FRIDAY, SEPT. 21, 2018  |  IN THIS ISSUE  
Story1UTC chief explains delay in Rockwell deal

The $30 billion acquisition of Rockwell Collins by Connecticut-based United Technologies Corp., which has been running behind because of a delayed divestiture, is now expected to take place around the end of the month, UTC Chairman and CEO Gregory Hayes said recently.

Mr. Hayes said the hangup in closing the deal has been the divestiture required by antitrust authorities of Rockwell Collins' business segments that sell actuators, pilot controls and special products. Actuators are components that convert an electrical signal or impulse into a mechanical motion.

Such divestitures are typically required to prevent one company from having too much of a dominant position in any one market segment.

Analysts at the Morgan Stanley Laguna Conference in California on Sept. 16 asked Mr. Hayes when the Rockwell Collins deal would close. Mr. Hayes said that if he'd been asked the question three months earlier, he would have said "almost any day."

"The fact is it has taken us a little bit longer," Mr. Hayes said. "We still expect to close before the end of this month, which I think, is about two weeks from today."

The French aerospace company Safran previously announced plans to buy the Rockwell Collins business segments, Mr. Hayes said, but "it's taken a little bit longer than I would've liked."

Analysts are interested in the closing date because UTC has indicated it expects the acquisition to be accretive to earnings, partly due to around $500 million in annual cost savings it expects to find in the merger. Rockwell Collins employees are interested to find out what changes will occur when they become part of a new Collins Aerospace Systems group within UTC.

Mr. Hayes had told analysts on May 24 that the deal was expected to close in "a month or two." At an analyst conference in June, UTC CFO Akhil Johri said regulatory approvals were not a problem, but extended the estimate further, saying it would be a month or two.

 
Just in time for this weekend's big game, former pro athlete and Corridor entrepreneur Nate Kaeding sits down with Brian Ferentz, offensive coordinator for the Iowa Hawkeyes Football team, to talk preparation and improvement when you're under the spotlight. Read the latest installment of Real Success with Nate Kaeding, and watch the exclusive video, presented by West Bank, here.

The state's seasonally adjusted unemployment rate dropped to 2.5 percent in August, Iowa Workforce Development (IWD) reported this morning, down from 2.6 percent in July and 3 percent a year ago.
 
"Not since May of 2000 has Iowa seen an unemployment rate this low," said IWD Director Beth Townsend in a release. "As the unemployment rate continues to drop, Iowans are coming together as never before to find ways to help more Iowans get upskilled, as demonstrated by the more than 1,900 community and business leaders who are attending Future Ready Iowa summits."
 
The number of unemployed Iowans decreased to 42,800 in August from 44,000 in July.  The number of working Iowans increased to 1,642,500 - 2,200 higher than in July.
  
Iowa establishments displayed strong hiring in construction and trade in August, gaining 2,300 jobs. Wholesale and retail trade were responsible for a combined 1,700 jobs added, with wholesale outpacing retail by nearly a two-to-one margin. 
 
Losses this month were dominated by leisure and hospitality, which saw a 1,100 drop.  
 
The U.S. unemployment rate remained at 3.9 percent in August.
 
 
In this week's CBJ Report on CBS2/FOX 28, Editor Adam Moore discusses f unding to construct a $750 million permanent flood control system in Cedar Rapids, ICR Iowa's new online "talent hub" aimed at selling the Corridor, and a reciprocity agreement for lock box access between Iowa City and Cedar Rapids real estate agents. Watch the full report here.

Two Corridor design firms have been honored with Excellence in Energy Efficient Design Awards  at the 2018 American Institute of Architects Iowa Convention in Des Moines. 
 
The Excellence in Energy Efficient Design Award program recognizes outstanding efforts in reducing energy use. Candidates are selected from projects whose designers participated in the Commercial New Construction program offered by Alliant Energy, Black Hills Energy and MidAmerican Energy. Projects must have been completed between July 1, 2017 and June 30, 2018.
 
The Commercial New Construction program provides energy design assistance and energy-efficiency incentives to commercial customers for new construction, additions and renovation projects located in areas served by the three utilities.
 
Corridor companies receiving the awards included: 
  • OPN Architects, for the Johnson County Ambulance Service and Medical Examiner Facility, which achieved a 64 percent annual kBTU savings; Marion Longfellow Elementary School, with 62 percent annual kBTU savings; and Iowa City Hoover Elementary School, with 56 percent annual kBTU savings.
  • Shive-Hattery Architecture + Engineering, for the Clear Creek Amana High School expansion, which achieved a 59 percent annual kBTU savings, and the Cedar Rapids Grant Elementary renovation, with 50 percent annual kBTU savings.

