October 1, 2007
Newsbriefs
Insurance & Financial Services
Revolving door at Hanover
WORCESTER - After less than three weeks on the job, John J. Leahy, executive vice president and CFO of The Hanover Insurance Group Inc. in Worcester, announced his resignation, citing "personal reasons." Leahy's resignation is effective immediately, the company said. Leahy replaced Edward J. Parry III, who left the company August 31 after 15 years of service. Leahy came to Hanover from Pepsi Co. and Keane Inc., a Boston-based business and IT services firm. While the company searches for a successor to Leahy, the company's board has appointed Frederick Eppinger, president and CEO, acting CFO and made Warren E. Barnes, the current corporate controller, acting principal accounting officer. Barnes is a member of the company's operating committee.
Health Care
UMass Med.'s inventory system goes auto
WORCESTER - Until now, inventory control at the UMass Memorial Medical Center's laboratories has been a manual process. But the hospital has installed a new automated system from Boxborough-based WaveMark to manage and track medical supplies. The new system tracks equipment in cardiac catheter, electrophysiology and interventional radiology labs. The system can manage the flow of items such as cardiac stents, balloons, catheters, guide wires, pacers and other related lab equipment. The UMass cardiac cath lab is one of the largest in the northeast, and has an inventory of about $1 million on any given day.
Real Estate
Aug. housing numbers grim for sellers
Massachusetts home prices have dropped consistently almost every month this year, and with single-family home sales down 1.5 percent, August was no different, according to the Warren Group, publisher of Banker and Tradesman. The Warren Group said August was the 16th straight month in which median home sale prices fell. Prices fell by 4.9 percent compared to August 2006, from $330,000 to $314,000. It was the seventh month in 2007 when prices fell between 4.5 and 5 percent compared to the year before. Condominium sales and prices also fell in August, the Warren Group said. Sales were down 2.2 percent compared to August of last year and prices were down 1.1 percent over the same period. Offering different numbers for August was the MAssachusetts Association of Realtors, which reported that the number of single-family homes sold in Massachusetts in August was up 6.6 percent over last year. Sale prices were up slightly, the MAR said, and condominium sales were up 3.4 percent. The MAR only takes into account sales in which real estate agents were involved.
Retail
Mass. Restaurant Association a good tipper
SOUTHBOROUGH - The Southborough-based Massachusetts Restaurant Association is seeking nominations for its first annual Stars of the Industry event, to be held next March. The event is designed to honor hourly restaurant employees, the association said. Member restaurants may nominate up to three employees in the following categories: bartender, bus person, cook, cashier, dishwasher, host/hostess, prep person and wait staff. Each restaurant may also nominate a special "unsung hero," which can come from any position. Winners will receive $250 and a trophy. Nominations must be received by the MRA by November 1. Nomination applications can be downloaded from the MRA's web site.
New management recipe at Worcester Restaurant Group
WORCESTER - The Worcester Restaurant Group, owners and operators of The Sole Proprietor, One Eleven Chop House and VIA Italian Table restaurants in Worcester promoted Kevin Hunt, general manager at VIA, to CFO, as part of a larger management shift. Hunt began at The Sole Proprietor in 1990 while a freshman at WPI. He will now manage the finances of all three restaurants. Replacing Hunt as general manager at VIA is Brian Cullina, who previously served as a manager at the restaurant. Mark Hawley has been promoted to executive chef at VIA. He was formerly the head line chef at 111 Chop House. Joining Hawley will be Rico Giovanello, who was named chef de cuisine at VIA. Giovanello previously owned his own restaurant in Sturbridge, Enrico's Brick Oven Pizza.
Sleepy's wakes up in Franklin
FRANKLIN - National mattress retailer Sleepy's LLC of New York has signed a sublease with Natick-based BJ's Wholesale Club Inc. for 142,120 square feet of warehouse and distribution space at 32 Forge Park in Franklin, the companies said. The new space will become Sleepy's new Massachusetts distribution center, the company said. Forge Park is a 2.7 million-square-foot industrial and warehousing complex. Sleepy's was represented by Richards Barry Joyce & Partners LLC, while Jones Lang LaSalle represented BJ's.
