Texas Gal
by C. Sprite
© 1999

 

Chapter Eighteen     The Green Hills of Vermont

The following morning things were as hectic as ever on a day when we have to leave on a trip, but by 10 o'clock we were ready to leave and we arrived at the runway just as the company jet touched down. We had hurriedly cleaned the stable earlier so that Mother would be spared that job, for today at least. The copilot took our luggage and stored it in the cargo hold as we said our good-byes to Mother. She and Dr. Clark hugged and then the twins hugged Mother and thanked her for letting them come here for vacation. We boarded when the good-byes had been completed and helped the Clarks get seated and fasten their seatbelts. We waved to Mother as the plane began to roll, and then we were up and away at an incredible speed. Once we were at altitude Dr. Clark let the girls have the coloring books and crayons that they had started on the trip out, and the twins giggled gleefully as they worked in their books. Captain O'Toole came back to greet us once the plane was on course for New Jersey. We gave him the two pies that we had brought along for him and the copilot. He thanked us, and invited us to help ourselves to the tea and snacks in the tiny galley area before he returned to the cockpit.

Susan brought back cups of milk for the twins, and tea for the rest of us. The trip was a smooth ride all the way to New Jersey and a taxi was waiting to take Dr. Clark and the girls to their home as the plane pulled up on the ramp. Captain O'Toole left the starboard engine running, as he usually did when only stopping to pickup or discharge passengers. The copilot pulled the Clark's bags from the hold and we all hugged and kissed as the cab driver and the copilot loaded the bags in the trunk. It was only a ten-minute ride for the Clarks from here. As the cab pulled away we waved to the Clarks and then re-boarded the plane to continue our trip to Vermont.

An hour later we were landing at the nearest airport to the mills that had a paved runway long enough to support the business class jet. A big, black Cadillac limo and driver were waiting for us on the jet ramp. We thanked Captain O'Toole and he gave us the number of the motel where he and the co-pilot would be staying until we needed them. The driver had loaded our suitcases into the car and was holding the door open for us as we left the plane. He nodded to us as we entered the car and hurried around to the drivers seat after he had closed our door.

"Welcome to Vermont Miss Darla. Welcome to Vermont Miss Susan." he said.

"I know you, don't I? Your name is… Earl?" I said.

"Yes Ma'am. I'm surprised that you remembered me. I only drove you once."

"I thought that you worked in the West Virginia section?"

"Yes Ma'am. I drove up to make the final arrangements for your stay. We didn't have anybody in this area. I'll be your driver until you leave."

"Thank you Earl. How far are we from the mill?"

"About an hour's drive. The area up there is really rural so I made reservations at a Holiday Inn nearest to the mill. It will be a half hour drive each way while you are here, but the accommodations nearer the mill are sorely lacking."

"Thank you, Earl. Why don't you take us to the Inn now? It's too late to start our inspections today."

"Yes, Ma'am."

A half-hour later we pulled up in front of an almost new Holiday Inn. A bellboy hurried to open the limo door but Earl beat him to it. So instead he went to the trunk when Earl threw him the key and he began to remove our luggage. The reservations were all arranged at the desk so all we had to do was sign in. The bellboy escorted us to our room, opened the drapes, and turned on the a/c. I gave him a two dollar tip and he smiled widely while telling us not to hesitate to call him if we needed anything at all. He left, pulling the door closed behind him.

A knock at the door turned out to be Earl, who had taken time to park the car. He said, "Miss Darla, I'm in room 46 if you need anything. If I'm not in just have the front desk page me. I won't be far. What time would you like to leave tomorrow?"

"Let's plan on leaving here at 7:30, okay?"

"You're the boss. 7:30 it is. Will you be needing me anymore tonight?"

"No, thank you, Earl. Goodnight."

"Goodnight, Miss Darla."

After we had unpacked our things, we relaxed on our beds for a while. As we lay staring up at the ceiling, we talked about the inspection tomorrow and we established our strategy for seeking to uncover any problems. We would work both together and independently as we searched for any problems. At 6 o'clock we freshened our makeup and walked to the hotel restaurant for dinner. The dining room was largely empty and we didn't have to wait to be seated. The hotel had an excellent chef on staff and our meal was excellent. We returned to our room following dinner and enjoyed excellent television reception, for a change, before going to bed at an early hour.

The hotel switchboard woke us at 6 am and we hurried to bathe and dress so that we would have time to grab a light breakfast before it was time to leave. Susan and I both wore dark suits with medium heels. We wanted to convey the impression of businesswomen, so jewelry and makeup were kept to a minimum. We made it to the dining room by 7:10 and had time to enjoy an egg, toast, and tea. At 7:30 we exited the front door of the hotel and were met by Earl at the curbside. We settled back into the plush seating and looked out of the windows as the lush green foliage of Vermont flashed past the windows. As predicted by Earl we pulled onto the property of the mill a half-hour later. Earl drove straight to the section that housed the offices as if he knew the way. He pulled up in front of the building and opened the rear door of the car.

