Dodge City News Global Entertainment considers sale of assets

[old timer]

In case you've forgotten, Global Entertainment is the events center management company paid $100,000 in about August by CFAB/Dodge City Commission/Ford County Commission to wait and see when we build an events center. Their weak financial position was noted at the time by some, a position that has gotten weaker since. I guess that $100,000 fee from CFAB was really needed. And no doubt a better review.

This is from the Feb. 19, 2008 issue of The Business Journal of Phoenix:

Global Entertainment Corp., a public company that develops sports multi-purpose facilities and operates the Central Hockey League, is exploring options, including a possible sale of assets

Global Entertainment considers sale of assets - The Business Journal of Phoenix:

And from one financial firm is the filed financial statements of Global:


On January 14, 2008

, Global Entertainment reported fiscal second quarter net revenues of $3.0 million and a net loss of $0.6 million or $(0.09) per share. In the year ago period, GEE reported revenues of $12.8 million and net income of $0.1 million or $0.02 per share.

Revenues decreased primarily due to lower ICC project management fees stemming from a decrease in major projects under management. Revenues at some subsidiaries increased as the Company realized the initial benefits of its integrated strategic approach of providing add-on services.
As of November 30, 2007, the Company was not in compliance with the covenants of both of its credit facilities; however, it received a waiver from its lenders.

http://www.taglichbrothers.com/equit...t-02042008.pdf

[eunuch]

So sad. They had so many ways to spend city and county money. But they sure talked a good talk. They even had several people convinced that ice hockey would be good for sw Kansas.

[Clueless]

OT -

Apparently Global has some stresses, but they're building a big SEC in Independence, MO now.

For full disclosure, what is the financial capacity of the new group who say they will build and operate the SEC on the Harding land. Aren't they the same people who presented the Heritage Group proposal before and were turned down?

I guess, what's your point? Global's bad & the Heritage group is great?

[Bubba]

Originally Posted by old timer

...And from one financial firm is the filed financial statements of Global:


On January 14, 2008

, Global Entertainment reported fiscal second quarter net revenues of $3.0 million and a net loss of $0.6 million or $(0.09) per share. In the year ago period, GEE reported revenues of $12.8 million and net income of $0.1 million or $0.02 per share.

Revenues decreased primarily due to lower ICC project management fees stemming from a decrease in major projects under management. Revenues at some subsidiaries increased as the Company realized the initial benefits of its integrated strategic approach of providing add-on services.
As of November 30, 2007, the Company was not in compliance with the covenants of both of its credit facilities; however, it received a waiver from its lenders.

http://www.taglichbrothers.com/equit...t-02042008.pdf

Not that I have any stake one way or the other, but just because a company reports a loss doesn't mean they can't do business. Take a look at your natural gas company, if you live in Dodge City or Cimarron. Aquila still delivers your natural gas and they have reported a loss just about every single quarter since the Enron fiasco. They might have had a positive quarter or two due to some creative accounting. From 2002, when their stock was worth about $40 to a low of around $1 per share the stock currently sits at about $3.30/share. So, they have had years of running at a loss, but are still in business and delivering your natural gas on a daily basis.

[old timer]

Actually, the second group would work with Global, if that's what the owner of the Event Center (city,county,CFAB) decided, as stated by their spokesperson. Or they would recommend a different one -- a prime difference, of course -- seen clearly after the fact, was the desire for the sports team owners ("Legends Way" was one street name decided for the west location) and future sports team wantabe owners (ie, hockey team) -- Global does not want to manage horse events, or related. The second group does.

CFAB made their recommendation before it was public that member and chair, Greg Starks, was on the Boot Hill Gaming Board. He had to resign that position, for obvious ethical considerations. Mayor Smoll had to resign. Chair Goodnight had to resign. Is there a pattern here ?

Let's talk about combining event center with also wanted agri expo center, put it all down south, near sewers and water pipes. Save a lot, millions and millions of dollars, and let the casino folks do what private companies should do -- pay to play.

[Bubba]

Who wants an agri expo center? I don't. We can't even fill the civic center with agri/expo's.

[old timer]

You've missed a few CFAB meetings -- without public involvement, 4-H, et al, have gotten as far as estimates to be given at next CFAB on a (multi-million ? -- can it be less ?) dollar Agri-Expo center for Round Up type events.

And yes, it wasn't voted on. And yes, it isn't needed -- if the Event Center would have horse related events -- but NO, Global/Butler/CFAB don't want horses at Event Center -- so (again) bend over tax payers. And Yes, the Event Center has to be legally built first, but who cares about that judge anyway!?

I'm sure that the open meetings law has been violated, but .... this is Dodge. We don't need no friggin' laws.

[Clueless]

[quote=old timer;63206]if the Event Center would have horse related events -- but NO, Global/Butler/CFAB don't want horses at Event Center -- so (again) bend over tax payers.QUOTE]

OT - I've said this to you several times - and I'll say it once more - your statmenent about Global/Butler/CFAB not wanting horses is an absolute fabrication - from your own mind. You are wrong - and you've been told that, but in a twisted manner continue to repeat the statement - oblivious to any correction.

