Time flies, and more than a year has passed in the blink of an eye.

Monday, January 4, 1965.

On the first working day after New Year's Day, Lin Zhichao first came to the Global Shipping Group, which also symbolizes that the 'Global Shipping Group' is currently the most important asset of the Lin family.

At present, the total deadweight of the ships of the Global Shipping Group is 6 million tons, including 400,000 tons of second-hand freighters, and 5.6 million tons of new ships; Among the new ships, oil tankers account for 80%, which means that the development direction of global shipping has undergone a complete change in recent years - there are more oil tankers and fewer bulk carriers.

At the same time, the total deadweight of the ships 'under construction' of Global Shipping reached 800,000 tons, all of which were orders placed in the first half of last year. The reason why we didn't build more was because we planned to build more next year (1966) and because the debt of the world's shipping was already high.

In terms of finance, the debt of Global Shipping is $110 million, including the final payment of 800,000 tons of ships under construction (which will be launched in half a year).

Last year (1964), Global Shipping made a profit of $75 million, and this year it is expected to exceed $85 million. It seems that 80% of the debt will be paid off, but it is not, because at least 800,000 dwt ships will have to be built this year, which is equivalent to new debt, because the cost of shipbuilding has now risen by about 8%.

Generally speaking, the net assets of the current fleet of global shipping are about 550 million ~ 600 million US dollars, and the growth rate is extremely fast. This is made possible by the quality of our customers, the support of banks and shipyards.

The debt ratio is less than 20%, which is due to the solid foundation laid by Global Shipping in the early stage; Especially in shipbuilding in 1959~1961, almost all of them were used as deposits, not loans.

Global Shipping Group also has many associated companies, Asia Shipping (45%), Longfeng Investment (40%), Global Bahamas (33.33%), Global Bermuda (33.33%), of which Asia Shipping and Longfeng Investment are listed companies. The deadweight of the ships of these enterprises, which is not counted in the Global Shipping Group for the time being, has a deadweight of nearly 1 million tons.

As for Universal Shipping, Global Shipping accounts for 60% of its shares, so it is a subsidiary, so it has always been included in the total tonnage of Universal Group; It accounts for 30% of the group's deadweight capacity, which is about 1.8 million tons.

"Boss, it's conference room time."

"Okay, I'll be right there."

Lin Zhichao retracted his thoughts and walked towards the group conference room, today's meeting is a group meeting, including Bobby Blair and other foreign high-level executives, who also rushed back from overseas to participate.

At present, there are three foreign executives in Global Shipping, namely the two heads in charge of Europe and the Americas, and Bobby Blair, the vice president of the group. These three senior executives often come to work in Hong Kong, especially Bobby, the vice president, so it is natural to encourage them to participate in the affairs of the group and strengthen their emotional ties with the group.

After coming to the conference room, Lin Zhichao sat in the position of chairman of the group and announced the start of the meeting.

At the beginning of the meeting, everyone reported their own work and the work plan for the new year, and Lin Zhichao recorded it while listening. He actually didn't have to record it, and he could store it in his brain, but he chose to record it anyway.

After everyone's work report was completed, Lin Zhichao began to ask: "At present, we have the proportion of oil tankers and cargo ships, do you have any things to say, or do you have any suggestions?" ”

In fact, these issues are all Lin Zhichao's dictatorial decisions, and everyone has no right to decide at all. However, Lin Zhichao likes to throw out questions and decide for himself after the executives have discussed them.

Bobby then said, "The proportion of oil tankers is indeed on the large side!" We at Global Shipping Group are not like other shipping companies – they are weak in capital, small in scale, and need to focus on one type of vessel. Although over the years, the proportion of oil tankers in merchant ships has soared, from 10% in the thirties and less than 20% in the early fifties to nearly 40%; However, it should be pointed out that cargo ships still occupy the mainstream of shipping, and oil tankers will need to wait until the 80s to occupy half of them, according to the current trend. ”

The implication is that the proportion of cargo ships can still be increased.

