Page 1

INSIDE: Facts And Figures pg. 58 + Monthly Economic Indicators pg. 62






Top Achievers are recognized for their countless volunteer hours and dedication to the Ambassador Program’s mission of serving as an active volunteer extension of the Knoxville Chamber to cultivate, promote, and maintain positive relationships between the Knoxville Chamber, its members, and the community.





NEW MEMBERS / NEW PREMIER PARTNERS 42nd Street (865) 382-7007 Business & Professional Services

Get It Together LA! - Chris McKenry (323) 810-1022 Residential Services

Allstate - Dale Skidmore (865) 321-8142 Insurance: Property & Casualty

GetMorePC (865) 406-4015 Computer & IT Services: Consultants

Chili’s Kingston Pike (865) 584-8195 Restaurants

GoHealthyTn - Arbonne Int. (865) 406-4959 Personal Services: Beauty Supplies

Pellissippi (865) 470-8664 Restaurants Darron Kidwell, Financial Advisor, Edward Jones Investments (865) 406-9398 Financial Services: Planning Elite Protection (865) 851-6238 Building & Grounds Maintenance: Security Systems



Jones Landscaping & Grounds (865) 368-4459 Building & Grounds Maintenance: Landscaping

Professional Bartending School of Knoxville (865) 693-6609 Education & Training

Juicing Partners II, LLC (844) 584-2322 Restaurants

PROFILE by Sanford Healthcare Providers & Services: Weight Loss

MomForce Network (865) 216-4170 Employment, Career, & Staffing Services

Scentsy Independent Consultant Michael Wellnitz (715) 292-7010 Shopping: Specialty Sole in the City (865) 249-7329 Shopping: Women’s Clothing

Gridwell (865) 696-6229 Business & Professional Services: Business Advisors & Consultants

Motel 6 Knoxville West (865) 690-9777 Hotels & Lodging

Imagination Forest (865) 947-7789 Shopping: Specialty

Old Time Pottery Inc. (615) 983-5676 Shopping: Specialty

TeamLogic IT (865) 851-4179 Computer & IT Services










K N O X V I L L E C H A M B E R | 56

The Compounding Pharmacy of America (865) 243-2488 Healthcare Providers & Services: Pharmacies Vested Business Brokers (423) 748-3665 Business & Professional Services: Business Brokers, Financial Services, Real Estate: Commercial Well-Key (865) 428-2773 Healthcare Providers & Services

LETTER FROM THE CHAIRMAN I am honored to serve as the chairman of the Knoxville Chamber’s Board of Directors this year. I feel fortunate to be working with the talented and knowledgeable business professionals on the board, as well as the skilled Chamber staff, as we fulfill the organization’s mission of driving regional economic prosperity. The Chamber has been at the heart of local business efforts for 145 years, and it is more important to our region’s success now than ever before. Current initiatives such as workforce development, attracting new businesses, job creation, and advocating for pro-business policies are vital to moving our community forward. We live in a beautiful area with an affordable cost of living, excellent quality of life, and many cultural opportunities. The Great Smoky Mountains are nearby, and Knoxville is gaining recognition for its system of connected parks, greenways, and trails known as the Urban Wilderness. Oak Ridge National Laboratory is a tremendous asset to the KnoxvilleOak Ridge Innovation Valley, as it generates scientific breakthroughs and facilitates industry’s adoption of new materials, designs, and manufacturing methods. And our central location and proximity to major highways, rivers, and McGhee-Tyson Airport make us a convenient transportation hub for new businesses. These strengths make Knoxville attractive to new companies, but we must be able to provide the sophisticated workforce new businesses require. We must do more to build on these strengths. The success of our members begins with workforce development, which must be our top priority. All of our members need employees who are skilled, but more importantly, have the ability to learn new skills as the market demands. A workforce skilled in STEM – science, technology, engineering and mathematics – is important now and will become increasingly essential as more companies seek knowledgeable and technologically savvy workers. Public education reform has become a focal point for the Chamber because today’s students are tomorrow’s workers. We need to ensure

