Archive for the ‘Biz’ Category

Federal Reserve Bank of Dallas​Several Friends of Unfair Park, including a grumpy one below, have asked if we'll make mention of Federal Reserve Bank of Dallas President and Chief Executive Officer Richard Fisher's speech given in Midland yesterday. Sure, absolutely, happy to. Because, first, I'm a big fan of Fisher's -- anyone who mentions Rube Goldberg and Bob Dylan and Groucho Marx and Dolly Parton in his speeches is a man who makes Economics 101 not only easy to understand but thoroughly pleasant to digest. (He's also quite keen on Robert Earl Keen.) And, second, ain't no hotter subject than the so-called Texas Miracle, wherein Gov. Rick Perry claims that close to 40 percent of all jobs created in the U.S. and A. since '09 were right here in The Great State of Texas.But as The Economist notes only this morning, there's a lot of questions about that particular statistic -- like, say, how many of them are actually below minimum wage, and how many were created compared to the influx of new residents, and at what cost to things like public ed, and on and on. The Economist writes that the criticism and congratulations all have their place while noting that "the virtues of Mr Perry's approach are debatable, but he clearly deserves a good dollop of credit for job creation."So, what does Fisher have to say on the subject? This:There are several ways to calculate Texas' contribution to national job creation from June 2009 through the end of June 2011. One is to look at the number of jobs created by all 50 states, including those that have lost jobs since the nation's anemic recovery began. Using this metric, through June of this year Texas has accounted for 49.9 percent of net new jobs created in the United States. Another way to calculate Texas' contribution to job creation is to lop off those states that have continued losing jobs and consider only those that have positive growth in employment these past two years. Using this metric, Texas has accounted for 29.2 percent of job creation since the recession ended. These are the facts. You may select whichever metric you wish. Regardless, it is reasonable to assume Texas has accounted for a significant amount of the nation's employment growth both over the past 20 years and since the recession officially ended.So, you're saying the Texas Miracle doesn't refer to the Rangers making the World Series last season. Now, what about climate change?

​Three months ago we looked at a plan to bail out Denton's beleaguered Golden Triangle Mall, which just last year fell into foreclosure and went up for auction. That plan: Give The MGHerring Group (developer of The Village at Fairview and The Village at Allen) and Cencor Realty Services (an arm of The Weitzman Group, which already manages the mall) $9.5 million in City Hall-approved economic development grants and let them fix 'er up. To which Denton's city council unanimously said yesterday: Sure. Do that.And so the Dallas-based companies, now known as the singular GTM Redevelopment, Ltd., will begin work overhauling the 765,000-square foot mall, which, like Valley View Center and The Mall Formerly Known as Red Bird, has seen better days, otherwise known as The 1980s. (Its last major makeover came in 2000, when the then-owner dropped around $3.5 million on some cosmetics.)Many renovations are promised (including, what else and but of course, an In-N-Out); there's a list after the jump. Mayor Mark Burroughs is pleased: A new Golden Triangle, he says, "will offer Denton residents a greater variety of retail and dining options, as well as a place to spend their leisure time."

Via.​Back to the Dr Pepper-on-Dr Pepper lawsuit ...Early this morning we posted Dublin Dr Pepper's response to the lawsuit filed in June by Plano-based Dr Pepper Snapple Group, which is trying to limit Dublin's real-deal Imperial Sugar-spiked soda pop to a six-county area and alleges the oldest Dr Pepper bottler in the country is in violation of its licensing agreement with corporate. Steve Wolens, former state rep and Mr. Laura Miller, wrote a pretty lovely brief in defense of Dublin -- quite the history-of -- full of endorsements from none other than Dr Pepper honcos, chief among 'em chief executive officer Larry Young, who once told Lee Cullum on the teevee that "nothing tastes better than a Dublin Dr Pepper when it is ice cold," a sentiment with which I heartily agree.Anyway. A little while ago, Chris Barnes, the manager of corporate affairs up at Dr Pepper HQ on Legacy Drive, sent us corporate's response to Wolens's response to the lawsuit filed in June. The headline: "Dr Pepper Snapple Group to Dublin Bottler: Honor the Agreement You Signed." It's after the jump. So too is the release that was sent out this morning from the Dublin Dr Pepper legal team after we posted Wolens's response and the accompanying exhibits. Seriously, I need a Dublin Dr Pepper, stat. Anyone? No? Damn it.