Feng Yongfa was not far behind: "We still have 400,000 tons of second-hand cargo ships, and we will almost eliminate more than half of them in two years, and only a few victory ships may be able to hold on for a few more years." Therefore, the proportion of cargo ships will decrease in the future. Although there is a Dong Haoyun in Hong Kong, and his cargo ships account for a large proportion, we should not show mercy, after all, our debt ratio is very low; For example, Dong Haoyun's debt ratio is at least 50%, his total tonnage is probably more than one million tons, and there are a large number of second-hand ships. ”

The suggestions of everyone are that the total deadweight of cargo ships needs to be increased, and as for the increased cargo ships, there are various leasing methods such as leasing out and having fixed routes.

Lin Zhichao wrote something on the paper, and finally said: "Well, everyone has a point!" This year, my goal is to build 800,000 tons of shipbuilding, and I will build a cargo ship with a deadweight of 200,000 tons, which will be slightly increased. ”

Everyone was stunned, thinking to themselves, boss, how much you don't want to see cargo ships, speaking of which, global shipping still relies on cargo ships to develop! Now that everyone is talking about it, it has increased to 25% of the shipbuilding ratio.

Seeing that everyone's expressions were full of questions, Lin Zhichao said with a smile: "It's not that I don't want to develop bulk, but container transportation will rise." As far as I know, container shipping from the United States to Europe is about to begin, and we will also join the first camp at that time. The rise of containers is bound to reduce the demand for bulk carriers, so a little growth is already a reasonable plan. ”

Although Lin Zhichao participated, the development of container transportation in recent years has not been smooth. Malcolm McLean has worked hard to finally prepare for container shipping to the United States in the Netherlands, which is probably the most recent time.

Once this container route is operational, absolute progress will be made, and the world will enter the container era. As for container transportation in Hong Kong, theoretically, it is not Lin Zhichao's turn to do it.

Generally speaking, two terminals, such as Wharf and Blue Chimney (Swire), can be converted into temporary container terminals, which can ensure that the United States can use Hong Kong as a base to transport containers to Vietnam.

To really develop a container shipping terminal, the port government needs to set up a 'committee', and then make a report, on the prospects, site selection and a series of other issues, and finally it may take two or three years before the formal bidding.

Therefore, Lin Zhichao does not have many advantages at all, and Hong Kong is not something he can do whatever he wants.

Of course, Lin Zhichao is not worried, whether it is Wharf or Hutchison & Co., they will all be their own, so the shares of these two container terminals invested in will be pulled into Lin Zhichao's command.

Just pick up ready-made ones, why go too early.

Of course, he has already agreed with Malcolm McLean of land and sea transport to jointly bid for a container terminal in Hong Kong in the future. So once the bidding is made, Lin Zhichao can also participate in the shares.

"The boss is very thoughtful!"

"The addition of 200,000 tons of cargo ships a year is also a lot of increments."

Soon the subordinates were convinced and no longer insisted on their ideas. The reason is very simple, but the first is to increase the cargo ship of 200,000 tons a year, which is also very large; The second is that they know that the boss is the biggest proponent of container shipping.

The next day, Lin Zhichao came to the Cheung Kong office.

It was still a group meeting to summarize and plan, after all, it was the new year.

Cheung Kong's current assets are:

1.22 million square feet of reserve land, Profit Property Building, Poly Building, Global Building, Midea Building, International Building (under construction), Miramar Hotel, Miramar Shopping Centre, Causeway Bay Daimaru Department Store, Xintiandi Shopping Mall, Sing Tao Daimaru Department Store, Lychee Garden Playground, and a large number of scattered rental properties.

In terms of subsidiaries and associates, there are more than 50 subsidiaries and subsidiaries, including Poly Construction, Anderson Daya, Yangtze River Finance, and Hung Hom Tunnel (50%).

Cheung Kong made a profit of 80 million Hong Kong dollars last year, with a total working capital of 260 million Hong Kong dollars, and in terms of liabilities, except for its subsidiary, Anderson Daya, which is still in debt (not included in the group's finances for the time being), Cheung Kong Asset Group has no debt.

With so much cash flow, Lin Zhi naturally can't all exist in a bank, or in a bank.

