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Rapid Growth: Sunrise Family Farms is tasting ‘organic’ growth. Page 2.

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Brewery Ommegang sees continued sales spike on tap

BY NORMAN POLTENSONJOURNAL STAFF

COOPERSTOWN — Overall beer consumption in America is flat. Craft beers, however, are generating double-digit growth as the consumer searches for variety and new styles.

The Brewers Association, the national organization for small and independent craft brewers, defines a craft brewer as one which produces no more than 6 million barrels a year and whose ownership by a non-craft, alcoholic-beverage company must be less than 25 percent. The demand for craft beers cre-ates a new brewery every day somewhere in the nation. The U.S. had fewer than 200 breweries 25 years ago. As of June, the country now has 3,000 breweries, a threshold not crossed since the 1870s.

While Americans imbibe, on average, 77.1 liters of beer per annum (217 12-ounce bottles), our inveterate propensity for the brew ranks us at number 14 globally; The Czech Republic takes bragging rights at 148.6 liters per capita. Still, America is the second biggest beer market worldwide with nearly a 13

See OMMEGANG, page 9

BY NORMAN POLTENSONJOURNAL STAFF

“The greatest risk is to do nothing” — a sign on Dave Culbertson’s desk.

VESTAL — The year is 1967. Dustin Hoffman, who played the lead in the movie “The Graduate,” is pulled aside by a friend of his parents who wants to share one word — “plastics.” The idea is that the future will be driven by plastic products.

David J. Culbertson, president of National Pipe & Plastics, Inc. (NPP), headquartered in Vestal, agrees. “This year, NPP will produce 300 million pounds of PVC pipe (polyvinyl chlo-ride) and another 30 million pounds of polyethylene pipe,” notes the presi-dent. “Our 3,000 customers buy sewer pipe, plumbing and industrial pipe, pipe for electrical conduits, utility duct pipe, pressure-water pipe, and other products. Demand for plastic pipe keeps rising as the population grows and aging infrastructure needs replac-ing to ensure clean drinking water

and safe sewers. PVC and HDPE (high-density polyethylene) are more economical, easier to install, last lon-ger, and are … [impervious] to tuber-culation (corrosion products on the inside of the pipe) and biofilms.”

To accommodate the increased de-mand, Culbertson has just completed moving his Vestal manufacturing op-eration into a new facility located in West Endicott. “The company bought the 235,000-square-foot building and 45 acres about 10 years ago,” says Culbertson. “The rationale for pur-chasing the property was to relocate our operation in order to take ad-vantage of lower electric rates then

offered by the municipality. When it didn’t materialize, we looked at mov-ing to Canada and Pennsylvania as al-ternatives. Fortunately, the rates have dropped and stabilized, which made the move to Endicott viable.”

The investment in the new facility is substantial. “The company is pro-jecting to spend $25 million in capi-tal investments, of which $7 million pays for infrastructure improvements such as a new electrical system, new silos, a chilled-water system, and a 70-foot-high blending tower,” continues Culbertson. “Another $18 million is

NORMAN POLTENSON/THE GREATER BINGHAMTON BUSINESS JOURNAL

See PIPE, page 6

National Pipe & Plastics ramps up production at new site

Dave Culbertson, president of National Pipe & Plastics, Inc. headquartered in Vestal, illustrates some of the 330 million pounds of plastic pipe produced annu-ally by the company. The picture was taken in the new 235,000-square-foot facil-ity located in West Endicott.

Allison Capozza, publicity manager for Brewery Ommegang, overlooks the brewing process at the Cooperstown–area facility.

NORMAN POLTENSON/TGBBJ

Nonprofit Corner: Tioga County Boys & Girls Club. Page 8.

2 • The Greater Binghamton Business Journal September 26, 2014

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USDA expects New York corn crop to increase 4 percent this year

New York farmers are expected to pro-duce 99 million bushels of grain corn this year, up 4 percent from 2013 levels, accord-ing to the U.S. Department of Agriculture’s (USDA) New York field office.

The estimate is based on conditions as of Sept. 1.

The field office estimates that acreage for grain-corn harvest in the Empire State will total 660,000 acres this year, down 4 percent from last year. But, corn yields are expected to average 150 bushels per acre, up 12 bush-els, or 9 percent, from 2013.

The USDA pegs U.S. corn production at 14.4 billion bushels this year, up 3 percent from 2013 levels. Based on conditions as of Sept. 1, yields are expected to average 171.7 bushels per acre, up 12.9 bushels from the 2013 average. If realized, this will be the highest yield and production on record for the United States, the USDA noted. Area har-vested for grain corn is forecast at 83.8 million acres, down 4 percent from 2013.

Hardinge to acquire grind-ing business from German company

HORSEHEADS — Hardinge Inc. (NASDAQ: HDNG) has announced plans to acquire the assets of the Voumard internal diameter (ID) grinding business from Rendsburg, Germany–based Peter Wolters GmbH.

Hardinge, a Horseheads–based provider of advanced metal-cutting tools and acces-sories, made the announcement in a Sept. 9 news release. No financial terms were dis-closed.

Peter Wolters is a supplier of precision machine tools and systems, according to the company’s website.

Hardinge intends to add the Voumard products to its grinding brands, which also in-clude Kellenberger; Hauser; Jones & Shipman; Tschudin; and Usach, Rick Simons, chairman, president and CEO of Hardinge, said in the news release.

“We plan on moving Voumard’s pro-duction and support back to its roots in Switzerland, where we will integrate it into the company’s existing Kellenberger busi-ness. We expect to be quoting machines by the end of this year and be in a position for initial sales to be generated in late 2015,” said Simons.

The Hardinge grinding group’s Voumard ID offerings will “complement” the firm’s cur-rent product lines, resulting in a “complete spectrum” of internal and external diameter cylindrical-grinding services to provide cus-tomers, he added.

Founded in Neuchatel, Switzerland nearly 70 years ago, Voumard serviced the ID grind-ing market with an installed base of over 9,000 machine options, according to the Hardinge news release.

The firm eventually moved to Germany in 2010 after Peter Wolters acquired the busi-ness in 2005.

Voumard serves more than 2,500 cus-tomers around the world, according to Hardinge.

