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Southern Tier Solutions Fair planned for manufacturers
ITHACA — A workshop planned for Cornell University’s campus next week will take a shot at pairing manufacturers with technical, educational, and economic-development resources that
VERONA — The Oneida Indian Nation is taking convenience to the next level now that four of its SavOn Convenience Stores feature drive-thru windows. The
Event planner opens party-supply store, Heart and Soul
MOHAWK — A little less than a year after winning a $25,000 business grant from Intuit, Heart and Soul Events LLC owner Connie Castellano has
Upstate Shredding plans Albany port
OWEGO — The state’s largest scrap-yard business has plans to get even bigger. Upstate Shredding, LLC plans to open a scrap yard and deep-water port
Harden Furniture invests in new equipment to transform business
MCCONNELLSVILLE — New woodworking equipment and engineering software arriving later this month will alter the way Harden Furniture Co. does business. It’ll transform the 168-year-old
Downtown Utica Development Association launches downtown art project
UTICA — The Downtown Utica Development Association (DUDA) hopes that art will add a little business lift to the downtown Utica area. DUDA kicked off
Advanced Manufacturing Thermal and Environmental Control Systems Cluster Accelerator awarded grant
The federal government will provide nearly $1.9 million for Syracuse University initiative aiming to boost high-tech manufacturing in Central New York. The initiative, known as the Advanced Manufacturing Thermal and Environmental Control Systems Cluster Accelerator, is set to focus on small- and medium-sized businesses manufacturing thermal-control systems and environmental-control systems. It will attempt to boost access
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The federal government will provide nearly $1.9 million for Syracuse University initiative aiming to boost high-tech manufacturing in Central New York.
The initiative, known as the Advanced Manufacturing Thermal and Environmental Control Systems Cluster Accelerator, is set to focus on small- and medium-sized businesses manufacturing thermal-control systems and environmental-control systems. It will attempt to boost access to large markets, train displaced workers, and support business ventures, according to a letter U.S. Sens. Charles Schumer (NY–D) and Kirsten Gillibrand (NY–D) sent in July to support its funding.
Goals of the cluster accelerator include increasing exports by 60 percent after three years, retaining 250 jobs, and creating 500 jobs, the letter said.
The $1.9 million in funding comes from a national competition called the Advanced Manufacturing Jobs and Innovation Accelerator Challenge. The challenge is overseen by the Economic Development Administration at the U.S Department of Commerce, the National Institute of Standards and Technology, the U.S. Department of Energy, the Employment and Training Administration at the U.S. Department of Labor, and the U.S. Small Business Administration.
“From the Erie Canal to the Syracuse Center of Excellence, Central New York has a long legacy of pioneering innovations designed to meet the needs of our community, region, and world,” Syracuse University Chancellor and President Nancy Cantor said in a news release. “The significant support shown for the Advanced Manufacturing Thermal and Environmental Control Systems Cluster Accelerator — by multiple agencies and partners — affirms both the immense wisdom of building on our long-standing historic strengths and the immense power of cross-sector engagement to drive economic prosperity.”
NBT-Alliance deal driven by the need to grow
SYRACUSE — Leaders at Alliance Financial Corp. (NASDAQ: ALNC) didn’t decide to sell their banking company because it was buried by bad lending decisions or mortgage-backed securities. In fact, Alliance’s balance sheet is “pristine,” said Martin Dietrich, president and CEO of NBT Bancorp, Inc. (NASDAQ: NBTB), which announced plans to acquire Syracuse–based Alliance Financial on
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SYRACUSE — Leaders at Alliance Financial Corp. (NASDAQ: ALNC) didn’t decide to sell their banking company because it was buried by bad lending decisions or mortgage-backed securities.
In fact, Alliance’s balance sheet is “pristine,” said Martin Dietrich, president and CEO of NBT Bancorp, Inc. (NASDAQ: NBTB), which announced plans to acquire Syracuse–based Alliance Financial on Oct. 8. Instead, Alliance executives started looking for an acquisition partner because of regulations.
The company simply wasn’t going to be able to grow as profitably alone because of new rules emerging in the wake of the financial crisis, Alliance Financial Chairman, President, and CEO Jack Webb said during a conference call to discuss the acquisition with investors, analysts, and the media. More regulation means adding staff to areas that don’t generate revenue, he explained.