As I was getting out, I said, "You drove here like you knew the way, Earl."

"Yes Ma'am. I did. I drove her yesterday morning so that I would be familiar with the route."

"I see. Very commendable."

"Thank you, Miss Darla."

Susan and I walked up the stairway and into the offices. A woman greeted us as soon as we entered the building. "Miss Drake?" she asked.

"Yes. I'm Darla Anne Drake, and this is my sister Susan."

"How do you do. My name is Edith. I'm Mr. Kelly's secretary. Please follow me and I'll show you to his office."

Edith led the way down a narrow hallway and knocked on a door before opening it and announcing us as she entered. "Mr. Kelly, Miss Drake and her sister are here."

We followed her in and were greeted by George Kelly, the company director for the Highland lumber company.

"Miss Drake, welcome to Vermont. It's a pleasure to meet you. The pictures in the newspapers don't do you justice. And this is your sister?"

"Yes, Mr. Kelly. This is my sister, Susan. She's part of my inspection team."

Looking at Susan, he said, "Welcome to you also Miss Drake." Then looking back to me he said, "This could get confusing with two Miss Drakes. May I call you DD as they do in the newspapers?"

"Yes, of course. That name seems to be gaining popularity."

"Thank you, and please call me George."

To his secretary, Mr. Kelly said, "Edith, bring in some refreshments, please."

"Of course, Mr. Kelly. Ladies would you care for some coffee, or perhaps tea?"

Susan and I both said, "Tea, please" and Edith left.

Mr. Kelly said, "Ladies, please have a seat?" He gestured towards some chairs that faced his desk and we sat down as he took his seat behind the desk. "Well, DD where would you like to start?"

"We'd like to just talk with you for now so we can get a feel for the situation up here, then a tour of your facility, and then we would like to visit each job site. We normally begin our inspections with a look at the latest production reports. Do you have them handy?"

"Of course." Opening a file drawer in his desk he pulled out a folder and handed it to me.

I glanced through the reports in the folder, quickly forming a mental image in my mind of the production output of the company. As I finished each page I handed it to Susan who was likewise forming an opinion of the production. Edith came in as we read and brought in our tea, some coffee for Mr. Kelly, and some butter cookies. She set a small table between Susan and myself on which she placed the tea, milk, honey, sugar, and the cookies.

We thanked Edith and prepared our tea, waiting until she had left the room before beginning our discussion on the production reports. Not that there was anything secret about them. She had probably typed them.

"Mr. Kelly….George, I see from the reports that there has been a steady decline in output over the past several years."

"That's correct. There are a couple of reasons for the decline. Number one is the company ownership. We were acquired several years ago in a buyout of our corporate parent. Our new parent, AGI Foods, never really embraced our company. They were more interested in the companies that supported their main focus of farming supplies and food production. Our distribution never received any support from corporate and as demand for our products decreased, we naturally reduced production, although we always had surplus available for immediate shipment. I'm sure it has been our three-year decline that has prompted AGI to consider selling us off. And we couldn't be happier than to become part of Ameri-Moore. Your primary focus, indeed your only focus, is wood and wood products. Our three-year decline has AGI scrambling to divest themselves of what they consider to be a white elephant, and Ameri-Moore has a chance to pick up a bargain."

"As you say, George, our primary focus is wood, and wood products. We do have other divisions which are focused on cattle raising, and textile manufacturing, but if this deal goes through you would become part of the wood products division. You said there are a couple of reasons for the decline. What's the other one?"

"One of our major customers has fallen on hard times. They have severely cut back their purchases each year for the past three years. With Ameri-Moore's distribution channels, our production can quickly return to our previous levels."

"What products does your 'major' customer produce? The current economic climate is very healthy."

"He's a paper producer. Piermont Paper Products. It's not related to the economy really, and it's actually a pretty sad story. Six years ago they were on top of the world. At that time, South-Core Paper tried to buy the company for 10 million. The owner didn't want to sell. His business was growing phenomenally, and he wanted his three sons to take over the company when he retired. Just after the offer by South-Core, they did a major new expansion. And I mean major. They almost doubled their plant size, replaced most of their oldest equipment with state-of-the-art stuff, and seemed destined to keep growing. Then, three years ago his sons went out together one night for a little relaxation. Next day they found their car in a deep ravine. All three young men had died in the crash."

"Foul play?"

