Cabletron was founded in 1983 in a Massachusetts garage by Craig Benson (who later became New Hampshire's governor) and Robert Levine. "With the rapid convergence of voice, video, and data, Don's extensive Sweet and salty: Estate with posh ice cream parlor and a jail hits market, Robert Levine, who founded Cabletron in the 1990s, listed his Colorado mansion this week. Free and open company data on Rhode Island (US) company CABLETRON SYSTEMS, INC. (company number 000057845), PO BOX 5005, ROCHESTER, NH, 03867-00505 All Rights Reserved. With Cabletron stock trading at about $25 last fall, Levine and Benson's combined ownership was worth about $440 million. I didn't have some nefarious intent. Contrary to Winston Churchill's belief that Italy was the "soft underbelly" of Axis-dominated Europe, the Allied campaign in Italy was a long and bloody undertaking. We don't want it to, and it won't. When he came back to them with a prototype, Levine and Benson responded appropriately. John Ford. Such big-company prerogatives as vice-presidents and massive meetings have no place at Cabletron. ''The timing has to do with Don more than anything,'' he said. ", That, Levine would argue, simply allows the company to hold on to something much more valuable -- and easily diluted -- than its margins. Cabletron's success, thus far, has been built on knowing what it isn't; now it must define what it is. That arbitration case was filed with FINRA in February 2018 and is pending. Mini Biography. "I think I am an asset to any company who has the desire to go public or who is currently publicly traded. Getty Images for IMDb. In 1987, with sales at more than $9 million, they shifted to semiautomatic machinery. That's something I tried to do at Fine, Levine would say. "I wasn't a good criminal.". The Cabletron story starts in March of 1983 with then 25-year-old Robert Levine. Mary Tyler Moore's husband of more than 33 years, Dr. S. Robert Levine, opened up to People this week about his heartbreak following Moore's death at age 80 on Jan. 25. Cabletron with expert knowledge in key markets," said Benson. Levine still owns nearly 40%, Benson claims 30%, and key employees own the balance. Charles Kenahan Lawsuit - The advisor involved is Charles Kenahan, according to FINRA's BrokerCheck. January 11, 2022. She never finished school and went to work, ending up working for a Rochester travel agency that managed the Cabletron account. The final chapter in Cabletron Systems Inc. 's (NYSE: CS) rocky history was closed today as the company completed its name change and the . At times Benson giddily compared them to The Blues Brothers of movie fame. The Massachusetts In a company press release, S. Robert Levine, the president and chief executive officer, said these results represented Cabletron's "thirty-second quarter of consecutive record growth, the strongest and steadiest earnings growth rate among all S & P 500 companies." These impressive numbers did not last. Society Summit in Brussels in 1995. Recently, he received $40 million in compensation from Merrill Lynch after accusing them of churning,or excessive trading to generate commissions against the best interest of their clients. Indeed, the company's most dramatic -- and costly -- diversification began with what by now has become a standard pattern: spot a consumer need, get ideas on how to improve on what exists, and then put together enough money and people to do it quickly. He was previously married to Mary Tyler Moore. She found out how wrong she was when the Federal Bureau of Investigation showed up at her door in 2003. Then, in 2004, shortly after her husband died, an agent called her on her cell phone to tell her she was the subject of a grand jury investigation. Shares of Cabletron, based in Rochester, N.H., slipped 62.5 cents, to $36, on the New York Stock Exchange. It starts with the muscles. Mr. Levine, 39, a flamboyant executive known for such antics as driving a surplus Army tank, started Cabletron in his garage in 1983 with Craig Benson. Profile of this year's Entrepreneur of the Year winners. We want to hear from you. And then she added, with angst still in her voice, "Why didn't I speak up?". Revenue grew just 12 percent, to $362.7 million, from $323.5 million in the first quarter of the 1997 fiscal year. There is a curved seating area and an area for toppings to have an ice cream party, co-listing agent Malia Nobrega of LIV Sothebys International Realty told The Post. Thirty percent of outside salespeople don't make it through the first 90 days; another 40% are gone within six months. Tuesday, I received my indictment papers. Cabletron was founded by S. Robert Levine and Craig Benson. Disappointed in one of its suppliers, the company began to shift its focus from distribution to manufacturing in 1986. Joe Jonas and Sophie Turner list $16.7M home amid growing Secluded North Carolina home with its own private beach