“They’re not the ones out there talking to customers,” he said. “They’re the ones checking boxes and filling out reports.”
Alliance Financial had explored a number of deals in recent years in which it would have been the acquirer, Webb said, but the company didn’t emerge as the winner in any of them. The bank had to get bigger one way or another, he said.
The advantages of the sale to NBT extend beyond a broader base to share regulatory costs, Webb added. More size means the ability to compete on more loans, especially in the commercial sector.
Alliance Financial received multiple offers, but NBT’s stood out, Webb said. The two banks knew and respect each other and NBT’s offer was financially solid, he added.
The $233.4 million deal values Alliance’s stock at $48 a share. The stock closed at $39.41 on the Friday before the acquisition became public. The deal is expected to close in the second quarter of 2013.
NBT, based in Norwich, has $6 billion in assets and 135 branches in New York, Pennsylvania, Vermont, Massachusetts, and New Hampshire. The banking company also owns a 401(k) record-keeping firm and an insurance agency.
Alliance Financial has more than $1.4 billion in total assets and 28 bank branches in Cortland, Madison, Oneida, Onondaga, and Oswego counties. The company also owns an equipment-lease financing company and operates an investment-management administration center in Buffalo.
Following the closing, all Alliance Bank branches will become NBT locations. Webb will join NBT’s board of directors and the company’s management team as executive vice president for strategic support.
Two other current members of Alliance’s board will become directors at NBT as well. The deal must still receive regulatory and shareholder approval. The boards of both banking companies approved it unanimously.
NBT already has 97 branches in upstate New York and much of Alliance’s footprint is contiguous with counties where NBT currently operates. The acquisition will bring NBT $890 million in net loans held for investment and $1.1 billion in deposits.
NBT expects to retain all of the Alliance Bank branches, Dietrich said. The acquisition will likely involve some job cuts, mainly in support areas, but exact numbers haven’t been determined, he added.
The new markets are similar to the ones where NBT operates now, Dietrich noted. The company has been looking for the right way to enter the Syracuse–area market, where it currently has no branch presence and no deposits.
“Alliance is that perfect opportunity,” he said. “Syracuse and the greater–Syracuse area have long been very attractive markets to us.”
Alliance Bank is third in the Syracuse metro area deposit market with 22 branches, more than $816 million in deposits, and a market share of 7.6 percent.
Contact Tampone at
ktampone@cnybj.com
Canadian company expects to grow Ithaca presence
ITHACA — A Canadian company specializing in spectroscopy technology expects to grow a facility it has in Ithaca in the coming years. Tornado Medical Systems,
Belyea to receive 2013 CNYSME Crystal Ball Award
SALINA — Peter Belyea may be a life member of the Central New York Sales and Marketing Executives’ (CNYSME) board of directors, but he didn’t know he was up for the organization’s annual Crystal Ball Award until he’d been tapped as the winner for 2013. “I actually didn’t find out until it was chosen and
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SALINA — Peter Belyea may be a life member of the Central New York Sales and Marketing Executives’ (CNYSME) board of directors, but he didn’t know he was up for the organization’s annual Crystal Ball Award until he’d been tapped as the winner for 2013.
“I actually didn’t find out until it was chosen and had been announced,” says Belyea, who is the president of Salina–based CXtec and Teracai. “It’s probably been six or seven years since I sat on the actual Crystal Ball committee, so I’m familiar with the process. But I was totally taken aback. I’m not even sure quite yet who nominated me.”
Belyea, a former president of CNYSME, has stepped back from active participation on the organization’s board in the last three to four years, he says. He took on more of a historian’s role to allow younger members to become involved in the group’s operation.
Then in late September, the CNYSME’s Crystal Ball committee chose Belyea as the winner of its 2013 Crystal Ball Award. CNYSME hands out the honor annually to a local businessperson who has contributed to the sales and marketing profession and has worked in community development and support.
