The Indianapolis Star from Indianapolis, Indiana • Page A6

Get breaking news on your cell phone Text I DYN WS to 44636 (4INFO) for breaking-news headlines as they happen. msiness DOW JONES INDUSTRIALS BLOOMBERG INDIANA INDEX 9,899.25 40.73 NASDAQ 2,158.85 11.72 347.27 3.50 1,055.69 6.31 THURSDAY, JUNE 10, 2010 PAGE A6 CVS -Walgreen rift may aid rivals Fallout could send irked clients to Medco and Express Scripts U.S., he said. CVS Caremark Corp. said this week it will end rival Walgreen participation in its retail pharmacy network. Walgreen said it expects most of its stores to be out of Caremark's commercial network in 30 days.

Some Walgreen stores won't be cut off as quickly because of state laws or client contracts. CVS Caremark also said it will end Wal-green's participation in its Medicare Part retail pharmacy network on Jan. 1. The move came just days after Walgreen said it will no longer do business with CVS Caremark because it wants better prices and objects to policies designed to drive customers to CVS stores. Walgreen, based in Deerfield, 111., is the largest U.S.

drugstore chain based on locations and revenue, slightly ahead of CVS Caremark. Walgreen wants to be paid more for filling prescriptions, while Caremark makes money by reducing costs for plan members and sponsors. macies to fill prescriptions, saving money by negotiating volume discounts. If CVS Caremark and Walgreen don't patch up their relationship, clients might move their business to Medco and Express Scripts, rather than remain in a network that excludes Walgreen, said Garen Sarafian, an analyst for Citi Investment Research. Walgreen, with more than 7,500 stores, accounts for about 13 percent of drugstores nationwide and fills almost 20 percent of all retail prescriptions in the sive pharmacy warehouse in Boone County, and for Express Scripts, which operates a warehouse near Indianapolis International Airport.

Medco and Express are two of the nation's largest pharmacy benefits managers, which contract with employers to handle the drug benefit portion of their health plans. PBMs pay phar Star and news service report Two pharmacy benefits companies with huge distribution centers in Central Indiana could benefit from a feud between CVS Caremark Corp. and Walgreen which plan to cut ties next month. The decision is likely to mean more business for Medco Health Solutions, which operates a mas BRIEFLY Around the State Nation Developer's plans set for senior community AVON A developer will break ground soon on a massive senior community in Hendricks County. The Town Council recently approved Avon's second property-tax abatement ever.

The approval of the 10-year tax break for the Reagan Park Senior Living facilities allows Carmel-based Leo Brown Group to begin construction this summer on 25 acres along County Road 100 North near Ronald Reagan Parkway. The $20.5 million project will include an assisted-living facility, a nursing facility, independent-living apartments and a medical-office building. It is expected to create up to 132 jobs with an average salary of $37,000. Residents could move in by summer 2011, said Mike Wagner, Leo Brown Group vice president. (Star report) Tittle named to lead health-care group Indianapolis Stephen A.

Smith has been replaced as president of Indiana Health Care Association by Scott Tittle, a Krieg De Vault attorney and former policy director for Gov. Mitch Daniels. Tittle starts the association job Monday. Smith has taken a job as takeover director for Affiliated Computer Services to help manage California's Medicaid program. Smith also resigned this week as board chairman of the Indianapolis Housing Agency.

(Star report) Disney to close all but 2 ESPN Zone sites LOS angeles The Walt Disney Co. said Wednesday that it is closing five ESPN Zone restaurants in Baltimore, Chicago, New York, Las Vegas and Washington, D.C., saying the economics of the business were "very challenging." The company said the only ESPN Zone restaurants to remain open will be in Los Angeles and Anaheim, Calif. The sports bar and restaurant chain, which has arcade games and big-screen TVs and serves up burgers and beer, was launched in 1998. (AP) BIOTECH SITE OPENS Co- vance Inc. this week has opened a biotech facility in Greenfield for long-term storage of DNA, blood and other materials used for clinical trials.

The drug-development contracting firm has said the construction cost was $15 million. Covance will provide analytical testing, such as screening for viruses, for Eli Lilly and biotech drugs. Star news services PNC DEBUTS MONDAY: Part of PNC's entrance into Indianapolis will be felt 101 W. Washington where PNC is renovating the six floors it occupies and PNC readies big of banking brand at Businesses to locate in Marion, Noblesville By Chris Sikich chris.sikichindystar.com NOBLESVILLE, Ind. A Northwestside information technology services company will move its headquarters to Noblesville in August, investing $2 million and creating up to 230 jobs in the state through 2013.