that went viral lists for sale, Ex-NBA star sold Fla. house because state won't accept his transgender child, Prince Harrys coronation role still a mystery as Williams is revealed, Matthew Lawrence claims he lost Marvel role after refusing to strip for director, Gayle King says she doesnt have a desire to retire: I want more work, NY Post Sports Reporter Zach Braziller breaks down the Knicks game 1 loss to the Heat, Padma Lakshmi claps back at trolls: 'I have boobs, I have nipples', Georgia player under fire after racist remark during 2023 NFL Draft on livestream. The emptiness I feel without her with me is without bottom. Cable installations now account for 4% of sales. It's fake. It feels like you are all on your own in the middle of the forest. ", At the news conference, Levine said he will stay with the company until November to assure a smooth transition. What began as a part-time venture in a garage evolved into a billion dollar company by 1996. Levine had seen that happen many times. To keep its product line expanding in the right direction, Cabletron exploits the advantages of having a direct-sales force. Do Not Sell or Share My Personal Information. In fact, you can pretty comfortably walk around its historic centre. Mr. Levine said he had not determined what he would do beyond smoothing the executive transition at Cabletron. The current status of the business is Inactive. And there was Levine, who, as a kid, shot birds because they woke him up with their chirping. Cabletron's Chief Executive Plans to Step Down Sept. 1, https://www.nytimes.com/1997/08/07/business/cabletron-s-chief-executive-plans-to-step-down-sept-1.html. Cabletron has needed money steadily because both Levine and Benson believed they could stay their lean-and-mean course only by controlling as many facets of the business as possible. Things were hectic, she said, but they also were exciting. The once-public Cabletron, a competitor to Cisco, had annual revenues at one point of more than $1 billion. The house itself is a stylish mansion full of glass and stone. Its very playful and all about discovery.. While Vail has some of the highest land prices in the country, Levine's property is as spacious as they came 250 acres of land border a national forest and come with a trout pond, a playground as well as ample trails for hiking in the summer and snowmobiling in the winter. "It grew fast. The Registered Agent on file for this company is C T Corporation System and is located at 118 North Congress Street, Jackson, MS 39205. It was the $3.5 million Ariel deal that sent Spence to federal prison. ``Don also has the contacts, contacts that I was never able to develop, maybe just because I havent been around long enough. "That's where the growth is right now.". History. Robert Levine's House (Google Maps). "I once got a very nasty memo because my hotel was $73 a night," recalls Kenneth Levine. At the time of their nuptials Moore was 45 and Levine 29-years-old. The company also developed a reputation for its advanced SPECTRUM network . News Analysis Light Reading 8/6/2001. While Vail has some of the highest land prices in the country, Levines property is as spacious as they come, boasting 250 acres of land bordering a national forest that includes a trout pond, a playground and trails for hiking in the summer and snowmobiling in the winter. It was what she calls the "big three": Kirkpatrick, Cabletron chief executive Piyush Patel and vice president Eric Jaeger. ''His primary role has been to go all over the world talking to customers, and keeping the sales force accountable. After two years at McAfee, Ken became CEO of Digital Guardian. Soon, he also invested about $1,000 a month in getting lists of potential customers, including subscribers to computer magazines. Now, a year out of federal prison, Spence maintains that the wrong people went to jail. S. Robert Levine, the eccentric founder of New Hampshire-based Cabletron Systems, a 1980s and 1990s computer networking company, recently sold for $40 million a massive Colorado estate with its . 2023 Fortune Media IP Limited. And 250,000 shares were sold to the employees at $4 a share even though the offering price was $15.50. The pressure will be on Mr. Reed to put Cabletron back on the growth curve. Gayle Spence said she asked David Kirkpatrick, then chief financial officer of Cabletron Systems, at the time in 2001 when the Rochester company was spinning off Enterasys Networks. It's fair to ask, though, whether Levine might grow increasingly militant as the company becomes harder and harder to push around. Bank of America Merrill Lynch has paid a hefty $40 million to settle "churning" allegations involving a former broker, according to filings and sources familiar with the case. Dr. A real one, with a howitzer on top and turrets that spin around. More important, perhaps, is how Cabletron followed that initial opportunity to its