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Lisa Green's Files
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Author: [email protected]_at_sunmail at wt400
Date:
4/7/99 10:12 PM
Priority: Normal
NM
TO: [email protected]_at_sunmail at wt400
BCC: Lisa Green at FM-FS3
Research
Subject: Fwd: APIC and other "New Market Initiatives"
Message Contents
Arthur H. Rodgers wrote:
>
> I was wondering if people had heard anything about Clinton's APIC
(America's
> Private Investment Corporation) proposal and what they thought about it.
> It is modeled after the govt's OPIC (Oversees Private Investment Co.) Is
> there a good source of info on it? I apoligize if the topic has already
> been discussed.
> Thanks
I have been doing extensive work on this topic, with the Rainbow/PUSH
Coalition, the Appalachian Regional Commission, and others. There are 6
separate components to what the White House calls "The New Market
Initiatives", of which APIC is one. (My PERSONAL opinion is that the
APIC design could be a lot better. It doesn't really do what OPIC
does.) Each has overlapping but separate legislative, budgetary,
regulatory, and political issues. People also have different
perspectives on the political status of the package, and I would
certainly welcome a discussion on this list to air these various views,
and to start coordinating strategy.
My understanding is that only one of the six initiatives is actually a
done deal (the SBIC LMI program). As a whole package, we should get
behind the New Market Initiatives, and call Congresspeople about passing
them. I've been trying to inspire some serious political organizing
around these issues, and am very glad someone raised the topic. This is
one of the most comprehensive, if somewhat flawed, attempts to address
capital access issues that I can remember, and there is a good, high
level team working on it, which does seem to be fairly responsive to real
community development practitioners--certainly to Reverend Jackson, who
helped spur the discussions initially. If people on this list have had
differing experiences with the Administration's effort, I would be very
interested to hear.
The list and political status (as far as I have heard) is as follows:
1--The SBIC new LMI program: this is a new category of SBA guaranteed
leverage through the SBIC (Small Business Invesmtent Company) program,
called LMI, Low-Mod Income investments. It lowers the minimum
capitalization requirements for the SBA's "participating securities"
when investments are made in targeted geographies or populations. This
is a very good thing for the SBIC program. Only shortcoming is that it
doesn't provide any technical assistance dollars for the extra work that
LMI investments often require.
2--APIC: The "American Private Investment Company" is supposed to be
modeled on the OPIC (Overseas Private Investment Company) program, but
it's really nothing more than a giant SBIC. Doesn't really have the
same level ot resources in terms of incentives, or creative risk
reduction programs analogous to OPIC (like their political risk
insurance, for example). APIC is going to be a pilot project, with only
a limited number of licenses granted, and specifically designed for
mega-development projects adn particular groupings of investors. The
APIC name has become a substitute in some discussions for the rest of
the New Market Initiatives, which is too bad, because it's little more
than a marketing spin, and I only hope that it doesn't become the excuse
not to pass the rest of the vehicles. It does still require
legislation.
3--NMVCC: This is a very good new vehicle designed to provide equity
capital to VERY small businesses (matching SBA leverage through
participating securities), but the most distinguishing factor is the SBA
matching GRANT for technical assistance. This could be a very important
tool for community development--the SBA has been advised by some of the
leading community development venture capital practioners in the country
in the design of this program (are you out there Kerwin and Meg? Do you
agree?) This program DOES need legislation and strong lobbying,
particularly for the T.A. component.
4--New SBLC licenses: The "Small Business Lending Company" is a
non-bank, non-depository lender which has access to SBA 7a loan
guarantees. Currently there are only 14 license holders, which were
doled out in a very short period during the early Reagan years. "The
Money Store" is the best known example. Needless to say, they have not
been effective mechanisms for community development, and are not subject
to CRA, so there has been momentum building to open up these licenses to
CDFI type and minority organizations. The proposal on the table is to
grant 10 new licenses to qualified lenders that can demonstrate strong
experience and capability to do community development-like lending. While
this program does not require legislation, it DOES require new
regulations, and the lobby against these revisions is incredibly strong,
entrenched, and deep-pocketed. PLEASE, register your opinions with
Congress, Treasury, and the SBA.
--Business LINC: A fine, revamped public-private partnership to
encourage business mentoring. This is a combination of new and old
programs which link large firms with small and minority suppliers to
bring them up to quality standards, improve minority contract
opportunities, and generally get the private sector involved in these
issues. Its not significantly different from existing programs, and I
don't think requires much political pressure to put through.
6--The New Markets Tax Incentive: THE LINCHPIN TO THE WHOLE NEW MARKET
PROGRAM. PLEASE CALL YOUR SENATORS AND REPRESENTATIVES!! Taking a cue
from the Canadian experience and their revenue-positive investment tax
credits for the "Labor-Sponsored Investment Funds," this proposal is
designed to help capitalize qualified, community development investment
vehicles by offering personal, and institutional tax credits to
investors. I think the figure was 6% for each of four years. I heard
Rubin say it equaled 25% in present value terms. It's not really
enough, but it's a start, and an important concept to lobby on. This
one definately needs help.
