GENERAL52570

• Permit No: C1981023
• IBM Index Class Name: General Documents
• Doc Date: 11/10/1987
• Doc Name: NEWPAPER CLIPING
• Permit Index Doc Type: NEWSPAPER ARTICLES
• Media Type: D
• Archive: No

The brood ng remarns ojimiser Stee!'s hbntana plant
The Japanese bombed u, but not the rosy U roasjearod.
the steel operations riot the prospect
of a huge wrlteoff depressed the
stock-and along came Irwin Jacobs
In January 1983
Jacobs acqu red 16°,f, of Kaiser Steel
and bld for the rest Kaiser manage-
ment was afraid that Jacobs-known
as Irv the Liquidator-would gut the
company Kaiser management en-
couraged a Huai bid by Joe Frates of
Tulsa whose family used to own the
Rlgrd Tool Co of girlie calendaz
fame and has smce diversified into
finance and real estate.
lnen nlonty xlal suaaenly ap-
peared, uninvited and unknown but
brandishing prospective financing
from Bank of America and threaten-
ing to top Frates' bid.
"It was like Butch Cassidy and the
Sundance Kid," Rial recalled. "They
kept asking, 'Who are those guys?"'
Like a real tycoon, Rial retained the
takeover law firm of Wachtell, Lip-
ton, Rosen & Katz. The law firm lent
prestige to his brazen bid but didn't
come cheap. "For six weeks there was
no bill. Then we got one for six fig-
L~~~+o-~,n.n~.n
ores, ano we actually thought mey
were joking," Rial says. They
weren't-but Kaiser Steel ultimately
paid the tab.
Had BofA or Joe Frates or any of the
lawyers and investment bankers feed-
ing at the takeover trough done their
homework, they never would have let
Rial near the company.
Who is this guy? A man with big
ideas, boundless energy, a slick line of
patter and a dismal record. A man
who has left bills and creditors strewn
over the landscape as he moves into
FORRES nrTORER"^ ~ 31