1974-1984
Having
observed our 50th year in 1974, a reception was
held at the Detroit Athletic Club to toast this
golden anniversary and some amazing achievements.
The first 50 years produced in excess of $1 billion
of projects.
Robert C. Mair, who had served very ably as a Director
and Treasurer of the Company, tenured his resignation
in June of 1975. Ben C. Maibach III was
named Executive Vice President and elected a Director;
here was planted another seed to promote and
insure the continued growth and stability of the
Company. I was elected Chairman of the Board, and
Rollie Wilkening was appointed President.
Another milestone was reached when revenues exceeded
$108 million and the return on equity was over 30%.
To handle this increased volume, in August of 1976,
Floyd Wieland was elected Senior Vice President;
William Dryburgh, the Project Manager on the Pontiac
Silverdome, was named Vice President; and Thomas
Brady was appointed Director of Marketing.
One objective that had been achieved was diversification
of services. Industrial projects made up most of
our volume and our health care division continued
to grow. Contracts in hand included several office
and high rise projects and a few water filtration
and sewage treatment plants. A Special Projects Division
was established for the construction of stadiums
and arenas.
The position of Director of Community Relations was
filled by Bernie Webb to further strengthen the Company’s
policy of fair employment practices to all people,
regardless of race, creed or sex.
An analysis of Mead & Mount of Denver revealed
that it was not essential to our progress and the
Board directed the phasing down of the operation
and incorporating their endeavors into the parent
company. This phase out was completed in 1977.
In recognition of our need for an in-house counsel,
Eugene Twitchell was hired. Obviously we were living
in a litigious society and it was wisely understood
that "an ounce of prevention is worth more than
a pound of cure."
Also in 1977, Thomas Madden, who had been with the
Company since the early 1950’s, was elected
Assistant Vice President to assist in field operations,
and Mark Bahr was named Treasurer and elected a Barton
Malow Director.
1979 was a banner year with revenues reaching $133
million. Floyd Wieland retired on May 31, 1979, and
Tom Brady was elected to the office of Vice President
in December of 1979.
Sadly, on October 19, 1979, Carl Barton, the father
of our Company, died at the age of 82. During his
lifetime he made outstanding contributions to the
community and our Company. I will never forget his
kindness, wisdom and consideration for me personally,
and how it has impacted my life in unfathomed ways.
The Board of Directors determined that it was necessary
to continue to pursue work beyond Michigan. The impact
of foreign automobile competition impacted automotive
work. We were grateful to see the Health Care Facility
Group expanding to make up for the loss of volume.
The firm continued to move forward as one of the
leaders of our industry.
The subsidiary of Barton Malow Pontiac was established
to allow us to be a partner in the Downtown Pontiac
Development Company and the Phoenix Center project
was a major part of that plan.
The Company has continued the practice of employment
agreements between senior officers established by
Mr. Barton and Mr. Malow. Rollie Wilkening and I
established a buy and sell agreement to provide for
an orderly transition of authority, direction and
stock control of the Company when Rollie retired.
This proved to be a very wise decision and we are
grateful for the recommendation and advice of our
legal and accounting firms.
During this time as Chief Executive Officer, I was
required to consider a difficult decision — how
could we provide continuity of operations, including
how we might have the financing necessary to carry
on a growing workload and the essential bonding of
those projects.
Unsolicited, we received two inquiries for the possible
purchase of my controlling interest. First was the
Dumez Company from France, one of the largest international
contractors. Their desire was to have an operation
in the United States and to make a major investment.
The other was the Parsons Corporation of California,
who wanted to get a foothold in the industrial market,
particularly the automotive industry. Both firms
were impressed with our workload and profile of accounts.
Both would have been willing to pay premium for controlling
interest. Several meetings were held to investigate
the possibilities that a sale might have, first on
our employees and clients and then on my family and
myself. After several family conferences, one chief
factor came to the forefront. Our great concern was
that change in ownership might drastically affect
career opportunities for our dedicated and conscientious
employees. The philosophy of C.O. Barton and Arnold
Malow helped make the decision. In spite of the potential
for my immediate personal gain, we decided to keep
the management and ownership within the established
structure and practice.