"No. They had been partying and drinking heavily. The cause of the accident was attributed to drunk driving. Matthew, the oldest, just drove off of the mountain. Anyway, after the accident, Matthew Sr. just sort of gave up. Seeing all of his children buried on the same day can do that to a father. I understand that he rarely even comes into the plant anymore. Without a firm hand on the tiller, any ship will eventually flounder. Anyway, I understand that the sharks are circling. Matt funded most of the expansion on his own, but borrowed some as well, and now he's behind on his payments. If my information is correct, he still owes about a million and a half to the banks."

"That's too bad. I can sympathize with him. We lost our father when a drunk driver ran into our car. It must be worse to loose all of your children in one accident."

"Yes, it devastated him."

"What will happen to the plant if the bankers foreclose?"

"The worst part is that half a town will be out of work. The bank may try to find a buyer, or perhaps they'll sell off the equipment."

"What about South-Core? They were interested once."

"Matt contacted them but they claimed that they weren't interested."

"Claimed?"

"That's what Matt told me. I think that they're just looking to pick up the plant for peanuts. If the bankers foreclose, they can step in and acquire the place for, oh— maybe 2 million, or even less. As I said, I think that he owes about 1.5 million. The bankers would do quite well if they foreclose on him and then sell to South-Core for 2 mil."

"That quite a difference from 10 million."

"Yes, it is. Of course, parts of the plant have been closed and I have no idea of the current condition of the equipment. Also, they've lost many of their customers over the past several years. The value of the plant, and the business, has definitely diminished."

"If South-Core, or some other paper producer, acquires the property, do you think that we'll regain the business that we have lost?"

"Yes, I do. As long as the buyer is not just buying to acquire the equipment and then move it. We're the closest mill and can underbid any competitor who would have to bring in his product from a distance. Do I understand from your tone that the deal is set? Are you giving your approval for Highland to become part of Ameri-Moore?"

"It's not my decision."

"Isn't it? AGI corporate told me that you were the final authority. If you approve then the deal is done."

"Well, I have a certain amount of input. In any event, I haven't made a determination yet, but I am satisfied by what I have seen so far."

We finished our tea and began our tour of the plant. We hadn't brought our hard hats, so Mr. Kelly gave us 'visitor' hats to wear. Everything that I saw compared favorably with Ameri-Moore's plants. The employees were busy, and openly friendly when approached. I didn't see anything amiss in the plant, and the whole tour took about 3 hours. It was just before noon when we returned to Mr. Kelly's office.

"Well DD, what do you think of my operation?"

"I'll have to reserve judgment until I complete the inspection, George. Will you be accompanying us to the logging sites?"

"Yes. But before we go I've arranged for a light lunch in our conference room. If you'd like to follow me?"

Mr. Kelly led the way down the hall and into a small conference room. The conference table had been draped with a tablecloth, and set with four places. Another man was seated at the table and rose when we entered.

"Ladies, I'd like you to meet John Balicour," Mr. Kelly said. "He's my Site Supervisor. He'll be accompanying us on the remainder of your inspection tour. John, this is Miss Darla Anne Drake, and her sister, Miss Susan Drake."

"Ladies, I'm very pleased to meet you. I've followed your careers in the trade papers. You've caused quite a stir in our industry and I look forward to being associated with Ameri-Moore."

"Thank you Mr. Balicour. And we look forward to touring your operations this afternoon" I said.

"Ladies," Mr. Kelly said, "a local restaurant has provided us with three selections, a vegetarian plate, a seafood plate, and a chicken plate. What is your preference?"

Susan and I both chose the seafood plate, while Mr. Kelly and Mr. Balicour enjoyed the chicken plate. I assume that the secretarial staff got to select from the remaining dinners. During the meal we made small talk about the logging industry rather than talking about the immediate business at hand. Susan had been quiet throughout much of the morning but now she joined in the conversation and showed me how much knowledge she had been acquiring about our industry in recent months. She had no trouble holding her own during our conversation.

After lunch we climbed into a jeep for the trip to the logging site. I had gone to the car to tell Earl that we would be away for a while but he was sleeping in the front seat and I didn't want to wake him, so I left a note with Mr. Kelly's secretary instead. The ride to the nearest logging site took 40 minutes. Since we didn't have to review any paperwork the tour didn't take very long. Again I didn't spot anything that set off alarm bells, and I was looking very hard. I asked Mr. Balicour to stop on one spot and we sat in the jeep and watched the operation for ten minutes. It was obvious that the loggers knew their jobs and performed them well. I noticed that harvested areas had not been clear-cut, and that replanting operations were under way. Care for the mountains were always important to me. Timber is a renewable resource, but you have to prevent soil erosion and plant the next generation of trees. During our tour we passed other areas that had been cut in recent years, and it was obvious that care for the mountains was not just a recent concern up here. The site was not as busy as I would have expected had I not known about the reduced production.

