The Story of Charlie Mullins

by Jim Wygand

  Charlie was taking notes. “OK, Bill then the first order of business is to remove any assets and liabilities the company has for the private benefit of the family. By the way, what are the chances that some family members won’t have the money to cough up their share? Some of them live pretty high on the hog.”

  “Phil and his father have agreed to privately finance any family members if they don’t have the cash. I expect that Old Phil’s divorced daughter might have a problem. She goes through money like some people go through candy.”

  “Is there any chance that some family member will leak information about all this?”

  “Not now, no. None of them wants to do anything that will cut off their share of the pie. Money has a way of encouraging people to keep mum, you know. They like their polo ponies and high life. Besides, most of them won’t even know what the hell is going on. As long as they get their monthly stipends from the family trust fund, you can count on them to be in an alcoholic fog most of the time and talking nonsense with their hoity-toity crowd. That won’t be a problem, at least for a good while. But Warren will keep us informed. Warren also handles the family’s private affairs and that means fixing DUI charges, paternity suits, abortions, and the like. He knows how to deal with the Shaw family.”

  “I should add that Phil Shaw has asked me to discuss his return strategy with you. He knows that you have been working on next quarter’s operating budget figures. His plan is as follows: When he returns to the company and everyone is convinced that the CEO is back, he is going to hold a press conference. He will thank all those people who sent letters and get well cards and the rest of that kind of stuff; say how glad he is to be back in command, and so on. Then he will say that while he was convalescing he had a chance to evaluate his own performance as CEO and concluded that since he took over the company from his father he might have been too timid in seeking to expand the Shaw Corporation. He will state that by the time he retires at what he hopes will be the ripe and mandatory retirement age of 65 the company will be twice its current size. He will make it clear that he has a long term strategy in mind and joke that if he could stay around after 65 he would love to do so to continue to manage the results of his efforts.”

  Cummins continued, “He’s going to have to say something because we will have to involve the operating departments in the evaluation and selection of many of the acquisitions. You can’t acquire companies on the sly. This can’t seem to be secret. It has to look like it is a strategy and that Phillip remains firmly committed to staying in charge. He will say that he and he alone will coordinate and control the execution of his expansion strategy. You will not be mentioned. First of all that would send Fred right up the wall and he would wonder if you were next in his chair. Second, no one wants to draw attention to you because the press would be driving you nuts. Phil and the PR department will handle comments to the public.”

  “It sounds like a pretty logical strategy to me, Bill.” Charlie replied, “We certainly would find it difficult to keep acquisitions secret. People would immediately assume that something like going public might be why everything is hush-hush.”

  “Right, so we agree. I will tell Warren that the strategy is approved.”

  “Let’s get some sort of action plan put together now,” Charlie said, “I want to have some idea of the sequence of events. As I see it our second step is to analyze the needs and opportunities of the operating departments. Before we can look at acquisition targets, we will need to figure out what kinds of businesses will be attractive and add value to the company. I know, for example, that the Chemical Division has been complaining that it needs a technology boost. New product formulations are needed as well as some new products. We would find ready acceptance of any project to address that need. Moreover, it would make tremendous sense to the market.”

  “I agree, that’s precisely why Phillip wanted you involved in this project. He knows you are aware of the needs of the operating departments and can get their support for acquisitions without raising any red flags.”

  “What about Perkins?” Charlie asked.

  “Phil Shaw will have a conversation with him and ‘ask’ his cooperation. He will tell Perkins that the ideas are his and he will keep Perkins informed. That will certainly neutralize any opposition from Fred. He’ll be so anxious to please Phil he won’t dare try to criticize any of the acquisitions.”

  “Boy, Phil has him down pat, doesn’t he?”

  “Never underestimate Phil Shaw, Charlie. He stays in his father’s shadow because it is convenient for him to do so. Let the old man be the hero. Phil has a quick mind and a good nose for business. A lot of times when the son succeeds the father the company suffers. Phillip held his own, professionalized the company’s management, quietly recruited good people, and stayed in the background to let them do their thing. But he has his finger on every project in this company and knows full well who is doing what and who his friends and enemies are. How do you think he knows about you?”

  “I don’t have the slightest idea, Bill.”

  “Phil’s VPs talk to him about their investment plans. They don’t just talk in committee meetings. They talk to him on the golf course or at the country club, too. They have told him how difficult Perkins can be and he has told them how important Perkins is to keeping things tight. None of them can stand Perkins but they respect his professionalism. They have made it clear to Phil that when you came on board they thought they might have a good interface. They were right and they all know that getting their projects through Perkins means working with you first. You think Phil Shaw doesn’t know that? Why do you think you got promoted so quickly in the company? Phil Shaw would never undermine Perkins by calling you into his office to talk to you. That’s not his style. Instead, he just mentions you to Fred once in a while. That’s enough to remind Fred to say at least neutral, and sometimes even good things about you in performance evaluations. Phil can read Fred like a book and play him like a good musician plays a violin.”

  “I’d never figured Phil Shaw to be so Machiavellian, Bill.”

