More Quick Ones

• Just some things I have heard
  
  OUCH...IT HURT OUR POCKETBOOK TOO
  
  In light of Administration reports, the damages in the Dr. Robert Yovanovich case seem very reasonable. In this case as the Star reported:
  
  "Calling Windsor "reckless," an Ontario Superior Court justice has ordered the city to pay a prominent city surgeon $844,450 in damages for not warning him about a raised catch basin that threw him from his bike, injuring him for life...
  
  "The fall separated Yovanovich's left shoulder, leading to a deformity, and caused mild nerve damage to his neck and right side, which results in numbness and burning in his right leg. The injuries are permanent and cause Yovanovich various levels of pain at all times, Justice J. Morissette wrote in her judgement released May 31.
  
  Morissette said the city was negligent for not conducting any formal inspections of the road, which had been under reconstruction and closed to the public just six months before Yovanovich's fall. She also blamed the city for not marking the elevated catch basin or posting warning signs, pylons or barrels near it."

Doctor Yovanovich was quoted as saying:

• "The City of Windsor has really had a callous attitude and generally shown reckless behaviour in terms of safety issues for cyclists in this city,"

His lawyer stated:

• "This judgment is really a victory for everybody who uses the road - in-line skaters, runners, cyclists, moped, wheelchair users," said lawyer Martin Wunder. "It's going to, I hope, make the city and other municipalities be more responsive and responsible to their obligations to their cities."

I was shocked that

• "Windsor Mayor Eddie Francis and city solicitor George Wilkki said they didn't know enough about the case Monday to comment."

Sure the damages are probably covered by insurance but the City has a substantial deductible I would expect. And with claims results like this, rates can rise. In light of the Administration reports outlining problems with the City's sidewalks, the Mayor and City Solicitor may want to become better informed of cases. Is there a systemic problem that the Mayor as CEO will have to answer for in other cases!

Oh, I am interested as well. It looks like my "slip and fall" claim against the City has just improved too!

WINDSOR TO GET NEW MAGNA PLANT

Surely our Gazelle feeders with their new staff members and Board honorariums now all set have been out there negotiating with Magna for their new plant to be built in Windsor at the shovel ready airport lands.

Surely Buzz Hargrove has been talking with his new bestest buddy, Frank Stronach, to have that plant built in Windsor so Frank can make good on his proposed Magna-CAW alliance. You remember, Magna was going to let the CAW organize their companies.

Here is what this is all about...a story from the Free Press:

• Magna shops for plant site
  Supplier will build European cars in North America
  June 6, 2007BY TIM HIGGINS,FREE PRESS BUSINESS WRITER
  
  Magna International Inc., which has an auto assembly plant in Europe, has been looking at land in North America for a similar facility, indicating that the auto supplier may be close to expanding its unique complete-vehicle production business.
  
  Magna, the world's third-largest auto supplier, sees a market for assembling vehicles in North America for European automakers, Magna President Mark Hogan said Tuesday.
  
  "Clearly the OEMs here have enough capacity. ... They are not really in the position to outsource assembly," Hogan said, using industry shorthand for original equipment manufacturers. "Clearly the euro to the dollar has affected the way the Europeans think about manufacturing."
  
  In addition, Hogan said he sees a market for assembling vehicles for automakers that have exceeded capacity but need a way to make more cars.
  
  The development of new propulsion systems in vehicles could also lead to a market for the more complicated vehicles being assembled at a facility run by Magna, he said.
  
  "It's coming," he said. "Once we secure a couple, three product programs, we'll have enough to get going."

NAMING RIGHTS FOR THE ARENA

Is it true that a major Financial Institution has the inside track on buying the naming rights for the East end arena. I have heard though that the bid price is NOT very high but then again who wants to bid much in this City with this economy?

Mind you, a low bid means that the charities in town and the University fund-raising could suffer as well if people don't have money. How will the University, as an example, ever pay for their stadium, a new medical school (whose costs are much higher) and a more expensive downtown Engineering complex?

My guess is that some people will be quite upset if this Firm wins. It may explain a whole bunch of actions that have taken place in this City recently.

IS FARHI BUYING UP WINDSOR'S DOWNTOWN TOO

With all of the closings and high vacancy rates, you'd think there would be some prime pickings here.

Here's a story from the London Free Press. I wonder if he has an interest in the Capitol Theatre:

• Farhi feathers his 'nest' in core
  
  Mon, June 4, 2007 By NORMAN DE BONO, SUN MEDIA
  
  From the Royal Bank building at King and Richmond streets, Shmuel Farhi can see some of the $250 million worth of property he owns downtown.
  
  London's most colourful developer has gone on a shopping spree, buying up more than 20 downtown properties in the last six months alone.
  
  Shmuel Farhi puts the total value of his downtown property at more than $250 million.
  
  He says it's all part of a master plan that's just begun.
  
  "It is part of my strategy. The more I own, the more I control. The better for me," the outspoken Farhi says.
  
  "I am not an investor who is looking at tomorrow or the next month, but 10 years from now. I am building a nest here, a massive plan over the next 10 to 20 years."
  
  Most notable among his recent acquisitions are two parking lots north of the Dundas Street courthouse -- the largest pieces of vacant land available downtown at 100 Queens Ave. and on Fullarton Street immediately to the north...
  
