On Thu, 7 Apr 2011 12:07:45 -0400, "Nancy Young"
> wrote:

>Landon wrote:
>> In a previous thread, I was asked about the sale of "King Arthur
>> Flour" company.
>>
>> I asked my niece who worked there before, during and after the sale of
>> the company to the employees, about what had happened and when.
>>
>> Here is her reply, verbatim:
>>
>> "It's a sad story, and very close to my heart. I worked there through
>> the sale, and for a year afterward, hoping things would turn around,
>> and it was awful watching the company deteriorate.
>>
>> Things began changing in 1996, when Frank Sands was ready to retire,
>> and by 2002, it was literally a different company. The company had
>> been in his family for 200 years, but his kids didn't want to take
>> over. So, a certain individual in his upper management convinced him
>> to "sell it to the employees" by creating an Employee Stock Ownership
>> Plan, (ESOP). He told Frank that he would be able to stay on the
>> board and watch over things. Well. that's not what happened.
>>
>> The purchase process took a while, but once it was complete, the
>> controlling stocks were held by a handful of upper management - all of
>> whom were relative "newbies" in the company. The employees didn't hold
>> enough shares to do anything, even as a group. Frank himself was
>> voted off the board at the first meeting after the purchase was
>> complete. The entire culture changed, from "every shipment of
>> products, and every batch of ingredients, is tested, and must meet our
>> standards" to "cheaper is better - and if there are issues, we can
>> refund those few who complain and still make a profit." This was a
>> wonderful company, and I hate that the current management is still
>> successfully trading on those years of goodwill without living up to
>> the standards set by the Sands."
>
>Thank you for posting the story.
>
>nancy


Oh! I need to add my thank you, also.

Boron