Via.​Bank of America's got plenty to worry about right now, between tumbling share prices, threats of a $10-billion A.I.G. suit and renewed concerns over its long-term viability. So a lawsuit filed late last week in Dallas County District Court by Robert Long may not top the pops 'round Charlotte, North Carolina, headquarters. Still, let's take a look anyhow.Seems the local Long has stumbled across an issue that has plagued others before him -- a little something called PrivacySource, which is nothing more than a credit-monitoring service. As BoA puts it, every quarter customers will receive a look at their credit scores per Experian, Equifax and TransUnion. Doesn't say how much it costs, only asks if you want to sign up.So. Back in March, Long looks at his BoA statement, he says, and notices that he's been hit with three separate $12.99 monthly charges for using PrivacySource -- in January, February and March. But, see, he never signed up for the service. Never even heard of it. He called BoA and asked, "Pardon?" He says he was told, sorry, he'd have to call PrivacySource if he wanted a refund. Long says he was never told PrivacySource was BoA-owned, which made it so easy to electronically lift the funds out of his account.Round and round he went, finally being told, sorry, no refunds. Long says he demanded to see something proving he'd given his OK to take his money out of his account for a service he didn't want. Nothing. So he's filed this suit, which he hopes to turn into a class action based on the fact he sure ain't the only one being robbed -- allegedly -- by Bank of America. But, hey, at least BoA's stock is up 53 cents in pre-trading.

Photos by Leslie MinoraCars like this VW Bug with a busted A/C make for good business at David's Garage in Exposition Park.My Exposition Park apartment has an urbanely picturesque view of David's Garage, an auto repair shop whose gated parking lot has recently been packed with cars like the screen of a Tetris game. As I make my coffee, I'll notice the garage doors roll open, and sometimes, when I go to bed, the lights are still on. Some hours. My tendencies as a nosy neighbor fed my curiosity, so I paid the shop a visit today, only a few hours before the thermometer hit 109 at DFW. Turns out this summer is the busiest season owner Mike Gonzalez has seen in his 15 years as a self-employed mechanic. His corner shop, where he's been located for two years, has become a drive-through for cars with weather-related problems, and his brother Mario, also a mechanic, can diagnose a vehicle's ailment before a customer even starts talking. These days most of the cars pulling in are overheated because of problems with the thermostat, radiator or improper circulation of cooling fluid. The brothers and the garage's two other employees are hustling to keep up with the flow -- guzzling water all day, taking breaks in the small office with a window air conditioning unit that keeps the temperature slightly cooler than bearable.

​Yesterday Bloomberg noted that high-end American hotels are being sold to buyers from Hong King, Singapore and China in the hopes of catering to "a growing number of affluent Asians traveling abroad." Among those sold: the Rosewood Crescent Hotel and the Rosewood Mansion on Turtle Creek, now in the possession of Hong Kong billionaire Cheng Yu-Tung. Turns out, that's not the only Dallas hotel trading hands: Inland American Lodging Group, which last year bought the Marriott City Center on Pearl, says today that it's picked up the Fairmont Dallas for $69 million.The hotel, which opened in '69, "exudes an air of elegance and luxury, combined with a dash of Texas flair," says the freshly minted press release. Hence the purchase -- and the promise of restoring the hotel to its former glory. From the release:The Fairmont Dallas offers unparalleled accommodations that have received approximately $50 million of capital improvements since 1997, including $14.9 million ($27,300 per key) over the last four years. Inland American intends to invest in additional capital improvements that will allow the hotel to maintain and improve upon its luxury status."This unique asset represents a significant acquisition for Inland American at an attractive price per room," said Marcel Verbaas, president and CEO, Inland American Lodging Advisors, Inc. "The Fairmont Dallas fits all of our value and strategic investment criteria. The acquisition of this hotel will contribute to the ongoing enhancement of the overall quality of our portfolio and further diversifies our portfolio by customer and asset mix. This transaction also extends our commitment to furthering the success of downtown Dallas and the Arts District."Inland American Lodging Group, incidentally, is based out of Illinois. And the property, on N. Akard, sits on the tax rolls at around $38 mil. Sadly, it is not available in pewter.