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Sunrise Family Farms: Tasting ‘organic’ growthBY NORMAN POLTENSON

JOURNAL STAFF

NORWICH — The first goat was domes-ticated in Mesopotamia 5,000 years ago. The warm climate formed a curd in stored milk, which one adventurous soul discov-ered was tasty. Thus began the making of yogurt.

Fast forward 5,000 years. In 2000, America boasted 80 yogurt plants produc-ing 2 billion pounds of the dairy product. A dozen years later, the number of plants spiked to 131 and Americans imbibed 4.5 billion pounds. In New York state, the amount of milk used to produce yogurt jumped from 158 million pounds in 2005 to about 1.2 billion pounds in 2011. Driving this explosive growth is America’s crav-ing for Greek-style yogurt, which requires three times as much milk as conventional yogurt. By volume, Greek yogurt repre-sented just 1 percent of total yogurt sales in 2007; today, Greek-yogurt sales account for more than half (52 percent) of all yogurt sales.

“Chobani created the Greek-yogurt in-dustry in America,” says David Evans, president of Sunrise Family Farms, Inc., a co-packer (contract manufacturer) of qual-ity, cultured dairy products, located in the town of Norwich (just east of the city of Norwich).

“Hamdi [Ulukaya, who founded Chobani in 2005,] educated the public to the taste of Greek yogurt, and our business rode along on his coattails. The big manufacturers like

Chobani, Fage, Dannon, General Mills, and now Pepsi (which joined with The Theo Muller Group) are all fighting for market share as the demand for yogurt is expect-ed to continue growing,” Evans explains. “Ignored in the yogurt wars is the rising demand for organic, all-natural, and gluten-free yogurt products. That’s where Sunrise steps in. We are a hometown creamery able

to focus on the needs of entrepreneurs with new ideas and not just a processor of com-modity products.”

Evans, a fourth-generation dairy farmer, decided in 1999 to expand the business, when he created the name Evans Farm House. In 2004, he added Sunrise as the

NORMAN POLTENSON/THE GREATER BINGHAMTON BUSINESS JOURNAL

Sandy Grant, left, Dave Evans, center, and Charlie Reinshagen, right, stand in front of a filler machine at Sunrise Family Farms located just east of Norwich. The three partners, who are owners of a co-packing company specializing in dairy products, are expanding operations in Greene to accommodate its rapid growth.

See SUNRISE, page 4

September 26, 2014 The Greater Binghamton Business Journal • 3

BY ERIC REINHARDTJOURNAL STAFF

VESTAL — Construction has kicked off on Binghamton University’s smart energy research and development (R&D) facility.

The school on Aug. 27 held a ground-breaking ceremony for the new $70 million, 114,000-square-foot building at the Innovative Technologies Complex in Vestal.

Binghamton University sees the new fa-cility as part of its “pursuit of path-breaking research” on energy-efficient technologies, according to a news release from the uni-versity.

Plans call for connecting the facility to the Center of Excellence building on the campus, Harvey Stenger, president of Binghamton University, says in an interview.

He spoke with the Business Journal News Network on Sept. 5.

The Center of Excellence houses the school’s centers that examine energy ef-ficiency available through electronic sys-tems, battery-research activities, Stenger adds.

With a direct economic impact of $78.5 million on Broome and Tioga counties during its construction phase, the smart-energy project will support more than 500 local jobs, including about 200 construction jobs, the university said.

After construction, new employees will generate $2.5 million of economic impact annually in the local economy, it added.

The smart energy R&D facility is a “di-rect result” of the NYSUNY 2020 plan that Gov. Andrew Cuomo and the state legisla-ture approved in 2012.

The state intended the NYSUNY 2020 Challenge Grant program to “help New York’s public universities become a lead-ing catalyst for regionally focused eco-nomic development while maintaining affordability and improving academic quality for all students,” according to an Aug. 9, 2011, news release from Cuomo’s office.

Nearly a year later, Cuomo announced approval of Binghamton University’s NYSUNY 2020 challenge-grant proposal that included two objectives, according

to an August 2012, news release on the Binghamton University website.

The objectives were construction of the $70 million, smart energy R&D facility and the addition of 2,000 students, 150 faculty, and 175 professional and support staff to develop new and strengthen existing aca-demic programs.

Under the plan, Binghamton was set to receive $35 million in capital-construction

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marketing arm of the business, before renaming the company Sunrise Family Farms in 2010.

“The co-packaging operation has expand-ed dramatically,” notes Evans. “In 2010, this was a $3 million to $4 million business; today it’s a $12 million to $15 million busi-ness. We employ 50 people and expect to grow to 100 within a few years. There are three equal partners who own the com-pany: Charlie Reinshagen, vice president and secretary; Sandy Grant, who is the trea-surer and oversees the quality control; and myself. Sunrise has eight packaging lines producing mostly yogurt (80-85 percent), but also organic fluid milk and cream and even a dairy facial cream.”

Sunrise Family Farms currently has 12 active customers. “We have accounts across the country and also in Canada,” continues Evans. “We have a unique niche, because we are small enough to make batches of only 30 gallons and still large enough to make batches of a few thousand gallons. We work with a lot of entrepreneurs who have a dream but little knowledge of how to bring it to market. Sunrise can direct them to a company like International Food [Network, Inc.] in Ithaca to create the basic formula, and then we tweak the process to its conclusion. We also guide our custom-ers to container and label manufacturers and advise them on transportation prob-lems. That makes us both a co-packager and a consultant.”

The Norwich plant of Sunrise Family

Farms, which comprises 11,000 square feet, is the original company site. To meet the rising demand, the private-label manu-facturer has now opened a second location in Greene, about 20 miles away.

“We bought a 25,000-square-foot building [on 35 acres] that was built in 1995 but never used … because the owners went bankrupt,” says Evans. “Work is proceeding inside the building on the floors, to create rooms, and to build coolers. The investment to date in the building is $3.5 million, and the planned improvements, which should eventually add another 46,000 square feet, will total another $6 million to $8 million. The Greene site is serviced by the municipal electric company, which charges us 3.5 cents/kwh, a real ben-efit to a business that consumes a lot of en-ergy. The way things are going, Greene may handle the regular production, and Norwich will focus on the specialty business.” The property is owned by an S-corporation called Chenango Valley Processors, Inc.

