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The Valley’s Business Matters

ISSN 1047-8582 Vol. 26 No. 6 OCTOBER 2009 $2.50

Summer Garden,
Green and Lean
Celebrity chef Mario Batali in Energy and Environmental Design,
a certification developed by the U.S.
chooses plant to produce Green Building Council and awarded
to projects that achieve certain envi-
his brand of Italian sauces. ronmental and efficiency standards.
By Dan O’Brien These criteria are met through the
use of recycled building materials, en-

he Summer Garden Food ergy conservation through innovative
Manufacturing Inc. plant at design and technology, high indoor
500 McClurg Road, Boardman, environmental quality and a reduction
is not only the production hub of the in water consumption.
Mahoning Valley’s own Gia Russa The key is to bring everyone in
brand sauces, it’s the very model the plant on board, Zidian says. Ul-
of energy efficiency and modern timately, that results in conservation
manufacturing for the food-processing across the entire workplace, which
industry. ranges from recycling the cans that
“It becomes a whole thought pro- hold tomatoes imported from Italy
cess,” says Tom Zidian, vice president to an innovative cooling system that
of Summer Garden. “Our goal was to significantly reduces energy costs.
become a LEED manufacturing plant “At the other plant, this didn’t seem
and distribution center, and that’s a possible,” Zidian says. The company
big commitment.” relocated its manufacturing operations
The building is the first in the from a 3,300-square-foot plant in
Mahoning Valley to be constructed Coitsville into the new 54,000-square-
to LEED specifications and is one foot operation on McClurg. The $12
of the first manufacturing plants in million plant opened in March.
the state to achieve that benchmark. New technology and equipment
Summer Garden’s new plant has the capacity of turning out 200 bottles of sauce per minute. LEED is the acronym for Leadership See SUMMER GARDEN, page 6

No Barbie Dolls at This Museum

By Dennis LaRue that excitement and sense of wonder.
The new executive director of the Children’s

T he dean of the STEM College at Youngstown

State University cringes when he recalls
advertisements for Teen Talk Barbie in 1992
that had the doll say, “Math class is tough.”
Girls who pulled a string, and from their Teen
Center, Suzanne Barbati, understands fully and sees
one of its goals as “encouraging young people to
enter health careers, kids as young as elementary
A supporter and director of the Children’s Mu-
Talk Barbie got the message, “Math is hard,” is what seum since it opened in 2004, Barbati, a veteran
Abraham remembers as he discusses why he sits educator, “took a pay cut to come here,” she says,
on the board of the Children’s Center for Science “[because] I thought we could have a huge impact
& Technology. on kids’ education.”
Science and mathematics are enjoyable, the dean See CHILDREN’S MUSEUM, page 40
of the STEM college says. “Kids get excited about
science and math,” he continues, and the mission of Docent Barbara Christoff shows an exhibit to Jaidyn Copeland-
the Children’s Museum is nourishing and sustaining Price, 2, and her great-grandmother, Lucille Copeland.
2 OCTOBER 2009 The Business Journal
The Business Journal OCTOBER 2009 3


9 Made in the Valley at Tia’s Dancewear

Finding fashionable dancewear made in
the United States was nearly impossible
until Geri Slavin founded Tia’s Dancewear
and Step in Time. Maraline Kubik tells
Slavin’s story in her 25th Anniversary
series, “Made in the Valley.”

Diane Venters sews a pillow pad for a chair. She’s worked 17 years in the sewing room at Brentwood Originals.

The Right Stuffing

Brentwood Originals stuffs Domer, division manager for the eastern states.
Today, it remains a key tenant in the industrial
23 Suiting Up to Cover the G-20 28,000 pillows every day. park, employing 110 workers who turn out 28,000
decorative pillows a day.
Rick Minutello, operations manager at By Maraline Kubik Brentwood employees in Youngstown stuff pillow
WPXI, wears a protective suit and goggles and chair-cushion slip covers made in China and

that journalists were prepared to wear outed as the flagship first tenant of Youngstown’s India with polyester microfiber fillings, sew them
covering protesters at the G-20 summit. Salt Springs Road Industrial Park when closed, pound them to uniformly distribute the fill-
Go behind the scenes with BusinessJour- it opened in September 1990, Brentwood ing, and package them for delivery to retailers’ ware- anchor Stacia Erdos. Originals is weathering the ups and downs of an houses throughout the Northeast and Midwest.
uncertain economy. The company also operates manufacturing plants
Based in Long Beach, Calif., Brentwood estab- in California and Mississippi to supply customers’
lished its first manufacturing plant in the Mahoning retail locations in the western and southern states.
Valley in 1968 to serve major retailers such as J.C. Brentwood does not export its products, notes Jack
Penney and Sears that operated stores throughout Domer, corporate vice president and Tim Domer’s
the Midwest and along the East Coast, says Tim See BRENTWOOD ORIGINALS, page 4

37-39 Good Times for Auctioneers

Auctioneers Joe Rulli and J. Paul Basinger
seek bids for an 1898 Thomas Edison pho-
nograph at an auction in late September in
Boardman. Real estate sales, estates and
folks who are downsizing keep them busy.

17 Lou Zona 24 Wire Service

21 Building Wealth 45 BBB Report

23 Stacia’s Media 56 Legal Listings

4 OCTOBER 2009 The Business Journal

Brentwood Originals:
From Page 3
brother. They are, however, sometimes exported by
the retailers that buy them, he says.
Costco is among the retailers with stores outside
the United States that Jack Domer says may export
Brentwood Originals’ products for sale in its stores
outside the United States.
In the 1960s, the company chose to locate its East
Coast operations in the Youngstown area, Domer
explains, because of the region’s skilled work force
and transporation system.
“The mills were going gung ho. There was plenty
of transportation – the area was served by lots of rail
– and shipping everything [finished products] from
the West Coast didn’t make sense. It’s a long way and
freight is expensive,” explains Jack Domer.
After two additions to its original plant on Karago
Avenue in Boardman, and no more room to expand,
executives optioned land in Boardman and Aus-
tintown before Youngstown’s then-mayor, Patrick
J. Ungaro, lured them to the city. The city sold 30
acres in what was to become the Salt Springs Road
Industrial Park to Brentwood for $1, approved a
100% abatement on real estate and personal property
taxes for 10 years, and absorbed responsibility for
replatting costs and site preparation.
At the time, Brentwood’s Karago Avenue plant
employed 325 workers and the company projected
as many as 175 more jobs would be created once
the new $6.5 million, 300,000-square-foot factory
and warehouse in the Salt Springs Road Industrial
CONTINUES NEXT PAGE Cory Altman and Tim Domer hold velvet pillows that will be sold by Lowe’s. The Youngstown plant serves many major retailers.

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The Business Journal OCTOBER 2009 5

Park was completed. The new plant was more than Each of Brentwood’s plants manufactures identi- says. The law label, which describes the fabric and
twice the size of Brentwood’s former location in cal products, although the lines vary from customer filling and may include the retailer’s name and price
Boardman, and was designed to accommodate to customer. Some companies, such as Pier 1 Im- usually contains information about where the item
expansion should demand for decorative pillows ports, have their own designers who work with was assembled, he says.
continue to grow. Brentwood to develop unique styles, colors and It might read “Brentwood Originals, Youngstown,
Within a year of Brentwood relocating to the designs, Tim Domer says. Others request special fill Ohio,” if it was made in the Valley, or “Brentwood
industrial park, Federal Express, Toys R Us Inc. for products their stores sell – super-fine microfiber Originals, Long Beach, Calif.” if it was made at the
and Lyons Medical Supply Co. secured space there. that feels like down, for instance. manufacturer’s western plant. But, Domer notes,
Three of those initial tenants – Brentwood, FedEx Recognizing Brentwood Orginal’s products in some retailers request that information not be in-
and the Toys R Us distribution center – remain an- the store, however, is not always possible. Most cluded on the law label.
chor tenants in the industrial park today. contain multiple labels sewn into the seam that Coordinating curtains and throws that Brent-
At its peak, Brentwood’s Youngstown operations identify where the product was made and what it wood also offers for sale to retailers are imported
– known as the eastern plant – employed 330 work- is made from. A Made in China or Made in India as finished products from the same countries that
ers. Although the 175 new jobs company leaders had label pertains to the pillow slip only, Tim Domer provide pillow slips.
projected never came to be, Brentwood Original’s
has remained a vibrant force in the market.
With the onset of the economic recession, how-
ever, demand for Brentwood’s decorative pillows and
seat cushions began to wane. Many of the retailers

the company supplied, including Value City dis-
count department stores, closed locations and sales
dropped at the retailers that remained, Tim Domer
says. That forced Brentwood to trim operations and

furlough employees.
This spring, demand for product picked up a
bit, allowing the company to call back a handful
of employees in Youngstown and providing some
overtime for the unionized workers who put in 9½-
or 10-hour days during the week and eight hours
some Saturdays, but demand slacked off again this
summer. “It’s hit and miss,” Tim Domer says.
About 30 workers remain on lay off in Youngstown, No matter how large or small, your loan is of utmost importance to
Tim Domer says. our experienced commercial lending team. From the first handshake,
Still, Brentwood is still the largest decorative pil-
low manufacturer in the United States. “We probably you’ll be pleased with the exceptional attention provided by our local
do 65% of all the business,” Tim Domer says. decision-makers.
“We make pillows for almost everybody in the
U.S. – Kohl’s, Wal-Mart, Bed, Bath & Beyond, Pier
1, Target,” Jack Domer adds. • Commercial Real Estate Loans
It takes about a year for a pillow or cushion to
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2009 WWR Outstanding Community Partner Award

Denise Harvey inspects a finished product. Subsidiary of United Community Financial Corp. Equal Housing Lender Member FDIC
6 OCTOBER 2009 The Business Journal

John Angelilli, Summer Garden’s chief financial officer, and Dan Misner, an engineer for GE Fanuc, say the new manufacturing
plant integrates an entirely new automated software system that improves productivity and identifies potential problems.

Summer Garden: Green and Lean

From Page 1 processing operation, he explains.
allows Summer Garden to produce 100 bottles of The system is also able to monitor and measure
sauce per minute. The rate was 30 bottles at the the success of each operation, Angelilli says. “When
old site, Zidian says. “It’s set to do as much as 200 it comes to making sauce, viscosity is very impor-
bottles per minute.” tant,” he says. With data supplied in real time, opera-
Over the past year, Zidian reports, the company tors can determine whether the sauce is being mixed
started a host of new projects that included secur- at a proper thickness. “It creates a data trail.”
ing a new licensed brand with Mario Batali, “the Dan Misner, an engineer for GE Fanuc who
most renowned Italian celebrity male chef on TV,” helped design the automation system, says the trick
he relates. was to create a software grid that would allow each
That achievement alone has scored big points operation to “talk” to one another. “A lot of the hard
with customers, Zidian says. “We opened the plant work is done behind the curtain,” he relates.
in March and came out with that brand in April.” The For example, an operation that uses a filler ma-
new brand constitutes about half of the company’s chine, a bottling machine and a capping machine,
business. “It increased our total business by about most likely purchased each piece of equipment from
100%. We needed a new facility.” different vendors – in some cases from different
Modifications were also introduced to the cooling countries. Before, data could be read from a single
and heating system in the plant, which allows water machine, but it was difficult to create a network that
to be recycled through a heat exchanger. tied them altogether.
Chris Thomas, the company’s quality-assurance That was solved with the introduction of GE
officer, says this new system stands to save the com- Fanuc’s Supervisory Control and Data Acquisition,
pany $50,000 a year in energy costs. “It especially or Scada, system, Misner says. “It allows data to be
saves us money during the winter,” he says. transferred from all of the operations,” so equipment
Moreover, the building has integrated an entirely can communicate with each other.
new automated software system designed to improve These new efficiencies and methods of produc-
productivity and identify potential problems that tion are integral to the company’s future as it pre-
could impair the manufacturing process. pares to expand its market, Zidian says. “We supply
“We have a sophisticated network built into about 8,000 retailers across the United States,” he
the system where we can share data in real time,” reports, ranging from specialty stores to major su-
says Summer Garden’s chief financial officer, John permarkets.
Angelilli. “There’s some other possible celebrity brands
The new systems are invaluable in diagnosing we might get,” Zidian hints, and his company may
any problems as they arise, and provide enough expand the line of Mario Batali products. “I just got
data to respond to and solve the issue immediately. back from New York, where I was working with
Each operation on the production floor has a display Mario on some new products that we have intentions
monitor that can track just about every facet of the [to market],” he says.
The Business Journal OCTOBER 2009 7

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8 OCTOBER 2009 The Business Journal

YSU President David C. Sweet smiles as the white steel beam “tops off” the new building for the Williamson College.

YSU ‘Tops Off’ New Building for

Williamson College of Business
By Dan O’Brien next year, said the new business school stands as
a milestone in what will be nearly 10 years as the

ceremony that originated in Europe and was university’s chief executive. “I’m proud of what
brought to America through the country’s we’ve done here,” he said.
diverse immigrant population provided the The new school, Sweet said, will not only provide
opportunity Sept. 23 for community leaders to better opportunities for the university’s business
celebrate Youngstown State University’s new $34.3 students, but will also serve as a conduit for building
million business school. relationships between area companies, the commu-
YSU held a topping off ceremony in front of a nity, faculty and staff.
large steel-frame skeleton along Wood Street – the Sweet called the college another step forward in
future home of the Williamson College of Business the university’s continuing partnership with the city.
Administration. “This is a celebration of partnerships,” he told the
Community leaders and university officials were crowd of about 100.
in attendance as one of the final steel beams was Among those present were Warren P. “Bud”
set in place for the structure. Evoking a tradition Williamson III, Tony and Mary Lariccia, and
practiced in England, Germany and Poland, that Youngstown Mayor Jay Williams.
steel beam is painted white and signed by those who The Williamson family donated $5 million to-
helped construct the building, said Betty Jo Licata, ward construction of the school while the Lariccias
dean of the Williamson College. donated $4 million. The university is raising $16
The YSU beam was signed by all of those work- million in private funds for the effort, while the
ing on the project, including tradesmen, university remainder will be funded by state dollars.
officials, students, public officials and benefactors The new school, the focal point of YSU’s
who helped make the new school a reality. centennial master plan, will provide modern class-
“It celebrates the hard work” and skill of those rooms and laboratories for 1,950 students. The
who helped construct the school, Licata said. building is designed to meet standards for Leader-
Accompanying the beam were United States and ship in Energy and Environmental Design, or LEED,
YSU flags, and an evergreen tree that tradition says a rating established by the U.S. Green Building
means good luck. “It symbolizes the completion of Council.
a job well done,” Licata said. Construction of the new school is on track and is
YSU President David Sweet, who is set to retire scheduled to open in time for fall 2010 classes.
The Business Journal OCTOBER 2009 9

Made in America Drives Tia’s Fashion

Dancewear manufacturer embellishes warm-up suits, jackets, hats, tanks,
T-shirts, shorts, hoodies, sweats, tote bags, garment
aims to be part of a strong bags and backpacks. It buys some apparel ready
made and embellishes it, and starts from scratch with
local economy. others, depending on the item, Slavin says. None of
Step In Time’s lines is available in retail stores. They
By Maraline Kubik are strictly wholesale items sold in quantity to stu-
dios and teams. The Carolina Panthers cheerleaders

F inding fashionable dancewear is a challenge.

Finding fashionable dancewear made in the
United States is nearly impossible – or it was,
before Geri Slavin founded SIT Inc., the Boardman-
based parent company of Tia’s Dancewear and Step
are among the teams who’ve sported apparel from
Step In Time, Slavin notes, as are a few motorcycle
clubs that ordered jackets with their logos.
“We’re more fashion-oriented,” she says, explain-
ing how her company competes in the marketplace.
In Time. “We can go from stage to studio to streetwear,” she
Both companies manufacture fashionable clothing says. “They love us in London.”
for dancers, skaters, gymnasts and cheerleaders. “It’s very, very popular with tweens and teen-
Tia’s Dancewear lines are available in hundreds of agers,” says Pat Troseth, owner of Pat’s Dancewear
retail stores throughout the United States, Canada, in Bountiful, Utah, one of the many retailers that
Mexico, England, Scotland, Ireland, Germany and carries Tia’s Dancewear line. “They’re really on top
Norway, through major dancewear catalogs such as of the latest fashion,” Troseth continues. “It’s a ter-
Discount Dance and Weissman, and at most major rific product and we really like it.”
dance competitions. Step In Time lines, which fea- Sales of Tia’s products at Pat’s Dancewear, how-
ture customized teamwear and gear, are available ever, fluctuate with the season, Troseth notes. This
through studios and the apparel manufacturer’s time of year, when her customers are heading back
printed and online catalogs. Catalog purchases to school, most sales are connected to ballet lessons,
require a minimum order of 12 pieces. she says, “and Tia’s line is more jazz and hip-hop
A home economics teacher by education, Slavin oriented.”
Making clothes for her three daughters inspired Geri Slavin to
began designing and making clothing for her three “It’s very blingy,” adds Bonnie Ouellette, manager
start her dancewear manufacturing business 19 years ago.
daughters when they were little girls. Her business of Dance Village in Manchester, Conn. “It has lots
was born after other dancers admired the printed and more than 30 sales agents represent the compa- of bling, which makes it very appealing to the 8- to
T-shirts and boxer shorts her youngest daughter, ny throughout North America and Europe. Slavin’s 15-year-olds, and some that are even older.”
Tiffany, nicknamed Tia, for whom the business is youngest daughter, Tiffany Walton, also Dance Village is another retailer that carries Tia’s
named, designed and wore to works for the company part-time, Dancewear’s line.
class. designing clothing and oversee- Most customers don’t seem to notice that Tia’s
Soon, the designs evolved ing publication of the companies’ products are made in the United States, Ouellette
to include crystals and studio
logos embroidered or silk-
screened on a wide range of
��� � catalogs from her home in West
Hollywood, Calif.
Most dancewear sold in the
continues. But, because they are made in the United
States, they usually cost more than many competi-
tors’ products that are mass-produced in developing
apparel – T-shirts, tank tops, United States is made in China, countries, she says. “A pair of shorts made in Thai-
bra tops, hoodies, sweats, Slavin says. All of Tia’s Dancewear land costs $12 versus $30 for a pair of shorts from
dance pants, camis and capris, is manufactured at the company’s Tia’s. But the quality is better,” Ouellette says, and
shorts, scarves, and socks and Boardman headquarters, much customers notice that. “Tia’s sells very well here.”
leg warmers. All of Tia’s lines of it using American-made fabrics Demand for fun, comfortable, fashionable cloth-
are designed and manufac- although, Slavin says, it is increas- ing of high quality has fueled steady growth. A new
tured by Slavin and her em- ingly difficult to find fabrics made in the line featuring designs that appeal specifically to
ployees – 30 full-time workers United States because American companies skaters was introduced last year and Slavin says she
are employed at the Boardman can’t compete with imports from Asia. expects that line to spur significant growth as the
headquarters and manufacturing site Step In Time designs, manufactures and See MADE IN AMERICA, page 10


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Kathy Nabors, one of several seamstresses at Tia’s Boardman manufacturing plant, stitches the seam on a pair of sweatpants.

Made in America: Drives Tia’s Fashion

From Page 9
skating season heats up this year. her company to fill orders for 500 or 1,000 pieces of
The fact that Tia’s and Step In Time’s lines are the same item. Tia’s Dancewear and a Step In Time
both made in the United States should be a selling also cater to customers’ whims, cutting and sewing
point, Slavin says, but she’s not sure retailers pay to meet their demands and often, tight deadlines.
much attention. “I don’t know of anyone in dance- It wouldn’t be possible, Slavin says, without her
wear who promotes ‘made in the U.S.A.’ ” dedicated employees.
Even so, she is committed to helping to build In the Mahoning Valley, Tia’s Dancewear is avail-
the local and American economies by promoting able at Tia’s Dancewear Retail Store, 6540 Market St.,
the benefits of buying local and buying American- Boardman. To find other retailers, visit the company’s
made products. Web site,
Tia’s Dancewear supports the 3/50 Project, a
grassroots movement that encourages consumers to
spend $50 every month among three locally owned
businesses, Slavin says. Fifty dollars total, not $50 Made in the Valley
At Tia’s Dancewear
at each of the three businesses, she clarifies.
According to the 3/50 Project Web site, 68 cents
of every dollar spent at locally owned businesses
returns to the community through payroll and Products: Fashionable clothing for dancers, skat-
taxes. That compares, the Web site reports, to 43 ers, gymnasts, cheerleaders and teams.
cents returned to the community for every dollar Founder: Geri Slavin
spent at chain stores. Nothing returns to the com-
munity when consumers spend money online with Year Founded: 1998
companies based outside the area, according to the Headquarters/Manufacturing: Boardman, Ohio
3/50 Project. Number of Local Employees: 30
So committed is Slavin to building a strong local
Number of Sales Representatives: 30+
economy that even the models in her companies’
catalogs – except for her granddaughter – are stu- Retailers: Check Web site,
dents at area dance schools. The photographer is also Geographic Area Served: United States, Canada,
local, “or we take our own pictures,” she says. “This Mexico, England, Ireland, Germany, Norway
whole catalog is done in my backyard.”
Slavin’s business is based on volume and excep- Source: Tia’s Dancewear
tional customer service. It’s not unusual, she says, for
The Business Journal OCTOBER 2009 11

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12 OCTOBER 2009 The Business Journal

Richard Trumka, president of the AFL-CIO, addresses some 150 steelworkers in front of the idled OAO Severstal mill in Warren
Sept. 18. It’s been decades since a national AFL-CIO president visited the Mahoning Valley and Trumka says he’ll be back.