Environmental
Coakley gives N.J. co. $600,000 paper cut
FITCHBURG - State Attorney General Martha Coakley has reached a $600,000 agreement with New Jersey-based paperboard manufacturer Newark Group Inc., after the company allegedly committed multiple environmental violations at its facilities in Fitchburg and Haverhill. Under terms of the settlement, Newark Group will pay the state $575,000 in civil penalties and another $25,000 in compliance fees, according to the attorney general's office. The company will also conduct an environmental audit and develop an environmental management system to correct violations of the Massachusetts Clean Air Act.
Fitchburg Cumby's fined for slow spill response
FITCHBURG - A gasoline spill that went unabated at a Cumberland Farms store on River Street in Fitchburg has resulted in a $17,000 fine for the company. According to the state Department of Environmental Protection, the gas spill occurred last October while a car was refueling at the 376 River St. station. The spill affected the station property, two storm water catch basins and a city street. Cumberland Farms failed to begin clean-up efforts immediately after the spill, and failed to notify DEP within the two-hour notification period mandated by the department. DEP said the clean-up itself was delayed as a result.
Cumberland Farms agreed to "upgrade its employee training material," DEP said, and agreed to pay $15,000. DEP suspended the remaining $2,000 of the fine as long as no further violations occur at the station.
Biomedical
Psychemedics CEO among best in nation
ACTON - Raymond C. Kubacki, chairman and CEO of Acton-based drug test manufacturer Psychemedics Corp., has been named one of the best CEOs in the country by DeMarche Associates, an investment research and financial consulting firm based in Kansas. The award went to 163 CEOs, out of a pool of more than 6,700, who over the last three years generated the most shareholder value per unit of CEO compensation, according to DeMarche. The average one-year and three-year returns for companies on the list were 20.1 percent and 14.0 percent respectively, compared to 15.8 percent and 10.4 percent for S&P 500 companies, the company said.
Bristol-Myers Squibb buys Adnexus for $430 million
WALTHAM - New Jersey-based pharmaceutical giant Bristol-Myers Squibb announced it has acquired drug-maker Adnexus therapeutics of Waltham for a total of $430 million. BMS is in the process of constructing a large biologics manufacturing facility at Fort Devens. Adnexus recently developed a new therapeutic class of biologics, called Adnectins, according to BMS. The deal includes stipulations that could result in an additional $75 million in payments, payable in $25 million increments, by BMS in the event certain development and regulatory milestones are achieved by Adnexus, the company said. Adnexus Therapeutics will become a subsidiary of Bristol-Myers Squibb and remain based in Waltham.
Genzyme cancer drug licensed by FDA
CAMBRIDGE - Genzyme Corp., which is based in Cambridge and has significant operations in MetroWest, announced that it and Bayer had been granted a supplemental biologics license by the U.S. Food and Drug Administration for the Campath B-cell chronic lymphocytic leukemia drug. The FDA also granted single-agent Campath regular approval for the treatment of CLL. Campath was originally approved by the FDA in 2001 under accelerated approval regulations.
Hologic snaps up west coast co.
BEDFORD - Hologic Inc., the Bedford medical imaging systems maker that is expected to acquire Marlborough-based Cytyc next month, announced today that it had completed the $70 million acquisition of BioLucent Inc. of Aliso Viejo, Calif. Hologic paid for BioLucent with $65 million in company common stock and $5 million in cash. BioLucent makes the MammoPad breast cushion, which is intended to decrease discomfort during mammograms. The acquisition furthers Hologic's efforts to offer a full portfolio of breast cancer detection and women's health products. Hologic stockholders are scheduled to vote on the proposed $6.2 billion acquisition of Cytyc Oct. 18. Cytyc makes breast cancer screening equipment.
Nonprofit
Override restores state funding to 495 Corridor
WESTBOROUGH - State funding for the 495/MetroWest Corridor Partnership that had been vetoed by Gov. Deval Patrick has been restored by a veto override led by legislators from the partnership's member towns. A $250,000 fund authorization had been passed by both the state House and Senate as part of the 2008 state budget, but the authorization was vetoed by Patrick. To get back the funding, an override vote had to be conducted in each house of the state legislature, and the measure had to be approved by a two-thirds margin. According to the partnership, 22 state legislators endorsed the partnership's appropriation. The Westborough-based partnership was created in 2003 as an economic development advocacy group for the towns that make up the so-called "Arc of Innovation" along I-495.
