Chapter 666: The Automobile Workers of Kenosha

Since the late sixties, the U.S. corporate bond market has expanded at a rate of $30 billion a year, and after the Reagan administration came to power and the economy improved, U.S. companies have accelerated their financing speed, and the corporate bond market has also risen at a faster rate.

At present, the U.S. corporate bond market has exceeded the huge market value of $700 billion, and Johnson Lin's $3 billion can't make a wave in it.

In addition to issuing corporate bonds, there are also bank mortgages and loans, which can bring in large amounts of cash.

Under the recommendation of John Berg, Lin Johnson met with many senior executives of Citibank, Bank of America, and Chase Bank, and started his road to large-scale borrowing.

Previously, Lin Qiangsheng has always insisted on the way of not borrowing to operate, because of his abundant capital flow, there is no shortage of money, and now the huge opportunity of yen appreciation is in front of him, and he has also made up his mind to borrow money on a large scale.

These bank capitalists, of course, are greedy, and they want more shares in the companies, not only in the field of electronic computers, but also in the American Automobile Company and Saturn Motor Company.

Because Lin Johnson is a super-rich man, these capital giants are not worried that the money they lend in the future will be wasted. What's more, these companies of Lin Johnson & Johnson are all influential large companies in the United States, except for AMC's performance is a little poor, the others are also good, even AMC is worth more than a billion dollars.

It takes a lot of time to calculate the market value and profit expectations of enterprises, so Lin Qiangsheng also specially hired PricewaterhouseCoopers and Ernst & Young accounting firms to audit the financial affairs of many companies, which are among the four major international accounting firms, and the conclusions handed over are also convincing.

After repeated discussions between Lin and Johnberg, Lin and John Berg considered how much company shares they could take out as collateral, and the final result was that Lin Johnson mortgaged $17 billion to the bank. Only 30% of the shares of these companies will be retained, and the remaining 70% will be used as mortgages for up to five years.

Finally, Citibank, Bank of ******** and Bank of America took the lead as the initiators, and invited a number of banking institutions and financial institutions in the United States, Europe and Japan to form a syndicate. Loan funds to Johnson & Johnson Group!

This huge loan, which was negotiated in the ******** Building, has also become a remarkable event in the American financial circles in 85 years, due to the large number of consortiums involved, the huge impact, and the distribution of benefits, etc., the negotiation has been delayed for a long time.

The biggest controversy and disagreement between the parties is the question of how many shares of the company are shared, and often one percent or even one thousandth of the shares involves tens of millions of dollars, and the dispute cannot be too fierce. The meeting was held for a month. The parties formally signed the text of the agreement.

This also made Lin Qiangsheng miss the schedule of the Dongxing delegation to visit the Japanese Honda company, but Tian Jianpeng called, and the negotiations with Honda were still very smooth, and Honda has decided to send a delegation composed of the company's elites to visit the headquarters of the Dongxing company, as well as several automobile factories.

Although Honda Motor Company does not plan to enter the domestic market in the near future, it is necessary to establish a foothold in advance to cultivate cooperative companies.

Lin Qiangsheng also knows that mutual trust is not built in a day or two. Fortunately, both parties are sincere, and Honda really wants the trademark in his hand too much. This is the key to grasping the other party!

The skies in Wisconsin at the end of June have been cloudy, with temperatures of around 20 degrees Celsius and cold rain pouring down all the time.

Lin Johnson took Esther and others to Kenosha County, a county in the southeast corner of Wisconsin, USA, bordering Illinois to the south and Lake Michigan to the east.

The oldest automobile manufacturing plant of the American Automobile Company (AMC). It is located in this small city, this factory has more than 3,000 workers who make a living by making cars, and Kenosha County has a population of about 100,000, so the deposit fee of this factory is indeed a big problem related to the local economy and the people living and working in peace and contentment!

After AMC was sold by Renault. The Saturn Motor Company took over the company completely, although Renault did not withdraw all its shares, but the French also knew that no matter what happened to the company in the future, it was now possible to get rid of this ripped leg anyway, and before it was too late to be happy, they immediately evacuated almost all the staff.

Since the news of the takeover broke, the workers at the Kenosha Automobile Plant have been in a state of panic, as Renault had the idea of shutting down the plant due to the workers' protests and the efforts of the state government. The French still adopted a policy of maintaining, always hesitating between investing and not investing, but now the French need not hesitate, because AMC has been sold by them and has made a lot of dollars, Renault should now hesitate whether to really withdraw from the American car market.

The new acquirer is a wealthy Chinese man, and the new chairman of the company is a senior manager of the former AMC company named Pierre Samorena, who is also a Frenchman hated by the workers. As soon as this guy came to power, there was a big move, and the Kenosha plant became one of the first factories to be closed!

However, the old factory still has thousands of auto workers, and the county of more than 100,000 people is considered medium-sized in the northern United States. The family size of these workers is almost equal to more than half of the entire county's population, and the news of the imminent closure of the factory immediately made Kenosha boil.