New AFL-CIO President

Outlines ‘American Plan’
By Dan O’Brien Trumka was elected by acclamation during the
AFL-CIO national convention in Pittsburgh that

t was the first visit of a national AFL-CIO wrapped up Sept. 17. On Tuesday, President Barack
president to the Mahoning Valley in decades, and Obama addressed the audience after appearing at
Richard Trumka promises it won’t be the last. a rally at General Motors Co.’s Lordstown plant
“I guarantee you, I’m coming back. You’re going near here.
to see me everywhere,” said Trumka, the newly “I meet with the president on a regular basis,”
elected president of the AFL-CIO, shortly after he Trumka said, noting he’s part of a labor advisory
finished addressing some 150 steelworkers Sept. 18 board charged with keeping Obama abreast of the
in front of OAO Severstal, Warren. group’s opinions on trade and labor relations.
The steel mill has been idle since early this year, “President Obama is on board,” he told workers.
when orders collapsed and the bulk of the plant’s “But it’s up to us to demand to work for an economy
1,100 hourly workers were placed on layoff. that works for everyone.”
Trumka told the steelworkers that he’s had ties Trumka wants the administration to examine
to the Mahoning Valley since when the steel indus- trade policy to ascertain which programs do, and
try was pushing ahead full throttle. “The mine my don’t, work, he told reporters. Trade pacts such
grandfather worked in, my father worked in, and I as the North American Free Trade Agreement and
worked in, was a mine owned by Youngstown Sheet the Central American Free Trade Agreement have
& Tube,” he recalled. helped destroy the manufacturing base in this coun-
He then detailed the demise of the business as a try, he asserted.
result of what he called the Lykes Corp.’s misman- Developments such as the tariffs the Obama Ad-
agement. Lykes, a steamship company based in ministration recently imposed on tire imports from
Florida, purchased Sheet & Tube in the late 1960s. China is a step in the right direction, Trumka said,
“That mine had 20 years of production left in it when and he dismissed threats of economic retaliation
they shut it down,” he said. from other countries. “We’re the biggest market on
Using the idled Severstal plant as a backdrop, the face of the earth and they need us,” he said.
Trumka said it’s operations such as these that should Trumka doesn’t advocate shutting the country off
be running, making product and making it here in from imports, he said. Rather he favors regulating
the United States. “Together, we are going to create them so the American worker has a chance: “Right
an economy that works for everyone,” he said. See AFL-CIO, page 14
The Business Journal OCTOBER 2009 13

Union Leaders Have High Hopes for Trumka

New AFL-CIO president seeks to
restore organized labor’s role as
champion of working class.
By Dennis LaRue

s he seeks to restore organized labor to its
role as champion of the working class, the
newly elected national president of the AFL-
CIO, Rich Trumka, sought guidance from leaders
of labor unions Sept. 18 during his tour of the
Mahoning Valley.
After meeting with 150 union steelworkers laid
off at Severstal Steel in Warren (See story opposite
page), Trumka traveled to the Ohio Historical So-
ciety Youngstown Center of Industry and Labor,
commonly known as the steel museum, where he
met two hours with 19 union leaders and staff, com-
munity leaders and organizers, a professor of labor
Rich Trumka, national president of the AFL-CIO, right, listens intently as Joe Rugola, Ohio AFL-CIO president, and other labor
studies, college students, clergy and the press.
leaders, community organizers, a college professor, members of the clergy and students offer insight about the economy.
The economy of the Mahoning Valley has become
a microcosm of the national economy, a premise first further into debt and, increasingly, bankruptcy. The are scared about their future. He also heard about
advanced in 2002 by John Russo, a professor of labor bursting of technology and housing bubbles acceler- unemployment benefits long-expired, of workers
studies at Youngstown State University, and who sat ated this feeling of despair and financial distress. losing their pensions because their employers filed
on the roundtable assembled for Trumka. From 1946 to 1973, Trumka said, the wages of for bankruptcy. And he heard about laid off workers
Russo’s premise has been gaining acceptance, working people and union members rose. As pro- who lost their health insurance because they couldn’t
especially since the latest recession, the worst since ductivity increased, wages rose and all Americans afford Cobra. In some cases, workers still lost cover-
World War II, began nearly two years ago, Bill Padi- prospered, including those at the top. Since that age because their employer filed bankruptcy.
sak, president of the Mahoning-Trumbull Counties time, wages of Americans paid hourly wages have Also often mentioned were the devastation that
Labor Council, told Trumka. stagnated and fallen as unions have been asked to free-trade agreements such as Nafta and Cafta
In his opening remarks, Trumka told the round- make concession after concession and watched those – North American and Central American free trade
table participants that he wanted to hear their sto- at the top get richer. agreements – have caused union workers.
ries, their experiences, so he and the new leadership Until 1973, Trumka said, the wages of Americans In short, most of what he heard were bromides
of the AFL-CIO can “develop a progressive agenda in the “bottom two quartiles increased faster than that reinforced the conventional wisdom that unions
for our America campaign.” those at the top.” Today the people in the top 1% hold.
He promised that he and his new administration control 40% of the nation’s wealth. Trumka also heard declarations about the “need
would “develop,” “execute” and “agitate” for adop- What he hopes to achieve during his union to rebuild America,” as Butch Taylor, business agent
tion of this progressive agenda. presidency, Trumka said, is restore hope to discour- for Local 396 of the Plumbers said to applause.
“Right now the system doesn’t work well [for aged workers “who are satisfied to keep what they “You can be the voice for the workers and get the
working- and middle-class Americans,” Trumka have. We must raise expectations. And we must country back on its feet again,” Taylor said.
declared. “Right now it does work very well for the realign the interests of corporations with those of George Calko, a long-time member of Local 1375
people at the top.” the country.” of the Steelworkers union and laid off by Severstal,
Because Americans’ real wages have fallen while Trumka did hear sentences, not stories, of work- told Trumka, “Now that I’m displaced and out of
those at the top have increased substantially, espe- ing class residents losing their houses to foreclosure, work, I’m scared.” Calko, who described himself as
cially as a result of the Bush tax cuts, Trumka pos- of suicides, of young people leaving the Valley to seek “a fourth-generation steelworker,” asked Trumka
ited, “[Union members] tried to borrow their way brighter opportunities, of the high rates of unemploy- to work so that working Americans who “give an
into the middle class” only to find themselves falling ment, of middle-age and older residents saying they See HIGH HOPES, page 14

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14 OCTOBER 2009 The Business Journal

AFL-CIO President: Outlines ‘American Plan’

From Page 12 Bette Kovach, a spokeswoman for Severstal who Severstal, the largest steel producer in Russia,
now, the deck is stacked against the American attended the speech, said the company shares the purchased the former WCI Steel plant nearly two
worker.” goal of getting the plant operating again and return- years ago. The market collapsed in October, and
Trade barriers in Europe, for example, make it ing these employees to work. the plant initially placed about 400 on layoff. That
nearly impossible for U.S. companies to ship com- “We’re fortunate to have an excellent relationship was followed in December with a massive layoff of
ponents or goods to serve some of their most active with the union,” she said. “We share the belief that most of the remaining workers.
sectors, such as water, transportation and telecom- America needs a strong manufacturing base.” Gary Steinbeck, district subdirector for the Steel-
munications. “It covers about 80% of the market,” The wild card is whether the market has recov- workers Union, said Trumka’s appearance speaks
he stated. ered sufficiently to reopen the plant anytime soon, volumes about the importance of labor in this area:
What Trumka has in mind, he says, is to develop Kovach said. “We’re looking at that right now,” “We’re very proud to have him here. He has a vision
an “American Plan” to reinvigorate the labor move- she said. “We’re committed to the North American for the future and understands the tough challenges
ment and to bring plants such as Severstal Warren market for the long term.” labor is facing.”
back to life.
“I know it’s tough out there,” he said as he looked
directly into a camera operated by a member of the
United Steelworkers of America. “I’m asking you to
hang tough, stick together and stay with the union.
We’ll get that plant open.”
Ed Machingo, president of USWA Local 1375,
said he was heartened by what Trumka had to say
during his brief talk. “I’ll take any help I can get,”
he said.
The president of the local said he’s noticed the
economy is starting to turn for the better, but busi-
ness will dictate when the mill could be fired up
“We’re seeing a little increase for the company as
a whole,” he reported.

High Hopes: For Trumka

From Page 13
honest day’s labor get an honest day’s pay – and be
allowed to retire with dignity.”
He also heard the roundtable participants express
pride in America, their patriotism, their belief that
America, the richest nation on the world, is capable
of doing more to promote education for those who
can’t afford it. And that those who work hard should
be rewarded for their efforts.
Trumka noted, “[U.S.] trade laws are linked to
the tax code,” which has encouraged the export of
jobs that pay well, both union and nonunion, and
praised President Obama for “showing a willingness
to enforce trade laws,” citing the recent U.S. imposi-
tion of duties on tires made in China.
Part of organized labor’s problem, Sonny Morgan
told Trumka, is the movement’s inability to get its
message out both to its members and workers who
don’t belong to unions. Morgan, a staff representative
of the International Union of Electrical Workers/
Communications Workers of America, told Trumka
that the AFL-CIO must do “a better job getting labor’s
message out.” Once labor and organizers get poten-
tial members to understand how union membership
will benefit them, they’ll join, he said.
Jaladah Aslam, a staff representative of the
American Federation of State County and Munici-
pal Employees, echoed Morgan’s sentiments, “We
must tell America that unions are the backbone of
the middle class.”
In closing, Trumka touched on the themes that
citizens should buy goods made in America, bet-
ter yet, buy goods made with union labor. As the
event concluded, the president of Local 1714 of the
United Auto Workers, Dave Green, drew applause
when he informed Trumka that he wrote a letter to
Obama saying, “Our military should be using 100%
American-made products.”
The Business Journal OCTOBER 2009 15

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16 OCTOBER 2009 The Business Journal

The Valley’s Business Matters

25 East Boardman Street, Suite 306
P.O. Box 714, Youngstown, Ohio 44501-0714
Telephone 330 744 5023
Fax 330 744 5838 • 330 744 0634
Web site:

Publisher Andrea Wood

Assistant Publisher Eileen Lovell
Copy Editor Dennis LaRue
Page Editor Maraline Kubik
Online Video Anchor Stacia Erdos
Video Editor Jeremy Lydic
Senior Reporters Dan O’Brien
George Nelson
Jeremy Lydic
Columnists Monnie Ryan
Lou Zona
Gail S. White
Stacia Erdos

Journal Opinion
Photographer Tony Mancino
Rate Comparisons Cara J. McClure
Sales Manager Janet O’Malley
Account Executive Gail S. White
Art Director/ Fred Sipe

Forum’s Lenders Are Not Villains

The ouster of Walter “Buzz” Pishkur as president tion plan. And instead of pushing for a Chapter 11
and CEO of Forum Health Inc. was inevitable. trustee, they also are working with Forum to find an
From the day he was tapped, he was an improb- interim CEO, one with experience in health care.
able choice to run the financially foundering system. That has raised concerns about the prospect of
Pushkur, a water company executive, was chairman yet another out-of-town consultant – one with one
of Forum’s board of directors when his fellow board eye on the bottom line, the other on carving Forum
T he Business Journal is published semi- members chose him to be the CEO. Six months later, as if it were a Thanksgiving turkey – and whether
monthly (twice a month) in Youngstown, Ohio. Forum filed Chapter 11. Northside will continue to operate.
Copyright 2009 by Youngstown Publishing Co. It didn’t take long for the consent parties – the It is true that the remedies prescribed by Well-
lenders and bondholders Forum owed in excess spring Partners of Chicago and Forum’s former
All rights reserved. Reproduction or use, with- of $100 million – to train their guns on Pishkur interim CEO, Keith Ghezzi, didn’t achieve the
out written permission, of editorial or graphic and, more broadly, the board. In their objection to hoped-for financial turnaround. Indeed, the sale of
content in any manner is prohibited. Forum’s initial request to extend the time it had the Beeghly Medical Park, while resulting in a temporary
sole right to file a reorganization plan, the consent cash boost, deprived Northside of a source of patient
Average Issue Readership: 45,000
parties pointed out that Forum, “almost immedi- referrals – essentially a case of selling the seed corn.
Mail Subscription Rates: $42 for 12 months; ately after” the entry of the cash collateral order But Forum’s board ratified Wellspring’s actions.
$77 for 24 months; $96 for 36 months. that provided it funds to operate, failed to comply These were the same directors, who during a news
Back Issues: If available, $4.75 apiece with “certain covenants” set forth in that order. conference two years ago, asserted that they make
prepaid (mailed); $3.25 apiece prepaid Subsequently, it could not satisfy other conditions the decisions for Forum – not Wellspring. Among
(picked up at our office). or adhere to timeframes. those decision-makers was the former chairman of
In June, the consent parties told U.S. Judge Kay the board, retired banker Tom Hollern, who has
Submission Policy: News articles and photographs
Woods they had “lost confidence” in the Forum since appeared in testimonial ads for Wellspring.
may be submitted but cannot be returned. We reserve
the right to select and edit all articles and letters.
board and management’s ability “to recognize and Despite the huge sums Forum owes its lenders
All submissions become the editorial property of The address [the] serious issues.” Similar criticisms fol- and bondholders – more than $140 million – and de-
Business Journal. Submissions may be edited and lowed in their objections to Forum’s second request spite Forum’s many violations of its covenants with
may be published or re-used in any medium including to extend exclusivity and its use of cash collateral. them, the consent parties have continued to lend
Business Journal television and radio reports and the Satisfied for now with the change represented by money so Forum can operate. The fact that plans
Daily Business Journal Online. Pishkur’s departure, the consent parties retreated to shutter Northside are on hold indicates they are
Locally owned by the from triggering a contingency plan for the sale or acting in a manner mindful of this community’s best
closing of Northside Medical Center. They’re work- interests. For now, they – and Forum’s employees
Youngstown Publishing Co. ing with Forum on writing a consensual reorganiza- – are the real victims of this debacle.
The Business Journal OCTOBER 2009 17


Twilight Zone at Butler
Butler Institute draws “So you think they’re good?” he
all kinds of artists asked. “You know,” I said, “I think
they are very creative and quite skill-
and musuem visitors. fully done.”
“Well,” Bill responded as his voice

ne of the most interesting aspects became louder, “these aren’t even my
of directing an art museum best paintings.”
is meeting and knowing Thinking it curious that he would
artists. But in not want to show
my nearly three Last year, nearly 100,000 people his best artwork, I
decades at The
Butler Institute
visited the Butler from 43 states asked, “Where are
your best works?”
of American Art, and 14 foreign countries. “You see,” Bill

I would have to said, “they have
rank an artist named Bill as the most all been erased.”
memorable. I probably should have ended the

When he walked into my office conversation right there, but I bit on
with a portfolio of his work, I never his comment.
would have expected what would “Who erased the paintings?” I
soon transpire. The paintings de- asked.
picted strange landscapes that looked “The CIA,” he responded. “They
as though they had been painted on broke into my house and erased them.
another planet. Purple crater-filled
vistas with orange and yellow skies
And,” he volunteered, “those voices ����������������������������
that I hear in my head are not what the
were dominant themes as were doctor told me. I know for a fact that �������������������������
strange oceans and rock formations.
“Bill, these have to be the most un-
while I was asleep they put electrodes
in my ears – but I told myself that I’m �����������������������
usual paintings that I have ever seen,”
I said in reaction to the work.
not going to pay any attention to what
See ZONA, page 18 ����������������������������

Hanging in Her 50s
The joys of boating and as two quarters plus. A couple of
times a week we exercise by walking
swim-up barstools. through the park.
We have found that our conversa-
I n light of my recent revelations
about being in my 40s – the free-
spirited feeling, the joy of being
comfortable with yourself and not
worrying what others think – a friend
tion tends to grow quiet when we
walk up hills nowadays and we seem
to need to stop and use the restroom
a lot more than we used to.
But on this walk, there was no
of mine enlightened me about the quiet lull as I laughed both up and
next decade. down the hills and the restroom was
Apparently, the free-spirited, no- not nearly close enough as she related
worry attitude of the 40s becomes a her funny tale. ��������������������������������������������������������
valuable coping mechanism in your “Do you notice your arms losing ���������������������������������������
50s. muscle?” she asked, the conversation ��������������������������������
My friend Kellee is a very fit, active starting off quite innocently.
woman. She’s trendy and fun and is of-
ten mistaken for being much younger
“I guess, a little,” I replied.
“Just wait,” she smirked back. And �������������������
than her age – which is best described See WHITE, page 18
18 OCTOBER 2009 The Business Journal

Zona: Twilight Zone at the Butler

From Page 17 messages that I’ve been getting from in the gallery? I said good morning 300 years of American art. And oc-
they’re saying.” outer space are being channeled to him twice and he didn’t have the casionally, an eccentric or two might
At that I stood and told him that through my refrigerator. I won’t have courtesy to respond. You need to talk walk through the museum.
I had to run to another appointment to worry about that anymore!” to him.” All are welcome no matter their
and thanked him for sharing. “Well, that’s a relief!” responded While I’ve described two or three country of origin or even their planet
The encounter with Bill and his Jack in his usual sympathetic way. rare moments – the thrill of being a of origin.
art, while amusing on one level, is On another occasion, Mr. Pen- part of The Butler Institute of Ameri- Come to the Butler, there is some-
also quite sad. Wherever he is, I wish rose came to the museum in his best can Art is that this, the first museum thing for everyone!
him well. suit. “You’re all dressed up,” Jack of American art, attracts people from And be sure to say “hi” to our
Our former chief of security was commented. “Do you have a special all over the globe who come to enjoy guard. (But don’t expect a response.
a wonderful fellow named Jack. Jack date?” a world-class collection of art. Another of Sijan’s guards is on display
had a way of dealing with people from “As a matter of fact I do,” Mr. Pen- Last year, nearly 100,000 people through Nov. 29.)
every walk of life, including the oc- rose responded. “Today is my first date visited the Butler from 43 states and 14
casional character. with Queen Elizabeth and I wanted to foreign countries. In addition, 30,000 The author, Lou Zona, is executive director
His favorite character was a fellow, look my best!” school children came to the Butler to and chief curator of the Butler Museum of
perhaps in his 70s, who was always “The queen will certainly be im- view the history of America through American Art.
dressed in his World War I military pressed, Mr. Penrose,” replied Jack.
Mr. Penrose would not acknowl-
One of the funniest moments in my
years at the Butler Institute occurred White: Hanging in Her 50s
edge anyone but Jack and conse- when we exhibited the work of a From Page 17
quently Jack alone would have to Milwaukee artist named Marc Sijan. Once the cheering stopped and
respond to his questions or react to Mark creates ultra-realistic sculpture with that, her story began. she was still lying on the deck, the
his comments. of people doing everyday things. It seems Kellee and her husband, boat load of friends asked if she was
One morning Mr. Penrose came One of his most remarkable sculp- Keith, were boating with friends over all right.
into the Butler with a burlap sack tures was the figure of a security guard the weekend. While the swimming “I’m fine! Just give me a minute!”
filled with pieces of metal. As he seated on a chair. The piece was so and tubing were great fun, getting she said, praying that at least one
lifted the sack onto Jack’s desk, Jack real that you expected to see the guard back in the boat limb would start
asked, “What do you have there, Mr. stand up at any moment. was not. Apparently, the free-spirited, to work soon.
Penrose?” A friend of mine named John “I couldn’t pull no-worry attitude of the 40s Her limbs did,
“This is all the metal that was on stopped by my office to say hello and myself up,” she e v e n t u a l l y, re -
my refrigerator including the handle, to complain. “Lou, what’s the deal said with a hint of becomes a valuable coping turn to their use-
shelves and other hardware. Those with your security guard out there whine. mechanism in your 50s. ful state, but not
Bobbing up and before she vowed
down in the water, lifejacket hug- never to jump off a boat again more
ging her neck, she grasped, pulled than a distance she could swim from
and straddled to get herself on to the land.
boat. Back on shore, the group decided
At one point, with one leg up on to celebrate their day’s adventure with
the deck, she thought she had it. Her a drink. Jumping into the pool and
arms reached for a hold as she desper- swimming over to the swim-up bar,
ately tried to pull the rest of her body Kellee found reassurance. She was
out of the water. absolutely buoyant in water where her
Just when she thought she would feet could touch.
surely split in two, the water won the Then she came to the stool.
battle as it pulled her landlubber leg She jumped up in her buoyant state
off the deck, taking the rest of her to sit down on the seat. Unfortunately,
body with it. only half a cheek hit the surface.
“I thought I might have to sleep The rest, dangling mid-water,
out there,” she said, now in a full- proved to be too much for the smid-
blown pout. gen on the stool. She slid off most
Keith came to the rescue with ungracefully, nearly dunking herself
helpful hands. Bobbing up and down on the way down.
behind her, they counted to three and Her buoyancy had failed.
he hoisted her buttocks upward as This, Kellee insisted, occurred
hard as he could. The effort proved while she was surrounded by (again,
to be a great success in getting Kellee her words) “a bunch of 20-year- olds
out of the water – not so great for her in string bikinis.”
dignity. “Wow,” I said sympathetically, once
While the boatload of friends I stopped laughing. “That’s embar-
cheered at her emergence from the rassing.”
water, Kellee lay splayed out on the “Nah,” Kellee said, the wisdom of
deck like (her words) “a fish flapping her two quarters plus years floating to
around on dry land.” the surface. “I was 20 once.”
The life vest was up to her nose. (Writers Note: The subject would
One arm was under her, the other like to make it known that her second
seemed to have acquired some sort attempt at the stool was successful
of palsy from being in the water so – much to her relief, as she hated to
long and her legs were completely have to renounce swim-up bars and
useless. boating in the same day.)
The Business Journal OCTOBER 2009 19


Regional Chamber Report

Look to Our Brighter ��������������

Future, Not the Past ���������������������������

By Tony Paglia ��������������������������
Regional Chamber Vice President, 4. High-tech center. Turning Tech- �����������������������
Government Affairs nologies, a maker of audience re- ��������������������������
sponse technology and one of the ������������������������
While some fastest growing software companies
people were talk- in the United States, is anchored in a
ing nostalgically brand-new building in a growing “tech ���������������������������
in the last few block” in downtown Youngstown. ������������������������
weeks about what 5.Young Local Leadership. Elected ���������������������������
I call the Mahon- leaders like U.S. Rep. Tim Ryan, ������������������
ing Valley’s Dark Youngstown Mayor Jay Williams and ������������
Ages – the Trafi- State Sen. Capri Cafaro are changing �������������������������
cant era of the the perceptions of what a Mahoning
1980s and 1990s Valley politician is.
– the Regional Chamber was sending 6. Youngstown 2010. This innova-
a mailing to the national media, giving tive “shrinking city” plan has caught
10 examples of why the Valley is on the attention of urban specialists and
the move and poised for success.
This forward-looking piece listing
10 examples of what’s going on in
the media all over the world. The
concept is considered a model for
communities dealing with population
the Youngstown-Warren area is what loss and blight. ������������������� �� ����������������� �� ������������� �� ��������������������
should change the perceptions of this 7.Cleveland-Youngstown-Pitts-
community around the country. Here burgh Tech Belt. The Tech Belt Ini-
is a shortened version of the list: tiative is an economic development
1. One of the best places to start a strategy designed to reinvigorate the
business.Youngstown is listed among region by building on its unique civic,
the top 10 communities in the United educational, healthcare and industrial
States to start a business, according to institutions.
the August 2009 edition of Entrepre- 8. Youngstown State University.
neur magazine. The factors in ranking Under the leadership of Dr. David
Youngstown so high: young, dynamic Sweet, the university has seen its en-
political leaders and exciting tech ven- rollment increase more in the last few
tures being birthed at the Youngstown years than any other public college or
Business Incubator. university in Ohio, and its campus is
2. GM’s top assembly plant. expanding significantly.
Plans for the New General Motors 9. Mahoning Valley Organizing

include big expectations from GM’s Collaborative. This organization,
Lordstown complex. GM is in the funded by the Raymond John Wean
process of spending $350 million at Foundation, is working on grassroots
Lordstown to prepare for production neighborhood revitalization action
of its new, fuel-efficient car, the Chev- plans for Youngstown and Warren
rolet Cruze.
3. Youngstown/Warren Regional
that promise to be models for the
Chamber. A catalyst for renewed eco- 10. Downtown Resurgence. ����������������������������������������������������
nomic development: More companies Downtown Youngstown has changed ����������������������������������������������������������
are looking at locating in the Mahon- significantly in the last five years
ing Valley, assisted by the Regional from a decaying business district to �������������������������������������������
Chamber. In 2009, the Youngstown- a bustling downtown entertainment ���������������������������������������������������
Warren metro area, for the first time, and business center. The city of War-
made Site Selection magazine’s top 10
list for business attraction, retention
ren has initiated a Main Street Warren
program to revitalize its downtown as
and expansion. The Regional Cham- well. ��������������� �� ���������������������������������
ber also received the top award in the If you’d like to see the entire na-
Business Attraction category at Team tional media piece, visit the Recent �������������������
Northeast Ohio’s/Inside Business News section on the homepage of the �������������������������������������������������������
magazine’s 2009 Economic Develop- Regional Chamber’s Web site, Region- ���������������
ment Impact Awards.
20 OCTOBER 2009 The Business Journal

September 25,
2-Week Trend APY*

CF BANK (formerly Central Federal S&L) 1 Year 1.50 — .10/

Wellsville 24 Mos. 1.75 — N.A.

