STATE
KSEFA Awards Researchers $2.1M in Engineering Grants

More than $2.1 million dollars has been awarded to 32 Kentucky researchers through the Kentucky Science and Engineering Foundation Awards, a program designed to aid researchers in developing products and attracting high-tech companies to the Commonwealth.

This year’s recipients represent Morehead State University, the University of Kentucky, the University of Louisville, Western Kentucky University, and Immpheron, Inc., an entrepreneurial Kentucky firm.

The funds will be matched from cash and in-kind sources from the applicants.

Projects funded by the grants represent research in areas designated by the state as being top priorities: biosciences, environmental and energy technologies, human health and development, information technology and communications, and materials science and advanced manufacturing. Areas of study include the development of pharmaceuticals from tobacco plants, diagnostic techniques for viruses as a result of bio-terrorism, and residential/ commercial use of solar energy.

“These awards will help forge the necessary link that must exist between postsecondary education, R & D, and economic development if Kentucky is going to be a major player in the New Economy,” said Governor Paul Patton “These funds will enable the recipients and their teams to move their research a major step forward in developing products that will benefit not only Kentuckians but citizens elsewhere.”

STATE
Ky. Tourism Campaign Promotes Bluegrass Hospitality

Kentucky’s newest tourism campaign takes a different twist – it’s aimed at educating its own residents about the charms of their home state.

The Kentucky Department of Travel has created 500,000 “Kentucky. It’s That Friendly” host kits that are being distributed at Kroger grocery stores throughout the state. The kit includes a listing of annual celebrations, festivals and special events happening throughout Kentucky, a coupon book and important travel information to make it easier for Kentuckians to plan family members’ and friends’ visits to the Bluegrass State.

“What we are trying to do is motivate Kentuckians to become better hosts for visiting family members and friends and get them into tourism attractions,” explained Ann Latta, secretary of tourism development.

The kits, which are free to Kroger customers who purchase $40 worth of groceries, also include a 24-page Kroger Plus Card Travel Values Book that features money-saving coupons and offers at more that 100 Kentucky hotels, museums, events and tourism sites.

State officials point out that while they will continue to market Kentucky in surrounding states, the in-state promotion has the potential to create maximum impact at a minimal cost.

ELIZABETHTOWN
Three Companies Close in Hardin; 400 Jobs Lost

THE first quarter of the year has been a rough one for Elizabethtown, where three companies have announced plans to close.

Superior Essex is in the final stages of closing down the Elizabethtown production plant where it has been in operation for 27 years. The plant produced copper telephone cable for the company’s communications group. Company officials say the plant closing is the result of decreased demand for the product.

The plant’s main production processes came to a halt on March 8; a complete phase-out is expected to be complete by May 4. The shutdown leaves 230 employees without jobs.

Collis Inc.’s Elizabethtown factory, which produces wire shelving for refrigerators, is slated to close this month, leaving the facility’s remaining 70 workers without jobs.

The company has been a part of the Elizabethtown business community for 30 years and as recently as six years ago had some 300 employees. However, the economic slump resulted in the loss of 100 jobs early last year, with another 70 cut by the end of 2001.

VAC Magnetics, which manufactures permanent magnet products, is also slated to cease operation this month, leaving another 80 people jobless. Only two years ago, the employee roster numbered nearly 500.

VAC’s British parent company, Morgan Crucible, is vacating the hard ferrite permanent magnet market, saying it is no longer profitable.

STATE
Tricon Global Reels in Long John Silver's and A & W Restaurants

The world’s largest restaurant company has become even bigger. Tricon Global Restaurants, Inc., the parent company of KFC, Pizza Hut and Taco Bell brands, has signed a definitive agreement to acquire Long John Silver’s and A&W All American Food Restaurants for $320 million in cash. Long John Silver’s and A&W are owned by Lexington-based Yorkshire Global Restaurants.

One of the primary motivators behind the acquisition was the opportunity expand Tricon’s multi-branding options, said David Novak, chairman and CEO of Tricon.

Multi-branding – offering two brands under one roof – has proven highly successful for Tricon. The company currently operates 1,500 restaurants, which have generated $1.5 billion in annual system sales from KFC, Taco Bell and Pizza Hut combinations. In 2000, Louisville-based Tricon and Lexington-based Yorkshire entered into a license agreement to test multi-branding options and have since opened 83 KFC/A&Ws, six KFC/Long John Silver’s and three Taco Bell/Long John Silver’s. According to Tricon officials, all have exhibited highly positive returns.

