A story without any FJ&G content.......
- The question about eh reporting marks list made me think of a story that with the indulgence of the listowner, I will tell now.
I have spent 25 years in a sleepy backwater of Commercial Lending known as Asset Based Lending. Generally you lend against a formula, 85% against Account Receivables and 50% against inventory. This idea eventually was brought to the container leasing market and in a limited way, to the Railcar industry. For those who have an idea of what I am talking about, the equipment pools that we lent money to were considered closer to working capital assets than traditional stamping or injection mold equipment because the former were leased out and generated a revenue stream instead of being part of a larger manufacturing operation where the equipment was just part of the cost center. Enough on Finance 201.....
Quite a few years ago, I was told by my boss to go forth and find deals that might fit the above profile. I went to the West Coast and met virtually every lender and deal arranger on a ten day trip starting in Los Angeles then heading to the Leasing Capital of the planet, San Francisco, then Seattle and Portland. A side visit to Lake Oswego, Oregon brought me in contact with a well known railcar manufacturer and lessor. I met with management there on a basically cold call and after 45 minutes or so, my host remarked that he understood the product we were offering, but that right at the moment, they did not have a particular need for that product.
This gentleman's associate leaned over and said something and the fellow straightened up and said, Joe we do have one batch of cars that we built for a lesee that we should really have some financing for.
The deal was with a well known class one that at the time, had more cash on the balance sheet than many small countries.
I returned to New York and my grumpy boss asked if I had found anything. I proceeded to tell him about this group of 150 brand new Husky Stack cars with a 5A1 lessee and a good lessor.
For those in the business, my boss called the other bosses proclaiming the virtue of the Kid who made 35 calls and found a deal. The old hand New Business guys got an earful and they were not particularly pleased with my success.
By the way a result of the deal was that I got a custom painted Husky Stack model with the correct reporting marks and numbers, and my name on a plate on the track inside a clear plastic cover. It came complete with the Crown doublestacked containers appropriately marked.
It was one of the high points of my career...............
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