CHARTER ONE BANK 12 Mos. 1.00  N.A./

5 Year 2.50  .25
���������������� Salem 4 Year 2.50 — .10
CORTLAND BANKS 1 Year .75 — .50/
Cortland 5 Year 2.50 — .50
E.S.B. BANK 1 Year .90  .30/
�������� Ellwood City, Pa. 4 Year 2.25  .30

���������� FARMERS NATIONAL BANK 1 Year .90  N.A./

������������������ Canfield 4 Year 2.00 — .20
FIRST MERIT BANK 1 Year .50 — N.A./
��������������������� New Castle, Pa. 2 Year 1.10 — .05
� � � � � �������� � � � � � � � � � � � � � � ����� FIRST NATIONAL BANK OF PA. 1 Year .50 — N.A./
���������������� �������������� Hermitage, Pa. 5 Year 2.25 — .10


East Liverpool 4 Year 2.43 — .40

FIRST PLACE BANK 6 Mos. .60 — .25/

Boardman 12 Mos. 1.25 — .25

HOME FEDERAL 1 Year 1.26  .60/

Niles 3 Year 2.02  .75

1.35 
HOME SAVINGS 12 Mos. Minimum $500 .35/
Youngstown 5 Year 3.00  .35
Minimum $500

HUNTINGTON BANK 1 Year 1.25  N.A./
Youngstown 4 Year 2.42 — N.A.

KEYBANK 1 Year .15 — N.A./

Youngstown 3 Year 1.35 — .45
�������������������������������������������� 5 Year 2.35 —
�� ����������������������������������������������
� �������������������������������������������� MIDDLEFIELD BANKING COMPANY 1 Year 1.66 — .50/
�� ��������������������������������������������� Cortland 13 Mos. 1.86 — .75
� �������������������������������������������
� ��������������������������������������� 2 Year 2.02 —
�� ���������������������������������������
� ���������������� ������
PNC BANK 1 Year .70 — N.A./
��� � Youngstown 43 Mos. 1.25 — N.A.

PNC BANK 1 Year .80  N.A./

Conneaut Lake, Pa. 5 Year 1.55 — .05

US BANK (formerly Firstar Bank) 1 Year .60  N.A./

������������ Boardman 59 Mos. 3.00 — .10
*Annual Percentage Yield Arrows tell whether rates rose or fell since last issue. Dashes indicate “unchanged.”
������������������������������������������� Every effort is made to ensure the accuracy of The Business Journal compilations. Rates are subject to change without notice and should be
�������������������������������������������������������������������������������������������������������������������� confirmed with the individual financial institution before entering into transactions. ©2009 Youngstown Publishing Co. All rights reserved.
The Business Journal OCTOBER 2009 21


Your Rights As an Investor

As an investor, you have certain rights. Here is a sum- charges (or loads) and other fees. formance and associated risks of various securities.
mary of your rights. • To accurate and timely regular statements of The firm will present you with reasonable investment
your account, including detailed transaction infor- alternatives designed to meet those expectations, and
Quality Service mation. disclose the comparative risks, benefits and costs.
• To be treated in a fair, ethical and respectful • To clear descriptions of your firm’s policies and
manner in all interactions with a securities firm and practices for protecting the privacy of nonpublic, Prompt, Fair Resolution of Problems
its employees and affiliates. personal information. • To fair consideration and a prompt response
• To receive competent and courteous service and from your investment firm should a problem with your
advice (if provided by your firm) at a fair price. Responsible Investment Advice account ever arise.
• To select your own adviser or request a different • To be provided with responsible investment • To a clearly defined process for raising and re-
one if you are not satisfied. recommendations based on your personal objectives, solving a complaint. Your firm will provide you with
• To move your account to another adviser or a time horizon, risk tolerance, and other factors, as full information about this process, particularly about
new investment firm whenever you wish in a simple, disclosed by you. how you can elevate an issue to the appropriate level
efficient manner. • To be apprised of significant conflicts of inter- of the firm’s management to gain satisfaction.
est identified in a financial relationship between • To be apprised of alternatives if your investment
Full, Clear Reporting an investor and his or her broker-dealer or account firm is unable to resolve a dispute to your satisfac-
• To clear, accurate, easy-to-understand descrip- representative. tion.
tions of all your transactions, statements and other • To expect that your investment firm will provide
communications from your investment firm. professional assistance to help you clarify your invest- SOURCE: Securities Industry and Financial
• To clear information about all the costs as- ment goals and risk tolerance. Markets Association. This article provided by Mike
sociated with your account and the costs related to • To be able to rely on your firm’s assistance also in Paterchak, Branch Manager, Stifel, Nicolaus & Com-
individual transactions, including commissions, sales setting realistic expectations about the long-term per- pany Inc. Member SIPC and NYSE.

You know where you want to be financially—

ten, 20, 30 years from now. And you have a
vision for achieving your goals.

Your Stifel Nicolaus Butler Wick Division Financial Advisor can help you stay
in step with the changing times.

We have a diversified network of industry-accredited professionals at your

disposal—ranging from CERTIFIED FINANCIAL PLANNERS™ and portfolio

in step.
managers to insurance, retirement and estate planning specialists. As your
family needs change and investment markets fluctuate, your advisor will
provide you with guidance that truly fits your personal situation.

© 2009 Stifel, Nicolaus & Company, Incorporated. Member SIPC and NYSE. For more information and the location nearest you, visit us on the web at
22 OCTOBER 2009 The Business Journal

September 25,
2009 Credit Union Rates
INSTITUTION Term APY Minimum Term Rate Type Down Payment Term Rate, 2-Wk Trend Fees

ASSOCIATED SCHOOL 1 Year 1.75 — $1,000 Up to 48 Mos. 5.70 Fixed 20% 15 Year 4.87 — 2+200
EMPLOYEES 2 Year 2.05 — $1,000 Up to 60 Mos. 6.20 Fixed 20% 20 Year 5.25 — 2+200

FIRST CHOICE COMMUNITY 1 Year 1.85 — $500 Up to 48 Mos. 5.65 Fixed 20% 15 Year 5.50 — 0+costs
(formerly RMI CO. EMPLOYEES) 2 Year 2.12  $500 Up to 60 Mos. 5.65

OHIO EDISON/ 1 Year 1.55  $1,000 Up to 48 Mos. 5.70 Fixed 5% 15 Year 4.75  0+costs
PENN POWER 2 Year 1.90  $1,000 Up to 60 Mos. 5.99 Fixed 5% 30 Year 5.375  0+costs

SEVEN SEVENTEEN 1 Year 1.39  $1,000 Up to 48 Mos. 5.99 Fixed 5% 15 Year 4.375  0+costs
2 Year 1.80 — $1,000 Up to 60 Mos. 5.99 Fixed 5% 30 Year 5.125 — 0+costs

STRUTHERS FEDERAL 1 Year 1.00 — $1,000 Up to 48 Mos. 6.00 N.A. N.A. N.A. N.A.
2 Year 1.51  $1,000 Up to 66 Mos. 6.00

YOUNGSTOWN CITY 1 Year 1.65 — $2,000 Up to 60 Mos. 5.99

EMPLOYEES FEDERAL 2 Year 1.65 — $2,000 Up to 72 Mos. 7.25 N.A. N.A. N.A. N.A.

Arrows tell whether rates rose or fell since last issue. Dashes indicate “unchanged.” Rates are subject to change without notice and should be confirmed before entering into transactions.
©2009 Youngstown Publishing Co. All rights reserved.

Attention Veterans
Funds and Grants available for Senior Veterans
we deeply
Did you know that war-time veterans and their surviving spouses could qualify for financial the sacrifices
assistance for assisted living and skilled nursing care at Park Vista?
made to keep
Retired veterans who have faithfully served our country may also be eligible to apply for a
Veterans Honorable Service Grant for use at Park Vista’s independent living areas. This grant is
our country
offered by Ohio Presbyterian Retirement Services (OPRS) to thank veterans for their dedicated free.”
and loyal military service.
If you would like information about either assistance from the Veterans Administration, or the
OPRS Honorable Service Grant for independent living, please call Josie at 330-746-2944, Ext. 1550.

Independent Living apartments, villas and suites •Assisted Living • Memory Care • Rehab Center • Health Care 330-746-2944
The Business Journal OCTOBER 2009 23

Media Scope Behind the Scenes at the G-20

Journalists told to put reporters were seen abruptly ending Gonzales of Boardman, said he and shooting as the canisters were thrown
their live reports gagging from tear his colleagues went through the gas- and the gray mist began spreading. It
safety first if police gas with thousands of protesters rush- mask training. They were told to wear burned his eyes, and he had trouble
fire tear gas. ing through the streets. Debris, even
bodily fluids, was thrown at police and
long sleeves, not to have any skin
breathing, but he kept shooting the
scene. Blaring sirens on trucks called
the news media. “It burns. It will knock a grown LRAD devices pierced their eardrums.
By Stacia Erdos
Two days before the G-20, my man on his back,” he said. “I felt a little uncomfortable when

t’s not often as a reporter you go former Channel 11 co-anchor Gordon As a news director, along with we were right on the front lines and
to work and are handed a gas Loesch (and former WKBN Channel keeping his crews safe, Harding’s hard- police were in riot gear. We can’t as-
mask, full-body chemical suit and 27 weekend anchor) expressed mixed est challenge would be how to balance sume they know we’re media,” Gon-
goggles as you head out on your story, feelings. “There’s a lot of excitement the incredibly positive image the G-20 zales said.
along with your camera, microphone about an event drawing international could give the city and region with The most unnerving part was see-
and notebook. But that’s what my attention – to be part of something so the impact of the protesters. In TV ing protesters all in black, Loesch said.
former co-workers – reporters and historic,” he said. news, you lead with your best video, “That was what we saw in Seattle,
photographers at WPXI in Pittsburgh Reporters would be covering the but would that over-emphasize the protesters in masks so they couldn’t
– were armed with as they covered last president, the first lady, and events at- smaller protests? be identified if they did something
week’s G-20 Summit. tended by world leaders. The network Day One – Thursday: The protests illegal.
The field crews were accompanied news anchors would be in Pittsburgh, began, with demonstrators overturn- Day Two – Friday: the largest pro-
by security guards as they set up at including NBC’s Brian Williams. ing dumpsters, breaking windows test yet but at press time, still peace-
their assigned locations around Pitts- Loesch was assigned to cover the and damaging six banks and 13 other ful. At the scene, Loesch observed,
burgh for the unknown of what was protests. And while the hope was they businesses. Police used OC vapor “It’s interesting to see how passionate
to come at the two-day summit. Cots would be peaceful, he told me, “We (pepper spray) and rubber bullets to the protesters are about their causes
were brought in for those who might have to prepare for the possibility disperse the crowd, arresting about 70 and how far they’ve come to get their
have to stay at the station overnight. that protests will get out of hand and people. Loesch and Gonzales found voices heard. The world is watching
The planning began in mid-July. how we’ll handle ourselves in these themselves breathing in the vapor in Pittsburgh. We were prepared and it’s
Extra newscasts were added. There situations.” the midst of several hundred protest- been amazing to be part of it.”
were security briefings with the Secret Loesch said WPXI managers had ers and students in Oakland.
Service and the White House. Two done a very good job in educating Loesch was able to move back and The author, Stacia Erdos, is the anchor and
dozen staff members from Channel reporters and photographers on safety hold his breath. It wasn’t tear gas. producer of video reports posted at our Web
11, Pittsburgh’s NBC affiliate, received precautions and providing them with He kept reporting. Gonzales was still site,
White House security clearances. equipment such as gas masks, goggles,
There was unprecedented communi- protective suits and hard hats.
cation with Pittsburgh police on how “I’m not going to ask anyone to
situations would unfold. stand with tear gas and report,” said
WPXI news director Corrie Hard- Harding, the station’s news director.
ing told me police would let everyone “Reporters will have to make a choice,
know if and when tear gas was coming make a decision on safety first.”
and would ask the crowd to disperse. I wondered what I would I do, what
Many of the protesters had permits. Gordon would do if police announced
Those events could be somewhat tear gas was coming.
planned for; but the actions of all the “I don’t think any of us can an-
protestors could not, leaving a big swer that until we’re put into that
question mark. situation,” Gordon said. “Personally,
A Seattle anchor, speaking via I’d like to stay because it’s my job
satellite, recounted to local reporters to report on the situation. I’ve gone
the violence that ensued at the World through the scenario in my head; gas
Trade Organization meeting in 1999, is not something that will deter me.”
known as the Battle in Seattle, where Channel 11 videographer Jason

24 OCTOBER 2009 The Business Journal


Pride in Service. Wire Service

Proud of Youngstown.
Download Free Tools
When money counts, his netbook, pushed a few buttons and
count on the Web. connected with his friend’s parents
in Cape Town. And suddenly there

ast month’s column focused we were, talking – and seeing – each
on freebies that help you save other in real time. Pretty neat, to say
dollars, but needless to say, it the least – but the best part is we did
was just the tip of the online iceberg. it totally free using Skype.
To put it another way, when money Time magazine named Skype one
counts, you can count on the Web. of the 50 best Web sites to visit for
I’d be remiss, though, if I didn’t 2009 – and believe me, it’s justified.
issue a warning: There are plenty of The program, which allows you to
“free” offers that come from scammers talk, chat and video call for free, can
and phony Web be downloaded at
sites. Before you Before you download any- You
download any- thing, make sure the Web site will need a micro-
thing, make sure phone (and if you
the Web site is is legitimate. want anyone on
legitimate. If you the other end to
have the free version of AVG Free see you, a Webcam), so you could
Anti-Virus that I’ve mentioned here incur a charge for those.
before and use the AVG toolbar to The free calls must be to comput-
search, you’ll be warned when a site ers that have Skype installed, but paid
is suspicious. (Download the security plans to connect with landline phones
program at are far less expensive than from the
Alternatively, Mozilla Firefox big telcos. Unlimited calls to landlines
Office Supplies browser users might download WOT
20090414, a similar program (it
in 40 countries, for instance, is $12.95
a month.

Printing stands for Web of Trust) that warns

of questionable Web sites (https://
Along similar lines, those great
folks at Mozilla also have a solution for; type “WOT” – no those who love to send text messages
Promotional Products quotes – into the search box).
If you have a small business, you
but hate the cost. AddsOns.mozilla.
org; enter “Watacrackaz” in the search
Furniture most likely need productivity software
that includes tools for word process-
box. With this program, you can send
text messages to cell phones for free
ing, spreadsheets, business cards and receive them if you’ve registered
and more. Perhaps the most widely and are signed in. (The list of carriers
used is Microsoft Office – but even is updated frequently.
the pared-down home/student ver- Wouldn’t it be nice if you could
sion isn’t cheap. Instead you might keep tabs on the information you
consider 3, a totally care most about – home values, sports
free downloadable open-source office scores, price drops on that new digital
software suite that works on all com- camera you’re looking for and the
puters. The suite can be downloaded stocks you own – without having
at, and there’s plenty dozens of bookmarks or having to
of help at the site should you need it search again and again? Enter Trackle
after the fact, including tutorials. ( Launched in February
Or, you can avoid using up valu- and in beta, this service is great for
able hard-drive space by creating compiling community-specific infor-
1300 Wick Avenue, P.O. Box 6085 documents, spreadsheets and presen- mation as well as tapping into updates
tations right on the Web at Google at social networking sites.
Youngstown, OH 44501 Docs ( Anything You’ll need to register, then simply
Phone 330-746-0597 you want can be saved on your com-
puter, and you also have the benefit
compile a list of “tracklets” that match
your needs and interests. Each can be
Fax 330-746-4114 of sharing them with others online
– even allowing them to make edits
personalized by entering a ZIP code,
details on a product you want, and
in real time. such. After that, just log in to check Not long ago our son Scott brought

a friend visiting from South Africa to
meet us. Before they left, Scott opened
the alerts in your Trackle inbox (or,
you can have the alerts sent to your
e-mail address).
The Business Journal OCTOBER 2009 25


�� �������� ��
���������������� �������������������������������������
������������� • Bloomfield-Mespo
• Boardman
������������������������� • Campbell
• Canfield*
���������������� • Catholic Diocese ���������������������
������������������������������������������ of Youngstown
• Champion* ���������������������
• Columbiana ���������������������
Exempted Village
• Howland*
����������������� • Hubbard �������������������
• Lakeview
�� ������������������������
���������� • Lowellville
��������������������������� • Maplewood
• Poland ��� ������������������
• South Range
• Springfield*
• Struthers ��� �������������������������
• United ������������������
����� ��� ��� ������ ���� �������� �������� ����������� ��� �����������������������
• West Branch
����� ���������� ����������� ����� ����� ��������� ������� �����������
• Western Reserve
��������������������������������������������������� * Excellent With Distinction
�������������������������������������� ����� ��������� ����� �������� ������ ���������� ��� ���� �����

���������������������� ��������������������������
� � � � � � � � �������������

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26 OCTOBER 2009 The Business Journal

partner news

“First Place has a good understanding of our business, and they are

Flex-Strut, Inc
very closely in touch with our capabilities.” – Dale Gebhardt, Sr.

From left: Dale Gebhardt, Sr. of Flex-Strut, Inc. and Bob Kempe of First Place Bank

Dale Gebhardt, Sr. is the founder The plant has expanded more than FIRST PLACE BANK CONTINUES
to offer Flex-Strut, Inc. a complete
of Flex-Strut, Inc. of Warren, Ohio, five times its original size, and the
producing continuous-slot metal most recent expansion was completed financial package including:
framing. Simply put, the company’s with the help of financing through
First Place Bank. “We wanted to do
product line can be described as ■ Commercial Deposit
“an industrial erector set,” said business with a locally owned bank,
Gebhardt. By custom-combining where they know the people who live
the components they produce, and work here on a day-to-day basis,” ■ Equipment Term Loans
Flex-Strut is able to meet specific explained Gebhardt. “First Place
■ GrowNow Interest Rate
needs requested by the electric, has a good understanding of our
Reduction Programc
construction, pharmaceutical, and business, and they are very closely
other industries the in touch with our capabilities.” From ■ Private Client Services
plant serves. equipment loans to deposit accounts,
First Place has helped Flex Strut
“We wanted to do business
With end users in both the regional maximize their resources, including
a loan rate reduction obtained
with a locally owned bank,
and national market – from
through the Ohio GrowNow program where they know the people
Youngstown Electric Supply to
Pfizer, Inc. – the 60 employees in the that First Place recommended. who live and work here on
FlexStrut plant continue a tradition The company is planning a fourth a day-to-day basis.”
of local manufacturing. expansion in 2009, added Gebhardt. – Dale Gebhardt, Sr.

Call or visit our Commercial Team today:

Mahoning Co: (330) 726.3396 • Trumbull Co: (330) 373.1221
The Business Journal OCTOBER 2009 27

Bankers Say Borrowers Still Cautious
Seek commercial customers that loan is secured by his inventory and accounts receiv-
able, Donatelli explains.
of Labor figures.
So “the general sentiment around the bank is one
megabanks may have cut off. A bank’s decision on whether to increase or re-
duce the owner’s line of credit is based on its valu-
of cautious optimism” that commercial customers
will soon incur more debt because “they’ve driven
ation of that collateral, and at F.N.B., “We focus on their inventory down” and have no choice but to
By Dennis LaRue
lower risk,” he says. replace that inventory if they want to continue

ederal Reserve Chairman Ben Bernanke says With asset-based lending, the bank spends more making sales.
the recession has ended and recovery has time with the borrower to ensure his situation Delie is also heartened by “commodity prices
begun, but small businesses in the Mahoning doesn’t suddenly deteriorate and that he maintains continuing to rise,” an indicator the economy is in
Valley feel no urgency to take on more debt to any convenants imposed. recovery.
replenish inventories, rehire those they’ve laid off Asset-based lending is suited to companies that At the Home Savings and Loan Co., Gregory
or build the groundwork for expansion. need to recapitalize, find themselves in turnaround Krontiris and James A. Taylor “are seeing optimism
Commercial bankers report they have “plenty situations, or find themselves growing more rapidly out there. Inventories are being rebuilt cautiously,”
of money to lend,” as First Place Bank’s Kenton A. than they anticipated and are short of cash because says Krontiris, senior vice president and chief lend-
Thompson puts it, but “The universal message we customers aren’t paying fast enough so they can fill ing officer.
get is they [small-business owners] don’t see any new orders. Taylor, vice president and manager of Home
sign of recovery.” The borrower’s customers pay their invoices Savings’ commercial loan originations, reports that
The regional president of Huntington National by remitting payments he sees “more activity in
Bank in Youngstown, Frank Hierro, adds, “I read to a lockbox the bank The president of First National Bank, Vin- the medical field than
the economists’ assertions that we’re seeing positive operates, which both pay anywhere else.”
signs. But for the most part, [small-business owners] down the owner’s line cent J. Delie Jr., understands small-business Krontiris, Delie, Hi-
are taking a wait-and-see approach. Manufacturers of credit and allow the owners’ reluctance to increase their borrow- erro and Thompson agree
remain under stress although it’s nowhere near ’08 bank to keep tabs on his ings. ‘A real recovery kicks in when unem- that manufacturers in the
levels. ... There’s more optimism today than there viability. An invoice that ployment stops increasing,’ he says, a trend Mahoning and Shenango
was three to six months ago.” hasn’t been paid in 90 valleys have been keep-
Thompson, who presides over his bank’s com- days no longer counts as that’s begun, based on U.S. Department of ing the machines that
mercial lending activity, notes that First Place has collateral. Labor figures. produce their goods in
not raised its rates or increased its fees in a year. Asset-based lending operation, choosing to
“Actually, we have lowered our pricing a little bit, carries somewhat more risk, Donatelli says, and repair them, should they break down, rather than
one-eighth of a point [0.125%],” he quickly adds. requires more monitoring. Hence such borrowing buy new equipment. If they do have to replace a
“But they’re [business-owners] still scraping along carries higher rates and higher fees. machine, they seek to buy something used, not
with what they have.” With the recession, many customers find their new, all agree.
First National Bank of Pennsylvania, Hermitage, position has deteriorated and that asset-based lend- “[Manufacturers] will go out and buy used
Pa., formed an asset-based lending unit early this ing furnishes them with the credit they need. because prices are so good right now,” Krontiris
year and hired veteran Ron Donatelli as senior vice The president of First National Bank, Vincent J. says.
president to run it. Delie Jr., understands small-business owners’ reluc- “There’s more good used equipment readily avail-
The other bank in this market to form such a ded- tance to increase their borrowings. “A real recovery able,” Huntington’s Hierro notes.
icated unit is Akron-based First Merit, he notes. kicks in when unemployment stops increasing,” he In addition, Krontiris says, “manufacturers have
With asset-based lending, the business-owner’s says, a trend that’s begun, based on U.S. Department See COMMERCIAL LENDING, page 29

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28 OCTOBER 2009 The Business Journal

F.N.B. Salutes
T he presidents of F.N.B. Corp. and its
largest subsidiary, First National Bank of
Pennsylvania, Steve Gurgovits and Vince
Delie, reminded some 200 of the Mahoning Valley’s
leading citizens Sept. 24 of why they place so much
importance on the Youngstown market.
F.N.B. Corp., based in Hermitage, Pa., has some
$9 billion in assets and is looking to grow in the
Youngstown market, Delie told the group of office-
holders, accountants, lawyers, real estate agents,
academics and other professionals.
“We’ve been adding personnel in this market,”
Delie said, “and adding resources. We see great F.N.B. and First National Bank of Pennsylvania executives Vince Delie, Peter Asimakopoulos and Steve Gurgovits host the event.
opportunities to provide banking, insurance and Youngstown should take pride at all it has ac- Fellows Riverside Garden, where F.N.B. hosted its
wealth management services. ... If you’re a customer, complished since the steel industry retrenched and reception, and Entrepreneur magazine’s naming
you know what we provide. If you’re not a customer, the city rebounded, Gurgovits said. Youngstown one of the 10 best cities in the United
you’re a prospect. And we’d like to show you all we “I can tell you that when you look at Youngstown States to start a business.
can do and the depth of our products.” today, the downtown looks better than it ever For those in the audience only slightly familiar
Gurgovits, who reassumed the post of CEO of looked,” the CEO declared. “You should celebrate with F.N.B., Gurgovits noted it is considered well-
F.N.B. earlier this year, reminisced about how he your success” – he noted the growth of Youngstown capitalized and prepared to resume its growth path
commuted to Youngstown to take night classes at State University and the Youngstown Business In- as the economy recovers. This year he projects 10%
what was then Youngstown University and earned cubator – “and realize that there is a lot going on in to 12% growth, much of its organic, and based on
his degree in business administration early in his this town to celebrate.” the price of F.N.B.’s stock, paying a cash dividend
banking career. Among the reasons to celebrate, he said, are of 6.5%.