“Customers simply love the choice and convenience these combination restaurants offer,” explained Novak. “Our acquisition was based on proven test results that drove significant increases in average unit volumes and profits. We are confident multibranding is a key enabler for accelerating the renewal of our existing asset base and adding new units with excellent returns for our shareholders.”

For Yorkshire, the acquisition provides the opportunity to expand “much more rapidly” than if it had remained a stand-alone company, said Sid Feltenstein, chairman of Yorkshire Global, who will continue to serve as the chief executive of the A&W and Long John Silver’s brands.

“We will be able to capitalize on Tricon’s strengths that we do not have now, and as a practical matter, could not dream of having for years to come, including human resource programs, purchasing power and far greater marketing and product development resources,” added Feltenstein. “This is a perfect win-win partnership for our systems.”

Tricon currently operates more than 30,000 restaurants in over 100 countries and territories, with total system sales of more than $22 billion in 2001.

Yorkshire Global is a privately-held company created in 1999 following the merger of Long John Silver’s and A&W. The company ended 2001 with nearly $1.1 billion in system sales from 1,225 Long John Silver’s (1,200 U.S./25 international) and 970 A&W (780 U.S./190 international) restaurants, including 121 multi-branded Long John Silver’s/A&W restaurants.

Tricon also announced that concurrent with the acquisition, it will change its corporate name to Yum! Brands to better reflect its expanding portfolio of brands.

STATE
Kentucky Ranks 11th in nation for State Support of E-Commerce Use

Kentucky has been ranked among the top 15 states in the nation considered to be “e-consumer friendly.” A recent study released by the Washington-based Progressive Policy Institute, a non-profit research organization, takes a look at how state laws, regulations and administration actions support or hinder Internet use by Americans.

“The Best States for E-Commerce” report used four indicators to rank the 50 states and the District of Columbia. Those included the extent to which states impose industry-specific protectionist laws, tax Internet access, enable Internet users to transact electronically with state government, and recognize the legal validity of digital signatures.

Kentucky was ranked 11th, with a score of 12. The top-ranking state was Oregon, with a score of 16, while South Carolina pulled the bottom ranking with a score of 3.1.

The complete report can be seen at www.ppionline.org.

LOUISVILLE
$70M Renovation to Bring a New Look, Name to Louisville Galleria

If David Cordish’s vision comes to fruition, The Louisville Galleria will eventually resemble New Orleans’ Bourbon Street or Memphis’ legendary Beale Street.

Cordish is the founder of Cordish Co., the Baltimore firm that has been signed on by the city of Louisville to redevelop the 20-year-old Galleria.

The first order of business has already been taken care of: renaming the center “Fourth Street Live, Louisville.” The next step will be renovating the space and getting the kind of tenants lined up that will draw people back downtown. The agreement between Cordish and the city specifies that the developer sign on at least six of the following 10 tenants: Barnes & Noble Booksellers; ESPN Zone; the Hard Rock Café; Ruth’s Chris Steak House; the Improv comedy nightclub; Howl at the Moon, a nightclub featuring dueling pianos and sing-alongs; Aerial Theater, a live-performance venue; Harlan’s Bayou Blues, a blues nightclub; Bill Bateman’s Restaurant, patterned after the restaurant/bar on the ’80s television comedy show, Cheers; and McFadden’s, an Irish pub.

A key component of the $70 million project will involve reopening Fourth Street to two-way traffic, an element Cordish considers vital to Fourth Street Live’s success.

Cordish has established a joint venture with a Louisville development firm, The Hogan Company, to assist in managing the project. The project architects are Beyer Blinder Belle of New York City and the Bravura Corp. of Louisville.

The major portion of construction on the project is expected to be finished by the end of 2003. Cordish is currently in negotiations with prospective tenants and hopes to announce the first group of signed leases by this summer.

SOMERSET
Hayes Lemmerz Shuts Down Wheel Production Plan in Pulaski County

In an effort to contain costs, automotive supplier Hayes Lemmerz has shut down its Somerset plant. The 300,000-square-foot facility produced cast aluminum wheels for the Michigan-based company.

Rumors regarding the shutdown have been circulating since December 5, when the company filed for reorganization under Chapter 11. At that time, nearly half of the Somerset plant’s 165 employees were terminated.

Prior to the filing, Hayes Lemmerz announced plans to close its Bowling Green plant, which produced steel wheels. The Bowling Green facility employed approximately 235 people.

“Our decision to close the plant in Somerset was based on a strategy to reduce our fixed-cost structure,” said Curtis Clawson, chairman and CEO of Hayes Lemmerz. “While this rationalization is difficult for the affected location, it is necessary in order to improve the competitiveness and viability of the entire business.”

