Hospitals & Health Systems Inc., PMH Health Resources Inc. and East Valley Regional Health System. Earlier this week, the three organizations combined their home-health...

Bank of Arizona shops ABCO. (bank to establish branches in ABCO Foods stores)
January 24, 1997... Bank of Arizona is negotiating to move into ABCO Foods stores. The Scottsdale-based bank got approval last month from the state banking department to open branches at the ABCO store on North Seventh Street and Thunderbird Road, and at another,...

Brain resurrection: new site, backers. (Steve Brain got full financing for his Arizona Studios project)
January 24, 1997... After some false starts on a planned $40 million Valley film studio, former Fox Animation Studios head Steve Brain says he's finally got full financing in place for his Arizona Studios project, and has settled on a site in the east Valley....

Four new hotels on tap in Valley.
January 24, 1997... Aircraft technician Navin Kuber is planning four new mid-market hotel projects in the Phoenix area and a fifth in Benson. Kuber, who owns RamNav LLC, a 2-year-old Phoenix holding company, said the first of the projects - an adobe-style, 40-room...

America West looks toward headquarters. (America West Airlines Inc.)
January 24, 1997... America West Airlines has started searching for a solution to its office space needs, in a hunt that eventually could result in a new, high-profile headquarters building. The Tempe-based airline, which reconfigured its space requirements while...

Car dealer merger mania steers at Midway/Culiver.
January 24, 1997... The Valley's largest auto dealership wants a bigger piece of the pie as national players stake their claim in this market. Midway Chevrolet, 2323 W. Bell Road, Phoenix, is negotiating to buy all or a portion of Culiver Pontiac Buick GMC Truck...

HQ executive-suite company moves on five Valley locations. (HQ Business Centers)
January 24, 1997... A large international player in the executive-suite business has moved into the metro Phoenix market with plans for expansion. HQ Business Centers - with 150 sites in "all the major cities" around the world, claims to be the world's largest...

Firebirds to leave void in Scottsdale economy.
January 24, 1997... Scottsdale is on deck to lose between $3.5 million and $5 million annually when the minor league Phoenix Firebirds fly the coop after this season, to make room for the Arizona Diamondbacks. Scottsdale Stadium - an $8 million facility that...

Scottsdale and Bell roads corner eyed for 2 hotels. (Arizona)
January 24, 1997... After 10 years of sitting idle, the southwest corner of Bell and Scottsdale roads is about to be developed with two limited-service hotels, two restaurant pads, a retail/office complex and, perhaps, a car wash. Restaurant & Retail Properties...

Big microbrewery deal fails to bubble in Valley.
January 24, 1997... A Portland brewer's plan to take the Valley's fledgling microbrewery market by storm appears to have gone flat. The ailing Star Brewing Inc. announced in August that it was squeezing out its last barrel of beer in the competitive Portland...

Executive Committee group prepares 4th Valley chapter.
January 24, 1997... The Executive Committee, a peer support organization for chief executive officers, is launching a new local group. The 40-year-old international organization, based in San Diego, accepts CEOs of companies with more than 25 employees and at...

Trial in process for web small-claims program.
January 24, 1997... Don't get up - small-claims complaints now can be filed from the comfort of home, via the Internet, on Arizona's pilot web site. The site, (lawonline.jp.pima.gov), was launched three weeks ago in Pima County. It is a pilot program for Maricopa...

Educational karate CD-ROM contemplated.
January 24, 1997... A Phoenix software maker wants to produce an educational CD-ROM with some real kick - not to mention a few punches, chops and flying roundhouses. The Valley-based North American office of British CD-ROM producer OmniMedia UK has struck a deal...

'Mr. Orpheum' raises the curtain (Robert Olson, partner at Squire, Sanders and Demsey LLP)(Profile)
January 24, 1997... Robert Olson has photos on his office wall of a Grand Canyon river trip he took with his family, reminding him of things beyond the daily grind - his family, the outdoors, an active lifestyle. But the photos also show how he uses quick...

AskyB on fast track to satellite link. (America Sky Broadcasting Co.)
January 24, 1997... 240 workers speed operations center construction, opening set for Fall In the electronic communications industry, speed often is essential to success. It's only fitting, then, that America Sky Broadcasting Co.'s $130 million television...

Baptist Hospitals prep for $30M campus expansion.
January 24, 1997... Baptist Hospitals & Health Systems is in the midst of a $30 million expansion plan at its three hospital campuses in Phoenix, Glendale and Bullhead City. Richard Alley, executive vice president and chief executive of the Baptist system, said...

New industrial space built at record pace.
January 24, 1997... On just about any scale, the ongoing performance of the Valley's industrial market probably would shatter the glass. Recent statistics show that 8 million square feet of new industrial space was built across the Valley in 1996, with about half...

Pulte moves into senior-living home market. (Pulte Home Corp.)
January 24, 1997... National homebuilder Pulte Home Corp. officially has opened its first active-adult community in the Valley. The development - a 267-acre, 740-lot master-planned community at the southeast corner of McQueen and Riggs Road in Chandler - sold 38...

Construction boom hits Scottsdale Airpark.
January 24, 1997... In 1978, Dillon Precision Industries opened a small wholesale ammunition reloading business in Scottsdale Airpark that consisted of about 1,200 square feet of space. The business park, which opened in the late 1960s and now nearly surrounds...

Troon moves forward. (master-planned community Troon North)
January 24, 1997... Troon North, a master-planned community within the Pinnacle Peak area of north Scottsdale, is rapidly developing into a posh neighborhood of exclusive homes. And a growing number of builders are taking their 2x4s north on Pima Road to partake...

Bank One may demolish branch some call historical. (Bank One Arizona N.A.)
January 24, 1997... Bank One Arizona likely will be moving forward with a plan to raze a 30-year-old Scottsdale building, despite protests from a group of nearby residents. The majority of those protesting live in a condominium complex directly behind the...

Mesa software maker eases hassle of buying new home.
January 24, 1997... It won't pay your mortgage, but a Mesa software company wants to make buying that new home a little easier with its new Internet-based electronic data-exchange system. United Systems Software Corp., a 15-year-old firm that specializes in...

Green thumbs aid growth of design firm.
January 24, 1997... The first thought that may come to mind about Valley graphic-design firm Young Associates Inc.'s with through a recent acquisition is that the target was a fellow design firm. But the company has taken an unexpected route in its acquisition...

Doctors upset over proposed affiliation.
January 24, 1997... Some Payson physicians now are wondering whether it was the right choice a month ago when Payson Regional Medical Center signed a letter of intent to affiliate with Baptist Hospitals & Health Systems in Phoenix. Dr. Thomas Bennett, chief of...

Republican shakeup: Arizona Corporation Commission loses top brass.
January 31, 1997... The Arizona Corporation Commission has been shedding its skin since before the November elections, with turnover in five of seven senior-level positions. The transition has left commission employees with low morale, utility companies curious...

First shots ring out in telco war. (local phone service providers)
January 31, 1997... It's been a long and winding road for companies wanting to grab a piece of the local phone-service market, but several providers appear to be within weeks of launching what promises to be a heated battle for business customers in the Valley....