CustomersHow does Sunrise find its customers?

The answer is: “It doesn’t; the customers find us,” Evans asserts. “We don’t adver-tise, we don’t market our company, we don’t worry about competitors. Customers may read about us in publications or find us on the Internet. I probably get two to three calls a week from prospects. That lets us focus on the customers,” who Evans describes as 30 to 35 years old, on average, and thinking out-of-the-box.

A typical customer is Naturi, a micro business that wants to change the Greek-

yogurt industry. Aditya Dhere and Anes Dracic originally presented their idea as a Capstone project at the Carnegie Mellon Tepper School of Business. While their peers focused on high-tech business con-cepts, the two entrepreneurs pursued the dream of producing the creamy recipe they grew up with, only modifying the taste and flavor using organic products and arti-sanal ingredients.

The company launched in February and added Jennifer Mrzlack, who brought ex-perience from the food industry. Their big-gest problem was sourcing, until they found Sunrise. To date, Naturi has raised money from family and friends, Carnegie Mellon University, and on Aug. 17 nearly $16,000 from 154 backers through Kickstarter. The Kickstarter investment funded the first pro-duction batch, which will be sold in organic and specialty-food stores as a high-protein, organic, and kosher-certified (through the Orthodox Union) yogurt.

The Sunrise management teamSunrise Family Farms’ three partners act

as its corporate management team. “Charlie and Sandy used to work at Elmhurst Dairy, where I sometimes bought equipment and containers,” notes Evans. “Charlie worked in operations and Sandy in quality control. We struck up a friendship. Charlie joined the business in 2008, and Sandy joined the following year. We work very well to-gether.”

With consumer concern about food safe-ty, the trio is currently pursuing SQF (Safe Quality Foods) certification. SQF is a pro-

cess- and product-certification standard. It is a Hazard Analysis Critical Control Points-based food safety and quality-management system, intended to support industry or company-branded products and to offer benefits to suppliers and their customers. Products produced and manufactured under the SQF code certification retain a high de-gree of acceptance in global markets. “We expect to receive SQF certification by either the fourth quarter of this year or the first quarter of next year,” Evans avers.

Evans attributes some of the compa-ny’s co-packing success to vendors who offer professional advice. “The Greene expansion is funded by the Kinderhook Bank’s (Kinderhook Bank Corp.: [OTCQB: NUBK]) East Greenbush office,” notes Evans. “Our legal work is handled by Dave Sonn of Earlville, and Piaker & Lyons [P.C.] monitors the accounting from its Norwich office.”

Sunrise Family Farms is well positioned to enjoy not only the rapid growth of the yogurt industry in general, but also the growing consumer demand for more vari-ety and for natural products. Its geographic location, proximity to millions of consum-ers, and unique market niche augurs well for continued success.

“Yogurt growth is probably in a 10- to 12-year cycle,” opines Evans, “with Greek yogurt remaining strong. But the market is changing with some consumers swing-ing back to conventional yogurt and others looking now at drinkable yogurt. While there will be new products [forthcoming], this is not a fad.” q

Contact Poltenson at npoltenson@tgbbj.com

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SUNRISE: The company currently has 12 active customersContinued from page 2

September 26, 2014 The Greater Binghamton Business Journal • 5

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6 • The Greater Binghamton Business Journal September 26, 2014

Binghamton then had to match the state funding with $35 million of its own, says Stenger.

“It comes from some of our reserves as well as some of our research income that we get from research grants and they’re called indirect costs, so that helps us support the capital expenditures,” he adds.

Smart-energy proposalBinghamton University considered two

different subject matters for its proposal in the NYSUNY2020 program, including health sciences and smart energy.

“When we looked at what the other SUNY campuses were doing, we felt that smart

energy would give us a better niche than the health sciences,” says Stenger.

He believes the term smart energy is fairly “broad,” noting that the school considers smart energy “anything that helps us reduce our energy usage or store energy more ef-ficiently or harvest energy more efficiently.”

The smart energy R&D facility will house the physics and chemistry departments of the Harpur College of Arts and Sciences.

Binghamton initially focused solely on undergraduate education, so its chemistry and physics facilities were designed with that purpose in mind.

“The laboratory space for research was very limited. This will really allow our faculty now to have state-of-the-art research facilities because the faculty we’ve hired in the last 20

years are much more research active, look-ing for grants,” says Stenger.

The school’s researchers have pursued grants from the Arlington, Va.–based National Science Foundation; the Bethesda, Md.–based National Institutes of Health, an agency of the U.S. Department of Health and Human Services; and private industry, he adds.

Stenger believes it’ll be a “big thing” for Binghamton to have its chemistry and phys-ics faculty in a new environment.

“A lot of their research, across the board, is involved in smart energy,” says Stenger.

The research in the new building will focus on energy-efficient technologies; mak-ing solar power economically competitive; reducing and using the thermal energy that computers and other electronic devices gen-

erate; and developing mechanisms for the storage and transmission of energy through high-capacity batteries, fuel cells, and ultra-capacitors, according to the school’s Aug. 27 news release.

Binghamton University will approach the construction of the smart-energy facil-ity in two phases. Binghamton–based FAHS Construction Group will handle the founda-tion and steel work in the initial phase. The school has yet to choose a contractor for the remainder of the project construction.

Crews should finish construction of the smart-energy R&D facility in 2017, the uni-versity said. q

Contact Reinhardt at ereinhardt@tgbbj.com

Smart energy: The research in the new building will focus on energy-efficient technologiesContinued from page 3

allocated to investment in new extrusion machines to produce pipe faster and with a larger diameter (up to 48 inches) and in items like material-handling equipment. Add in the original purchase price of the land and building, and the total investment is $29 mil-lion … This Endicott plant now has 11 PVC lines, which will grow to 13.”