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The Business Journal OCTOBER 2009 29

Commercial Lending: Bankers Say Borrowers Still Cautious

From Page 27 installments in full and on time – “Loan convenants dards,” First Place’s Thompson says. “Everybody
learned how to be more productive with the equip- haven’t been an issue,” he says – and those in arrears believes the worst is behind us.”
ment they have.” That’s one reason many have de- “are keeping us informed.” First National Bank’s workout department re-
layed rehiring those they laid off. Since the recession The workout departments, the bankers who seize mains “busy,” Delie says, “but our core portfolio is
began, they’ve developed new means of turning out collateral and sell it to recover loans gone bad, are performing well [although] there are some cracks
product that require fewer workers. not as busy as they used to be, all bankers report. we need to address.” He, too, stresses First National
Banks here report lending is up, partly because “The amount of less-than-satisfactory loans went up has not had to tighten the high standards it has
they have extended loans and opened lines of credit at every bank,” Huntington’s Hierro says. Huntington always maintained.
to former customers of the megabanks regulators workout officers “were handling more relationships Krontiris says he can’t generalize about Home
have ordered to repair or improve their capital than they did in the past,” but that’s easing. Savings’ workout efforts, saying only “They’re as
positions. “We haven’t changed our underwriting stan- busy as ever [because] it’s a long process.”
“Yes, we’re filling a void left by the big banks that
are reducing their exposure [here],” Home Savings’
Krontiris says. Some are reducing their exposure
to certain industries, others decided to stop doing
business with customers who don’t meet newly set
higher borrowing levels. “There are good loans out
there,” he states. “We’re working on finding them
and meeting their needs.”
Donatelli says First National Bank is also seek-
ing new commercial customers that the megabanks
have cut off. If they should qualify for asset-based
rather than conventional lending, both the business
and First National benefit, he says. They obtain the
financing they need because the bank doesn’t turn
them away.
“We’re trying to attract the right customer a little
bit earlier, work with them and [as the economy im-
proves] convert them to a conventional commercial
customer,” Donatelli says.
Neither the banks nor their customers are out
of the woods yet. Small businesses remain averse
to taking on significantly more debt and the banks
have created more safeguards to ensure the funds
they lend are repaid.
That doesn’t mean, however, that owners and
bankers aren’t engaged in serious discussions about
extending more credit for when the sense that re-
covery has begun is palpable. To that end, since the
first of this year, First Place has created a central-
ized documentation group of five and assigned it to
Boardman, Thompson says. He has also added three
lending officers to the small-business sales group
plus two to sell its treasury-management services.
“We’re ready for the recovery,” he says.
“We’re seeing a lot of working capital requests,
Huntington’s Hierro says. “We’re working more with
the Small Business Administration and MVEDC [Ma-
honing Valley Economic Development Corp.]”
To furnish requests for working capital, Hunting-
ton is engaged in asset-based lending since it secures
these loan with accounts receivable and inventory.
To conventional customers, Huntington “Bank
is lending to businesses with a viable product or a
niche, where sustained growth is very bankable,”
Hierro says.
At Home Savings, Krontiris and Taylor see “very
specific opportunities in commercial real estate
– no speculative building,” the chief lending officer
As its parent United Community Financial Corp.
continues its recovery and building its capital,
Krontiris says, “We want to collateralize every loan.
We want companies with positive cash flow.”
Taylor says lending officers at Home Savings
“are in much more frequent contact with their
customers.” A sign the recovery has begun, he sug-
gests, is that businesses are better at paying their
30 OCTOBER 2009 The Business Journal

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The Business Journal OCTOBER 2009 31

Credit Unions
Gain Members
Membership in credit unions grew by more than
30,000 in Ohio the first half of this year, The Ohio
Credit Union League reports, attributing the increase
Your business finances.
to consumers’ “flight to safety.”
Because credit unions tend to charge lower rates
on loans and charge lower fees and pay higher rates

on savings accounts, the league says mortgage origi-
nations at credit unions are up 50.2% the past 12
months and credit unions’ share of the auto lending
market stands at 18.94%, more than 8 percentage

points higher than the second quarter of 2008.
The increase of 30,000 members represents the
first annual growth in five years, the league says.
The 1.28% growth over the previous June brings
the total number of Ohio credit union members to
2.66 million.

As of June, total shares deposited in Ohio credit
unions stood at $16.9 billion, a growth of 8.4% over
the previous year. Total assets grew nearly 18.5%

over the same period.
“We are seeing growth in membership that we
have not seen in some time,” says the president of
the Ohio Credit Union League, Paul Mercer.
Despite a weak housing market and slow auto
sales the second quarter, credit unions in the Buck-
eye State are going against this trend, the league
says. Year-to-date sales of vehicles through June were
down 35.1% nationally but total outstanding auto
loans at Ohio credit unions increased 12%.
First-mortgage originations in the first six months
were $960.5 million at Ohio credit unions versus
$639.5 million the same period a year ago.
Overall loan growth from June ’08 to June ’09 in
or all in the right place?
the state was nearly 7.5%, almost double that rate
of all U.S. credit unions. Ohio credit union capital
growth, 1.82%, more than doubled the national
credit union average of 0.74%.
Total delinquency rose to 1.37% in June, up from
1.09% in the previous year, but remained lower Businesses large and small turn to the strength, stability and trust in First National Bank for
than the national credit union average and below help bringing their finances together for a more holistic view of their financial situation.
Ohio banks.
Under one roof, our experts in banking, wealth management and insurance successfully
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Co., and the company’s retired chairman and CEO, about your business needs and can offer industry-leading products like mezzanine financing
Rodger W. Platt, has been named interim president and financial derivatives that help your business prosper.
of both entities.
For a more sound financial structure, the right place to be is First National Bank.
The company notified the U.S. Securities and Ex-
change Commission of Fantauzzi’s resignation in a Call a business banker at 866.362.4601 to schedule a time to talk.
filing dated Sept. 10, two days after his resignation
was accepted by the board of directors.
The board also voted Sept. 8 to approve a restruc-
turing of management organizational responsibilities.
The duties of James M. Gasior, senior vice president,
were expanded to include overseeing operations of the
finance and accounting, investment, human resources,
deposit, information systems and investor relations
FNB Balanced
Timothy Carney, also a senior vice president, was
given responsibility to oversee lending and business Q209BJ
development, branch and credit administration, special
assets, marketing, security, and the loan services.
7585_FNBP_ALL_Q209BJ_4C.indd 1 4/7/09 12:37:29 PM
32 OCTOBER 2009 The Business Journal

Brown, Strickland Urge Manufacturing Policy

By Dan O’Brien
tries such as alternative energy and the development Brown cited measures in the Senate that he’s

oledo leads the nation in solar-energy jobs. of advanced materials. “I was at Stark State College introduced such as the Investments for Manu-
Cleveland is trying to develop wind power last week and met with the CEO of Rolls-Royce,” facturing Progress and Clean Technology Act, which
from turbines on Lake Erie. Companies in he related. “They’re going to transfer some of their would create a $30 billion revolving loan fund to
Newark excel in the production of energy-efficient work in Singapore and London to Canton. This is a help small and mid-size manufacturers retool for
insulation, while in North Canton work is continuing huge part of Ohio’s recovery.” the clean-energy industry, improve energy efficiency,
on developing fuel cells that could change the way Brown rattled off a flurry of points that should and expand the clean-energy manufacturing opera-
power is generated for everyday items. be included in any comprehensive national manu- tions.
It’s because of examples such as these that U.S. facturing policy. Among these are developing a “We’re the only major industrial country in the
Sen. Sherrod Brown, D-Ohio, and Gov. Ted Strick- favorable business climate through reform in tax world that doesn’t have a manufacturing policy,”
land met Sept. 23 with officials from the Obama and health-care policies; investing in manufactur- he said.
Administration to help outline a strategy that would ing capacity geared toward priorities such as clean Brown is a strong supporter of devising a “green
develop a sustainable national manufacturing policy energy and military equipment; strengthening com- manufacturing base” throughout the country. “We
geared toward preparing the nation’s producers, ponent supply chains through the Manufacturing want to help manufacturers transition to a new
suppliers and workers for the future. Extension Partnership; matching dislocated work- economy,” he noted. “A producer that makes glass
“Ohio is on the road to becoming the Silicon Val- ers with emerging industries through work-force for trucks can also make glass for solar panels.”
ley of alternative energy,” Brown told reporters on training; implementing permanent tax credits for Strickland agreed that in Ohio, the thrust of
a conference call. Brown, Strickland, Ohio Depart- research and development; and promoting exports any economic recovery would be driven by new
ment of Development Director Lisa Patt-McDaniel and taking action against unfair trade. technology used for advanced manufacturing or
and Ohio Board of Regents Chancellor Eric Finger- “This president has done something no other green-energy projects.
hut met with Ron Bloom, Obama’s senior counselor president has done in a decade,” Brown noted. “He’s “Manufacturing is changing,” the governor said,
for manufacturing policy. enforced U.S. trade law.” adding it’s critical that the workers of tomorrow are
“Many of the ideas Ron Bloom brought up are Brown was referring to the Obama Administra- highly skilled and well-educated. “We’re starting to
items we’re already working on in Ohio,” Brown tion’s decision to slap tariffs on tires imported from see growth again in certain parts of the industry and
said. “The big story is that we’ll see a manufactur- China, a move that has angered the Chinese gov- I think we’re headed in the right direction.”
ing policy” that is taking its cues from what Ohio ernment. Earlier this year, the International Trade State initiatives include the Third Frontier pro-
is doing now, he said. Commission determined that China was dumping gram, the Ohio Advanced Energy Fund and the Ohio
Strickland noted that there is improved economic tires manufactured in that country on the U.S. mar- Bipartisan Job Stimulus Program, which supports
data from all across the state as they relate to indus- ket at unfair prices. research and development for advanced energy.


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The Business Journal OCTOBER 2009 33

Real Estate Brokers & Auctioneers:

J. Paul Basinger, Julie A. Cerneka
Joe Rulli

11120 Market St., North Lima, OH

Auction Details at

Tues., Oct. 20, 2009 at 11 am Tues., Oct. 20, 2009 at 1 pm
100 W. Federal St., Youngstown, OH 365 E. Midlothian Blvd., Youngstown, OH 44507
BUSINESS PROFESSIONALS 12 plex consisting of 1 bedroom and 2
RETAILERS bedroom units renting upwards of
$350/month/unit plus utilities.
Looking for downtown presence? Historic 1902 Federal Complex has garage units. Boardman
Building with 4 stories of retail and office space. School District. More details coming
Available now at $150,000 plus 10% buyers premium. 10% non-refundable down at time of soon. BUY IT NOW for $175,000. 10% buyers premium. 10% non-refundable
contract, closing in 45 days. down payment at time of contract, closing in 45 days. Seller financing available.
Westside Real Estate Auction PUBLIC AUCTION Warren Real Estate Auction
Wed., Sept. 30, 2009 at 6 pm Mon., Oct. 5, 2009 at 10 am Mon., Oct. 5, 2009 at 6 pm
130 N Portland, Youngstown, OH 9983 Market St., North Lima, OH 1014 Garden St. NW, Warren, OH

Remodeled, updated and ready to move into! This 2-story 3 bedroom, single family cape cod just waiting for a new
home offers eat-in kitchen w/ appliances, formal DR w/ � Shop Smith & Other Woodworking investor or private home owner. Warren School District.
built-ins, office area, living room & 1 floor bath w/
Equipment & Tools BUY IT NOW for $38,500. 10% buyers premium. $3,000
Whirlpool tub. 2 floor has 3 bedrooms & ½ bath. � Quality Restaurant Equipment non-refundable down at time of contract, closing in 30
Basement has possible 4 BR, rec room, laundry room w/ days. If not sold prior, will sell auction day.
� Restaurant/Office Chairs
appliances and full bath. Original woodwork throughout.
Wheelchair ramp at rear of house. Security system, fenced � You won’t want to miss it! th
OPEN HOUSE: Sun., Oct. 4 from 2-3 pm
back yard
Shambach Auction Petsakos Auction - Thurs., Oct. 8, 2009 at 4 pm
Tues., Oct. 6, 2009 at 5 pm 1065 Palette Dr NE, Warren, OH 44484
10352 W. Pine Lake Rd., Salem, OH Furniture, appliances, tons of collectibles, glassware, Franciscan china, woodworking equipment and tools, high end
lawn & garden items, housewares and much more!
Public Auction – Mon., Oct. 12, 2009 at 5 pm
9983 Market St., North Lima, OH 44452
2,000+ doll collection, fine furniture, glassware, collectibles, appliances, much more!
Austintown Real Estate & Contents Auction – Thurs., Oct. 15, 2009 at 4 pm
303 Forest Hill Dr., Austintown, OH 44515
3 BR ranch house with covered wheelchair ramp leading from enclosed garage to main house, needs a little TLC and
a few repairs. BUY IT NOW FOR $65,000. TERMS: 10% buyers premium, $5000 down payment, balance at closing
3 bedroom, 2 bath modular home with spacious LR, eat in within 30 days.
kitchen, dining area, enclosed sunporch and patio on 1.26 Hornyak Auction – Sat., Oct. 17, 2009 at 10 am
acres in the South Range School district. BUY IT NOW at 6601 Harvest Ridge Dr., Austintown, OH 44515
$88,000, if not sold prior, will sell at auction. 10% buyers Avid auction goers for 20+ years, Sellers are moving and selling just about all of their treasures including antiques,
premium. $5,000 non-refundable down at time of collectibles, glassware, black memorabilia, Elsie/Bordens/Isaly’s collectibles, tin & street signs, hunting mounts,
contract, closing in 30 days. lawn & garden, tools, housewares, appliances and MORE!
Boardman Real Estate & Contents Auction – Tues., Oct. 20, 2009 at 4 pm
Contents to be sold separately. Watch for more details 7359 Sierra Madre Trl., Boardman, OH 44512
closer to auction date. 1 owner, 2 bedroom, 1 bath ranch in meticulous shape w/ updates plus contents. BUY IT NOW for $65,000 if not
sold prior will sell at auction. 10% buyers premium. $5,000 non-refundable down at time of contract, closing in 30
days. Collectible contents to be sold separately.
Terms on personal property unless otherwise noted: Driver’s license to register. Payment in full auction day by cash, major credit/debit card, check w/ SSN. 10% buyers premium. Sales tax where applicable.
34 OCTOBER 2009 The Business Journal

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The Business Journal OCTOBER 2009 35

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36 OCTOBER 2009 The Business Journal

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The Business Journal OCTOBER 2009 37

Bidders Come Early, Find Treasures
Real estate sales, estates, divorce
settlements and folks who are
downsizing keep auctioneer busy.
By Dan O’Brien

arkland Avenue in Boardman is bustling with
activity as vehicles stream into this otherwise
quiet cul-de-sac on an overcast day in late
September. A vendor’s truck selling homemade hot
dogs has parked in the front yard of 5934 Parkland
as potential bidders toting lawn chairs jockey for the
best position under a tent set up on the driveway.
In less than an hour, the 70 or so people will
be locked into bidding on a variety of items that
include furniture, collectibles, household wares,
wall hangings, musical instruments and a host of
other knickknacks Basinger Auction Services Inc.,
Boardman, is ready to offer.
“We’re just swamped with work right now,” says
owner J. Paul Basinger. “Not only real estate sales,
but estate sales, divorce settlements and folks who
are downsizing” and want to sell some of their pos-
In the auction at 5934 Parkland, the former Joe Rulli, auctioneer, and Julie Cerneka of Basinger Auction Services auction off a Haynes flute, a hot item with bidders.
owner of the house died, and Basinger was retained
to sell the real estate and its contents. “The real estate he relates. winners. In seconds, a set of corn-designed plates
sold before the auction,” he notes, adding the small Many bidders have identified what they want to and cups are the first to go – for $1.
house went for $60,000. “It’s a fixer-upper,” he says, buy days before the auction begins, Basinger says, Then the prizes become more interesting, an Irish
but expects between 100 and 150 to show up for the because some photographs of today’s inventory was Beleek glassware piece sells for $20; a radio in an
sale of its contents. posted on his Web site. “On sales such as these,” he antique case goes for $25.
As prospective buyers arrive, they queue just says, “the Internet can really help.” An hour passes before the auction moves into its
outside the house. In this case, Basinger received a telephone call more competitive stage. The Edison phonograph
As they walk in, they present a valid driver’s days earlier from a buyer in California who logged on sells for $300. The painting of the dancing nymphs
license to Basinger’s wife, Sandy, and then are regis- and found an item he liked. “It’s a very rare wooden goes for $125.
tered and issued bid numbers and cards. Meantime, Haynes flute,” he says. The bidder is expected to “These are decent prices,” observes Julie Cern-
bidders swarm inside the tent. attend the auction by telephone, with Basinger act- eka, Basinger’s daughter and an auctioneer for the
There boxes filled with hundreds of items that ing as proxy. company. “As far as collectibles go, it’s a very good
extend from glassware to old toys sit stacked on The flute, which dates to the 1920s, was manufac- auction.”
long tables. tured by the William S. Haynes Flute Co. of Boston. Two pieces of Moorcroft pottery sold for $275,
Another tent extending onto the front yard holds “When you have certain items such as a Haynes flute, and the hammer price for the handmade bookcase
Depression-era living-room chairs and furnishings. it will draw attention from all over the country,” the and the Stanley silverware is $375. The reverse-
Inside the house are a handmade oak bookcase and auctioneer explains. painted lamp is auctioned for $450.
floor lamps along with other items in need of protec- Other high-end items up for bid are an 1898 The prize, however, is the Haynes flute. As
tion from rain that might trickle into the tents. Thomas Edison phonograph in excellent condition, scheduled, the caller from California jumps in via
“People are looking for unique and collectible a framed print that depicts fairies dancing in a forest, the telephone. Bidding starts at $700 and escalates
items,” Basinger says as he gestures toward folks Moorcroft pottery, Stanley gold-wash silverware, and quickly. Within a couple minutes, the flute sells
inspecting the many goods laid out on the tables. a painted lamp. for $1,400 to a buyer in the crowd who outbid the
“However, the overall value of these items is down Once Basinger finishes his introduction, the bid- California prospect.
because of the economy.” ding begins, smaller, miscellaneous household wares “The entire sale ended up at $8,500, including the
Just before the bidding begins, Basinger lays down offered first. “We start with the lower-end stuff and buyer’s premium, so it was very successful,” Cerneka
the ground rules. Everything sold here is “as is,” he build up as we move along,” he relates. says. Take home from the small auction came to
tells the crowd, and there are no refunds. Each buyer Basinger’s son, Rich, serves as the designated $931 for Basinger; the rest goes to the client.
is assessed a “buyer’s premium” of 10%, meaning auctioneer for the first round. Auctioneer Joe Rulli “We’ve been extremely busy,” Basinger relates,
an additional 10% is affixed to the final-hammer displays the lot as Basinger does his best to build up then turns to the crowd and invites them to the
price of an item. interest for the items. Meantime, his son launches company’s next auction scheduled for 5 p.m. the
That 10% goes as commission to the auctioneer, into a rapid-fire delivery of identifying bidders and following day.
38 OCTOBER 2009 The Business Journal


