NMSS - Business

Aero Mechanical Expanding, With the Help of State Incentives

Wed, 14 May 2008 08:51:01 -0600

While the nation's airlines were staging a comeback 3 yrs. after 9/11, a Santa Fe aviation consultant and a Dallas businessman converted a former electronics plant into a business that overhauls and repairs airliner parts. As part of efforts to reduce costs, airlines slowed acquisition of new aircraft, instead keeping older models airborne longer. In a booming market for sprucing up reused parts, Aero Mechanical Industries Inc. (AMII), which employs 94, has become part of a growing aviation-related business cluster for Rio Rancho and ABQ's West Side.

"The company decided on NM because of the tax benefits and other incentives offered to aviation industry companies, as well as a state-run program that reimburses the cost of training." Aero Mechanical has received several rounds of JTIP on-the-job training reimbursement, totaling approx. $283K for 47 employees, and was recently approved for another $162K to train 25 more. Looking to add another 25K sq.ft. to its facility and expand to 120 employees by the end of '08, the firm is working with Central NM Community College on an aviation maintenance training program. According to Rodney Doss, VP and Co-Founder of AMII, "There have been so many benefits to doing business in NM. The political and business attitude of Rio Rancho, Albuquerque, and the state is just phenomenal. It's been like that from day one."

Aero Mechanical had about $7M in revenues last year, and is on track for $12M this year, thanks in part to booming airline business in emerging economies like China and Africa.

Albuquerque Journal, May 14, 2008

ABQ Bonds Are AAA

Wed, 14 May 2008 08:44:20 -0600

This month Standard & Poor's issued a "AAA" rating to ABQ's general-obligation bonds--the highest rating possible. The improved grade from the previous bonds' "AA" rating should reduce the city's interest rate and other borrowing costs. The city's gross-receipts tax bonds had recently been upgraded as well. Factoring into the rating increases were ABQ's healthy fund balances, central role in the state's economy, and strong financial management.

Albuquerque Journal, May 14, 2008

Access 2 Capital Set to Go Live in May

Mon, 12 May 2008 09:26:45 -0600

NM Community Capital plans to improve Access 2 Capital, a Web-based road map of the state's growing business financing industry. The system incorporates detailed information about all the state's VC firms, angel and seed-stage investors, microlenders, and other sources of capital. It also includes investment tutorials and guides to making a business attractive to investors. NMCCap will incorporate Access 2 Capital, along with its newly launched interactive economic development calendar, into its various Internet and one-on-one programs. They plan to call the Internet services Link New Mexico. Access 2 Capital will be hosted at www.a2c.org by the end of May. The "Ed" Calendar is live at www.edcalendar.org.

Albuquerque Journal, May 12, 2008

NMCCap funds ABQ Natural Plaster Firm

Mon, 12 May 2008 09:11:23 -0600

New Mexico Community Capital completed a $500K investment round in American Clay, and ABQ-based manufacturer of natural clay plaster products for home and business interiors. The plasters contain no volatile organic compounds and are counted toward green building certifications.

Albuquerque Journal, May 12, 2008

Thomson-Reuters merger could grow ProLaw's market

Fri, 09 May 2008 10:37:19 -0600

Thomson Corp's $17B acquisition of Reuters Group PLC on April 17 could mean a lot more growth for Albuquerque-based ProLaw Software. Thomson offers subscription-based news and information for professionals in the financial, law, tax, scientific research and healthcare markets and Reuters specializes in financial information. Newly named Thomson Reuters, the firm has a combined $12.4B in annual revenue, employs about 50K people in 93 countries, and controls about 34 percent of market share. ProLaw--acquired by Thomson in 2001--sells specialized front- and back- office integration software to law firms, as well as providing an array of support services for Thomson's legal division. Thanks to the merger, ProLaw expects its slice of the global market to grow. That could mean more jobs in Albuquerque. ProLaw currently employs 130 people in ABQ but is housed at an office complex at Journal Center that could accommodate up to 268 people.

