Releated under the John F. Kennedy Assassination Records Collection Act of 1992 (44 USc 2107 H on DATE: i -14-2017 ‘VGW:SLZ- 3 DE 29-1432 Wa) Equipment now owned by Alvin Naiman Corp. which was appraised ‘by Marks Tractor and Equipment. Co, on 2-8- 56 at $650, 900 and which is ‘carried at 12-31-57 at cost of. $644, 200, de- -preciated to 60% of cost — $386 , 500 Mp). Equipment now on premises. of quarry J to be purchased = oo 228,050 | sae New Equipement to be purchased 73,000 ae "GENERAL COMMENTS "Favorable Factors "I. If estimates of profits which we have been given cn are accurate, it appears that our loan can easily be repaid from. profits. (Contra 1) { "2. Our loan appears to be well secured. "3. The subject has no. ‘problem in obtaining a market for the stone since ten year contracts, ‘for purchase of as much. stone as the quarry is expected ‘to. produce have already been obtained. "4. It appears that proper ‘tests have been nade ‘to. determine the quality of the stone and we under-— stand that it meets requirements | for’ Ohio reo8e "Negative Factors "YY "We are told that this quarry is presently producing 300, 000° ‘tons of Stone ‘per year. Estimated Profits. ; 1a for payment ‘of the ‘balance of the cost of. the quarry, except from cash gain on. depreciation (Contra 1) "2. The- present operation has suffered due to the steel industry. _ Current liabilities exeeeded current assets at 12-31-57. DoclId: 32301634 Page 4 ores
Released under the John F. Kennedy Assassination Records Collection Act of 1992 (44 USC 2107 Hote). ‘DATE: 11-14-2017 ~ _ BC ay . : NY LL VGW:SLZ - 4 DE 29-1432 "3, The pro-forma balance sheet indicates total _ ° unsubordinated debt of $833,000 against adjusted net worth of $556, 000 and current assets of only $255, 000.. “4, The. subject is contributing no new capital toré this venture. It is to be done entirely. on borrowed funds repayable from projected profits. " Also obtained from the ‘above source was information ‘regarding a revised application. dated April 21, 1958, concerning the above. proposed increase. to $375,000. 00 (present balance $101, 750. 00) of a ‘loan secured by:: ‘a, all of the equipment of the ‘corporation having a net book value (pro forma) of $916,000: "bh, pledge of $100,000 savings account in the name. of. Alvin Naiman "ce, Subordination of $200,000 due the parent Janeway Ventures, Inc. and "d,. subordination of $396,000 due Alvin Naiman. "ADDITIONAL INFORMATION "In addition to the: basic description of the contemplated stone quarry purchase, related in the basic writeup of ‘April 14, 1958, the following | has been developed: "The Niagara Crushed Stone Co. of Port Colborne is presently..in business producing: 1,500 tons of crushed ‘stone. per day on an eight hour shift. Sales" are. presently limited to local Canadian. buyers. Prices. for the stone. range from $1.35 to $1.45 at the quarry mouth and: costs. of: production are in the neighborhood of» 50¢ per ton. The operation is presently profitable. "Present ‘management: consists of five brothers who have paid themselves well out of this operation. They will be replaced by a superintendent, hired by Mr. : ‘Naiman,- - 9- Docld: 32301634 Page 5
Releazed under the John F. Kennedy Assassination Records Collection Act of 1993 (44 Sc 3107 Hotey. DATE: 11-14-2017 a | , C\ ; . weedy coe, Cy . | . 7 VGW:SLZ°-°5— DE 29-1432. | | "having 14 years operating experience with a firm at. Logansport , Indiana, Mr. Naiman contemplates 16 hour | » per day. . operation and. increasing» output .to 3,000 tons: per day with present equipment. "With respect. to the company ' s ability to begin business with sufficient working capital, the cost of the second | - hand equipment, which is to be purchased , has ‘been considerably reduced, as” follows: Cost Price New "Crusher - 30 X 42 - “conveyor a and diesel oe $ 15,000 “¢ 25, 000. Conveyor belt ~ 7 : 3,000 | 5; 500 - Four - 5 X 14! vibrating screens a a with motors and drives_ 16,000 24,000 - Secondary cone crusher. 