Sells More at
3521 N. MAIN ST. (St. Rt. 46)
Lower Prices
By Dan O’Brien
FRIDAY, OCTOBER 2, 2009 @ 10:00 AM The collapse in the housing and construction
������������������������������������������������������������������������������������������ market last year took a terrible toll on suppliers and
��������������������������������������������������������������������������������� contractors, but it hasn’t affected business at Paran-
zino Brothers Auctioneers Inc., North Lima.
������� ��������� ����� ������ �������� ��������� “Our market is a little different,” says co-owner
���� �������� ��������� ���� ���� �� ���� ���� �������� Tom Paranzino. “In fact, we’re selling more product,
��������� ���� ������ �������� ��������� ���������
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just at lower prices.”
������������������������������������������������ Paranzino Brothers’ niche is auctioning surplus
��������� ����� ��������� ��������� ������ ���������� building supplies from manufacturers and distribu-
������������������������������������������������ tors all across the country. All of the materials the
������������������������������������������������������������������������������������������������ company auctions are name-brand building products
�������������������������������������������������������������������������������������������� that have never been used. “This is the same stuff
���������������������������������������������������������������������������������������������������������������������������������� you would buy at any hardware store,” he says.
However, Paranzino reports that most of the
����������� ����� ����������� ��� ��������� �������� �� products auctioned go, on average, for roughly
������������ ������ ������� ���������� ������ ����������
45% of the product’s retail price. “There’s a lot of
demand from home remodelers,” he adds, while new
������ ������� ���������� ����� ������ ���������� construction is all but dead.
���� ������ ����� � ���������� ���� ���� ������� ������� Most of his business comes from do-it-yourselfers
�������������������������������������������������� searching for the best price for name-brand quality
�������������������������������������������������������� materials. “Our biggest-selling items are flooring,
������������������������������������������������������ bathroom accessories, cabinets, doors and win-
�������� ����� ����� ����� ����� ��������� ������ ������� dows,” he says. The auction company is just one
������� ���� ����� ������ ����� ������ ����� ������� ������ ����� ����� ���������� ������ ������� ���� ������ of two in the country that sells building products
������������������������������������������������������������������������������������������������������������������������������� Paranzino Brothers holds auctions in Ohio, Penn-
sylvania, Maryland, Kentucky, Michigan, Indiana
and West Virginia. Each month, the auctioneer holds
������������������������������������������������������������������������������������������������������������������������������������������ a sale at its North Lima site, an event that can run
��������������������������������������������������������������������������������������������������������������������������������������������� as long as nine hours.
“We have about 12,000 permanent bidders regis-
SEE WEBSITE FOR MORE INFORMATION & PICTURES. tered,” Paranzino reports. On average, between 400
����������������������������������������������������������������������������������������������������������������������������������� and 600 attend the event held the third Thursday
��������������� of each month.
“There are companies all around the country that
������������������������������ sell just through us,” Paranzino says.
“A Third Generation Family Business” The company holds 70 or so auctions a year, he
reports, with clients in Ohio and Pennsylvania be-
������������������������������������������������������������������ ing the most active. Paranzino has also moved its
�������������������������������������������������� business online so that bidders (with access to the
Internet) can join in from anywhere in the world at
Online auctioneering, he relates, has been slow
to catch on, especially when it comes to building
���������������������������������������� “It’s hard to sell online because people still need
to build up trust” to buy a product sight unseen
because all products are sold as-is; no refunds are
Paranzino began his career as a bid caller for
Basinger Auction Services, North Lima, and started
his own business in 1996.
“All I really knew about was construction,” he
laughs, and started to purchase excess inventory
from lumberyards for auction.
“Our first auction brought $15,000,” he recalls.
Today, that number can reach as high as $500,000,
he says.
The Business Journal OCTOBER 2009 39

Bidders at Auctions Want a Lot for a Little

Auctioneers say not slowing down.”
The auctioneer reports he holds
auction market is auctions at 1 p.m. every Sunday at his
hotter than ever. auction house on Youngstown-Hub-
bard Road. “We were so busy during
By Dan O’Brien the summer,” he says. “I could hold
four or five auctions a week just to get

T hree Wednesdays a month

Janet Mareney makes the nearly
hour-long drive from her home
in Alliance to a regularly scheduled
auction at George Roman Auctioneers
caught up.”
Anglin reports that demand for
antiques – with the exception of high-
end items – has dried up, but interest
in good-quality, brand-name furniture
Ltd.’s auction barn on Western Reserve is on the rise. “The used furniture
Road in Canfield. is bringing more than antiques,” he
“It’s what I do for a living,” she ex- says.
plains, as she walks out with a box of However, sought-after and hard-
hammered aluminum plates, saucers, to-find items sell very well, but these
cups and bowls. “I paid $30 for all of also are victim to a market that’s very
it. I’m going to sell them on eBay.” fickle, Anglin says. “Five years ago,
Mareney estimates she can get five 1940 mahogany furniture was selling
times the price she paid by reselling very well, but sales of firearms are way
them through the online auction com- up today.”
pany. “I’ll buy anything that’s reason- A recent auction Anglin conducted
able,” she says, “and anything that I at a farm in Mt. Jackson, Pa., near Bes-
know I can make money on.” semer, grossed $84,000 in five hours
Buyers at these auctions often look – and that included just the contents
for ways to turn a profit on items of in- of the residence. “An atlas dated 1750
terest by reselling them. In Mareney’s went for $16,800,” he reports.
case, she knew what she wanted, and And, he says there’s enough busi-
has done this enough to know what ness for all the reputable auctioneers
sells and what doesn’t. After three in the area to do well. “Everybody
hours at Roman’s auction, Mareney does a different business,” he says.
says she’s still not done. “I’m heading “There’s a different animal all the time.
to another one in East Liverpool later You sell what’s out there to sell to stay
this evening,” she says. in business.”
George Roman, auctioneer Jeff Still, Anglin reports that although
Byce, owner of Byce Auction in volume is higher, the average price
Youngstown, and Jeff Anglin, owner for antique and collectible items is
of Anglin’s Auction Services, also in down because of the weak economy
Youngstown, agree that the auction and auction houses such as Ebay,
market is hotter than ever. Interest which has flooded the market with
ranges from those looking for great collectibles.
purchases to sellers who want a fast, George Roman, owner of George
efficient way to sell excess goods or Roman Auctioneers, also says good-
property. quality furniture sells very well. “The
“The real growth right now is in real average stuff, such as pots, pans and
estate,” Byce observes. “And, we’re not chinaware aren’t selling as well. Buyers
talking about foreclosures.” are still cautious.”
Byce says many prospective home- “Our business usually goes the opposite way of the economy,” says George Roman, owner of George Roman says his auctions – held the
buyers feel more comfortable bidding Roman Auctioneers, Canfield. Roman conducts auctions of household items three Wednesdays first three Wednesdays of every month
on commercial or residential real es- of every month at his auction barn. He also auctions automobiles two days of the month. – do a steady business. “Our business
tate during an auction because such costs about 1% per month of the total a resident relocating to another place, usually goes the opposite way of the
a setting can determine immediate value of the house,” he says, when such as a relative’s house, an assisted economy,” he says.
demand, and therefore bring a price taxes, insurance, maintenance and living complex or nursing home. The In addition to his Wednesday
that is closer to actual market value. utilities are taken into consideration. remainder of his business is derived auctions, Roman says the company’s
“They know they’re paying what the “If you have a house that cost $50,000, mostly from people who have already auto auctions – held the first Saturday
market will pay,” he says. the cost of holding on to that house is bought another home – empty nesters, and third Wednesday of each month
Real estate auctions no longer about $500 a month.” for example – and want to liquidate – draw immense interest. “The auto
carry the stigma as a last, desperate Byce says his company, a division their excess property. auctions are going very well,” he says,
attempt to sell a house, Byce relates. of Coldwell Banker Realty, rarely deals “It’s the highest form of salesman- noting that buyers over the last year
“Auctions are becoming a more ac- with foreclosed properties: “Fore- ship,” Byce says of the auction busi- have tightened their belts and are
ceptable method of sales, and quality closures are usually damaged or dis- ness. looking for the best deals.
always sells.” tressed. I deal with nicer properties Jeff Anglin, owner of Anglin’s Auc- And occasionally, the auto auc-
And, more homeowners are taking that aren’t challenged.” tion Services, Youngstown, says that tion brings in a highly desired piece:
to auctions because of the costs of Half of the business Byce handles is business has never been better for his “About two months ago, we sold a
owning or maintaining a house, Byce the result of a life-change event for the company. “Usually, this time of year it 1935 yellow, customized Packard for
adds. “Holding on to a house generally client, be it a death and estate sale, or begins to slow down,” he relates. “It’s $78,500.”
40 OCTOBER 2009 The Business Journal

Children’s Center:
From Page 1
When the post of executive director opened and
the mission (and name) of the museum changed,
Barbati applied. Executive director since last March,
she offers, “I always thought it’d be the greatest place
in the world to work.”
Besides running the museum in downtown
Youngstown with a bare-bones staff, Barbati spends
considerable time worrying about and raising
funds. In addition, she is working to recondition
the building at 139 W. Boardman St., and make it
more energy-efficient and better adapted to meeting
children’s interests.
When the Children’s Museum took occupancy,
the assumption was the stay would be temporary.
Today temporary does not translate into brief, she
says, and the museum will remain there for the
foreseeable future.
Barbati’s staff consists of Amanda Hoover, the
education coordinator, Mary Kopper, fiscal coordina-
tor, and Angelo LaMarca, facilities coordinator.
The floor space of 10,600 square feet is divided
into “six learning stations” where visitors learn
through hands-on experiences: one for music,
another for art, one with a focus on biology that
promotes healthful behaviors, another with an
Museum director Suzanne Barbati stands before a biplane flown by Jim Stranahan, whose widow donated it to the museum.
earthquake table and Emriver exhibit that focuses
on geology. program change,” Faniro says. The center “forged through math and science when they took the
The Emriver table demonstrates how water partnerships with Youngstown City Schools and the required courses to obtain their certification or li-
flows, how rivers change their courses and sediment Ohio Department of Education to set up an 11-day censes, Abraham notes. They pass their phobias on
collects. A fifth offers some of the history of the program for all fourth graders [in city schools],” to their students and he is hopeful they will benefit
Mahoning Valley, a holdover from the Children’s he continues. as much from their visits as the students they ac-
Museum. Five hundred fourth-graders visited the revamped company to the center.
Last is the mock television news set, sponsored Children’s Center, Faniro reports of the success of More than ever today, the Children’s Center is
and tended to by WFMJ television, where visitors the pilot. “We had 26 rabid teachers who wanted needed, Abraham states. “Erector sets are no longer
can learn more about weather and how newscasts more,” he adds. cool,” he has found, and computer games may en-
are produced. Station manager John Grdic serves on “It was a pretty bold transformation,” Faniro says, gage the mind but don’t teach science.
the board and is a strong supporter of the museum, “and we’re going to see it through.” The transition “Chemistry sets no longer contain chemicals,”
Barbati notes. from Children’s Museum to a juvenile STEM center, he laments, “because we live in a litigious society
The music station has mostly percussion instru- he predicts, “will serve as a model nationally.” where risk is not accepted. We protect our children
ments, including a wooden xylophone that children Another director, Bruce Sherman of Sherman and don’t let them be curious.”
are encouraged to try. The art station has tempura Creative Promotions Inc., Boardman, supported Thus, it doesn’t bother him if the kids watching
paints kids can use to create art on paper if not the board’s new direction. Sherman, also active in and participating in the Emriver station spill water
themselves. Ohio Business Week and Junior Achievement of on the floor as they put their hands in the sediment
One of the science displays is near the entrance the Mahoning Valley, sees the Children’s Center as and learn about how water flows.
where visitors can ride a bike connected to a genera- filling a void so interest in science and mathematics “If we set up the center right, we will provide for
tor that powers electricity to run a hair dryer and the is fostered at an early age. these children who come in with the opportunity to
old incandescent light bulbs and new energy-effi- “We’re working on plans to increase accessibility be curious. … They’ll learn science. Kids don’t need
cient coiled light bulbs. The new light bulbs quickly and visibility,” Sherman says. He hopes the center, to know they’re learning.”
reach their full brightness; it takes an older child or with its new focus on science and math, will help Barbati appreciates this as she schedules birthday
adult to make the old bulbs get beyond dim. boost students’ scores on the mandatory state profi- parties for parents to hold in the center for their
The center, born as the Children’s Museum ciency exams, especially those in Youngstown City children. The general admission of $5 is less than
through the support of the Junior League, was begin- Schools. what most movie theaters charge. The center lacks
ning to flag, says the chairman of its board, architect He intends to volunteer as a docent on weekends, an endowment, and so Barbati is turning to the state
Ronald C. Faniro. The $600,000 it had raised and Sherman says, and expects other board members Department of Education, boards of education in the
spent had taken the museum as far as it could go, he will do the same. region and private sources such as the Wean Founda-
recalls. What was needed was “a bold new vision” A word that Abraham, Barbati, Faniro and Sher- tion and charitable trusts to make up the difference.
and the board of 14 debated whether the museum man all use is “fun,” as in learning should be fun. The Wean has pulled through, she reports, as have
should change direction and focus and if so, how. Faniro went so far as to declare the center “is in the trusts managed by Huntington National Bank.
They agreed it should continue to serve children business of entertainment.” The in-kind support, especially from WFMJ, is
from infancy to age 14 with a focus on those in pre- If making the learning stations entertaining is a invaluable, she says, and nearly everyone gravitates
school, kindergarten and elementary grades. condition of helping children understand, the board to the news set to appear on camera or learn how
With “the STEM college so strong and the is willing to take the road of entertainment to reach the weather forecasts are performed.
Youngstown Business Incubator,” Faniro relates, an understanding of science and math. YSU English
“we thought these were good opportunities to professor Steve Sniderman, an amateur creator of A footnote: Mattel Toys introduced Teen Talk Barbie in 1992
explore.” games and puzzles, has revamped the station where and the various models were programmed to say 270 phrases.
What was needed, the board agreed, was not students get a better grasp of numbers so they under- The American Association of University Women led the charge
so much physical change – indeed, much of what stand the scope and magnitude, Barbati says. to recall those with recordings that played, “Math class is
the Children’s Museum offered remains – “but Many elementary school teachers struggled tough,” and Mattel recalled those dolls the next year.
The Business Journal OCTOBER 2009 41

Going Back in Time to Move City Forward
Quiet phase of History Center’s
fund-raising campaign at 60%
of project’s $6 million goal.
By Dan O’Brien

espite an economy that’s tied the hands of
corporate donors, the campaign to raise $6
million to renovate a cultural landmark in
downtown Youngstown is in full stride and gaining
“The good news is that we’re 60% of the way
there,” says Carol Potter, campaign director for the
Mahoning Valley Historical Society. “We have $3.6
million pledged and the project is on track.”
The society is spearheading the effort to transform
the Harry Burt building, 325 W. Federal St., into the
Mahoning Valley History Center, Potter says. The
historical society paid $150,000 for the building to
Ross Radio in late 2007 with the intent of convert-
ing the structure into an interactive history center
that celebrates the entrepreneurial legacy of the
Mahoning Valley.
Potter was hired as campaign director in May.
Before that, she spent 14 years as the development
director for Mill Creek Metroparks where she was
responsible for historical preservation and restora-
tion. “It was a good fit. I have a background in this,”
she says.
“People are starting to think about the quality
of life in our community,” Potter continues. “This
center and its location has a great connection with
Carol Potter and Bill Lawson hold replicas of the Good Humor bars that Harry Burt produced in downtown Youngstown.
the entrepreneurial spirit of the Mahoning Valley,
both past and present.” The ground floor will consist of a museum store, geothermal heating, and lots of natural light once
Burt personified that spirit, Potter says. In 1922, some food service and the main exhibit gallery. the skylights are exposed,” Potter says.
he bought the building for $200,000 and relocated The grand ballroom on the second floor will Although foundations and corporate sponsors
his confectionary business from a building on Phelps be renovated and made available for civic events, face difficult times, Potter says she gets a sense that
Street. weddings, meetings or other community functions. the economy should begin to rebound sometime
He transformed the three-story building into a “Harry Burt had a dance here every night of the during the fourth quarter.
multi-use hot spot that housed a tearoom, bakery, week,” Potter says. “In spite of the challenges, we’re moving ahead,”
confectionary, soda shop, and a banquet and dance Once the project is finished – estimated sometime says Bill Lawson, director of the Mahoning Valley
hall. But most of all, Burt was known for a single in 2011 – the history center will stand as an anchor Historical Society. “We’re doing our final design and
invention that grew into an American institution: on the downtown’s West End and complement other development work with the architect. We’d love to
the Good Humor bar. establishments such as the DeYor Performing Arts be in construction by the second half of 2010, but
Burt perfected and mass produced the ice-cream Center and restaurants such as the Rosetta Stone. we’ll see what the numbers tell us.”
bar at the site and introduced the concept of selling “People are totally on board with this project,” Potter Lawson says funding for the center will come from
his Good Humor bars door-to-door in neighbor- says with enthusiasm. “It’s going to be an attraction a mixture of state, federal and private sources. “The
hoods in and around Youngstown, essentially taking that feeds these establishments downtown.” bulk of these will be through the private sector,” he
his product to the people. The achievement earned The renovations will also be guided by green says. “That’s why this campaign is important.”
the Burt Building a spot on the National Register of architectural and design standards, Potter says. Bringing on a full-time campaign director is
Historic Places. “There’ll be a lot of natural light” once the original critical to the effort, he continues. “Right now, we’re
The new history center will be home to the skylights are renovated and exposed. And, the build- focused on raising our $6 million goal through tradi-
society’s permanent and traveling exhibits, Potter ing will be refurbished based on LEED standards. tional methods” instead of pursuing programs such
says. It will also serve as a modern educational and LEED is the acronym for Leadership in Energy and as historic tax credits, which would require the His-
research repository for local history. The basement Environmental Design, a designation awarded by the torical Society setting up a for-profit organization.
will hold the historical society’s archives and library, U.S. Green Building Council to buildings that are “If we thought it was critical, we would consider
now in the carriage house behind the Arms Family constructed with environmentally friendly materi- it,” Lawson says. “But as of now, we’re in the quiet
Museum on Wick Avenue. als and designs that conserve energy. “It will have phase of approaching donors.”
42 OCTOBER 2009 The Business Journal

Museum Gala Inspired by Pretty Boy Floyd

No need to raise your hands. Water leaks have stained sections of the wall, scoop it up.
which required repainting. The museum knew it This doesn’t excuse his criminal activity, Webster
Just open your wallet. couldn’t survive another winter, “which is a scary says, nor does it transform into a reincarnation of
thing when you’re a nonprofit,” Webster says. “Liter- Robin Hood. It does, however, show that he had
By Jeremy Lydic
ally every day we operate has been on the generosity sympathy for those in dire financial straits.

ou walk among the trophies and football of somebody.” There’s no admission fee to visit the “He’s a piece of Americana,” Webster says.
memorabilia that celebrate football success museum, which enjoys a steady flow of visitors every “People just get a kick out of him being associated
in the Lou Holtz/Upper Ohio Valley Hall of day, including students on school field trips. with us here in East Liverpool.”
Fame in East Liverpool. When you arrive at the very “This major undertaking represents a serious To recognize Floyd and the times in which he
back of the exhibition hall, you see Charles Arthur commitment on the part of the Hall of Fame and lived, the gala will have a Roaring ’20s theme, replete
“Pretty Boy” Floyd. Behind bars. Because the barred Coach Holtz himself to this downtown community with those who attend attired in fashions of the pe-
door you see leads inside a bank vault. and to the upper Ohio Valley,” says Frank Dawson, riod: men wearing fedoras and women flapper head-
Of course, it’s just a life-sized cardboard cutout president of the board of trustees. “Our financial bands that will be handed out with tickets, Webster
of Floyd, gunned down by lawmen Oct. 22, 1934, commitment to remain a vibrant, relevant piece of says. The museum will be decorated as a speakeasy
not far from here. To raise money for a new roof, history is as unwavering as it was 11 years ago when with a cash bar, and a disk jockey will be on hand
the Hall of Fame museum will hold a gala Oct. 24 in the building was given to us by Bank One.” to play music from the era. Guests are encouraged
observance of the violent end of its most infamous Bank One has since been acquired by JP Morgan to dress in full costume with prizes given following
folk hero and the 75th anniversary of his death. Chase Bank. a Pretty Boy Floyd look-alike contest. Details can be
While backers are reluctant to call the gala a fund- Field trips feature the Floyd exhibit, even though found at
raiser, museum director Robin Webster hopes it will he has not been inducted into the Hall of Fame, The museum relies heavily on donations from
generate among the community some measure of Webster says. Instead, Floyd’s story is used to teach individuals and East Liverpool area businesses, but
financial support to keep the museum open as the children what can happen when good people make not all donations are monetary. Some train car din-
roof is repaired. bad decisions, the importance doing good even after ing booths were donated from the former Colonial
Webster declined to divulge the cost of the roof- one makes a bad choice. Bar and Grill, which the museum uses for its dining
ing project, but allows that preserving the Beaux- Floyd, who turned to bank robbery during the car party room.
Arts architecture will be expensive. Scaffolding is in Great Depression, tore up debt notes banks held so Most of the downstairs area is decorated with a
place, and Webster says the work should be done their lending officers no longer had a record of how train theme, including the room that houses a train
by Thanksgiving. much homeowners owed, thus preventing many set put together by Joe McNicol, who has worked on
“I started here three years ago, and it was a bit of a from losing their homes. the project the last three years to honor the memory
problem,” Webster says. “Last winter was the worst. During an escape, Floyd tossed money from of his wife, Judith, who died in 2007. McNicol made
It was like it was raining in our gift shop.” his car to the street. People predictably dashed to the scenery and structures by hand.



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The Business Journal OCTOBER 2009 43

Lucrative Business? Yes. Steady Income? No.