I've also seen documents that discuss increased CDFI funding as part of
this effort. Let's hope so.
Some of the Appalachian groups I've been working with are helping to
build some political will around passing this package, and I know that
CDVCA should be putting out an educational piece for lobbying on the New
Market Venture Capital vehicle, but I don't have it yet. My sense is
that the time tor URGENCY on organizing around this issue is upon us.
Even if the programs are not perfect, and even if we don't pass all of
them, this is an opportunity to get the issues out into the national
dialogue. The SBA has been doing good outreach workshops, but they are
really only talking about the new LMI investments for the SBICs, because
the other ones aren't done. I'm anxious to hear everyone's feedback on
this, and whether there is momentum to get going.
Karen May
VP for Economic Development
Wilhelm and Conlon Public Strategies
Chicago, IL
WARTELL T @ A1
01/19/99 11:55:00 AM
Record Type:
Record
To:
Sarah Rosen
CC:
Subject: STUDY: INNER-CITY SHOPPERS HAVE CASH, BUT STILL LACK
Date: 01/19/99 Time: 11:29
IStudy: Inner-city shoppers have cash, but still lack places to
NEW YORK (AP) Despite having only a limited number of stores
in their neighborhoods, inner-city residents still buy clothes,
electronics and furniture more often than the average American
household, a new study shows.
While it's been known that urban America is a largely untapped
retail market, the study, which was released today, illustrates the
significant purchasing power found in inner cities and what these
residents want to buy.
Everyone is chasing after retailing in places like Beverly
Hills, but very few are chasing places like the south side of
Chicago," said Anne Habiby, director of research for the
Boston-based Initiative for a Competitive Inner City, which did the
study with the accounting and consulting firm
PricewaterhouseCoopers.
What they don't realize is that the inner cities have a much
higher disposable retail dollar than almost any suburban square
mile."
The study of 1,205 inner-city households was done by mail in
October and November 1997, and the results were compared with an
existing PricewaterhouseCoopers database of shoppers nationwide.
The new report is a more detailed version of two other reports
issued last June. The Initiative said this is the first time that
such a vast amount of material has been collected on a national
basis.
The study shows that inner-city shoppers spend nearly 11 percent
more on clothing annually than the average U.S. household.
African-Americans buy the most, almost 30 percent more than the
average American consumer.
Many also spend generously on their homes. Forty-three percent
of inner-city shoppers said they purchase furniture, compared with
30 percent of all U.S. shoppers.
Thirty-one percent of African Americans and 37 percent of
Hispanics bought a television, VCR or stereo in the past year,
compared with 25 percent of average U.S. households.
When they shop, urban consumers have greater brand loyalty than
the average population. They are also more apt to look for stores
that accept credit cards and offer superior customer service.
The study also highlights inner-city shoppers' demand for better
prices, especially for groceries and clothes.
While there is clearly room for growth in the inner cities, the
market is still severely underserved. Most retail sales are
relegated to small, specialty stops, which are expensive and carry
only a limited inventory.
The intention of the study is to show well-known national retail
chains that there is a huge potential of the urban market. Only
handful of stores, like the drug store chain Rite-Aid and Sears,
currently operate stores in inner cities.
The biggest push is for an increased number of discount chains,
like Target and Wal-Mart, in urban areas. Inner-city shoppers spend
significantly less than the average consumer at these stores, even
though they are the biggest area of growth in U.S. retailing today.
APNP-01-19-99 1145EST
BUS NESS DEALS
COOKING
X
X
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Yes,
X
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X
How two black food companies
whipped " licrative partnerships
with 21 najor firm
WHEN IT COMES TO FORMING CORPORATE
However such partnerships are formed, both companies
relationships, Michele Hoskins. founder and president of
can boast of a relationship with General Mills, the multibil-
Michele Foods Inc., believes that it's the smaller company
lion-dollar Minneapolis-based food Goliath whose products
that must knock-repeatedly and if necessary, londly on
are as ubiquitous as neighborhood grocery stores.
the larger company's door.
Its relationship with Calumer City, Illinois-based Miche
William F. Williams. (1) founder and president of Glory
Foods involves a Seny promotional toth that links General
Foods In believes that such relationships come about
Mills Bisquick biscuit and pancake max with Michele
because the Larger company 3005 that 11 them with .1 mall
Londs syrups The partnership IS exper red (1) merease
CT one can be beneficial to both parties, and 11 : often in
Michele Foods sales by halfa million dollars. S.P.S I loskins.
larger company that inmates the contact.
