Lex Brodie to lend hand
to chain’s new owner

---

By Tim Ruel
truel@starbulletin.com

The Arizona-based lender that recently bought the assets of Lex Brodie's Tire Co. out of foreclosure is in preliminary discussions to reinvolve the company's founder, Lex Brodie.

"The entire Lex Brodie situation really now is being discussed and we have had contact with Lex, and Lex has indicated an interest in being involved with the company going forward," said Donald Barrickman, a representative of Finova Group Inc., a commercial finance company that bought Lex Brodie's four Oahu locations on April 23.

"I would like to see the company continue to be profitable, and if my name will help them, fine, but that name must be protected," Lex Brodie said today.

No agreement between Brodie and Finova has been reached yet, Brodie said.

The previous owner of Lex Brodie's Tire Co., Tennessee businessman John Mayo, was unable to pay Finova for a loan, and agreed to let the lender foreclose, Barrickman said. The stations and all of the company assets were the collateral. Barrickman declined to discuss further details of the relationship with Mayo.

Mayo no longer has any ownership in the Lex Brodie's stations, although he is responsible for all of the previous liabilities of Lex Brodie's, since Finova only purchased the assets of the company, Barrickman said.

Mayo bought Lex Brodie's from Brodie in 1991.

Late last year, Mayo had his eyes on expansion, and agreed to purchase 25 gas stations on Oahu from Dallas-based U.S. Restaurant Properties Inc., but the deal collapsed in March when financing did not materialize.

Finova was not approached to finance the purchase of stations, and its arrangements with Mayo were separate, Barrickman said.

A complex web of litigation has entangled the failed purchase of the stations, and all sides have been reserved in their public comments.

Finova has taken over management of Lex Brodie's and is restoring stability to the relationship between the company and its customers and vendors, Barrickman said. Finova would ultimately sell the business, though there is no timetable for a sale.

All 110 of Lex Brodie's former employees on Oahu are now working for Finova, Barrickman said.

A Lex Brodie's shop on Maui closed shortly before Finova bought the assets.