our workforce pipeline meets current and future employer needs by collaborating with K-12 and higher education institutions to improve student achievement. Advocating for Common Core State Standards and supporting the University of Tennessee’s efforts to become a top 25 public research university are two priorities for workforce development. Advocacy is an integral tool for workforce development and other major projects at the Chamber. One of the Chamber’s key roles is representing the business community’s interests in matters taking place at the state capitol and with local leaders. The Chamber serves as a reliable resource for well-considered public policy and advocates for regulations that are in the best interest of the broader business community. The health and growth of our business community affects everyone. Businesses drive the local economy, employing people, and providing the market for the exchange of goods and services. They support community causes and cultural organizations, which enhance the quality of life in our region. We are fortunate to have many national and international companies headquartered here. These companies and their executives power the economy, improving the quality of life for all, but also give back to the community. Much good is accomplished through corporate donations and executives who volunteer their time to community causes. It is in everyone’s best interests for local businesses to flourish. I look forward to working with you in my role as chairman this year. I will be pushing for quantifiable results – better educational outcomes and workplace skills, new jobs, and new companies that will enhance our region. I encourage your active participation as we lead the regional business community forward.

Patrick Birmingham Publisher, Knoxville News Sentinel

K N O X V I L L E C H A M B E R | 57

2013-14 FACTS & FIGURES The Knoxville Chamber has three objectives it is focused on as it initiates its new Strategic Plan which will guide the organization through 2017 – to ENGAGE the business community, to STRIVE for distinction, and to INFLUENCE the business climate. The metrics associated with each of these objectives provide a good barometer of the Chamber’s accomplishments over the past year.

OBJECTIVE: To INFLUENCE the business climate…

3,273 1,336

Number of net new jobs created by business expansion or relocation in Innovation Valley.


Capital investments for new or expansion projects in the Innovation Valley.

Number of relocation packets distributed to individuals looking to move to the area.

1.5%/$43,398 Increase in annual wages across Innovation Valley and the average salary.


Number of minority-, veteran-, and woman-owned small businesses provided with one-on-one counseling through the Propel Program.

OBJECTIVE: To STRIVE for distinction…


Second consecutive year of setting new member sales revenue record.

$47,486 Increase in Chamber net assets.

PLATINUM Received TVA Platinum Sustainable Community certification for the City of Knoxville.


Mark Field, senior vice president, received his Certified Chamber Executive designation from the American Chamber of Commerce Executives.


Ashleigh Adkins’ career membership sales figure which garnered her the elite Platinum Sales Achievement Award from the American Chamber of Commerce Executives.

K N O X V I L L E C H A M B E R | 58


OBJECTIVE: To ENGAGE the business community…




Membership retention rate. Second consecutive year of setting an organizational record.


Number of research requests processed by the Chamber’s research specialist.


Number of volunteer hours dedicated to the Chamber by its board members, committee members, and Ambassador program.


@K_Chamber Followers

Knoxville Chamber Total Likes

23K/150K Number of views the Chamber’s YouTube Channel received during the 2013-14 fiscal year and the estimated number of minutes watched.



Number of promo page views on, a 55% increase over prior year.

Number of events hosted by the Chamber and the number of people who registered for those events.

K N O X V I L L E C H A M B E R | 59

LETTER FROM DR. THOM MASON Innovation Valley completed a banner 2013-14 fiscal year that was defined by historic capital investments, new job creation, new businesses, and business expansions. More than 3,270 new jobs and $515 million in capital expenditures were created in the region last year. Some of the highlights include Fresenius Medical Care, the world’s largest provider of products and services for kidney dialysis, bringing its East Coast manufacturing operations to Innovation Valley. With one of the largest announcements in recent history, Fresenius will create 665 jobs and bring a $140 million capital investment to Knox County. Additionally, Innovation Valley hosted two events for more than 200 young professionals across the region as part of the Innovation Valley Young Professionals (IVYP) strategic initiative. It is important that we, as a region, focus on retaining young, skilled, ambitious professionals. IVYP provides the area’s many young professional organizations with a chance to come together, build relationships, and share experiences. We’ve had a great start towards achieving the goals put forth in our Innovation Valley Blueprint 2.0 five year strategic plan. We will continue to build on the momentum of 201314 as we look to capitalize on opportunities that are still emerging. However, we must ensure we are positioning the region for success. We must be prepared with an inventory of available sites to meet the needs of corporate and industrial prospects, and provide a workforce with the desired skillsets companies require. This will take continued focus and effort from all of us in order to maintain this pace in our region. As chairman of the Innovation Valley Board of Directors, I encourage you to participate and be involved in our economic development efforts. Together, we will realize the return on investment benefits all.