  That acquisition is the tip of the iceberg for what has been a busy 2007 for Farhi, who often is at odds with city hall over downtown parking...
  
  "We have more than 1.5 million square feet and if you had to rebuild it, it would cost $250 million."
  
  The recent deals make him the largest landlord in the downtown with more than 80 properties, including land and buildings, in the core, Farhi says.
  
  He won't say how much he's spent on downtown land, dismissing totals as not important. He has a buy-and-hold philosophy, acquiring what he sees as quality real estate and holding it for the long term...
  
  City manager Jeff Fielding isn't bothered Farhi has bought so much downtown, but he says the city needs to work with him.
  
  "In a city this size, it is typical to have one or two individuals with a strong interest in the downtown, with multiple holdings. But it means we have to maintain a working relationship," he says...
  
  "He is a very savvy guy. Never underestimate him."

If he is not buying here, are we ever in trouble with our economy!

PSSSSSSSST...HAVE I GOT A STOCK DEAL FOR YOU

There goes the Star again, telling us how good infrastrucutre investing is a few days before the big June 11 Council meeting. Thank Goodness, the Star is making it so easy for Eddie to gain approval.

Be a contrarian...be very careful if you are asked to invest in infrastucture deals. If it hits the pages of the popular press, it is probably too late. You have missed out on it. It's the money boys who will make the big bucks now as individauls get involved.

DRTP is a good example....What has it achieved so far except eat up investor money?

The Star ran this story:

• "Infrastructure is prime
  Doors opening to meld public/private
  Ray Turchansky, CanWest News Service, Monday, June 04, 2007
  
  There is a growing movement afoot to match rich investors seeking new opportunities with a sector that's increasingly in need of just such an infusion -- infrastructure.
  
  In early March, William Robson of the C.D. Howe Institute issued a report on the subject: "Crumbling bridges and leaking pipes need fixing; new roads and power lines need building as cities cope with growth -- Canada needs infrastructure investment...
  
  But the Howe Institute says the time has come for the investment world to design infrastructure securities, backed by infrastructure portfolios "with adjustments to ensure a good mix of credit quality among the available units."
  
  It adds: "The time is ripe, then, for another financial innovation in Canada. Individual savers need a piece of the infrastructure action."

Here is an example of some infrastructure action that you could see bundled one day so that you can own a piece of it. Caveat emptor

• "Bridge business not booming in 10th year
  Last Updated: Thursday, May 31, 2007, CBC News
  
  The Confederation Bridge opened 10 years ago Thursday, and while it has been a success in many ways, as a business venture it is having difficulties.
  
  A group of four companies owns the bridge: OMERS, a pension fund controlled by Ontario public servants; Vinci Concessions, a French company with worldwide interests in roads and bridges; Ballast Needam, a Dutch construction company; and Alberta-based Strait Crossing.
  
  The bridge joining P.E.I. and New Brunswick got off to a bad start, with 30 per cent cost overruns in construction. But things began looking up when it opened. Tourism jumped 40 per cent that first year, and along with that came a huge increase in traffic across the Northumberland Strait.
  
  Increases continued for the next three years, but have been falling since.
  
  The drop in traffic is significant, because the group cannot make up the losses at the toll gate. An agreement with the federal government means the maximum increase in tolls in any given year is three-quarters the inflation rate. So the group is reliant on volume, which has been in decline since 2001.
  
  The other source of revenue for the bridge is a $42-million-a-year subsidy from the federal government, but the group has never seen a penny of that. That money goes to the pension funds and insurance companies in Ontario that bought the bonds in the early 1990s to create a fund to build the bridge. The bondholders also collect 80 per cent of the tolls: $25 million to $30 million.
  
  In 1998, when traffic was looking good, the bridge owners had a second bond issue of about $330 million to cover the construction cost overruns. Operating costs are also going up, in particular insurance, which took a big hike following the terrorism attacks of 2001.
  
  The group generally doesn't release financial information, but it is known that at the end of 2003 the owners got a dividend payment of $2.6 million, not very much on a billion-dollar bridge.
  
  In 2032, ownership of the Confederation Bridge will transfer to the federal government. Representatives of OMERS told CBC News they hope their investment will begin performing better before then."

Imagine owning a piece of the Detroit/Windsor Tunnel with volumes falling like a stone, security concerns, competiton from the Ambassador Bridge, a possible DRIC bridge and now a DRTP rail tunnel! Who'd invest in that! Hey, Windsor is!

BOVINE FLATULENCE

You thought I was kidding. You did not appreciate that you get information ahead of the masses by reading this BLOGsite.

You did not take me seriously when I said that DRIC should be testing the effect of cow farts on border traffic. [BLOG January 05, 2007, "Apocalypse Cow: TEOTWAWKI"] We may not need a tunnel if cows are the real problem and can save billions in tax dollars

I am sure you saw the Star story that said:

• "Carbon dioxide levels in a barn full of cows in Harrow were almost as high as a CO2 reading of belching exhaust fumes from cars outside Union Station in downtown Toronto, a Grade 8 school project shows."

It's not BS any more. Where is our Mayor and Council? They jumped on the tunnel bandwagon pretty quickly. Now they should be demanding that DRIC do this testing now!