In the 1980’s, several factors
were evident; many of the old line companies who
had been our competitors, either closed their doors
or merged with others and a few, unfortunately, had
gone bankrupt. A worldwide
recession loomed about us and the industry was suffering
a decline and profits were dropping. There was a
general degree of pessimism but, by the grace of
God, Barton Malow continued to forge ahead. Barton
Malow had another banner year in 1980. Revenues were
over $165 million and return on equity was 25%.
Mark Bahr was appointed Vice President, Mike
Ferber (who was the chief CM estimator) was appointed Assistant
Vice President and Chief Estimator and Bruce
Sinclair (a project administrator) was named Vice President.
On June 1, 1980, Donna Hartzler, who had been my
executive secretary for 15 years, was elected to
the office of Assistant Secretary of the Company’s
Board of Directors.
After having completed the General Motors Assembly
Division World Headquarters, we were honored when
GM awarded us a construction management contract
for the Orion, Michigan, assembly plant. This 3.2
million square foot complex was possibly one of the
largest private contracts awarded in the United States.
The structure was for the production and assembly
of a complete new line of restyled, short wheel base,
front end drive automobiles designed to be state-of-the-art
with all of the latest technology, including robotics.
Time was extremely important and we were to build
the project in concert with the GM Assembly Division,
Plant Engineering and Construction.
Our mission was to schedule, analyze and determine
bid packs, purchase and supervise the construction,
as well as purchase and install the necessary equipment
to bring this facility on line as expeditiously as
possible — unquestionably the greatest challenge
the firm ever had. To our amazement, General Motors
awarded us the second mirror plant to be constructed
in Wentzville, Missouri, just west of St. Louis.
The total of these two awards was in excess of $1
billion. Most of our competitors were severely impacted
by the recession; consequently there was a universal
reduction of staff and we were able to bring on board
very proven and capable individuals who played a
beneficial part in this dramatic undertaking.
Both plants were brought on line in time for General
Motors to produce their new line of vehicles. After
50 years of association with GM, we were very grateful
for the confidence they placed in our firm. Obviously
we were honored to be chosen for the second project
and to be able to build the plants simultaneously.
Rollie Wilkening consented to continue as President
for another year which gave Ben III an opportunity
to gain more experience.
In April of 1981, Ben Maibach III assumed the title
of President; Rollie Wilkening advanced to Vice-Chairman
and Secretary; Mark Bahr was promoted to Executive
Vice President and Chief Financial Officer; Mike
Ferber was appointed Vice President of Estimating/Engineering;
and John Wieland (a project administrator) was named
Vice President. John had been placed in charge of
the GMAD projects and in spite of the depressed economy
all around us, another huge milestone was reached
as the ’81 year saw our volume almost doubled
to over $262 million and profits rose another 5%.
Edward R. Jarchow, a
C.P.A. in the auditing department at Ford joined
the Company in January of 1981 and became Controller.
It is almost unbelievable that in 1982 in the midst
of somewhat of a worldwide recession, our volume
soared to $738 million and the stockholders were
delighted with over a 37% increase in their holdings.
Recognizing the need for reorganization, we established
several divisions with an officer heading each; Commercial/Institutional,
Health Facilities and Special Projects.
In recognition of ongoing progress, General Motors
very graciously awarded us a third identical plant — the
GMBOC Detroit Hamtramck Assembly Center.
Dykema, Gossett, Spencer, Goodnow & Trigg had
been our legal firm for many years. From inception,
Collins, Buri & McConkey, or their predecessors,
were our accountants and we appreciate their cooperation
and partnership in our business.
As projects became harder to procure, a marketing
plan and department were developed. Today we appreciate
the contribution this division has made to our growth.