When we had completed the tour, Mr. Balicour said to me "Is there anything else that you would like to see Miss Drake?"

"I'd like to tour the other sites, Mr. Balicour."

"Very well, but we don't have any logging operations going on right now. This is our only active site."

"I understand, but I'd like to see them anyway."

"Yes, Ma'am. Do you get air-sick?"

"I never have."

"I can get a helicopter up here and we can fly over each site if that would be satisfactory? That's the method that we use to keep an eye on things. Since the sites are so remote we keep an eye out to make sure that someone doesn't set up a camp on our lands."

"That would be satisfactory Mr. Balicour."

Using his two-way radio, Mr. Balicour arranged for a helicopter to meet us. An hour later we were lifting off and twenty minutes later we were at the furthest site. We worked our way back towards the active site as the afternoon wore on. By 5 p.m. we had completed our tour of the sites. I had expected to spend three days here as we traveled to each location, but the helicopter had allowed us to see everything, from tree top level, in a matter of hours. We could not have properly inspected each site this way if active logging operations were being done. The ride back to the mill took just 20 minutes from the spot where the helicopter had picked us up.

We went back into Mr. Kelly's office upon our return to the mill. Edith was still there even though the rest of the staff had left for the day.

"Is there anything else that I can show you, DD?"

"No, George. I believe that I have seen everything I need to see. My recommendation will be to consummate the deal."

"Wonderful. It's a pleasure to be working for you, DD. I hope that you'll be conducting our inspections. I have enjoyed spending the day with you and your sister."

"Thank you, George. I've appreciated your hospitality. I'm sure that we'll be meeting again."

After a few more pleasantries Susan and I left. We said goodbye to Edith on the way out and then woke up Earl as we climbed into the car. He was a little disoriented at first, but quickly got his bearings and 30 minutes later we were back at the hotel.

"7:30 again tomorrow, Miss Darla?"

"No. 8:30 tomorrow, Earl"

"Yes, ma'am. Have a pleasant evening."

"Thank you, Earl. You too."

Back in the room Susan said, "This went a lot quicker than I expected."

"Me too. But I didn't realize that most of the sites were not active. There was no sense touring each site on the ground when there wasn't anything to see that we couldn't see from the air."

"Should we call Captain O'Toole and tell him that we'll be leaving in the morning."

"Not just yet, Suz. I'd like to visit the Piermont Paper Products factory tomorrow to see if I can arrange a tour. Mr. Kelly said that they had replaced a lot of their equipment with state-of-the-art stuff a few years ago after South-Core offered them $10 million. I'm curious as to why South-Core isn't interested any longer. And although the factory may not be a success story right now, I'd like to see the process of turning wood into paper. I got fascinated when I read the book in Auntie's library. Imagine, the process has been going on for almost two centuries, but how many people would be able to describe how it's accomplished."

"Okay, Darla. I think that it would be interesting to see also."

"Great. Let's get ready for dinner."

Our meal in the dining room was excellent. After we ate, we returned to our room and spent the next several hours preparing our evaluation report for Grandma. We covered every aspect of the lumber operation, including the topic of the declining production and the reasons behind it. No mention of that fact had been present in the reports that we had received prior to coming to Vermont. The reports had mainly concentrated on the potential production rather than the actual production numbers. Tomorrow we would try to determine the chances of reviving part of the lost business when we went to Piermont.

Before getting ready for bed we called home and spoke with Mother and Auntie. Then we performed our evening ritual and went to sleep. In the morning, we received our wake-up call and set about getting ready for our day. We had an extra hour today so we weren't so rushed. We modified our appearances today to look a little less businesslike. We would be asking a favor from someone that we didn't know, and a more pleasing appearance might help our cause. We even had time for a full breakfast today. At 8:30 we left the hotel and were picked up at the curb by Earl. I gave him the address of Piermont and he managed to find it on his map.

Twenty minutes later we entered the grounds of the plant. The first thing that I noticed was that the guard booth was empty. Earl drove across the mostly deserted parking lot and pulled into a 'visitors' parking spot right next to the entrance to the 'Offices' building. I felt that the lot was awfully empty for a Tuesday morning. Susan and I climbed the stairs and walked into a reception area.

A woman at a desk looked at us and said, "I'm sorry but we are not hiring at the present time. Have a nice day," before returning to her newspaper.

I stepped up to the desk and said, "Good Morning. My name is Darla Anne Drake. I'm the Vice-President of Examinations and Surveys for Ameri-Moore. I'd like to speak to whomever is in charge here, please."

