Lately, I’ve heard a surprising amount of misinformation about our financial condition. I thought it would be helpful if I addressed “the rumor mill”. So, I’m devoting this message to refute and dispel these rumors. I know how much human beings like to spread gossip, but we’re a business, not a high school, and wasting time with gossip means we spend less time on what matters. So, let’s reflect on the wisdom of Sgt. Joe Friday: “Just the facts”. Perhaps a little history is in order.

• 2011 – 2012: While the ship was in Richmond, even before the ship even arrived in San Pedro, the organization had already weathered severe financial storms. I’m sure you’ve heard Jonathan’s and Mike’s stories about those days. In short, somehow, we survived.
• 2013: A few months after I joined the crew in February 2013, we were confronted with what turned out to be the first – but not the last – financial challenge I would be involved with. We owed approximately $1,200,000 in accounts payable to several vendors from the Richmond days. Jonathan successfully renegotiated this debt, with many vendors agreeing to forgive debt or to accept monthly payments over a term of years. Even after restructuring this debt, we often had to choose between paying vendors or paying payroll. It was a real roller coaster ride, but we never missed a payroll and we survived.
• 2020: Fast forward a few years to COVID. (It’s hard to believe that’s now 6 years ago.) This time our employees felt it. Many were temporarily laid off or had their hours reduced, and some went on the California’s WorkShare program. We closed completely, cutting off all revenue from museum visitors. Donors, meanwhile, reduced or redirected their donations to more critical efforts. The crisis started quickly, with no end in sight, and no one knew how long it would last. Fortunately, we were able to take advantage of $4,000,000 of federal grants, tax credits, and long-term loans, and we survived.
• 2025: A little over a year ago the COVID cloud had passed, and things were back to whatever passed for normal. Being conservative, we were not anticipating an increase in visitor/guest related revenue over 2024. However, the world around us changed. Tourism decreased significantly, reducing our visitor/guest-related revenue, something that played out over the course of the entire year. Meanwhile, we began working on – and investing in – the National Museum of the Surface Navy. Late last year we realized we could make some of our operations run more efficiently and more effectively. In other words, we’re surviving.
• 2026: It takes about $400,000 to $500,000 per month to keep this business running. Note my choice of words – business. Yes, we’re a not-for-profit, but that’s our tax status, not our business model. We need to pay our employees, utilities, insurance, rent, hot dogs, and all the other expenses any business incurs. Where does this money come from? Guests, donors, food and beverage, overnights, commissions, you name it. The Leadership team closely monitors operations, looking for ways to squeeze out every bit of efficiency . . . and cash. Meanwhile, Jonathan, Nui, and I monitor our cash situation on a daily basis. While there have been occasional periods of concern, nothing we’ve currently seen or are experiencing has given us cause to panic. While we may have modified our plans and slowed down a bit, we have not seen the need to change course. Perhaps it’s because we’ve been through much worse times and survived; this is just the latest challenge and is less severe than the ones we’ve weathered in the past. In short, we will survive.

A note about “the big hole in the ground” on the pier. As you know, we’re building the Park and Pavillion and have been awarded almost $11 million of state and local grant money to pay for the construction. So, we are not using our “operating cash” for this project, which doesn’t impact our day-to-day cash situation.

One last factor. Many of you knew the late Greg Bishop, who volunteered on the ship. He left his estate to us, including his house, various bank accounts, and other assets. Greg’s estate is currently in probate court and we’re awaiting distributions which will significantly improve our financial situation. (As an aside, regardless of who you want to inherit your estate, if you’re looking for your beneficiaries to receive distributions in accordance with your wishes and avoid the inherent costs and delays involved with probate court, you absolutely must have an estate plan. Yes, that means hiring an attorney and up-front fees, but it will save your beneficiaries untold delays and frustrations and ensure your wishes are met.)

So you can believe whatever uninformed gossip is spread by people who don’t know what they’re talking about, or you can believe the facts. The next time someone says, “Did you hear . . .?”, ask them if they verified it with Jonathan, Nui, or me. If they didn’t, believe it at your own peril.

Thanks,
Ross

From the desk of the Chief Engineer

Another riveting note from the world of engineering and capital projects.

tealing a little of Jonathan’s thunder, I believe it important that we reflect on something he shared with some of us this week.

LA Fleet Week is the largest Memorial Day Event on the west coast. Full stop.  And by most accounts, it is in the top ten such events in the nation. Let that sink in. A relatively small non-profit with a largely volunteer crew produces a highly professional and family-friendly event of national importance. I am unaware of any similar organization that can claim such an accomplishment. The entire crew worked incredibly hard and should be proud of what you have done.