The day when the firm’s principals were the
primary salespeople has dramatically changed. The
clients are much more astute and the necessity to
answer their questions during the selection of a
contractor is essential.
Another amazing development is an almost complete
change of operations. Early in my career, practically
all general contractors employed most of the basic
trades and did most of their work in-house. As technology
has increased we see the development of specialty
firms which allows closer supervision and better
monitoring of work put in place.
Since 1924, probably no year stands out as much as
1983. The Company had attained national acclaim.
According to Engineering News Record we
were the only construction company among the top
25 which performed solely domestic work. Barton Malow
was in the top ten in construction management and
in the top 25 in overall volume, listed among the
giants with revenues at $853 million with profits
continuing to be very impressive. Two of the three
GM plants had been successfully brought on line,
and with this accomplishment of completing this portion
of a gigantic opportunity was a completely
new dimension to the ability and capacity of the
Company.
Our operation in Florida was a merit shop and on
September 1, 1983, David M. Thomas came on board
and was elected to the office of Vice President at
Barton Malow Southern. The name change was necessary
because the area of control reached far beyond the
borders of Florida.
Also that year Bill Dryburgh retired. He had served
seven years as a Vice President and played a very
active role and rightly received well deserved
accolades for his personal direction in building
two air inflated stadiums, the Silverdome and
Metrodome. Bill continued as a consultant, particularly
in relation to the special projects areas. Mike
Ferber tendered his resignation to go into business
for himself after 12 years of devoted service.
Space age technology has allowed for higher and stronger
structures to be built with unique and novel designs.
Research has developed lighter materials which are
better able to endure the harshness of a changing
environment. Dramatic changes have come not only
in the type of construction but as well as the process,
style and techniques of a broad scope of the industry.
Time is money and there is no question that scheduling
must reach far beyond the building proper and into
areas such as the environmental impact, the availability
of natural resources as well as equipment and materials.
Value engineering recognizes not only the initial
cost, but operation, maintenance and longevity. The
net result is the development of many specialty firms
not only in the construction phase but also in the
architectural/engineering/design phases.
The whole process is vastly different from the days
of our forefathers and to be successful, one must
be progressive, considering the much broader aspect
of the building or project alone.
1984-1994
Written by Ben Maibach,
III, President
Over the last ten years, rapid change has taken place
in the world. Barton Malow’s history since
1984 mirrors the expeditious events that have taken
place around us.
In 1985, a dedication ceremony took place for the
Mayo Clinic in Jacksonville, Florida, and a new door
opened when Domino’s Farms in Ann Arbor, Michigan,
awarded Barton Malow the first of what became a five-phase
program to build their corporate headquarters.
In an effort to consolidate Detroit-based operations,
in 1986 Barton Malow established a new headquarters
in the American Center Building in Southfield, Michigan.
We also made great strides to expand our geographic
base and our services. The same year, an office
opened in Atlanta and The Argos Group was established.
In March of 1986, Shriners Hospitals for Crippled
Children hired Barton Malow to build a hospital
in Greenville, South Carolina, which proved to
be another successful project. Our best marketing
tool is still a job well done, which became evident
in the years to come.
Three sizable projects started in 1987 — the
nationally acclaimed Minneapolis Convention Center,
a $200 million program at Beaumont Hospital in Royal
Oak, Michigan, and the Wayne County Metropolitan
Airport. We continue to work at Beaumont and the
airport to this day.
Ben Maibach, Jr., Chairman of the Board, celebrated
50 years of service at Barton Malow in 1988. Ben
started out as a laborer in 1938 and worked his way
up through the company, eventually acquiring a majority
ownership stake. The Company hosted an anniversary
celebration in Detroit to honor his contributions
to the firm and our industry.
After more than 20 years, a new corporate identity
was established in 1988 and a new Barton Malow logo
introduced. Corporate colors were changed from orange
and black to blue and gray.
Annually, the Engineering Society of Detroit (ESD)
selects seven Michigan projects for the state’s
premiere design and construction awards. Award submittals
are comprehensive and judging takes place out-of-state.
