Missouri's Heartland Transforms into Biotech and Sustainability Hub

SPECIAL ADVERTISING SECTION

A state of
Change
In America’s heartland, Missouri
is transforming itself into a center
for biotechnology and sustainable
businesses that can help the planet.

In Partnership with


Missouri ranks second
in the Nation in the
number of farms.

If the words “heartland” and “cutting edge” man and CEO Tomas Hode, a Ph.D. from
Sweden who founded the company. In
don’t seem to have much in common, think moving to Missouri, he got not only af-
again and take a hard look at Missouri. fordable office space but also financing,

Along with its traditional harvest of corn mentoring, and room to grow. “I am
very, very happy here,” he says.
and soybeans, Missouri is growing a very Take a 30-minute drive from Colum-
bia, and there’s Soy Labs, a onetime
different kind of crop these days— York, and South Carolina, and even California company. It will soon be the
young companies that are looking to some from countries as far away as the first tenant in the Missouri Plant Sci-
leave their mark on the world by curing United Kingdom and Israel. ence Center, now under construction in
cancer, feeding the hungry, solving the Consider Immunophotonics, a small the small town of Mexico. In addition
energy crisis, and tackling the other company that has developed a minimally to office and lab space, the center will
critical challenges facing the planet. invasive laser-assisted vaccine designed include a pilot manufacturing plant de-
The entrepreneurs behind these to treat metastatic breast cancer. A signed to help companies easily move
fledgling firms are dreaming big. year ago, the company moved into the from the lab into initial manufacturing.
They’re also getting lots of support University of Missouri’s brand-new Life And that, says Soy Labs president Ryan
from state and local government, as Science Business Incubator in Columbia, Schmidt, means his fledgling company
well as from Missouri’s leading universi- where $300 a month buys furnished will be able to get its product to market
ties and prestigious research institutes. work space, shared office equipment, without first investing in its own labora-
The resulting spirit of collaboration and and access to mentoring resources. “We tory or production plant.
innovation is luring companies from moved into the incubator to take this “It would cost us easily 50% to 80%
high-profile states like California, New to FDA approval in the U.S.,” says chair- more to do this same work in California,”

S2 www.fortune.com/adsections


says Schmidt, whose company develops past year, Express Scripts’ positive eco- initiatives designed to chart the state’s
cholesterol-reducing soy products that nomic impact on Missouri should con- future economy.
can be added to supplements, foods, tinue to grow. It’s a story that the state One of the most ambitious is
or beverages. He expects to have 20 is anxious to replicate, and it’s work- Missouri’s Strategic Initiative for Eco-
employees on-site within nine months, ing hard to do just that. Building on its nomic Growth. Launched this summer
and hopes to eventually build a plant in diverse agricultural base, the state is by Governor Jay Nixon, its stated pur-
the 70-acre business park that abuts the helping launch companies that can take pose is to transform the state’s economy
center. “If you can grow companies and advantage of Missouri’s great natural in the next five years. “We want to be
grow entrepreneurs in this down econ- resources, world-class universities, out- proactive, not reactive,” says Nixon of
omy,” he says, “just wait until the econ- standing quality of life, and supportive the project, which will ultimately iden-
omy turns around to see what happens.” business environment. tify the six or eight initiatives that hold
Missouri uses a traditional toolbox the most promise for Missouri. “We
Homegrown Success Stories of tax credits, tax rebates, and govern- need to know where we are going if we
Missouri—which proudly touts its nick- ment grants to attract companies to are going to get there.”
name, “The Show-Me State”—takes this the state. But there’s more. The state The project—business-led and data-
culture of entrepreneurship seriously.
Studies show that business startups
play a major role in job creation, in
some areas providing as much as 12%
of employment, according to the Kauff-
man Foundation, a Kansas City–based
organization devoted to entrepreneur-
ship. The state has only to look at some
of its own success stories to see what
can happen.
Express Scripts, for one, started in
1986 with the innovative idea of provid-
ing mail-order pharmacy services. “Our
founder looked at millions of patients
taking maintenance medications for
chronic diseases, and he wondered why
they were being forced to drive to a
pharmacy every 30 days,” says CFO Jeff
Hall. For the next 25 years, the company
implemented a series of breakthrough Kansas City skyline,
methods that continue to make the use highlighted by the
historic Union Station.
of prescription drugs safer, more ef-
fective, and more affordable. With its
commitment to R&D, Express Scripts,
now headquartered on the campus of
the University of Missouri–St. Louis, has receives a spotless AAA bond rating driven—is moving fast. With a 41-mem-
flourished. Revenues in 2009 reached from all three rating agencies, and for ber steering committee comprising busi-
$24.7 billion, and they are projected to the past two years it has balanced its ness, industry, labor, civic, and education
exceed $40 billion in 2010. budget without raising taxes. In a CNBC leaders, the initiative has garnered
The impact on the state’s economy? rating of states with the lowest cost of broad support. Its final report is due on
When you add up Express Scripts’ pay- doing business, Missouri ranks fifth. the Governor’s desk by March 31.
roll, the business it does with local sup- These days the state is finding that Such aggressive pursuit of business in-
pliers, capital investment, charitable some of its strongest appeal comes novation isn’t a surprise to Missourians.
contributions, and taxes, the amount from Missouri’s community approach to After all, this is the state that launched
that the company contributes to Mis- problem-solving, its collaborative spirit, the Lewis and Clark expedition and gave
souri totals nearly $1 billion a year. And, and its willingness to think outside the birth to the Pony Express. Missouri is
after opening its multimillion-dollar box. This penchant for innovation and the state that invented the ice cream
Technology & Innovation Center this independent thinking is clear in the cone and built the space modules used


