00:00:00Marion Reid: Publishing because you've done a lot of other things. Can you tell me how this came about?
00:00:06Jerry Macchia: Well, very easily, I think Marion, um, I had been involved in heavy industry for all my life and worked for a large corporation back in the Midwest. And, in 1977, at that time I was a corporate vice president traveling the entire world for Clark Equipment Corporation.
00:00:37Reid: These are forklifts?
00:00:38Macchia: Forklifts.
00:00:39Reid: The forklift manufacturer?
00:00:40Macchia: Yes, that's, that's correct. And, the dealership or the franchise, whichever you choose to call it for the forklift division, became available in San Diego. And having worked for a large corporation for twenty-some years, you kind of become immune to a lot of things, and I was at that stage where I was ready to blossom into something, do something I--because I was at the stage in my life where I felt I could go to a management meeting and stand in the corner on my head for two hours and nobody would know if I was there or not. So the dealership became available and I've always had somewhat of an entrepreneurial feeling. And I thought, well, this is an opportunity for me to do what I really wanted to do. So I went over and talked to the vice president of marketing, who was a good friend of mine, and he said, "If you want it, it's yours." I was on an airplane in a week and I bought the franchise in San Diego.
00:01:40Reid: So you came here from Michigan?
00:01:41Macchia: I came here from Michigan, uh, took over the franchise in 1977 with a forklift division. Unfortunately six months after that, I was stricken with a spinal cord disease that was certainly unknown to me and unknown to anyone else. It was just something that just came out of the blue and apparently was there from birth and something triggered it. I woke up paralyzed one day, and I'd had this company for six months. And anyway, to make a long story short, because I don't wanna bore you with all that, I kept that company for four or five years and then the doctors decided it was best for me to retire and try to get my body back together because they said, "You're never gonna walk again," and all these kind of crazy things.
00:02:36Macchia: So I sold the company. And I retired for two years and became bored to death, and planted tomatoes and rose bushes and, you know, swam every day and just tried to keep myself physically able to move and decided it was time to go back to work. And having been on both sides of the fence, having worked for someone and then having worked for myself, I decided the only thing for me was to work for myself, which meant I had to find a company. And I went to a cocktail party one Sunday afternoon, ran into a banker friend, and he said, I do happen to know of a company that's for sale. And unbeknownst to me, it wasn't for sale, it was about to go down the tube <laugh>, but I found that out very soon. But anyway, that's how I bought the Green Tiger. It, uh, it was told to me by a friend. I went there the next week. I had several meetings with the former owners and we came up with an arrangement that was compatible to both of us. And that's how I acquired the Green Tiger Press.
00:03:48Reid: So you and your family worked with this new business. How did you learn publishing?
00:03:55Macchia: I never did learn it, and I'm not sure I know it today, to be honest about it. Uh, perhaps I'm a little unique in my thoughts about business. Most people feel that when you're in business, you're in a specialty, whatever that business is. If you're selling yogurt, you gotta be a specialty in yogurt. If you're selling, you know, JCPenney shoes, you gotta be a specialty in shoes or whatever. I don't happen to feel that way. I feel that the basics of business are the basics of business and they apply to all businesses. And therefore, I feel that you can run a forklift dealership or you can run a publishing company if you know the basics of running a business. And that's my philosophy, and that's what I did. I said, "I don't need to know the publishing business. I need to have people that know the publishing business." I need to know how to run the business. They need to know how to publish something and make it sell. And so that's the philosophy that I carried into the publishing company.
00:04:59Reid: Well, this seems to have worked well because between 1986 and 1990, you very much turned the company around.
00:05:10Macchia: Yeah.
00:05:10Reid: And, and I don't know more than doubled the profits or the earnings.
00:05:16Macchia: We did that. We did both. We doubled the sales and we doubled the earnings. We took the company out completely out of debt. And so it did work well. Very well--
00:05:25Reid: But what kinds of things did you do that caused it to change it--well, first of all, did you keep the same people?
