Koch Industries Acquired Georgia Pacific for 20 Billion in 2005 Bet-the-Company Move

What was said

"We were a much smaller company and we bought Georgia-Pacific for $20 billion. That was a massive bet. They had a 51-story building with a private elevator, and you had to put on a coat and tie to come up there. Joe immediately kicked them all out."

Charles Koch disclosed that the 2005 acquisition of Georgia-Pacific for $20 billion was a bet-the-company move when Koch Industries was significantly smaller. The acquisition required massive cultural transformation, with new CEO Joe Moeller immediately dismantling the hierarchical 51st-floor executive suite where managers required coats and ties just to visit, firing bureaucratic leaders and moving remaining managers to work directly with their teams on regular floors.