The future of aerospace is alive and well in the Greater

St. Louis region. Thanks to the confidence of our

customers and the exceptional efforts of our workforce,

local community support, and our elected officials,

Boeing has won substantial contracts for the F/A-18

Super Hornet and F-15. We applaud everyone who

contributed to this legacy of aerospace leadership

and are committed to building on that honor.


resources.” The company is doing its part
Greenhouses at the
to address these challenges by develop-
Donald Danforth
Plant Science Center, ing better tools for farmers, including
St. Louis.
advanced hybrid and biotech seeds.
Still, getting the world to see the
potential provided by new agricultural
innovations can be challenging. “People
don’t understand how significantly
farmers could improve their lot by sim-
ply using hybrid seed,” says Begemann.
Example: In three short years, the intro-
duction of hybrid corn seed transformed
Malawi from a country where people
were starving to one that is now export-
ing its own corn.

Animal Kingdom
In the western part of Missouri, the fo-
cus shifts from plants to animals. Once
home to the Kansas City Stockyards, this
region has now positioned itself as the
Missouri ranks third in the Small Business nation’s animal health center, produc-
and Entrepreneurship Council’s Energy ing everything from animal vaccines

Cost Index 2010, which measures where and veterinary supplies to livestock feed
and pet products. Some 32% of the $19
the 50 states stand in terms of how major billion global animal health industry is
energy costs affect small businesses, based in the Kansas City area, making it

individuals, and families. the largest single concentration of ani-
mal health companies in the world.
Why Kansas City? Located in the geo-
graphic center of the U.S., the Kansas
in the Gemini and Mercury space proj- chairman of the center named for his fa- City region is within 350 miles of 45%
ects. These days, it’s home to a growing ther. “If you don’t have something great of all the country’s feedlot cattle, 40%
number of scientists who are splitting in your community, you don’t have a of its hogs, and 20% of its beef cows
genomes, creating new energy frontiers, great community.” and calves. The region has five veteri-
and changing the face of agriculture. Next door to the Danforth Center, a nary schools located within a 300-mile
new bioresearch park is attracting young radius. In 2007, the U.S. Animal Health
Sustainable Agriculture plant-science firms. Across the street Association moved its headquarters to
In the eastern part of the state near from the center is Monsanto, the former nearby St. Joseph after decades in Vir-
St. Louis, the emphasis is on plant sci- chemical company that has remade itself ginia. Small surprise, then, that the re-
ences. It is here that the prestigious by focusing on agriculture. Along the gion boasts such well-known brands as
Danforth Plant Science Center is work- way, it has become a major force in the Advantix, Beneful, and Greenies, as well
ing to develop new varieties of crops, search for new ways to make agriculture as companies like Switzerland’s Nestle
ranging from cassava with improved more sustainable. Its sprawling 500-acre Purina Petcare and Israel’s Teva Animal
nutritional qualities to disease-resistant facility is filled with scientists who take Health Inc. “A very large part of the
and drought-tolerant plants, and new that charge seriously. global industry is sitting right here,” says
biofuels to create a sustainable energy Given the projections for world George Heidgerken, president and CEO
source, as well as ways to reduce pesti- population growth, agriculture has a of animal health company Boehringer
cide and fertilizer use. big job—doubling food production by Ingelheim Vetmedica Inc. and chairman
“Our goal is to improve nutrition, 2050, says Brett Begemann, Monsanto’s of the advisory board for the KC Animal
end starvation, preserve the environ- executive vice president of global seeds Health Corridor.
ment, and build St. Louis as a center for and traits. “And we’ll have to do it on Then there are the biomedical
plant science,” says William H. Danforth, the same amount of land and with fewer companies. Some have their roots in