Extrusion is a process used to create objects of a fixed cross-sectional profile. In the case of pipes, plastic polymers are mixed according to a formula and drawn through a die to create the desired cross-section. At NPP, the extrusion machines generate a continuous piece by first heating the stock material, loading it into a horizontal hy-draulic press, and drawing it through the appropriate die. After the pipe is formed, it is immediately cooled to assume a rigid shape (PVC) or a more flexible shape (HDPE), cut to a pre-determined length, inspected, and packed for inventory and shipping. Any pipe that does not pass inspection is recycled.

NPP also has a 150,000-square-foot manu-facturing plant sited on 40 acres in Colfax, N.C. (near Greensboro), which has 12 ex-trusion lines. The plants have interchange-able production facilities, including duplicate die-tooling. The decision to produce in either plant is based on production schedules and the distance to the customer, since freight is a major business cost. Both plants run four shifts per week around the clock and employ their own maintenance crews. NPP has to keep track of 400 SKUs (stock-keeping units) to accommodate the various industry

standards for pipe.

Key company statisticsNPP has a total of 550,000 square feet

of manufacturing and office space and 102 acres in its three locations. Culbertson is the sole stockholder of both the operating company and of the real estate. The head-quarters remains in the Vestal office, which utilizes 20,000 square feet of space; the remaining 145,000 is now available for lease. The company currently employs 300 peo-ple, with 180 of them located in the Greater Binghamton area. NPP was founded in 1970 and generates about $150 million in annual revenue. NPP sells its pipe primarily to the Northeast, Middle-Atlantic states, the Southeast, and the Canadian provinces of Quebec and Ontario.

“This is a very competitive business,” Culbertson opines, “made up mostly of nation-al and international companies. JM Eagle is the world’s largest plastic-pipe manufacturer. Diamond Plastics is another major PVC-pipe producer (seven manufacturing facilities), and North American Pipe [Corp.], a subsidiary of Westlake Chemical Corp., is the second-largest pipe manufacturer in the U.S. We also compete against Royal Pipe, which is owned by Axiall, and IPEX, which is owned by Alianza. The reason we can compete ef-fectively is because we are maneuverable. The management team can sit at a table in my office and make a decision inside of five minutes. NPP also forms long-term relation-ships with our customers and suppliers. The company is financially sound, and we … [run] lean, producing a quality product at the lowest

cost. But most importantly, we treat people according to the Golden Rule. Our mission statement says: ‘To put God first and do the right thing.’ It’s all based on ethics and trust.”

management teamNPP’s management team includes

Culbertson as president, Matt Siegel as vice president, Michelle Suer as CFO, and John Sinowitz as director of operations. Culbertson received his bachelor’s degree from Purdue in 1973 and his M.B.A. from Ohio State in 1980. He worked for 20 dif-ferent companies in 20 different industries before joining NPP in 1997 as the company’s CFO. He was promoted to president in 2003 and bought the business in 2004.

Siegel earned his bachelor’s degree in marketing from Juniata College with a certificate in finance and accounting from Rice University. He began his career with General Electric as a sales engineer and has worked for nearly two decades in the electrical, plumbing, and municipal-pipe in-dustry before joining NPP in 2011. In his capacity as vice president, he has focused on diversifying NPP’s product line, expand-ing the service territory, and streamlining operations. Suer earned her bachelor’s de-gree in accounting from SUNY Oswego. She began her career as an auditor for a public-accounting firm before joining NPP in 1984. Suer has held positions in accounts-payable, payroll, as the controller, and was named to the position of CFO in 2004.

NPP was founded in 1970 by Robintech, Inc., which at one point owned 12 plants. The partnership dissolved in 1982 when the com-

pany was sold to the Buffton Corp. Buffton, in turn, sold the company to LCP Plastics, which also owned the Colfax plant and a facil-ity in Ohio. LCP’s parent company, Hansen Chemical, filed for bankruptcy in 1992, and the business was run by the creditors until the last day of 1996 when Nissho Iwai Corp. bought it out of bankruptcy. The new owners bought another pipe plant in Georgia in 1999, but closed it in 2003, sold the building, and moved the equipment to North Carolina. Culbertson bought the business on Dec. 17, 2004. Nissho Iwai, which had changed its name to Sojitz Corp., was the seller. Culbertson was advised by Knox Securities Corp. and Mitsubishi Securities (USA), Inc., who acted jointly as the exclusive financial advisors.

NPP uses local professional support to assist the corporation. Johnson, Lauder & Savidge, LLP handles the accounting; Hinman, Howard & Kattell LLP offers legal advice; and M&T Bank is NPP’s primary banker.

The stock has been sold into a trust to ensure the continuity of National Pipe & Plastics. “I have a commitment to 300 families to guarantee the future of the com-pany. That’s why I chose not to move out of the area, but to find a way to meet rising demand and to remain here,” Culbertson says. “We have grown steadily at 3 percent a year, and I see a future with 50 years of continual demand for plastic pipe. I am making marketing decisions [today] based on what the impact will be a half-century from now.” q

Contact Poltenson at npoltenson@tgbbj.com

PIPe: NPP also has a 150,000-square-foot manufacturing plant sited on 40 acres in Colfax, N.C.Continued from page 1

September 26, 2014 The Greater Binghamton Business Journal • 7

By Traci DeLorecontributing writer

J obs in the green sector are growing across New York and across the nation, according to a re-

cent survey report by Environmental Entrepreneurs (E2) released on Aug. 28.

“We saw three major projects there in New York that created, combined, more than 600 jobs,” says Robert Keefe, ex-ecutive director of E2, a Washington, D.C.–based nonpartisan group of business leaders, investors, and others who promote environmental policies.

One of those projects is San Mateo, Calif.–based Solar City’s an-nounced $200 million acquisition of Silevo, a California–based solar-panel technology and manufacturing company. As part of the acquisition, Solar City plans to build a 1

gigawatt (GW) annual production capacity manufacturing facility near Buffalo that will add several hundred jobs to start and could eventually lead to 1,000 jobs, Keefe says.

While that is great news, Keefe says, “The real story in New York is the story to come.” He’s referring to New York’s Reforming the Energy Vision (REV) initiative.

REV is designed to help the state meet its goal of reducing its carbon emissions

by 50 percent by 2030, he says. The three main ways to do that are to make current power plants more efficient, replace energy that currently comes from fossil fuel with energy from renewable sources, and to make buildings more efficient. All of those efforts, Keefe says, will create jobs and stimulate economic growth.

