Besides its obvious entertainment value, Major League Baseball is a business as well, and many fans in the New York area and around the country understand that. An American League team, the Houston Astros, is preparing to file a legal motion to dismiss the bankruptcy case of Comcast SportsNet Houston that was filed by several creditors. Comcast SportsNet Houston is in a partnership with the Astros, the Houston Rockets and NBC Universal/Comcast to provide coverage of sporting events to the Houston area. The Astros are the majority stake holder in the partnership. The creditors filed the involuntary bankruptcy against the partnership in September. The creditors who filed are owed over $100 million in a combination of trade receivables and loans. The Astros believe the bankruptcy is not needed because they can provide the cash flow to the partnership to pay the creditors. At this point, only the cable network Comcast is carrying CSN Houston, and they provide service to only 40 percent of Houston area homes. The Houston mayor has negotiated with other cable companies, including DirecTV and Time Warner, to pick up the station, but those meetings have not lead to additional coverage. As the bankruptcy case proceeds, negotiation… Continue reading
A Bronx retailer has won a judge’s approval to sell its assets, estimated to be worth over $16 million, to help liquidate the business and pay creditors. In addition to the inventory, the courts also allowed for the sale of the company’s intellectual property as well as its list of customers. Those items have been sold for $850,000. The retailer, Loehmann’s Holdings Inc., operates in 11 states with 40 stores and specializes in the sale of designer fashions at a discount. The buyers are negotiating the terms and have offered 29.8 percent for the inventory. The retailer will also begin to conduct closing sales at its store locations soon. This is not the first bankruptcy for Loehmann’s as it filed for Chapter 11 twice in the past. The retailer seeking bankruptcy is controlled by a parent company that may receive some of the proceeds of the sale. Several unsecured creditors object to that provision and have launched an investigation into whether those claims are valid. Other objections have been brought by the U.S. Trustee. They are concerned with the company’s plan to pay $655,250 in bonuses to two company officers without proof of valid reason for doing so. The company… Continue reading
City Opera in New York may have shuttered its operations for the season, but that has not stopped the group from celebrating its 70th anniversary. The opera company was forced to declare bankruptcy, canceling its entire season. A special performance will be held in honor of the company’s seven-decade presence in New York City, however. City Opera has declared Chapter 11 bankruptcy and will likely liquidate the business. Despite the financial troubles, members of the “City Opera Family” said they could not allow the anniversary to pass unrecognized. The event is being staged by the performers’ union that represents entertainers, American Federation of Musician’s Local 802. The concert is scheduled to occur on Feb. 21 at the City Center, which has historical significance as the first location of a City Opera performance. Although this is the only reunion concert currently scheduled, representatives have said that the performers may consider similar shows in the future. In the mean time, New York City Opera is working through court proceedings related to its thrift shop that is operated in Midtown Manhattan. That shop has been open for 25 years. The court may grant the company additional time to decide whether to reject the… Continue reading
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