Dr. Thom Mason Chairman, Innovation Valley Board of Directors

K N O X V I L L E C H A M B E R | 60

Innovation Valley completed a banner 2013-14 fiscal year that was defined by historic capital investments, new job creation, new businesses, and business expansions. All of these impressive accomplishments have resulted in a strong start toward achieving the goals set in Innovation Valley’s five-year strategic plan, Blueprint 2.0.



Capital Investment (In Millions)

Leisure Pools



SIC 108 $3.8

“In Knoxville, we’ve found a home with an excellent workforce pool, a facility that will work well for our purposes, and a location that will enable

FIT 109 $5.4

us to serve our customers in the

Fresenius Medical Care



K12 Inc.



eastern half of the U.S. more

Flowers Foods




Local Motors



Wetekam Monofilaments



– Troy McGhee, Vice President of Manufacturing for Fresenius Medical Care

Innovation Valley offers its stakeholders an exceptional return on investment that can be measured two ways: Cost Per Job = Innovation Valley’s Total Budget/Number of Jobs Created

Return On Investment = Total Regional Capital Investment/Total Innovation Valley Budget

Innovation Valley

$808 per job

Innovation Valley


Innovation Valley 2.0

$373 per job

Innovation Valley 2.0


K N O X V I L L E C H A M B E R | 61


(September 2014)

NOTES - Knoxville MSA includes: Anderson, Blount, Knox, Loudon & Union Counties.



Resident Labor Force Knox Co. Knoxville MSA Tennessee U.S.

% Change Sept. ’13Sept. ‘14

Sept. 2014

Aug. 2014

Sept. 2013

% Change Aug. ’14Sept. ‘14

226,470 355,500 3,000,000 155,903,000

227,910 357,430 3,010,900 156,434,000

232,160 365,440 3,103,200 155,536,000

-0.6 -0.5 -0.4 -0.3

-2.5 -2.7 -3.3 0.2

344,700 2,831,000

343,300 2,806,100

335,400 2,769,900

0.4 0.9

2.8 2.2

13,360 21,680 218,850

15,810 25,180 246,860

17,110 27,850 282,690

-15.5 -13.9 -11.3

-21.9 -22.2 -22.6

5.4 5.6 6.6 5.7

6.3 6.4 7.4 6.3

6.6 6.8 8.1 7.0

-0.9 -0.8 -0.8 -0.6

-1.2 -1.2 -1.5 -1.3

Non-Ag Employment Knoxville MSA Tennessee

Residential Closings Residential Inventory Median Residential Price

Sept. 2014 1,148 11,320 $150,000

Unemployment Rates Knox Co. Knoxville MSA Tennessee U.S.

Sources: Tennessee Dept. of Labor & Workforce Development/U.S. Bureau of Labor Statistics


% Change Sept. ’12Sept. ‘14 0.1 0.5

Sept. ’13-‘14

Aug. ’13-‘14

Sept. ’12-‘13

1.5 1.7

1.5 1.7

1.4 1.2

0.0 0.0

% Change Sept. ’13Sept. ‘14

*Southeast Region Avg. U.S. Avg. Source: U.S. Bureau of Labor Statistics

Knoxville (City)

Total Single-Family Multi-Family

Aug. 2014* 16 16 0

Aug. 2013 22 22 0

% Change Aug. ’13Aug. ‘14 -27.3 -27.3 0.0

Knox Co.

