57
67
•
L~
IULY TO OCTOaER 1987
D EM 0 B NOI1VZI1180W30
~
PROTECTION STRAFE FOR REBELLION ' S A N T .A M A R I A '
THE HAFLER TRIO
•" e
DI ITRIOUTID DY Til• OARTIL U·811 lUI
~
...
.a
\
' A THI R STY FI S H '
TOUCH MLANGUAGE"
.._,.,
'?.,.
"#',...,l.
.r 0 1
'-""~ft.,'"
OTHlR "'-\.
TOUOII U OaWAIID ROAD LOIIDOII awn na
Poster for Touch, 1987. Printed on recycled sugar paper, with hand-drawn type and contrasting industrial symbols. The poster announced new releases by Touch, an internationally known publishing company founded by Jon Wozencroft. Logo for the rock group, Red Wedge, 1985. Served as a symbol and as a corporate merchandising stamp. The name was taken from an El Lissitsky 1920s abstract painting . Jazz at the Manor logo. Created for the First Pendley International Jazz Festival. Demob clothing store logo, 1984. Designed for the "military-industrial engineering" look of Demobilization clothing .
•
Blinded by Science logo. An example of Brody's use of Typeface Two, designed for The Face in 1984. Brody wanted the assertive, geometric quality of the type to echo the social climate of the 1980s .
79
VI CORP
• In 1983, when YICOAP operated a single chain of 68
helped the company divest this subsidiary. The
VIllage Inn family restaurants, the company planned
sale raised $100 million, which VICORP used to repay
to grow by acquiring additional restaurant chains
debt.
!!!! To help VICORP recapitalize, the T.ech-
with differing tormats . ln negotiating with Pillsbury
nology/Emerging Growth Group, working with our
lor Ita ISO Poppln Fresh Plea locations, VICORP recog-
Real Estate Group, arranged a aatelleaaeback of
nlzed that it would need a firm financing commitment
31 Bakers Square restaurants. The $215.4 million cash
to make a viable offer. VICOAP turned to ua tor help.
transection reduced the current financing coats on
Over a single weekend Merrill Lynch lntertunding
these properties by approiimately 200 basis poinh .
responded with a $15 million loan commitment -one
VICI)RP made the sale at fair market value, took
of the first such bridge loans to be made by a Well
advantage of e tei loss eerryforwerd by reeiiiing e
Street firm. This enabled VICORP to close the transaction, end we later underwrote e common stock
' capital gain, and retained control of the properties. We not only serv.ed as advisor, agent and negotiator
offering fort he company that repaid the loan. The
for this transaction , but also eommltted our own
newly acquired restaurants were renamed 8alret'S
capital as interim lender. • With the first stage of Its
Squant. • Merrill Lynch played an equally signi-
planned restructuring now eomplete, VICORP waa in
ficant role in two subsequent acquisitions. As part of
e stronger financial position and it attracted Interest
VICORP'alending group, Merrill Lyneh lnterfunding
from thelnvestoreommunitr.ln May t887 1 VICORP
provided a $20 million bridge loan tor the purehase
received an unsolicited acquisition offer end turned
from Ralston Purine of 71 dlnnerhouae restaurants-
to our MU team tor adwlce . VICORP concluded
faeillties that differed widelr from VICORP 's other
that shareholders would not be beat aerwed bye aele
chaine. In April1884 , Merrill Lynch underwrote a $45
at that time, end ourMU teem helped the company
million offering of eonvertible subordinated de ben-
implement various defensive measures. The offer
tures to repay the acquisition loan a. The following
was withdrawn, treeing VICORP to continue Ita re -
year, VICORP aequlred 175 Sambo'a restaurants, and
structuring. • Merrill Lrnch's commitment to
we underwrote e $49 million common stock offering
YICORP has remained strong -not Just when the com -
to repay bank loans and fund conversion of the faclll -
pany was growing aggressively, but later, too, when
BOTH WHEN IT WAS GROWING AGGRESSIVELY AND WHEN IT WAS NOT. OUR COMMITMENT TO VICORP REMAINED STRONG,
tiea to VICORP's formats. • In 1885 the restaurant
It needed to make rapid adjustments in Its corporate
industrr entered a period of softness . VICORP con -
atrategr. ln the course of tour years, we have pro-
fronted e need to eonsolidate its operations and to
vided -!ICORP with en aitreordinary range of timely
raise eash to meet the high costa of converting Ita
andeffactiveinvestmentbanklngaervlcea.
acquired restaurants. Since the dinnerhouae restau rants had proved difficult to Integrate with VICORP's other operations, Merrill Lynch M&A apaclaliata
HUTCHINS-oN
• HutchlnsonTeehnology Is a leading supplier of pre -
tiel publie offering torHu' ·hinson. To assure the
cision eomponents tor eomputer disk drives. Using
eompany eiposure to the broadest possible market ,
photoetehing, preeision torming,laserweldin8 and
we took our road show to London and Paris- where it
other sophistieated techniques, the company manu ·
was favorablr received- in addition to ker U. S. cities.
faetures such products as thin -film suspension
• Shortlr after the I PO , the high technology sector
assemblies and tleiible circuits tor sale to leading
as a whole passed through a period of stock market
makers of computer peripherals. • Hutchinson was
turbulence. Throughout this time, Merrill Lrnch
a private eompanr when it first met with Merrill
continued to provide Hutchinson with eitremely im ·
Lynch in 1982. At that time, management sought a
portant support. Our seeurities analrst maintained
means to raise capital that would provide liquidity to
close contaet with the firm, published research
certain shareholders and give the company lle•ibilitr
reports, and steadily kept the name of Hutchinson
in flneneing future growth. After a thorough studr,
before the investment communitr. • Beeause we
we helped management evaluate Ita warious options ,
had provided it with an unbiased view of Us options
including a private placement, a public offering, and
and remained strongly committed to the firm after
sale of the company. Hutchinson arranged a private
its I PO, Hutchinson was able to finance the growth
OUR ANALYST KEPT HUTCHINSON'S NAME BEFORE INVESTORS. THROUGHOUT THE PERIOD OF STOCK MARKET TURBULENCE,
placement with a venture capital firm, which helped
it had anticipated . Br1g87, the companr's stoek was
fund its growth . • Three rears later Hutchinson
tradinginarangeroughlrdoubletheshareprice
returned to us when it was interested in e•ploring ita
in the initial offering, and Hutehlnson had grown into
finaneing options . We earetullr reviewed the alterna ·
one of the largest employers in its part of Minnesota .
lives and advised the companr that current trends in the stock market made a public offering the most attractive option. • In 1985 we lead- managed anini -
83
89
95
THEODORE ROOSEVELT on the preservation of America The things that will destroy America are prosperity at any price, peace at any price, safety first instead of duty first, and love of soft living and the get-rich-quick theory of life. (Letter to S. Stanwood Menken, January 10, 1917) From " The Letters of Theodore Roosevelt," Harvard University Press
CONT~INER CORPORATION OF AMERICA
107