Lin Zhichao turned 100 million Hong Kong dollars into cash and stored it directly in the basement of the villa, of course, the money was withdrawn for a long time; The remaining funds were deposited in Hang Seng Bank 50 million, HSBC 50 million, Wanguo Baotong Bank 40 million, and Standard Chartered 20 million.

After the executives finished their reports, Lin Zhichao began to speak: "Have you noticed that since the Hang Seng Index was released in July last year, it has only risen by about 3.5% in half a year. What does this mean? ”

Zhou Fuzhao immediately said: "This shows that Hong Kong's economic growth is sluggish and has encountered a bottleneck. ”

The crowd agreed!

Hu Zhaoxu also said: "The commercial land in Central has risen to 2000~2500 Hong Kong dollars per square foot, the commercial land in Tsim Sha Tsui in Kowloon has risen to 1000~1500 Hong Kong dollars per square foot, the residential land in the center of Hong Kong and Kowloon has risen to 250~300 Hong Kong dollars per square foot, the industrial land in Kwun Tong has risen to 120 Hong Kong dollars per square foot, the Hong Kong residential unit has also risen to 50~70 Hong Kong dollars per square foot, and the high-end residential unit in Causeway Bay has cost 200,000 Hong Kong dollars per square foot, and the price is already very high!" But it seems that there hasn't been much increase in almost a year, and it feels like it can't go up! ”

Hu Zhaoxu also said: "The commercial land in Central has risen to 2000~2500 Hong Kong dollars per square foot, the commercial land in Tsim Sha Tsui in Kowloon has risen to 1000~1500 Hong Kong dollars per square foot, the residential land in the center of Hong Kong and Kowloon has risen to 250~300 Hong Kong dollars per square foot, the industrial land in Kwun Tong has risen to 120 Hong Kong dollars per square foot, the Hong Kong residential unit has also risen to 50~70 Hong Kong dollars per square foot, and the high-end residential unit in Causeway Bay has cost 200,000 Hong Kong dollars per square foot, and the price is already very high!" But it seems that there hasn't been much increase in almost a year, and it feels like it can't go up! ”

Lin Zhichao said: "Last year, we sold 1,100 homes, how long did it take? ”

"We had already built Telford Gardens at the beginning of the year, but the remaining 1,100 residential units had been sold for 10 months, and they were no longer as easy to sell as they used to be. ”

When it comes to this, many people understand that the boss will not do these summaries and investigations for no reason.

Huang Hongchang gave a final hint: "Since September 1962, the number of buildings under construction in Hong Kong has skyrocketed, and everyone is rushing to start construction on their land before January 1, 1966, so that the floor area can be increased by 20%. Therefore, since 1962, the number of residential units completed every year has skyrocketed, about 11,000 in 1962, about 15,000 in 1963, about 20,000 last year (1964), and this year (1965) should be the most year, probably more than 25,000. In Hong Kong, there are new developments to be completed everywhere at this time! ”

There is a word that pops up in everyone's minds - the imbalance between supply and demand, and then I think of the boss who stopped in time in 1957, and now it has plummeted again?

Here are all the senior executives of Cheung Kong Industrial, they usually follow Lin Zhichao's side, and they also know the dynamics of the group, so they actually have a guess; But it wasn't until today that I realized that things seemed to be more serious.

Since last year, Cheung Kong has stopped developing new real estate, which is what the boss is predicting?

Lin Zhichao said at this time: "I like to use data and facts to do analysis, and regardless of whether there is a real estate crisis, it is not appropriate to develop new real estate at this time; Although Cheung Kong has sufficient financial strength, I don't want to take any risks. As for the 20% less residential area, it is not considered. So in recent years, Cheung Kong has supported the company with commercial real estate income, and I plan to invest in five-star hotels and shopping malls in Sing Tao, and I will announce the plan later. ”

It just so happened that in the three years of 1965~1967, Lin Zhichao planned to go to Singapore to develop a wave; Over the years, in order to maintain the relationship with Mr. Li, he has invested in factories such as plastic flowers, wigs, and toys in Singapore, which are not large, and he has also pulled others in Hong Kong to invest in some textile factories and garment factories in Singapore, of course, the investment is not large.