Auto workers took to the streets on strike, rallying on every street in the town, and protest signs and slogans hung in the front yards of residents' houses against Johnson Lin's takeover, Pierre's new initiatives, and the defense of their homes. The figures of the two men are represented in the form of extremely vicious caricatures, on which are drawn all sorts of insulting language, as well as large red crosses.

The streets were filled with shouts and curses everywhere in the town, and even the people in the police and city halls had no intention of working, and there was a mess everywhere, because their relatives and friends in the car factory were about to be fired, and the whole of Kenosha seemed to have entered the end of the world!

Lin Qiangsheng and others stepped off the private plane, and Paul, who came from the AMC headquarters, stepped forward. Said politely: "Hello Mr. Lin, I'm Paul White, and I'm in charge of the processing of the Kenosha factory!" ”

Lin Qiangsheng shook hands with Paul, seeing that his face was not very good, so he asked, "Thank you for your hard work, how about the negotiation with the union representatives?" ”

Paul shook his head and said helplessly: "The situation is not optimistic. The people here are very conservative and stubborn, they insist on working, they oppose the closure of factories, they oppose layoffs, they don't mean to back down at all, they don't negotiate with us at all! ”

"Hey, then I'll give them a holiday, can't I give them a job!" Lin Qiangsheng muttered, and he also guessed the difficulty. But he didn't expect it to be so serious, he looked at Paul White, and he didn't know if this guy was incompetent or really that difficult, but he also knew that layoffs in the United States were not as simple as in China.

Lin Qiangsheng said: "The Kenosha factory is too old, and there is no need to continue to invest, the closure is inevitable, I support Pierre's policy!" ”

"I'm against it!" A middle-aged white man standing behind Paul said loudly to Lin Qiangsheng.

Lin Qiangsheng looked at this middle-aged white man with thinning hair suspiciously, who was also in his fifties. He is big, and he is tall and strong. He was staring at Lin Qiangsheng, looking him up and down, snorting lightly in his nose, with this natural sense of superiority in his expression.

Paul White said, "This is Derek, the county magistrate of Kenosha County, and he's been interfering with our operations! ”

Lin Qiangsheng looked at the arrogant county magistrate and ignored him, everything in the United States is done according to the law. The county magistrate, the mayor, or even the governor didn't have much power, so he didn't want to pay attention to this person.

Seeing that these people were leaving, Derek hurriedly said, "Are you a wealthy Chinese who bought AMC?" ”

Lin Qiangsheng said: "Yes, hello Mr. Derek, just call me Johnson." ”

Derek put away his arrogant expression. He looked him up and down and said, "Young man, I don't care what you do with the business, but just remember one thing, I can't let my county citizens lose their jobs!" ”

Lin Qiangsheng spread his hands and said: "You are responsible for the livelihood of the county citizens, and I am also responsible for the livelihood of tens of thousands of employees of the entire AMC Group, and it is I who is responsible for these tens of thousands of AMC employees to close the Kenosha factory!" ”

Derek's face was very ugly, and he said: "We Kenosha have a strong car manufacturing capacity, as long as you continue to invest, you can make a profit, why close the factory and let the workers lose their jobs!" ”

He said bitterly: "Do you know that these thousands of workers are thousands of families, you have made them unemployed and have no income, how will their families live, this will affect tens of thousands of people!" ”

Lin Qiangsheng was silent for a while, and said: "The automobile manufacturing industry here is like Detroit, decaying, and the problem of worker unemployment you mentioned is indeed very terrible, so I think it is best for both of us to sit down and negotiate to solve it, act in accordance with the law, and ensure the interests of the workers to the greatest extent!" ”

He pointed behind him to two men in suits and suitcases, and said, "They are the lawyers I hired from New York, and the workers had better hire lawyers as soon as possible, so that we can talk!" ”

Derek looked at Lin Qiangsheng and the two shrewd and capable lawyers, he closed his eyes in pain, but suddenly opened them and said, "Aren't you afraid that the National Auto Workers Union will get involved?" ”

"Oh? UAW? Lin Qiangsheng really scratched his head when he heard this name, but he still shook his head and said: "Even if the UAW intervenes, the Kenosha factory will be closed, but it will cost us more." You know, those people in the UAW only think about their own interests, they don't really think about the livelihood of the workers! ”

Derek regained some anger, at least the management had scruples, he calmed down a little, and said: "As long as you keep the factory, I guarantee that the UAW will not enter Kenosha!" ”

Lin Qiangsheng hesitated, this guarantee was still quite valuable, and he asked the two lawyers behind him how much money would be needed to lay off more than 3,000 workers.

"Sir, if you close the factory and lay off employees, you need to provide at least $200 million in insurance compensation!" One of them, a middle-aged man with glasses, made a brief calculation and said.

Lin Qiangsheng nodded, he also knew this number before, he looked at Derek again and said: "Mr. Derek, let's go to the factory to have a look, I want to actually understand the situation!" ”

Derek nodded and said, "I want you to think about it before making a decision!" ”

Lin Qiangsheng smiled and said with emotion: "The county citizens have a good county magistrate, and it is a lucky thing to be your county citizen!" (To be continued.) )