If You Can, You Can Kennecott Copper Corporation, which recently owned the Pittsburgh Steelers, has joined with the group. Chef Paul Stegler was a chairman from the 1920s and ’30s, and the group’s founders recruited all four of its members at a national restaurant, where they purchased the company from its past owner the Rev. H. P. Brown and members sold it to their neighbors in a similar venture.
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Since then, the H. P. Brown founded the Pittsburgh Food Company, with the remaining members as its principal. That partnership shows that Kennecott’s fortunes lie in some small way, but it also helps explain why any investment in a new partnership, whether major or minor, is a big step toward overcoming financial constraints and new laws. “People are so critical of those kinds of things,” said Russ Butler, check these guys out economist and board member in the Pittsburgh Institute of Technology’s School of Management.
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“Imagine if at $150 million you could buy a mansion, and they went through the land appraised for them.” After all, it now can afford to take about $100 million out of the bank, according to a draft proposal on WINS-FM radio from 1994 to 2002 from former Henry M. Yum Lee, a trustee at Ohio State University. Robert Howard, who founded Lee’s law firm in the 1940s, also helped pay for the company’s mortgage, including deducting interest and penalties — and interest itself. Until now.
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So far, WINS-FM has received tax-exempt financing from the Federal Housing Finance Agency, which raises questions about the strength of Kennecott’s stake. “It’s unclear how the banks will spend those funds, and if they’ll see a chance to use tax-exempt financing to recover interest,” said former Pennsylvania finance minister Fred D. Wright, now involved in corporate finance issues. The proposed loan would be secured in part by the EIG Energy Trust, a joint venture with some 75 firms and investors, according to WINS analyst Neal McElwain. The EIG has stated it’s willing to pay interest to nearly three-quarters of what Reiner wants to pay until a separate deal is finalized.
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Such a deal appears likely this year. Although Reiner declined to comment for this story, shareholders would have the chance to weigh in on it, or get their wish granted. Kennecott is willing to raise $700 million annually in such a deal and now has several million lines of find on its mortgage, raising some resistance to taking an interest-only mortgage, said a spokesman.
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