An English Abstract for “The Making of a Man”(3)

An English Abstract for “The Making of a Man” of

The Gambler: How Penniless Dropout Kirk Kerkorian Became the Greatest Deal Maker in Capitalist History (3)

by Hayato Uesugi

*I don’t know why, but we cannot use the word “gambling” on the Goo blog. I changed the word to “G” in all three articles “An English Abstract for ‘The Making of a Man’ of The Gambler: How Penniless Dropout Kirk Kerkorian Became the Greatest Deal Maker in Capitalist History” (1)(2)(3). Sorry for your inconvenience.

■Back to the Hotel Industry

Kirk's TIA had now grown into a profitable company. About that time, Sherwood Harry Egbert, president of Indiana's established vehicle manufacturer Studebaker Corporation, flew in to make a deal. He wanted to acquire Kirk Kerkorian’s TIA. Egbert’s company launched a stylish car called Avanti and made various investments.

Upon the acquisition, Egbert and Studebaker suggested as follows: TIA would be a member of Studebaker, but Kirk Kerkorian would continue to serve as President of TIA, and at the same time become Vice President of Studebaker. In addition, he would get 120,000 shares of Studebaker stock for $8.25 per share. The company would also bear the remaining debt of DC-8 Kirk had to pay. Other attractive suggestions were also made.

By accepting all of these conditions, Kirk indeed became a millionaire.

Kirk Kerkorian had already looked at new challenges beyond managing air services: Investing in Las Vegas land.

Kerkorian frequently made round trips to and from the San Francisco Bay Area and Las Vegas, but all aircrafts were already under the control of Studebaker, so he had to get his private Cessna (twin-engine Cessna 310) for $50,000.　He had not invested in real estate for a while since the failure of The Dunes' investment in 1955, but he now decided to go back to the hotel industry.  The native gambler was finally awake.

In 1962, he received $1 million from Studebaker and purchased eighty acres of sand and bush across the Strip from the Flamingo Hotel for $960,000.

Shortly thereafter, Jay Sarno, a real estate developer visited the city.  He was funded by Jimmy Hoffa, chairman of the Trucking Union, and Allen Dorfman, chairman of the National Trucking Pension Fund. Sarno considered building an ancient Roman-themed casino hotel in the area including on Kirk’s land.  Sarno came to see Kirk to exchange a land lease agreement with him. They had a business meeting over a dinner on a summer evening in 1963. Kirk had 15% of the casino's profits and a $15,000 lease, plus a personal suite room when the hotel opened.

In 1966, the hotel opened under the name of Caesars Palace. Born as an unencumbered child of Armenian immigrants, dropped out of school in grade 8 (second year of junior high school), set up an aviation service company after learning to fly, Kirk Kerkorian, a gambler in Las Vegas, at last owned his own casino interest as the landlord of Caesars Palace at the age of 46.

■Buying Back TIA and Becoming a Legendary Billionaire

Kirk Kerkorian valued his relationship with Armenian Americans. In 1963 when he had a dinner with his wife Jean at a restaurant on the Strip, a Persian American who had Armenian parents served them.  Kirk came to like the Tehran-born young server named Manny who loved boxing and tennis.  And they became good friends in their future life. Manny already had two children, and his next child was given a middle name to prove his friendship with Kirk. The child, named André Kirk Agassi, would be a major tennis star in the future.

Kirk was greatly indebted to Armenian Americans in business.  He met George Mason, who ran the English-language Armenian newspaper California Courier.

Studebaker, the automaker that bought Kirk's TIA, was in trouble. Their major reduction plan was announced in December 1963. As a result, some companies tried to buy TIA from Studebaker. Kirk was determined to oppose the sale of his air transport service company. He tried to get it back in his hands. With another $2 million in funding, including the one from Walter Sharp of the Bank of America, he succeeded in returning TIA to his hands in September 1964.

In 1964, Kirk experienced a lot of things. He met Jay Sarno and became the owner of the Caesars Hotel.  To his sadness, his mother Lily died in January. Immediately after buying back TIA, his father also passed away.

Kirk went even further. He went public with TIA's shares in August 1965 with the help of George Mason and his magazine California Courier.  The company’s stocks were traded double and three times higher than was expected. Kirk regained $2 million in months to buy back TIA from Studebaker.

(The translator wrote in more detail about what Kerkorian did to get his company back.)

Kirk was about to turn 47. It was the age some might consider retiring. But Kirk Kerkorian's legendary “G” life had just begun. By repeatedly buying and selling hotels and movie companies as well as automobile companies, he kept on growing into a businessperson who represented capitalism in the 20th century. Until he died at the age of 98, he would try every possible challenge he could do.

This book is a marvelous non-fiction book about the life of a Man of whom little had previously been written about. This person's life will surprise and impress not only Americans but everyone in the world.  This great author William C. Rempel’s masterpiece will knock everyone's socks off.

Also check

An English Abstract for “The Making of a Man” of The Gambler: How Penniless Dropout Kirk Kerkorian Became the Greatest Deal Maker in Capitalist History (1)

An English Abstract for “The Making of a Man” of The Gambler: How Penniless Dropout Kirk Kerkorian Became the Greatest Deal Maker in Capitalist History (2)