Hayes Lemmerz operates 43 plants and has 14,000 employees worldwide.

STATE
Health Kentucky Broadens Access to Healthcare to Uninsured Citizens

Eli Lilly and Company has joined the network of volunteer healthcare providers at Health Kentucky, a private non-profit organization that arranges access to healthcare for uninsured Kentuckians.

The pharmaceutical company will offer its entire line of retail medications free of charge to Kentuckians who qualify for services through Health Kentucky. Among the medications being made available are Evista (for osteoporosis), Humalog and Humulin (diabetes), Prozac (depression), and Zyprexa (psychosis). “

“Eli Lilly’s involvement means that Health Kentucky patients have access to several innovative medications that were unavailable to them before,” said J. Scott Judy, executive vice president for Health Kentucky. “The company’s generosity will have a tremendous impact on thousands of people who often have to choose between buying groceries or buying medications.”

Health Kentucky’s network of volunteer healthcare providers consists of five other pharmaceutical companies, more than 3,000 physicians, 140 dentists, and 530 pharmacies, in addition to all acute-care hospitals, home health agencies and hospice facilities, statewide.

LAUREL COUNTY
Proposed Concrete Plant Comes up Against Opposition from Residents

Approximately 100 area residents have come out in opposition to the construction of a new concrete plant in southern Laurel County.

Central Kentucky Mixed Concrete wants to build a new facility in Lily because it provides a central location from which to serve Barbourville, London and Corbin. However, the proposed site lies within 1,500 feet of 50 homes, whose owners are concerned about the resulting air and noise pollution, heavy truck traffic along an already-congested stretch of road, and property values, should the plant be built there.

Laurel County does not currently have any zoning regulations that prohibit industries or businesses from locating in the area, but company officials have assured the county that their existing plants in Richmond and Berea operate at Environmental Protection Agency standards, utilizing “baghouses” to collect concrete dust emissions.

Residents have presented their concerns to the EPA, which must approve Central Kentucky Concrete’s permit before construction can begin.

EASTERN KENTUCKY
State Considers Building Country Music Shrine in Eastern Kentucky

State Representative Tanya Pullin, D-Greenup County, says Kentucky could add another dimension to its tourism efforts by building a shrine dedicated to the state’s country music heritage and its artists.

Pullin has proposed a bill that would give Kentucky tourism and transportation cabinets the go-head to study building a shrine on state-owned property near South Portsmouth, Kentucky. At press time, the bill had passed the House of Representatives and was being taken up in the State Senate.

The proposal takes one step further the tourism cabinet’s plan to sponsor a Country Music Trail tour, which will take country music fans to a number of sites throughout the region, including Berea, Renfro Valley, and Jenny Wiley State Park. This year’s eight-week tour will run between June and August, featuring popular artists such as Ricky Skaggs, Boots Randolph, Billy Ray Cyrus, Crystal Gayle, Patty Loveless, and Loretta Lynn.

Area businesses have already begun meeting to plan how to best accommodate visitors and capitalize on the summer-long event.

A shrine along U.S. 23 – designated as Country Music Highway due to the fact that so many country music stars have lived in the surrounding areas – would add another element to the tourism promotion.

FRANKFORT
Farmers Capital Names Busseni to Succeed Boyd as President

G. Anthony Busseni has been named to succeed Charles S. Boyd as president and chief executive officer of Farmers Capital Bank Corporation, a financial holding company based in Frankfort.

Boyd, who had been president and CEO of the Frankfort financial holding company since 1992, died last month following a brief illness.

Boyd joined the company in 1964, working his way up from the bookkeeping department and becoming chief financial officer in 1989 before being named president.

Busseni, 53, has been with Farmers Capital Bank Corp. for 15 years and has served as president and CEO of the company’s flagship bank, Farmers Bank & Capital Trust Co., since 1999. He plans to handle both positions until a successor is found to head the bank.

Farmers Capital has $1.1 billion in assets and operates 23 banking locations in 13 communities throughout Central Kentucky. It is the depository for the Kentucky state government and also operates a leasing company, a data processing company and an insurance company.

ASHLAND
Eastern Kentucky Businesses Join in Support of West Virginia Airport

A variety of Eastern Kentucky businesses, associations and labor unions have joined forces in support of a proposed regional airport in nearby West Virginia.

Led by the Ashland Alliance, an a regional development organization, the coalition has placed advertisements in Kentucky and West Virginia newspapers advocating the construction of a new regional airport to be built just south of Interstate 64 in Lincoln County, West Virginia. The proposed site lies approximately 40 miles from Ashland.

