Wednesday, December 22, 2010

BREAKING: Atlanta Spirit Ownership Suit Settled

From Atlanta Spirit their ownselves...

The lawsuit among the owners of the Atlanta Hawks and Atlanta Thrashers has been settled. Terms of the settlement are confidential. Going forward, Michael Gearon and Bruce Levenson will serve as managing partners of the Atlanta Hawks, Atlanta Thrashers and Philips Arena...

More when we know more...

But the HQ knows this is the first step to divesting on the whole...

Kristi Swartz of the AJC writes that part of the deal, understandably, is to buy out Belkin's 30-percent stake...

Swartz, Chris Vivlamore and/or Ken Sugiura caught up with partner Bruce Levenson:

"I think if you talk to anyone in either organization, they will tell you that this lawsuit has had zero impact. Zero," Levenson said. "At the end of the day, we had a business partner who we were in a dispute with and we have settled that dispute. It may sound a lot more complicated but that's really what happened."

The ownership group has hemorrhaged money over the last two seasons- losing, by some reports, close to US$50-million. There have been cash calls to cover margins and the idea that they're looking for investors- which Levenson has not denied.

Also, Philips is looking to get out of their sponsorship deal of the arena. Once they find someone else, they can check out themselves.

Now that everyone is under the same roof, look for an out and a move.
Not immediately, but down the road...

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