Total Single-Family Multi-Family

109 109 0

125 123 2

-12.8 -11.4 -100.0

Knoxville MSA

Total Single-Family Multi-Family

159 159 0

150 148 2

6.0 7.4 -100.0


Total Single-Family Multi-Family

1,472 1,372 100

1,636 1,257 379

-10.0 9.1 -73.6

Knox Co. Knoxville MSA Tennessee

Sept. 2014

Aug. 2014

Sept. 2013

% Change Aug. ’14Sept. ‘14

49,027,309 68,727,415 622,113,570

48,326,011 68,619,708 629,734,407

46,711,449 65,761,292 590,714,853

1.5 0.2 -1.2

5.0 4.5 5.3

13,346,911 19,304,423

12,951,136 18,311,085

1.1 0.0

4.2 5.4

% Change Sept. ’13Sept. ‘14 5.8 7.1 3.3 8.0 2.7 7.3 2.6 -1.9 13.5 8.1 5.1 12.8 8.2 2.7


Passengers Cargo

July 2014 168,680 6,046,162

June 2014 164,397 5,466,645

July 2013 162,233 6,797,296

% Change June ’14July ‘14 2.6 10.6

% Change July ’13July ‘14 4.0 -11.1

Source: Metropolitan Knoxville Airport Authority

Local Sales Tax Knox Co. Knoxville MSA

*All 2014 building permit data is preliminary and therefore subject to revision throughout the year. Sources: U.S. Housing & Urban Development – SOCDS – State of the Cities Data Systems; U.S. Census Bureau – Building Permits Survey

*South – City Size Class B/C


1,156 11,709 $145,900


CONSUMER PRICE INDEX (CPI) - ALL ITEMS % Change Aug. ’13Sept. ‘14

Sept. 2013

% Change Sept. ’13Sept. ‘14 -0.7 -3.3 2.8

Source: Knoxville Area Association of Realtors

Available Labor Knox Co. Knoxville MSA Tennessee

Aug. 2014 1,294 11,387 $155,000

% Change Aug. ’14Sept. ‘14 -11.3 -0.6 -3.2

13,496,108 19,296,656

Source: Tennessee Dept. of Revenue

RETAIL SALES - NATIONAL (IN MILLIONS OF DOLLARS) Category Total Retail Sales Building Materials Clothing Stores Electronics & Appliances Food & Beverage Stores Food Svcs & Drinking Places Furniture & Home Furnishings Gasoline Stations General Merchandise Stores Health & Personal Care Stores Miscellaneous Stores Motor Vehicle & Parts Sales Non-store Retailers Sporting Goods/Books/ Hobby/Music

Sept. 2014

Aug. 2014

424,608 26,944 18,997 8,574 53,782 46,484 8,279 44,635 50,896 24,655 10,332 86,964 37,193

455,566 27,488 22,220 8,593 57,067 49,716 8,715 47,892 56,703 24,779 10,667 95,927 37,431

401,379 25,167 18,387 7,937 52,354 43,321 8,073 45,522 44,835 22,814 9,827 77,071 34,381

% Change Aug. ’14Sept. ‘14 -6.8 -2.0 -14.5 -0.2 -5.8 -6.5 -5.0 -6.8 -10.2 -0.5 -3.1 -9.3 -0.6





Sept. 2013

EST. 1869 For more information on research, contact Joe Riley,

Source: U.S. Census Bureau – Advance Monthly Retail Trade Report

K N O X V I L L E C H A M B E R | 62

EXPANSIONS OVER $5M Company Jobs Aisin Automotive Casting Tennessee, Inc. 81

Capital Investment (In Millions) $53.8


ARC Automotive



Knoxville Locomotive Works, Inc.



NEW JOBS Goal 2,300 Result 3,273

WS Packaging Group, Inc.



Arcelor Mittal



Eagle Bend Manufacturing







Denso 293 $88

Goal Result

*Represents a sample of regional expansions over $5 million

“This expansion in Knoxville will allow us to meet the changing and growing needs of our customer base. It also will enable us

$300 million $515 million

WAGE INCREASE Goal 2.0% Result 1.5%

to leverage a strong business environment to create additional employment opportunities.” – Rex Lane WS Packaging CEO

K N O X V I L L E C H A M B E R | 63

UT Basketball Coach Tyndall Speaks at Premier Partner Event

Studio Four Design Inc. staff pose for a photo with University of Tennessee men’s basketball coach Donnie Tyndall at an exclusive Premier Partner at Thompson-Boling Arena.