“REV is a great thing,” he says. “It’s the type of policy we think is going to lead to dramatic clean-energy job growth.”

E2 has been tracking green jobs since

2011, and it says that in the second quarter of 2014, more than 12,500 clean energy and transportation jobs were announced in 29 states.

“That’s double what it was the previous quarter,” Keefe notes.

E2’s “Clean Energy Works for Us: Second Quarter 2014 Report” noted a number of projects besides the Solar City project in Buffalo that helped contribute to the increase nationally. Omaha, Neb.–based Tenaska, an independent energy provider, recently

closed a deal to build a solar-energy center in California, a project that is creating 800 new construction jobs. The Boston Housing Authority’s project to install public-housing water and energy retrofits across the city helped create 600 new jobs there.

The solar sector saw the most job growth during the quarter, with 22 total projects announced and five solar companies an-nouncing hiring in the residential sector in New York as well as Arizona, California, and Massachusetts.

Other areas of growth include electric vehicles and wind farms, particularly off-shore wind projects in Oregon, New Jersey, and Virginia, Keefe says.

“These aren’t the jobs of the future any-more,” he says. “These are the jobs of today and they are growing.”

Keefe says the green industry is growing and thriving for three main reasons. First, he contends, Americans want clean energy. Second, American innovation, in the form of products like electric cars, is driving growth. Finally, good policy, such as New York’s REV initiative, leads to good business.

E2 (www.e2.org) says its mission is to create a platform for business leaders to promote environmentally sustainable eco-nomic growth. The group’s members have been involved in financing, founding, or developing more than 1,700 companies that have created more than 570,000 jobs. q

Contact the Business Journal at news@tgbbj.com

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Green jobs increase in New York state, report says

Keefe

installers install solar panels on a roof. Jobs in the green sector are growing across New

york state, according to a recent report.

8 • The Greater Binghamton Business Journal September 26, 2014

Profiling local

nonprofit organizations

NonprofitFINANCIAL DATA

Fiscal year ending Dec. 31, 2012 (from IRS 990 form)Tioga County Boys & Girls Club

201 Erie St.Owego, NY 13827

Phone: (607) 687-0690

tiogabgca.orgKEY STAFF

Executive Director Luke Henson

Athletic Director Andy Cobb

Social Programs Director Amanda Williams

Club Positive Site Director Debbie Taft

Membership Clerk Pat Whittemore

BOARD OF DIRECTORS OFFICERSPRESIDENT

Junie Williams Lockheed Martin

1ST VICE PRESIDENT

Nicholas Ruiz First Niagara Bank

2ND VICE PRESIDENT

Paul Bartlow retired

TREASURER

Robert Zendarski Lockheed Martin

SECRETARY

Betsy Knapp Tioga County Real Property

BOARD OF DIRECTORSDavid Arbes TCMF Corp.

Betsey Bacelli retired

Paul & Tina Bartlow retired

Allan Bishop Cornell University

Jim Crossgrove IBM Software Development

Louis DeSantis LJD Consulting

Mark Felice Lockheed Martin

Peter Giliberti Lockheed Martin

Bryan Hathaway physical therapist

Spencer Hunt, Jr. retired

Betsy Knapp Tioga County Real Property

James Lavo M&T Bank

Tim Linehan EIT (i3 Electronics)

Steve May Owego Harford Railway

Mike Maynard DeTekion Security

Tom Morrissey retired

Bill Motsko retired, Edward Jones

Lou Neira Lockheed Martin

Randy Pryor OACSD Finance

Christian Root Tioga County District Attorney office

Nicholas Ruiz First Niagara Bank

Junie Williams Lockheed Martin

Robert Zendarski Lockheed Martin

MISSION“To enable all young people, especially those who need us most, to reach their full potential as productive, caring responsible citizens.”

PROGRAMS & SERVICESAthletics, social programs, fitness center, and “Club Positive,” a school-age child care program that offers before- and after-school care, holiday care, and a full-day summer camp.

Revenue SourcesContributions & Grants $210,198Program Services $112,067Investment Income $7,673Other $69,874

Total Revenue $399,812

ExpendituresSalaries & Employee Benefits $259,089Other $186,703

Total Expenses $445,792Deficit for the Year -$45,980

BY NICOLE COLLINSJOURNAL STAFF

OWEGO — The Tioga County Boys & Girls Club is renovating its nearly 70-year-old, 15,000-square-foot facility in Owego.

Knowing it needed to replace the 30-year-old leaky roof, the club and its board of directors collaborated to identify what repairs the facility might need starting in November 2012. The thought was, “if we’re going to do this [replace the roof], then we should outline all that needs to be done and do that too,” says Luke Henson, executive director of the Tioga County Boys & Girls Club.

The club, which provides after-school and summer pro-grams for children in the Tioga County community, has been located at 201 Erie St. in Owego since the building was constructed in 1946.

After determining that the facility repairs should include replacing the roof, repaving the parking lot and updating the outside lighting, and renovating the game room, the club kicked off the “Raise the Roof” campaign in January 2013 to finance the project.

Improvements to the 3,500-square-foot game room con-sist of new lighting, furniture, floors, fixtures, and windows to provide natural lighting, as well as renovations to bath-rooms.

With these renovations to the game room, the club will meet New York state school-age daycare requirements. Currently, the club operates its daycare program from local schools. Henson says this causes a problem when schools are closed because of snow days or holidays for instance, as the club is unable to run the daycare program on those days.

By September 2013, the Tioga County Boys & Girls Club had raised $265,000, which was enough to complete the first stage — repairing the roof. On May 28 of this year, the club received a $300,000 grant from the Floyd Hooker Foundation, a private foundation in Owego that supports the children of Tioga County. These funds allowed the club to complete the final two stages of the campaign, the game room and parking lot.

Additionally, receiving the Hooker grant helped the club reach its five-year campaign goal in less than two years. With just under $550,000 raised and the final renovation work started, Henson says the process has “been pretty amazing.”

On Aug. 25, Owego–based PJF Enterprises began con-struction on the game room. PJ Electric of Apalachin is installing the parking-lot lights, and Lynch Paving of Endicott is handling the parking-lot paving.