next leap: network-testing devices. After making a pitch over lunch, one venture capitalist found himself doused in 7-Up. The recipient of the settlement is Robert Levine, co-founder of one-time network equipment maker Cabletron Systems, according to the sources. Along with eight bedrooms and 10 bathrooms, the estate boasts an ice cream parlor, guest suites modeled after the Wild West and a suite that looks like a jail. . Levine said he decided almost two years ago to leave Cabletron, but he did not want to step down until he and Benson hired a new president and chief executive. The owners plan to keep the remaining 180 acres of the parcel for themselves, listing agents told The Post. In the morning he made his case that the market was growing fast enough to support it; that afternoon he got a $1-million commitment. It was sold in 1998 to a private company. The Vail Valley home was listed for $78 million with 430 acres in 2019 and is now being re-listed at a lower price with only 250 acres attached. Levine and Benson, in fact, would play off each other in ways no one could ever have anticipated. When the company went public, they gave away $2.3 million worth of shares to employees. Reed's first day as head of the TimesMachine is an exclusive benefit for home delivery and digital subscribers. Please contact the parent account holder or Inman customer service @ 1-800-775-4662 customerservice@inman.com. Cabletron CEO to leave. One way Cabletron keeps the staff small is by giving employees enormous autonomy; for example, salespeople have lots of latitude on pricing. Breaking news as it happens. Building a sales team, of course, gets expensive. "I'm not mechanically inclined," he says. 2023 CNET, a Red Ventures company. So yes, I am guilty for that. It was like nothing could go wrong for so long, and then all of a sudden we hit that bump.". No revelation there. Spence helped turn in former Enterasys chief executive Enrique Fiallo, and they both helped convict Gagalis who, like Spence, maintained that he took the fall for people who were higher up. His 67-foot Hatteras is named Soldier of Fortune. Levine would then emerge as one of the early tech moguls of the 1990s Forbes Magazine estimated his worth to be at around $625 million in 2001. Registered Address. Then the carefully slicked-down hair and the gleaming wire-rimmed glasses give way to something slightly more, well, menacing. View Levine S Robert's profile for company associations, background information, and partnerships. 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Prior to mid-1986 Cabletron worked with a worthy supplier. Stuart Robert Levine's Colorado Voter Registration. Last summer Benson joined 40 employees for a Sunday boat trip. Robert Levine. As a teenager, he "exercised the engine" of his mother's white Cordoba by zooming along at 101 miles per hour -- or at least that's what the police claimed when they caught up with him. Bank of America Merrill Lynch has agreed to a $40 million settlement with Robert Levine, co-founder of Cabletron Systems, according to filings and sources familiar with the case. That's no surprise since Palermo is the largest city in Sicily and one of the largest in Italy. Levine helped Cabletron cofounder Craig Benson find Reed about a Inc. 5000 Application Deadline Extended: April 28! "People said, 'This is exactly what we need," recalls Oliver. Known Addresses for Cabletron Systems, Inc. Attn: Tax Dept. participated in the Business Roundtable efforts of the G7 Information When 39-year-old Cabletron co-founder Robert Levine retired in 1997, newspapers called him eccentric he did, after all, wear ostrich-skin boots and chase off a pizza delivery boy in his armored tank, as he told it but he was just getting started. The case involved allegations of churning against former Merrill broker Charles Kenahan. Inc. 5000 Application Deadline Extended: April 28!Apply Now. LEVINE--Robert, M.D. All rights reserved. Spence sent Workman an e-mail to take out the problematic terms and date the papers to "coincide with the [purchase] order," in order to count it as revenue. Prosecutors said the side letter was created to hide the changes from auditors. Levine was used to selling, and that was what he wanted to focus on. He got to spend a week on Levine's boat, resting. "I didn't want some venture capitalist coming in and telling us what to do," Levine says. "All I could think of was the thousands of people that lost their lives, our customer base that was so incredibly impacted, the state of the country and all they were worried about how we were going to look to Wall Street," said Spence. The officials she testified against and helped convict got even more time. The company's principal address is 1 Cabletron Way, P O Box 5005 Attn: Tax Dept, Rochester, NH . Mr. Benson remains with the company as chairman. The contacts are Craig R Benson, Michael D Myerow, and S Robert