State Fact File:

• Missouri was named after • Walt Disney, who grew theater seats than the Broad-
a tribe whose name meant up in Marceline, based way theater district
“town of the large canoes.” Disneyland’s Main Street in New York.
USA on that town.
• Missouri was the first state • In 2010, Missouri
to free its slaves. • Rock Port, with a population celebrated the
of 1,300, is the first city in 175th anniversary
• The state boasts more than the U.S. to be powered of Mark Twain’s
95 wineries, which have an by wind. birth, the 125th an-
economic impact of more niversary of his
than $700 million a year. • Branson, located in south- work Adventures
east Missouri, boasts more of Huckleberry Finn, and
• The state nickname—“The the 100th anniversary of his
Show Me State”—was coined death.
in 1899 when Congressman
Willard Duncan Vandiver • The agricultural sector
stated: “I’m from Missouri accounts for 13.3% of the
and you’ve got to show me.” state’s gross product.
Member SIPC © Edward Jones, 2010

Buys the radical concept
that big skyscrapers don’t necessarily
mean big investment smarts.
We jest, but perhaps it is revolutionary to put our
10,000 offices in neighborhoods, not high rises. We do
it so it’s easier to stop by. Talk. And work at eye level,
not sky level. Join the nearly 7 million investors who
know. Face time and think time make sense.
www.edwardjones.com
www.fortune.com/adsections S7


genome-sequencing projects at the
universities; others have sprung from GoodS roll off the line
in a Missouri plant.
Missouri hospitals. Still others have ar-
rived from outside the state to capital-
ize on Missouri’s research capabilities
and incubator support. The collabora-
tive approach to both science and eco-
nomic development translates into lots
of room for translational science, which
means that breakthroughs in one disci-
pline can easily be applied in another.
At Washington University, located
at the western edge of Forest Park in
St. Louis, that kind of interdisciplinary
approach is hardwired into the curricu-
lum. Students are encouraged to take
courses in any of the university’s various
schools, and it’s not uncommon to find
a biology major minoring in music or
a student in the art school graduating
with a dual major in economics.
Then there is the university’s Skan-
dalaris Center for Entrepreneurial Stud- Missouri’s Central Location
ies. While located within the business
school, it funds and coordinates courses
across all schools and programs at the
university. Every year, it awards more
than $200,000 in seed money for com-
mercial and nonprofit ventures. Recent
Within 500 miles of:
winners include a customized earbud
company, a DNA sequencing lab, a loca-
• 44% of U.S. population
vore food market, and a group that uses • 38% of U.S. personal
ballroom dancing to build self-esteem income 500 Miles
and confidence among fifth-graders. • 45% of total U.S.
With about 6,000 full-time under- households
graduates and 5,600 full-time students
• 46% of total U.S.
in graduate and professional programs,
manufacturing
Washington University has also been a
capacity
magnet for talent. “We have become
one of the major importers of human
resources in the state,” says Chancellor
Mark S. Wrighton. “Approximately 90%
of our students come from outside Mis- Missouri is located to markets all over the and more than 1,000
souri, and about 30% remain in the re- near the country’s geo- world. The state has miles of waterways.
gion after graduation.” graphic and population been ranked as one of The state is a hub of
centers and is a virtual the best for manufac- business activity, with
Incubating Breakthrough Ideas “next-door-neighbor” turing and logistics. more than 160,000
At the University of Missouri system, to at least 20 states. Missouri has the 7th tons of cargo and 20
new policies are helping the four- The state’s proximity largest highway system million airline passen-
campus system aggressively tackle the also allows for effi- in the U.S., two of the gers transported by air
challenge of growing new companies. cient “quick shipping” largest rail terminals, each year.
A few years ago, the system expanded
its stated mission to include economic



