Trump Tried to Takeover American Airlines & Holiday Inn…sort of

by Adam

Did you know that in 1989, American’s CEO, Bob Crandall, had to make a public statement declaring that the airline wouldn’t negotiate or pay ransom to Trump in order to fend off a takeover?

According to a CNN investigation, Trump was heavily involved with “greenmailing” in the late 1980’s. It was a legal practice at the time that some referred to as a corporate ransom payment. An investor would quietly buy a large amount of a company’s stock and then threaten a takeover. Companies would pay a “ransom” to get the investor to simply walk away. In the case of Trump and American, he faxed his threat to AA!
By 1989, Trump launched his biggest — and most brazen — effort of his career, notifying American Airlines executives via fax that he’d acquired a significant amount of the company’s shares and was preparing a $7 billion takeover bid. “Donald was playing a favorite game, a carbon copy of his raids on the gaming industry three years before,” O’Donnell, a former Trump executive, said in his book. “The plan, as I saw it, was to spotlight the airline’s value, force its board of directors to restructure, thus inflating the price of the stock, or make them run up the white flag and submit to a greenmailing. Either way, he was hoping to stuff millions of dollars into his pocket.”
Trump’s first greemailing target was Holiday Inn’s parent company back then, Holiday Corp.  Truly an interesting read, check out the full article here.
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7 comments

Ana August 24, 2016 - 8:10 pm

Why is every media outlet hating Trump? Because they are owned by the globalists (super billionaires who want to initiate the NWO very soon.

Reply
Andy August 24, 2016 - 11:05 pm

Most media outlets are hating Trump ( ummm not Fox News by the way) because he is a despicable mysogonistic bigoted hateful dangerous conman with zero respect for anyone but himself. He is the worst of America and sums up pure ignorance and depraved narcissism.

That’s why Ana.

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Ana August 25, 2016 - 3:38 pm

I think you are jealous. He has more money than many, obviously like any human being he worked for his money, provided jobs to thousands of families and still do, and increase the economy, he is not perfect, neither are you.

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Andy August 27, 2016 - 1:02 pm

Jealous?? Hahaha. Jealous of a fat, classless, ignorant idiot with a gold digging wife, and kids that kill beautiful animals in Africa for fun? Sure I am.

By the way Ana…. He has got rich by scamming people, NOT paying workers and contractors repeatedly. Going bankrupt repeatedly and ruining people’s lives. You just have to see the video stories online of real people explaining how he destroyed them financially by weasling out of bills and other disgusting tricks. You just have to listen to what comes out of his mouth every single day. He is extremely crooked, selfish and corrupt.

He has never worked hard, he steals and scams from hard working people. It would pretty obvious to anyone with a modicum of intilligence and class.

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Cedric Wasano March 26, 2018 - 1:04 pm

I worked for American Airlines at NYC-La Guardia airport during that time and Trump was following on the heals of Frank Lorenzo’s hostile successful take over of Continental Airlines. American Airlines was a “plum” at that time and had no debt. Trump wanted to buy the airline and parcel its hard assets, and routes off for a profit. (That is what was revealed to us by Bob Crandall the CEO at that time). All employees were on pins and needles waiting to find out if we could fend off Trumps hostile take over. Robert Crandall was successful in doing so by putting the Airline in debt. Making us a less favorable take over candidate. We the employees of American Airlines are very grateful for the intelligence of Robert Crandall our President and CEO for his cunning maneuver. It saved our jobs.

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Warren Rigg April 7, 2019 - 5:35 pm

Same here Cedric, 10,000 employees in Tulsa waiting to see if we were out of a job. Trump was called the greatest threat to Oklahoma’s ecomony. The LA Times article described him as “the self adoring businessman from NY” in 1989. He still managed to take 6 or 8 million dollars from AA stock buybacks, but when we heard he was walking away, it felt like the sun coming out after a tornado missed the overhaul facility.

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Cedric Wasano March 26, 2018 - 1:04 pm

It’s all business nothing personal

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