Economy
State economy growing but uncertain
According to the latest MassBenchmarks Bulletin, the current performance of the state's economy can best be characterized as growing but not at a fast pace, and not evenly across the state's economic sectors. In the midst of the national subprime mortgage collapse, slumping home sales and prices, the Massachusetts economy is growing, especially in certain sectors. The state added 34,200 new jobs during the first six months of the year compared to the first half of 2006. The state's job growth rate was 1.1 percent, while the U.S. job growth rate was about 1.5 percent. The state's job growth was heavily concentrated in two sectors: education and health services, and professional and business services.
High Tech
Sontra, N.C. co. agree to merger
FRANKLIN - Franklin's Sontra Medical Corp. and Durham, N.C.-based Echo Therapeutics Inc. have agreed to merge the two transdermal drug delivery companies. Under the merger agreement, the combined company will be publicly held and known as Echo Therapeutics Inc. Sontra will acquire all outstanding shares of Echo common stock in exchange for 6.2 million shares of Sontra stock. The new company will have its corporate headquarters in Philadelphia, Pa., and research and development facilities in Franklin and Durham, N.C. Harry G. Mitchell of Sontra will become the new company's COO and CFO. Under threat of being delisted by NASDAQ last December, Sontra announced it was laying off all its employees and shutting down. But in a last-minute deal, the investment banker Burnham Hill Partners, along with company managers, bought up about two-thirds of the company's stock and put $600,000 into the company to keep it afloat. Burnham Hill served as financial advisor for the merger and also advised the companies on $1.3 million in financing to investors.
ExaGrid awarded two patents
WESTBOROUGH - Westborough-based data back-up company ExaGrid has received two new patents for data storage, back-up and disaster recovery systems from the U.S. Patent and Trademark Office. The first patent covers a method and apparatus for a data storage, protection and de-duplication system for backing up certain computer systems. The second covers a method and apparatus for ensuring long-term data integrity and recoverability.
Revolving door at Hanover
WORCESTER - After less than three weeks on the job, John J. Leahy, executive vice president and CFO of The Hanover Insurance Group Inc. in Worcester, announced his resignation, citing "personal reasons." Leahy's resignation is effective immediately, the company said. Leahy replaced Edward J. Parry III, who left the company August 31 after 15 years of service. Leahy came to Hanover from Pepsi Co. and Keane Inc., a Boston-based business and IT services firm. While the company searches for a successor to Leahy, the company's board has appointed Frederick Eppinger, president and CEO, acting CFO and made Warren E. Barnes, the current corporate controller, acting principal accounting officer. Barnes is a member of the company's operating committee.
Health Care
UMass Med.'s inventory system goes auto
WORCESTER - Until now, inventory control at the UMass Memorial Medical Center's laboratories has been a manual process. But the hospital has installed a new automated system from Boxborough-based WaveMark to manage and track medical supplies. The new system tracks equipment in cardiac catheter, electrophysiology and interventional radiology labs. The system can manage the flow of items such as cardiac stents, balloons, catheters, guide wires, pacers and other related lab equipment. The UMass cardiac cath lab is one of the largest in the northeast, and has an inventory of about $1 million on any given day.
Real Estate
Aug. housing numbers grim for sellers
Massachusetts home prices have dropped consistently almost every month this year, and with single-family home sales down 1.5 percent, August was no different, according to the Warren Group, publisher of Banker and Tradesman. The Warren Group said August was the 16th straight month in which median home sale prices fell. Prices fell by 4.9 percent compared to August 2006, from $330,000 to $314,000. It was the seventh month in 2007 when prices fell between 4.5 and 5 percent compared to the year before. Condominium sales and prices also fell in August, the Warren Group said. Sales were down 2.2 percent compared to August of last year and prices were down 1.1 percent over the same period. Offering different numbers for August was the MAssachusetts Association of Realtors, which reported that the number of single-family homes sold in Massachusetts in August was up 6.6 percent over last year. Sale prices were up slightly, the MAR said, and condominium sales were up 3.4 percent. The MAR only takes into account sales in which real estate agents were involved.