development, and ever since it has been commercialize. Then it reinvests a signifi- This year, some $600,000 was available
overhauling the way it develops, at- cant portion of what’s left in the inven- for fast-track faculty projects—inventions
tracts, grows, and invests in fledgling tor’s department. that needed a bit more money to see if
businesses. “We color outside the lines,” The university system also took aim they could be commercialized. There is
says Mike Nichols, vice president of re- at the state’s Sunshine Law, which re- also a brand-new $5 million seed-capital
search and economic development. quired its public-private partnerships and fund for direct investment, which Nich-
On one front, the university sys- collaborations to be transparent to the ols sees as offering the state big returns.
tem—which has nearly 70,000 students public. That law was making it nearly im- “We’re not looking to make money.
on its four campuses—has revamped possible for the university to work with We’re looking to create jobs,” he says.
some longstanding practices to make it companies concerned about revealing The result is more small companies
easier to attract talent. Most recently, business plans, financial information, or populating a growing number of uni-
it changed its rules to allow students to trade secrets that could endanger their versity-affiliated high-tech incubators
own outright any intellectual property competitiveness, Nichols says. This sum- that are designed to foster growth in
they develop while in school. It also takes mer, Senate Bill 733 revised that law, plant science, animal health, biomedical
a generous approach to its faculty inven- leveling the playing field between public innovations, and other attractive areas.
tors, letting them keep one-third off and privately funded institutions. “I feel like a kid in a candy store,” says
the top of any revenues produced by a The university has even begun making Nichols, who spent 25 years launching
technology that the university chooses to direct investments in startup companies. new companies before joining the uni-
versity. “I get to leverage other people’s
money, make money for them, and teach
Missouri ranks fifth in the Tax Foundation’s others how to do it.”

Corporate Income Tax Index, which looks These incubators offer the commu-
nity more than just job generation. At
at the impact of each state’s principal tax the Christopher S. “Kit” Bond Science
on business activities within the state. and Technology Incubator in St. Joseph,


Gary Clapp runs a unit that’s located on
the Missouri Western State University
Job Momentum in Missouri
campus. He also teaches a course on
bio-manufacturing that’s designed to
provide real-world experience to college Companies were asked: Over the next 12 months,
students so they understand of the rules, does your business plan on increasing, maintaining,
regulations, and restrictions that apply or decreasing your current employment levels?
when bringing a product to market.
As head of the Institute for Indus- Maintaining 65.7%
trial and Applied Life Sciences, Clapp also
has worked with the local school district
to get more math and science into the Increasing 23.3%
classroom. Yet Clapp says workforce de-
velopment is something that needs to be
addressed even before kids start school. decreasing 11.0%
Citing new programs that target the pre-
Source: MERIC Missouri Business survey 2010
school population, he says, “Training has
to begin as soon as a family gets started.”
0
by the Independence school district, is visitors watch operations. “We call this
Supporting Fledgling Entrepreneurs aimed at attracting young companies. our Grey’s Anatomy suite,” says Tom
In Independence, an old hospital is in But in renovating the building, the de- Lesnak, president of Independence Eco-
the process of being transformed into signers have kept in mind the impor- nomic Development, noting that stu-
an incubator that will feature not only tance of science education. In convert- dents will now be able to watch chemi-
scientific wet labs but also kitchen working an old surgical suite into a lab, they cal experiments without being exposed
space. The Ennovation Center, owned retained the viewing area that once let to chemicals or fumes.

We’re Proud to Call 0 10 20 30 40 50 60 70 80
Missouri Home
Monsanto is a global leader
in agricultural innovation.
We work with farmers to produce more crops for a growing world
while conserving more natural resources for future generations.
Headquartered in St. Louis, we are committed to improving lives in
communities where we operate. That’s why we donated nearly $6
million last year to the St. Louis region and its charities through the
Monsanto Fund.

