Chapter 8 - CLAIRE PUT HER OWN MONEY AT RISK
Claire refused to vote for the Ridgeway deal.
That was not the irreversible decision.
The irreversible decision came the next morning.
She offered an alternative.
Through independent counsel, Claire proposed that Whitmore Surgical enter a ninety-day restructuring process.
Sanders Industrial Partners would agree not to accelerate the senior loan during that period if the company met strict conditions.
Independent financial review.
Independent quality review.
No insider payments.
No extraordinary transfers.
Employee trust representation on the restructuring committee.
Alistair recused himself from Sanders’ internal approval because Claire was his partner and the mother of his child.
His investment committee handled it.
Claire also agreed to personally fund up to $750,000 of interim professional expenses and payroll-support reserves through a subordinated facility.
Her own money.
Not Alistair’s.
Money she had saved from years of compensation, investments, and selling an apartment she owned before meeting him.
Beth warned her.
“If the company fails, you may not recover this.”
“I know.”
“You could lose your twelve percent too.”
“I know.”
“Then why?”
Claire looked at Kirk sleeping in the bassinet beside her desk.
“Because if I’m going to stop a deal by saying there’s a better way, I need to put something at risk besides everyone else’s jobs.”
The offer changed the balance.
Thomas and the employee trust supported it.
Two independent directors supported it.
Richard did not.
Margaret called it extortion.
Ridgeway withdrew its proposal within forty-eight hours.
That should have terrified Richard.
Instead he seemed almost relieved.
Claire noticed.
So did Beth.
Why would a CEO facing default feel relief when his only announced buyer walked away?
The restructuring committee hired independent forensic accountants and outside quality consultants.
Claire was no longer in control of what they would find.
That frightened her too.
Alistair asked one night whether she regretted it.
“Every twelve minutes.”
He smiled.
“Good.”
She looked at him.
“That’s supportive.”
“It means you understand the stakes.”
He picked up Kirk, who had started fussing.
Claire watched him settle the baby against his chest.
Then she asked something she had avoided.
“If Whitmore defaults, what does Sanders actually do?”
“Depends on what the independent review shows.”
“You could take the collateral.”
“Yes.”
“Sell the assets.”
“Yes.”
“Shut the plant.”
“If there’s no viable operating solution.”
There it was.
The part of the hook Claire’s parents would have understood immediately.
Alistair really could help destroy everything they owned.
Not by snapping his fingers.
By enforcing contracts Richard had signed.
Claire looked away.
“Would you?”
Alistair was quiet.
“If the only way to recover lender capital was to liquidate, my partners would consider it.”
The answer hurt.
It also made her trust him more than a comforting lie would have.
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Claire had chosen a process she could not control.
Now everyone, including Alistair, would have to live with what the truth actually cost.
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