The coalition consists of a diverse group of businesses and organizations that have come together in support of a common cause. Among those supporting the airport are CSX Transportation, the Affiliated Construction Trades Council, the Tri-State Building and Construction Trades Council, the West Virginia AFL-CIO, American Electric Power, Applied Card Systems, Special Metals, and Ashland, Inc.

The advertisements highlight the importance of air service in attracting more economic development in the area. The lack of air service was one of the reasons Ashland Inc. made the decision several years ago to move its headquarter operations from Russell to Covington.

The proposed airport has been endorsed by both the West Virginia governor and the West Virginia Public Port Authority, but has received opposition from officials at Yeager Airport in Charleston, West Virginia, who maintain that the same benefits of a regional airport could be had by simply making improvements at Yeager.

LOUISVILLE
Nextel Selects Louisville to be Site of First U.S. Retail Operation

Wireless communications company Nextel Partners, Inc. has selected the Louisville area as the site of its first U.S. retail store.

The new store, located in the Middletown section of Jefferson County, is almost completely wireless, with computers operating off a wireless local area network. While there, customers can participate in live, interactive demonstrations of Nextel’s wireless Web services by getting stock quotes and responding to e-mail. They can also compare the company’s diverse line of phones and check out some of the new enhancements available, such as the exclusive digital two-way radio features a regional reach.

Louisville was selected as the site of the first retail store based on strong customer demand for Nextel’s products and the company’s established presence in the community. Louisville serves as regional headquarters for the company.

Nextel plans to open its next retail store in Honolulu in the coming months and is also considering other locations in Kentucky.

Company officials emphasize that Nextel will continue to maintain its relationship with its authorized dealers in Kentucky who currently offer their product and will still provide the option to purchase Nextel products by phone and via the Internet.

CAMPBELL COUNTY
Hemmer Plan Links High-Tech Businesses with NKU Campus

Paul Hemmer Companies is hoping to break ground this spring on a new office complex that would be the first in what Campbell County hopes will become a high-tech corridor around Northern Kentucky University.

The company is currently in the process of securing lease commitments for the 41,000-square-foot complex, which will feature connections to a high-speed, fiber-optic network.

NKU would like to see the complex become a resource for students to learn about business through hands-on programs and internships. In return, businesses located in the complex would have access to NKU’s faculty and a ready workforce. NKU is utilizing a $500,000 state grant to upgrade its technology infrastructure in order to better partner with the high-tech companies it is trying to lure to the development.

The land involved in the proposed high-tech triangle is owned by the NKU Foundation and is bordered by AA Highway, U.S. 27 and Interstate 275 in Highland Heights, Wilder and Cold Spring. In addition to offering easy accessibility to two interstates and the Cincinnati/Northern Kentucky International Airport, the property also lies within a state-designated “enterprise zone,” which allows extra tax breaks to companies located there.

LEXINGTON
Lexmark Becomes First in Industry to Market 4800 dpi Inkjet Printer

CENTRAL CITY
Environmental Concerns Delay Peabody Energy's Power Plant

For residents in and around Muhlenberg County, Peabody Energy’s proposal to build a 1,500-megawatt, coal-fired power plant means jobs - as many as 450 permanent positions paying an average of $65,000 in wages and benefits.

However, the St. Louis company’s plans are drawing concern and criticism from a number of organizations outside Kentucky who say the plant could have an adverse affect on the air quality around Mammoth Cave, a national park. In addition to officials at nearby Mammoth Cave, others who’ve voiced concern include the Natural Resources Defense Council, the National Parks Conservation Association and the U.S. Environmental Protection Agency (EPA).

In fact, the U.S. EPA has written to the Kentucky EPA, charging that the state’s draft permit issued to Peabody was based on incomplete information and failed to address the impact emissions would have on the area’s ozone pollution.

Peabody officials dispute that allegation and claim that the plant would be an industry leader in environmental controls.

Though Peabody has added more control features to help remove fine pollution particles, opponents claim that more studies need to be done to assess the potential negative effects before any plans move forward.

If the plant, which Peabody is calling the Thoroughbred, is approved, construction could begin this year and begin producing power by 2006.

The facility would burn some six million tons of coal annually, generating enough electricity to power 1.5 million homes. The Thoroughbred would operate as a merchant plant, whereby it could sell electricity either to out-of-state or Kentucky utilities.

