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started in 1957 and risen to the rank of vice president and
branch manager. In March 1968, while he was assistant manager of
the South Pasadena branch, Mr. Clearman first met Mr. Munro, who
was manager of that branch. Mr. Clearman and Mr. Munro worked
together at the South Pasadena branch for about a year and a
half.
By about 1975, UCIC's trade debt with its primary insulation
supplier, Owens-Corning Fiberglass, was delinquent. Because of
Owens-Corning's importance to UCIC, UCIC could not remain in
business unless it avoided default on this debt. Mr. Munro
persuaded Owens-Corning to restructure the payment terms on the
debt. Then, by reducing overhead, returning some leased
equipment, and closing unprofitable branch locations, he cut
UCIC's expenses and increased its cash-flow. In this and other
ways, Mr. Munro succeeded in having the Owens-Corning trade debt
repaid in full and in putting UCIC on a sound operating footing.
Mr. Munro was UCIC's and Alondra's primary spokesman for
purchasing fiberglass insulation material and for negotiating
prices and terms with Owens-Corning. This was because the
president of Owens-Corning personally held him in high esteem.
Whereas the industry payment term was generally 30 days, and 60
days for a large contractor, Owens-Corning's terms with Alondra
and UCIC were 90 days with a 2-percent discount. Mr. Munro's
good relations with Owens-Corning were a critical reason for
Owens-Corning's granting such favorable terms. The 90-day-
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