00:05:32Macchia: There were a lot of--there were a lot of pluses at the Green Tiger when I bought it that I will not take credit for. That were there. But they were laying dormant. They were just laying there and nobody was doing anything with them. For example, the product line was wonderful. The name had already been established, which was also wonderful because the name was, was well known all over the world and a good name. It had carved a certain niche in the marketplace that was there, and they had good people, but they were not utilizing them. So all I really did was took advantage of what was--what was there. I did not create anything. I didn't do anything. I just said to myself, it's all right there. So all you've gotta do is use it. And, the other thing that was very important, and probably attributes a great deal to the sales activity, to the marketing, to the increase in sales was in the publishing business, at least in that one--and in most--you use independent sales reps. You, never have your own sales force unless you're a huge, huge corporation like Simon Houston. Most small publishing houses do it through independent representatives. And that's what we did. The Green Tiger had maybe sixty or sixty-five (sales reps) at the time that I acquired the company. The problem was that the sales reps were not really sales reps because they were not representing the line. 'cause they were not being paid commissions. When they did sell something, they never got paid for it. So as a result, they were a sales rep in name only. So one of the very first things I recognized, because if I have a somewhat of a marketing background, I recognize the first thing you gotta do is get somebody out to sell your product. It can be the best product in the world, but if you have no one to sell it, it's not gonna go any place. So we had a--we called all the sales reps to San Diego. We had a special sales meeting, and as they came in, we presented them with a back commission check. So they were all paid right up to that moment. They were paid for all the products that they had sold that they never got paid for. That tended, of course, to--
00:08:14Reid: Get their attention--
00:08:15Macchia: --boost their confidence in the future. We showed them what our plans were for the future. We showed them some new products that we had developed that they became very excited about. And as a result of that, we got, uh, I guess what you could say, as much attention as you can get from an independent rep, because they usually represent 30 or 35 companies. So we got their attention, I think, that way. And then what we did is, we decided that we really needed to double the sales force. So we ended up with a 160 sales reps rather than--well, we did better than double because we only had sixty-some--we ended up, when I sold the company to Simon & Schuster, we had over 160 and we went international, in addition to that. We went into England, we went into Australia, we went into Japan. We were about to go into Mexico, but we didn't. But we would have if we hadn't sold. So we did go international to some degree, and we would've gone further inter international because there was there was a lot of opportunity there. So that pretty much tells the story of doubling the, you know, the sales volume. We took advantage of the expertise that was there of some of the people, the editorial people, the--some of the marketing people were very good. We had telemarketing people that were good, but they were not being utilized.
00:10:01Macchia: And we literally, from that point, cleaned house. And then we got rid of all the people, all the things that we didn't need, and that were really just kind of consuming, if that's a good word, they were consuming a lot of the good things, and they were really draining profits, draining resources with no results.
00:10:22Reid: Would doing the actual printing be one of those?
00:10:25Macchia: Well, doing printing was certainly one of 'em and that's one of the very first things I got rid of. Was we got rid of the printing press, we got rid of the printers. We jobbed all of that out. We became, in the true essence, we became a publisher rather than a printing house. Which made a tremendous, tremendous difference in overhead.
00:10:46Reid: I read in one of the articles that you had people vote on--in order to select the manuscript.
00:10:53Macchia: Yes.
00:10:54Reid: Who voted?
00:10:55Macchia: Well, that's a very unique situation also. And we were not the typical public publishing house because most publishers have an editorial staff and they have editors just like a newspaper. We did not, we had an editorial committee which was made up of employees. And that committee rotated, and we would've committees, we would've people serving on that committee's from accounting, for example. We would have people on that committee that could have been from the warehouse, that could have worked in the, let's say in the customer service group, could have worked in marketing, could have worked almost any place in the business. And we would put them on the editorial staff. And that was made up of as many as seven or eight people at a time. And I chairmanned that particular committee, myself, and my wife sat on that committee. Uh, my son sat on it, and we used to receive--and this, uh, this is somewhat of an astounding number, and I still have trouble with it--but we used to get in the mail unsolicited over two thousand manuscripts a year. Now that's a l--that, you know, that would fill this room very easily. From floor to ceiling, and from wall to wall. And we of course could not read all of them. And we would read--we would scan/read as much as we possibly could. And the ones that we knew were not Green Tiger at all, because we had a certain image, we ha a certain niche, we knew what we were looking for all the time. And so probably 90% of them either went back to the person that submitted it or they just got thrown away. Uh, if someone sends something to you and requested to come back and they send you the postage, then you're obligated to send it back to them. If they just send it to you and say, please read my manuscript. if you're interested, let me know. Those we would just throw away. So what we would do is, as we had time, as people had time, as the employees had time that were on this committee, they would take manuscripts and they would read and they would just do that <inaudible>. They would throw 'em this way or throw 'em this way or throw 'em away or send them back. Or they would put 'em in a save pile. The save pile was then, you know, given to others on the committee. "I think this has got merit. Read it." So every night people would go home with stacks of manuscripts, and then we would have editorial meetings, and each person would say, "I think this has merit." And we'd end up with certain group, then we would all take those and read them, and then we would narrow those down. Then we'd get down to maybe fifteen or twenty, because we couldn't afford to publish any more than that in a year because publishing a book is very expensive. So we would then get down to a point where we would actually have to vote. And we did a secret ballot vote so that no one would influence the other party. And then after the vote was taken, we would publish it (the vote) and say, "Okay, we've got seven that wants this book. We've got three that says no, we got two that says yes, we got one that says doesn't care." You know?
00:14:30Reid: Yeah.
00:14:31Macchia: Those kind of things. Then we would get into a discussion stage about a particular book, and some would get scrapped and some would get maybe boosted up. And that's the way we selected what we were gonna print. And if it got to where it had to be a tiebreaker, I would usually be the tiebreaker. And we got to where we would publish twenty books a year in that fashion. And we did the same with note cards and calendars.