Sometimes best paydays come in children’s book, “Bella Makes New Friends,” which
should be available by Oct. 16, when DH Gallery
her book will be based on what it costs to publish
it. She is planning to self-publish.
the form of admirer’s reaction. will host an artists’ reception for Pergande, Rigby
and Bristol.
“I’m not looking to make a profit,” Rigby says. “I
just want to get it out there.” Her goal is to build a
By Maraline Kubik Like most galleries, DH Gallery charges every following and create demand for more of her work
featured artist a fee, which is used to promote the – maybe catch the eye of a writer looking for an

o eke out a living, successful artists are as exhibit and pay for invitations, musicians and illustrator.
creative in how they sell their work as they are refreshments for the artist’s reception. Fees vary, Pricing her other artwork is more difficult, she
in producing it. Steady paychecks are usually based on the number of artists featured in the show, says. “How do you put a price on something that
nonexistent and supplemental employment is the Danklef says. The gallery also receives a commission you’ve put so much work into and love
norm. on all artwork sold. so much? It’s like selling your puppy,”
“It’s feast or famine,” says Scott Pergande, a “We broke even right away,” Danklef says. she says.
Youngstown sculptor whose work is reminiscent When she and Hill first opened their gallery, they When she must price her work,
of Greco-Roman architecture and archiological ar- committed to keeping it open for one year. “I don’t Rigby says she considers the costs
tifacts, replete with angels, cherubs, human torsos think either one of us ever thought about of materials used “and a little for my
and altar pieces. making a million dollars,” she says. “It’s actual work.”
Pergande has been selling his work in the just the art that we love.” The show at DH Gallery
Youngstown market since he was a student at But, after breaking even in their will be her first since
Youngtown State University in the mid-1980s. Since first year, they knew they had to keep graduating with dual
then, he’s built a loyal following and a profitable, going. So far this year, despite being degrees in art edu-
albeit unpredictable, business selling his work at closed for five months while they cation and fine art
shows and galleries throughout the region as well renovated their new space, Danklef in 2007.
as across the country. says the gallery is on track to break Rigby earns
Even so, he says, “I’m dependent on part-time even again. her living as
work as a guarantee” for a steady income. That’s good for the artists too. a substitute
“I don’t know of anyone who is making a living “I can’t think of a show where the teacher. “I
as an artist without doing something else,” says artists didn’t recover their fees and don’t know
Kristina Danklef, a painter and co-owner of DH made a profit,” she notes. any artist
Gallery in Salem. For artists, however, breaking who makes
Most of the artists she and her partner, Kathleen even and turning profits isn’t as enough to pay
Hill, a sculptor, have worked with have other jobs, cut and dried. Pricing pieces for the rent, but
most of them full-time jobs. That includes the gal- sale is a constant struggle. they create some
lery owners: Danklef operates a Web site design and “You don’t want to overprice really great stuff,”
graphics business from inside the gallery and Hill is pieces but you want to sell it for she says.
a teacher who also runs a children’s art studio that its value and it must See ARTISTS,
offers weekend and evening classes. fit this area,” Danklef page 44
“I knew I needed a full-time job to pay for what explains.
I’m doing,” Danklef says, explaining why she pur- “I hate doing it,”
sued a career in Web site and graphics design work- says Rigby. The
ing for the Canton Regional Chamber of Commerce price of
and Pro-Football Hall of Fame Festival among others copies of
before moving back to Salem to go into business
for herself.
The success of DH Gallery, however, has her
thinking more and more about pursuing her pas-
sion for painting full-time. Since opening the gallery
above Friends Roastery in 2007, she says, “Kathy and
I are selling more of our own artwork.”
The partners relocated to a much larger and more
easily accessible space on the first floor of the old
Masonic Temple building last year where they open
a new show every two months and offer for sale in a
consignment area works from a wide range of artists
– painters, sculptors, jewelry makers and artists who
“reconstruct antique jewelry,” she says.
All of the artists whose work is displayed at DH
Gallery are invited or approved by Danklef and Hill
because the partners want to cultivate a reputation
for presenting quality artwork by high-caliber art-
ists. DH Gallery specializes in original artwork and
promotes it as an investment, Danklef says. Prints
are sold only in connection with special events.
The current show, for example, features three
Youngstown artists – Pergande, photographer Nea
Bristol and illustrator Amy Rigby – whose original
work will be for sale. Rigby will also have numbered
Scott Pergande displays some of his sculptures in his Youngstown garden. He’s built a profitable but unpredictable business.
prints for sale that feature images from her first
44 OCTOBER 2009 The Business Journal

Artists: No Steady Income

From Page 43
Willie Duck, a graduate of the Pittsburgh Art
Institute, has been selling his drawings and paintings
in and around the Mahoning Valley “on and off for
about 18 years.”
After being laid off from the food distribution
company where he’d worked 12 years, he decided
to focus on his art full time. That was five years ago
and he’s held part-time jobs most of that time.
“I would probably be able to make it [selling
my art] if I was by myself,” he says, “but I’ve got
kids so I need that part-time job. But it needs to be
a flexible part-time job,” he’s quick to add. His art
business, Duck explains, often requires that he work
irregular hours.
Some months he may have several commissions
or an especially large project, Duck explains. Other
months may be slow.
He prices his pieces based on size, costs of
materials, the medium used – paintings cost more
than drawings because they require more time, the
materials cost more, and they last longer – and how
attached he – or his family – is to the piece.
“Every time you sell a painting, you have to learn
to let it go,” he says, admitting that he and his family
always get attached to his paintings, even commis-
sioned pieces.
“My wife cried when I sold a painting of Lan-
terman’s Mill,” Duck recalls. “She didn’t think I’d
sell it when I took it to a show. When I did, she Art patrons Jim Hill and Dan Smith browse the Salem gallery owned by Kris Danklef, who holds a photograph by Nea Bristol.
cried because it wasn’t in our living room any-
more.” Pergande has also found that demand for his showing their work in any other galleries within 50
While it is difficult to part with his work, Duck work, especially nativities, is seasonal. There is or 60 miles and require artists to pay a commission
says seeing people’s “reactions to my work is worth strong demand during the holidays, spring and early for any work sold to or commissioned by buyers
more than the money.” He also finds that selling one summer – many customers buy his nativities to who first came into contact with the artist by way
piece serves as an incentive to create another. give as wedding gifts and other sculptures for their of the gallery.
Selling prints of his most popular paintings is gardens. During the winter, following the holidays, “Your resume also influences your prices,” he
lucarative, too. Popular public figures, celebrities, nobody buys anything, he says. adds. Student pieces don’t demand as high a price as
sports figures and scenes from Mill Creek Park are To make ends meet during those dry spells, Per- someone whose work has been accepted to exclusive
good candidates for prints, he says. gande works odd jobs and refinishes and reworks shows and galleries or that is included in prestigious
Prints, which are priced from $5 to $25, are much antique furniture, sculpting hardware to replace collections.
more affordable than original paintings that might missing pieces. “I can make antique furniture into The Mahoning Valley, Pergande says, is not a bad
cost $275 to $350, he says, and are good market- a Pergande original,” he says with a smile. place for an artist to do business. “I’ve done OK,”
ing tools. Pergande sells his work at juried shows and gal- he says. From here, he’s sold pieces that have found
People will buy a print from him during a local leries. All require entry fees that range from $20 to homes on three continents.
show such as Youngstown State University’s Summer $100 – fees that are not refunded if his work isn’t “I’ve had executives buy my pieces as executive
Festival of the Arts and then return year after year selected for exhibition. gifts rather than buying a Lalique bowl or something.
to buy another, the artist says. Kids buy and collect The higher the entry fee, the fewer artists enter, Most of those have ended up in Europe or Asia,”
small 5x7-inch prints of their favorite sports figures, he says, which usually correlates with higher qual- he says. He’s also sold pieces at a gallery in Oregon
priced at $5 each, and alumni who’ve moved away ity work. Most shows also have jury exhibitions, – the owner of that gallery saw Pergande’s work at a
buy prints that feature scenes from Mill Creek Park, awarding cash prizes to artists for the best pieces in show here and asked to represent him there.
YSU or the city of Youngstown. the show, Pergande adds. “There are some really good artists in north-
“For an artist, selling one or two originals in a Getting into more exclusive shows, he says, eastern Ohio, Danklef says. “They are unique and
year is pretty good,” he says. Selling prints generates builds his resume and helps him get into more gal- driven.” Finding local artists who produce the high
the bulk of his income. leries where he can sell his work. caliber of work DH Gallery requires “hasn’t been
Pergande says that pricing used to be difficult for Gallery owners, he explains, recognize that artists hard,” she says.
him, but after more than 20 years in the business, whose work makes it into these shows and galler- Because of the quality of art represented, Danklef
he’s developed a “generic” method that “reflects the ies not only speaks to the quality of the work, but says DH Gallery draws regular visitors from through-
costs of his materials and my time.” its ability to sell. That’s what they’re interested in, out northeastern Ohio and western Pennsylvania
He’s also learned that putting high prices on Pergande says – artwork that will sell. and occasional visitors from much farther.
pieces he’d like to keep makes it easier to let them More exclusive galleries usually take larger com- “We’ve had people in here from China and sold
go. missions – 60% versus 30% or 40% – but Pergande work in California. People visit here, see something
Recalling a piece he once had on display at Tru- says that’s OK, because artwork in those galleries they like and we ship it out.”
nick Gallery in Brookfield, Pergande says that after is usually priced higher and, because the galleries On occasion, the gallery has even had buyers
it was hung for the show, he decided he didn’t want are located in more affluent areas, the work sells at offering to purchase pieces that have already been
to sell it. The gallery owner advised him to price those prices. sold for twice as much as the orginal buyer paid.
it so high that no one would buy it. So, Pergande Often, galleries require artists to sign contracts, That, Danklef says, shows that original art can be
says, he doubled the price. Nevertheless, it was the he continues, which restrict where represented art- a very good investment “if you know what you’re
first piece sold. ists can show their work. Some prohibit artists from looking for.”
The Business Journal OCTOBER 2009 45

Tips for Fighting ‘Friendly’ Fraud
Not only do companies lose items such as downloads or access to sites, a plan for chargeback will assist the credit-card company, and
merchandise, they lose what denying access is both prudent and practical.
• Clearly state your return policy on your Web
increase your chances for a favorable resolution of
the dispute.
they should have been paid. site. This includes any • Analyze sales re-
product guarantees, time Defending a business against friendly fraud cords. This can help you

usinesses are increasingly becoming victims restrictions, condition re-
of “friendly fraud” – fraud carried out by quirements or fees – such
is no easy task, but there are steps to take. identify consumers who
charge back items on a
customers to get items free of charge. as for restocking. regular basis, enabling
Your Better Business Bureau warns small-busi- • Be prepared to make your case to the credit- you to decide whether to stop doing business with
ness owners to be on the lookout for this type of card company. Staying organized and presenting a them.
fraud and offers advice on how to protect against solid case – including records of delivery or reim- For more advice on defending your small busi-
this growing online threat. bursement and your return policy – in the face of a ness from fraud, visit
Many companies – for example, the travel site
Expedia – have seen up to a 50% spike in friendly
fraud since last October, reports The Wall Street
The most common types of friendly fraud involve
Membership Builds Business
cases in which a customer makes false claims, such
• He reports he never received an item ordered
• He reports he received the wrong item ordered
S everal events
happening at the
same time last
week inspired me to
write this column.
posters required by the government.
Now to the second event that inspired me to
write this column. An older woman came into our
office with a registered letter containing a check for
$5,500. The check looked real, but her neighbor
online; All of us have felt the told her to check with the BBB before cashing it.
• He reports he had his credit card stolen and was impact of the economic We immediately recognized the scenario. She was
charged for items he didn’t order. downturn. Friends and told to deposit the check in her bank account and
In each of these examples, the customer then family members have send the fraudsters a check for $1,550 – the cost of
demands a refund from the business or is issued a lost their jobs because taxes and paperwork for her winnings. If she had
chargeback on his credit card. there weren’t enough followed these directions, she would have lost the
There is nothing sweet and friendly about this orders to keep them $1,500 sent to an address in Canada – and if she
type of fraud. The impact on businesses is doubly employed. Some good spent any of the remaining money, she would have
painful, because not only do businesses lose the companies have shut been required to reimburse her bank because the
merchandise, they also are out what they should their doors. It is very check was counterfeit. We saved that woman from
have made on the sale. By Pat Rose sad to hear a com- a financial disaster. We do that every day.
When “friendly” fraudsters are unable to coax BBB President pany owner apolo- What if we weren’t here in the Mahoning
reimbursements from a business directly, many then gize for not paying accreditation fees this year Valley? What if enough companies asked,
issue chargebacks to their credit-card companies. because he is going out of business. “What’s in it for me?” and decided not to
Creditors will investigate the situation, asking for Just as sad are the companies that tell me support us? What if companies still have the
the business owner’s side of the story before deciding they aren’t renewing their accreditation because mistaken notion that we get government funds?
whether the business is at fault. times are tough and they don’t see the benefits We’ve been fighting that rumor for years. We
Defending a business against friendly fraud is no of being a BBB Accredited Business. never have and never will receive any fund-
easy task, but there are steps to take. The BBB offers I was especially troubled that “Joe” said ing from any government agency.
the following advice to small-business owners: that to me because we provide a service for We get the financial support to keep
• Verify the buyer’s billing address before send- accredited businesses where prospective our doors open from only one source
ing merchandise. Some retailers require that the customers can ask for an estimate directly – ethical businesses in Columbiana,
billing and shipping address match before filling from that company’s report on our Web site. We had Mahoning and Trumbull counties that recognize
an order. just sent two requests for an estimate to Joe and our importance. Some 2,000 companies believe we
Many businesses have found that simply paying he had not contacted either consumer to make an are needed and urge their customers, friends and
for an address verification service, which confirms appointment. He had gained that consumer’s trust families to call us before doing business with any
that the billing address matches the address associ- because the consumer went to our Web site and saw company.
ated with the credit card, is sufficient. he was accredited with an A grade. If you do not currently support our mission, call
• Use a shipper that tracks delivery. Some In addition to that benefit, his office had contact- me and I’ll tell you why you should. If you are one
shipping firms provide tracking information and ed us for human resources information three times in of our Accredited Businesses who has our invoice
signature confirmation. Such information can help the past six months, which we also sent him, and he at the bottom of the “to pay” pile, please move it to
shed light on whether the customer really did not placed orders for the BBB Super Poster at $5 apiece the top and know that you have done a good thing
receive the goods. for all his work trailers at his construction sites. for your community.
• Deactivate or deny access to products. For That purchase alone saved him hundreds of dollars
retailers that do not ship tangible items, but rather if he would have bought commercial employment The author, Pat Rose, can be reached at 330 744 3111.
46 OCTOBER 2009 The Business Journal

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The Business Journal OCTOBER 2009 47


Getting Ahead
Young Women and Men
Equally Look to Advance
Y oung women want to advance
to jobs with more responsibility
just as much as young men,
– a trend that’s showing up for the
first time, according the Families and
One common bond all three hold
is their demanding schedules, which
often change at the last minute and
may require extended periods away
from home or long shifts. “The type
Work Institute. of stress surgeons face when operat-
Among “Millennials,” or those ing is very different from the stress a
under 29, women are just as likely pilot feels when landing in a storm
as men to want jobs with greater re- and from how a photojournalist feels
sponsibility. In 1992, 80% of men and while taking pictures during a fire or
72% of women under the age of 29 hurricane,” says Tony Lee, publisher
wanted jobs with greater responsibil- of “But all three bear
ity. Today, the figure is 67% of men more stress than any other job in the
and 66% of women. country, which is why they rank at the
Women in dual-earner couples are top of our list.”
contributing more to family income, Rounding out the eight most
the report also finds. In 1997, women stressful jobs are advertising account
contributed an average of 39% of an- executives, real-estate agents, gen-
nual family income. That figure rose eral-practice physician, newspaper
to 44% in 2008, when 26% of women reporter and physician’s assistant.
in dual-earner couples had annual Among the least stressful jobs are ac-
earnings at least 10 percentage points tuaries, dietitians, computer-systems
higher than that of their spouses and analysts, statisticians, astronomers,
partners, up from 15% in 1997. mathematicians, historians and soft-
Where 60% of women under 29 ware engineers.
with children and 78% of women
without children wanted jobs with Companies Recruit Online
more responsibility in 1992, the per- Surfing the Web may not get you
centages now are 69% (with children) a job, but better Internet job-search
and 66% (without children). Only skills can improve your odds of secur-
41% of employees now believe it is ing an interview.
better “if the man earns the money and “The first step when conducting an
the woman takes care of the home and online job hunt is to clearly specify
children,” down from 64% in 1977. what you’re looking for and to use
In 1992, 21% of women said their the site’s tools to specify what you
spouses or partners were taking as don’t want,” says Sarah Needleman,
much or more responsibility for the associate editor of
care of their children as they were. “Excluding words will narrow down
By 2008, that percentage had climbed the number of job openings and give
to 31%. you more targeted results.”
In some cases, online ads are
Most Stressful Jobs “blind,” meaning that the employer’s
When USAirways pilot Chesley name isn’t given. To find out what
“Sully” Sullenberger landed his jet company is behind a blind ad, cut the
safely in the Hudson River, he proved employer’s description from the ad
himself to be a great performer under and paste it into a search engine such
stress. He also illustrates why com- as Google or Yahoo, since recruiters
mercial airline pilot is ranked as one of often use the exact wording from the
the nation’s most stressful professions, employer’s Web site to write job ads,
according to the 2009 Jobs Rated Re- Needleman says. Odds are good the
port from employer’s Web site will turn up in
Still, the job of commercial airline your search.
pilot wasn’t first on the list; rather, If you’re not sure what company
it was in the No. 2 spot, topped by placed the ad, be aware that you could
surgeons and followed closely behind be applying for a job posted by your
by photojournalists. current employer.
48 OCTOBER 2009 The Business Journal
The Business Journal OCTOBER 2009 49


For the Record �����������

Sforza & Walker CPAs Inc., War- Columbiana Area Business & Profes-
ren, has acquired the accounting firm
of Malippa, Burkey & Co. Walter S.
sional Women’s Organization will host
a style show luncheon and auction at ��������������������������
Malippa Jr. and Anthony L. D’Amico
have joined Sforza & Walker.
10:30 a.m. Oct. 24 at Salem Golf Club.
For information, call 330 881 0809.
The A Way with Words Foundation’s F. Scott O’Donnell has joined the �����������������������
first Awwwmazing Affair to Remember, board of directors of both United Com-
a Pink Tie Event, will take place Oct. 4 munity Financial Corp. and The Home
at the Southern Park Mall, Boardman. Savings and Loan Co.
Proceeds will benefit the foundation. For Thomas W. Groner of Ankle & Food
information, call 330 360 3300. Care Centers has been named assistant
Philip Denny has been promoted clinical director of the podiatric residen-
to manager at Hill, Barth & King LLC, cy program at Alliance Hospital.
Certified Public Accountants and Busi- The Dan Berger Cord Blood Program
ness Consultants, Boardman. has been introduced at Sharon Regional
The Youngstown NAACP 90th Free- Health System. The program enables new
dom Fund Banquet will take place at 7 mothers to donate umbilical cord blood
p.m. Oct. 9 at the Mahoning Country following their deliveries for blood and mar-
Club. Call 330 782 9777. row transplants. Call 412 209 7479. ��������������� ��������������������
The Mahoning County Court-Ap- Kyle Hillman has been named a �����������������������������������
pointed Special Advocate/Guardian ad partner in Franchising Unlimited LLC,
Litem Program is recruiting volunteers Canfield.
for its fall training class. Call 330 740 The eighth annual Mercer/Law-
2239. rence/Butler County Women’s Eco-
Maria Slareno of CompOne, Board- nomic Development Outreach will take
man, has earned state certification as place Oct. 16 at Grove City College. Call
a professional coder. 724 946 2029.

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Genie Aubel, administrator of the Boardman campus of St. Elizabeth’s, and Jim Ferraro,
executive director of the Western Reserve Transit Authority, announce countywide bus service
at a press event Sept. 15 at the hospital. The expanded service will provide better access
to suburban medical facilities, Ferraro says, and provide a larger labor pool for business.
50 OCTOBER 2009 The Business Journal

Jobless Rates Down in August Mahoning Sets Recovery Zone

YOUNGSTOWN, Sept. 22 – The jobless rate im- YOUNGSTOWN, Sept. 18 – Mahoning County
proved in August by more than one percentage point commissioners have voted to designate the county a
in Mahoning, Trumbull and Columbiana counties. “Recovery Zone” under the American Recovery and
Mahoning County’s unemployment rate showed Reinvestment Act of 2009 and named the Regional
the deepest drop among the three counties, down Chamber as the clearinghouse for accepting ap-
to 12.9% – 1.5% improvement – from 14.4% in July, plications for financial assistance through the new
reports the Ohio Department of Job and Family Recovery Zone Facility Bonds program.
Services. The federal economic stimulus package revised
Columbiana and Trumbull counties each reported the tax code to create Recovery Zone Facility Bonds,
identical decreases of 1.2% from July to August. which may be issued for private projects within
In Trumbull County, the jobless rate fell to such a zone. These bonds can be used to finance
14.4% from 15.6% in July, and Columbiana’s rate a wide range of economic development projects
dropped to 13.7% from 14.9% over the same pe- intended to benefit both commercial and industrial
riod. businesses, says Tony Paglia, chamber manager of
Delphi to Add Jobs in Warren governmental affairs.
August 2008 unemployment rates for the three
counties were 7.4% in Trumbull, 7.5% in Columbi- TROY, Mich., Sept. 18 – Delphi Packard Electri- The Regional Chamber, which serves as the coun-
cal/Electronic Architecture will add 70 jobs at its ty’s economic development agency, was directed by
ana and 7.4% in Mahoning.
Warren, Ohio, operations when it closes a factory commissioners to review applications for assistance
Ohio’s unemployment rate of 10.8% was down
in Clinton, Miss., later this year. through the bond program and make recommenda-
from the 11.2% reported in July. It was among 14
The company informed employees that it would tions concerning projects.
states, plus the District of Columbia, to report rates close its Clinton operation on or about Dec. 31, said “Until this, tax-exempt project financing was
of at least 10%. Last month’s rate was up 4.1% from spokeswoman Rachelle Valdez. As a result, Delphi will generally limited to manufacturing-related projects.
the same period last year. transfer cable and plastic molding work to its Ohio This program broadens eligibility to other qualifying
Ohio’s loss of 30,100 jobs followed Texas, operations in Warren. Synergies with Warren’s exist- businesses such as distributors,” says Walter Good,
which shed 62,200 in August, Michigan, which ing operations “will give us greater flexibility to meet chamber vice president for economic development.
lost 42,900, and Georgia, where 35,000 jobs were customer requirements,” the spokeswoman said. The program does not use any county funds. It
cut. Hawaii and Michigan, with 1.1% decreases in The additional employees will probably begin does allow Mahoning County to authorize the issu-
employment, posted the largest over-the-month reporting starting in November or December. The ance of $10.5 million worth of the bonds.
percentage losses. workers in Warren will be in “full operation” in The amount that each Ohio county can authorize
The national unemployment rate rose to 9.7%, January, she said. varies, Paglia says. The bonds are marketed and sold
up 0.3% from July, and up 3.5% from August 2008. Delphi will recall laid-off workers to fill the 70 to investors and as a result, projects must be invest-
Over the year, the rate of unemployment rose in all positions. The company employs 1,000 in its War- ment grade to be eligible. Deadline for issuing the
50 states. ren operations. bonds is Dec. 31, 2010.