Producing More. Conserving More. Improving Lives.
That’s sustainable agriculture. And that’s what Monsanto is all about.

Learn more at www.monsanto.com

Monsanto and Vine Design® is a registered trademark of Monsanto Technology LLC. ©2010 Monsanto Company.


• Express Scripts • Emerson Electric •
Monsanto • Ameren SPECIAL ADVERTISING SECTION
•Reinsurance Group of America •
Charter Communications
• Peabody Energy • Smurfit-Stone
Container • Graybar Electric •
Centene • Energizer Holdings
• Ralcorp Holdings • Jones Financial • Historical Snapshots:
Arch Coal • Brown Shoe
• Sigma-Aldrich • Patriot Coal •
Solutia • Laclede Group •
• The 10-story Wainwright
Building, designed by Louis
Sullivan and built in 1891, is
considered the world’s first
skyscraper. Still standing in
downtown St. Louis, the
building marked a
turning point in
building design
due to its load-
• The Pony Express, born in bearing steel

Home of 19 St. Joseph in 1860, improved
communications across the
country by shortening mail
framework.

• Food firsts are
FORTUNE 1000™ delivery from St. Joseph to
Sacramento, Calif. The fastest
common: The ice
cream cone was re-
Headquarters trip made during the compa-
ny’s brief 18-month history:
portedly invented at
the St. Louis World’s Fair in
seven days and 17 hours. 1904. Other iconic Ameri-
can foods—including the
• Born a slave, Missouri native hot dog, Dr Pepper, cotton
18 Largest Metro
th George Washington Carver candy, and iced tea—were
discovered 300 uses popularized at the fair. Aunt
for peanuts. The agri- Jemima’s pancake flour, in-
Leading Financial cultural chemist vented in St. Joseph, was the
Services Center also developed a crop rota- first ready-mix food to be in-
tion system for Southern cot- troduced commercially.
Second Only to Wall Street
ton farmers that made use of
soil-enriching plants such as • The University of
25 Colleges and Universities peanuts, soybeans, sweet po- Missouri opened the
tatoes, and pecans. world’s first school of
National Leader journalism on Sept. 14,
in Plant and Life Sciences • In the early 1870s, Adolphus 1908. By the end of the day
Busch was the first Ameri- students and faculty edi-
Affordable Living can brewer to adopt the use tors had published its first
of pasteurization, allowing newspaper.
beer to be shipped
long distances with- • McDonnell Aircraft,
out spoiling. He also which later merged with
pioneered the use of Boeing, built space cap-
artificial refrigera- sules for Project Mercury,
tion, refrigerated rail the first U.S. manned space
cars, and rail-side program, as well as for
icehouses. Project Gemini.
GoToStLouis.org

FORTUNE 1000 is a trademark of the
Fortune Magazine division of Time Inc.

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been estimated at $2.2 billion in 2009. doctor and
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Education was also a consideration in state’s public universities and colleges ployees continuing engineering courses
renovating the hospital kitchens, which topped 255,000—an increase of more that build its talent pipeline. And the
now serve as a leasable culinary work- than 10,000 students over last year. training connection goes even deeper.
space. Fully renovated, the area is divided “We invest in all tiers of the education
into five kitchens and boasts $250,000 of Developing a Talent Pool system,” says Muilenburg, noting that
new cooking equipment ranging from Corporations, too, are playing a key role one of his favorites is a high school FIRST
ovens to mixers to a smoker. Already be- in workforce development. The state robotics competition. “We actually have
ing leased to tenants who need space to has been working hard to not only ask a couple of engineers working for us
develop products and start production, it employers to identify the kinds of skills who were part of that program.”
will eventually house a culinary arts edu- they view as necessary for their contin- Edward Jones, too, has found the
cation program, as well. ued growth, but also to create those state to be a place where the spirit of
“This is so much fun,” says the kitch- programs in the state’s universities, col- collaboration ranges from lofty goals
en’s first tenant, Jennifer Ward, as she leges, and two-year schools. like training the workforce to nuts-and-
was running a test batch of gluten-free Boeing is a prime example. The bolts business development. Founded
cookies through the new rotating con- aerospace giant’s defense, space, and in 1922, the financial services firm has