SVPA Architects and Design Engineers of West Des Moines was also honored for its work on Liberty High School in North Liberty, achieving a 51 percent annual kBTU savings.
 
Sept. 24
Coralville Roundtable, by Iowa City Area Chamber of Commerce, noon-1 p.m., Hy-Vee Market Grille, Lantern Park Plaza, 1914 Eighth St., Coralville. Roundtables are social lunches over the noon hour. All are invited to network and keep up-to-date with chamber and community events. Free for members. Call the chamber at (319) 337-9637 if interested and not a member.

Food and Beverage Forum, by Cedar Rapids Metro Economic Alliance, 3-4:30 p.m., WineStyles, 4201 42nd St. NE, Ste. 170, Cedar Rapids. This wine tasting geared toward food and beverage professionals will feature Sam Hanna of the Loyal Customers Club about ways to market to customers. Meet with other hospitality professionals to discuss products, challenges, events, and ideas that drive innovation. Free. To register, visit bit.ly/2xbZ2aq.

Sept. 25
Ribbon Cutting: Zoned Strategies, by Marion Chamber of Commerce, noon, 700 11th St. Ste. 202A, Marion. Help celebrate the opening of Zoned Strategies' new Marion office. Free.

Sept. 26
1 Million Cups, by 1MC, 9-10 a.m., Geonetric, 415 12th Ave. SE, Cedar Rapids and MERGE, 136 S. Dubuque St., Iowa City. Join for community connections, startup pitches and free coffee. The September theme for Cedar Rapids' meeting is the city of Marion. Free. For more information, visit facebook.com/1MCICR.

Sept. 26-28
Iowa SHRM State Conference: HR Charting the Course, by Iowa SHRM, all day, Coralville Marriott, 300 E. Ninth St., Coralville. This statewide conference invites top-talent leaders from across the country to share their expertise and knowledge in all areas of human resources, with programming appropriate for professionals ranging from entry-level to senior leadership. Tickets: $100-$600. For more information or to register, visit iastateshrmconference.org/registration.
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Headlines from CBS2/FOX 28
These news items are provided by CBS2/FOX 28  
 
Iowans who meet certain criteria will soon be able to buy medical marijuana in the form of cannabidiol in the state, but there are still questions on how the process will work and exactly who can purchase it.  On Thursday, patients, physicians and caregivers had the opportunity to ask those questions of Des Moines-based MedPharm, one of two companies who will have manufacturing facilities in the state.  "Unfortunately, it seems like not enough patients still know enough about this program," said Lucas Nelson, lead consultant for MedPharm Iowa. Mr.  Nelson said around 500 Iowans already have access to medical cards under the state's nine qualifying conditions, but he hopes they can help others identify how they could qualify.  "After you turn that [online] application in and get your card from the Department of Transportation ... it's with that card that you can actually walk into the dispensaries," he said. Mr.  Nelson said physicians cannot prescribe cannabidiol products, only certify access to medical cards. Patients will then be issued their dosage of product at the dispensary.  "You'll actually go through a full intake with our patient consultants, have discussion about what symptoms you're trying to treat," said Mr. Nelson. 
 
The city of Marion is actively considering an ordinance on where storage unit businesses can build their facilities. City council members had contacted the Community Planning department after seeing an influx of facilities across town and now await a possible decision on a moratorium to come up with a plan.  "We are not prohibiting the industry. We are allowing it, we are just looking to allow it in areas we want it to," said David Hockett, Marion's principal planner for community development.  Marion's flexible zoning standards currently allow the construction of facilities all along Seventh Avenue and other areas. That's because they are zoned as general commercial. The city is now looking for solutions to rezone and possibly move new businesses towards the industrial parts of town. Businesses that are already in place would not have to move but may not be able to expand.

T hese news items are provided by CBS2/FOX 28 
CBS2 Chief Meteorologist Terry Swails' Weather First Forecast

Grab your sweaters and set up the bonfires - fall is here! The rain and summer weather is moving out and cool, fall air is moving in. There will be mostly cloudy skies today and it will be much cooler this afternoon. Temperatures will be in the low to mid 60s, around 25 degrees cooler than yesterday. On top of that it will be breezy, with strong winds out of the northwest. Clouds will break up this evening and temperatures will drop down to the low 40s by Saturday morning. High pressure will be in control through the weekend and it will be cool, calm and comfortable. Temperatures will be in the upper 60s to low 70s Saturday and Sunday. Temperatures will be in the 60s and 70s through next week.