Butler said that they want a covered area next to the Event Center if it is built next to their casino. The covered area is to shelter the piles of dirt that are used on the Center floor for ag or equestrian events - and the covered area would shelter animals themselves, and or things like monster trucks, etc. WHY did they say that? Because they are building a very upscale casino and hotel and they don't want to spend $100 Million and then have the Event Center (Global or CFAB) pile dirt on the front stoop, as such. The Mariah Center will be a very nice retail area, with significant design and architectural controls. It follows that Butler would want to shelter somethings. Sort of like putting dumpsters in the alley and not in your front yard.

How in the hell you make that into not wanting horses is difficult to understand, but I will give you credit, when you think you heard something, you believe it forever. I suppose that meeting was recorded - why don't you go listen and see if even one word I've stated is incorrect. The funny part is that most of the Butler people are very ag-oriented folk.

Once again, that will be my final word. You can't correct someone who won't ever listen.

[Arkansaspm]

Community Facilities Advisory Board
May 2, 2007, 5:00 p.m.
City Hall
Commission Chambers

Those in attendance:
Ann Torrey, Lance Nichols, Justin Banning, Pat Shrader, Greg Starks, Rick Sowers, Terry Williams, Jeff Pederson, Ed Elam, and Ken Strobel.

NEW BUSINESS

City Manager, Jeff Pederson reported on the Events Center Development Agreement. Highlights mentioned included:
 The scope of the project deals only with the events center
 Facilities Management Agreement for 5 years with an annually fee of $155,000
 Explained reasons for not using the RFP process

City Attorney, Ken Strobel explained the agreement further. Highlights included:
 Guaranteed maximum cost for design, construction, furnishing, equipping and pre-opening cost set at not to exceed $33,730,000.
 Opportunity for a ‘turn key’ facility completion meaning at grand opening it will be able to host an event at that time with all staff and other necessities in place.
 Pre-opening fees set at $1,216,000 which includes $200,000 earnest money
 Coordination of services with Global and all wholly owned subsidiaries
 Project Management Agreement negotiated to deal with all aspects of the construction, furnishing and equipping of the facility as well as selection of vendors, hiring and training of employees, operational procedures, pre-scheduling of events and other promotional activities.
 Facility Management Agreement negotiated for a 5 year term for $155,000 annually
 Need for 25 acres for the facility (events center only, not Expo Center)
 Location not a part of the agreement.

Ann Torrey voiced concerns:
 Cost difference from Global’s proposal and the facility being built at Wild West World in Wichita
 Expo Center being located away from the Events Center
 Communication with the Fair Board
 Livestock area near the park, for fear participants won’t keep horses out of the park
 Need for unique to Dodge City approach.

Pat Shrader made a motion to recommend entering into the Events Center Development Agreement with Global Properties I, Inc./Global Entertainment Corporation. Justin Banning seconded the motion. Motion passed by a vote of 6-1 with Ann Torrey voting nay.

Greg asked for anyone interested in sitting on a subcommittee for development of the Expo Center. Ann Torrey volunteered and Lance Nichols was suggested as well.

The meeting adjourned by consensus.
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arkansaspm, = Pushing mud in the Arkansas River, to save the City of Dodge City 33 million Dollars for water rights.

I hope the above minutes will help CLUELESS to understand, when people make statements they only have what is in the actual minutes of the meeting.

Re read, Need for 25 acres for the facility(Event Center only, not Expo Center.) It does not even say Special Event Center. On the Contract the City signed, I'm sure it was stated Monster Trucks, Rodeos, Horse shows, were taken out of the plans.

The part that bothers me, is the amount of money that has been paid to Global. What happens now if they sell the company/division or what ever? Clueless, would your bank be willing to loan money on this project, when they are trying to move this company?

Of course the Judge said built The Special Event Center, the Why Not Dodge account has LOT'S of MONEY. They give it to anyone except the person who pays the extra sales tax. Right on Dodge.

[Clueless]

Thanks for your effort Ark in positing these minutes. The "don't want any horses' comment by OT comes from a different meeting - much later in time, after acquistion of Bogner's land by Butler. It might have been at Butler's endorsement hearing before the City Commission. The minutes you posted are before we had approved gaming in Ford County.

As far as I know, Monster trucks, motocross, rodeo's, horse shows etc were never taken out of Global's plans. Global has said they intend to do all of those type of events inside the SEC. Hense, Butler's demand that all the yards of dirt, equipment, etc be shedded. I remember Butler's comments and they had nothing to do with being 'anti-horse'. OT was there - took his own notes. It's not an accident that this issue continues ad-nauseum from OT.

I appreciate, and try to present, best-belief truths - not intentional misguidance. I'm sure most on this board prefer objective, clear answers. We don't have to agree, we just have to believe we're being told the truth.