America: My Time

Chapter 306 New Opportunities
Chapter 306 New Opportunities
"Do you all think my offer is outrageous, too high?" John knew what these bastards were thinking when he saw their expressions, so he spoke up directly.

“That’s right, John. You know yourself that Pan Am was acquired from us. Now, the price you’re offering is simply unacceptable to us, and we can’t possibly give Delta Air Lines a reply!”

"Actually, the price I'm asking for isn't high. Although only a little over a month has passed, I've completed the integration of Pan Am and found it an outstanding CEO. Most importantly, Pan Am is now profitable. Under these circumstances, is quoting only twice the price too much? I'm only offering this price because Pan Am was acquired from you all. If Delta Air Lines had inquired about it themselves, the price would be different. There's a fundamental difference between a profitable airline and a loss-making airline. My price isn't as high as you think!"

While John's point was valid, these old guys couldn't accept taking back Pan Am for double the price, and they didn't see Pan Am going to stay like this forever!
“John, is there no way to lower the price further? Although Pan Am has indeed started to make a profit, the price for two people is still a bit too high. At least for now, Pan Am is not worth this price!”

“I know that Pan Am is not worth this price right now, but I believe it will soon be worth this price. It has only been a short time since the integration was completed and all the routes are not yet fully operational. Before long, once the integration is finished and the training is completed, Pan Am will not be worth this price.”

John believes that every route is a source of wealth for Pan Am. Currently, Pan Am lacks sufficient manpower, so none of its routes are operating at full capacity, especially after easyJet became a low-cost carrier, putting immense pressure on the entire airline. If it weren't for the company's increasing profits, many would likely be opposed. Pan Am is now completely different from before, with passenger traffic increasing rapidly.

The best service naturally earns customer approval. Pan Am, after the integration, received no customer complaints, which greatly surprised management. The issue of lost passenger baggage was also resolved. In short, the integration of Pan Am brought about a qualitative change, which is precisely why Delta Air Lines was interested in acquiring it.

How to answer? Rockefeller and his men were in a dilemma. They hadn't considered it much before, and they didn't think that Pan Am would undergo such changes after John had only been in charge for a little over a month. Now they were caught in a bind because they knew that Delta Air Lines was unwilling to accept such inflated prices. After all, Pan Am's fleet was not only not increasing but actually decreasing. How could Delta Air Lines accept such a change?

Seeing the old guys' hesitation, Morgan had to step in to ease their embarrassment. He took a deep breath and said, "John, there's something I've never understood. Is it necessary for Pan Am to acquire the refinery at this time? Oil prices aren't high, and there's not that much profit in it!"

John smiled calmly and said, "Pan Am's acquisition of the refineries is not for the profits from their own refining, but to ensure that their fuel is not affected by the market. Nobody knows when oil prices will skyrocket. If oil prices skyrocket, airlines will be under a lot of pressure. But if they have their own refineries, they don't have to worry about this problem. Most importantly, these two refineries do not only produce aviation kerosene!"

Morgan nodded thoughtfully at John's explanation, though whether he believed it was something only he knew. However, when he asked the question, John couldn't help but sigh inwardly. It seemed Morgan was already doubting his intentions. Had Morgan discovered his plan?

John quickly dismissed the idea. He hadn't taken any other action, so there was no reason for Morgan to suspect his intentions in the oil industry. Even Rockefeller and his ilk hadn't noticed, so why would Morgan have any doubts?

At this moment, John worried that Morgan would discover his plans in the oil industry, thwarting his schemes. If Morgan became wary, it would cause considerable trouble for him to enter the oil sector in the future. In particular, John was concerned that Rockefeller and his ilk might also become aware of his plans.

"Damn Morgan, why would he ask such a question at this time? Is he trying to threaten me?" Soon, John couldn't help but think of Morgan's previous behavior and his own counterattack!

