January 19, 2010
Less than a month to go before the Vancouver Olympics, and the company that owns the main venue for the games is in a fight with its creditors that could result in a change in ownership.
According to Bloomberg News, the owners of Whistler Blackcomb ski resort missed the final payment on a US$1.4-billion (yes, with a B!) loan that was originally due in October, and the creditors have lost patience.
It’s not looking so good… Bloomberg News states:
“Fortress presented lenders including Davidson Kempner Capital Management LLC and Oak Hill Advisors LP with a plan last month to swap the loan for new debt maturing in 2015, according to the people, who asked not to be identified because the talks are private. Lenders rejected the proposal, which gave them the option to convert some of the debt to equity in five years. Some lenders want equity now so they can benefit if Intrawest’s business rebounds.”