The association between Glory Foods. of Columbus, Ohio,
ByMark Anthony Moss
104
http laws NV blas kenterpri
BLACK ENTERPRISE APRIL 1999
BUSINESS DEALS
and the consumer food prod-
ucts company is a bit more
complex, but no less reward-
ing. With the help of a third
party, Stairstep Initiative, a
Minneapolis organization that
works to build community
among African Americans,
Glory Foods was able to enter
the highly competitive frozen
foods market, expanding its
established line of canned, pre-
seasoned Southern-style veg-
etables. The alliance resulted in
the formation of Siyeza Inc.
(South African for "We're
coming"), the manufacturing
company of Glory's frozen
foods, which is expected to
Hoskins
generate $12 million in sales
landed hera item
this year, says Alfred Bab-
GeneralMill
ington-Johnson, president and
CEO of the Stairstep Initiative
Companies and chairman of
Giblen, managing director and
ing has become more frag-
lot more tailored marketing 10
the board of Siveza.
consumer and retailing analyst
mented. Thirty years ago. you
different segments, such as
"The Michele I oods-
:11 First Albany Equities in New
could do one nass market
African Americans."
General Mills association is the
York. "Such deals will acceler-
campaign. Now there's a lot
Two-product, 01 cross-
start of a trend," says Gary M.
ate because consumer market-
more regional marketing and .1
branding promotional cam-
vlasic
HAMBURGER
Best thing for burgers
since the bun.
STACKERS
(HEI)
MONES
STACKERS
BIG PICKLE CRUNCH in every bite.
vlasic
paigns are not unusual in
A PLAN OF ACTION
the company that makes the
minority- and women-owned
the food industry. That such
Hoskins' road to the alliance
mix, but General Mills didn't
suppliers.
campaigns are beneficial to
with the food giant is marked
make syrup.
But Hoskins was still look-
both companies is evident
with the same tenacity and
"That meant that every time
ing for a "slam dunk," a deal
in the Michele Foods-General
courage that has characterized
you made a Bisquick pancake,
that would get Michele Foods
Mills association. "For Michele
her rise in the business world.
you had to use a competitor's
into more retail stores. As
Foods it makes perfect sense,"
In 1984, Hoskins, a divorced
syrup," she says, adding that
evidence that networking
says John Renwick, a food ana-
mother of three, sold her car
she was "amazed"
pays off, she ran into Gerald
lyst at Morgan Stanley Dean
and condo and moved in
that the company
Fernandez, president of the
Witter in New York. "It puts
with her mother with the goal
hadn't taken ad-
Multicultural Food Service
the company on the map.
of turning a generations-
vantage of con-
and Hospitality Alli-
Bisquick is a product people
old secret family recipe for
sumers' propen-
ance for General
know very well. They might
breakfast syrup into a mar-
sity to buy the
Mills, while attending
not know Michele's syrup
ketable product. Today,
products together.
a food show for indus-
very well, but this puts her
Michele Foods is an $8 million
Hoskins called
try women. She
in the face of the consumer."
company whose three flavors of
General Mills
broached her "fantas-
The idea is to create some
syrup can be found on the
but didn't receive
tic idea" of a relation-
excitement in the supermarket
shelves of stores such as Wal-
a favorable re-
ship with General Mills
to get consumers' attention,
Mart and Kroger's.
sponse, so she
to him, and Fernandez
Renwick adds.
Nearly five years ago, after
went on to pursue
suggested she attend and
Small business owners like
doing some research, Hoskins
other accounts, most notably
donate her syrup to a
Williams and Hoskins seeking
discovered that Bisquick, the
one with Denny's, the restau-
breakfast that Steve
to form partnerships with
batter she used in trade show
rant chain that in the early
Sanger, the General Mills
major corporations must net-
demonstrations. was one of a
1990s Was facing lawsuits OVCT
chairman and CFO. was going
work, develop strong business
handful of mixes that didn't
discriminatory practices. In
to attend in Minneapolis. She
and marketing plans and have
have a syrup. Most
1994, she signed a $3 million
did both. but before going, she
plenty of persistence to land
mixes, she says, are coupled
contract with the chain,
wrote Sanger a letter outlining
such deals.
with a syrup manufactured by
becoming one of Denny's first
her concept.
c
H
E
V
c
V
E
R
THE MORE YOU KNOW, THE BETTER IT LOOKS.
The Vlasic Stork knows pickles. He knows Sandwich Stackers. And now he knows
Hamburger Stackers. But suddenly he just had to find out more about the Chevy Cavalier,
a car that can go up to 100,000 miles before its first scheduled tune-up.