00:15:03Reid: So the manus--did the manuscripts include the calendars and the note cards or that was additional? Did you get the same kind of over the transom--
00:15:11Macchia: Well, we did get quite a few note card-things over the transom. We didn't get too many calendars. We pretty much did that ourselves. We knew what we wanted to do. Uh, note cards, we used to get a tremendous amount of the actual images. We didn't get the verses. We'd get the images, "can you use these images in your note card line?" We'd get a lot of that. And we used them. We used quite a few, but we, we did something that probably no other publisher's ever done and probably never will do. We figured that we could get, you know, more bang for the buck, so to speak, if you take images from the books that you've already published, and if the book is successful, you can use that same film and you can use the same image and it's all you have to do is put a verse with it and you've got an note card. So we--We just kind of thought we were a little smarter, I guess. Maybe we weren't, but we thought we were smart to do that because it saved us, and we--not only did it save us, but we were able to keep our card line fresh in that manner because we already had the images and then it's all we had to do was for someone sit down and very cleverly write a little verse to go with that. Or as you probably know, we published a lot of cards that were blank. And people could write their own image. They were all message, I should say.
00:16:44Reid: What can you tell me about the original publishers, the original owners of Green Tiger? I assume you, you met with them.
00:16:53Macchia: Oh yeah.
00:16:54Reid: And there were three.
00:16:56Macchia: There were three. What's that? <inaudible> then there were three, then there were two <laugh>. Anyway, there were three. Uh--
00:17:04Reid: And Harold and Sandra Darling--
00:17:06Macchia: Harold and Sandra Darling were the, were the driving force of the editorial and the creative. And she still is in the publishing field and she's very successful. And so is he. And they now have a company called the Blue Lantern Studio. It's in San Diego. She is the author and the artist of the Carl series, the "Good Dog, Carl" series. I don't know if you know that book. Well, they did a whole series of Carl books now, She's done three or four of that book. We did the first one. And--
00:17:55Reid: That's where I know it <inaudible> on the lift.
00:17:57Macchia: Yeah. The Good Dog, Carl. And that's become very successful. And her whole series of that has become very successful. So, and now they have--they started this Blue Lantern Studio to assist other publishers as consultants and that kind of thing. They branched from that into, back in publishing and their now publishing their own books again. And I--and they are selling books to people like Farrar Strauss and people like Simon & Schuster. And so they're back on the road for recovery again.
00:18:38Reid: Well, Harold Lee.
00:18:40Macchia: Harold Lee.
00:18:40Reid: What kind of function did he have?
00:18:42Macchia: Well, Harold Lee, Harold Lee's function basically was the financial--
00:18:46Reid: Money.
00:18:47Macchia: He was the money guy. He's the guy that had the money. Uh, he believed very strongly in their talent, which he certainly was correct. He believed in the ability to sell the product. So he did fund it, and he funded it to the tune of like 80 or 85% as I remember the numbers.
00:19:11Reid: Okay, so back in 1970, he contributed that. And had they had a bookstore, or?
00:19:17Macchia: There's--there's somewhat of a, of a blank in my mind about that, Marion. They had, they started, as I understand it, with a card line. No, that's not correct. They started, I believe, with what was called the Unicorn Theater.
00:19:44Reid: Okay.
00:19:46Macchia: Which was a small little theater in La Jolla that they rented, and they served European foreign teas, cookies and things of that nature. And they showed European films, and they gathered quite a following. And this was back in the, like you say in the seventies. They gathered quite a following. And, I understand it was--I've never been there and didn't know anything about it, of course. And never seen it. But I understand it was quite unique. And what they did was very unique. And they'd had people coming there every night to watch these foreign films, and they would drink foreign coffees and foreign teas and that kind of thing. And they branched out from that, I believe, to the card company. And then they branched into a company, I believe it was called the Mithras, I think it was the Mithras Book company or something like that, up in, I think it was up in the Hillcrest area. And they started being a book publisher. And so they started publishing books and only a couple. And they started, as you know, with the old and antiquarian-style books. And they used, for the most part, they used public domain material. But they did gather a few artists and authors that were more current that they needed to pay royalties to. And they started publishing in that manner, and they did quite well. And, I don't really know what happened to them financially. I really can't respond to that too well, except that in 1986, they were pretty well down and out and ready to close the doors. And that's when I was told about this company. And that's when I contacted the Darlings and with Mr. Lee and I had meetings with them. They had a consultant at that time running their company. They were not running it. They were, they were doing their little creative thing. Unfortunately, Harold Lee and the Darlings physically, verbally parted ways. They became, what you might even say bitter enemies. And he went his way and picked up his toys and went home. And they stayed and tried to run the business, and he just withdrew himself from it entirely. And he did not, of course, would not fund any more money to it. Uh, as a result, it just went downhill, downhill, downhill. They didn't pay commissions, they didn't pay salesmen. They, as I understand, some of the staff, they did not make payroll. Some of the people left, some of that were very loyal, stayed. And that's kind of when I entered the picture.