Levine. Here was Benson, three years older, always urging that they think things through. I want to have influence over the philosophy, not over every piddling decision. Cabletrons earnings fell below expectations in the first quarter ended May 31 and revenue was up a disappointing 12 percent. Don Reed, president and group executive at Cabletron sells intranet and Internet networking hardware, including LAN By signing up, you will receive newsletters and promotional content and agree to our. times The 30,000-square-foot glass and stone home has eight bedrooms, 10 full bathrooms and six powder rooms and that doesnt include the 28,000-square-foot amenities lodge and the almost 10,000-square-feet of guest lodging. What began as a part-time venture in a garage evolved into a billion dollar company by 1996. I'm not working here," she said. Some 4,000 people applied for the first 50 jobs. There seems to be a problem with your Inman Select Membership. Though hardly sentimental, Levine has held tight to the principle that rewarded Cabletron with such staggering growth: keep your promises, and customers will take care of the rest. To subscribe to exclusive newsletters, visit your email preferences in the account settings. The advisor involved is Charles Kenahan, according to FINRA's BrokerCheck. We've received your submission. "I never had anything to do with Asia. Analysts said Mr. Levine's departure was not entirely unexpected, in part because of Cabletron's disappointing performance recently and because his unconventional management style was less suited to a nearly $1.5 billion company than to a start-up. In 1987 Levine was dissatisfied with a consultant Cabletron had hired to beef up business abroad. C T Corporation System, agent, 4 Sep 2000 - Michael D. Myeraw, secretary, 19 Jan 1990 - S. Robert Levine . There is also an outdoor shooting range and groomed paths for snowmobiling, skiing, horseback riding, hiking and biking, according to the Casteel Creek website. Kenahan and Levine could not immediately be located for comment. The complaint was filed in March 2018 for allegations of "unsuitable investment recommendations, excessive trading and misrepresentation from February 2012 until December 2017." Levine had a habit of wearing ostrich-skin boots and once used an armored tank to chase away a pizza delivery worker. Mary was my life, my light, my love. Links: www.cbsnews.com 2,157 views 1.0 ( 1 votes) Categories Buildings > Residential Comments Policies "Now get out of here.". It was wild and wooly. Earlier in the session, it was up as much as $1.875 a share. Forgot your username? Alongside Craig Brenson, Levine founded Cabletron in 1983. Yes, I also want to receive the CNET Insider newsletter, keeping me up to date with all things CNET. They'd just slow things down. Such trigger-happy behavior takes a toll on morale. Search our database of over 100 million company and executive profiles. "I'd sit in his car and find invoices between the seats," recalls Levine. Many a growing company forgets the lessons of its earlier days. Update: A former version of this article misstated the homes listing price. "We've written our own rules from day one," he adds. Mr. Benson said in a telephone interview that he and Mr. Levine had begun an executive search a year ago, and had asked Mr. Reed to join the company at that time, only to be turned down. Confronted, Ayers confessed he was just worn out. The one-of-a-kind estate is now up for sale, listed for $42 million. ", However, in a larger sense, she said, "I knew what I did, and it was wrong. '', For his part, Mr. Reed said he was attracted to Cabletron in large part because of its culture, and lack of bureaucracy. The few white-collar criminals were primarily there for embezzlement. Bank of America Merrill Lynch has agreed to a $40 million settlement with Robert Levine, co-founder of Cabletron Systems, according to filings and sources familiar with the case. The case. "We pack them in like rats," says Benson. But "my actions, by pushing this paperwork through, allowed the company to make the quarter. Top image: US Servicemembers take cover on a beach at Paestum, south of Salerno, September 9, 1943. Perhaps the most stunning and understated amenity is a 200-foot steel viewing bridge over the forest. "I started off by saying, 'For 20 days and 20 months, I had no first name and I was referred to as 03418049. Pick up the Christmas card resting on the windowsill, and you'll be treated to a blasphemous hand-scribbled holiday message. That left Levine with 9,000 feet, which he needed to sell within 90 days, when his bill came due. It also happened to be when terrorists flew jumbo jets into the World Trade Center and Pentagon, not only killing thousands of people, but also disrupting the nation's economy and information system. Now he's lucky to visit them all in a year. Woe to any who break the Cabletron Commandments: