The Westside’s first light rail line moved a giant step closer last week with the awarding of a contract to build the first $420 million phase of the Exposition light rail project.
A joint venture team of FCI Constructors, Fluor Enterprises and Parsons Transportation Group won the bid to build the 9.6-mile Exposition Metro light rail line from downtown Los Angeles to Culver City. The line will loop around the University of Southern California and then parallel the Santa Monica (10) Freeway.
FCI Constructors, which has a 45 percent stake in the project, is the California subsidiary of Flatiron Construction Corp., which in turn is the North American subsidiary of Netherlands-based Royal BAM Group. Fluor Enterprises, which has a 30 percent stake, is a subsidiary of Aliso Viejo-based Fluor Corp. And Parsons Transportation Group, which has the remaining 25 percent stake, is a unit of Pasadena-based Parsons Corp.
The awarding of the design-build contract, which combines engineering and construction into a single operation, comes just after the federal government gave its approval to the project on March 3, clearing the last regulatory hurdle.
Besides the laying of light rail track along the old Exposition Boulevard rail line, the $640 million Exposition Line project includes the construction of eight stations, the expansion of two stations, building of three park-and-ride lots, bicycle lanes and one tunnel near USC.
Preliminary construction is set to begin this summer, with the bulk of the work to begin in the first quarter of 2007. Completion is set for late 2009. Funding is still being sought for a second phase, from the terminus at Robertson and Venice boulevards to downtown Santa Monica.
Medical Roll-Up Formed
Los Angeles-based The Compass Group International LLC and Hollywood Capital Inc. have formed Anodyne Medical Device Inc. to acquire leading manufacturers of so-called medical support surfaces.
Medical support surfaces are used in the prevention and treatment of pressure wounds experienced by patients with limited mobility. Anodyne’s first acquisitions are two leading companies in the sector, AMF Support Surfaces Inc. in Corona and SenTech Medical Systems Inc. in Coral Springs, Fla.
AMF manufactures mattress replacement systems, mattress overlays, seat cushions and the like used to treat and help prevent pressure ulcers. SenTech is a leading designer and manufacturer of advanced electronically-controlled, air-based specialty surfaces.
“With expertise and manufacturing capabilities in both foam-based and air-based products, Anodyne will be focused on the research and development of new pressure-reduction technologies,” said Mark Bidner, Anodyne’s chief executive.
The Compass Group is a private investment firm focused on small- and middle-market companies in the business service, manufacturing and distribution industries. Its preferred equity investment size is from $5 million to $30 million.
Hollywood Capital focuses upon U.S.-based manufacturing companies, with special attention upon industries with no dominant player and several small competitors, typically those with $5 million to $25 million of revenue.
Footwear Company Bankruptcy
Los Angeles-based LL International Shoe Co. Inc., which distributes the DaDa Footwear brand, has filed for Chapter 11 bankruptcy protection. The company has piled up debts of about $6.5 million to its 20 largest creditors, according to court documents. However, LL International is disputing at least four of the creditors’ claims.
Among those is a claim by Taiwan-based Dean Shoes Company Ltd., which is seeking $2.5 million and had sought to collect the money prior to the bankruptcy. Irwin Feinberg, an attorney who represented Dean Shoes in its attempts to collect from LL International, said it was a “fair conclusion to draw” that the bankruptcy was filed to prevent the seizure.
Thomas Patterson, an attorney involved in the case, said a creditors committee will be formed shortly to assess the financial condition of LL International.
“It is not clear whether the business will continue to operate, whether there is funding or a successful business model that could sustain it or whether it would make sense in everybody’s view to sell the assets,” he said.
Calls to LL International, as well as a lawyer and a publicist for the company, were not returned.
Skechers Enters New Line
Skechers USA Inc. is expanding its relationship with Yakira LLC, better known as New York urban clothing powerhouse Ecko Unlimited.
The Manhattan Beach-based shoe company has signed a licensing agreement to design and develop Zoo York shoes. Ecko owns Zoo York, a graffiti-laden skateboarding apparel line.
“With Skechers’ success in the urban, fashion and athletic markets, we believe it’s the perfect company for Zoo York to make an even bigger impact in the skate industry as a complete lifestyle brand,” said Marci Tapper, president of Zoo York, in a statement.
Skechers expects Zoo York shoes to broaden the company’s distribution in skate and surf shops, as well as bolster its offerings in specialty and high-end department stores. “This is an exceptional opportunity for Skechers,” Michael Greenberg, president of Skechers, said in a statement.
In the last few years, Skechers has been beefing up its licensing business.
Kroll Acquires West Coast Firm
Kroll Inc., a global risk consulting firm, acquired InfoLink Screening Services, a privately-held Chatsworth-based company, for an undisclosed sum.
InfoLink, which was founded in 1994 by Barry Nadell and Leslie Nadell, specializes in employee screening, including background checks, drug testing and pre-employment physical exams. It caters primarily to the hospitality, retail and healthcare industries.
Santa Monica-based investment bank USBX Advisory Services LLC represented InfoLink in the transaction.
Kate Berry, Rachel Brown, Deborah Crowe, Howard Fine