00:22:48Reid: Oh, I'll turn the tape over. Oh, this is fine.
00:22:50Macchia: But I don't mean to ramble, but some of these things come into my head. I'm sure you're not gonna use all this material, but--
00:22:57Reid: Oh, we'll use what you choose <laugh>
00:23:01Macchia: And what you choose, because I think that it should be a joint effort here to make it what you want.
00:23:05Reid: With the logo. I read something that indicated that the logo was somehow related possibly to the Detroit Tigers.
00:23:12Macchia: Yes.
00:23:13Reid: The logo being a big Tiger head and then green--
00:23:18Macchia: Well, that's not the logo, that's the name.
00:23:20Reid: Oh, that's the, okay.
00:23:21Macchia: The name Green Tiger.
00:23:23Reid: Okay.
00:23:24Macchia: And Marion, I'm not gonna swear that this is true because I don't know and it's always been a mystique because I could never get anybody to tell me the truth. And I shouldn't say the truth. I could never get anybody to really tell me where it really did come from. Because everybody I talked to said, I don't know if this is for sure, but this is what we think. This is what we heard. And the predominant story was, and is to this day, that Harold Darling, who was the founder with his wife Sandra, was and still is a very avid baseball fan. My understanding is that his favorite team at that time was the Detroit Tigers. And I was born and raised in Michigan, which was only a few miles from Detroit. And I was a Detroit Tiger fan. He is a little bit younger than I, but I don't ever remember the Detroit Tigers wearing green and white striped uniforms. But I was told that they did. Now, whether they did or not I can't say, but at any rate, I was told that that's where he came up with the name Green Tiger.
00:24:38Reid: Okay. Okay.
00:24:39Macchia: And from that point on, it was called the Green Tiger Press. And they developed the logo was developed, I believe, by a man by the name of Richardson. It was called a Richardson Tiger. And it was green and White tiger. And that's where that logo came from. Which you've probably what you've seen on his catalog.
00:24:58Reid: Yeah, on catalogs, okay.
00:24:59Macchia: And so I adopted that as our corporate logo when I acquired the company. And I just said, I think this ought to be the corporate logo. So I copyrighted it and had it as our corporate identity.
00:25:12Reid: Now, I understand that the Green Tiger Press had not only the printing presses back when the Days had it--the Darlings--
00:25:22Macchia: Darlings.
00:25:23Reid: Darlings. But it also had antiques. And did they have a children's book collection as well?
00:25:31Macchia: Yes. They had a very, very large children's book collection.
00:25:34Reid: What kind of antiques--
00:25:35Macchia: Very old--
00:25:36Reid: --do they have?
00:25:37Machia: Well, let's take them one at a time. The book collection, Harold Darling is a collector. By nature, I mean, that's his--that's just him. He's a collector. He collects everything. He has a great, great fondness for children's books. And when this started in his life, I don't know, but he collected children's books for many, many, many, many years, and still does to this day. He probably has the largest, most valuable children's book library in the city of San Diego. Maybe in the entire world for all I know. The last count I knew he had well over 5,000 volumes. And these will run the gamut from, you know, you name it, Wizard of Oz all the way on up to whatever you want to talk about. And, uh, original titles. And he just acquired them from all over the world.
00:26:35Reid: And he still has them?
00:26:36Macchia: And he still has them. That's correct. He still has them. Now, that was an asset of the Green Tiger. However, the library being really his, he collected it, and part of his contribution to the Green Tiger was to give that to the Green Tiger as, as a monetary contribution. And it was to be used to take material from that library, and they redid many of those old books that were in the public domain. You go back to Little Red Riding Hood, for example, if that's over fifty years old and he had the original, they would redo that book. Or they would take images and make note cards from those old books. Uh, in the negotiations, we structured it so that the library really would go back to him because it really was his, and it was more, let's say, it just meant more to him than it meant to me. I looked at my role in the Green Tiger as a business venture, and although I had a great love for books also, but--and still do--but not like his. And so the really--the library should have gone back to him, and that's where it did go. And he has it today.
00:28:03Reid: Did the antiques come with the press?
00:28:05Macchia: The antiques were--you're talking about tangible physical furniture type antiques, and there were many of them at the Green Tiger Press, and they all stayed with the Green Tiger press. When I sold the company to Simon & Schuster, many of them went to Simon & Schuster. The ones that they chose that they wanted, the ones they did not want, I retained, and I still have some of them today. We did call the Darlings and tell them what was left there, and if they had any fondness, they wanted something, some sentimental value, to come and take them. And they did. There were a lot of old things that were there and that I felt should have been in their hands rather than in mine. And there were some lots of signs that she had painted and she'd, you know, hand drawn, and there were some old, old cabinets and old antique pieces that they wanted, that they took.
00:29:05Reid: How did you come to move to San Marcos? To move the company to San Marcos?