Former Onondaga Community College President Debbie L. Sydow won the Crystal Ball Award in 2012. Previous Crystal Ball winners also include Dinosaur Bar-B-Que Founder and CEO John Stage, Coleman’s Authentic Irish Pub Publican (saloonkeeper) Peter J. Coleman, Jr., Galaxy Communications, LP President and CEO Edward Levine, Nice-N-Easy Grocery Shoppes Founder and President John MacDougall, Syracuse University Chancellor Nancy Cantor, and Alliance Bank, N.A.
President and CEO Jack Webb.
Belyea will have to wait a few months before he actually receives the award. CNYSME will present it to him at its 37th Annual Crystal Ball and Sales & Marketing Excellence Awards (SMEA) Ceremony on Tuesday, April 9, 2013. The event is scheduled for the Sheraton Syracuse University Hotel and Conference Center.
CXtec work honored
CNYSME pointed to Belyea’s work with CXtec’s equal2new business and its social-media marketing as reasons for his winning the Crystal Ball. CXtec built its equal2new brand around refurbished networking equipment.
“Creating the equal2new brand really allowed us to take what was used equipment and give it some teeth, give it some consistency,” Belyea says. “I think you see that now with some of the premium brands in the automotive industry. In the last 12 to 15 years these brands have really wanted to wrap their heads around the fact that you have to own the quality of your secondary market.”
Belyea cited CXtec’s CABLExpress division as a marketing and branding triumph. When he started at CXtec in 1988, the company was known as Cable Express, but cable business was dwindling, he says. Then about six years ago, company founder William Pomeroy asked Belyea to revitalize the cable business and turn it into a brand. Today, Belyea calls the CABLExpress brand one of CXtec’s strongest.
“It was really a big branding change-around, it was really a big product progression,” Belyea says. “One of the great things about this organization is we’re not afraid to go out and flex with the market.”
CABLExpress is also a good example of CXtec’s success in social media, according to Belyea. One of the company’s product managers, Josh Taylor, records YouTube videos for an instructional series called “Cable Talk” that has been popular, Belyea says. Belyea stresses CXtec’s social-media strategy is a blend of platforms, from YouTube to Twitter.
Another CXtec marketing success Belyea says he was a part of was the company’s spinoff of Teracai in 2009. Teracai focuses on selling Cisco products. It generated $41 million in revenue in 2011 and is on pace to grow in 2012, according to Belyea, although he declined to share exact projections for this year.
In comparison, CXtec generated $64 million in revenue in 2011. It is also on pace to grow in 2012, says Belyea, who again opted not to share specific growth projections.
“When the organization chose to spin off Teracai as a standalone company, that really represented an opportunity for us to understand what the market wanted, which was an upstate New York, East Coast business,” he says. “CXtec is more of a national business. We had to go out and understand what the market wanted. It would have been easier to say we’re going to go out and be another Cisco reseller.”
CXtec and Teracai share a headquarters facility of about 70,000 square feet in Salina. However, CXtec uses the address 5404 S. Bay Road while Teracai uses the address 217 Lawrence Road E.
CXtec also has about 90,000 square feet of warehouse space on E. Brighton Ave. in Syracuse. It employs 246 people, with about 190 working at its Salina headquarters. Teracai employs 45 people.
Teracai has added five employees this year, while CXtec hired about a dozen workers, according to Belyea. Both companies are looking to fill more open positions, he says — CXtec has about 10 open account-executive positions, while Teracai has four jobs to fill.
Belyea took over as president of CXtec and Teracai in August 2011. He places an emphasis on sales and marketing that helps the companies stay centered on their customers, he says.
“I think connecting with your customers one-on-one and having a strong brand allows you to communicate effectively what you’re doing and where you’re going,” he says. “It’s a team effort. I’ve been blessed with an incredible team of people here.”
Belyea’s work at CXtec and his history with CNYSME played a part in his winning the Crystal Ball, according to CNYSME president Katherine Rech, who works for Lockheed Martin in Salina.
“I know the Crystal Ball committee was very strongly for Pete because he’s done so much for the CNYSME organization,” she says. “He’s a former president. He’s worked on the Crystal Ball committee. And he’s done a lot for the community and for sales and marketing at CXtec.”
Contact Seltzer at rseltzer@cnybj.com
Stay up-to-date on the companies, people and issues that impact businesses in Syracuse, Central New York and beyond.