The woman stopped reading her paper and looked at me. "You're a Vice-President at Ameri-Moore? Look, little girl, talking to the boss is still not going to get you a job. We're not hiring. End of story. Now take your little playmate and get out of her before I have to call someone."

"Call someone," I said defiantly and I took a seat in one of the chairs along a side wall. Susan sat down next to me.

The woman stared at me for a minute and then shrugged her shoulders. She picked up the phone and dialed several numbers. I heard her say into the phone "I'm sorry to bother you, sir. This is Doris at reception. I have a situation here. Two young girls are asking to see Mr. Piermont. I told them that we're not hiring but they refuse to leave. Should I call the police, sir?" She waited for a response, then, "One of them said that her name is Darla something and she claims to be the Vice-President of Ameri-Moore, but she can't be more than 16 years old."

Another pause, then "Very good, sir."

The woman hung up the phone, then folded her paper and put it into a drawer. She cast several looks our way but largely ignored us. Several minutes later, a door at the end of a long corridor burst open and in ran a young man that I guessed to be between 25 and 30. He was out of breath but managed to say, "DD? Are one of you Darla Anne Drake?"

I nodded.

"This is a real pleasure, DD. May I call you DD?"

I nodded again.

"Please come into my office."

Susan and I stood while the man addressed the receptionist who was staring with her mouth open. "Doris, bring some coffee for our distinguished guests." Then looking at us, he said, "I'm sorry. Do you drink coffee?"

"We prefer tea, if you have any," I said.

"Doris, two teas and one coffee."

"Yes, sir." Doris replied.

The man pointed down the hallway and then hurried on ahead of us and led the way to a large office. The desk was cluttered with paperwork and machine parts, but he had a small area with several chairs and a sofa. He invited us to take a seat and we sat on the sofa.

Looking at us he said, "This must be your sister, Susan."

"Yes," I said. "And you are?"

He looked at us sheepishly and said, "I'm sorry. I got so excited about your visit that I didn't introduce myself. I'm John Fahey. I'm Chief Engineer and Operations Supervisor for the plant. I heard that you were coming into the area to inspect Highland. I ran into George Kelly light night. I'm pleased that things went well. They're a great bunch up there and we certainly don't need any more unemployment in this area. Perhaps now the local economy will improve a little. I assume that Ameri-Moore intends to resume full production at the logging sites and mill. It would be great to see the 'For Sale' signs start to disappear from the businesses and homes."

He stopped talking when Doris brought in a tray containing the coffee, tea, milk and sugar. He thanked her and resumed talking when she left. "So, to what do we owe this visit?"

"I was hoping to get a tour of your plant, Mr. Fahey. I understand that you've been Highland's biggest customer in the past."

"It would be my honor to show you around; and, call me John, please."

"Okay, John. Please tell me about the history of the plant."

As we drank our beverages, John related a brief history of Piermont Paper Products, skipping over the monetary problems that currently plagued the company. When we had finished our tea he conducted us on a tour of the plant, which was divided into two main buildings. Both were enormous, but while one was only a few years old, the other had to be forty or more years old, although it appeared to be in sound condition with a solid foundation, all windows, doors, and walls intact, and no apparent leaks in the roof. Both buildings were filled with modern equipment, but only the older building seemed to be in operation. The newer building also contained warehouse space, but that space was largely empty. Empty warehouses can be good signs or bad. In this case I assumed it to be bad. I enjoyed the tour and John was an excellent tour-guide. He explained how the wood was ground into pulp and then mixed with an acid to break down the cellulose fibers. He explained how rag content determines the quality of the paper, and many other factors such as watermarks. I was able to associate everything that I had read with the actual processes. And on a couple of occasions, when he began to gloss over a technical point, I asked a pointed question that forced him to elaborate on the process more than he had intended. After the tour, we returned to his office and took our former seats.

"So, what do you think about our operation."

"Most impressive, John. Do you think that you'll be stepping up production in the near future? I ask because we'll need a larger market when we increase logging operations."

A pained expression crossed his face. "I don't know. Right now I'd have to say, no. I left out a few facts when I gave you the history of Piermont."

"You mean about Mr. Piermont losing his three sons, and then losing interest in the business?" 

"Partly," he said, looking at me guardedly.

"And about the fact that Mr. Piermont is late in making his payments to the bankers who financed the expansion six years ago."

He looked at me and scratched his cheek. "I can see that the newspaper articles about you are correct. What's the real reason for your visit today? I saw you looking at the buildings like you were appraising their value. And your questions showed me that you already know about paper manufacturing. Are you here on behalf of one of our rivals?"

"No. I only represent Ameri-Moore."

"You have an awful lot of knowledge about Piermont's business."