00:29:09Macchia: Well, I don't know if you know where we were located or not, or downtown--
00:29:16Reid: C and India.
00:29:17Macchia: Yeah. Right next to the trolley.
00:29:19Reid: Next to the trolley.
00:29:20Macchia: Yes. The trolley--well, actually the trolley started on Ketner and C, and India was the next corner. And we were on the corner of C and India. Well then when the renovation of downtown started, they decided to build that huge great American Plaza building on the corner of Ketner and Broadway. As a result of that, the trolley station had to be moved a block eastward, and as a result, trolley station then ended up right opposite our building. Which forced us literally to completely turn around our entire operation. We couldn't use the side doors. We couldn't because the tracks were there and they put, you know, the stations there and everything. So we literally had to do a lot of things. They were chewing up the sidewalks. The big Shapery building went up. Have you been downtown?
00:30:24Reid: Mm-hmm <affirmative>. Yes.
00:30:25Macchia: So, you know. The big Shapery building went up. And in the meantime, after I acquired the company, it was owned by an elderly Chinese family. And--
00:30:41Reid: The building was?
00:30:43Macchia: The building was. And unbeknownst to me--and this is my own error--and I have no one to blame, but myself, I did not look at the lease thoroughly enough. I read the lease, but I didn't look at the bottom line. And the bottom line, there were no signatures. Meaning that the former owners never signed it. So--and there was a first option to buy the building. Well the option was valid--or it was voided because it was never signed. So I lost the opportunity to buy the building, which I would've done, but I lost that opportunity because it was not signed. And so the YMCA, which was right on the corner of Broadway and India, they, at that time, their mode was to buy that entire block. They wanted the entire block. And their purpose was, was well-founded. They wanted to build a high rise hotel, to take care of servicemen and their families and that kind of thing. So they wanted that, that Green Tiger building very badly. So they ended up buying it from this--from the elderly Chinese man that owned it. And so we entered into a lease with the YMCA. Well then the renovation of downtown started. And all these buildings, these highrise buildings were going up all around us. I mean, literally around us. Front, back at each side. Trolley was here, the big highrise here, big highrise here, another big highrise here, and then this big brand new great American Plaza going right across the street. Trolley going underneath. The sidewalks were being torn up. The jackhammers were going every day. The pile drivers were going every day. It was absolutely, it was terrible.
00:32:29Reid: Constant hassle.
00:32:31Macchia: Constant. It was awful. We lost all our parking facilities. We lost our water every day. We lost our electricity every day. Our computer went out every day. It was just, it was just godawful. And as a result of that, I just said, I've gotta get us out of here. And living in North County, I naturally wanted to, to move to North County. And maybe that was a selfish motive on my part. Uh, I don't know. But with my handicap, driving to San Diego every day was certainly not easy. And because that was an hour and 15 minutes every day and every night. And that was not an easy thing. And no place to park. I had a handicapped parking place that I negotiated with the city, and then they finally tore it apart by--because they even tore the sidewalk up, you know? So I had no place to park my car. It was awful. Anyway, make a long story short, I found this building and--I looked and looked and looked and looked--and I found this building in San Marcos. That was the building that we're talking about. And, it was just a shell. There was no interior at all. It was just a shell. And the man that had--that developed that whole business park went into bankruptcy. And as a result of that, that building was foreclosed on as well as others in there. And so I negotiated a purchase for that building. And fortunately, like I say, it was not built out inside, so we were able to design it ourselves. So we designed the entire inside of the building; the upstairs, downstairs. And we bought the building. My wife and I bought it independent of the Green Tiger, and we leased it back to the Green Tiger.
00:34:20Reid: So what functions did you put on the two different levels?
00:34:25Macchia: Okay. The, the upstairs level was all office. Accounting was upstairs, the computer systems were all upstairs. The receivables, you know, all of the accounting functions, the editorial functions were upstairs. The sales functions, marketing functions were upstairs. Customer service was upstairs. The mail room was upstairs.
00:34:51Reid: So how many people had--
00:34:54Macchia: We had that pared down when we moved, we had it paired down to thirty-five, I think. In that, from that area, the balance, um, was all warehouse functions done in the warehouse. And, warehouse: we had racking, of course, from floor to ceiling and all our inventory--
00:35:15Reid: In the warehouse.
00:35:16Macchia: In the warehouse, Proper. We did all our receiving, did all our shipping, all our warehousing, we did all of our quality control. We did all of our manufacturing. We did some manufacturing of cards. We built--we made all our own cards, except print. We didn't print them, but the hand-tipped cards, I don't know if you recall those or not, where you would just get a blank card that would open up like so, and on the inside would be a hand-glued image. Those were called hand-tipped cards. And we had a group of Thai ladies from Thailand, and we had six or seven of them. And they did all the quality control, and they did all the hand-tipped cards. And the quality control, they literally would go through every page of every book and we would not put a book in inventory that had a blemish, a nick in the corner--it was very, very strict on quality control. And that was one of the things that the Green Tiger image was excellent. And it was there when I bought it, and we did not let that go down, that state.