Knoxville Chamber Premier Partners were treated to an exclusive event with Tennessee men’s basketball coach Donnie Tyndall on Oct. 16. The sold-out event, sponsored by Studio Four Design Inc., gave Premier Partners a chance to hear the new coach talk about the upcoming basketball season. With only four returning players and nine newcomers to the team, Tyndall said he has one of the least experienced teams in the SEC. However, he sees that as a challenge and not as a disadvantage. “We’re trying to be the most overachieving team in college basketball,” Tyndall said. “I’ve told our team that I’m not the best coach in the world and we might not be the most talented team in the world, but we can be a special group. And to overachieve and to do the things we want to this season, we need your support.” In addition to overachieving on the court, Tyndall also said he wants his team to have that same mindset in the classroom. “Academics is our top priority,” Tyndall said. “Our emphasis and most important thing to these young guys is that they will leave Tennessee with a degree.” Check out the video of Tyndall’s talk on the Chamber’s YouTube channel, com/knoxvillechamber

Sponsored by:

NOVEMBER - MEMBER ANNIVERSARIES Since 1869, the Knoxville Chamber has been the leading voice for business in our region. Each of these businesses are celebrating milestone anniversaries as Chamber members during the month of November. Thank you for your commitment to the Chamber and the community!



World Travel Service 1954 Wood Realtors 1956 Beverage Control, Inc. 1961 Stowers Machinery Corporation 1961 Gerdau 1963 Weigel’s Stores, Inc. 1964 Knoxville Area Transit 1967 Addicks CPA Firm, LLP 1971 Knoxville Academy of Medicine 1975 Stonemill Log & Timber Homes 1975 Allied Toyotalift 1976 Markman’s Diamonds and Fine Jewelry 1976 R. H. Sinclair Construction Company, Inc. 1976 Southern Management and Development, LP 1976 Club LeConte 1978 Hilton Knoxville 1981 Ackermann PR 1982 Burkhart & Company, PC 1982

25 – 30 YEARS


FMB Advertising 1986 Duncan for Congress 1987 West Chevrolet, Inc. 1987 Wood Printing Company 1989 Atchley, Cunningham & Shoemaker 1989

20 – 24 YEARS


Kelso-Regen Associates, Inc. 1991 NHC HealthCare, Knoxville 1992 Randstad USA 1992

15-19 YEARS


Construction Plus, Inc. The Grove at Deane Hill BACO Realty Corporation Commercial Lighting Supply, Inc Fountainhead College of Technology Lawhorn CPA Group, Inc. Home Builders Association of Greater Knoxville

1995 1998 1998 1998 1998 1998 1999

10 – 14 YEARS


Monterey Mushrooms 2000 Knoxville Habitat for Humanity 2000 Heritage Lake at Westland 2000 SERVPRO of North Knoxville 2001 Tennessee Brokerage Agency, Inc. 2001 Knox County Schools 2001 Technology for Energy Corporation 2001 M & M Development Company, Inc. 2001 Tennessee Orthopaedic Clinics 2002 Valliant Harrison Schwartz & Green 2001 Harmony Family Center 2003 Walker Springs Apartments 2004 Ridgeview Terrace of Life Care 2002

K N O X V I L L E C H A M B E R | 64

Knoxville Marks Manufacturing Day with Opening of New Exhibit

The Knoxville community celebrated National Manufacturing Day on Oct. 3 with the opening of a new exhibit at the East Tennessee Historical Society. Made in Tennessee: Manufacturing Milestones, presented by the Alcoa Foundation, explores the state’s rich manufacturing tradition. From pencils and aluminum to Mountain Dew and Moon Pies, the exhibit features a wide variety of Tennessee-produced products and examines the past, present, and future of manufacturing in the state. Knoxville Mayor Madeline Rogero; Rhonda Rice, executive vice president for the Knoxville Chamber; Ken McMillen, location manager for Alcoa Tennessee Operations; and Gary Human, regional director of the Tennessee Department of Economic & Community Development, gathered to officially open the exhibit with a ribbon cutting ceremony. The exhibit will be at the Historical Society until Feb. 1, 2015.