  “You don’t run the Shaw Corporation by being a Boy Scout, Charlie. The old man was tough and straightforward. He called them like he saw them because that was what was needed in a start-up company. Phillip inherited a complex and enormous corporate bureaucracy. Being tough and straightforward would have left him vulnerable to a lot of very subtle sons of bitches that now work for the company. Old man Shaw was like a warrior-king. Phillip is a prince. Old man Shaw saw and conquered. Phillip sees and negotiates. Each has a mind like a steel trap but the old man had to make his known and feared. Phillip keeps his a secret until he needs it. He can make himself feared if need be, but he prefers ‘corporate diplomacy’. But believe me, he is no stranger to the power game.”

  “Maybe it would be a good idea to tell you something about Phillip Shaw II before we go further, Charlie. Phillip would have his own mother whacked if she got in the way of his running the company. His father picked him over his other brothers and sisters because Phillip had the right amount of ruthlessness and polish at the same time. The old man knew that he would not be able to run the company he himself had built. He was an entrepreneur. He took chances. He beat his competitors to the punch. The same behavior that built the company would not serve to advance its interests today. He was wise enough to recognize that. He felt it as he went to meetings with ‘Junior’ going along at his side. At precisely the right moments, ‘Junior’ would call for a break and get his father’s permission to intervene. When the break was over, ‘Junior’ would come back and close the deal or shut it down completely. You should know that he hates bankers – I mean really hates them. I’ve seen him verbally tear bankers to shreds without so much as raising his voice or saying a nasty word. Phil Shaw is a ‘swordsman’ to his father’s ‘boxer’. He would not tire of cutting you 40 times before dealing a final blow. If he thought you were underestimating him, he would cut you 60 times. He would not get angry or
show any emotion whatsoever. He would just cut away at you to make sure you understood his tactical superiority. He’s the kind of guy that Lyndon Johnson was referring to when he said he would rather have the guy inside his tent pissing out than outside the tent pissing in. However, Junior’s loyalty can be fierce. He is as loyal to you as you are to him. He’s the kind of guy you would like to have as a back up in any tough situation. But only if he knew that you would back him up the same way that you expect him to back you up. Otherwise, he would just put a bullet in your back.”

  “Many who know Phillip observed that they did not believe he had a heart attack because he does not have a heart. I know that does not match his public image, but it’s pretty close to the real thing. Although I have never heard him say it, I am sure his motto is and always has been: Never get mad, always get even!”

  “Wow! Who would have thought it? He always looks so relaxed, calm, and affable.”

  “Relaxed and calm he is, Charlie. I would stop before I said affable. Slick is a better word.”

  “So, Charlie, that’s the guy you’re working for. Don’t cross him and do your best. He will appreciate it, I can assure you. He won’t be unreasonable because he knows the limits in the business world. He is comfortable in that environment. I think one of the real reasons he wants out is because he might have political ambitions. I don’t really know. Nobody really does with him. But I tend to think he is a bit bored by just sailing on an even keel. He will enthusiastically welcome being involved in an expansion, but once it’s all over, he will get bored again. He is smart enough to know that, so I am sure he has some ace up his sleeve.”

  “It sounds even more challenging than before, Bill. I’m finding businesses for a guy who could easily find them himself if he wanted to. He’s got a sharp pencil and I will have to find what I think he would find. I’ll have to get inside his business mind.”

  “Well, I for one am confident that you can do it, Charlie. I’ve talked to a lot of guys in the company about you and I’ve worked with you in the finance area. You’re as sharp as any I’ve met, so it won’t be that tough.”

  “Well, thanks for that, Bill.”

  “Now”, Charlie said, “let’s get back to our action plan. Phil Shaw will create a plausible story for us to go shopping around. He will pretend he is doing it himself and we will send the targets to him for analysis. So, as I see it, once he has laid the groundwork we should have some companies at the ready. You agree?”

  “Yes, we will lay out what we consider the weaknesses or needs of each operating area and then look around for companies that can fill the need. We give those to Phillip who will either tell us to go ahead or drop it.”

  “Should I prepare a written analysis of the various departments? It might be good for Phillip Shaw to know where we see weaknesses. Maybe he doesn’t see the same thing we do.”

  “Good idea. A kind of ‘white paper’ would be a good place to start. Do you feel comfortable putting one together?”

  “With your help, yes.”

  “OK, I’ve got a full financial report for you in this folder. It lists the assets and related liabilities that have to be taken off the books. They are the personal holdings of the family that have been held in the company’s name. Take a look at those and see how we can move them and then let’s pull together the ‘white paper’. Should Phillip make any changes, we will adapt. If he makes none, then we move to developing a list of targets. When do you want to meet again?”

  “Today is Tuesday, what do you say we meet again on Friday to discuss what’s in the folders? We can set up another meeting then.”

  “Fine”, said Bill Cummins, “how do you feel about meeting here?”

  “We might have to be careful. If I start coming here too frequently people might wonder what is going on. Maybe we could meet sometimes in Warren Carpenter’s office. We’ll have to mix it up. We could also meet in a hotel in Philly once in a while. I could rent a meeting room. No one would know I was meeting you. I could claim it was to meet a banker. We can work something out. But we should avoid meeting always in the same place, I think.”

