America 1919

Chapter 731: 251. Remove the firewood from under the pot_2

Furthermore, at that time, bringing in foreign capital was a political achievement in the East, and many local leaders, for the sake of political achievements, completely disregarded the real intentions of the other party and introduced these foreign beverage companies into local beverage firms.

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As a result, when companies like Coca-Cola acquired stakes and management rights, they directly put the original state-owned beverage brands on ice and completely took over their sales channels.

Since then, domestic beverage brands entered a period of stagnation. It took decades for them to recover.

What Donnie was doing now was essentially the same. If he could take control of A&P, Donnie could apply this same method to A&P.

At that time, with the two largest retail companies in the United States as the foundation, Donnie, when acquiring goods channels, would actually possess pricing power.

The profit therein could even allow Donnie to forgo retail profits.

...

The retail market is such that whoever controls the channels has the say!

To plot against A&P, it was necessary to own A&P’s shares, and Lori Walton and Purcollen were Donnie’s targets!

Lori Walton and Purcollen clearly didn’t expect that Donnie wanted to buy their shares in A&P.

“Mr. Block, I’m afraid we can’t agree to this. A&P has been developed along with George, and to us, A&P is like our child. We will not give up on A&P!”

After exchanging glances, Walt and Walton firmly declined Donnie’s suggestion.

Donnie chuckled, not taking their refusal to heart at all.

In the United States, no business is impossible to negotiate; the only issue is really about the price.

“Both of you have feelings for A&P, which I naturally understand, but while you see A&P as your child, others may not think the same way. John Hartford, apparently values A&P more and doesn’t see you as the fathers of A&P; otherwise, he would have consulted both of you on many decisions.

Isn’t the previous investment of A&P in Kraft Foods a clear example?”

Donnie said with a smile.

Purcollen laughed and said, “Even married couples living together often quarrel. My wife practically talks about divorcing me every day, but now, after decades, aren’t we still together?”

Donnie leaned back on the sofa and said with a smile, “What if I am willing to buy your A&P shares at the stock price before this promo war started?”

Walton chuckled, “Mr. Block, let’s not talk about it. This promotional battle is only temporary; it will always end. Once it’s over, A&P’s stock will certainly rebound.”

Donnie said, “But what if A&P loses in this promotional war?”

“A&P cannot lose!” At this point, Purcollen confidently smiled and said, “Perhaps, Mr. Block, you aren’t aware, but three days ago, A&P secured support from Morgan and the Country, who are willing to provide us with a ten million US Dollars loan. When the time comes for the big battle, maybe it’ll be you, Mr. Block, who loses?”

Donnie raised his eyebrows slightly. He admittedly hadn’t expected Morgan and the Country to support A&P at this time, but on second thought, he could understand why. After all, given A&P’s size and significance, they wouldn’t truly be hurt in this promotional war.

Donnie’s raised eyebrows were noticed by Walton and Purcollen, who thought they had Donnie cornered.

“Donnie, we’re friends. Continuing this war is not good for either side. Stopping in time, cutting losses, that’s the best way!” Walton confidently stated.

Donnie shook his head, “I genuinely didn’t expect you two to agree to John Hartford’s loan application with Morgan and the Country, because this is an operation that will drag A&P into an abyss. It’s just like when John Hartford invited James Cuff to join A&P!”

Walton and Purcollen both looked puzzled.

“Banks are not charities. A&P’s ten million US Dollars loan comes with interest. Of course, if A&P can hold out until Apollo Chain can’t bear it any longer, it won’t be too bad—it would only cost A&P at least two years of development. Given A&P’s current losses, I believe it will take no less than two years for A&P to recover.

Hence, A&P’s stock price will naturally need much more time to recover.

But gentlemen, do you really think ten million US Dollars would be enough to overwhelm Apollo?”

At this, Donnie personally stood up and poured each of them a glass of whiskey.

“Currently, 70% of the private liquor in the United States is sold by me. Do you have any idea how much cash these private liquor businesses bring me each month?”

Donnie raised his own glass, looking relaxed as he observed the two men!

The smiles faded from Walton and Purcollen’s faces. This damned private liquor business, did Donnie Block have God’s own luck on his side?

How did he come to control such a large business empire?

“We acknowledge, Mr. Block, that your cash flow is indeed unique in the United States, but with your business so widespread, you must need a lot of money elsewhere. We are all businessmen; we believe you can’t possibly be pouring all the profits from the private liquor into Apollo Chain, right?”