Cávalier
Genuine Chevrolet®
Viosid
Sandwich
Stockers
one
Stockes
are
trademark
and driving conditions bee the owners manual information America! Golf 1-800-950-2438 www.chevrolet.com
BUSINESS DEALS
At the breakfast, Sanger
the leverage of
publicly mentioned Michele
General Mills,"
Foods' participation in the
she says. "My
FOODS
event. Later, at the opening of
sales are up and
a plant, Hoskins introduced
I'm very excited
Southern Selections
herself to him.
about it. It's giv-
When she returned to
ing me a strength
Illinois, Hoskins wrote anoth-
that I never had.
er letter citing the benefits
When I call a
of a relationship: it would
buyer, and say 'I
legitimize the food manufac-
would like to
turer in the black community
introduce my
and would give it entrée into
product to you
the market. "And the third
and 1 would like
thing would have been
for you to consid-
my slam dunk," says Hoskins.
er putting it in
Williams (fourth)
"If I could partner with
your retail chain,'
from left) will be
General Mills on the retail
and then add that
taking his canned
level, that means that wherever
I'm doing a pro-
foods to the
they are, I could possibly
motion
for
grocersi freezers
be there, too."
General Mills,
Talks started with General
the buyer's atti-
Mills' executives, but what
unde becomes, 'If
prompted the company to
your syrup is good enough for
products, which generated $12
tive. Working with Michael
get serious was Hoskins
Bisquick, it should be good
million in sales last year. In
"Ted" Cushmore, General
appearance last spring on
enough for us to consider
found 111 8,000 stores in 19
Mills senior vice president
Oprah. Before that, Hoskins
Autumn Boos, General
states. BLACK ENTERPRISE
and president of Gold Medal,
had asked its officials
Mills' director of ethnic
selected Glory Foods as
now retired. Stairstep opened
if she could reveal
marketing, calls the
"Emerging Company of the
the door to Sanger's office.
the impending
relationship ground-
Year for 1996.
General Mills, which has
partnership but
breaking. "We're very
The company's frozen
.1 program devoted, in
they refused.
excited about
products. Glory Foods
part, to social investing, had
On Oprah, she
the potential of
Southern Selections, .1 line of
been 111 discussions with the
mentioned her
what this part-
oven-ready and microwaveable
owner of 3 packing plant in
relationships with
nership can
frozen entrees and side dishes
North Minneapolis. The
other companies
bring both for
geared to consumers looking
owner was looking for investors
This got the atten-
Michele's busi-
to save ume and money, which
but his company's largest client
tion of Sanger,
ness and for the
were introdus ed in Lanuary
withdrew 115 business. Efforts
and shortly after
Bisquick pan-
1998. 110 the result of chance
to salvage the company failed.
wards, Hoskins
cake opportuni
encounter. Although Williams
leaving chind an idle. 65,000
signed a contract
tv." says Boos.
had signed contract 10
square-foot facility.
In addition to
produce lrozen greens for
That failure didn't under-
the 13-city promotional tour,
WHEN OPPOR-
Churc hs Chic ken. the fast
mine the food maker's belief
the two companies also
TUNITY COMES
food chain, entering the hozen
that something viable could
agreed to sponsor a dollar-
KNOCKING
foods market Was not part of
develop using the factory.
off coupon il both products
Although Williams
Glory Foods' future.
After meeting with Sanger,
are purchased together.
relationship is not as
"I had no interest in going
Babington-Johnson secured
Last fall. bottles of Michele
direct as the Michele Foods
imothen arena," says Williams.
a letter of intent for $1.5
Foods' syrups carrying neck
alliance, it has proven to be just
Gring its curren hed com-
million from General Mills.
hangers for similar discounts
as finance inlly rewarding,
petitiveness. "There are
Shortly after conclud-
appeared on store shelves.
Williams and two partners
rules.
You
That phase of the
But from Hoskins PUT
knuched ilon boods 111 1992
Mi Bubba's lvon compe
de Babington Johnson
spective, the most important
after three years of developing
more ..' property. he adds.
visited his mother in
aspect of the at trionship
.1 product line that today
raughing
knowille. Fennessee, where
i. ton 11.1 company's
include .'. nichesol anned
Bar in 1996. M illiums
he had the opportunity
bottom line. Tim seeing
Southern style vegetables and
received. .ill from Babington
to sample Glory Foods
results because Im able to use
condiments the company's
Johnson of the Stairstep Inina
collard greens. He couldn't
108
BLACK ENTERPRISE APRIL 1999
BUSINESS DEALS
8080614
Elebly
believe they had come from a
market, SO Williams gave his
U.S. Bancerp purchase of
partnerships would be lucra-
can. When he returned to
okay. Eighteen months later,
$1.2 million in preferred
tive opportunities for them
Minneapolis, he contacted
Siyeza began producing
stock. General Mills also lent
as well as General Mills. "The
Williams.
