"A million."

"What about his ups? Did you let him keep any?"

Gillette shook his head. "I don't want him a.s.sociated with Everest at all."

"That's cold."

"He had it coming."

"Don't go out of your way to make enemies, Christian," Whitman advised. "You'll have plenty without even trying."

"I already do, and it doesn't bother me."

"A limousine blowing up doesn't bother you?"

"I'll be fine."

Whitman grimaced. "Be careful."

"I am." Gillette could tell Whitman wasn't convinced. "Look, Tom McGuire has people with me full-time now." As Everest's largest investor, Whitman was familiar with the portfolio companies, so he knew about McGuire & Company. "They sweep the limousines every few hours and rotate the vehicles constantly. They check my homes, the boats. Everything. And they're rerunning background checks on everyone at Everest. Tom's taking every precaution. I'm satisfied."

"Do you trust Tom?"

Gillette thought for a moment. "I have to trust someone." But maybe Whitman had a point. Maybe getting someone from the outside as well wouldn't be a bad idea.

"What do you think Mason will do?" Whitman asked.

"I don't know. I didn't talk about it with him."

"You should help him land on his feet. He's got a lot of information about Everest stored up in his head. Some you'd probably rather have him keep quiet. You don't want him showing up at one of your compet.i.tors spilling his guts. Remember, control every string. That's the key in your world." Whitman adjusted his bow tie again. "So, let's get to the main attraction. What's the real reason you came to see me this morning?"

Gillette nodded. "Okay. Well, look, NAG has always been one of our biggest backers. You've been an anchor tenant in each of our seven funds."

"Yep. We committed three million bucks to the first fund Bill put together twenty years ago. I remember presenting that to the investment committee like it was yesterday."

"And now you are are NAG's investment committee. You make all the big decisions around here." NAG's investment committee. You make all the big decisions around here."

"Don't remind me," Whitman pleaded with a groan. "Why do you think my hair's so white? What did I commit to your last fund? To Everest Seven."

"Four hundred million."

Whitman whistled and grinned. "Four hundred million. That's a lot of money, Christian. Somebody might think I actually had faith in you guys."

"And now I'm asking you for more."

"What a surprise."

"At this point we've invested over half of the 6.5 billion of the seventh fund, so I'm getting ready to raise the next one. Our eighth."

"Didn't Bill usually wait until the current fund was at least 75 percent invested before he started raising the next one?"

"He did, but my target for this fund is ten billion," Gillette explained.

"Ten billion?"

"Yes. I'm going to need extra time to raise that much."

Whitman hooked his forefinger over his lower lip. "That's odd," he murmured through his hand.

"What is?"

"Paul Strazzi was in here yesterday. He's going to start raising his next fund, too. His target is the same as yours. Ten billion."

Paul Strazzi ran Apex Capital, the largest private equity firm in the world. Apex was also based in Manhattan. Apex and Everest had been rivals for years.

Thirty years ago, Bill Donovan and Paul Strazzi had worked together at Morgan Stanley, a high-powered New York investment bank. They'd been in the same a.s.sociate cla.s.s and started out as friends, but the relationship had soured as they constantly competed for promotions, raises, and bonuses. Ultimately, they'd each gone off on their own in the early eighties to start private equity firms, guiding their respective ent.i.ties to the top of the financial food chain, competing for investors and performance as viciously as they had for promotions and bonuses at Morgan Stanley. Now Apex and Everest were the number one and two private equity firms in the world.

"Strazzi was here yesterday?" Gillette asked.

"Yeah. He called me first thing yesterday morning. Wanted to see me right away. Took me to lunch and laid the same thing on me. Ten billion dollars of a new fund. Apex's last fund was seven billion. We invested four hundred million in that one, too."

"Donovan wasn't happy about that."

Whitman shrugged. "Hey, Strazzi's performance has been excellent over the years. Just like you guys. There's no rule against me investing with both of you."

Gillette thought for a moment. "That's a h.e.l.l of a coincidence. Strazzi coming in yesterday, I mean."

"Maybe it isn't a coincidence."

"Maybe not. But, Miles, the question is at what level will you support my new fund?"

Whitman hesitated. "I have an idea."

"What?"

"Increase your target to fifteen billion."

"Fifteen?"

"Yes."

Gillette clasped his hands together and rested them on the table. "Miles, that would be the largest private equity fund ever raised. By far."

Whitman's eyes danced. "I know."

"Do you think there's enough capacity in the market to fill a fifteen-billion-dollar fund and and a ten-billion-dollar fund at the same time?" a ten-billion-dollar fund at the same time?"

Whitman shook his head. "No way. There's probably several hundred billion dollars committed to hundreds of private equity firms around the country, but there's not enough in the inst.i.tutional coffers for two funds that size being raised simultaneously. Our total portfolio here at NAG is three trillion, but we only allocate 2 percent of that to private equity. That's sixty billion, and that's the maximum we commit to the entire sector entire sector of private equity. Which is probably about a hundred funds right now." of private equity. Which is probably about a hundred funds right now."

"Then why are you suggesting I increase the size of Everest Eight to fifteen?"

"Because I don't think there's enough capacity for two ten ten-billion-dollar funds, either. Not being raised at the same time, anyway. But there is capacity for one fifteen-billion-dollar fund. More important, I think it's time for one of you to take over. Having two firms this size just bids up prices you both ultimately have to pay for the companies you buy. So make the play, Christian. Head-to-head with Paul Strazzi. Everest raises the largest private equity fund ever." Whitman paused. "Or Apex does."