Actually, John was overthinking it. Morgan wasn't threatening him; their question stemmed from a more pressing issue: the expansion of 7-Eleven. While the highway convenience stores had been sold, only the unprofitable ones were gone. The profitable ones remained, and 7-Eleven's rapid expansion across the US, particularly the stores near cities, was consuming a significant amount of fuel.

"John, the expansion of 7-Eleven convenience stores requires a lot of fuel, right? Whether it's their own consumption or the sales of convenience stores, they all need a lot of fuel. The oil refinery that Pan Am acquired is also for them, isn't it?" At this moment, Rockefeller and his guys also realized that 7-Eleven convenience stores had been expanding wildly recently. As a convenience store, they must have their own fleet of vehicles, which consumes a lot of fuel every year. In addition, the gas stations that the convenience stores have on hand require even more fuel.

Upon hearing this, John breathed a sigh of relief. Thankfully, these old guys hadn't noticed his thoughts and plans. However, the necessary countermeasures still needed to be taken. John nodded slightly and said, "Southern Company does indeed need a lot of fuel, and it is precisely because of this demand that Pan Am acquired the refinery to ensure its own fuel security!"

At this point, no one believed John. Those who knew John knew that his business strategy involved integrating upstream and downstream industries. The two refineries could still meet his needs, but the situation would change when 7-Eleven completed its nationwide network.

Upon hearing John's reply, Rockefeller couldn't help but sigh. If he had known the little fox had such a scheme, he shouldn't have agreed to the scoundrel's offer, allowing him to profit at his own expense. Although the refinery acquisition was a mutual agreement and at a fair price, for the old man, not making money was a failure, especially since he had been deceived by John, the little fox—that was even more unacceptable.

"John, you're quite the schemer, having planned ahead of time. But was it really necessary? Why are you so calculating about such a small amount of money?" Morgan sighed softly at John's reply.

"This is no small matter. Although it's not exactly profitable, it's about ensuring a stable supply. I don't want to be held hostage by others. You all know how much demand 7-Eleven has for fuel due to its expansion. Only by owning our own refineries can we maintain control. Even the smallest refinery can guarantee the security of our own supply chains."

“John, you’re overthinking it. There’s absolutely no need for that. No oil refining company would refuse a customer like that. Nobody would turn down profits they’ve already secured!” Rockefeller shook his head and said after hearing John’s explanation.

"No, such situations do exist, and they are not uncommon. You all know about the Bentley Group's situation before. Wasn't it because someone wanted to turn away the profits they had already gained? So, in order to ensure the development of 7-Eleven, I had no choice but to resort to this tactic. Moreover, doing so also has an advantage: it can guarantee Pan Am's fuel supply."

When John mentioned the Bentley Group, everyone present sighed. They were truly speechless. The Bentley Group had indeed suffered such a situation before. No wonder this little fox was so cautious and made arrangements for the refinery in advance. However, in everyone's eyes, this was still too crazy. If there were such concerns, they could have signed a contract to use as a constraint.

With 7-Eleven convenience stores as a perfect excuse, John had even more ideas for further expanding his oil refinery business. However, he couldn't do it in the United States; he had to establish a presence overseas. At this point, John couldn't help but think of Taiwan, which seemed like a good option. If he could complete the layout of the oil refinery in advance, it wouldn't be a problem to start oil field extraction when the time was right. At least the profits of the oil refinery would be more guaranteed.

Although I had this idea in mind, I needed a reasonable excuse and time. However, the oil industry was having a tough time lately because oil prices were falling, which is why Rockefeller agreed to sell the refinery so easily—they were truly under immense pressure.

Oil prices are still falling, which is having a significant impact on the US oil industry. However, John soon saw a new direction, a new opportunity.

Power plants, gas-fired power plants—given the current situation in the United States, this is indeed a good time to enter the market, because the price of natural gas in the United States is incredibly low right now, and most importantly, nobody is paying attention to natural gas. If Morgan hadn't brought up the topic of oil refineries, John probably wouldn't have even thought of this promising industry.

(End of this chapter)