Crain's Detroit Business - 25th Anniversary Issue, May 3, 2010 - (Page E12)

Page E12 CRAIN’S DETROIT BUSINESS May 3, 2010 25 Companies to Watch: Green/Energy Clairvoyant, Extreme hope to seed ‘renewable-energy nexus’ Xtreme Power Where: Kyle, Texas Global employees: 110 Founded: 2004 Founders: Carlos Coe and Michael Breen CEO: Carlos Coe he development of one of the nation’s largest renewable-energy manufacturing parks in Wixom brings two major new players — and more — to Michigan. The initial $725 million investment by Santa Barbara, Calif.based Clairvoyant Energy and Kyle, Texas-based Xtreme Power to revitalize Ford Motor Co.’s shuttered Wixom assembly plant and manufacture solar power and energy storage systems holds potential not just for the two companies but also for local suppliers and for other re- Clairvoyant Energy Where: Santa Barbara, Calif. CEO: David Hardee. Why they’re ones to watch Expected to be players nationally in solar energy newable-energy companies expected to lease building space. “We hope it will be the beginning of a renewable-energy nexus inside the state of Michigan,” Xtreme Power CFO Michael Breen said in statements provided to Crain’s through Xtreme’s publicrelations agency. Xtreme, which develops and manufactures integrated power management and storage systems, said there has been interest from renewable-energy companies in occupying space. As of Crain’s mid-April deadline for this story, T manufacture large-scale power systems that store renewable energy such as solar and wind power. Xtreme expects to begin Wixom operations in early 2012. The company, whose initial plans called for making a $475 million investment in Wixom and creating 2,500 jobs over the next five years, is working to complete its A rendering shows plans for the former Ford project plans in association Motor Co. Wixom plant. with the U.S. Department of EnerXtreme and Clairvoyant had not gy’s loan guarantee program. “We completed acquisition of the 320selected Wixom because of its high acre site from Ford. concentration of experienced proThe two anchor manufacturers duction employees,” Breen said. will redevelop the site and its 4.7 The privately held company has million square feet of building 110 employees but would not disspace, using about half of the close annual revenue. space for their operations. Clairvoyant, which builds, owns Xtreme expects eventually to and operates utility-scale solar renovate and occupy 1 million photovoltaic energy generating square feet but says progress will systems, plans to redevelop a poroccur in stages. The company will tion of the site to build high-effi- ciency solar panels. The company expects to have the capacity at Wixom to produce more than 2.5 million solar panels a year. The company has said it will create 1,000 jobs over a four- to sixyear production rollout, including 270 at launch. According to state officials and documents, Clairvoyant’s capital investment could total $857 million over several phases. Oerlikon Solar USA Inc., Clairvoyant’s technology partner and a leader in thin-film solar manufacturing technology, plans to establish a regional office as part of the energy park. Its equipment will be used by Clairvoyant in production. Greg Main, president and CEO of the Michigan Economic Development Corp., said that by recycling the Ford plant, the energy park “becomes the poster child for the kind of recovery we want to foster with other facilities as well.” — Amy Lane ITC grows into No. 1 independent electricity carrier ITC Holdings Corp. Location: Novi Local employees: 322 Global employees: 416 2009 revenue: $621 million Founded: 2003 by an investor group that included ITC employees and Kohlberg Kravis Roberts & Co. and Trimaran Capital Partners L.L.C. CEO: Joseph Welch other major transmission company. The deal left ITC in charge of most of lower Michigan’s transmission grid and created the nation’s largest independent electricity transmission company. Other subsidiaries are expanding ITC’s transmission caWelch pacity outside Michigan. ITC companies now serve a combined area of nearly 90,000 square miles in Michigan, Iowa, Minnesota, Illinois, Missouri and Kansas, with development activities under way in Oklahoma. “If you look at us as the equivalent of the people who built the interstate highway system, our goal is to give all people, all customers, all businesses equal access to the energy supply they desire,” ITC Chairman, President and CEO Joseph Welch said in an interview this year with Crain’s. The company, which in 2009 had revenue of $621 million and spent $361.6 million on capital projects at its operating companies, has 416 employees, including 322 at its Novi headquarters. ITC expects to invest about $3 billion in transmission infrastructure between 2010 and 2014, including about $700 million in development initiatives. One such initiative is its proposed “Green Power