00:36:32Reid: What heavy equipment did you have it--on the first level? There's some heavy duty electrical outlets there.
00:36:42Macchia: Heavy duty, well, we had our computer, for one, which was a large mainframe computer.
00:36:49Reid: But on downstairs--
00:36:50Macchia: Oh, downstairs. In the warehouse.
00:36:52Reid: Yeah.
00:36:53Macchia: In the warehouse we had all the racks and they're heavy duty, of course, because they went from floor to ceiling.
00:37:00Reid: And those had books and paper. Books on them.
00:37:03Macchia: Books. All books. No paper because we didn't do any printing.
00:37:05Reid: Okay.
00:37:06Macchia: Um, occasionally we'd buy paper, but, but, but very rarely--
00:37:10Reid: Stock of cards, group of cards--
00:37:12Macchia: All the cards. All the cards. All the books. Finished product now we're talking about.
00:37:17Reid: Yeah. Right.
00:37:18Macchia: Uh, always boxed, very heavy. So with the racks were heavy and, and loaded, of course, they were very heavy. We had lift trucks. We had a, what was called a shrink wrap machine, which was over backed in behind the staircase. And we had the shipping department, which was consisted of a lot of heavy, you know, heavy tables and things that nature; scales, automatic scales, that type of thing. Nothing extremely heavy. And the computers, like I say, were upstairs. And then we had a large, that large huge carousel. I don't know if you ever saw that.
00:38:04Reid: I did.
00:38:05Macchia: You did see that?
00:38:06Reid: Yes.
00:38:07Macchia: Yeah. Well, we had that and I--beyond this, of course, I was--I was hoping that you could find a use for that, because it was so beautiful, I thought, but you couldn't. And I still have it, so--
00:38:20Reid: Uh-huh good.
00:38:21Macchia: We didn't, we just couldn't let it go. We still got it because it was--we designed it and we built it. We still have it. But there wasn't anything any heavier than that upstairs, except we had an old antique press that was probably--probably close to a hundred years old or older. Manual operated press with a great big huge wheel that was tremendously heavy. That was upstairs. And we had some old antique church pews and things of that nature upstairs. And, uh, nothing really heavy. Nothing beyond the press.
00:39:00Reid: How did you decide to sell to Simon & Schuster when you did?
00:39:06Macchia: Well, that's an interesting, a very interesting story, Marion. I really did not have the company for sale. The company was not for sale. I felt like we had a long ways to go before we were ready to try to sell the company. And besides, we were having fun and I didn't really want to sell it. There were days that I wanted to sell it because of, basically because of my disability, because it was very hard for me some days. And, especially when we were downtown, it was extremely hard. But as I say, the company was not for sale. And one day, I guess it was in '89, might've been latter part of '88, I had a call from Simon & Schuster, and it was from the Vice President of Acquisitions from Simon & Schuster. And I don't know if you know much about the Simon & Schuster Company or not, but anyway, they are the largest publisher in the world. Book publisher in the world. They grew to be that way by a lot of acquisitions. They bought a lot of companies, although they were a large publisher to begin with. They're owned by Paramount Studios in Hollywood. And Paramount, I'm sure you know, with what Paramount owns, and they own about everything you see on television practically. And they own Simon & Schuster. Well, anyway, the vice president called me and just said that they have been looking over my shoulder for four years, and I didn't know that, of course. And they said, we like what we see, and we'd like to come out and talk to you about a possible purchase. And naturally, I was taken aback by that. And I just said, "Well, I'm really not interested in-- not in the selling mode right now. And, you know, maybe a year from now or two." And they said, well, that's fine, you know, but we're in San Diego often, and, you know, could we get acquainted and could we maybe have dinner or whatever. Well, one thing led to another, and one thing led to another. And after probably eight or nine or ten dinners, we were pretty well-acquainted. Marvelous company, uh, marvelous people and wonderful people to do business with. And, it reached a point where they just wanted the company really bad. And I guess that I had to make a business decision, and the business decision said, sell it. And so that's what I did. And, I think in the long run, I made the right decision because I think it would've--well, timing wise, it certainly was right. And I had no magic, you know, I didn't have any magic ball to look into or anything. I didn't know the recession was coming, but from a timing point of view, it was a good time. And I think from a health point of view was a good time because it was harder for me every day. And I don't think that--I don't think we could have gotten an offer like we did from anyone else for a long time. And I can't think of a better company that could have it. And because they're doing well with it. They, they've carried on, I think is as much of the Green Tiger image is as could be expected in a large corporation. Because a lot of it, a lot of the little things got lost. Uh, but everything, I know that it's being carried on pretty much the way it was.
00:43:18Reid: I'm gonna change the tape again. Okay, now. Well, what do you know about what's happened to the employees who worked for you for Green Tiger?