Missouri ranks A Boeing employee

fifth in the cost of building a fighter jet
in St. Louis.

doing business in
America’s Top States
for Business, an
index compiled
by CNBC that is
based on each
state’s tax burden
on individuals,
property, and
business, as well
as utility and
energy costs.
vection ovens. For Ward, the incubator security unit is headquartered in St. grown over the years and recently over-
is a way to build her business; to Lesnak, Louis, where it produces products rang- saw a significant expansion that hinged
it’s a way to build a community. “Sta- ing from tactical aircraft to unmanned in part on the state’s willingness to
tistics show that 85% of all incubator systems. In 2007, it launched a program accelerate replacement of a key inter-
companies stay in the community where with the State of Missouri and St. Louis change off Interstate 270.
they started,” he says. Community College to retrain people “In Missouri, there is a real and
Recognizing the importance of edu- for sheet metal assembly. “It is an in- widespread understanding of the value
cation to workforce development, the credibly productive relationship,” says and necessity for a good business en-
state has worked hard to make college Dennis Muilenburg, president and CEO vironment,” says Jim Weddle, Edward
more accessible. Govenor Nixon and the of Boeing Defense, Space & Security. Jones managing partner. “As a result,
state’s public higher education institu- “This program trains individuals in the the state, the region, and localities co-
tions—including both two-year and key skills needed for the aircraft assem- operate. They recognize that working
four-year colleges—agreed to freeze bly process.” together they can achieve far more than
tuition for the past two years despite Boeing also partners with Washing- working apart. This cooperation drives
challenges posed by the economy. As a ton University and Missouri University of economic development. “
result, this fall, total enrollment in the Science and Technology, offering its em- Some see Missouri’s pioneer past



A Powerhouse Health Care for the Web Directory
for Missouri Underserved
Missouri Dept. of Economic Development
ded.mo.gov
The Missouri Partnership
Ameren Missouri serves 1.2 million electric For more than 25 years, states have fortune.MissouriPartnership.com
and 126,000 natural gas customers in 63 relied on Centene Corp. to provide health Ameren
AmerenMissouri.com
counties and 500 towns. Part of St. Louis- care services and programs to its most
Anheuser-Busch
based Ameren Corp. (NYSE: AEE), Ameren vulnerable and underserved residents. anheuser-busch.com
Missouri is critical to the state’s economy. Centene has been proud to call Missouri Boeing
Its electric rates are about 33% below the home to its corporate headquarters for boeing.com
national average, while it has invested the past decade, benefiting greatly from Centene Corporation
more than $1 billion in infrastructure proj- the pioneering spirit so deeply ingrained centene.com
ects to ensure that Missouri’s grid, power in our state’s history. The innovative Edward Jones
edwardjones.com
plants, and pipelines are safe, reliable solutions that we continue to develop
Express Scripts
and environmentally sound. In addition, allow us to remain true to our founding express-scripts.com
Ameren Missouri’s economic development belief—that every American is entitled Kansas City Area Development Council
professionals offer a portfolio of value- to receive quality health care with ThinkKC.com
added programs, and expertise for com- dignity. The friendly economic climate Monsanto Company
monsanto.com
panies interested in expanding or moving and unparalleled professional talent
Sisters of Mercy Health System
their operations to Missouri. Learn more at in Missouri have been invaluable in mercy.net
AmerenMissouri.com. helping us achieve our mission. St. Louis Regional Chamber & Growth Assoc.
GoToStLouis.org
University of Missouri System,
Research and Economic Development
umsystem.edu/redmap
Washington University in St. Louis
wustl.edu
Webster University
webster.edu

United States • Austria • China • the Netherlands • Switzerland • Thailand • United Kingdom

“Webster University was formed by a progressive, committed,
inclusive and entrepreneurial community of educators. While
the University has changed over time, the values and
commitments formed at the outset have endured.
They guide us and mark us as those who care,
who respond, who innovate, who lead.”
Dr. Elizabeth (Beth) Stroble
President
webster.edu
470 E. Lockwood Avenue • St. Louis, MO 63119