"Is it a secret? Your parking lot is mostly empty on a Tuesday morning. One of your main production buildings is all but closed down. Your warehouse is empty. And I've seen your wood chip orders for the last three years. I know that you had a major expansion six years ago, and that it has been too short a time to repay the loans, in light of your reduced business each year. The receptionist told us that you were not hiring without even asking why we were here, and you're concerned about the loss of jobs in the area. Sounds like a company going down for the third time, to me."

He looked at me with a kind of wry smile on his face. "Sounds like you've put the whole story together." Then after a brief pause, "Well, you're correct. We're all but closed now. I know that the old man is heartsick about it but he's just given up. We're about $75,000 behind in payments to the bankers and they're threatening us with foreclosure. He's tried to find a buyer but hasn't had any success. At this point I think that he would be willing to sell just for what he owes. He's afraid that the bankers will foreclose, sell the property for less than the amount he owes, and then come after him personally for the rest. Not that he has very much left. He's put everything that he has into the business. He's tried to keep it going so that the town doesn't collapse. This area survives because of your logging operations and our paper production."

"But at least the business would survive if someone buys it from the bankers?"

"Unless their reason for buying it is to strip the equipment and ship it elsewhere."

"Would that be worthwhile?"

"Hell yes. I'd put the value of the equipment at 4 million, so even taking into consideration the cost of disassembly, it could be a bargain for someone looking to expand or upgrade their company. I suspect that our failure to find a buyer has something to do with South-Core. They have enough weight to convince anyone from stepping in. They were hot to acquire us 6 years ago and now they feign disinterest."

"You think that they're lying about their interest?"

"Yeah, I do. Why pay several million for something when you can pick it up on foreclosure for half that."

"But they can't be sure that they'll wind up with it once it goes to foreclosure?"

"Once the bank takes over, they can sell to whomever they want. If South-Core has them in their pocket, as I suspect they do, then the deal is probably already made. Ya know, I was kind of hoping that you were here representing another buyer. I would love to see South-Core loose this plum when they could have picked it up cheap, just because they waited to get it at a foreclosure-sale price."

"How much would it take to buy the plant right now, before the foreclosure?"

John sat up straight. He had slowly slumped as we talked and the depression colored his mood. "You think that you might be able to find us a buyer?"

"I know a lot of people in the industry. A buyer might be found in time to avoid a foreclosure."

For the first time since we had come back to the office, he smiled. "That would be wonderful. I would LOVE to stick it to South-Core."

"So how much would be required to buy the plant?"

"Let me call Mr. Piermont and ask. Better yet, let me see if he can come down right now."

John hurried over to the phone on his desk to make his call. Susan leaned over to me and whispered in an urgent voice, "Darla, what are you doing? You don't know anybody in the paper manufacturing business. Do you?"

I whispered back, "We know lots of people in the wood industry, and we know one person who is both in the wood industry and the textile industry. Paper is made from wood and cloth. One and one makes two, Susan."

"Are you saying that you think Grandma would buy this plant? That's ridiculous."

"Susan, Grandma loves a bargain. And this is a bargain if I ever saw one. It would help this area, where we'll very shortly have a mill, it would provide a market for our lumber, and it would help these people. I can't see a down side."

"Well, as long as you don't commit to anything until you speak to Grandma."

John returned from his desk and sat back down in the chair that he had been occupying. "He's on his way down. He should be here in about 10 minutes."

"John," I said, "tell us about yourself. You seem awfully young to be in such a responsible position."

He chuckled a couple of times before saying, "DD, that's funny coming from you. I'm twice your age."

I smiled and said, "Okay, point taken, but you know what I mean."

"Yes, I do. My story is quite simple. I was in the right place at the right time," John flashed a quick smirk, "if you feel that I am in an enviable position here. I'm originally from this area. After I graduated from college five years ago I applied for a position with Piermont. They were in the midst of their big expansion and things were going great guns. I was hired as a junior engineer and I fell in love with the job, and the plant. When Mr. Piermont's sons died, there was a realignment in personnel to cover the vacant positions, and I was promoted to senior engineer. Things have gotten progressively worse in the company following the deaths. Mr. Piermont got lost in despair and grief, and rarely came into work after it happened. The business slowly disintegrated as we lost accounts and employees. As business slowed we didn't replace people when they left. When the Chief Engineer resigned this past winter, I was moved into his position.

The truth is that I am the only engineer left. When I came here we had seven. Two on each shift and the Chief Engineer. We only run one shift now or I could never keep up with it. Six months ago the Operations Supervisor left and I assumed his duties as well. As the business has spiraled downward at an increasing rate I have had to lay off most of our people. Right now we are only filling existing contracts. Many of our long time customers have left us because we couldn't guarantee timely delivery. Our entire sales department walked out six months ago. I suspected at the time that South-Core was behind it because none of the employees would tell me the reason, or what their plans were. Losing our experienced sales team was the final blow and we haven't recovered from it. I'm wearing too many hats now. Keeping the plant running is all that I can handle. I can't handle sales and administration also."