Henson says the work is on track to be completed by Nov. 1, the deadline the club set so the space is available to meet the demand of ramped-up programming.

Amid the reno-vations, Henson says the staff of four full-time and 10 part-time em-ployees has had to be “creative” in its programming and utilize the space

that is available. He says the club uses the gym for a lot of team games, while arts and crafts activities take place in the lobby area.

“It’s important for us not to stop services [during the reno-vations] because the kids really need us,” says Henson.

The Tioga County Boys & Girls Club serves 1,300 local youth members and visitors on an annual basis. A year mem-bership for a child is $25.

“We keep programming costs as low as possible and never turn a kid away,” says Henson.

Operating on a $440,000 budget, the club receives just over 3 percent ($15,000) of its funding from the government. Donations from individuals, businesses, foundations, and other fundraising efforts, what Henson calls the “life blood” of the organization, make up the remaining 97 percent of the budget.

“We rely heavily on our community who generously supports us,” says Henson. “We work hard to ensure our youth have a safe place to learn and have fun.”

Henson began his career at the club as a counselor in 2007, but his history with the club dates back to when he was a member as a kid.

Henson earned his associate degree at Broome Community College, then transferred to SUNY Cortland for his bachelor’s degree. After graduating in 2009, he became the athletic director. This past May, he earned his MBA from Binghamton University.

“I’ve been around the club pretty much my whole life, and have seen the life-changing impact it can have,” says Henson. q

Contact Collins at ncollins@tgbbj.com

CornerTioga County Boys & Girls Club pursues renovations

Tioga County Boys & Girls Club factsn Founded: 1946n Employees: 4 full time, 10 seasonal part timen Volunteers: More than 300n Service Area: Tioga County

PHOTO COURTESY OF THE TIOGA COUNTY BOYS & GIRLS CLUB

September 26, 2014 The Greater Binghamton Business Journal • 9

Broome Chemung Chenango Delaware Schuyler Steuben Tioga Tompkins

Number of Registered Organizations 1,032 393 499 357 107 479 236 760

# of Organizations Filing IRS Form 990 435 196 321 164 39 211 76 428

Total Revenue Reported on Form 990

Assets Reported on Form 990

# of Organizations Filing Form 990-N 407 129 135 126 45 184 108 236

# of Organizations Filing Form 990 or 990-N 842 325 456 290 84 395 184 664

Source: The Urban Institute, National Center for Charitable Statistics, June 2014

$1,284,666,297 $544,556,461 $108,602,445 $224,392,134 $58,936,548 $349,037,408 $20,075,951 $3,893,854,784

$1,637,883,408 $849,779,890 $283,286,653 $393,302,737 $72,385,808 $559,478,538 $35,515,541 $14,471,127,838

Snapshot of Southern Tier NonprofitsA statistical glimpse at the nonprofit sector in the Southern Tier region.

percent market share.Brewery Ommegang, which opened near

Cooperstown in 1997, was an early entrant into the domestic, craft-beer market. (The name Ommegang means “to walk about” and honors a festival held annually in Belgium commemorating the entrance of Emperor Charles V to the city of Brussels.) The founders carved out a unique niche brewing Belgian-style beers, known for their alcoholic content and richness of flavor.

“Since I joined the firm [in 2008], the brewery has increased its production and sales volume by 20 percent a year [com-pounded],” says Bill Wetmore, general man-ager of Brewery Ommegang. “This year, we will sell approximately 650,000 cases (24 12-ounce bottles per case) which equates to a little more than 5.5 million gallons. In 2015, we’re scheduled to craft 24 different beers, some of which are seasonal. Brewery Ommegang relies on one production line to produce four to six different beers per week, but the equipment is flexible so that we can change the line on the fly. To keep up with demand, we have added capacity and run the line 24 hours a day, 5 days a week.”

The brewery sits on a 136-acre former hops farm located in the town of Middlefield, less than five miles south of the village of Cooperstown. It was the first farmstead brew-ery built in America in 100 years. Brewery Ommegang employs 80 people year-round and adds another 20 in the summer to staff the café and gift shop, which opened in 2010. Management has turned the site into a venue for visitors, who come to tour the operation, eat from a menu paired with Ommegang selections, and enjoy concerts held on the grounds. Allison Capozza, publicity manager for the brewery, estimates that the company hosts 65,000 people annually, 20,000 of whom come for the concerts.

The Business Journal News Network es-timates that Brewery Ommegang will post revenue in 2014 of $22 million to $24 million. The company currently distributes its prod-ucts in 43 states, Canada, the Virgin Islands, and Puerto Rico. Wetmore expects to add West Virginia to the distribution list by the first of the year.

How it startedThe Ommegang concept originated with

Don Feinberg and Wendy Littlefield. In 1982, Feinberg established an import company — Vanberg & DeWulf — that specialized in Belgian beers. His wife, Littlefield, joined him

in the business in 1990. The couple worked exclusively with breweries that were indepen-dent, family-owned, and artisanal. The couple formed the brewery in 1996 in partnership with Belgian breweries whose beers Vanberg & DeWulf had imported. One of the partners was Duvel Moortgat (Doo-vel Moort-got), which bought out all of the other stockhold-ers by 2004. Feinberg and Littlefield sold the importing company in February.

The brewery’s rustic location has one drawback: the difficulty of maneuvering tractor-trailers on County Route 33. The im-pediment to convenient shipping, however, is outweighed by the setting which attracts thousands of visitors. In addition to sev-eral concerts each year, the staff creates annual events such as “Belgium Comes to Cooperstown,” a beer festival with more than 100 breweries pouring samples for 3,000 beer fans.” Then, too, there is the attribute of water. “Water to a brewer is [like] blood,” intones Wetmore. “It is the … [life-force] of the beer. We’re very fortunate to have four wells on the farm that supply us with a steady volume of clean, pure water.”

Crafting the beer is part science and part art. Ommegang has an innovation team, includ-ing the marketing department, the innovation manager, the brewmaster, packaging, quality control, and graphics, which is continuously responding to customer demand and creating new recipes. “We start with a concept from the marketing department to determine consumer demand,” avers the general manager. “We are always talking to retailers and to our visitors at the plant to understand what our audience wants. The process also includes trying new recipes created by our innovation manager, brewmaster, and staff brewers. It’s vital that we stay ahead of the marketplace.”