Southern Selections.
the expertise of employees
best advice I can give 10
Although the two men dis-
"Bill Williams is a very
from a variety of departments
anyone is to do your home-
covered they had a lot in
impressive businessman," says
such as marketing and manu-
work," Hoskins says. "Re-
common, Williams had some
Austin Sullivan, General Mills
facturing. Stairstep, which
search the company you
initial misgivings about get-
senior vice president of
owns two-thirds of the compa-
feel you can really partner
ting involved. He didn't
corporate relations. "When a
ny, contributed $100,000.
well with. Know their
know how well Glory Foods
business is run by a tough,
Glory Foods owns the remain-
weaknesses."
could work with a nonprofit
bottom-line oriented busi-
ing third and is currently
Hoskins says minority busi-
and was concerned about
nessman, your chances of
Siyeza's sole customer.
ness owners should find out
being dominated by the
having it succeed are much,
Williams is the company's
what relationships the compa-
food giant.
much greater."
president and Babington-
ny has with other minority-
But he saw the modern
Capitalization for the new
Johnson serves as its chairman.
owned businesses and what it
facility in Minneapolis
company, Siyeza, came from a
Ultimately, the plant will
is doing to market to minori-
and the promise it had for jobs
Glory Foods no-interest, no-
employ 150-175 people and
1y consumers. "Take that
in the black community.
term loan for $1.4 million and
partial, employee-ownership
[information] as high up as
There was also a letter of
$50,000 in equity, a General
is also in Siyeza's future.
you can," Hoskins adds.
intent. Here was a chance to
Mills no-interest, no-term
Both Wilhams and Hoskins
"Show them where their bot-
get into the frozen foods
loan for $1.5 million. and a
recognized that forming
tom line can change."
General Mills Inc.
FOOD INDUSTRY
Philip Morris Companies Inc. (Kraft Foods)
Paul Schupmann
Sharon Patterson
RESOURCES
Manager of Supplier Diversity
Manager of Supplier Diversity
P.O. Box 1113
3 Lakes Dr.
Minneapolis, MN 55440
Northfield, IL 60093
American Institute of Food Distribution
Provides brochure; certification form to enroll on
Provides supplier profile form and literature.
28-12 Broadway
the company's database.
Fair Lawn, NJ 07410
The Pillsbury Co.
201-791-5570
McCormick & Co. Inc.
Jane Winston
Issues statistical and analytical summaries on food
Sheila Dews-Johnson
Manager of Minority Supplier Development
distribution; represents conners, packers, manu-
Manager of Supplier Diversity
200 S. Sixth St., Mail Stop 21X3
facturers, brokers, wholesalers and retailers.
18 Loveton Circle
Minneapolis, MN 55402
Sparks, MD 21152
[email protected]
Association of Sales &
Manages supplier diversity activities and coordi-
Provides supplier profile form and brochure.
Marketing Companies
nates buying opportunities.
2100 Reston Pkwy Suite 400
The Procter & Gamble Co.
Reston, VA 20191
National Association for the
Howard D. Elliott, Associate Director for
703-758 7790
Specialty Food Trade Inc.
Historically Underutilized Businesses
Represents brokers in the consumer goods
120 Wall St.
I Procter & Gamble Plaza
industry.
New York, NY 10005
Cincinnati, OH 45202
212-482-6440
Provides brochure with information on their pro
Borden Foods
Represents food manufacturers, processors,
gram and what they buy, certification form to
Ron Cosey
importers, retailers and brokers of specialty and
enroll on the company's database; directs you to
Supplier Diversity Manager
gourmet foods; sponsors International Fancy Food
who buys your specific product
180 E. Broad St.
and Confection Shows.
Columbus, OH 43215
Snack Food Association
Fax: 614-225 1464
National Food Processors Association
1711 King St., Suite I
Provides information on Duys your specific
1350 TSt. NW, Suite 300
Alexandria, VA 22314
products
Washington, DO 20005
703-836-4500 of 800-678 1334
202 639 5900
Represent snack monuforturer: und supplier:
Represents commercial processors of vegetables,
hosts annuol conference.
medils and conned goods, conducts research on
foud safety, nutrition and industry concerns
110
BLACK ENTERPRISE
Clinton Presidential Records
Digital Records Marker
This is not a presidential record. This is used as an administrative
marker by the William J. Clinton Presidential Library Staff.
This marker identifies the place of a publication.
Publications have not been scanned in their entirety for the purpose
of digitization. To see the full publication please search online or
visit the Clinton Presidential Library's Research Room.
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ICIC Initiative for a Competitive Inner City
June 1999
Dear Friends,
As we celebrate our five-year anniversary, we are proud to share with you an update on ICIC's recent
activities and ask for your help in building upon our exciting progress.
On Thursday, April 22, ICIC hosted the first annual Inner-City Entrepreneurship Dinner, attended
by over 700 business and community leaders, inner-city entrepreneurs, business school faculty and
students, and media representatives. The Dinner focused national attention on the fact that some of
the most attractive opportunities for business growth exist where some would least expect them - in
America's inner cities.
The highlight of the evening was the announcement of the Inner City 100 list. This list, identified
through a unique partnership between ICIC and Inc. Magazine, celebrated 100 of the fastest-growing
private companies in America's inner cities. Inc. featured the Inner City 100 list in their May issue, a
section of which you will find enclosed. National media coverage of ICIC and the Inner City 100 has
been extensive, as the attached summary shows.
