Harmon Killebrew, the only Minnesota Twins player in baseball's Hall of Fame, has learned much about life beyond the stadium since his last at-bat in 1975.
The former Twins star has fallen into debt after being victimized by fraud, inexperience, poor advice and bad decisions, according to a copyright story in Sunday's Star Tribune.Killebrew, 53, owes at least a total of $700,000 to four banks, former Twins' owner Calvin Griffith and Reggie Jackson, the newspaper said. He also owed $270,000 on his Oregon dream house when he stopped making the $2,500-a-month payments and the mortgage company foreclosed, the newspaper reported.
His auto dealership in Ontario, Ore., and a failed car leasing company in Bloomington put him on the verge of bankruptcy, the Star Tribune said.
"It's been a living hell. You have a lot of those days when you feel you're at the bottom," Killebrew said in a recent interview. "You get to feeling that sometimes you're out on that island by yourself. I don't feel anger, more sometimes frustration, sadness is another, loneliness is another one."
Now he says he's determined to "turn things around" by paying off his debts and launching new projects. "I want to say that maybe I've made some wrong decisions," he said, "but I'm still an honorable person and I intend to take care of all of my obligations."
His name, signature and wholesome image have become his most valued capital. He travels frequently to sign autographs, earning up to $5,000 an appearance.
A 22-year playing career made Killebrew the fifth most prolific home run hitter in history. But the pressure he faced in the major leagues failed to prepare him for the world beyond, he said.
"In baseball, you pack your uniform in the clubhouse after a ball game and you see it hanging up in your locker when you get to your next city," Killebrew said. "You pack your bag and your bag gets in your room when you get to the hotel. They pay for your meals, your hotel. When you're out and you're strictly doing it on your own, it's a different situation."
Now he confronts impatient banks in Minnesota and Idaho for defaulting on loans, the newspaper said. He also is named in a California lawsuit, brought by former star outfielder Reggie Jackson, for failing to pay a loan Jackson co-signed. That suit is on hold because Killebrew and Jackson have worked out a payback plan, the Star Tribune said.
"Harmon's been at the bottom of the pit and he's climbing out of the hole," Jackson said. "All he has left is his word and he wants to keep it."
In Washington, Minnesota and Kansas City, at first base, third base, the outfield and as a designated hitter, Killebrew became the most productive right-handed home run hitter in American League history with 573, driving in 1,584 runs, making it to Cooperstown in 1984.
Killebrew's annual salary in the majors topped out at $120,000 in 1972 - accounting for inflation, about $350,000 in 1989 dollars.
His first job after baseball came in 1976 as a color commentator on televised Twins games. He received his securities license and became a partner in a Boise, Idaho, insurance and financial planning firm with former Idaho congressman Ralph Harding. Killebrew, who played high school baseball in Payette, Idaho, now lives in a rented condominium in Boise. He and his wife, Elaine, are separated.
As his accountant, Howard Heminger, said of Killebrew: "He's great at hitting home runs and swinging a mean golf club, but he has no education in business."
The auto business forced him into debt, Killebrew said. He acquired a GM dealership in Oregon in 1984 and started a car leasing company in Bloomington in 1986. The leasing concern was shut down in 1987, the Star Tribune said. According to Heminger, Killebrew lost at least $100,000 on the leasing company.
The Oregon dealership fared no better. Killebrew acquired it "quite by accident. I knew nothing about the automobile business and I must not know much now."
Griffith said Killebrew owes him $100,000 for a loan Griffith gave "three or four years ago" to cover Killebrew's taxes.
Killebrew acknowledged that he owes Griffith money, but would not confirm the amount.
In one venture, Killebrew found himself in a criminal situation. In 1981, he and Harding entered into a relationship with California real estate developer Jack Franks. The deal involved a proposed development, called RM-18 on 157 acres in Rancho Mirage, Calif. The plan was to construct 18 luxury homes on each hole of a golf course designed by Robert Trent Jones Jr. Each lot was to cost $1.5 million and each house was to have at least 5,000 square feet.
Killebrew said Franks approached Harding to help recruit investors for the development. Killebrew's name was used to pique the curiosity of potential backers. For their work, Killebrew and Harding each received a $100,000 commission and those "payments" were used to purchase their interest in RM-18.
In the end, there was no development. Franks later pleaded guilty to mail and wire fraud and served 60 days in prison, the Star Tribune said.
"(Killebrew) was a victim, clearly a victim," said Los Angeles-based Assistant U.S. Attorney James Asperger.
In an effort to get out of debt, Killebrew has launched new businesses, among which is the sale of a special bat collection. For $1,995, fans can purchase copies of the bats Killebrew used to hit his first, 100th, 200th, 300th, 400th, 500th and last home runs.
Said Killebrew's attorney Bill Tilton: "The real lesson here is that a person who is a hero and celebrity like Harmon is basically trusting other people in the business world, where you have mutual things to contribute."