00:43:30Macchia: Quite a bit actually. I could probably give you names of everyone that I, but I won't do that. But, there were four employees that I recommended to Simon & Schuster that they hire, because their intent was to move the company to New York, which they did. And I knew that the Green Tiger would lose all its image if some of the people didn't go. So I recommended four people. They interviewed all four people, and for various reasons, only one decided to go.
00:44:15Reid: But one did.
00:44:16Macchia: But one did. And probably the most important one, the sales manager, a young lady, uh, twenty-seven, twenty-eight years old. Young lady, Rita Eggers is her name. And she's a very high energy girl and very bright girl, knows the publishing business very, very well. Uh, she know--knew how to put on trade shows. She took care of all the reps. She served on the editorial staff. She did a little bit of everything. And if she needed to go down and wrap the pack and the shipping department, she would do that. I mean, she was that type of person. So they got a very good employee with her. And I understand she since has had a promotion and she's doing quite well. She's running the Green Tiger division, as well as a couple of other smaller divisions that are associated with children's books. So she's doing well. And I think they did well by hiring her. The others, the other three that I recommended for their own whatever personal reasons, just didn't want to move to New York or whatever they were. I don't know that. The others, um, one of them who was kind of my general manager, went to work for Hardcore Brace downtown in San Diego. The controller still works with me. And, the most of the people in the warehouse kind of scattered and they all landed on their feet because they were all young people. They were all thirty-five or less. There was two elderly gentlemen, that I understand, did--they did both get jobs, out, I think even better for them because they both lived out in the East County so they didn't have to drive down that way. And the Thai ladies, I understand some of them went back to Thailand. I understand one of 'em went to Los Angeles and works now with a relative up there. And then I think a couple of them, from what I heard, went to work in Thai restaurants. So, they're going to school in addition to that. So I think most, for the most part, um, everybody just landed on their feet and came out fine.
00:46:49Reid: You mentioned before we started the tape that the card portion of the business did not, well, Simon & Schuster bought it, but didn't do anything with it for a while. What has happened to it? Where did it go?
00:47:04Macchia: Well, they decided, I think after a few months that they did not want the card business. They'd never been in it. And they decided, you know, why should we do this? It's small, it's really not worth their--they're a billion-dollar corporation, so why mess around with a little three or $400,000 card business? And, so they just left it all with me. They left it in the building and they left all the inventory there. They left everything to do with the cards, and they put it up for sale. And it took a little longer, I believe, than what they had anticipated to sell it. But they finally sold it to a company in Santa Barbara, a young company--a young couple. Husband, wife--and I'm sorry. I can't, I just can't think of their names.
00:47:59Reid: So did you then send, ship the things--stock to them?
00:48:03Macchia: Oh yeah. Oh yes. In fact, I was instrumental in helping sell the company. I worked with Simon & Schuster very closely on it. I took the people to the building. I showed 'em the inventory, showed 'em the film. Showed 'em the catalogs, you know, counseled them with everything that I knew about it. And they ended up then negotiating with Simon & Schuster. And they ended up buying the company. And then we helped them get everything shipped and moved. And it's there. And I understand that they just came out with their first line, I think. I think in fact, I believe it's this month. Come to think about it, it's May. And, I think they'll do well with it. I think they made a good purchase. I don't know what kind of whether--I don't know anything about the economics, so I don't know what that means, but knowing Simon & Schuster, I'm sure it was a fair transaction. And, these people were in the card business and they were very enthusiastic, and I think they'll do well with it. They were Green Tiger fans, and that's how they found out about it. So they had a lot of the books at home with, for their kids, and they had a lot of cards. And so they were kind of in that niche that buys Gold Tiger so they knew a little bit about it, and so I think they'll do fine.
00:49:32Reid: How long did it take to vacate the building itself? I assume Simon & Schuster didn't buy everything inside like the racks. I don't know, did they? No.
00:49:44Macchia: No, no. Oh, yes! They did buy the racks. Yes. I'm sorry. Sure. They did. Yes., they bought the racks.
00:49:48Reid: So all of that was literally shipped to New York?
00:49:51Macchia: All of it was shipped to New York. They--they bought the company in December of 1990. By March, by the end of March, everything that they wanted, with the exception of the cards, was gone. The racks, everything. We--well, one exception, the lift truck stayed until the cards because we needed the lift truck to load and everything. So the cards, when once the cards were shipped and everything was gone, then we sent the lift truck to New York. And that took to I believe October. Uh, so Simon & Schuster literally rented the building from me for almost a year. For close to a year. They rented--I shouldn't say the building, they rented partial. You know, I just, it was square done with a square footage thing, and they rented just enough square feet to keep the cards there. And there was some, there's some machinery to do with the cards, but just little things. And, so we rented that portion and then the building sat until we rented it to the university.
00:51:12Reid: And how, how did that happen? I know you--
00:51:16Macchia: The university--
00:51:16Reid: You and Dick Rush got together and talked about this. And eventually the foundation has leased it.