Generally speaking, Lin Zhichao's dedication over the years has gained the trust of Mr. Li and laid a foundation for the next commercial real estate investment.

Lin Zhichao's aggressiveness in Singapore is definitely not high, after all, the strong dragon does not suppress the head snake, so his plan is a five-star hotel on Orchard Road and two shopping malls; In later generations, the entire Orchard Road was probably home to more than 20 shopping malls (including office buildings or hotels).

When everyone heard the boss's plan, they immediately breathed a sigh of relief. There are no new development real estate projects, but Cheung Kong at least has a lot of commercial real estate to manage, so we will not be idle, after all, there are hundreds of people in the company, and it is very difficult to be idle; At the same time, the boss's investment in Sing Tao shows that the aggressiveness is still there, and it is still improving.

The next day, Lin Zhichao came to the Yangtze River Industrial Group again and held a meeting with the senior management to summarize.

Those who are familiar with the boss know that after New Year's Day every year, Lin Zhichao has to make a summary of the past year as soon as possible and make plans for the new year; Because of this, the top management had to organize information and ideas a week in advance.

Chen Linyuan: "Last year, Changjiang wigs made a profit of 3.2 million Hong Kong dollars, almost all of which came from the profits of senior wigs and agency business, and we are ready to completely cut the production process of ordinary wigs this year, and all adopt the agency model, and the senior wig brand 'Sleek' will be our long-term R&D and investment objects."

Lin Zhichao nodded with satisfaction, he thought that the fake was meant to be yellow, but he didn't expect Chen Linyuan to be a talent, making high-end wigs into a brand and exuding a second spring; Following this trend, the 'Sleek' brand will continue to grow and expand its business in Europe, America and Asia.

Of course, it doesn't mean that Chen Linyuan can take all the credit, after all, Lin Zhichao organized the high-end wig at the beginning, and Chen Linyuan just developed it.

Lin Zhichao said: "Wigs are actually very popular in Europe and the United States, and in recent years, the Beatles have been coming to Hong Kong to perform and promote; The reason why the profits of ordinary wigs have decreased greatly is that the threshold for wigs is low, and there are too many wig practitioners in Hong Kong, and we have no advantage, after all, labor is expensive. ”

Chen Linyuan was immediately moved when he saw his boss say this. The boss of his own family is a very sensible person, and the boss is very open-minded about things that cannot be reversed; Of course, once you don't do something well, the boss will also curse you.

Subsequently.

Tao Derong: "The profits of the Yangtze River Plastic Factory last year plummeted again, leaving only 9 million Hong Kong dollars, and the reason for the decline is that plastic flowers are no longer popular in Europe and the United States, and there are 1,500 large and small plastic flower factories in Hong Kong, reaching an unbelievable level The Yangtze River Plastic Factory currently has 3,000 workers and about 80 cooperative factories. This year, the Changjiang Plastics Factory is expected to lay off 1,500 workers, either laid off or assigned to the Changjiang Toy Factory."

Everyone is in a bad mood, and the Yangtze River Plastic Factory is undoubtedly the fastest and most violent; From a peak profit of 2,500 Hong Kong dollars, it fell to 9 million Hong Kong dollars in just three years, and the profit fell by more than 5 million a year.

Lin Zhichao said calmly: "The boat is small and good to turn around, which is confirmed on the wig and plastic flowers." Those small factories, they use second-hand equipment, and they hire some child labor, temporary labor, to drive down the wages, and their costs are so low that we can't compete. Because of this, the large factories in these two industries have to close down first, and the market is eaten up by these people. However, the life of the small factories was not necessarily easy, and the competition between them became more and more intense, and finally went to ruin. ”

There will be an increase in the number of plastic flower factories, possibly by the beginning of the 70s, reaching 2000 without a problem. But the large factories did not last until 1967.

It's impossible for big factories to keep wages down too much, because there are strikes in Hong Kong at every turn, with more than a dozen non-violent strikes a year. Almost all of them are large and medium-sized factories, and in the end the boss has to compromise because of the delivery.