Planning has begun for the next annual Inner City 100 list, which we believe will rival this year's
incredible group of businesses. In order to seek out the fastest-growing companies in the country,
we need your help. If you are a candidate for the Inner City 100 list, or know of a company
that is, please return the enclosed form or forward it to interested companies.
The ICIC depends on support from companies, individuals, and foundations to support its
programs. Our only constraint today is resources, and we hope you might be willing to help. If you
are interested in learning more about ICIC, please find us at www.icic.org or call (617) 292-2363. If
you would consider making a contribution or helping us solicit one from your organization,
we would be most appreciative. Thank you for your belief in the future of America's inner cities.
Sincerely,
Michael E. Porter
Harvard Business School
Founder, Chairman & CEO, ICIC
727 Atlantic Avenue Suite 600 Boston, Massachusetts 02111
phone: 617.292.2363 fax: 617.292.2380 web: www.icic.org
ICIC Initiative for a Competitive Inner City
The ICIC - Inc. Magazine Inner City 100
The ICIC - Inc. Magazine INNER CITY 100
Media Summary
Over 150 original articles:
4
National stories - Associated Press, New York Times, Washington Post, LA
Times
123
Major Daily Newspapers
32
Business Journals
4
Trade Publications
4
Major Networks
4
Cable Stations
4
National Radio
"The Inner City 100 companies are succeeding - and not in spite of their location, but
because of it."
Philadelphia Daily News, April 23, 1999
"There is no disadvantage to being in the inner city, said Shore.Net's CEO Lowell Gray."
(#2 company on the Inner City 100)
CNN Headline News, April 23, 1999
"Fact: Inner-city business works."
Miami Herald, May 13, 1999
"The prevalent theory about America's inner cities is that they are crime-ridden with low
skilled work forces deployed in decaying buildings far from transportation. The theory was
that business couldn't survive there.
But Harvard's Michael Porter created a counter-theory and backed it up with research that
resulted in the creation of the first-ever list called the Inner City 100. The rankings of the
fast-growing small companies in America's inner cities boast growth rates averaging 700
percent over five years and average annual revenues exceeding $13.8 million. Collectively,
they have generated nearly 4,700 jobs over the past five years."
Associated Press, National, April 22, 1999
"We see the Inner City 100 companies as a look into the future of the American economy,'
said George Gendron, Editor-in-Chief, Inc. magazine. "This list shows that the inner city is
not only a viable but also a compelling and attractive place to build a company."
Los Angeles Times, April 28, 1999
"Although some executives shy away from inner-city locations, the owners of many of these
(Inner City 100) companies say the inner city has been a key to their success because of
proximity to customers, low land costs and available labor."
Cleveland Plaindealer, April 23, 1999
727 Atlantic Avenue Suite 600 Boston, Massachusetts 02111
phone: 617.292.2363 fax: 617.292 2380 web: www.icic.org
"Recent emphasis on core cities as places of normal business opportunity, not abnormal risk,
explains much about the urban renaissance. The Boston nonprofit group Initiative for a
Competitive Inner City does more than document this phenomenon. It extends it."
"It doesn't require much imagination to see how abandoned properties, vacant lots, and
street crime smother economic development. But Michael Porter, chairman of the Initiative
for a Competitive Inner City, looked past these images and uncovered 'inherent competitive
advantages,' including strategic locations near highways and airports, a stable but
underutilized work force, and plenty of purchasing power to support retail and service
businesses."
Boston Globe Editorial, April 21, 1999
"The goal of the Inner City 100 awards is to shed light on the fact that there are thriving
businesses that have not left inner cities," Indianapolis Mayor Stephen Goldsmith said.
Indianapolis Star/News, April 23, 1999
"Last night in Boston, hundreds of business leaders from around the country gathered for a
Hollywood style awards ceremony honoring the Inner City 100. They're some of the fastest
growing companies in America's inner cities."
"Morning Edition", NPR, April 23, 1999
"The Inner City 100 businesses have been good for nearby residents.. Together these
businesses have created forty-seven hundred jobs in the past five years. Almost half of the
100 get at least half of their workers from the inner city, and a quarter of the companies are
minority owned."
"All Things Considered", NPR, April 26, 1999
"Low-tech, high-tech - it didn't matter last week when the time came to announce the
inaugural Inner City 100 list of fast-growing companies that have sunk their roots and
staked their futures in urban neighborhoods most others have shunned."