53' . —— standard with motor — » .15,000 37,500 4 Ft. shorthead cone crusher 10 ,000. 35, 000 ‘ (175 Ft. of, 30" conyeyor ; _ + 4,000 8, 200 $ 63,000 $135, 200. "This was possible because of an advantageous purchase. from.American Cyanimid Company at Messina, New York, | in connection with their. hydro-electric Prant develop-_ ment. . "The company is now. operating with one 30 X 42" crusher, _ feeder conveyor and diesel, and has a present. capacity. ‘of about 3,000 tons per day on two shifts ~ a total of 16 hours. Mr. Naiman is sure. productivity ‘can be increased by. 25 per cent but, in any event,-: present equipment | can produce 200 tons per hour and they expect _ productivity with the two crushers to be at least 500. tons per hour. This would. increase: production to 8,000 tons per 16 ‘hour day. Even allowing for break- downs , this rate of production. should be more than | adequate to service the | loan. “With the. 50, 000 ‘tons of stone on hand, representing - $50,000 in working capital, : plus the loan. of $275, .000 in new money over and above the. present loan, the total - 10 - Docld: 32301634 Page 6
Released under the John F. Kennedy Assassination Records Collection Act of 1992 (44 USC 2107 Hofey. DATE: 11-14-2017 , ; VGW:SLZ: =6 DE 29- “1432. “"Pands” ‘available will be $325, 000. “Against this, the quarry ‘and ‘plant. and extra acreage | will ‘cost. ~ $165, 000, ‘as previously related, and the: ‘equipment. ~ $63, ‘000; - fora. total of '$228, 000, “Mrs” Naiman will, ‘therefore, have $97,000 of working eapital available at. the ‘beginning’ ‘of: operations. "His. major expense. is for labor, which will ‘not . exceed $4,500.00 a week. As a matter of fact it should average about. $3, 000. 00 a week. It would — appear, therefore, that he has adequate working A capital to begin operations. Payment. by contract is 15 days after shipment, and not 15 days prox. as ¥ _ has. been suggested. -The company ‘purchasing the ‘stone. is adequately ‘backed by | important concerns in this city and we have been assured that over $200,000 in advances ‘are immediately available to it. There is.every reason to- believe. the company's. invoices will be paid as agreed within. 15 days. "The company contemplates a six day operation and conservatively estimates 5,000 tons -_per day. (Note this is considerably under the 8,000 ‘potential mentioned above). They will: be able to send three’ boat loads of 10,000 tons each to Cleveland each: week, ' or’a ‘total: ‘of: 30,000. tons. As previously related, _ the selling. price is $1.00 a ton right at the property. The Company | ‘is not. concerned with ‘any . cost except that of quarrying and crushing. Trucking, shipping, et. cetera are the responsibility of - the: purchaser. | "They. are. estimating a profit of 40 cents a. ton; - however, assuming these estimates are. wrong by a wide margin, we need only 17 cents. a ton to pay the required: $120,000 annual. payment on an estimated - volume, of 700,000 tons.: On the other hand, at 40 _ cents” a. ton, it is required: that. only 300, 000 ‘tons . be ‘produced to meet: the: payments. on’ our. loan, _. Anywhere - between . these: ‘two extremes’. ‘of: ‘cost. or level of production “would assure payment of. our’ “loan. ¢ "With - respect: to cost: ‘of production, Mr... Naiman gave ‘us’. ‘these. figures: ‘ - ll - LL : Docld: 32301634 Page 7