By most accounts, the 2026 version was a good one. Cooler weather and nice crowds combined with the incredible work of the crew and the broader Port of LA team to make a memorable and pleasant event. Crowd management was very good and food & beverages plentiful. We had a few hiccups and bumpy moments, but overall, this one operated very smoothly. Yes, we’re exhausted, but we’re recovering now and getting back to normal.

Normal for us involves the care and feeding of a 46,000-ton, 83-year-old vessel with a penchant for corrosion and quirky failures. The engineering team is working on the relocation of the cofferdam for the next iteration of hull maintenance, various (and sometimes serious) blockages in the sewage system, and the management of air conditioning operation in the new exhibit. The latter deserves a little more explanation.

Yes, we’re non-profit, but that doesn’t translate into free things from our service providers. And one of the more expensive items that we deal with is energy. Coming from the Los Angeles Department of Water & Power, we spend anywhere from $29,000 to $36,000 per month on our electrical service. Adding up to more than $350,000 per year, it is normally the second or perhaps a close third most expensive line-item in our budget.

Much of this electrical load is simply what we call “base load,” or something that is not easily removed or adjusted. We have transformers that suck power regardless of how many lights are on, and other loads that cannot be shed. Adding in welders, air compressors, fans, Vicky’s and so forth, things add up quickly.

And before you start turning off lights, it simply doesn’t have any effect. Those transformers are running 24/7, and they don’t care that you turned a light off on 3rd deck. Please, please don’t start flipping switches. It doesn’t help.

But other equipment can be a serious problem, most notably fans and motors running 24/7. At any one time, we may find from 50 to 100 horsepower of motors running for no reason throughout the ship, resulting in thousands of wasted dollars each month. And as we begin entering the air conditioning season, we need to pay even more attention to running things we don’t need. The simple rule is this…unless you are authorized by a manager to operate something, please don’t.

And now for “The BIG Tow” …

We left last week with the IOWA disappearing into the distance west of the Golden Gate. And as the sun was beginning to set, our jaunty little tugboat turned around and headed back to Richmond to drop us off. Clambering off the tug at the now-empty Richmond dock was a little surreal for most of us, but we had other things to deal with. We were exhausted, hungry and had nowhere to sleep now that the big gray hotel was gone. I recall most of us splitting up quickly, finding hotels or perhaps driving home for those who lived closer. It was almost depressing. I took Marty Palmiere with me to a hotel that night and brought him south to LA the next morning.

I was reminded this week that I had forgotten an important item from the tow from Richmond… longtime filmmaker and fellow crew member Kert Vandermuelen had boarded the WARRIOR for the tow south as an observer, with the intent of documenting the trip. This he did, integrating himself into the crew of the boat with ease, and bringing back incredible footage of a legitimate battleship towing experience. Pete, the inflatable dolphin, joined Kert on the way down. Sue, Dan, Bill and Kert know the hilarious dolphin story best. Please ask them.

The tow was a nominal 4 days according to the plan but it seemed like an eternity. I recall parts of those days while we waited, hearing bits and pieces of progress, while watching media interest grow as the day of arrival approached. We heard of some towing problems, but not in much detail. The weather was ok, and the occasional sighting from an aircraft confirmed that she was afloat. I alternated between fatigue and excitement that week while at home with nothing to do.

Perhaps not fully understood, IOWA could not come to the dock straight away but rather had to anchor offshore for 4 days having her hull cleaned of seaborne growth deemed offensive to the Southern California environment. Our designated anchorage was known as “SF1” or South Foxtrot 1, a contingency anchorage several miles offshore of Huntington Harbor and directly south of the east end of the Long Beach Breakwater. It was there in about 100 feet of water that the battleship would be anchored.

Wednesday morning, May 30th came early for us, meeting as I recall here in San Pedro to board a Crowley tug for the trip out to the anchorage. At the dock, the media clamored for space on another boat, while the actual crew of about 7 of us boarded with Crowley for the 6- or 7-mile ride to the anchorage.

In classic form, things were slightly foggy off the coast that day, while the sun slowly burned through. And just like a movie, she emerged from that mist, and it was a glorious sight. We had never seen her completely at sea, but rather the dense harbor environments where we had been.

Raise your hand if you’ve never anchored a battleship…

As always, I am grateful to be here,
Mike

Engineering from Chief Moser
– Our first move of the cofferdam on the port side promises to be a fun, yet hopefully not too wet of a challenge.
– Prepare and paint the 05 level which desperately needs love and attention.

Development from Kyle Aube
– Kicking things into gear with planning for a FOTS Pavilion Groundbreaking Ceremony, the Iowa State Fair, Freedom of the Seas, and other events.

Programs with Mike Nguyen and Anna Borough
Prepping for three straight overnights with record-breaking attendance!