Missouri has 90
Missouri boasts
wineries and 1,500
acres devoted
a total 131,100
to grapes. green jobs in
both direct and
support positions.
They account for
4.8% of employment
within the state.

and more environmentally friendly.
Since the end of 2004, Anheuser-Busch
breweries have reduced water usage by
nearly 32%, saving 23 billion liters of
water. The company now recycles 99.4%
of the solid waste generated in the
brewing and packaging process, includ-
ing aluminum, glass, grain, scrap metal,
and cardboard.
The company has also embraced al-
ternative energy in a big way, including
the use of solar power at two brewer-
ies and bio-energy recovery systems at
10 breweries, which use nutrient-rich
wastewater from the brewing process
to create and capture renewable fuel.

reflected in the way the state and its “This makes us sustainable going for- International Aspirations
companies are tackling economic issues ward,” says Lynn Britton, president and On another front, Missouri is taking a
today. Mercy, a four-state health care CEO of Mercy. “And this is just the start.” more global view of the world these
ministry based in St. Louis, has just fin- Innovation in Missouri, however, days. It has been forging overseas con-
ished a decade of infrastructure build- isn’t just about starting new companies. nections in countries ranging from Mex-
ing. Faced with big changes in health It’s also about helping established com- ico to Japan, and it’s working to boost
care and aging systems, Mercy rolled panies looking for new and better ways exports and attract foreign companies to
up its sleeves and performed a major of doing business. At Anheuser-Busch, the state. One of its most publicized ef-
overhaul. The result: a brand-new elec- for example, there’s a long history of forts has been the campaign to establish
tronic health record system, a new data embracing technology as a way of im- a China hub at the Lambert–St. Louis Air-
center, a state-of-the-art supply chain proving business. More than a century port. Toward this end, Webster Univer-
that tracks everything right down to ago, the company revolutionized the sity president Elizabeth Stroble was one
a bandage as it arrives at the patient’s beer business by adopting pasteuriza- of those accompanying a recent Missouri
bedside, and a fast-growing telemedi- tion, artificial refrigeration, refrigerated delegation to China. Her school, which
cine operation. railcars, and railside icehouses. boasts 108 campuses worldwide, has had
The health care frontier today may “Our founders transformed the U.S. a working relationship with the Chinese
look different than it did to the pioneer- beer industry and instilled a passion for ministry of education for years. And
ing nuns who founded the health minis- innovation that continues to drive our that, Stroble says, gave her some insight
try more than 150 years ago. But the com- company,” says president Dave Peacock. into the Chinese interest in St. Louis.
mitment to getting the job done through These days the company is turning to “I see the cargo hub as a way to es-
hard work and vision is much the same. technology to make its breweries greener tablish the kind of relationship with



not-for-profit research organization in
Nelson-Atkins Museum Kansas City, and you’ll get a sense of
of Art, Kansas City
the future. The institute tackles applied
science issues ranging from analyzing
anti-cancer drugs to engineering ro-
botics for defense. Some of the most
exciting work is being done in the field
of energy, where algae oil and biomass
are showing great promise, particularly
when combined with other technolo-
gies such as CO2 capture.
With Missouri’s wealth of resources—
water, fields to grow biomass, and loads
of scientific talent—the possibilities
stretch the imagination. “When all those
things are linked, that will make this the
epicenter of some of the most exciting
development in the country,” says Roger
Harris, associate vice president and direc-
Missouri offers newcomers the fifth-lowest tor of energy and life sciences.

