The Official Alden Thread for 2021 - Share Reviews, Sizing, Advice, and Photos.

[NYCTechNerd]

The prices didn't go up after it was discovered other than Alden's standard annual increase so why would they go down?

Because they did not yet know he was stealing so it was already factored into revenues and profit. Now that they know, the embezzlement percentage cab be factored out of the equation so the real/actual cost of producing shoes is less now than it was beforehand.

 

[Vocans]

Because they did not yet know he was stealing so it was already factored into revenues and profit. Now that they know, the embezzlement percentage cab be factored out of the equation so the real/actual cost of producing shoes is less now than it was beforehand.

He was stealing from a net profit account of the owners, not a company operating account. It wouldn't have been factored into the production costs

 

[HorseHide]

As a former auditor, it is simply mind-boggling how something so unsophisticated could go on for so long, to the tune of $30M.

Right? There's no way that $30M wasn't "material". I guess it plays into the narrative for those that criticize Alden's quality control - extending it to their internal controls as well...

 

[NYCTechNerd]

He was stealing from a net profit account of the owners, not a company operating account. It wouldn't have been factored into the production costs

Assuming the owners want to make X percentage profits to put into that owners account, they would need to increase operating profits to then fill their account so no matter how you slice it, the stealing does affect the actual price of the shoes.

Unless the owners were not even paying attention to the balance(s) in their own account(s) and gave the CFO full privileges but that opens up an entirely different can of worms (aka how stupid are you for letting your CFO have so much control without checks and balances?)

 

[Vocans]

Assuming the owners want to make X percentage profits to put into that owners account, they would need to increase operating profits to then fill their account so no matter how you slice it, the stealing does affect the actual price of the shoes.

Unless the owners were not even paying attention to the balance(s) in their own account(s) and gave the CFO full privileges but that opens up an entirely different can of worms (aka how stupid are you for letting your CFO have so much control without checks and balances?)

The later is what happened. The owners were expecting a large balance to still be in the account and when they checked it it was $10 million short of what they expected and it turned out he opened a line of credit in the company's name that he drew on. Pretty ****** but fairly common in family owned businesses to give that much control to the cfo

 

[NYCTechNerd]

The later is what happened. The owners were expecting a large balance to still be in the account and when they checked it it was $10 million short of what they expected and it turned out he opened a line of credit in the company's name that he drew on. Pretty ****** but fairly common in family owned businesses to give that much control to the cfo

Not trying to get into an internet pissing match so please do not read any of my comments that way, I am simply amazed at how this went on for soooooooooooooooooooo long. If he also created a line of credit that the company, and not the owners, had to pay back then this part of his embezzlement did affect operating profits (and cost of shoe production).

The only time I experienced something similar was when the CFO of a small private school I worked for would use personal expense receipts and submit them as company related expenses. It was only about 30K but over several years. The issue was that as CFO he did not need anyone to "approve" his expenses so the reimbursement checks kept getting created until one day the Controller had enough and went to the Board Of Directors and explained what had happened.

Typical of a private school that does not want any press, they allowed him to resign with a payment plan to pay back the entire amount with interest over several years. As long as he stuck to the payment plan, they would not go to the police and treated it as "an accounting error" rather than outright theft. It was literally a footnote on the school's tax return one year.

 

[Texasmade]

Not trying to get into an internet pissing match so please do not read any of my comments that way, I am simply amazed at how this went on for soooooooooooooooooooo long. If he also created a line of credit that the company, and not the owners, had to pay back then this part of his embezzlement did affect operating profits (and cost of shoe production).

The only time I experienced something similar was when the CFO of a small private school I worked for would use personal expense receipts and submit them as company related expenses. It was only about 30K but over several years. The issue was that as CFO he did not need anyone to "approve" his expenses so the reimbursement checks kept getting created until one day the Controller had enough and went to the Board Of Directors and explained what had happened.

Typical of a private school that does not want any press, they allowed him to resign with a payment plan to pay back the entire amount with interest over several years. As long as he stuck to the payment plan, they would not go to the police and treated it as "an accounting error" rather than outright theft. It was literally a footnote on the school's tax return one year.

Regardless, never expect prices to decrease. Alden already knows the market can take the current prices and the annual increase. Why would they decrease it now?

 

[NYCTechNerd]

Regardless, never expect prices to decrease. Alden already knows the market can take the current prices and the annual increase. Why would they decrease it now?

I am not a fool. This is an academic/theoretical conversation.

 

[JSO1]

Brick and Mortar ran those.The run was very small. Yenni told me there were only 8 pair total. There are some other Indy’s made on double leather though, I can think of color 8, whiskey and Regina grain pairs I’ve seen in the past.

It was originally a 12 pair run. 2 pairs were FD'd and ended up at TheShoeMart, and several (as many as 4) pairs were apparently not made due to insufficient leather or catastrophic defects. I have tracked down 8 pairs that were made (including the 2 which were FD'd), but I suspect there are 2 more pairs which I have not been able to find.

these are on top of my most wanted list

If my research is correct, then there should be a second 8D pair out there somewhere. My pair is staying with me, though.

 

[Vocans]

I am not a fool. This is an academic/theoretical conversation.

We're having a theoretical discussion on whether prices could (but won't) go down after the company was robbed of $30 million? Sounds like a great time

 

[audog]

NST Saddle type of afternoon

 

[NYCTechNerd]

We're having a theoretical discussion on whether prices could (but won't) go down after the company was robbed of $30 million? Sounds like a great time

I needed a distraction while on non-stop Zoom meetings and I very much appreciate your help with that as I have already gone through the entire Shoe Mart catalog, especially the seconds, and put several items in my cart. At least now I know there will not be any future price decreases so I might as well purchase them now.

It's that or I need to start responding to all the "great deal" apartment listings my wife keeps sending me.

 

[JSO1]

NST Saddle type of afternoon View attachment 1605674

I thought you sold these?

 

[audog]

I thought you sold these?

PM sent to you

 

[nbernie]

I think a number of people are about to join the #4 club. Fresh off the truck.