Barton Malow won four of the seven awards in 1988
for the following projects: GMF Robotics, General
Dynamics, Allen Park Pumping Station, and the Michigan
Biotechnology Institute.
The Fall of 1988 stands out in my memory as one of
the more difficult times I have experienced in my
last 25 years at Barton Malow. The Company had a
bad general contracting job in Pennsylvania, and
operations at our Barton Malow Thatcher subsidiary
in Atlanta were not going well. We were facing potentially
costly lawsuits and had challenges to cleanup. Instead
of blaming others for our problems, we stood accountable
for our responsibilities and worked hard to bring
project disputes to amicable conclusions. Due to
the diligent efforts of committed employees, we were
able to put our problems to bed and move forward.
We discontinued the Barton Malow Thatcher operations
and closed our Sarasota, Florida, office. The Pennsylvania
job claim was settled out of court.
The east coast market offered opportunities and we
opened a Mid-Atlantic office in 1989, just in time
to pursue the Baltimore Orioles stadium, which we
won in 1990. The new baseball field was hailed as
a new standard for open-air stadiums. The year 1990
proved to be a banner year for sales. Other projects
awarded to Barton Malow included the Troy High School,
Sarasota Water Treatment Plant, Chrysler Jefferson
North Assembly Plant, and an athletic complex for
Carnegie Mellon University. In June 1990, Ford Motor
Company gave us the contract for the Allen Park Test
Lab, which has opened doors for us leading to additional
Ford work.
An impressive team performance on the Baltimore Stadium
and positive press were factors that helped Barton
Malow win the Georgia Dome project in 1991. The Health
Facilities Group continued their impressive track
record for repeat work when McLaren Regional Medical
Center and Shriners Hospitals for Crippled Children
honored us with contracts. We are servicing these
clients to this day.
The Education Group began to diversify by opening
a Milwaukee, Wisconsin, office and offering facility
audit and master planning services. The first major
test of our capabilities came when the Milwaukee
Public Schools selected Barton Malow to audit 154
schools, which was successfully completed. The Education
Group won $240 million of K-12 school work in 1991,
and earned a leadership position in the Michigan
education market.
National publicity regarding the Baltimore stadium
and the Georgia Dome led to another baseball stadium
win in 1992. Denver received one of the new expansion
teams, the Colorado Rockies, and Barton Malow was
selected to build the new stadium. Repeat work for
long term healthcare clients was also a theme in
1992. Munson Medical Center, Shriners, and Marquette
General Hospital all presented Barton Malow with
additional work.
The Mid-Atlantic office won the National Aquarium
project in Baltimore and the Milwaukee office secured
the contract for the Milwaukee County Children’s
Court Center in 1992. It is doubtful we would have
won either project without local offices, since politicians
prefer to award contracts to local firms.
It is rare to build four or five major projects for
a single healthcare client. In 1993, Shriners Hospitals
for Crippled Children selected Barton Malow for three
more projects in Salt Lake City, Houston, and Sacramento
respectively. To date we have been awarded ten Shriners
Hospitals in nine different states.
In 1994, we formally launched our TQM program. Barton
Malow was named the 1994 Corporation of the Year
by the Michigan Minority Business Development Council.
In July of this year, Amerisure Company presented
Barton Malow with a safety award for having 25% below
the National AGC average for construction injuries.
In addition, we have made significant steps to further
diversify our professional staff. In 1994, 46% of
new hires were female and 24% minority. It is rewarding to see investments we made in expanding
our services pay off. Establishing Barton Malow Rigging
Co. in 1984 and The Argos Group in 1986 were formidable
tasks. Many people have worked hard to make our vision
a reality. Both operations are profitable and busy.
It is reassuring to know that hard work and integrity
still pays off. Over 65% of our work is from repeat
clients who have learned we are dependable. We appreciate
the trust our clients place in us and are committed
to earning their continued support.

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