Express” – a $10 billion to $12 billion project of about 3,000 miles of extra-high-voltage transmission lines designed to move wind power and traversing portions of North Dakota, South Dakota, Minnesota, Iowa, Wisconsin, Illinois and Indiana. In Michigan, possibilities for new development include planning, siting and erecting transmission lines to connect wind energy systems in the Thumb area to the power grid. State regulators this year designated a region in the Thumb and one in west Michigan as those likely to be most productive for wind energy. ITC has filed plans with the Midwest Independent Transmission System Operator, an Indiana-based regional transmission organization, for a transmission line in the Thumb. In a previous report to the Michigan Public Service Commission, the company estimated that capital investments needed to support the minimum wind capacity identified by the PSC in the Thumb region would range from about $500 million to $740 million. Non-Michigan spending plans include $430 million toward a 180mile Kansas transmission line that’s the largest electric infrastructure investment proposed in the state in nearly 25 years; $175 million toward a 185-mile line between Kansas and Nebraska; and $30 million for a project that includes a 19-mile transmission line and substation in Oklahoma. — Amy Lane Ilumisys plans to grow along with LED market est space in the Troy headquarters of Altair Engineering Inc., Location: Troy which spun Ilumisys off as a stand-alone company in 2007. Local employees: Seven, with plans to be at 200 in 2012 Ilumisys is negotiating to 2009 revenue: N/A buy its own 2012 revenue projection: At headquarters least $100 million and manufacFounded: Spun off in 2007 turing plant, from Altair Engineering Inc., founded by Jim Scapa which Simon hopes to retroPresident: Dave Simon fit and open Why it’s one to watch for business Spinoff of established company by the end of looks able to grow in LED bulbs Simon the year. without burning out. LED lights still cost more to make than traditional lights, but they use less energy for the same lumisys Inc. of Troy, a small, illumination and last longer. low-volume maker of LED Until now, the biggest LED lights, today has seven emsuccess has been as the light ployees, a small revenue stream source for cell phone screens, and big dreams. with big inroads beIf Ilumisys hits ing made in a variety its growth targets, of applications, from President Dave Sihigh-end flat-screen mon estimates, it TVs to brake lights on will have at least cars to outdoor mu$100 million in revenue in 2012 and at Ilumisys makes LED bulbs nicipal and parkingleast 200 employees. that fit fluorescent fixtures. lot lighting. “There are 550 Ilumisys should add 10-15 jobs this year, and Simillion fluorescent tubes remon projects modest growth in placed every year in the U.S.,” revenue and hiring next year, as said Simon. “If, by 2012, we can well. capture 1 percent of that market, In January, the Michigan Ecothe company will be doing well nomic Growth Authority granted Iluover $100 million a year. I think misys a tax credit of $4 million to we can do that. And the reality expand its research and manuwill probably exceed the expectafacturing, a credit that calls for tions of today.” the creation of 213 jobs. That Simon wants the company to same month, the federal governbecome the highest-volume makment gave Ilumisys a tax credit er of solid-state lighting products of $1.3 million as part of the $2.3 in the world and to be the hub billion pool of tax credits called that makes Michigan a world the Recovery Act Advanced Enleader in the fast-growing lightergy Manufacturing Tax Credit, ing market as LEDs replace both which is part of the $787 billion incandescent and fluorescent federal stimulus bill. lighting. — Tom Henderson Ilumisys occupies some mod- Ilumisys Inc. Why it’s one to watch It’s the big kahuna in a growing industry. ANSING — Seven years ago, Detroit Edison Co. spun off its electricity transmission unit to an investor group that had formed ITC Holdings Corp. And ITC, then with a subsidiary that operated the electricity transmission system in Southeast Michigan, has steadily expanded since. The company went public in 2005. In 2006, it acquired Michigan’s L I 2010 INCREASES TUITION. ROOM. BOARD. Affordable Education First 0 % 

Table of Contents for the Digital Edition of Crain's Detroit Business - 25th Anniversary Issue, May 3, 2010

Crain's Detroit Business 25th Anniversary
Looking Forward
25 Companies to Watch
25 Mainstays
25 People Then and Now
25 Scandals and Dubious Deeds.
25 Philanthropic Gifts
25 Newsmakers of the Year
25 Big Stories
25 Innovations
25 Gone But Not Forgotten
Health Care
Defense
Suppliers
The Internet and Communication
Energy
Finance
Signs of the Times

Crain's Detroit Business - 25th Anniversary Issue, May 3, 2010

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