  “Agreed. Then I’ll see you here on Friday, right? I will call and tell Warren that you are on board. You agree?”

  “Yeah, I’m in, Bill!”

  “You want a shot of scotch to seal this Charlie?”

  “Why not? I might need a lot more before it’s all over!” They both laughed.

  Bill Cummins poured about a shot of scotch into each of two glasses, handed one to Charlie, held up his own and said, “To successfully hoodwinking the excessively curious!”

  Charlie laughed inwardly at the irony of the toast, “I can relate to that, Bill. Cheers!” and they both swallowed their scotch in a single gulp.

  Charlie grabbed the folders that Bill had given him, shook hands with him, and went down to the parking lot. He drove home thinking about the challenges that lay ahead.

  * * * * *

  When he arrived to the apartment Gina was waiting for him with a dry martini. “Hello, big guy. Like a drink? I’ve been waiting for you.”

  “Sorry, Gina, believe it or not I was working late. I had to go over to Camden to meet with Bill Cummins.”

  “That’s what they all say, Mullins! You sure you weren’t out with some floozy?” Gina feigned a serious look.

  “Gina, you can’t be serious after all we have talked about!”

  “Just kidding, my Irish love, just kidding.”

  “Gina, you want to go out for dinner?”

  “I have water ready to boil for some spaghetti, Charlie. I don’t care that much if we go out but if you want to, let’s go.”

  “No, I just wondered if you might not be tired of being at home so often.”

  Gina laughed, “I used to go out often because I didn’t feel like sitting around an empty house. I don’t belong to a bowling league and I don’t play softball. So I would call my friends and we’d go somewhere like the trattoria. But now that you are in my life my house is not empty any more. I could stay inside forever. Well, nearly forever.”

  “OK, I just don’t want you to think that we can’t go out or that I don’t want to.”

  “Charlie, how quickly men forget. Don’t you remember that I invited you to dinner first? I have a mind of my own and if I feel like going out, you can rest assured that I will let you know and it won’t be subtle. It will be Philly style like ‘Hey you! Wanna eat out?’”

  Charlie laughed, “Spaghetti it is, Gina. I’ll open some wine.”

  Over dinner Charlie told Gina about his meeting with Bill Cummins and what Bill had told him about Phil Shaw. Gina was less impressed than was Charlie. “Charlie, I lived all my life with my uncle. Powerful men, truly powerful men, are like that. You never know what they are thinking and you don’t feel their power until you challenge it. Phil Shaw can’t possibly be a Boy Scout and run a huge organization like Shaw.”

  “I know that. I just never thought about what lay beyond his façade, know what I mean?”

  “Exactly, but now you are going to have to know. You’ve got a big challenge ahead of you. By the way, I called my uncle and he said we could meet on Sunday. You game?”

  “Yep, thanks baby.”

  After they had eaten they moved to the living room. Charlie asked, “Gina, could I ask a favor of you?”

  “You want my body, big boy?”

  “Well yes, but that’s not what I was going to ask.”

  Gina feigned disappointment, “OK, what is it?”

  “Could you pick up three large loose leaf binders for me at Office Depot or some place like that?”

  “Sure, you want one with little teddy bears on the cover?”

  “No smart aleck, I think just a plain white, blue, or black would be just fine. I’m going to have a lot of papers and I want to have them all in one place and secure. Do you have a safe or a place where I could lock the binders up?”

  “Charlie, you really need to take ginko biloba. My uncl
e owns this building and the company that manages the property. You remember who my uncle is, don’t you?”

  “Of course…..”

  “Then Charlie, who do you think is going to have the balls, excuse my French, to break into this building much less this particular apartment? This is ‘Don’ Carlo’s place and nobody with good sense is going to break in here! Take my word for it.”

  “Christ, I did forget. I just remember him as your uncle. Yeah, you’re right. So I guess my papers are safe here.”

  “Safer than in a bank, Mr. Mullins, safer than in a bank”, Gina smiled.

  “Now, Mullins, I need to ask a favor of you.”

  “Sure, what?”

  “I need to be sure you are wearing your navy blue silk boxers. You mind if I check?”

  “Be my guest, Gina.”

  “To the bedroom!” Gina cried “I’m gonna pull your shorts down Mullins!”

  They both laughed and retired to the bedroom to make love and go to sleep.

  XXIX

  Wednesday was league night and Charlie would again have to go to Shoreville. He advised Gina over breakfast that he would be home late but that he would return to Philly rather than stay in Shoreville. His day was taken up with budget review meetings with the operating guys and Fred Perkins. Charlie watched in amazement as Fred caved in on everything. He laughed to himself and thought, “Why don’t you just grab your ankles and take it, Fred? You’re popping those antacid pills like jujubes!”

  Charlie decided that he would not stay for pizza and beer after bowling and he was trying to find a plausible explanation to give to his friends. Phillip Shaw was still out of the office and a lot of the guys would have questions. They were worried about their jobs and Charlie was their friend. But he had to go through the financial reports that Bill Cummins gave him.