Other People's Money


 

Cast & Credits
Larry Garfield: Danny DeVito
Andy Jorgenson: Gregory Peck
Kate Sullivan: Penelope Miller
William Coles: Dean Jones

Directed By Norman Jewison
.
Written By
Jerry Sterner.

Running Time: 131 Minutes.
Rated PG.

BY ROGER EBERT / October 11, 1991


Lawrence Garfield doesn't really have to say that he loves money; it's obvious from the sparkle in his eyes when he talks about accumulating big piles of it, particularly other people's money.  Proprietor of one of the largest and most powerful securities firms on Wall Street, Garfield is one of the most successful players in the 'game of capitalism' in America.  He makes his money through leveraged buyouts of undervalued companies.  Companies he takes over, shuts down, breaks up, and sells the pieces to the highest bidder.  "Larry the Liquidator" is a well-earned nickname.

 

Larry's latest project involves the takeover of New England Wire and Cable, a second-generation family firm that has fallen on hard times.  The company has a treasure trove of real assets, a pension fund brimming with cash, and best of all in Larry's eyes absolutely no debt.  Larry's plan is to raid the company, strip the assets, and sell off the unprofitable divisions.  In exchange for a sizable 'golden parachute' of severance pay, Garfield has arranged for the clandestine support of the company's CEO, Bill Coles.  Unfortunately, the Chairman of the Board, an old-fashioned stalwart named Andrew Jorgenson, wants to continue making wire and cable.  "Jorgy" is intent on running an ethical business, and protecting the jobs and livelihoods of his employees.  He calls in Kate Sullivan, a high-priced Manhattan attorney, to block the hostile takeover.  Garfield finds himself legally stymied.

 

The situation is immensely complicated because Ms. Sullivan is Jorgenson's stepdaughter.  She is blonde, sleek, chic, and a foot taller than Garfield; she also knows how to push all of Larry's buttons.  From the moment she walks into his office determined to defeat him and save the company, he knows he is in love.  He also knows he wants to win, and Kate is the only obstacle that stands between him and the acquisition of New England Wire and Cable and the millions of dollars it could bring him.  On the other hand, Garfield is a smart man and immensely likeable--even when he is trying to strip-mine the family firm.  Kate finds him intriguing, but is committed to besting him in the struggle for the company.  The plot becomes a struggle between love and greed, two of the strongest motivations known to humankind.

 

ASSIGNMENT

Read the Newsweek article "Malden Mills: A Study in Leadership" by Art Boulay, and watch the 60 Minutes report on Malden Mills. Does this fictional depiction of a corporate takeover represent a critique or a defense of capitalism?  Who would you have given your proxy to in the shareholders' meeting? Discuss and give your opinion on the essay using examples from the film using the correct economic and finance vocabulary terms.

Write out your answers on the Economics Blackboard Discussion Board no later than midnight Sunday, October 15.
 


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