Courtesy KammokGreg McEvilly says Kammoking is the new planking. We'll forgive him if you do.​Greg McEvilly and his co-workers typically hold their meetings tethered to branches, poles or anything they can find that will support their body weight. They do it because they don't have an office, but also because they hope you and your friends or family or coworkers will one day be doing the same. Their business depends on it. McEvilly, a 27-year-old Dallas native, is the founder of the outdoor equipment company Kammok International, and the inventor behind the Kammok ROO, a lightweight portable hammock meant to be hung anywhere you feel like napping ... or brainstorming. "We're pretty nomadic," he says of the Kammok team, based somewhere in the Dallas area, depending on the day. "We've had several meetings while we're kammoking ... several field trips while we're field testing gear." Then again, he says, they don't have the money for a stand-alone office. But when they do, "it will feel more like a kammok office than a corporate office," he says.

​In hotels all across the country this morning, folks are rising and shining to that bit of advice courtesy this state of the state, which, like everyone else, is just waiting for Rick Perry to jump into the pool of GOP candidates and begin talking about how The Great State of Texas is a jobs-making machine, y'all. For USA Today, the piece is a monster -- a 2,000-word advertorial selling everything from payroll gains (as in: "From June 2009 to June 2011 the state added 262,000 jobs, or half the USA's 524,000 payroll gains, according to the Federal Reserve Bank of Dallas and the Bureau of Labor Statistics") to the state's pro-bidness climate (which includes Perry "pushing through tort reform to limit frivolous lawsuits") to, let's be honest, its chief selling points ("Texas' laid-back lifestyle and lower costs").But as has become the theme in recent weeks, there are plenty of folks who question Perry's role in the so-called Texas Miracle. 'Cause, like, this is the man who gleefully stood by while the Lege, on his orders, cut billions out of the public-ed budget. Or, as Scott McCown, head of the state's Center for Public Policy Priorities, puts it, "We're not preparing our children to compete in tomorrow's economy." Well, that depends -- I read somewhere that tomorrow's economy involves an In-N-Out on every corner.Speaking of Perry, Time wonders who loses if Perry runs. Sorry -- the first comment beneath that piece beat you to it.

​In hotels all across the country this morning, folks are rising and shining to that bit of advice courtesy this state of the state, which, like everyone else, is just waiting for Rick Perry to jump into the pool of GOP candidates and begin talking about how The Great State of Texas is a jobs-making machine, y'all. For USA Today, the piece is a monster -- a 2,000-word advertorial selling everything from payroll gains (as in: "From June 2009 to June 2011 the state added 262,000 jobs, or half the USA's 524,000 payroll gains, according to the Federal Reserve Bank of Dallas and the Bureau of Labor Statistics") to the state's pro-bidness climate (which includes Perry "pushing through tort reform to limit frivolous lawsuits") to, let's be honest, its chief selling points ("Texas' laid-back lifestyle and lower costs").But as has become the theme in recent weeks, there are plenty of folks who question Perry's role in the so-called Texas Miracle. 'Cause, like, this is the man who gleefully stood by while the Lege, on his orders, cut billions out of the public-ed budget. Or, as Scott McCown, head of the state's Center for Public Policy Priorities, puts it, "We're not preparing our children to compete in tomorrow's economy." Well, that depends -- I read somewhere that tomorrow's economy involves an In-N-Out on every corner.Speaking of Perry, Time wonders who loses if Perry runs. Sorry -- the first comment beneath that piece beat you to it.

​This morning, stock talk revolved not only 'round the stalled-out D.C. debt-ceiling discussions, but what might the Dallas Fed say when it released its Texas Manufacturing Outlook Survey, especially following last month's not-such-good-news accounting. What analysts were particularly concerned about was the general business conditions piece of the fiscal puzzle: In June that indicator took a massive walloping, dropping all the way to -17.5 -- "worsening," in other words, and how.And while general business conditions are still in the negative, the bleeding's stopped ... for now: That stat's up 15.5 this month, "suggesting only a slight worsening this month," per the just-released report. When you dig into some details provided by those surveyed, the report notes that some industries are faring better than others, such as:Fabricated Metal Product Manufacturing The Architecture Billings Index for nonresidential construction has been negative for three months after six consecutive months of growth. Uncertainty about the economy and a lack of regional bank financing for new commercial and industrial projects is holding back the recovery. There is more uncertainty related to our bank renewals. We are still seeing customers reluctant to commit to start projects that have been designed and approved. A large job we have been told we are receiving has been divided up into smaller releases because the plant owner does not want to release a larger purchasing order at one time. ... Furniture and Related Product Manufacturing The weight of continued slow retail home furnishings sales is taking its toll on dealers, and they have closed up buying. Food Manufacturing We are still very negatively impacted by high commodity prices. Read the whole thing here.