Chapter 14 - THE EVENTS DIVISION
Independent valuation put the events division at $81–88 million.
Northstar had offered $62 million.
Why the low price?
Debt.
Deferred maintenance.
Quick-close discount.
And a side consulting agreement.
Jessica would receive $3.4 million over five years as transition adviser.
Disclosed?
Not fully to all independent directors.
Margaret knew.
Mark did not.
That explained more motive.
Jessica’s branch stood to benefit personally from closing.
Still, $62 million was not necessarily fraudulent if board process approved and conflicts disclosed.
They weren’t.
The board halted the sale.
Northstar withdrew.
Employees panicked.
Whitmore Events employed 420 people.
A later competitive process found a buyer at $79 million with stronger employee-retention terms.
Not every job survived.
Thirty-eight positions were eliminated.
Those workers had not participated in family cruelty.
Consequences remained unfairly distributed.
The company created enhanced severance.
Not enough for everyone.
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I stopped calling the blocked sale a victory.
It was a correction with costs.