Marketing from Hall Roosevelt
NMSN is open! Tell everyone you know to come and check it out. This will not only attract new visitors but it’s a great opportunity to bring people who have already been here to come back to the ship and experience something completely new.

Communications with Marann Fengler
– Back to business as usual, uniting the marketing and development teams to punch out great publicity for the new museum (have you seen it yet? Go look!)
– Hunting down more fascinating podcast guests
– Finding creative and compelling ways to connect people to who we are and what we do

Have fun stuff you’d like to share in this newsletter or on socials? Drop us a line! marketing@labattlehip.com

• George Musulin – morale maestro of the LA Fleet Week main stage
• Jim Ohr – king of the orange forklift
• Scott Dennis – pied piper of Naval reservists
• Vicky’s staff & bartenders – upkeepers of spirits and stomachs
• Isaac/Raoul – pirouettes of fury, everywhere doing all the things all the time
• Rick Stipa – silent sniper with a camera, capturing unforgettable images
• Glenys Rich – victory with videos; above and beyond churning out catchy daily recap/previews on socials… Honorable mention to host BJ Lange for lending his comic takes to the content
• Brent Noll – sketchiest VIP to board USS Essex (because he taught his animation class… Get it? Sketchy..?)
• Forrest Hippensteel – LED wall Galley Wars / Marshals / 3rd deck lighting maestro
• John Zastoupil – virtual queue and parking lot network guru
• Della Rose – graphics goddess of tour route signage
• Dave Way – the Indiana Jones of IOWA photos for said signage (picswere in the archives next to the Ark of the Covenant)
• Joe Bell – Admiral’s Barge Picasso (doesn’t it look great?); special mention to Phillip Browning – the Samuel L. Goldwyn of the Admiral’s Barge project (that means he’s the producer – the money)
• Rich Abele, Phil Browning, Don McMackin, and Brian Sisco – the bunting brigade, who made IOWA look cool and colorful
• Donald Tong – king of the gangway, making sure guests had info before boarding the ship during LAFW and smoothed out the ticketing process
• Chris Barker – the dependable one
• Claudia Alvarez, Judi Huss, and Pip Fabian – Sue’s saviors
• John Goodson – Monday night Burger King (IYKYK)
• Kate Earle-Mahoney and Lee Choy – exceptional Gumby work by the newbies
• Edward Zhang, Arthur Zhang, and Timmy Tsai – translator trio extraordinaire
• Tom Marinello, Don McMackin, Chris Barker, and Judi Huss – curators of the queue; making bus riding smooth and easy
• Jodi Kyman – Zen master of military care and feeding
• Hal Bodkin and Jim Kurrasch – hot seat entrance crowd control duo
• CMC Ernie Sierra – bus body guard, keeping folks from being squashed by a shuttle
• Indiana Jerry and Terry Marinello – hosts with the most, wrangling food and beverages for the lot of us
• Doug Dowds and John Rampino – fantastic fellows of the footprint, working the IOWA booth like a couple of bosses
• Cesar Olvera – managerial mastery of food, beverages, and events
• Catherine Moreno – Expo sheriff and golf cart rodeo champion
• Herb – master of sales and donations collection
• Ken Ota – long distance warrior; flew all the way from Tokyo to work at LAFW!

Bravo Zulu to all!

Notice any stand-outs we didn’t catch? Drop us a line and we’ll include them in the next salvo.

PS Editor’s note: shout out to Ron Ploof – missing in action and very missed. 📋

There’s a pattern with LA Fleet Week. First it seems like it’s ages away, then suddenly you’re a month out and mild panic sets in, then it’s here and you’re in it. Just when you find your rhythm, it’s over.

We find ourselves at that point again. But man, did we put on a good show this year! Let’s look at some of the amazing things we accomplished.

• Hosted a major capitol ship – the LHD USS Essex
• Conducted neighborhood activations in Santa Monica, Anaheim, Long Beach, Mission Hills, and Downtown LA
• Made it possible for active duty sailors and marines to go to Disneyland, an Angels game, and/or a Dodgers game
• Put on a premiere for the season one finale of a TV series – the Yellowstone spin-off Marshals
• Had active military equipment, including a Huey and a Cobra, in our parking lot along with vendor and sponsor booths
• Held no fewer than four competitions – Galley Wars, Military Has Talent, Dodgeball, and Mini-Soccer
  • • Our IOWA dodgeball and mini-soccer teams won a few games this year!
    • George Musulin and his guitar were popular participants in Military Has Talent (which we understand has been renamed Heroes Have Talent)
    • The POLA PD won everything but Dodgeball
• Opened the National Museum of the Surface Navy!

If you couldn’t make it down, check out the stealth photo sniper’s amazing gallery here.