Retail
Mass. Restaurant Association a good tipper
SOUTHBOROUGH - The Southborough-based Massachusetts Restaurant Association is seeking nominations for its first annual Stars of the Industry event, to be held next March. The event is designed to honor hourly restaurant employees, the association said. Member restaurants may nominate up to three employees in the following categories: bartender, bus person, cook, cashier, dishwasher, host/hostess, prep person and wait staff. Each restaurant may also nominate a special "unsung hero," which can come from any position. Winners will receive $250 and a trophy. Nominations must be received by the MRA by November 1. Nomination applications can be downloaded from the MRA's web site.
New management recipe at Worcester Restaurant Group
WORCESTER - The Worcester Restaurant Group, owners and operators of The Sole Proprietor, One Eleven Chop House and VIA Italian Table restaurants in Worcester promoted Kevin Hunt, general manager at VIA, to CFO, as part of a larger management shift. Hunt began at The Sole Proprietor in 1990 while a freshman at WPI. He will now manage the finances of all three restaurants. Replacing Hunt as general manager at VIA is Brian Cullina, who previously served as a manager at the restaurant. Mark Hawley has been promoted to executive chef at VIA. He was formerly the head line chef at 111 Chop House. Joining Hawley will be Rico Giovanello, who was named chef de cuisine at VIA. Giovanello previously owned his own restaurant in Sturbridge, Enrico's Brick Oven Pizza.
Sleepy's wakes up in Franklin
FRANKLIN - National mattress retailer Sleepy's LLC of New York has signed a sublease with Natick-based BJ's Wholesale Club Inc. for 142,120 square feet of warehouse and distribution space at 32 Forge Park in Franklin, the companies said. The new space will become Sleepy's new Massachusetts distribution center, the company said. Forge Park is a 2.7 million-square-foot industrial and warehousing complex. Sleepy's was represented by Richards Barry Joyce & Partners LLC, while Jones Lang LaSalle represented BJ's.
Environmental
Coakley gives N.J. co. $600,000 paper cut
FITCHBURG - State Attorney General Martha Coakley has reached a $600,000 agreement with New Jersey-based paperboard manufacturer Newark Group Inc., after the company allegedly committed multiple environmental violations at its facilities in Fitchburg and Haverhill. Under terms of the settlement, Newark Group will pay the state $575,000 in civil penalties and another $25,000 in compliance fees, according to the attorney general's office. The company will also conduct an environmental audit and develop an environmental management system to correct violations of the Massachusetts Clean Air Act.
Fitchburg Cumby's fined for slow spill response
FITCHBURG - A gasoline spill that went unabated at a Cumberland Farms store on River Street in Fitchburg has resulted in a $17,000 fine for the company. According to the state Department of Environmental Protection, the gas spill occurred last October while a car was refueling at the 376 River St. station. The spill affected the station property, two storm water catch basins and a city street. Cumberland Farms failed to begin clean-up efforts immediately after the spill, and failed to notify DEP within the two-hour notification period mandated by the department. DEP said the clean-up itself was delayed as a result.
Cumberland Farms agreed to "upgrade its employee training material," DEP said, and agreed to pay $15,000. DEP suspended the remaining $2,000 of the fine as long as no further violations occur at the station.
Biomedical
Psychemedics CEO among best in nation
ACTON - Raymond C. Kubacki, chairman and CEO of Acton-based drug test manufacturer Psychemedics Corp., has been named one of the best CEOs in the country by DeMarche Associates, an investment research and financial consulting firm based in Kansas. The award went to 163 CEOs, out of a pool of more than 6,700, who over the last three years generated the most shareholder value per unit of CEO compensation, according to DeMarche. The average one-year and three-year returns for companies on the list were 20.1 percent and 14.0 percent respectively, compared to 15.8 percent and 10.4 percent for S&P 500 companies, the company said.