Business Briefs

ASHLAND

• Birmingham-based Community Newspaper Holdings, Inc. has purchased The Daily Independent newspaper in Ashland from Ottaway Newspapers. The agreement, which also included newspapers in Minnesota, Missouri and Pennsylvania, was finalized at $182 million in cash. Ottaway is a wholly-owned subsidiary of Dow Jones and Co. Inc., the publisher of The Wall Street Journal.
• Though no longer headquartered in the Ashland area, Speedway SuperAmerica and Ashland Inc. have donated more than $100,000 to 49 area non-profit organizations. The company moved its headquarters to Covington in 1998, but retains an office and staff in Russell, Kentucky
• Matriks Energy, which specializes in the acquisition and operation of oil and gas properties, has completed the acquisition of Inland North Assets from Columbia Natural Resources, which supplies gas to Columbia Gas of Kentucky. The acquisition involved more than 40 gas wells, 62 residential customers and more than 6,000 acres.

BOWLING GREEN

• Four local businessmen have purchased the former Holley carburetor plant in downtown Bowling Green with plans to develop an “ethnic-oriented mall.” Plans for the 100,000-square-foot building, which was purchased for $160,000, are being modeled after a similar facility in San Jose, California. The redevelopment is expected to take place in three phases, with enough space for up to 550 retailers when complete. Plans for the final phase involve a wholesale auction during the week and a flea market that will be open on weekends.

CAMPBELLSVILLE

• Neuman Enterprises of Lexington has acquired the McMahan Furniture Co., a longtime producer of cherry furniture. Neuman plans to keep the company’s manufacturing operations in Campbellsville and will maintain the McMahan name, while expanding the markets it serves. The acquisition was handled by Sunbelt Mergers & Acquisitions of Lexington.
• Campbellsville will serve as the pilot market for a Kentucky League of Cities’ project designed to bring high-speed Internet service to rural communities. KLC selected Campbellsville based on the community’s expression of interest and the fact that Campbellsville University has a new technology center. SaTera Wireless LLC will offer 384K-bandwidth service, increasing Internet-access time by more than 10 times. Access costs for businesses will range between $99-150 per month, with monthly residential fees starting at $49.

CATLETTSBURG

• Calgon Carbon Corporation has reached an agreement on a three-year labor contract with the hourly workers at its Big Sandy plant in Catlettsburg, the company’s largest activated carbon manufacturing and reactivation facility. The contract for the 186 workers, who are represented by the United Steelworkers of America, includes a performance-based compensation provision.

CENTRAL KENTUCKY

• Cutter Homes, a central Kentucky homebuilder, is now part of Beazer Homes USA as the result of a merger between Beazer and Crossman Communities, Cutter’s parent company. The merger will create the nation’s sixth-largest homebuilding company based on home closings.

COVINGTON

• Two Northern Kentucky developers have teamed to fund a market feasibility study for Covington’s Riverfront West area, a section of town the city has long wanted to see developed. The city government, which approved the partnership of Riverfront West Associates and developer Jerry Carroll by a 4-1 margin, would like to see the area include offices, homes and a public-use space. By funding the study, the Riverfront West/Carroll team will be granted a six-month period in which other companies cannot develop the area.

DANVILLE

• Ephraim McDowell Regional Medical Center has announced plans for a new addition to the hospital that will add acute care beds, increase the number of intensive care/critical care beds, and expand outpatient surgery and diagnostic-imaging departments. The project would also involve remodeling semi-private rooms into private rooms. When complete, the expansion would add approximately 150 more beds and bring some 500 new jobs.
• R.R. Donnelley and Sons has cut 60 positions at its Danville printing plant. The cutbacks are primarily being attributed to the weak economy, which has resulted in a drop-off in demand for the magazines and catalogs Donnelley produces. Company officials say that while economic forecasts are beginning to be more encouraging, the printing and publishing sector typically lags around six to nine months behind the rest of the economy. Some of the job cuts are also due to a transition from traditional pre-press equipment to electronic and digital automated machines, which requires fewer employees.

ELIZABETHTOWN

• Petitions have been mailed to voters in Elizabethtown, where a push is on to get a wet-dry vote on the May ballot. Unlike other alcohol sales votes in 1995 and 1998, this proposal would only permit by-the-drink alcohol sales in restaurants that seat a minimum of 100 people and draw at least 70 percent of their profits from food sales. A total of 2,330 signatures will be needed on the petition in order to place the issue to vote on May 28.