Ommegang has historically created its products for a small audience of beer con-noisseurs, whom Wetmore describes as “… the top of the pyramid. These are the better-beer drinkers who enjoy exploring new beers. They expect to pay a premium price above the average for a craft beer. Our target audience is 25 to 50 years old with a ratio of perhaps 60 percent male and 40 percent female. Over the past few years, we have focused on adding a variety of beers and styles that are broader in appeal. The new beers are priced a bit lower than some of our complex offerings, and the styles are more familiar to the general public — amber ales, white beers, and pale ales. The goal is to reach the more ‘generalist’ craft drinkers and introduce them to Brewery Ommegang.”

To promote the brewery’s products and

events, the marketing department utilizes a number of traditional methods. But it has also leveraged its social media to spread the word. “We’re very active in utilizing social media,” observes Capozza. “Ommegang has 53,000 followers on Facebook, 40,000 on Twitter, and 11,000 on Instagram. This year alone, our Facebook followers are up 28 percent, Twitter is up 34 percent, and Instagram is up 95 percent. In addition, we blog twice a week about everything from upcoming events, to new beers, and what the chef is doing in the café … The craft-beer industry is growing so fast that we don’t think in terms of other craft brewers as competitors as much as they are collaborators. America is enjoying a flavor rev-olution, and today’s consumer wants choice. Craft drinkers are not sold on their father’s brand; they want to try something new.”

Wetmore agrees that Ommegang needs to be active in promoting and presenting its beers to the consumer. “First and foremost, we invest in people,” says the general man-ager. “We have more sales people on the street than most anyone else in the industry, because we believe in building strong part-nerships in key markets with our wholesal-ers and the local retail community. We also invest in value-adding innovation in our beers

and the corporate strategy emphasizes rein-vesting in our production site both to drive efficiencies and to deliver a world-class visi-tor experience here in Cooperstown.”

“The Duvel Moortgat brewery (Brouwerij Duvel Moorgat) was established in 1871 and is currently owned by three brothers of the fourth generation of Moortgats and an aunt from the third generation,” notes Wetmore. “Duvel owns five breweries in Belgium and the Czech Republic plus Ommegang and Boulevard Brewing Co. in the U.S. The par-ent set up Duvel USA as the importing unit of Duvel Moortgat, and it also acts as a market-ing company to sell beer from all seven brew-eries [to this region.] Duvel USA, in effect, is Ommegang’s customer. Duvel USA and the breweries work very closely together: We have staff from both companies on site here.” In addition to being the general manager of Ommegang, Wetmore is the director of mar-keting for Duvel USA.

The acquisition by Duvel of Boulevard Brewing Co. located in Kansas City, Mo. was announced in October 2013 and closed on Jan. 1, 2014. Boulevard expects to produce close to 200,000 barrels this year and is listed as the 12th largest craft brewery in the coun-try. Boulevard distributes in 25 states, with 90 percent of its business in the Midwest. The parent is planning to spend $7 million to increase the fermentation and cellaring ca-pacity in Kansas City. The acquisition brings the parent company’s consolidated annual revenue to approximately $300 million. The company posted operating profits in 2011 of $40 million on sales of $202 million. Duvel Moortgat went private in 2012.

The management team at Brewery Ommegang includes Wetmore, Phil Leinhart as brewmaster, Rick DeBar as technical man-ager, Kim White as supply-chain manager, Larry Bennett as creative-services director, Chance Nichols as CFO, and Tara Aitchison as events/retail manager. The company was recognized in 2013 as the Business of the Year by the Otsego Chamber of Commerce.

Wetmore started his career in New York City with food-and-beverage, public-relations agency Gilman & MacKenzie, where he worked on Haagen-Dazs, Betty Crocker, Kraft, and Aveda brands as well as PepsiCo corpo-rate communications. He next served as the customer-marketing director for Scottish & Newcastle, whose flagship Newcastle Brown Ale enjoyed 20 years of double-digit growth. Wetmore joined Ommegang in 2008. He is a Syracuse University graduate. q

Contact Poltenson at npoltenson@tgbbj.com

OMMEGANG: The brewery sits on a 136-acre former hops farm located in the town of Middlefield

Continued from page 1

photo courtesy of ommegang brewery

Phil Leinhart, brewmaster at Brewery Ommegang, inspects the color of one of the 24 craft beers the company will pro-duce this year.

10 • The Greater Binghamton Business Journal September 26, 2014

bankingNBT Bank announced that Jacqueline Whalen, loan documentation and collateral control manager, has been promoted to vice president. She has 16 years experience in the financial-services in-dustry. Whalen joined NBT Bank in 2013, following the acquisi-tion of Syracuse–based Alliance Bank, where she managed loan op-erations. Prior to that, she held management positions in the loan operations and legal departments at Wells Fargo Financial Leasing in Syracuse. Whalen earned her bachelor’s degree at SUNY College of Technology at Utica.

credit unionsAlison Ha has joined Visions Federal Credit Union as senior mem-ber, business loan of-ficer at the Syracuse branch located at 500 Erie Blvd. West. She brings nearly 15 years experience in com-mercial banking, most recently with HSBC Bank, where she was an analyst and AVP-

relationship manager for nine years, cov-ering a variety of industries. Ha holds a bachelor’s degree in economics from Union College, and is a 2014 MBA candidate from the Whitman School of Management at Syracuse University.

education & trainingJason Zbock has been named execu-tive director at the Norwich Campus of Morrisville State College and will take the helm Sept. 2. He has an extensive career in higher education, most recently serv-ing as the dean of institutional effective-ness and enrollment planning at Broome Community College (BCC). At BCC, Zbock was a member of the President’s Executive Council and served as the chairperson of the Council of Operational Issues, part of the college’s shared governance structure. He was also a lead facilitator in the col-lege’s strategic planning process. Prior to that position, Zbock was an assistant professor of mathematics at Morrisville State for more than 11 years, also serving as an adjunct professor there for the past year-and-a-half. Throughout his tenure, he was actively involved on the Morrisville State campus, holding various positions in college governance. Zbock earned a master’s degree in mathematics education and a bachelor’s degree in mathematics, both from the University of Buffalo. He is currently working toward his doctorate in education in educational leadership candi-date from the University of Phoenix.

engineeringKeystone Associates Architects, Engineers and Surveyors, LLC, announced that Peter F. Messmer has joined the firm as a project manager in the Asphalt Maintenance and Management Department. He has more than 31 years ex-perience in civil engineering and related disciplines. Messmer holds a bachelor’s degree in civil and environmental engineer-ing from Cornell University and is also a certified OSHA plant safety officer.