New Mexico Business Weekly, May 9, 2008

NM Expected to Avoid Budget Squeeze

Wed, 07 May 2008 10:03:03 -0600

Despite economic turmoil nationally and a slowing of NM's economy, the state still expects to collect nearly $6B in its main budget account in the current fiscal year, coming very close to revenue projections that were made last December. This may allow NM to avoid a budget squeeze, with revenues from oil and natural gas production serving as a financial safety net. If revenues and spending meet projections, the state expects to end the current budget year with cash reserves of more than $600M--slightly more than 10% of spending--which is a prudent benchmark for the state to cover unexpected financial problems.

Albuquerque Journal, May 7, 2008

ABQ Ridership on Record Pace

Wed, 07 May 2008 09:45:59 -0600

ABQ Ride boardings totaled 916,169 in April, up 18.8% from April, 2007. This marked the 32nd consecutive month that transit ridership has hit record levels, with ridership on its way to eclipsing the 10M mark for the first time. The NM Rail Runner Express commuter train tallied 42,634 passenger boardings in April, up 35% from April, 2007. City officials discussed the new Northwest Transit Center being built on Coors and Ellison that will be similar to the one in Uptown. The city also plans on expanding its Rapid Ride route to Cottonwood Mall area in August, eventually expanding routes to Rio Rancho.

Albuquerque Journal, May 7, 2008

Spaceport Planning Gets Serious

Wed, 07 May 2008 09:07:12 -0600

The NM Spaceport Authority plans to open for business in 2010, when Virgin Galactic is expected to send paying passengers to suborbit. Increases in Dona Ana, Otero, and Sierra Counties' gross receipts tax will contribute a total of $58M to the $200M spaceport and state government will provide the remaining funding. Construction is expected to begin in early 2009. The site layout, which is more than 90% complete, calls for a 110K sq.ft. hangar and terminal facility, infrastructure including roads and runways, with the first road to the spaceport scheduled to be built between July and October. Visitor's centers in Hatch and Truth or Consequences are also being planned. More businesses are expected to set up shop in the surrounding areas, generating dozens of full-time jobs.

New Mexico Business Weekly, May 2, 2008

Sky Magazine to Feature ABQ in 36-pg. Spread

Tue, 06 May 2008 10:12:25 -0600

ABQ will be in the spotlight in the August issue of Delta Airlines' in-flight publication, Sky Magazine. The city will be featured in a 36-page spread that is part of Sky's City Reports section that will reach 11M passengers and 3.39M readers. Albuquerque has been dubbed "the coolest city no one on the East Coast has been to." The goal and objective is to change this by writing what will be the most comprehensive editorial piece done on the city. For the next 7 weeks, a team from Pace Communications will meet with people in the community and work with local writers and photographers to determine what aspects of ABQ to highlight. They have observed that unlike much of the Southwest, which seems to borrow pieces of culture, much of what is in ABQ is original. This will not be just a visitor guide; it also will speak to people who might consider relocating or moving their companies here. The spread will include articles on the economy and the business environment, as well as lifestyle features. There is a call out to the Albuquerque business community to contribute story ideas, editorial input, and leads.

New Mexico Business Weekly, May 6, 2008

Acquisition Gives Poly-Flow New Capabilities

Mon, 05 May 2008 09:17:05 -0600

Abq-based Poly-Flow Engineering has purchased the cleaning equipment division of Minneapolis-based Entegris Inc. The acquisition gives Poly-Flow the technology to clean FOUPs--the robotic material handling equipment used to move silicon wafers between different tools. FOUPs must be cleaned regularly of metal, silicon, or other debris which can damage the wafers. Poly-Flow will also gain additional engineering capability and access to Entegris's customers as it launches a new FOUP cleaning line. The acquisition will likely require Poly-Flow to hire an additional 15-20 employees later this year, as they expect to increase their revenues by a few million a year.

Albuquerque Journal, May 5, 2008