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Amadeus LIVE!
by Randall Craig Fleischer
�� ����������������

Saturday, October 10, 2009
James McClellan as Amadeus Mozart
Candance Dilullo as Mozart’s Housekeeper

�������� Thomas Scurich as Papagano
and dance sequences by
Ballet Western Reserve
������������ and Symphony No. 40
����������� Edward W. Powers Auditorium • 8 PM
CALL FOR TICKETS:330-744-0264
Online at
����������� Concert underwritten in part by the Youngstown Symphony Guild
The Business Journal OCTOBER 2009 51


Sales Savvy
Do You Keep Your Stuff?
Which side of I’m emotionally attached – tossers
are logically detached.
‘stuff’ are you on: I think all the people who are “toss-
logic or emotion? ers” toss only to a point. They’re not
about to toss an old photo of their

he world is divided into two family. Especially if one family mem-
kinds of people. Keepers and ber has died. They may toss away an
tossers. I’m a keeper.
My home and my spaces are full
old T-shirt, but not a handwritten let-
ter from their mom or dad. Everyone
Offering the latest in digital
of mementos. I have piles of things.
Boxes of things. Bookcases of things.
to some degree is a keeper. And just
because I am an überkeeper doesn’t
medical imaging technology
Walls hung with things. And closets mean that I’ve lost my sense of reality.
full of things. My personal things. Quite the opposite. My emotional past  CT, MRI and PET/CT Scans  Nuclear Medicine Scans
My stuff. keeps me grounded in the present.
I don’t live in the past. I don’t revel
 Digital Mammograms  Echocardiograms
As I mature, I find myself hanging
onto or purchasing things that reflect in the past. Rather, I remember the  Ultrasounds  X-Rays
some moment, some situation, some past and take those lessons into today  Bone Density Screenings  Special Procedures
significant event or some memory of and tomorrow. And having my stuff
old times. And right now, half of you around me keeps those lessons ever in For your convenience, extended weekend and evening
are reading this and saying, “Yep, the forefront. I’m able to teach lessons
because I have learned lessons.
hours are available for many procedures
that’s how I feel.” And the other half
are saying, “Why doesn’t this guy just I’ve spent the last 17 years writing 1995 E. State St., Salem (330) 332-1551
throw stuff away, like I do?” about my experiences, my philoso-
Today I read a short passage that phies, my lessons learned, and how
basically said, “It’s just an object. I’ve taken those lessons and made
Take a picture of it so that you can them success lessons, even if they
keep the memory, and then throw it were not successes at the time.
away.” Some people agree with that Reality about my stuff: Yes, I fear
philosophy. I don’t. I don’t have ob- fire. Yes, I fear burglary. Those would
jects. I have life. be harsh lessons of the present. Luck-
Many of the possessions that I have ily if everything were gone, I’ve spent Business Journal October 2009 Issue- Diagnostic/Imaging
saved or bought over the years are a so many years with these memories 1/4 Page Vertical Ad
direct reflection of my life, and the in front of my mind, they’ll never be
experiences, lessons and memories lost or faded. They’re documented for Salem Community Hospital
of those reflections. When I look at all time and etched into my soul, not Contact: Krisann Lewis: (330) 332-7511
things that I have collected, they make just my mind.
me remember, they make me think, Whatever your feelings are as you
and they make me smile. read this, luckily for you they are Advertisement/Business Journal-healthcare issues/diagnostic-imaging 09
The article I read said, “Have expe- your own. I’m not challenging you to
riences. Not stuff.” I say have experi- become a collector. I’m not challeng-
ences AND stuff. And there’s a reason. ing you to save your stuff. I’m merely
A deep emotional reason. sharing with you what my stuff has
Whether it’s a letter written by my taught me, and what it means to me.
7-year-old daughter (now 37) or a I’m blessed I have a partner (she’s a
plate she made at Christmas, pictures tosser) who tries to bring a sense of re-
I took while I was living in Berlin in ality to my mass of stuff. Once or twice
1967 or a little piece of the Berlin Wall, a month, she’ll put things in front of
my things are remembrances of times me to help me purge a thing or two.
that helped mold my philosophy. I’m grateful for that, and for her.
Their physical and mental presence In sales 95% of people buy on
creates an experience base that allows emotion and justify their purchase
me to live today to the fullest. logically. Maybe you can learn a new
My past life, ever clear in my mind lesson in sales from your own pur-
from my amassed stuff, and my pres- chases, whether you keep your stuff
ent life where I have everything in full or toss it.
view, helps me march into my future
life with a solid foundation of expe- Jeffrey Gitomer, author of The Sales Bible,
riential wisdom, internal happiness, conducts seminars, sales meetings and
and an expectation that the future will training programs. Reach him at 704 333
be as good as or better than the past. 1112 or at
52 OCTOBER 2009 The Business Journal

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The Business Journal OCTOBER 2009 53

Upgrades Keep Imaging Centers Sharp
Turning a profit during recession
is difficult, especially with many
people lacking medical benefits.
By Jeremy Lydic

s the pool of patients continues to shrink,
medical imaging and diagnostic centers
are doing what they can to stay afloat
Southwoods X-Ray & Open MRI in Boardman
was a freestanding imaging center until it joined
St. Elizabeth Health Center Jan. 19, 2008. With the
partnership, St. Elizabeth owns 75% of the center,
and Southwoods can focus on serving patients rather
than on the high costs of “owning a company with
high-quality equipment,” says its business manager,
James Fulciniti.
“We’re now a radiology practice with a one-fourth
interest in an imaging center,” Fulciniti comments.
“We want to read X-rays. That’s how we get paid.”
Initially, the plan was for St. Elizabeth to buy the
center and move it into the business pavilion at the
hospital’s Boardman campus.
The size of the equipment precluded the move
that would have taken weeks and cost Southwoods
customers in the process, Fulciniti says.
The center’s magnetic resonance imaging (MRI)
machine weighs 96,000 pounds – the weight of an James Fulciniti, business manager at Southwoods X-Ray & Open MRI, Boardman, demonstrates the onsite PET-CT scanner.
average sperm whale – and would have taken four
weeks to install at the hospital. the partnership, including the addition of its onsite Dr. Steven Aubel.
It is the largest open MRI scanner in the area, positron emission tomography/computed tomogra- “We are the only, what we call, fixed location,”
he says. phy (PET-CT) scanner. Aubel says. “So, we have a permanent unit here that
Having Southwoods as an outpatient partner The unit, which cost $1.5 million and just came doesn’t move around in a truck and get jostled going
benefits St. Elizabeth’s nonemergency patients, who on the market, is one of the best cancer diagnostic from facility to facility.”
could end up waiting a long time for an X-ray at the tools to date, says the medical director of the center, See UPGRADES, page 54
hospital, Fulciniti says. At an urgent-care center such
as a hospital, “trauma type cases take precedence,”
he says. “There’s no urgent care here.”
Staying profitable during the recession is tough
HMHP Unveils New Imaging Machine
for any imaging center, Fulciniti says. He recognizes By Dan O’Brien Definium 5000 – has the latest technology in the
the population in this region is barely growing and field, Scherer says. The equipment has advanced
a saturated market has caused stagnation. With Images can be sent to software and an automated capability that replaces
more residents losing health-care coverage, some
“would put off possibly an elective-type procedure,”
hospitals in real time. the traditional methods of using X-ray film.
“It’s all digital,” Scherer says. Images taken in the

he says. he new offices for Humility of Mary Health Urgent Care’s X-ray room can be sent in real time to
Forging a relationship with a “stable, recognized Partners Urgent Care Center in Howland also HMHP’s St. Joseph Health Center in Warren. “The
entity” such as St. Elizabeth, he says, has resulted in mean the addition of cutting-edge diagnostic techs don’t have to move film anymore, and this new
more customers, which keeps bookings stable and imaging equipment for the center’s patients, say the device emits less radiation for the patient,” she says.
increases referrals. hospital system’s administrators and staff. It also uses GE’s digital flat-panel detector technol-
“It’s allowed for a larger population base, based HMHP opened its urgent-care operation in How- ogy and is designed with a U-shaped arm that can fit
on insurance carriers, to come through the door,” land in the Wexford Center Sept. 1, says registered into smaller rooms, eliminating the need for ceiling
he says. nurse Christine Scherer. The building contains an supports once used to suspend X-ray tubes.
Southwoods performs as many as 2,000 exams urgent-care laboratory, some of the newest X-ray The GE Definium 500 uses the PACS System,
a month with Medicare covering 35% of them, he imaging technology and two additional examination which can transmit images digitally to St. Joe’s or
notes. rooms, for a total of seven. any other care center for radiologists to view.
Southwoods upgraded its equipment just before The new X-ray imaging equipment – the GE See HMHP, page 55
54 OCTOBER 2009 The Business Journal

Upgrades: Keep Imaging Centers Sharp

From Page 53 the software on its dexa scan equipment, allowing performed until the physician receives the results.
In addition to the equipment upgrades, South- radiologists to assess the severity of broken back- “It could take anywhere from three hours to over-
woods has adopted a Pax digital imaging system, bones. night to get a result for something that wasn’t stat
thus eliminating the need for film and allowing phy- Such studies help radiologists assess the verte- [extremely urgent],” Brall says. “Today, it’s a digital
sicians to make more accurate and efficient reads of brae involved in loss of height and skeletal fragility image that goes straight to a computer and doctors
images, Fulciniti says. Filmless imaging has become among women who suffer from osteoporosis. can see it. Our turnaround time is less than an hour
a significant trend in the industry. “The sole purpose is to try and detect vertebral for most of that stuff. I couldn’t live without it.”
Along with Southwoods, St. Elizabeth provides fractures, which of course can be quite painful,” Much preventive screening is done through medi-
imaging services at its Boardman and Youngstown Nespeca says. cal imaging, so having the clearest possible image
campuses as well as the “Specifically, we look is important.
St. Joseph Health Center at the lumbar spine. Then Annual upgrades in image quality and imaging
in Warren and the St. ‘It could take anywhere from three hours to the radiologist reads and software make it hard financially to stay abreast with
Elizabeth Emergency and overnight to get a result for something that interprets those images,” the most up-to-date technology. It’s not uncommon
Diagnostic Center in Aus- wasn’t stat [extremely urgent],” Brall says. she says. for health systems to update their software every six
tintown. “Today, it’s a digital image that goes straight While such software months, “but that’s a good thing,” Brall says. “It’s
In Boardman, St. Eliza- upgrades are important a standard rule. If you catch things early, it’s a lot
beth’s 64-slice CT scanner to a computer and doctors can see it. Our to staying up to date, easier to treat them.”
allows for shorter scan turnaround time is less than an hour … I St. Elizabeth is looking One of the most significant advances from film to
time for studies and “thin- couldn’t live without it.’ into digital mammogra- digital medical imaging has been with breast MRIs
ner slices through the phy equipment, Nespeca and digital mammography, Brall says. Trumbull Me-
body so the radiologist is notes. morial has the technology, and Western Reserve is
able to deliver a more conclusive diagnosis to our The radiology department at Northside Medical working to employ it at its other imaging centers.
ordering physicians,” says its director of radiology, Center has been on a Pax system the last three years Brall doesn’t discount the significance of tra-
Susan Nespeca. and is working to integrate it into the rest of its ditional mammography, he says, but because the
The scanner, which cost more than $1 million, health care system, including its imaging center in digital images are easier to manipulate than tradi-
allows the hospital to perform extensive studies on Austintown, says the Western Reserve Care System’s tional film, physicians find it easier to see what they
cardiac and stroke patients, Nespeca says. associate vice president of medical imaging, Mark need to see.
In addition to the equipment, its software assesses Brall. “In that respect, I think they can be a good diag-
the viability of tissues and “detects if that is viable The transition from film to digital has been like nostic tool,” Brall says.
tissue that could possibly be saved,” the director of “emerging from the Stone Age,” Brall says, because Northside is looking to upgrade its equipment at
radiology says. the data are accessible to physicians from anywhere the Austintown center, but there’s “not a lot of hospi-
About two weeks ago, the hospital also updated and reduce the time from when the procedure is tals investing in equipment right now,” Brall notes.
The Business Journal OCTOBER 2009 55

HMHP: Unveils New, High-Tech Imaging Equipment

From Page 53 Stephanie Kopey, a specialist in physical medicine the opportunity to serve our patients better,” he says.
and rehabilitation. Patients don’t need to travel outside the Mahoning
“We treated more than 14,000 patients last year,” Valley to receive treatment or care.
Scherer says. “We’ve already surpassed that number In November, Neill said, the campus expects to
this year, and we needed more room.” welcome two physicians with specialties in high-risk
Hospital officials and staff celebrated the new of- obstetrics and gynecology and a neurologist.
fices with a ribbon-cutting and blessing Sept 16. The Howland urgent care center is also impor-
Moreover, Urgent Care has become part of a larger tant because patients receive treatment for roughly
campus that includes the St. Joseph Outpatient Sur- one-third the cost of a visit to the emergency room,
gery Center and the St. Joseph Pain Center, noted Scherer said. “It also alleviates congestion at emer-
Rod Neill, HMHP’s director of physician practices. gency rooms,” he added, which reduces the waiting
“Consolidating everything at one campus gives us time for those patients.

Nancy Walker, radiology technician, shows off new equipment.

The device is well-suited for HMHP’s new urgent-
care operations, Scherer says, because the center
shares the building with Dr. William Woods, a spe-
cialist in orthopedics and sports medicine, and Dr.

Customer Volume
Doesn’t Match Cuts
A recent study shows that while Medicare spend-
ing on medical-imaging services is down, vol-
ume of service isn’t increasing enough to make
up the difference.
Cuts mandated by the Deficit Reduction Act of
2005 decreased Medicare spending on imaging
services by $1.7 billion in 2007, reports the U.S.
Government Accountability Office. In 2006, expen-
ditures for imaging services increased to $13.8
billion, up from $6.7 billion in 2000, a 12.9%
annual increase. The trend reversed in 2007 with
expenditures dropping 12.7% to $12.1 billion, the
report finds.
The Access to Medical Imaging Coalition,
which represents more than 100,000 physicians,
medical providers and patient organizations,
reports Medicare spending on advanced imaging
decreased even more -- 19.2% from 2006 to 2007
-- while the volume of service increased 1.9%.
The act also mandated a 25% reimbursement
reduction on imaging services that included two
studies in one day, says Dr. Adam Crouch, radi-
ologist at Diagnostic Medical X-Ray & Imaging in
Boardman. Eligible studies must be on contiguous
body parts. A second phase of this mandate that
is expected to take effect on Jan. 1, 2010, will
employ a 50% reduction, Crouch says.
“The double and triple study patients are typi-
cally those who are undergoing an investigation
for cancer,” Crouch says.
56 OCTOBER 2009 The Business Journal

Legal Listings
Business Bankruptcies
���������������������������������������������������������������������������� 09-43447 Beegle & Associates LLC, 22184 09-44448 Concord Steel Inc. (SIG Acquisi-
Harrisburg-Westville Road, Alliance 44601. tion Corp.), 197 W. Market St., Suite 202,
����������������������������������������������������������������������������� Nature of Business: restaurant. Total Assets: Warren 44481. Nature of Business: manufac-
$21,000. Total Liabilities: $59,260.24. turer. No Summary Schedules filed.
New Ohio Incorporations
Fhima Express Inc., Boardman. Incorpora- Full Pull Express Inc., North Jackson. In-
�������������������������������������� tor: Taher Fhima. Filed by: Taher Fhima, 36 corporators: Justin Garwood. Filed by: Tim
Southwoods Ave. #4, Boardman 44512. Tusek, 945 Windham Court, Suite 3, Board-
������������������������������������������� Agent: Same. man 44512. Agent: Justin Garwood, 12744
N. Palmyra Road, North Jackson 44451.
�������������������������������������������������� Ketchum Financial Inc., Homeworth. Incor-
porator: Adam U. Ketchum. Filed by: Adam Fincham’s Flooring Inc., Leavittsburg. Incor-
��������������������������� Ketchum, 23250 South St., Homewor th porator: Rick Fincham. Filed by: Rick Fincham,
44634. Agent: Same. 5829 Burnette Road, Leavittsburg 44430.
Agent: Same.
��������������������������������������������������������� Newbold Technologies Inc., East Liverpool.
Incorporator: Craig E. Newbold. Filed by: Soar- MVT Inc., Niles. Incorporator: Richard L.
�������������������������������� ing Eagle, 114 W. Fifth St., East Liverpool Goodman. Filed by: Richard L. Goodman Co.
43920. Agent: Craig E. Newbold, 114 W. Fifth LPA, 720 Youngstown-Warren Road, Suite E,
������������ St., East Liverpool 43920. Niles 44446. Agent: Same.
Torruella Logistics Corp., Youngstown. Incor- Hott Properties Inc., Southington. Incorpora-
���������������������������� • �������������������� porator: Katrina Torruella. Filed by: Katrina tor: Lon L. Haught. Filed by: Smith Financial
L. Torruella, 275 N. Heights Ave., Apt. 9, Services, 2112 S. Case Parkway, Twinsburg
�������������������������������������������������������������������������������� Youngstown 44504. Agent: Same. 44087. Agent: Lon L. Haught, 4238 Paines-
����������������������������������������������������������� ville-Warren Road, Southington 44470.
Simran & Sunny Inc., Youngstown. Incorpo-
rator: Kulwant Lakhman. Filed by: Atway & Chrome Contracting Inc., Mineral Ridge.
Cochran, 19 E. Front St., Youngstown 44503. Incorporator: Jeffrey S. McElhaney. Filed by:
Agent: Kulwant Lakhman, 1231 Market St., Cerimele, Meyer & Wray LLC, 727 E. Western
Youngstown 44502. Reserve Road, Unit D, Poland 44514. Agent:
Jeffery S. McElhaney, 1487 Prospect St.,
Communication Specialists Inc., Poland. Mineral Ridge 44440.
Incorporator: George S. Zelina. Filed by:
George S. Zelina, 1809 Canavan Drive, Dynaformance Inc., Brookfield. Incorpora-
Poland 44514. Agent: Same. tor: Stephen J. Palac Jr. Filed by: Stephen J.
Palac Jr., 7134 Brookwood Drive, Brookfield
HMM Enterprises Inc., Boardman. Incorpo- 44403. Agent: W. Chad Kelligher, 108 Main
rator: John Hamelly. Filed by: Ekker Kuster SW, Suite 902, Warren 44481.
McConnell & Epstein LLP, 1 E. State St.,
Suite 400, Sharon 16146. Agent: Harold E. Indigicrate Organization Inc., Warren. Incor-
Blackann, 2340 Innwood Drive, Youngstown porator: Stephen Georgiades. Filed by: Indigi-
44515. crate Organization Inc., 1505 Hollywood St.,
Warren 44483. Agent: Stephen Georgiades,
Ulysses Data Services Inc., Boardman. In- 1505 Hollywood St. NE, Warren 44483.
corporator: Eileen Gallo. Filed by: Legalzoom.
com Inc., 7083 Hollywood Blvd. #180, Hol- Backyard Buddy Lifts Inc., Warren. Incorpora-
lywood, Calif. 90028. Agent: Pat Kapsulis, tor: Richard L. Goodman. Filed by: Richard L.
837 Boardman-Canfield Road, Suite 209, Goodman Co. LPA, 720 Youngstown-Warren
Boardman 44512. Road, Suite E, Niles 44446. Agent: Same.
Data Security and Information Group Inc., All Peril Restoration Inc., Vienna. Incorpora-
Youngstown. Incorporator: Daniel P. Blake- tor: E. Carroll Thornton Jr. Filed by: Newman,
man. Filed by: Atway & Cochran LLC, 19 E. Olson & Kerr, 11 Federal Plaza, Youngstown
Since 1965 Front St., Youngstown 44503. Agent: Daniel 44503. Agent: Jerry Fiddler, 3366 Warren-
P. Blakeman, 52 Gertrude Ave., Youngstown Sharon Road, Vienna 44473.
Poland Girls’ Basketball Club, Poland. Incor-
Pesce Consulting Inc., Youngstown. Incorpo- porators: Patrick Williams, Melissa Williams,
rator: Eileen Gallo. Filed by: Cheryl Makoski, Cynthia Skinner. Filed by:
Inc., 7083 Hollywood Blvd. #180, Hollywood, Patrick Williams, 7197 Elmland Drive, Poland
Calif. 90028. Agent: National Registered
• Executive Search & Recruiting Agents Inc., 145 Baker St., Marion 43302.
44514. Agent: Same.
6600 Seville Condominium Unit Owners
• Outplacement: Individual or Group T&G Sports Corp., Beaver Township. Incor- Association, Canfield. Incorporator: Randy
porators: Tom Nicholudis, George Stavenos. D. Walter. Filed by: RDW Co., 6600 Seville
• Temporary Staffing, Leasing & Payroll Services Filed by: Scott D. Hunter, 6715 Tippecanoe Drive, Suite 1, Canfield 44406. Agent: Randy
• Financial Services: Benefits & Pensions Road, Building D, Suite 201, Canfield 44406.
Agent: Same.
D. Walter, 6600 Seville Drive, Suite 1, Can-
field 44406.
5083 Market Street • Youngstown, Ohio 44512 Recovery Express Inc., New Springfield. Apostolic & Prophetic Ministry, Youngstown.
330/ 788-4001 • FAX 330/ 783-3966 • • Incorporator: Meghan Record. Filed by: Incorporator: Michael R. Prugh. Filed by: R.
NSI, 145 Baker St., Marion 43302. Agent: Allen Sinclair, 11 Overhill Road, Youngstown
NPA - 350+Offices Worldwide National Registered Agents Inc., 145 Baker 44512. Agent: Michael R. Prugh, 100 E.
St., Marion 43302. Myrtle Ave., Youngstown 44507.
The Business Journal OCTOBER 2009 57


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call the Sales Dept. at 330-744-5023
58 OCTOBER 2009 The Business Journal

Forum Debuts Hubbard Immediate Care

By George Nelson oversees, are designed for addressing injuries and
ailments that aren’t life-threatening, which represent

orum Health Inc. will continue to explore the majority of emergency cases, she said.
opportunities to expand, but development Forum is evaluating how to move forward on
of additional satellite centers will be expanding services, with additional hours being
incremental. considered at Austintown Immediate Care in an-
On hand Sept. 23 for the grand opening of the ticipation of the upcoming flu season. “But as far as
new Hubbard Immediate Care, Michael Seelman, progressing with satellites in the future, I think that’s
CEO at Forum’s Northside Medical Center in going to be incremental,” Seelman said. “It’ll be a
Youngstown and Forum Health Services, acknowl- business-driven decision” based on the success of
edged that expanding Forum’s reach through such Northside, Trumbull Memorial Hospital and Hillside
centers is “key” to Forum’s long-term plans. Rehabilitation Hospital.
The health-care system, which operates three The development of additional offices to serve as
hospitals and several subsidiary businesses and feeders to Forum’s core hospitals was a key element
service providers, is operating under Chapter 11 of the recovery strategy promoted by former CEO
bankruptcy. Walter “Buzz” Pishkur, whose resignation was an-
“You’re going to see us move steadily forward,” nounced Sept. 21.
Seelman said, and form strategic partnerships with Seelman said he sees “this incremental progress”
physicians and locations “as we create a hub-and- as moving step by step in solidifying the business
spoke system to support our acute-care hospitals.“ plan developed and effected at Northside. “We
Forum entered into such a partnership with Dr. Michael Seelman, CEO at Forum, and Betty Panchik, regional will continue to implement it every day,” he said.
Charles Sammarone for the immediate care center, manager, celebrate the opening of Hubbard Immediate Care. “We will work with our partners [Forum’s lenders,
at his Hubbard offices. the community “we feel that we can expand that physicians, employees and community] to balance
“As we look at how we can better serve the com- relationship,” he said. those incremental steps as we move forward to be
munity,” Seelman said, it makes “absolute sense,” Hubbard is “sort of an isolated community,” and an essential part of the community and a financially
because not all services are provided in large acute- residents have had to drive to Youngstown or to Sha- viable business unit within the Mahoning Valley, and
care hospitals, “that we reach out to the communities ron, Pa. for treatment, said Betty Panchik, regional one of the largest employers.
and make these satellite centers.” manager of occupational health services and imme- “We think it’s important that we sustain these
Hubbard has been a “key community and great diate care. Centers such as Hubbard Immediate Care jobs, good-paying jobs, and quality health care as
supporter” of Northside, and by partnering with and Austintown Immediate Care, which she also we move forward,” he added.