FLORENCE

• KeyMRO America, a newly-created company that specializes in purchasing via the Internet, has announced that it will locate its primary facility in Florence. Created as a joint company by Rhodia, Schneider Electric, Thomson Multimedia and Usinor, KeyMRO will initially support these four global companies in purchasing industrial goods and services. Company officials cited Northern Kentucky’s pro-business climate and access to an international airport as reasons for selecting Florence. KeyMRO anticipates creating up to 50 new positions involved in information technology and purchasing functions.

FORT THOMAS

• Fort Thomas’ city council has unanimously approved raising the city’s payroll tax from 1 percent to 1.25 percent. The increase, which will go into effect January 1, 2003, will be used to fund improvements to the city’s downtown business district.

GLASGOW

• Edmonton State Bank and the People Bank of Tompkinsville have merged, making Edmonton State Bank one of the largest community banks in the area, with assets of approximately $250 million. The newly-merged entity now has 11 offices across Metcalf, Barren and Monroe counties.

GLASGOW

• The Glasgow/Barren County Industrial and Economic Authority has announced plans to develop a new industrial park on 300 acres off of U.S. 68/80. The site, which will be divided into approximately 12 parcels, was selected due to its proximity to the CSX Railroad, U.S. 68/80 and the Glasgow Airport. Initial work on the site is expected to begin soon, with one of the first projects being a spec building offering approximately 85,000 square feet, with room for expansion.

HARRODSBURG

• Hitachi Automotive Products has put forth an offer for early separation or retirement to approximately 125 employees in an effort to reduce the staffing numbers at its Harrodsburg plant. The company currently employs nearly 900 people at the Harrodsburg facility, which produces electronic and electrical automotive products. Hitachi has made a similar offer to employees at its Detroit and Los Angeles plants.

JENKINS

• Plans are moving forward for a 40,000-square-foot building to be constructed at Jenkins’ Gateway Business Park, adjacent to the Raven Rock Golf Course. The Appalachian Industrial Authority (AIA) is developing the site in an effort to attract more industry and jobs to the area and is also seeking more property in Pike and Floyd counties for similar projects. The Jenkins project is expected to cost around $800,000, of which $640,000 has been funded through a grant from the Economic Development Administration.

LEXINGTON

• The Lexington Tennis Club has been bought by a seven-member group of local investors for $2 million. LTC Investors LCC purchased the 20-court complex from Cincinnati-based Original Partners Limited Partnership, which built the club 26 years ago. The new owners are now investigating the feasibility of making additions and/or changes to the facility.
• WTVQ-TV 36 has become the first Lexington television station to broadcast using a digital television signal, offering customers with newer television sets a sharper image quality and better sound. The station is currently broadcasting standard definition digital programming but will soon offer the full range of high-definition television (HDTV) programming available on the ABC network. WTVQ is owned and operated by Media General Broadcast Group.
• AFLAC, one of the leading workplace insurance providers, has adopted Lexington-based Exstream Software’s “Dialogue” to produce the majority of their worldwide business communications. AFLAC officials said that Dialogue’s component library, which allows users to store commonly used objects – like tables, text boxes, business rules and images – for reuse in multiple applications was instrumental in their decision.

LONDON

• A new retail center is planned for 35 acres at the intersection of I-75 and West KY 80 in London. Shiloh Landing will offer 20 units totaling approximately 32,000 square feet of space. The first phase of development is expected to be completed by August.