"That quite a story, John. I applaud your loyalty and hard work. Do you think that Piermont would ever be able to win back the customers that it has lost?"

"Oh, sure. They were very happy with the quality of our products and our service. They just feared that they would be left high and dry if we went under. They wanted delivery assurances that we were unable to give them. If you find us a buyer with a solid reputation, and solid funding, I think that we can get most of them back within two years."

"What about experienced employees?"

"Most of them are still unemployed, or doing menial jobs just to survive. I could fill the parking lot tomorrow if we started a recall. Most of the management types have moved on though. Their skills were more marketable and their higher salaries gave them more mobility. The 'little' folks can't just walk away from their homes, and nobody is buying."

The office door opened suddenly and gray-haired man of about sixty years strode in. He was over six-feet tall, and my first impression was that he was a close relative of Howard Keel, the actor. Despite the look of utter despair in his eyes, his body looked strong and powerful.

"Okay, Johnny, what's the emergency?" he asked loudly.

"Mr. Piermont, this is Miss Darla Anne Drake and Miss Susan Drake of Ameri-Moore. DD is Vice-President of Examinations and Surveys. Her sister is part of her team. They're in the area to make the final examination of Highland Lumber. If Miss Drake approves then the deal is done, and she has approved the purchase."

Looking me over from head to foot, Mr. Piermont said, "You're trying to tell me that this little girl is a Vice-President of Ameri-Moore?"

"Young lady, sir."

"Wait a minute. Is this the… 'young lady'… that caused all those conspiracy problems a while back?"

"Yes, sir."

I spoke up for the first time. "Actually, I didn't cause the conspiracy problems, Mr. Piermont. The conspirators did that. All I did was uncover their crimes."

Mr. Piermont turned to look at me, and smiled. "I stand corrected. How do you do, ladies?"

"We are well, thank you," I said.

Turning back to John, Mr. Piermont said, "Now, what's the problem that requires me to get down here immediately?"

"I felt that it was important that you meet with DD. She may be the answer to our prayers."

"What do you mean?"

"DD has deduced our problem and asked what it would take to keep us from being foreclosed out of business."

"This… young lady… knows our situation?"

"Yes sir. She has made observations, including information about our buying patterns with Highland, and arrived at the correct assessment of our situation. She asked me what it would take to keep us from losing the company to the bankers and I told her that that information would have to come from you."

Mr. Piermont turned to me and looked me over from head to foot again. "And why should our problems interest Ameri-Moore?"

"You have been one of Highland's biggest clients in this area. Naturally we're concerned about the possible loss of your account if your plant is disassembled and taken away, not to mention the economic hardship that the area would suffer."

This last part made him wince. Looking thoughtful he said, "Well, Miss Drake, I can offer you this entire plant, lock, stock, and barrel, for the bargain price of 5 million dollars."

"Mr. Piermont," I said without hesitation, "you've lost your contracts, you've lost your employees, and you're about to lose your business, but it's wonderful to see that you haven't lost your sense of humor."

Mr. Piermont glared at me for a minute, and then lost his self-control. He threw his head back and laughed uncontrollably for at least 15 seconds. When he stopped laughing he said, "I like you little lady. You say what you think, and you think like a businessman."

Mr. Piermont walked over to one of the chairs and sat down. "Won't you join me" he said to no one in particular. We all sat in our former seats.

"Okay, young lady, tell me what you have in mind."

"When is the bank going to foreclose?"

"At the end of next week unless we manage to bring our account current."

"And your arrears are how much?

"Seventy-five thousand."

"And if the bank forecloses, they sell the property for peanuts and then come after you personally for the balance. Bankruptcy will save your home but not much else. Is that correct?"

"More or less."

"How many stockholders are there?"

"Just one. The stock I issued to my sons reverted to me when they died."

"So what will it take for you to sell the business before they can foreclose? You avoid bankruptcy, protect your personal assets, and wind up with a nest egg for yourself."

Mr. Piermont looked at me steadily. "You know of a buyer?"

"I might, if the price is right. I realize that it is going to take a lot of money and effort to put this business back onto its feet."

"We owe 1.68 million on our loan. Figure another 300,000 in account payables, much of it to Highland, and that puts our liabilities at around 2 million. Half a million would provide for me for the rest of my life. So if you can find a buyer with 2.5 million before the end of next week, they can have my plant, and my heartfelt thanks."

I sat and thought for a minute while everyone stared at me. I hadn't been sleeping during those Friday meetings that I had attended at the company headquarters in Portland, and I had developed a basic understanding for how high finance functions as a result of listening to hours of boring reports. "I have an alternate proposal."