Bristol-Myers Squibb buys Adnexus for $430 million
WALTHAM - New Jersey-based pharmaceutical giant Bristol-Myers Squibb announced it has acquired drug-maker Adnexus therapeutics of Waltham for a total of $430 million. BMS is in the process of constructing a large biologics manufacturing facility at Fort Devens. Adnexus recently developed a new therapeutic class of biologics, called Adnectins, according to BMS. The deal includes stipulations that could result in an additional $75 million in payments, payable in $25 million increments, by BMS in the event certain development and regulatory milestones are achieved by Adnexus, the company said. Adnexus Therapeutics will become a subsidiary of Bristol-Myers Squibb and remain based in Waltham.
Genzyme cancer drug licensed by FDA
CAMBRIDGE - Genzyme Corp., which is based in Cambridge and has significant operations in MetroWest, announced that it and Bayer had been granted a supplemental biologics license by the U.S. Food and Drug Administration for the Campath B-cell chronic lymphocytic leukemia drug. The FDA also granted single-agent Campath regular approval for the treatment of CLL. Campath was originally approved by the FDA in 2001 under accelerated approval regulations.
Hologic snaps up west coast co.
BEDFORD - Hologic Inc., the Bedford medical imaging systems maker that is expected to acquire Marlborough-based Cytyc next month, announced today that it had completed the $70 million acquisition of BioLucent Inc. of Aliso Viejo, Calif. Hologic paid for BioLucent with $65 million in company common stock and $5 million in cash. BioLucent makes the MammoPad breast cushion, which is intended to decrease discomfort during mammograms. The acquisition furthers Hologic's efforts to offer a full portfolio of breast cancer detection and women's health products. Hologic stockholders are scheduled to vote on the proposed $6.2 billion acquisition of Cytyc Oct. 18. Cytyc makes breast cancer screening equipment.
Nonprofit
Override restores state funding to 495 Corridor
WESTBOROUGH - State funding for the 495/MetroWest Corridor Partnership that had been vetoed by Gov. Deval Patrick has been restored by a veto override led by legislators from the partnership's member towns. A $250,000 fund authorization had been passed by both the state House and Senate as part of the 2008 state budget, but the authorization was vetoed by Patrick. To get back the funding, an override vote had to be conducted in each house of the state legislature, and the measure had to be approved by a two-thirds margin. According to the partnership, 22 state legislators endorsed the partnership's appropriation. The Westborough-based partnership was created in 2003 as an economic development advocacy group for the towns that make up the so-called "Arc of Innovation" along I-495.
Economy
State economy growing but uncertain
According to the latest MassBenchmarks Bulletin, the current performance of the state's economy can best be characterized as growing but not at a fast pace, and not evenly across the state's economic sectors. In the midst of the national subprime mortgage collapse, slumping home sales and prices, the Massachusetts economy is growing, especially in certain sectors. The state added 34,200 new jobs during the first six months of the year compared to the first half of 2006. The state's job growth rate was 1.1 percent, while the U.S. job growth rate was about 1.5 percent. The state's job growth was heavily concentrated in two sectors: education and health services, and professional and business services.
High Tech
Sontra, N.C. co. agree to merger
FRANKLIN - Franklin's Sontra Medical Corp. and Durham, N.C.-based Echo Therapeutics Inc. have agreed to merge the two transdermal drug delivery companies. Under the merger agreement, the combined company will be publicly held and known as Echo Therapeutics Inc. Sontra will acquire all outstanding shares of Echo common stock in exchange for 6.2 million shares of Sontra stock. The new company will have its corporate headquarters in Philadelphia, Pa., and research and development facilities in Franklin and Durham, N.C. Harry G. Mitchell of Sontra will become the new company's COO and CFO. Under threat of being delisted by NASDAQ last December, Sontra announced it was laying off all its employees and shutting down. But in a last-minute deal, the investment banker Burnham Hill Partners, along with company managers, bought up about two-thirds of the company's stock and put $600,000 into the company to keep it afloat. Burnham Hill served as financial advisor for the merger and also advised the companies on $1.3 million in financing to investors.
ExaGrid awarded two patents
WESTBOROUGH - Westborough-based data back-up company ExaGrid has received two new patents for data storage, back-up and disaster recovery systems from the U.S. Patent and Trademark Office. The first patent covers a method and apparatus for a data storage, protection and de-duplication system for backing up certain computer systems. The second covers a method and apparatus for ensuring long-term data integrity and recoverability.
WBJ Web Partners
Most Recent
Most Recent
0 Comments