00:51:21Macchia: Yes. The Foundation actually leased it from me. Yes. And not the university, but the foundation. Uh, the way it really happened, Marion, I have a good friend that's on your board. In fact, I have two good friends that's on the board, the foundation board. But Bill Daniels and Tony <inaudible>, and Tony just mentioned to me one day that he would--that he had come out of a board meeting. They were looking for more facilities. And one was--I think he said something to do with books or warehousing catalogs. He didn't know. But he just said, "I think your building would fit them very nicely." And I always sat in my office and I'd look at up, and I could see the university right from my window. And I could say to my myself, gee, that they--they ought to use this. They need this building for something, you know, surely they've missed something up there, <laugh>. So anyway, I called Dick. He (Tony) told me, gave me name, a number, and he said, "Call Dick and talk to him." And so I did. And my wife and I went out and met Dick for lunch. Took him to the building and he just thought it was perfect for what he wanted. And then he--I think he had a few hurdles to cross, as you can, as you know--
00:52:43Reid: We're a state agency.
00:52:44Macchia: Yeah. He said, "I'll get back to you." And I said, "Okay, Dick, when will that be?" And he said, "Well, you're dealing with the state." And, you know, it took a few months. But anyway, then he got over the hurdles and they decided the best way was to lease it to the foundation, not to the university. And then he turned it over to Pat Parris. And I dealt with Pat, who was a wonderful person. And she has a wonderful staff also. And so I worked with Pat and then we got--we finally got it done. And then we had--we went through the hurdle of the god-ever-loving fire marshal, the State Fire Marshal. You probably know that whole story.
00:53:27Reid: Oh yes, I know--I know some of it. <Laugh>
00:53:29Macchia: So we finally did that. And then they said, well, you gotta put in some doors and you gotta do this, and you gotta do that. And you probably know all about that too. So we put in those two new doors in the front, and then we just finished putting two new doors in the back. And I--in fact, I hope they're done. Do you know, are they?
00:53:44Reid: I don't know.
00:53:46Macchia: I hope they are, they were supposed to have been done, I think last week. But anyway, all that got finished and I think you guys took the building over in January.
00:53:57Reid: Yes. We had computer equipment coming for the library the week of January 6th.
00:54:02Macchia: I remember that.
00:54:03Reid: Yeah. And Pat was very concerned about it right before Christmas.
00:54:08Macchia: Because she knew she had to have a place to put those computers.
00:54:11Reid: Right. And it turned out they sent them to us, to our current location, and they sent them early. So we stacked them up when somebody went away on Christmas vacation.
00:54:20Macchia: Oh, I didn't know that.
00:54:22Reid: And they were already there, so that Pat had an extra week. So it just worked.
00:54:26Macchia: Worked out.
00:54:28Reid: Yeah. Because we had computer installation on the 14th. The morning of the 14th. And training on the afternoon.
00:54:35Macchia: Yes. Because I was in the building. In fact, I was there. I don't even know why I was out there. I was there for something. I guess it had to do something with the doors or something. Because we had to put that one door in the base, in the warehouse on the side. By the steps.
00:54:52Reid: Right, right.
00:54:53Macchia: And I don't know what I was there for, but anyway, I just happened to go upstairs and everybody was up there in the training program. Yeah. Yeah. I remember that. Well.
00:55:02Reid: Well, I thank you very much for--
00:55:05Macchia: Did we cover everything?
00:55:06Reid: --everything. <inaudible>, I think we have been through all of the questions. Is there anything else you'd like you ask to add?
00:55:14Macchia: Uh, the only thing I would add, Marion, is that I've done on, I've been in business--well, I'm 62 years old, let's put it that way. And I've been in business a long time, and I've met people all over the world and I've done business with people all over the world and all I can--what I'd like to say is, and I don't know what you wanna do with this, or maybe nothing, but I'd like to just say that I've never met a finer group of people than what you have.
00:55:45Reid: Oh, thank you.
00:55:46Macchia: They really have been wonderful, everybody. This one fellow that, was involved with the fire marshal, Al.
00:55:54Reid: Al Amato.
00:55:55Macchia: I'll tell you. He was wonderful. But of course, everyone has been. Pat and Dick and Bill Stacy and--we've had lunch a few times together--and all of them. And you're the most recent and you're not--you're wonderful too.
00:56:11Reid: <laugh>. Well, thank you very much.
00:56:13Macchia: But really, I do mean that sincerely. It's been a real pleasure for me. Well, and I just hope that we can have a long--you know, I'm not a big founder, but I'm a founder, and I feel very proud of that. I feel proud of the fact that I'm associated with the university because I think it was desperately needed, and it's gonna be more needed in the future, I feel. And I just hope that nothing, God forbid, I hope nothing happens that slows the progress.
00:56:43Reid: Well, we appreciate your support.
00:56:44Macchia: Well you've got it. And I'm out beating bushes for Dick right now. In fact, that, that's one of the reasons I was in here today. NOTE TRANSCRIPTION END
