Chapter 10 Laughing of the Children
When Frank walked into the office the next day the New York financial markets were just opening. In his eagerness to start his workday he'd been a little brusque with Floyd, and that made him feel bad. The older man looked confused with the break in their daily routine.
Frank clicked on the internet and breathed a sigh of relief. Western's stock price had started trading unchanged and that meant that Murray Shoreham had stalled on passing a big block of shares at the opening. His brief visit the day before had been a success. Frank knew that he'd brushed the boundaries of the rules in leaving the copy of the 10-Q exposed. He didn't like doing it; he was in a fight and meant to win.
He'd just begun to lean back in his chair to savor his victory when there was a sharp knock-knock on his door. Before he could answer the door opened and Floyd ventured into the office.
"You forgot this, Mr. Bennett." He was carrying two cups of steaming coffee.
"Hi, Floyd," Frank answered. "I'm sorry I was short with you this morning. I didn't mean it. It's just that I had something on my mind."
Floyd set one of the cups on the desk in front of Frank and settled into a chair opposite. "That's okay, Mr. Bennett. I understand; you've got that troubled look."
"A troubled look for troubled times," Frank mused.
"Anything you want to talk about?" Floyd asked. "I'm a good listener.
"No, no; just the same-old—same-old." He threw his lips around the brim of the steaming cup to give himself an excuse for not elaborating further.
"It's about all that trouble in the stock market, isn't it?" Floyd queried. "Do they have any idea what happened?"
"No—nothing new. I'm getting to the point where I don't even care what happened. We've just got to put it behind us and get on with things."
"I suppose they'll start investigatin' and questioning everyone," Floyd speculated.
Frank chuckled. "Why do you ask Floyd? Getting nervous?" He laughed and Floyd laughed with him.
"Maybe a little, sir. I might better buy a book about the stock market and study up on it, because I won't even know enough to answer their questions if I don't." He laughed again.
"I tell you what," Frank replied. "We'll go fifty-fifty. You read it first and then I will. Then we'll quiz each other, because after everything that's happened I don't think I know much about the stock market, either." That brought a heartier laugh from the two men. They looked at each other with a 'what's next' look.
"You better get outta here before Jeannette comes in," Frank warned. "She's already caught me drinking coffee from you once. Besides, Mr. Warner wrote me an order and said I wasn't allowed to laugh until this whole thing was cleared up."
"Now I know you're pullin' my leg, Mr. Bennett," Floyd answered with a smile. "I've got work to do, anyway." He rose from his chair and picked the two empty coffee cups up from the desk and made his way to the door.
"Hey Floyd," Frank called out as Floyd was just leaving. He turned and waited for Frank's instructions. "Thanks!" Frank said. Floyd touched his right hand to his forehead in a casual salute and left.
*************
Not three minutes passed after Floyd left when Alvin walked into Frank's office and closed the door. He didn't say anything until he took the chair that Floyd had just vacated.
"Another complication," he announced. "We certainly don't need this, but I'm powerless to do anything about it."
"What's up?" Frank asked. "Complications are my middle name."
"Joke if you want to," Alvin said. "You won't like it when you hear it."
"Well, I haven't heard anything yet."
It's just this," Alvin explained. "Herr Mueller is arriving tomorrow. He's insisting on a special meeting of the Finance Committee."
"I'm not surprised," Frank said. "A lot's happened lately. He's sure to have a good dose of heartburn over the Wertheim deal falling apart."
"Heartburn doesn't scratch the surface," Alvin told him. "Jim Sweeney tried to put it off, but Mueller would hear none of it. Lambert is backing Mueller and he carries a lot of weight. Mueller doesn't have a quorum yet, but Jim thought it wiser to accommodate him before he started campaigning with the other Committee Members."
"Better to get everything out on the table sooner than later. If the Board starts splintering we'll have a hard time holding things together. Shoreham and all the others will bail out as soon as there's a whiff of it."
"You should be ready to brief the committee on the whole thing. You'll have to put aside anything you had planned. It would be nice if you had some good news on the Chase deal."
"I would consider that one all but dead," Frank said.
Alvin's jaw dropped. "That's not good. And you said yesterday..."
"I stretched it a little for Murray Shoreham. Officially, we can reopen it, but from the tone I got from my contact there, we shouldn't expect much."
"What're you gonna do?" Alvin queried, in a voice that was pleading for hope.
"We've got some options," Frank answered. "We can go to Chase's competitors, of course. I have a different idea, though. Chase was going to lay off the bulk of the credits to secondary lenders. If I can find out who they were, we can try to put the deal together ourselves without Chase's help. I thought we might layer the R&D needs in tiers and let them come in a layer at a time."
"Do you think that'll work?" Alvin asked, raising hopeful eyebrows.
"It's riskier," Frank said. "It would be easier for any of them to opt out before the process goes its full course. Except for that, it wouldn't be much different because we wouldn't be able to use all the funds at the outset, anyway. My hope is that in a few years Chase will see what they missed out on and ask back in—possibly as a guarantor."
"You'd let 'em" Alvin asked.
"Sure, for better terms."
"Sounds tricky," Alvin pointed out.
"First we've got to get that 10-Q released, and get the rest of this scandal behind us. After that, the big thing will be to perform on the goals for the first tier in order to free up the funds for the second, then the third, and so forth."
"And you're sure we can do it..."