' Released under the John F. Kennedy Assassination Records Collection Act of 1997 (44 0S D107 Hotes. DATE: Al- 14-2017 : a va . . : a ‘ . Fd } OVGW:SLZ°- 7 — | DE. 29-1432 © Per Ton Stripping and overburden Drilling and Blasting 18" Loading and. trucking . at. quarry / +o ~ ‘Screening and. crushing | . 14s oO oe 48. i "Questions. have been asked. ‘relating to the cost: of. labor. With’ regard to. the stripping operation, this. charge is mainly. labor. In the drilling and- ‘blasting: operation 5 cents: is for the: fertilizer. used.as an explosive and- the ‘balance may - -be con- Ss -gidered labor .- or 13 cents a ton. Loading and trucking» can be ‘considered. at 50. per cent labor’- . or. 5 cents -. and. screening. and crushing is. generously included at approximately 3 cents, mainly ‘for , supervision. -"§tone sells in Cleveland. for about $3.25:per ton. The purchasing. company will buy. stone at. the quarry | mouth ‘for. $1;00 per. ton, Mr. ‘Naimans ‘costs ‘arelimited strictly to. the quarry operation. and the 48¢. cost. broken down above. The cost. of stone laid down | in” Cleveland is. estimated. as follows: “Cost of stone. at. quarry $1.00 Loading into the. vessel 415 Duty oo. 25 | \ _ Unloading, etc. , -39 os Shipping cost 260 =. .65. ) Trucking, and delivery to site 40 7245 a bs Total Cost | ($2570 =2, 80 "Thereis no- dockage | cost in. Cleveland: ‘since’ the dock belongs. to one: of the. using firms. ‘There “is no. ‘real dockage cost: in Canada, since the ‘dock: is’ leased: ‘by the stone purchasing company at $7, 500.00, but is, subleased: to. others for. $22, 000 a year. . . “The. purchasing company expects. to have a. 45¢. margin per ton. of stone sold. ‘and | delivered | ‘to the. Job “in. the ‘Cleveland area. 2 12 6 Docld: 32301634 Page &
Released under the John F. Kennedy Assassination Records Collection Act of 1992 (44 UWSc 2107 Hofey;. DATE: 11-14-2017 | , . er -~ ae | SON : . | ’ a. OS, wt . _YGW:SLZ’~ 8 ‘DE 29-1432" Mr ,: Naiman. sincerely believes in the feasibility / and”: ‘profit potential of this venture. This is. - evidenced by his pledge. of $100,000 of his personal, savings. to support this credit. The company: is | i ‘presently in operation and making money. The cost | basis on. which Mr. Naiman figures his ‘poten tial profits. seens. supportable in current experience. oa Also included with the above data ‘were balance ““‘gheet comments indicating a total adjusted net worth "of $556,000.00 for The Alvin Naiman Corporation at. December 31, 1957: It was. indicated that the existing - Toan secured by chattél mortgages On “equipment was being paid as agreed, and no derogatory information was noted concerning other accounts with Central. National Bank in the names of The Alvin Naiman Corporation; its predecessor, ‘The. Alvin Naiman Wrecking Company ; its parent company, ‘Janeway Ventures, Ine. ; ALVIN ; ‘NAIMAN; ELIOT J ANEWAY ; and NATE. DOLIN. . 1 It is noted that copies of minutes - of the Board of Directors of ANC, as obtained by THOMAS E. LINDSEY, indicate that on May 2, 1958, the president and secretary of ANC were authorized to enter into a guarantee agreement with the Central National Bank of Cleveland, to finance the purchase of the capital stock of the. stockholders of NCS. The minutes also indicate that on January 2, 1959, ALVIN NAIMAN reported that National Acceptance Corporation would loan $200,000 to pay off . a similar amount due Central National Bank of Cleveland, Ohio, which would permit him to obtain possession of pass books in the sum of $100,000 which he had deposited as collateral for the $200,000 loan at the Central National Bank. He would then’ ‘be willing to loan the corporation all or any part of this sum as funds were needed. ANC was authorized to execute its note to National Acceptance Corporation in the sum of $200,000 to be used to pay off the $200,000 loan at Central National Bank of Cleveland. ¢ 1 { - 13 - Docld: 32301634 Page 93