A Million-Plus Dollar Conifer Empire, Its Sordid Tale Finally Told
If you think the Christmas tree business is all about the sweet smell of pine and hot French-Canadians, think again:
Posted: December 22nd, 2006 | Filed under: Need To KnowThere are a series of secretive cash drops, about three cell phone numbers and a land line that connect the street force to cash managers and suppliers, specific phone calls that need to be made after the border crossing, and a boss known by some as the “Myth.” Welcome to the Christmas tree business in New York City.
Kevin Hammer, the man behind the majority of sidewalk tree stands in the city, runs a cash-only conifer enterprise that some former and current employees say grosses more than a million dollars during the month-long holiday season.
Although Mr. Hammer’s mostly French-Canadian workforce has been specifically instructed not to speak publicly about his business practices, several of Mr. Hammer’s experienced tree-sellers, asking to remain anonymous in fear of not getting paid, spoke with The New York Sun to explain how the city’s largest Christmas tree business operates.
“Everything is very organized and incredibly secretive,” one tree seller who works for Mr. Hammer said.
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Every day, a “collector” arrives at the stand in a SUV with Florida license plates. He pulls up at an unannounced time after the tree-seller has called a number with a 212 area code saying how much cash was collected for the day.
When the collector arrives, the tree seller approaches the car with an envelope full of cash from the day’s sales up his or her jacket sleeve, according to the source. The “drop” includes a daily cash report worksheet printed in both English and French and is passed to the “collector” through the passenger side window. Conversation is usually brief.
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One of Mr. Hammer’s former employees who currently works for another tree business in the city said the average tree-stand grosses about $30,000 a season, of which Mr. Hammer promises employees 50% of the profit after expenses.
“There is no way of knowing the expenses,” the source said. “You don’t know the cost of each tree.”
Tree-sellers receive cash payments from Mr. Hammer’s staff on the night of December 24, after excess trees have been collected and stands have been dismantled. The amount varies each year, and tree-sellers on the same team sometimes get paid different wages.
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Tree prices at Mr. Hammers stands vary dramatically, and are dependent on the location of the stand. Buyers in affluent neighborhoods generally pay more for trees.
“We’re told to get the highest price possible, but to always sell the trees even if we get bargained down,” the source currently working for Mr. Hammer said.
Mr. Hammer did not return phone messages from the Sun.