Boston Globe, April 28, 1999
Sample National Headlines:
"In Honor of Entrepreneurs", The Boston Globe, 4/21/99
"Inner-City Businesses Can Thrive", Associated Press, National, 4/22-23/99
"Brothers in the 'Hood' Produce National Success", Indianapolis Star and News, 4/23/99
"Inner City 100 is Fruitful for Entrepreneurs", Philadelphia Daily News, 4/23/99
"Inner Cities May Have the Inner Track for Small Businesses", Associated Press, 4/24/99
"Fastest Growing Inner City Companies Honored", Milwaukee Journal Sentinel, 4/23/99
"The Secret is Out on 3 Inner City Businesses", The Daily Oklahoman, 4/23/99
"Inner-City Achievers", Washington Times, 4/26/99
"Finding Markets Near Downtown", Washington Post, 5/4/99
"An Urban Truth: Inner-City Businesses Survive, Thrive", Miami Herald, 5/17/99
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INITIATIVE FOR A COMPETITIVE INNER CITY
727 ATLANTIC AVE STE 600
BOSTON MA 02111-9891
ICIC Initiative for a Competitive Inner City
The ICIC - Inc. Magazine Inner City 100
Dinner Committee
Dinner Hosts
Michael E. Porter, Founder, Chairman and CEO, Initiative for a Competitive Inner City
George Gendron, Editor-in-Chief, Inc. Magazine
Dinner Chairman
Chris Gabrieli, General Partner, Bessemer Venture Partners, Boston.
Dinner Co-Chairs
John W. Bachmann, Managing Partner, Edward Jones, St. Louis
Mark F. Blaxill and Barbara B. Berke, Vice Presidents, The Boston Consulting Group, Boston
Robert K. Green, President and Chief Operating Officer, UtiliCorp United, Kansas City
Ronald A. Homer, CEO, Access Capital Strategies, LLC, Boston
Joel Hyatt, Founder, Hyatt Legal Plans, Inc. and Lecturer in Management, Stanford University's School of
Business, Stanford
Edmund F. Kelly, CEO, Liberty Mutual Group, Boston
John J. O'Connor, Office Managing Partner, Boston, PricewaterhouseCoopers, LLP, Boston
Honorary Dinner Co-Chairs
Kurt Mueller, President & CEO, The Kauffman Center for Entrepreneurial Leadership at the Ewing Marion
Kauffman Foundation, Kansas City
William H. Gates Family Foundation, Seattle
Dinner Vice-Chairs, $25,000
Olive Darragh, Principal, McKinsey & Company, Inc., Boston
James S. DiStasio, Managing Partner, Ernst & Young LLP, Boston
Mark B. Fuller, Chairman, Monitor Company, Boston
Michael G. Fisch, President, American Securities Capital Partners, L.P., New York
Chad K. Gifford, Chairman and CEO, BankBoston, Boston
Bernard A. Goldhirsh, Chairman, Inc. Magazine, Boston
Goldman Sachs & Co., New York
Eugene A. Ludwig, Vice Chairman, Bankers Trust Company, New York
Mellon/The Boston Company, Boston
Jeffrey P. Papows, President & CEO, Lotus Development Corporation/IBM, Boston
Richard D. Parsons, President, Time Warner Inc., New York
Andrew Power, Partner, Andersen Consulting LLP, Boston
Franklin D. Raines, Chairman & CEO, Fannie Mae Corporation, Washington DC
David A. Spina, President & COO, State Street Corporation, Boston
Steven C. Walske, Chairman & CEO, Parametric Technology Corporation, Boston
J. McDonald Williams, Chairman, Trammell Crow Company, Dallas
Dinner Patrons, $10,000
William A. Ackman and David P. Berkowitz, Principals, Gotham Partners Management Company, New York
Donald L. Boudreau, Vice Chairman, The Chase Manhattan Bank, New York
Regina M. Pisa, Managing Partner, Goodwin, Procter & Hoar LLP, Boston
Jack M. Connors, Chairman & CEO, Hill, Holliday, Connors, Cosmopulos, Inc., Boston
Dain Rauscher Wessels, Minneapolis
David C. Darnell, President, NationsBank Midwest, St. Louis
Tom Dougherty, Partner, Skadden, Arps, Slate, Meagher & Flom, LLP, Boston
Richard J. Egan, Chairman, EMC Corporation, Boston
Priscilla Hill-Ardoin. President, Southwestern Bell-Missouri, St. Louis
Donald B. Holmes, Managing Partner, KPMG Peat Marwick LLP, Boston
Constance N. Hubbell, President, The Hubbell Group, Boston
Seth A. Klarman, President, The Baupost Group, L.L.C., Boston
L. Dennis Kozlowski, Chairman & CEO, Tyco International Ltd, Bermuda
over please
727 Atlantic Avenue Suite 600 Boston, Massachusetts 02111
phone: 617.292.2363 fax: 617.292.2380 web: www.icic.org
Dinner Patrons, continued
Richard A. Liddy, President and CEO, GenAmerica, St. Louis
Terrence Murray, Chairman & CEO, Fleet Financial Group, Boston
The Open Society Institute, New York
Parametric Technology Corporation, Boston
Craig D. Schnuck, Chairman & CEO, Schnuck Markets, Inc., St. Louis