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The Business Journal OCTOBER 2009 59



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60 OCTOBER 2009 The Business Journal

Columbiana Port Seeks Funds August Home Sales Stabilize

EAST LIVERPOOL, Sept. 22 – In an effort to return YOUNGSTOWN, Sept. 21 – Home sales in Mahon-
brownfield lands to productive use, the Columbiana
County Port Authority is again seeking the grant
funding it was denied last year.
In 2008, the port authority applied for $500,000
OnlineDatelines ing County appear to be stabilizing, reports the
president of the Youngstown Columbiana Associa-
tion of Realtors.
During August, 197 units were sold, an 8% in-
in Brownfield Assessment Grant monies through crease from the 181 units reported sold in Mahoning
the U.S. Environmental Protection Agency, but County in July, says Eric Caspary, president of the
was denied for not having demonstrating sufficient association. August’s sales were off by just one unit
community involvement, such as letters of support, from the 198 sold in August 2008, he notes.
said its CEO, Tracy Drake. That was a mistake that On a per-unit basis, sales in Trumbull County
will not be repeated, said Drake, who will discuss increased 2%, to 131 last month from 128 in July
brownfield development plans with local commu- 2009, but down from 162 in August 2008. Unit
nities, determine what needs to be done for any sales in Columbiana County totaled 60, off by just
project’s initial phase, and make the appropriate one unit from July but down from 68 in August
request. couple of months,” Drake said. Ordering the steel 2008.
“What you want to do with this kind of thing is as soon as possible is key if the project is to be Caspary attributes much of the increased activity
eliminate uncertainty,” Drake said. “You identify a completed by the early-2010 target. Once the steel to the first-time homebuyers tax credit, due to expire
site you think could be redeveloped that, for what- is ordered and delivered, the port authority will later this year. “They’re talking about continuing it,
ever reason, hasn’t had any environmental work. bring in a captive barge to put at the end of the but let’s hope,” he says.
You get the monies to clean it up and then you’ve crane system, which will allow bulk materials to Total sales in August for the three counties were
got a site that you can put back into use.” be moved on and off shore by a conveyor system. nearly $19.7 million in Mahoning, about $10.3
The port authority will work with towns and He expects the barge will arrive within four to six million in Trumbull, and nearly $6.8 million in
villages to identify potential areas, Drake said. months from ordering, compared to 18 months a Columbiana.
Brownfield sites considered for redevelopment few years ago, he said. Up until last year, sales in Columbiana County
last year are in East Liverpool, East Palestine and The board also voted to renew a one-year lease were doing very well, thanks to expanded sewer
Wellsville. with Heritage-WTI Inc. at $15,000 commencing service in the county that promoted development
At its meeting Sept. 21, the port authority received Oct. 1, and Heritage Transport LLC at $15,000 for and construction of new homes. “But since this
$5.7 million in grant monies from the U.S. Depart- the same time frame. financial decline, new housing has pretty much
ment of Transportation’s Maritime Administration to Bill Pinto, who buys and sells industrial equip- frozen,” Caspary observes.
fund completion of the Wellsville Intermodal Park ment, was granted temporary use of a 50-by-80-foot Prices for properties in all three counties are
overhead bridge crane. storage area in the Louthan building at 2000 Harvey down from last year, Caspary says – 6% in Mahon-
Completion time depends on the price of steel, Ave. Pinto will pay $175 monthly beginning Oct. ing, 4% in Trumbull and 15% in Columbiana – al-
which has “jumped up about 15% or so in the last 1. though up from July.
The Business Journal OCTOBER 2009 61

Exhibitors at Showcase
Offer Coping Strategies
Chamber event displays
ingenuity of businesses.
By George Nelson

ow to cope with the worst
recession since World War II
was the common theme among
exhibitors at the Regional Chamber’s
annual Business Showcase, Sept. 17 at
the Covelli Centre.
Business has picked up over the
last month or so, says Bruce Sherman,
president of Sherman Creative Promo-
Shawn Ruddy, Erick Donnachie and Steve Jenkins from American Business Center, Boardman,
show visitors how office machines are using computer technology to transmit documents. tion Inc., Boardman. “We’re seeing the
change so we’re optimistic it’s going
to keep going.”
While Sherman’s firm has main-
tained its client base, he has noticed
that some companies continue to cut
back by ordering fewer promotional
items or getting something “a little
lower scale” than they did before the
recession hit. Eric Brill from Multi Media Farms, Canfield,
distributes materials that illustrate business
“In tough times is when you need
applications for mobile LED displays.
to advertise more, to keep your name
out there so people know you’re still “We’re doing what we can to get our
alive and still healthy,” he remarks. name out,” she says.
As for his own business, Sherman SecureNEO offers computer-se-
acknowledges he looks twice before curity products, testing and training.
making any capital purchases. “We’ve While now might not be the best time
delayed some purchases, but for the to launch a new business, “What we’re
most part it’s business as usual,” he offering is definitely something we
says. “We try to run a tight ship.” need in these trying times,” Wright
A recent startup, SecureNEO, says.
North Lima, used the Business Show- Any business that has a computer
case for its “first real big push,” says infrastructure, she continues, should
At Warren Fire Equipment’s exhibit, Cindy Miller, Rich Kunkle and Lynda Malone preview National
Fire Prevention Month by demonstrating their products and providing safety tips. sales representative Carolyn Wright. See SHOWCASE, page 62

Maurie Testa and Tracy McCarty welcome visitors to Akron Children’s Beeghly Campus exhibit. Aaron Lego, Rich Zhkovic and Danielle Wojnarski help staff the CBoss display, telling prospective
The Boardman site has 32 beds, a pediatric emergency room and many other services. customers about the Boardman company’s ArchITech content-management system.
62 OCTOBER 2009 The Business Journal

September 25,
2009 Auto Loan Rates

Up to 60 Mos. 5.75 - 16.50 Up to 60 Mos. 8.00
10% Down
Rate varies based on applicant’s credit rating


Up to 60 Mos. 7.74
Up to 60 Mos. 6.75
Up to 66 Mos. 8.24
Up to 72 Mos. 6.75 10% Down

� �� ����� ��� �������� ��� ������ ��� ���

E.S.B. BANK – Ellwood City
Up to 60 Mos.
Up to 72 Mos.
Up to 60 Mos. 6.99

��������������������������������� FARMERS NATIONAL BANK – Canfield KEYBANK – Youngstown

Up to 60 Mos. 6.55 Up to 66 Mos. 6.99
Up to 72 Mos. 7.09 Down: Varies
Rate varies based on applicant’s credit rating
����������� PNC BANK – Sharon
� ��������������� Up to 48 Mos. 5.50-12.50
Up to 66 Mos. 7.24
� �������������������������� 10% Down
PNC BANK – Youngstown
� � ���������� FIRST NATIONAL BANK OF PA. – Hermitage Up to 66 Mos. 7.00 - 13.00
� ���������������������������������� Up to 60 Mos. 7.85 Rate varies based on applicant’s credit rating
Up to 66 Mos. 7.85
� �������������������������� US BANK (formerly Firstar Bank) – Boardman
����������������� Up to 48 Mos. 5.49
Up to 60 Mos. 6.00 - 11.75
Every effort is made to ensure the accuracy of The Business Journal compilations. The rates are subject to change without notice. All rate
information should be confirmed with the individual financial institution before entering into transactions. © 2009 Youngstown Publishing Co.
� ������������������
� �������������������
Showcase: Exhibitors Demonstrate Business Ingenuity
From Page 61 While both the restaurant and banquet business
� ������������������������� be concerned about the security of its systems. are doing well, Kim Kuharich, Naffah Hospitality’s
� ������������������������� Despite the recession, George McDonnell, presi- manager, notes that people have been cutting back
� � ��������� dent of Canfield Computers LLC, Canfield, says his a bit, especially for weddings, by reducing the num-
company is doing well. “We’re maintaining our ber of guests. Among Naffah’s properties are The
� ����������������� business,” he says. Embassy banquet hall in Youngstown.
������������������ McDonnell attributes his company’s health to a “People are eating out at Inner Circle in Canfield
focus on its core clientele of small to medium-sized [another Naffah property],” she adds. “They save up
������������������� businesses. While there has been a slowdown in resi- for the weekend to bring their families out, and we
dential work, there has also been an improvement really haven’t been hit too hard,” she remarks.
������������ on the commercial side of the business. “You just have to know how to advertise. You
“We’re probably a little bit further down the food have to know who to go to. And you have to just
� ����������� chain,” he says. “The truckers and the manufacturers keep in there,” advises LouAnn Sutton, owner of L.S.
� ���������� I think are the ones that are going to be improving Baskets & Gifts, Boardman. “You have to know what
first.” to buy and not to overbuy. You just have to watch
� ����������������������������� School construction projects are helping Enertech every little thing that you do in your business.”
����������������� Electrical Inc., Lowellville, weather the economy, Her business began dropping off in May, Sutton
with 10 such projects going on in the area, reports reports, following a switch in telephone service that
������������������� CEO Gregory T. Haren. Because the firm specializes resulted in her company being dropped from the lo-
in wastewater and water treatment plants, he hopes cal phone directory as well as off the 411 directory
to land work funded by the stimulus bill. assistance line. That has forced her to marshal her
“The news media says we’re coming out of reces- resources and market her business in other ways.
sion,” he says. “I guess if you believe what you read “June was dead,” she says. “Now my busiest
and hear, things are going to start looking up.” Haren season is coming up in November and December,
believes people have money but are afraid to spend and I’m not in the phone book. No matter what they
it. If more good news is reported, he says, people say, people still use the phone book.”
might open their wallets. However, she has a Web site, LSBasketsAndGifts.
At Naffah Hospitality’s booth, Kim Kuharich and com, that does “very well,” she says, by offering
KayLou Anderson say they try to keep the economy items that have proved popular including baskets
in mind as they talk to customers. with sports themes.
������������������������������������� If a client is booking hotel rooms as well as meet-
ing space, “maybe we’ll be a little bit more flexible,”
��������������������������� says Anderson, director of sales at Naffah’s Hampton
VIDEO REPORT on the Business Showcase that featured the
displays of many more local companies was posted Sept. 18
Inn & Suites, Canfield. at
The Business Journal OCTOBER 2009 63

September 25,
2009 Mortgage Rates �������������


AMERISTATE BANCORP INC. FHA/VA 0% Down 30 Yr. 5.375  0+costs ��������������
Boardman Fixed 3% Down 30 Yr. 5.375  0+costs ���������
CHARTER ONE BANK Fixed 5% Down 15 Yr. 4.625 — 0+costs ��������������
Boardman Fixed 5% Down 30 Yr. 5.25 — 0+costs ���������
CONSUMERS NATIONAL BANK Fixed 5% Down 15 Yr. 4.50  0+costs ���������������������������������������
5.125  ������������������

Salem Fixed 5% Down 30 Yr. 0+costs


CORTLAND BANKS Fixed 5% Down 15 Yr. 4.50 — 0+costs ������������ �����������������������

Cortland Fixed 5% Down 30 Yr. 5.125 — 0+costs

DOLLAR BANK MORTGAGE CENTER ARM 5% Down 5 Yr. 4.125  N/A ������������
Cleveland Fixed 5% Down 30 Yr. 5.125 — N/A

E.S.B. BANK Fixed 5% Down 15 Yr. 4.75 — 0+costs

Ellwood City, Pa. Fixed 5% Down 30 Yr. 5.375 — 0+costs
FARMERS NATIONAL BANK Fixed 20% Down 15 Yr. 5.50 — 0+costs
Canfield Fixed 20% Down 20 Yr. 5.75 — 0+costs �������������������
FIRST MERIT BANK Fixed 5% Down 15 Yr. 4.50 — 0+costs
New Castle/Boardman Fixed 5% Down 30 Yr. 5.125 — 0+costs �����������������������������
FIRST NATIONAL BANK OF PA Fixed 5% Down 15 Yr. 4.75  0+costs ��������������������������������������
Youngstown, Ohio Fixed 5% Down 30 Yr. 5.25 — 0+costs ���������������������������������������������
Arrows tell whether rates rose or fell since last issue. Dashes indicate “unchanged.” �����������������������������������

14th Annual 2009 WCBA Fall Calendar

WCBA Alumni Banquet October 8�7:30 a.m.
Mahoning Valley Growth Awards
Mr. Anthony’s Banquet Center/Boardman
Friday, October 30, 2009 Keynote speaker: Lt. Governor Lee Fisher.
For more information, call the Regional Chamber
Chestnut Room, Kilcawley Center at 330-744-2131, Jennifer Mascardine, ext. 12.

John DePizzo, Jr. (Jack) John Finizio, MBA‘85 October 16�8:30 a.m.-2:30 p.m.
BSBA ‘71 President Interview Day
President/CEO St. Joseph Health Center For additional information, call Linda Cascarelli at
JAD Enterprises Warren 330-941-3660.
Youngstown Outstanding MBA Alumnus
Outstanding Business Alumnus October 31�12 noon.-4:00 p.m.
WCBA Alumni Tailgate
M7 parking area on 5th Avenue
Ted Uehlinger, BSBA ‘99 Richard Schiraldi, CPA November 10�7:30 p.m.
Assistant Chief Accountant Partner
������������������������� Cohen & Company Thomas Colloquium Series
U.S. Securities and Exchange Chestnut Room/Kilcawley Center
Commission Paula Wagner, President, Chestnut Ridge Productions
Outstanding Service Award
Washington, D.C. Open to the public.
Outstanding Recent Alumnus
November 17
Williamson Symposium
Catherine Mott, CEO and founder of BlueTree
6:00 p.m. - Reception Corporate tables and Capital Group and BlueTree Allied Angels
sponsorship opportunities are available. For additional information, call Christine Shelton
7:00 p.m. - Dinner 330-941-3068 or
7:45 p.m. - Program To make a reservation, please call
Reservation $40.00 Christine Shelton 330-941-3068 or


64 OCTOBER 2009 The Business Journal

City Title Company

September 25,
2009 Mortgage Rates


East Liverpool Fixed 5% Down 30 Yr. 5.50  0+costs
FIRST PLACE BANK Fixed 5% Down 15 Yr. 4.50  0+costs
Visit our Web site and order services online! Boardman Fixed 5% Down 30 Yr. 5.25 — 0+costs FLAGSTAR BANK Fixed 0% Down 15 Yr. 5.00 — 0+costs
Atty. Donald P. Leone Beechwood Fixed 0% Down 30 Yr. 5.25 — 0+costs

5361 Market St. Youngstown, OH 44512 HOME FEDERAL Fixed 20% Down 15 Yr. 6.00 — 0+costs
(330) 782-8810 Fax: (330) 782-8819
HOME SAVINGS Fixed 5% Down 15 Yr. 4.625  0+costs
Youngstown Fixed 5% Down 30 Yr. 5.125  0+costs

HOWARD HANNA FINANCIAL Fixed 5% Down 15 Yr. 4.625 — 0+costs
Pittsburgh Fixed 5% Down 30 Yr. 5.125 — 0+costs

4.75 
������������ HUNTINGTON BANK
3% Down
5% Down
15 Yr.
30 Yr. 5.125 
KEYBANK Fixed 20% Down 15 Yr. 4.75  0+costs
���������������������������� Youngstown Fixed 20% Down 30 Yr. 5.25 — 0+costs
������������������� PNC BANK FHA 3% Down 30 Yr. 5.125  1+costs
Youngstown Fixed 5% Down 30 Yr. 5.125 — 0+costs
������� WELLS FARGO HOME MORTGAGE FHA 3% Down 30 Yr. 5.00  0+costs
Boardman (Formerly Norwest Mortgage) Fixed 5% Down 30 Yr. 5.00  0+costs

5.00 
�������������� US BANK
Boardman (Formerly Firstar Bank)
5% Down
5% Down
15 Yr.
30 Yr. 5.25 
����������������� © 2009 Youngstown Publishing Co. All rights reserved. *Private Mortgage Insurance because less than 20% down.



The Business Journal OCTOBER 2009 65

East Side Residents Protest Bank Closing

McGuffey Mall is down why not the East Side?” asked Rodney
Tucker, pastor of We Walk By Faith
to barbership, lottery Church. “I’m here because I care about
outlet and clothing shop. the people on the East Side.”
Two years ago, the Cafaro Co.’s
By Dan O’Brien Garland Plaza lost a major tenant
when Mahoning County Job & Fam-

A dele Luckey has lived on

Youngstown’s east side her
entire life and has watched
year after year as businesses and
services fled the inner city for the
ily Services and its 400 employees
relocated to Oakhill Renaissance Place
on the South Side.
“We don’t have a decent grocery
store,” complained 1st Ward Coun-
suburbs. cilwoman Annie Gillam, whose ward
“Everything’s changed,” Luckey begins just across Garland Avenue on
said Sept. 18 as she stood out front of the west side of the plaza. “And banks
the McGuffey Mall with organizers are pulling out of communities like
protesting the closing of the National ours all over the country,” she said.
City Bank branch there. “Nobody Gillam said a new grocery store at
cares. We don’t have a bank, a grocery the plaza would create more foot traf-
store and now they’re going to close fic and lure new business to this side
the post office.” of town and prevent services such as
Luckey and six others held signs banks from closing. “It would be a
reading “Save Our Bank” and shouted huge anchor.”
for support from motorists as they Gillam and Kitchen said that they
passed along McGuffey Road. “It re- have sent letters to National City’s
ally makes me mad. We have to live, local community reinvestment officer,
too,” she said. Adele Luckey joined six others for the protest event Sept. 18 outside National City’s branch. James Gutowski, expressing their
She is a customer at the local McGuffey Mall sometime in October, City branches within five miles of concerns.
branch, and will have to bank at an- Kitchen said. The plaza is owned by McGuffey,” Solomon noted, and the “I also think The Cafaro Co. is
other National City office, the nearest The Cafaro Co. of Youngstown and is downtown branch is 1.3 miles away. partly at fault,” Gillam added. The
being downtown about two miles one of the first shopping centers the “In Ohio, there are 15 other branches company could have done a better job
from her house. mall developer constructed. within a 10-mile radius,” he said. in maintaining the property and at-
Once National City closes, the National City was acquired by PNC Typically, PNC will transfer em- tracting new tenants, she explained.
city’s East Side will have only a Home Bank late last year. In addition to the ployees from the affected branch to Kitchen said that he’s met with An-
Savings & Loan branch in the Lincoln McGuffey branch, PNC plans to close another branch, Solomon said. “PNC thony Cafaro Sr. and the mall’s prop-
Knolls Plaza and a Huntington Bank another branch in Farrell, Pa., next and National City remain committed erty manager. He is convinced that the
branch on McCartney Road in Camp- month. When that branch closes, cus- to Youngstown,” he emphasized. company has done all it can to make
bell to serve this segment of town. tomers would have to travel to Sharon One by one over the last 20 years, its leases competitive. “He’s [Cafaro]
The Mahoning Valley Organiz- to do their banking. businesses have moved out of the been very flexible when it comes to
ing Collaborative and the Northeast Fred Solomon, PNC spokesman, mall and the Cafaro-owned Garland negotiating leases,” Kitchen said.
Homeowners Association organized said occasionally the company identi- Plaza next door. Most recently, the He noted there might be the poten-
the protest. “We’re making a public fies situations in which consolidation mall lost a Family Dollar store and tial of other tenants moving in.
plea for them to reconsider,” said 2nd of branches would help with serving a grocery store, leaving the nearby Ultimately Kitchen concedes it’s a
Ward Councilman DeMaine Kitchen. its customers more efficiently and ef- neighborhoods with few or no shop- decision that PNC made on its own
“We want to let them know this is a fectively. Regrettably, sometimes that ping opportunities. The only tenants after examining the performance of
branch that’s greatly needed.” results in the closing of a branch, as in left are a barbershop, a lottery store the McGuffey branch. “At the end of
The bank notified city officials the case of McGuffey, he said. and a clothing shop. the day, it’s a business decision. But,
that it would close its branch at the “There are seven other National “If they can revitalize downtown, there is still the need.”

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66 OCTOBER 2009 The Business Journal


Think Globally ... Listen Locally.
3 Minutes...

Enchanting Ireland!
Make a pledge of support to WYSU-FM between
now and October 23rd and you will be entered to win
Enchanting Ireland, valued at $6,400! Jim Ferraro Eric Fingerhut
Executive Director, WRTA Chancellor, Ohio Board of Regents
*Pledge by phone 330-941-1481 or

asy Go, a service added to pro- f fordable, accessible higher
on-line at vide service in rural areas, is “a education is essential to building
godsend to seniors, to people who a strong community, says Eric
* - No donation necessary to be entered into the prize drawing. have physical challenges, for students Fingerhut, chancellor of the Ohio Board
who seek employment and we think that of Regents. “Higher education and eco-
it’s going to help spur the economy. nomic prosperity are one and the same.
We’re going to be able to move people Show me any part of the country or the
all over this county. That’s key,” says Jim world that is growing and at its heart is a
Ferraro, WRTA executive director. growing higher education base … That’s
what we’re building here.”
Meeting Employers’ Needs:
We’re going to be able to meet the Jobs of the Future:
needs of a lot of employers by getting Whether it’s automobiles, whether
them quality employees on time and it’s in health care, whether it’s in new
inexpensively. technologies … We have to have a work
force that is on the cutting edge and we
New Routes? have to have research and innovation
Our new routes will combine routes that is helping our companies be on
through the east side of Youngstown into the cutting edge. That’s what Eastern
Campbell, into Struthers and all the Gateway Community College and
way out to the busy 224 corridor where Youngstown State University and Kent
they’ll be able to meet with our Board- State University are going to provide to
man loop, which will travel along 224 this Valley.
in both directions covering a number of
things from employment-type trips to College Opening Early:
medical … all the way to Canfield. The reason we’re here a year early
is because of the extraordinary com-
Services for the Disabled: mitment and partnerships across this
Five mini vans will be onsite within Valley. Why are we standing at Forum
a month, month and a half. That was a Health today? How long would it have
special order covered through the stimu- taken us to build a campus? … This
lus package at 100% federal money … hospital stepped forward and said,
We do have 18 vans that seat 12 that will “Use our facility. Use our classrooms.”
be able to pick up people in every corner … Everybody came together: our
of Mahoning County. That will be done political leaders, our business leaders,
for seniors or disabled at a $2.50 one- our civic leaders, our education lead-
way ride. All they need to do is call. ers. That’s why we’re here a year early.

Visit to view video interviews with the Mahoning Valley’s most influ-
ential business and community leaders. Topics are always timely and pertinent.
The Business Journal OCTOBER 2009 67