LOUISVILLE

• Bisig Communications has been named as the agency of record for the Louisville Fire arena football franchise. Bisig will coordinate all aspects of the team’s advertising campaigns.
• ResCare has been awarded a five-year contract to operate the Southwest Indiana Regional Youth Village, a 180-bed residential youth treatment facility in Vincennes, Indiana. The contract is expected to generate $6 million in annual revenue for ResCare, one of the nation’s leading providers of services to special-needs youths and disabled persons.
• As part of a nationwide consolidation designed to reduce real estate costs, Bank One will move 200 loan-servicing jobs out of Louisville. Half of those jobs will be moved to Lexington, with the other 100 going to the company’s Forth Worth, Texas center. The moves are expected to take place by the end of May. Company officials say they expect to have approximately 100 job openings available in other areas of the Louisville market and are encouraging employees to apply for those positions if they choose not to move to Lexington or Fort Worth.
• John Shumaker, president of the University of Louisville, has resigned from his post to become the new president at the University of Tennessee. Shumaker has been at the University of Louisville since 1995.
• Grindmaster Crathco Systems, Inc., which manufactures coffee grinders, brewers and dispensers, is expanding with a new facility in Monterrey, Mexico, in order to provide better access to the company’s growing Latin America market. The Louisville-based company opened a new manufacturing center in Thailand in 2000 to service its Asian market. Grindmaster, which is the exclusive provider of brewers for the Starbuck’s coffee chain, currently employs approximately 125 people in Louisville and could see that number increase on the engineering and purchasing end once the Mexican plant is operational.
• Brown-Forman and Miller Brewing Company have announced plans for a new Jack Daniel’s flavored malt beverage. The new product will be produced and distributed by Miller and available to consumers this summer.
• The National Farm Machinery Show and Championship Tractor Pull, held February 13-16 at the Kentucky Fair & Exposition Center in Louisville, drew 298,003 people this year, an increase of more than 11,000 from the previous year. This year’s show featured nearly 800 exhibitors, filling more than a million square feet. The NFMS typically results in an economic impact in excess of $19 million for Louisville and the surrounding area.
• AccuProfile, which specializes in Internet-based applicant screening and tracking, is one of the most recent additions at the Information Technology Resource Center, a high-tech startup business incubator located on the University of Louisville’s Shelby Campus. Company officials say that Louisville was selected because its central location offered the ideal market from which to expand the business. AccuProfile is a subsidiary of Kansas City-based AccuHire.
• Bellarmine University has broken ground for the new $6 million Norton Health Science Center, which will feature a 28,500 square feet of new laboratories and classrooms. The university is hoping to draw more healthcare students by expanding its science program and boosting teaching and research abilities.
• Sypris Solutions Inc. has announced plans to sell three million shares of stock in an effort to raise $40 million, which will be used to pay off about 50 percent of the company’s debt. A large percentage of the work handled by the electronics company is for defense contractors like Boeing or government agencies such as the National Security Agency and the FBI. With an increase in national defense spending, Sypris is anticipating an increase in business as well.
• The James Graham Brown Foundation has committed $15 million to the University of Louisville to support the James Graham Brown Cancer Center at the Louisville Medical Center. The center is also slated to receive another $5 million from the Kentucky Research Challenge Trust Fund (also known as the “Bucks for Brains” program).
• The Vogt Invention and Innovation Fund, named for the late Louisville philanthropist Henry Vogt Heuser, has awarded $150,000 to Viropharm, a pharmaceutical company that has developed a coating for medical clothing to prevent the transmission of AIDS and other infectious agents. A $50,000 award went to Two-Dimensional Instruments, which has developed devices to record, track and display thermal data. Such information is important to industries such as food service, which have to maintain foods at specified temperatures.

MARTIN

• Our Lady of the Way Hospital will eliminate its transitional care unit and home health agency in order to refocus on acute healthcare services. The hospital’s emergency room, radiology areas and in-patient rooms are slated to undergo renovation as part of the change. The elimination of the TCU and home health agency will result in the loss of 17 jobs.

MAYSVILLE

• Carlson Software, a Maysville company that specializes in engineering software for civil and mining applications, has acquired the assets of Minnesota-based Simplicity Systems. Simplicity, which provides coordinate geometry, CAD, data transfer and utility software to the land surveying industry, will operate as a division of Carlson and will be based in Carlson’s headquarters in Maysville. Carlson also has offices in Massachusetts, Georgia and California.

NEWPORT

• The board of directors for NS Group Inc., a leading producer of seamless and welded tubular products for the energy industry, has authorized a common stock repurchase plan. The plan allows for the purchase of up to two million shares of the company’s common stock through March 31, 2003.
• Billed as a “high-tech entertainment, restaurant and bar experience,” GameWorks is the newest addition to the Newport on the Levee complex along the Ohio River. The 25,000-square-foot venue features more than 100 games, grouped into themed zones such as auto racing, golf, football and fishing, as well as full-service dining with an exhibition kitchen, two bars and a group room that can accommodate up to 1000 people. The complex will employ more than 100 people.

NICHOLASVILLE

• Donaldson Co. Inc., which manufactures filtration and exhaust systems and parts, has laid off 32 employees from its Nicholasville plant, where it employs approximately 340 people. Officials for the Minnesota-based company have attributed the cutbacks to a drop in sales and the fact that one of the Nicholasville production lines will be moved to Mexico. Officials also warned that additional lay-offs may be necessary if sales numbers do not improve. Donaldson ranks as Nicholasville’s largest manufacturing employer.

NORTHERN KENTUCKY

• Shire U.S., an arm of Britain’s Shire Pharmaceuticals Group, is moving its administrative offices from Florence to Newport, taking over space in One Riverfront Place once occupied by Heinz’s Star-Kist and pet food divisions. Approximately 150 employees will be involved in the move. The company will still have 15-20 employees at its warehouse and distribution facility in Florence.