Andrew C. Taylor, President, Enterprise Rent-A-Car Company, St. Louis
Stephen G. Woodsum, Managing Partner, Summit Partners, Boston
Dinner Sponsors, $5,000
Josh Bekenstein, Managing Director, Bain Capial, Inc., Boston
Richard M. Burnes, Partner, Charles River Ventures, Boston
CitiMarkets, LLC, Jersey City, NJ
Compensation Resource Group, Inc., Pasadena, CA
William F. Connell, Chairman & CEO, Connell Limited Partnership, Boston
David Croll, Managing Partner, M/C Venture Partners, Boston
Michael F. Cronin, General Partner, Weston Presidio Capital, Boston
The Davis Companies, Boston
Louis Dell'Ermo, CEO, Gateway Security, Newark
John T. Dillon, Chairman & CEO, International Paper Company, Purchase, NY
John E. Drew, President & CEO, World Trade Center Boston/Seaport Hotel, Boston
Russell L. Epker and Ann Percival, Boston
Fairview Capital Partners, Farmington, CT
Carlton L. Guthrie, President, Trumark Incorporated, Lansing, MI
David E. Hall, Director of Subsidiary Integration, Hallmark Cards, Inc., Kansas City
Harvard University, Cambridge
Hill & Barlow, A Professional Corporation, Boston
John Hancock Mutual Life Insurance Company, Boston
Alexander C. Kemper, President & CEO, UMB Bank, Kansas City
Robert K. Kraft, Owner, New England Patriots, Boston
George E. Massaro, Managing Partner, Arthur Andersen LLP, Boston
James Manzi, Boston
Thomas J. May, Chairman & CEO, Boston Edison Company, Boston
Hugh L. McColl, Chairman & CEO, Bank of America, Charlotte, NC
Andrew McGinnis, Senior Vice President, TBG Financial, Los Angeles
Joseph C. McNay, Chairman, Essex Investment Management Company, LLC, Boston
MetLife, Boston
Charles S. O'Connor, Principal, Fallon, Hines & O'Connor, Inc., Boston
Gwendolyn Smith Iloani, President & CEO, Smith Whiley & Company, Hartford
Thomas G. Stemberg, Chairman & CEO, Staples, Inc., Boston
TA Associates, Inc., Boston
David C. Weinstein, Chief of Administration & Government Affairs, Fidelity Investments, Boston
Barry B. White, Managing Partner, Foley, Hoag & Eliot LLP, Boston
ICIC Initiative for a Competitive Inner City
Initiative for a Competitive Inner City
By encouraging inner-city business development, ICIC strives to build healthy inner-city
economies to create jobs, income, and wealth for local residents.
Your support is critical for our progress to continue.
Founding National Partner
$250,000/year and above
(3 to 5 year commitment)
Senior National Partner
$150,000 to $249,999
National Partner
$50,000 to $149,000
Partner
$25,000 to $49,999
Associate
$5,000 to $24,999
Friend
$1,000 to $4,999
Supporter
$25 to $999
YES, I would like to contribute to ICIC at the following level: $
I would like to be acknowledged in all materials as follows:
Please provide the following information:
Name
Title
Address
City, State, Zip
Phone
Fax
Email
Please make checks payable to the Initiative for a Competitive Inner City
and mail to 727 Atlantic Avenue, Suite 600, Boston, MA 02111.
Your contribution IS tax deductible to the full extent allowed by law.
The Initiative for a Competitive Inner City will send you a contribution acknowledgment which recognizes the value of your contribution.
727 Atlantic Avenue Suite 600 Boston. Massachusetts 02111
phone: 617.292.2363 fax: 617.292.2380 web: www.icic.org
THE INNER CITY 100
INITIATIVE FOR A COMPETITIVE INNER CITY
Inc. Magazine
Dear Colleague,
We are writing to ask for your assistance in identifying fast growing companies for the 2nd annual Inner
City 100. The list will be published in the May 2000 issue of Inc. Magazine.
To qualify, a company must meet all of the following criteria:
Be a for-profit corporation, partnership or proprietorship (not a franchise, division or subsidiary)
Be headquartered in the inner city or have 51% or more of physical operations in inner-city
areas
Employ 10 or more employees at year-end 1998
Have a five-year operating sales history that includes:
-
at least $40,000 sales revenue in 1994.
- an increase in 1998 sales over 1997 sales.
- sales of at least $1 million in 1998.
Cannot be a holding company, regulated bank or utility
If your company is a candidate for the list, or If you know of one that might be, please submit the
company name(s), address(es) and telephone number(s) to us below. We'll be sure to send the CEO
a copy of the Inner City 100 Qualification Form.
Thank you!
Your Name:
Tel#:
Company Name, Address, Telephone
CEO Name
1.
2.
3.
4.
5.