Premier Partners Get a Taste of Ole Smoky Moonshine at Excusive Event Knoxville Chamber Premier Partners enjoyed an evening with Ole Smoky Moonshine founder Joe Baker at an exclusive event held at the Stables at Hunter Valley Farm on Sept. 25. During the event, sponsored by Food City, Premier Partners got a chance to taste a variety of Ole Smoky Moonshine flavors with Baker and hear the history behind the 200-year-old family spirit recipe.

PREMIER PARTNER PROFILE For 10 years, Messer has dedicated itself to delivering quality construction and client experiences to the Knoxville area. Messer specializes in construction for healthcare, higher education, life science, and industrial sites. Engineering News-Record has consistently ranked the company among the country’s 100 largest contractors, and in 2013 Messer put in place more than $830 million in commercial construction. The company’s portfolio boasts impressive projects like the John D. Tickle Engineering Building at the University of Tennessee, Maryville College’s Clayton Center for the Arts, Carter Elementary School, and Scripps Networks Interactive’s data and technology centers. The company is currently working on remodeling Tennova’s Lakeway Regional Hospital, redeveloping UT’s west campus, and constructing UT’s new Science Laboratory Facility on the former site of Strong Hall. Allen Begley, senior vice president and Messer’s Knoxville operations lead, said the decision for the Cincinnati-based company to open an office in Knoxville was based off potential for long-term growth and quality of life for its employees. “Knoxville is a vibrant community with a strong foundation of health care, higher education, life science, and industrial clients – Messer’s core markets. All of the necessary factors were present to enable growth of the company’s client base and local work force,” Begley said. “In addition, Messer strives to build better lives for its employees and the community, and it was (and has continued to be) clear that Knoxville offered an environment conducive to that goal.” Messer is not only dedicated to quality construction, but also giving back to the community. In the last decade, the company has invested countless volunteer hours and more than $465,000 into over 60 Knoxville-area community organizations. Messer employees currently sit on 15 boards and committees for community organizations throughout greater Knoxville.

Sponsored by:

K N O X V I L L E C H A M B E R | 65

Annual FootballThemed a.m. Exchange Draws Big Crowd



a.m. Exchange at Mercedes of Knoxville 8 – 9 a.m. | 10131 Parkside Drive, 37922 Sponsored by:

More than 120 businesspeople attended the Knoxville Chamber’s a.m. Exchange at Image Matters on Oct. 2. This was the ninth year Image Matters has hosted the “beat Florida” themed networking event. All Occasion Catering provided a tasty breakfast buffet for guests as they mingled in the company’s showroom of printers and copiers. Image Matters provided four door prizes for the morning event. Brent Christian of Capital Financial Group and Alexandra Box of Goodwill Industries both won spa gift cards; Kristina Killebrew of Journal Broadcast Group won a canvas print; and Jeff Stooksbury of Fountain City Construction took home the grand prize – two tickets to the Tennessee vs. Florida game and a spot at Tailgate Tennessee. The John Maxwell Team gave away an additional prize, admission to its L2: Learn - Lead class, to Alison Ross of Smarter Searches.

Catering Sponsor:

NOVEMBER 10 New Member Orientation 4 – 6 p.m. | Knoxville Chamber, 17 Market Square, #201 Sponsored by:

NOVEMBER 18 Bright Ideas Seminar: “Calm Down & Speak Up” Presented by Ellen Kern, Stand & Deliver

11:30 a.m. – 1 p.m. | Knoxville Chamber, 17 Market Square $25 for members/$35 for non-members (boxed lunch included) Sponsored by:

DECEMBER 4 7th Annual BAH Humbug Holiday Party 5 – 8 p.m. | Holiday Inn at World’s Fair Park Image Matters staff members Jim Pickell, Jenny Cowden, Jenni Gray, and Kyle Sanders pose for a photo at the Oct. 2 a.m. Exchange.

Sponsored by:

Sponsored by:

Hosted by:

Go to “Chamber Events” on to learn more or register for any of these events. You may also call the events line, (865) 246-2622

K N O X V I L L E C H A M B E R | 66

Commerce November 2014  
Commerce November 2014  

The official newsletter of the Knoxville Chamber.