Effects
One year after the Rose Garden was transferred to creditors, Larry Conn, an executive at Vulcan Inc. gave an interview in which he claimed that "all options were on the table" concerning the Trail Blazers as the "economic model" was broken, and noted that without a "public-private partnership", "no businessperson can sustain losses of that kind". Conn noted that the lease agreement with Portland Arena Management gave PAM all revenue from the arena's premium seating (the black courtside seats, as well as luxury box revenue), concessions, and parking, as well as all arena-related revenue for events other than Trail Blazer games. The Trail Blazers retained the revenue for non-premium seating (the arena's red seats) for Blazer games. Paul Allen repeated the claim in an interview in March. Team officials were vague about specifics, leading to much media speculation that Allen might sell the team, attempt to move it, or was lobbying for increased public financing of Trail Blazer operations. In addition to the lease concerns, that season the Blazers posted the league's worst record (21-61), and attendance was below average.
While the financial model may have been broken for the Trail Blazers, it was anything but for Portland Arena Management. Rose Quarter GM Mike Scanlon of Global Spectrum stated that the company was "very happy with how things are going at the Rose Garden", and referred to Global's stewardship of the Garden as a "very positive experience". He noted that the arena did 45 concerts in 2005, and that same year landed another sports tenant, the Portland LumberJax of the National Lacrosse League.
Read more about this topic: Rose Garden Arena Bankruptcy
Famous quotes containing the word effects:
“Consider what effects which might conceivably have practical bearings we conceive the object of our conception to have. Then our conception of these effects is the whole of our conception of the object.”
—Charles Sanders Peirce (1839–1914)
“The ultimate result of shielding men from the effects of folly, is to fill the world with fools.”
—Herbert Spencer (1820–1903)
“Upon the whole, necessity is something, that exists in the mind, not in objects; nor is it possible for us ever to form the most distant idea of it, consider’d as a quality in bodies. Either we have no idea of necessity, or necessity is nothing but that determination of thought to pass from cause to effects and effects to causes, according to their experienc’d union.”
—David Hume (1711–1776)