Prepare for Failure!
Chicago on track (again) to lose money on something everyone else manages to make a profit on:
- Deep inside a nearly 250+ page regulatory filing, the owner of Chicago’s still-unbuilt casino warns investors that crime could have a material impact on its operations here.
Bally’s Chicago filed the dense “registration statement” on December 27 as it prepared to sell $250 million in stock and included the warning that “business interruptions in Chicago due to crime or civil unrest could adversely affect us.” It was among dozens of downside risks itemized in the filing.
“Our business and our assets are planned to be primarily located in Chicago, Illinois, a city which has recently experienced very high levels of criminality and civil unrest,” Bally’s said on page 54 of its filing. The company stated that “heightened criminality or the perception of danger among our customers” could impact the Chicago property’s bottom line.
Another round of civil unrest could be a real problem, the company said, because “we currently do not have business interruption insurance in place.” Even “if and when” the company gets such insurance, the policy may not cover its losses.
You can bet that the "investors" will all get paid long before a single dime goes to the pension funds this entire enterprise was supposed to shore up.
Labels: money questions, un-fucking-believable