Monday, October 20, 2008

Credit crisis hits Whistler-Blackcomb owners

CBC NEWS Oct. 20

The operators of the Whistler-Blackcomb ski resort in B.C. say it's business as usual, despite reports the owners are struggling to stop it from becoming a victim of the international credit crisis. The Intrawest ski resort company has $1.68 billion in debt due Oct. 23, and the company's owner, New York-based Fortress Investment Group, is struggling to rearrange financing to keep the operation afloat, according to a report published in the Financial Times on Friday. When contacted by the CBC, Fortress declined to comment, but a spokesman from Intrawest did issue a brief statement on Monday saying operations are expected to continue as normal. "At our resorts it is business as usual and there will be no impact on our guests' vacation plans or season pass products," said Intrawest director of corporate communications Ian Galbraith in a statement issued on Monday. "We are aware of recent press coverage on Fortress and Intrawest. These news reports are directly related to our parent company's efforts to refinance a term loan that has been in place since Fortress purchased Intrawest in 2006," he wrote. "All of our resorts are making preparations for the winter season; our snowmakers are taking advantage of every opportunity to make snow and we're anticipating another great winter season," wrote Galbraith.

The Whistler-Blackcomb resort, north of Vancouver, is scheduled to host the alpine ski and sliding events of the Winter Olympics in February 2010. VANOC, the organizer of the Vancouver Games, declined to comment on the situation on Monday.

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