Miller Consulting Group founder Dale Miller announced the move at a news conference Wednesday morning that included Noblesville Mayor John Ditslear and Gov. Mitch Daniels. Later in the day in Marion, the governor also joined executives of Chinese furniture maker Anji Yuankai, who announced the company will locate its U.S. headquarters here and create up to 100 assembly and distribution jobs over four years. Daniels led an economic development trip to China in 2009.

The upholstered furniture manufacturer plans to invest $24.3 million to establish its first U.S. subsidiary, King's Group U.S.A., at the site of a former Hobby Lobby at 1500 S. Western Ave. "There's a lot to like about this morning," Daniels said at the Noblesville event. "These are the days we get up for We do all we can to lower the cost of doing business in Indiana." Noblesville move Miller Consulting Group plans to move to the renovated 1865 Model Mill building on Mulberry Street, just blocks south of downtown Noblesville.

Miller said the average salary would be $60,000, with jobs in design engineering, data management, sales and marketing. The firm initially will have about 50 employees in Noblesville. It also has about 10 workers in a Warsaw office that will remain open and about 20 on-site with clients. The company resells Siemens' software systems and serves Allison Transmission, Ingersoll Rand and others. Tax credits The Indiana Economic Development Corp.

is providing up to $2.5 million in performance-based tax credits and up to $120,000 in job-creation based training grants. In Marion, the state offered King's Group up to $475,000 in performance-based tax credits, and it will provide the city a $200,000 grant for improvements to the 12-acre site. Follow Star reporter Chris Sikich on Twitter at twitter.comChrisSikich. Call him at (317) 444-6036. ALAN PETERSIME The Star the former National City Center, the downstairs branch.

rollout in Indy branches in Indiana. No employees were laid off as part of the acquisition. "The branches will still have the same smiling faces inside," said Michael Joyce, retail market manager. "Really beyond some account level differences, we expect this to be a very seamless transition for customers." One thing PNC also hopes continues is National City's prominence in the market. By deposits, it ranks second in the Indianapolis metropolitan area with 17 percent, behind only J.P.

Morgan Chase, according to the Federal Deposit Insurance Corp. To gain ground and compete with Chase, PNC will have to step up service on a number of levels, said Larry O'Connor, executive director of Butler's business accelerator. That means more convenience for customers, perhaps by adding branches, ATMs and new products. That's exactly what PNC is doing, according to Stitle, who said that to remain competitive, PNC is combining its best practices with National City's. National City Points, for example, a program that rewards customers for banking online, using check cards or adding direct deposits to a checking account, will live on as PNC Points.

PNC will bring to National City customers its virtual wallet, a Generation Y-targeted, interactive banking experience. Call Star reporter Dana Hunsinger at (317) 444-6012. PNC CHANGEOVER Here's how customers will be affected as National City's 89 branches in the Indianapolis area transition to PNC this weekend: At 3 p.m. Friday, online banking and mobile phone banking through National City will be unavailable. They will resume through PNC at 8 a.m.

Monday. National City telephone banking will be unavailable at 3 p.m. Friday and resume through PNC at 6 a.m. Monday. Questions? Call PNC customer service at (877) 762-9122.

Washington big-screen plasma TVs will be installed. Walls will be erected to make more private offices. Computers will be added that allow customers to see live banking demonstrations and to use them for their own business. The entire building will now be called the PNC Center. It's all part of a branding strategy that has been months in the making, said finance expert Chris Stump, a manager at the Butler Business Accelerator, an advisory service for entrepreneurs at Butler University.

"If it were just a name change, they would have done it as soon as PNC and National City merged," he said. "They have been working all these months to understand what should remain and what should change in the market." What will remain are the 137 By Dana Hunsinger dana.hunsingerindystar.com National City's name is about to disappear from the Indianapolis banking scene as its new owner, Pittsburgh-based PNC Financial Services, officially enters the market with plans to grow market share and invest millions to renovate and refresh bank branches. "Our goal is to be the best bank in the market, and PNC looks at the Indianapolis market as a tremendous growth opportunity," said Steve Stitle, PNC's regional president for Indiana, who was with National City for 14 years. PNC, the nation's fifth-largest bank, acquired Cleveland-based National City nearly 18 months ago. Since then, it has gradually converted National City branches to its brand, with Indianapolis being among the last to get the name change.

At 4 p.m. Friday, the city's 89 National City branches will close and reopen Monday with the PNC name. But the name change isn't the only difference consumers will see, experts say. Perhaps the single biggest investment or change will occur at the Downtown headquarters, where PNC is making a multi-million investment to renovate the six floors and 100,000 square feet it occupies, as well as the downstairs branch. As part of the remodel of that Downtown branch, at 101 W..