"I'll think about it, Miles, but the question still stands. At what level will you support me."

"A billion dollars." Whitman let out a heavy breath. "Along with our commitments to Everest's other funds, that'll be over two billion to you guys." He looked up, his expression darkening. "That's a lot of money for me to have with one private equity firm. Probably too much. The CEO will question me hard, but I have faith in your ability, young man." He pointed at Gillette. "Don't disappoint me."

"Don't worry," Gillette answered calmly.

"Your portfolio companies will have to be squeaky-clean during the fund-raising, Christian. No bankruptcies or scandals of any kind."

"Of course."

"I can't stress that enough."

"I hear you."

"How is the portfolio doing?" Whitman wanted to know.

"Overall, fine. In line with our historical performance. We're on track to generate 50 percent returns with the seventh fund. We've got a couple of investments that aren't doing as well as we'd like," Gillette admitted. "The power-tool company, for one. But that's natural. You can't bat a thousand when you control twenty-seven companies."

"Blalock Industries. That's the power-tool company, right?"

"Right."

"Roger Nolan runs it."

"Not anymore."

Whitman glanced up.

"I fired him," Gillette explained.

"You've been a busy man. Do you carry an ax with you at all times?"

"He never hit his budgets, Miles, and he whined about foreign compet.i.tion. Yesterday I promoted Fred Cantwell to CEO. Fred had been the chief operating officer."

"Roger and Bill Donovan were good friends, weren't they?"

"I don't care. I can't let personal relationships influence my business decisions."

Whitman nodded approvingly. "Good for you, son. Too many people do. I think you're going to do just fine as chairman."

"Thanks."

"But whatever you do, don't let any of your companies fail while you're raising this next fund," Whitman advised strongly. "Keep them on life support if you have to. Put in more dollars even if you don't think you'll ever see the money again. Just don't let a single company go down. That would spook the investors."

"I don't believe in throwing good money after bad," countered Gillette. "We've always been careful about that at Everest. We've only had a few companies go down in twenty years, which is d.a.m.n good. But the reality of this game is if you're in it long enough, sooner or later you're going to have companies blow up. You know that, Miles. Fortunately, we've had a lot more winners than losers. As a result, you and our other investors have done well."

"Quite well," Whitman agreed. "But this is fifteen billion dollars, Christian. Twice as much as anyone's ever tried to raise for this kind of fund. Take my advice. Don't screw up. No bankruptcies, no scandals, and keep the companies running at all costs. Once you've raised the fund, fine, back to financial Darwinism. But not until you have fifteen billion dollars of signed subscription agreements sitting in your lawyer's office. Understand, well," Whitman agreed. "But this is fifteen billion dollars, Christian. Twice as much as anyone's ever tried to raise for this kind of fund. Take my advice. Don't screw up. No bankruptcies, no scandals, and keep the companies running at all costs. Once you've raised the fund, fine, back to financial Darwinism. But not until you have fifteen billion dollars of signed subscription agreements sitting in your lawyer's office. Understand, amigo amigo?"

"I understand."

"How long do you think it'll take to raise Everest Eight?" Whitman asked.

"A year."

"That's probably right," the older man agreed. "Maybe a little faster with a break or two."

Gillette glanced over at Whitman. "I a.s.sume that because you're supporting me, you won't support Paul Strazzi's new fund."

"Bad a.s.sumption," Whitman replied sharply. "I'll give Strazzi an early soft commitment of a billion dollars, too. Whoever gets to fifteen first, that's who I'll go with."

Gillette had antic.i.p.ated that answer, but it had been worth a shot. Getting North America Guaranty out of the market would have been a critical blow to Strazzi.

Whitman smiled. "Let the games begin."

"I'll get to fifteen first," Gillette promised firmly.

"I don't doubt it, Christian. When you focus on something, you seem to make it happen. Even something huge like this." Whitman shook his head. "But Paul Strazzi is a street fighter. He grew up in a rough part of Brooklyn, not Beverly Hills," Whitman said pointedly. "Paul has the toys now. Boats, cars, and planes. But he hasn't forgotten where he came from. He'll do whatever he can to screw you. He'll be out to prove a hard lesson to a young gun. There won't be any rules, I guarantee you. That's the essence of Strazzi's success. He'll do anything to win."

"So will I," Gillette said flatly.

Whitman chuckled. "Look at you. I just gave you a billion-dollar commitment, and it's like we're talking about the weather. No big deal. In fact, it's almost like you're disappointed."

"I wanted two two billion." billion."

Whitman laughed. "I admire you, Christian. If I could do it over again, I'd do private equity." He took a deep breath. "A fifteen-billion-dollar fund. It's really amazing."

"You manage trillions, trillions," Gillette pointed out.

"Yeah, but most of it is in bank CDs and U.S. government securities. How exciting is that? Where's the risk? You're the one buying and selling entire companies," Whitman said wistfully.

Gillette stood up. He needed to get going, and he had what he'd come for. "I appreciate your support, Miles," he said, shaking the older man's hand.

"Of course."

"I'll be in touch."

"Christian," Whitman called as Gillette reached the conference room door.

"Yes?"

"I'm a big football fan."

"I know."

"Well, the Super Bowl's coming up. I'd really really like to get my hands on four tickets to it. Good ones. Don't you have a connection with the family that owns the Giants?" like to get my hands on four tickets to it. Good ones. Don't you have a connection with the family that owns the Giants?"