cost of living in the country, plus friendly Governor Nixon says one recent trip
to a southern Missouri farm exemplifies
people and a sense of community. his state’s potential for innovation and
growth. He visited the soybean fields of
Kip Cullers, near Stark City, in October
China that is a win-win,” says Stroble. When Shah told his wife they were to present Cullers with the Governor’s
Part of the Chinese attraction to Mis- heading to Missouri, the first thing she Award for Agricultural Achievement.
souri, she says, is its excellent education did was check out Columbia on Wiki- Cullers had set a new world record
system. And she is quick to point out pedia. A visit last July sealed the deal. for soybean yields: 160.6 bushels per
that Webster not only has campuses in What the Shahs found in Missouri was acre. That tops the previous world re-
China but also houses one of the Chi- an affordable lifestyle—the state has cord—also set by Cullers, in 2007—of
nese government’s Confucius Institutes the fifth-lowest cost of living in the 154.57 bushels. Cullers attributes his
on its home campus in Webster Groves. country—friendly people, and a sense success to his use of the latest advances
One of only 362 in the world, the Insti- of community. in scientific research and development;
tute promotes better understanding of There’s also a lot to do. Not only does a keen eye for detail; and old-fashioned
Chinese history, language, and culture. the state have two urban centers—St. Midwestern elbow grease. He walks his
Is Missouri a hard sell to the Chinese? Louis in the east and Kansas City in the fields multiple times a day to make sure
What about to New Yorkers or Cali- west—but each city also boasts its own his plants are growing in the most con-
fornians, or those eyeing the research sports teams, symphony, theaters, and ducive environment possible.
parks of the Southeastern states? Trans- museums. Across the state, there are “Kip Cullers and farmers across Mis-
plants often say they weren’t sure about caves for spelunking, streams for fishing, souri exemplify our future of innovation,
Missouri until they arrived but were lakes for boating, and lots of state parks science, and progress,” Govenor Nixon
happily surprised by what they found. for biking, hiking, and birdwatching. The says. “They build on our state’s tradition
Tariq Shah, whose company state’s wineries—while not well known of agriculture and farming, but they’re
PetScreen opened an office in Columbia outside of Missouri—have a long history embracing science and technology to
last year, initially thought he’d be set- and a loyal following. And those inter- expand their operations in the 21st cen-
tling in New York State. The U.K.-based ested in history have their choice of such tury. That’s exactly the innovative spirit
company wanted to tap into the U.S. attractions as Civil War reenactments, that will move every part of Missouri’s
pet population. “There are more dogs Harry Truman’s home in Independence, or economy forward.” —Lynn Asinof
in the U.S. than there are people in the Pony Express Museum in St. Joseph.
England,” he explains. But the company Missouri also feels like a place where To advertise in our Economic Development
opted for Columbia because “the situa- a person can make a difference. Stop sections, contact Pete Franco at 212.522.4227.
tion was too good to resist.” by the Midwest Research Institute, a For reprints, call PARS at 212.221.9595, ext. 437.



Missouri’s Economy: A Center of
Fourth Most Diversified of All 50 States Innovation

The Brookings Institution named the
OTHER NATURAL RESOURCES 18-county Kansas City region one of the
OTHER SERVICES
AND MINING 20 strongest U.S. metros surviving the
LEISURE AND HOSPITALITY current economic recession, based on em-
TRADE, TRANSPORTATION, ployment and GNP. Want to find out why?
CONSTRUCTION AND UTILITIES
Visit ThinkKC.com for general market in-
formation. Visit KCSmartPort.com to learn
INFORMATION
how KC is ideal for distribution and ware-
housing. Go to KCAnimalHealth.com for
EDUCATION AND
information on the world’s largest concen-
HEALTH SERVICES
FINANCIAL tration of animal health industry assets.
ACTIVITIES Visit KCAdvancedEnergy.com to review
KC’s advanced transportation, wind en-
GOVERNMENT ergy, biofuel, and engineering assets.
Go to KCnext.com to connect with KC’s IT
industry. Get details on KC’s career and
PROFESSIONAL AND
BUSINESS SERVICES MANUFACTURING lifestyle assets at LiveWorkKC.com.

Source: U.S. Bureau of economic analysis

JAY NIXON GOVERNOR OF MISSOURI

“ It’s no surprise that businesses want to come to
Missouri - we have some of the most competitive
business and energy costs of any state in the nation.
But businesses also want to stay here, want to grow here.
Why? Because they can.”

3rd lowest business energy costs
(Small Business Entrepreneurship Council)

5th lowest cost of doing business (CNBC)

7th best transportation network (CNBC)

WWW.FORTUNE.MISSOURIPARTNERSHIP.COM

MISSOURI DEPARTMENT OF ECONOMIC DEVELOPMENT THE MISSOURI PARTNERSHIP

Missouri's Heartland Transforms into Biotech and Sustainability Hub

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