always fill up a rental car; don't make long-distance calls through hotel operators; never tip more than 15%; and observe strict ceilings on hotel and meal spending. I dont know of another place like it, co-listing agent Barbara Scrivens of LIV Sothebys International Realty told The Post. Moving fast isn't just an internal magic trick; all the small speedy touches -- and the fat margins -- combine to create an entire company that responds quickly to external shifts. The move is also seen as a plus by analysts, because most of Cabletron's competitors have already dropped their founders from top management positions. Add a few hours, and the same could be said for new markets. Webb will stay on at Bell Atlantic in the same top-level posts Reed would have had. ''While my style may be different, I will be just as aggressive.''. Benson once spied an 18-person meeting going on. Beyond that, though, they were helpless. year-and-a-half ago and coaxed him into bringing aboard his experience in national and global telecommunications. It's hard to miss the symbolism taking place at the former Cabletron headquarters off Ten Rod Road in Rochester, even if Bill Gibney works to downplay it. While only half an hour to Vail Mountain (east) or to the Eagle County Airports (west), the outside world fades away as one enters into the Casteel Creek compound, with a new discovery around every curve, Nobrega and Scrivens told Inman in an email. Jack Branowski, who is a director of sales, has 17 people reporting to him. Free to concentrate on sales calls, his salespeople rack up sales three times higher than the industry average, Levine claims. On one wall hangs a picture of President George Bush with -- if you trust the caption underneath -- Levine. Levine, who founded the company The problem, said prosecutors and a jury agreed was that the deals were primarily done to increase the company's sales before the quarter, and that auditors were not told about the connection between the loans and the revenue. "That way, we didn't have to worry about hearing excuses from other people," says Chris Oliver, director of manufacturing and engineering. Though orders picked up at the rate of two or three a week, Levine did not expect much from Cabletron, and with good reason. Robert Levine Bio/Wiki, Net Worth, Married 2018. On Wednesday, Cabletrons stock slipped 62 1/2 cents to close at $36 on the New York Stock Exchange. August 6, 1997: 8:30 a.m. And The VAR Guy loved writing about the duo. ''I went so far, when I was head of New England Telecom, as to take my team up to Cabletron to get a glimpse of what Bob Levine and Craig Benson were about,'' he said. The two devices, which cost roughly $200,000 to produce, represented Cabletron's first foray into manufacturing. Three-corner deals became a big deal up to and during the launch of Enterasys. Some people swear they've seen the magazine of the same name lying on his desk. The new owner will be able to reap the benefits of the current owner acquiring the land and approvals as well as constructing the improvements and will be able to hit the ground running with a turnkey estate that is all about living life and creating memories, Nobrega and Scrivens said. Cabletron CEO Levine Is Expected to Resign - WSJ Dow Jones, a News Corp company About WSJ News Corp is a global, diversified media and information services company focused on creating and. As a subscriber, you have 10 gift articles to give each month. "If they're afraid of being fired," charges Bob Monaco, "they probably deserve to be fired.". Later that year Cabletron received a $1.5-million line of credit that catapulted to $12 million four years later. "We can ship a large order and rebuild stock very quickly," notes Kenneth Levine. Transceivers, as Benson likes to explain, are the traffic cops of networks, transmitting and receiving signals. In a company press release, S. Robert Levine, the president and chief executive officer, said these results represented Cabletron's "thirty-second quarter of consecutive record growth, the strongest and steadiest earnings growth rate among all S P 500 companies." As the company sped toward nearly $900,000 in sales in fiscal 1985 -- branching into different types of cables as well as terminators and other supplies, all delivered "at the speed of light" -- Cabletron was slipping beyond Levine's grasp. Cabletron Systems was a manufacturer of networking computer equipment throughout the 1980s and 1990s primarily based in Rochester, New Hampshire, in the United States. ", Despite Spence's misgivings about the morality of the three-corners deals, she said didn't think they were illegal because "the finance people were all over it. Cabletron, headquartered in Rochester, N.H., announced Wednesday that Levine, 39, would step down Dec. 1. In an exclusive statement, Levine said: I can't believe she is gone. Robert Levine and Craig Benson on a Motorcycle.