OWENSBORO

• The International Bluegrass Music Museum is scheduled to reopen on April 11, displaying some $3 million in renovations and kicking off a three-day indoor bluegrass festival at the Executive Inn Rivermont. The museum originally opened its doors in 1992 but has been closed since February 2000 for renovation.
• Owensboro Manufacturing and Faith Tool and Die, both of which are owned by the Hines Group, are consolidating their operations. Faith will move its 100 employees to Owensboro Manufacturing’s facility at the MidAmerica Airpark, providing a combined workforce of 125-150 by the end of the year. Faith manufactures medium-sized stampings for the electronics and computer industries, while Owensboro Manufacturing produces larger stampings and motor shafts.
• General Electric has announced plans to cut 95 jobs at its Owensboro Motors Business plant by the end of the year. Company employees have been told that many of the motors produced at the Owensboro plant will be made in Mexico in the future.
• Beginning this fall, Western Kentucky Gas will be known as Atmos Energy. The name change comes as a decision by WKG’s parent company, Dallas-based Atmos Energy, to have all of its units operate under the Atmos name.

PADUCAH

• Uranium enrichment company USEC Inc. is moving its transfer and shipping operations from Piketon, Ohio to its enrichment plant in Paducah. The operations will bring 30-50 jobs to the Kentucky plant but will mean the loss of 440 jobs for the southern Ohio plant.

PIKEVILLE

• Employees at Pikeville Methodist Hospital have voted 295-197 against union representation by the United Steelworkers of America. In September 2000, hospital employees voted to remove the union as their bargaining agent when the union was unable to negotiate an employee contract after more than a year of negotiations.

PRESTONSBURG

• The Big Sandy News has opened its fourth regional bureau, in Prestonsburg. The Big Sandy News has the distinction of being the oldest newspaper in the region and claims to be the most widely circulated non-daily paper in the state.

RUSSELL COUNTY

• The Bruss Company, a German manufacturer of gaskets and sealants for the automotive industry, has made its first shipment from the company’s new Russell County plant. The plant currently employs a staff of 20 and is expected to expand to 50 within the next year as additional equipment is received and put into service.

SOMERSET

• The U.S. Department of Commerce Economic Development Administration has awarded $1.4 million to the Southern Kentucky Economic Development Corporation for the construction of a high-tech industrial facility at Valley Oak Business and Technology Park. In addition, the Kentucky Cabinet for Economic Development is putting up $400,000 in matching funds, while the Kentucky Office of the New Economy has dedicated another $200,000. The project involves a 20,000-square-foot office building that will feature a high-speed telecommunications network with extensive broadband connectivity. Plans call for the complex to be complete by Summer 2003.

UNION COUNTY

• Union County has opened a new technology center that will house a number of programs, including an ITV video conference center, computer labs, the Union County Adult Education program, a family literacy program, and a childcare program. The center is open to both high school classes and the general public.
• Seventy-five miners are now working in Peabody Energy Corp.’s new Highland Mine in Union County, in spite of construction delays at the entrance of the mine. As the result of a new three-year contract with Louisville Gas & Electric, miners are going in to access coal from what is known as coal seam No. 11, temporarily using the entrance of the now-closed Peabody Coal Camp No. 1. (Peabody closed the 310-employee camp in 2000, saying it was no longer feasible to operate.) When the Highland Mine is fully open – which is expected to be this summer – it will produce coal from coal seam No. 9 for the Tennessee Valley Authority, utilizing 250 miners laid off from the Camp No. 1 mine. Peabody anticipates the new mine to be operational for at least 20 years.

WEBSTER COUNTY

• The Webster County Fiscal Court has approved a $75,000 loan to W-D Hydraulics to help build a 5,000-square-foot structure that will be used to manufacture and repair hydraulic components. The county funds are specifically earmarked to provide low-interest loans to businesses within Webster County. The company’s products will be marketed to coal, steel and manufacturing companies.

WINCHESTER

• Clark Regional Medical Center is studying the feasibility of building a new facility to replace its existing 35-year-old structure. The hospital purchased just over 30 acres of land near the Winchester Bypass in 1997 for $1.8 million. A site analysis, equipment review, design and cost analysis are now underway to determine if the hospital will build a new facility or renovate its present building. If a new hospital is built, it would be approximately the same size as the current 120,000-square-foot, 100-bed facility but would provide better patient flow, private rooms, larger waiting areas and additional parking. A final decision is expected by this fall.
  
  
  

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