Taitem Engineering, PC of Ithaca recent-ly hired four new staff members. Gordon Woodcock, project development manager, relocated to Ithaca from California, where he worked in the renewable energy indus-try for many years. He has a bachelor’s degree in chemical engineering from the University of Colorado and an MBA from the University of New Mexico. Michael McCoy joined Taitem as an apprentice solar PV installer after working in the con-struction field. Kallel Murry also joined Taitem as an apprentice solar PV installer and has attended TC3. McCoy and Murry were hired through the Taitem-Cornell Cooperative Extension of Tompkins County Solar Apprenticeship Program, which dove-tails with the need for more specialized, highly trained employees resulting from increased regional demand for renewable energy systems. Vaibhavi Tambe joins Taitem as a sustainability specialist focus-ing on computer energy modeling. She is a LEED green associate focusing on energy-efficient heat pumps and other HVAC equip-ment. Vaibhavi has a bachelor’s degree in architecture from the University of Pune (India) and a master’s degree in built envi-ronment from Arizona State University.

financial servicesNBT Financial Group has promoted financial planner Andrew E. Clark to assistant vice president. Clark, who joined NBT in 2013, has more than eight years experience as a financial planner. Before joining NBT Financial Group, Clark was owner of Clark Wealth Management. Prior to that he was lead financial planner and wealth advisor at Cornerstone Wealth Management Group. Clark earned his bachelor’s degree in eco-nomics at the University at Albany in 2000 and his designation as a certified financial planner professional in 2011. He is FINRA General Securities, Series 7 and 66 registered and also holds NYS Life Insurance, Health Insurance, and Variable Annuities License. NBT Financial Services has recently promot-ed Jordan Alger, a financial consultant, to assistant vice president. He is based at NBT Bank’s Johnson City office and provides cus-tomers in the Susquehanna County, Pa., and the Greater Binghamton area with access to financial and insurance products through LPL Financial. Alger joined NBT Financial Services in 2009 as a financial consultant as-

sociate, serving clients from NBT Bank’s Vestal office. NBT Financial Services provides trust, investment, insurance, and retirement services to individuals and orga-nizations in New York, Pennsylvania, and Vermont. The group had nearly $5.6 billion in assets under administration and man-agement as of June 30, according to the news release. NBT Financial Services and NBT Bank are part of NBT Bancorp, Inc. (NASDAQ: NBTB), a financial holding com-pany headquartered in Norwich, with total assets of $7.9 billion as of June 30. Prior to joining NBT, Alger was a financial profes-sional at AXA Advisors in Syracuse. Alger earned his bachelor’s degree in business administration from Hartwick College.

hvacChuck Gaylord has joined Meier Supply Company, Inc.’s Training & Technical Support Division. His HVAC&R indus-try experience began at an early age and he later attended SUNY Delhi, where he graduated with an associate degree in oc-cupational services in refrigeration and electrical controls. Gaylord went on to study at SUNY Alfred, where he graduated with an associate degree in air conditioning engineering. After graduation, he ran the family refrigeration business for more than 15 years and taught HVAC to adult students at OCM-BOCES in Cortland.

insuranceDaniel Stedman was recently pro-moted to vice presi-dent, Commercial Lines Profit Center at Preferred Mutual Insurance Company. He joined the company in 2013 as the direc-tor of commercial lines underwriting. He has more than 30 years ex-perience in commer-cial lines underwriting, having worked as an underwriting manager for large accounts at a superregional carrier and also has leadership experience for general business underwriting in multiple states. Stedman obtained his bachelor’s degree from SUNY Oswego. He holds the chartered property casualty underwriter, associate in risk management, associate in underwriting, associate in au-tomation management, associate in rein-surance, association in fidelity and surety bonding, associate in general insurance, and the certificate in general insurance designa-tions. Miranda Williams recently joined Preferred Mutual Insurance Company as an auto physical damage claims repre-sentative. Prior to this position, she was employed as a human-resources generalist at Springbrook in Norwich. She graduated from Binghamton University with a bache-lor’s degree in human development. q

PeoPle on the Move: new hires & ProMotions

Whalen

Ha

Messmer

Clark

Alger

Stedman

Williams

September 26, 2014 The Greater Binghamton Business Journal • 11

THE LISTResearch by Nicole Collins

ncollins@tgbbj.com (315) 579-3911

Twitter: @cnybjresearch

Look for the Credit Unions and Banks

lists in the next issue of the Greater Binghamton Business Journal, out on

October 31.

ABOUT THE LISTInformation was provided by representatives of listed organizations and their websites. Other groups may have been eligible but did not respond to our requests for information. While The Business Journal strives to print accurate information, it is not possible to independently verify all data submitted. We reserve the right to edit entries or delete categories for space considerations.

WHAT cOnSTITUTES THE GB REGIOn?For the purpose of this list, Greater Binghamton includes Broome, Chemung, Chenango, and Tioga Counties.

nEEd A cOpy Of A LIST?Electronic versions of all our lists, with additional fields of information and survey contacts, are available for purchase at our website, cnybj.com/ListsResearch.aspx

WAnT TO BE On THE LIST?If your company would like to be considered for next year’s list, or another list, please email ncollins@tgbbj.com

SOUTHERN TIER MANUFACTURERSRanked by No. of Southern Tier Employees

Rank

NameAddressPhone/Website

Employees:Southern TierCompanywide

AnnualRevenue Products Manufactured Locally Top Local Executives

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12 • The Greater Binghamton Business Journal September 26, 2014

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