"I'm listening," Mr. Piermont said.

"Five hundred thousand to you, payable in annual installments of one hundred thousand. First payment in thirty days, then additional non-interest payments on each of the next four anniversaries. You turn over 100% of the stock in exchange for a promissory note. This relieves us from having to restructure the debt, unless it proves advantageous, and we assume responsibility for arrears immediately. You're out clean, and you're provided for."

"How old are you Miss Drake?" Mr. Piermont said.

"Thirteen."

"Well you sound like you're thirty. You have a deal."

"Wonderful. If we can get that agreement typed up as a letter of intent and notarized, we'll move ahead with the transfer. We will also need your statement that there are no other liens on the property. I would also like a list of whatever telephone numbers you can be reached at for the next week. If you have to be away from all of them, please make sure that someone who can get a message to you immediately is available at one of them at all times."

"You sure that you are only thirteen? God, I suddenly feel very old."

John summoned Doris, and Mr. Piermont dictated the letter. When it was typed, we signed the copies, and Doris, who happened to be a notary, witnessed it. I looked over at Susan and saw the anxiety in her eyes but she didn't say a word.

With our business concluded I asked if I might use the phone. Mr. Piermont said, "Hell, young lady, you own it, go ahead," and smiled.

Digging into my purse I found the number that Captain O'Toole had given me. The hotel switchboard answered and I gave them the room number. No one answered and I asked the switchboard operator to page the captain. Several minutes later the captain answered. "Captain, we're ready to leave. Yes, non-stop to the ranch. How long before the plane can be ready? Two hours? Thank you, Captain. We'll see you at the plane."

When I hung up the phone, Mr. Piermont said, "Damn, that's the way to travel. Your own plane and flight crew."

"It does save a lot of time and effort over commercial carriers. And we avoid a lot of time traveling to the airport by having a runway in our backyard."

"Miss Drake, it has been a pleasure meeting you. I shall have my first good night's sleep in months thanks to you. And you are getting a wonderful deal. We estimated, back when we began our expansion, that our gross sales should exceed 20 million annually, by this year. If not for my personal tragedy, I'm sure that we would have reached that goal. If you are half the business person that I believe you to be, you will turn this business around and make it a huge success."

"Thank you, Mr. Piermont. I don't know if I shall have any involvement with this company, but you can rest easy that the people of this area will have employment if I have anything to say about it."

"Call me Matt, please. And may I call you DD?"

"Please do, Matt."

John spoke up, "DD, do you have any instructions for me?"

I smiled at him and said, "Just keep performing as you have been, John. You'll have help very shortly that will lift some of the burden from your shoulders. It may take a couple of weeks to get things organized and bring new administrative staff on board."

John smiled, "I think that I can hold things together for that long, especially knowing that things are about to get back to normal around here."

"John, do you have any copies of that picture." I said pointing to the wall behind his desk.

"The aerial shot? Sure. Not that big though. That one is about 30 by 40. I found a folder of 8 by 10's when I took over this office. We use them for publicity. How many would you like?"

"Three should do it."

John dug through his filing cabinet and produced the three pictures. After that we said our good-byes and left the office. Doris stopped me on the way out to apologize for her behavior earlier. I said, "I understand your attitude earlier since you didn't know me, and since I had shown up unannounced. I won't hold it against you if promise to treat ALL visitors with respect in the future, and no reading of newspapers, or novels, while there are visitors in the waiting area. Agreed?"

"Absolutely, Miss Drake."

"Very well, Doris. Goodnight"

She said with an obvious sense of relief, "Goodnight, Miss Drake." I guess that she expected to be dismissed for being rude to the new boss.

Earl was napping in the front seat of the car as we entered. We woke him up and asked him to take us back to the hotel. I told him that we would be checking out and returning to the airport in two hours. Susan held herself in check until we were back in our room, then she exploded.

"DARLA ANNE DRAKE, ARE YOU CRAZY? YOU JUST SPENT TWO AND A HALF MILLION DOLLARS." Lowering the volume a little she continued with, "Grandma is going to skin you alive. How could you do that without talking to her? I think that you should be committed. She sent us up here to examine a mill and you wind up buying a factory in another industry. Oh my God, I'm afraid to face her. She'll never trust us again."

"Susan, calm down. I'll take full responsibility. It was my decision and if Grandma is unhappy, then I shall make sure that no blame falls on your shoulders. Besides, I still think that it's a good deal."

"And what are you going to do if Grandma isn't interested in YOUR deal?"

I didn't have an answer for that, so I said, "Let's get packed so that we can grab some lunch before we have to leave."

 

(continued in part 19)

 

 

 

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