As for small factories, how can they strike, if you don't do it, you will get out immediately.

Tao Derong said: "But within two years, is it unnecessary to cut off all plastic flower production? ”

Lin Zhichao waved his hand and said, "This is not negotiable, I can only keep the agency business." ”

He is afraid that the more people there are, the bigger the waves will be in the years after tomorrow!

Tao Derong no longer objected, he knew that the boss must have his own worries, as for his own future, it was a big deal to go back to the zipper and toy factory, and the boss would not treat him badly.

Then.

Ke Yanping reported: "Affected by the sharp increase in the export of the Rubik's Cube, the profit of the Yangtze River Toy Factory reached 44 million last year, of which the export profit of the Rubik's Cube reached 15 million Hong Kong dollars. Changjiang Toy Factory currently has 6,800 workers and has four Bond Toys under its umbrella, including three in Hong Kong and one in Sing Tao."

Lin Zhichao showed a comfortable smile, the Yangtze River Toy Factory is performing well, which means that Audrey Toys has a stronger status in the United States, and this company has become the largest toy factory in the United States.

Of course, the Rubik's Cube is only a product of Audrey Toy Company, so the profit is still more than that of Changjiang Toys.

And Lin Zhichao's son 'Lin Ruidong' published "You Can Restore the Rubik's Cube" at the beginning of last year, which became a bestseller in Europe and the United States, selling more than 500,000 copies in just one year, which made Lin Zhichao very happy; This is the first step in cultivating his son's business talent, and Lin Ruidong will also have a business empire in the future.

"Well, the toy industry is doing well, and this industry is a long-term business. The more developed the world economy, the more brilliant the prospects of the toy industry. Lin Zhichao commented.

Everyone knows that the boss attaches the most importance to the zipper and toy industry, and it is also a matter of growth.

Next.

Bao Chunlai reported: "The zipper industry grew last year, thanks to the development of the world's ready-to-wear industry and the Westernization of Asian clothing; Therefore, the profit of Changjiang zipper last year was 45 million Hong Kong dollars."

Cheng Yuanxiong reported: "Zhongtian Iron & Steel made a profit of HK$13 million last year, thanks to the rapid development of Hong Kong's construction industry."

The rest of Midea Electrical, with a profit of 1.5 million Hong Kong dollars, is better than nothing, and the development is not the best in Hong Kong; Li Zhenlong, the new general manager, has just been replaced to see if he can improve again.

Although I don't expect to develop too early, I must at least be the best in my peers, so that is like the words.

In the end, Lin Zhichao came to a conclusion.

Last year, Cheung Kong Industrial Group generated a profit of 116 million Hong Kong dollars, spent 35 million Hong Kong dollars on investment and research and development, and retained a net profit of 81 million yuan. The cash flow of Changjiang Industrial Group has reached 320 million, and the funds are mainly deposited in Citigroup, Chase Bank, Bank of East Asia, Standard Chartered Bank, HSBC, and Lin Zhichao also exchanged 20 million US dollars (112 million Hong Kong dollars) worth of money and put it in his villa.

Therefore, at this time, Lin Zhichao's villa has 100 million Hong Kong dollars and 20 million US dollars respectively, becoming the king of cash.

There is too much money, and it is not reassuring to put it in the bank, because it may be too exaggerated.

At this time, there must be dozens of Chinese billionaires or families in Hong Kong with a net worth of more than 100 million, after all, Airship Tai, Liao Baoshan, Ma Jincan, Zhang Yuliang, Peng Guozhen, Xu Aizhou, Dong Yunhao, etc., almost all have assets of hundreds of millions, and it is not surprising that billionaires are billionaires. But I am afraid that there are only a handful of people who can come up with a cash flow of 100 million, and there may even be only Lin Zhichao.

Lin Zhichao's cash flow is a full 580 million Hong Kong dollars, not including the market value of the US stock market for overseas investments.

Of course, his debt is also more than 500 million Hong Kong dollars, but that is the debt of global shipping, which is nothing!

(End of chapter)