Greek Peak---SOLD

They are selling next years seasons passes now. Lots of ways to get a discount below the $299.
(all prices before the April 21 deadline)

One way is the family pass - each additional family members pass is reduced:
1st pass is $299
2nd is $284
3rd is $278
4th is $269
5th + are $263

Also they have a bring a friend pass (if you have friends who have not had a Greek pass you get discounts if you and them all buy your passes at the same time)
For example if you get one friend to buy a pass - your pass would be $278 and theirs would be $284.
(additional discounts if you get more friends to buy passes.)

Also College passes sell for $249. before April 21.

The unfortunate part is that:
"Season pass holders for 2013-14 CAN NOT use their pass for the remainder of the 2012-2013 season."
(Don't know the reason for this, perhaps the FDIC had something to do with it??)

Big D wrote

The unfortunate part is that:
"Season pass holders for 2013-14 CAN NOT use their pass for the remainder of the 2012-2013 season."
(Don't know the reason for this, perhaps the FDIC had something to do with it??)

I suspect it's because the deal won't close until after the end of the season, so if the 2013-2104 passes were made good for the end of this year it might somehow - in a legal sense - open a path to a claim from current owners that some of that revenue is theirs.  This way the sales can't be booked from an accounting standpoint until the deal closes.

The pass pricing structure is nice - very good idea. It will definitely bring in more pass buyers - I know of some already.

Interesting:

"The Federal Deposit Insurance Corp., which took over in 2012 when Greek Peak’s main lending bank failed, signed off on the deal even though it will get less than $1 million against the more than $47 million in debt, its representatives telling the judge Thursday liquidation would be worse for jobs, vendors and creditors."

Now I have too wonder... Is it over with these creditors???? For example if you are the company involved in selling and installing the Mountain Coaster and you are only going to get pennies on the dollar - could they come in and repossess it, dismantle it and remove it? How about other creditors?

The season pass sales are a bit unique this year, as a deal was worked out in court between the FDIC and new owners, which permitted the new owners to sell passes prior to the actual closing date of April 19th.  The FDIC still owns the place, so they want to still generate a bit of revenue with day ticket sales. That is why next years passes can't be used this year.  You also can't purchase next years passes with gift cards, Cascade Club memberships, etc., as these are still under the auspices of the FDIC, until the 19th.  A separate account has been set up for pass sales.

The hill was buzzing this weekend of talk of the new owners---they were on the hill skiing with a gaggle of peeps---was great to see.

GP is still 100% open

Yeah, I saw the new owners unload their SUV in the morning.  They were sporting their new GP jackets with big smiles on their faces.  One of them changed his jacket, but the other gentlemen did not, which is likely what garnered attention.  I was more interested in the 93 year old that was skiing.  How amazing is that!

93!?!?! Wowzers, that is amazing, amazingly cool.

Big D wrote

Now I have too wonder... Is it over with these creditors???? For example if you are the company involved in selling and installing the Mountain Coaster and you are only going to get pennies on the dollar - could they come in and repossess it, dismantle it and remove it? How about other creditors?

I don't know anything about this bankruptcy case but in all likelihood : No.  If the confirmed Chap 11 plan says they get a big haircut then that's what they get.  They could only repossess if they had a lien and even then it would, as a practical matter, depend on if there were any lienholders in front of them. The "other creditors", whoever they are and whatever their status (secured, unsecured, priority) had claims that were likewise addressed in the bankruptcy.  They'll get what they get under the confirmed plan and they have no other remedies - that's what a Chapter 11 is all about.  Let's just hope GP can make all the payments called for under its plan.

QUOTE
"I don't know anything about this bankruptcy case but in all likelihood : No.  If the confirmed Chap 11 plan says they get a big haircut then that's what they get.  They could only repossess if they had a lien and even then it would, as a practical matter, depend on if there were any lienholders in front of them. The "other creditors", whoever they are and whatever their status (secured, unsecured, priority) had claims that were likewise addressed in the bankruptcy.  They'll get what they get under the confirmed plan and they have no other remedies - that's what a Chapter 11 is all about.  Let's just hope GP can make all the payments called for under its plan." QUOTE


I don't have a link - but I did read somewhere recently, on the net that most of the 47 million in debt was originally secured from the Tennessee bank with some kind of federal program guarantee to do with economic development/jobs type loan situation... and that ultimately USA TAXPAYERS WILL BE TAKING THE HAIRCUT. Also read most of the money from the sale, that can be used to settle debt, will be used for overdue back property taxes. (I figure entities owed money from the ski-area side will see very little compensation. Like Rossignol who were owed $300,000 due, for rental equipment).

(PS: Right before the Tennessee Bank was seized by the FDIC, Greek almost got that new fixed grip Quad installed to replace lift 1A - If that had been put in, I Imagine USA taxpayers also would have taken the haircut on that too.]

I've never been to Greek....But, with that said, did they have a business plan when they took out those loans and built the hotel, water park etc.?  How long ago was the hotel built?  Where did they think they were going to get the people from to support those ventures?  The finger lakes region isn't really a population mecca?  Am I missing something?  

■Cortland – 8 miles
■Ithaca – 18 miles
■Syracuse – 36 miles
■Binghamton – 37 miles
■Scranton – 76 miles
■Philadelphia – 195 miles
■Lyncroft, NJ – 200 miles
■New York City – 210 miles
■Baltimore – 270 miles
■Washington DC – 310 miles

that's a crap-ton of skiers and golfers - you'd be surprised at the number of folks who come up from the dc/baltimore metro area. do you really think that there's enough sour mash in tennessee to lend 30+ million dollars without some sort of business plan? the hotel was built 4 years ago - a year late when the economy started to go south and the original financing fell through, probably a good precursor of the current situation...

gorgonzola wrote

■Cortland – 8 miles
■Ithaca – 18 miles
■Syracuse – 36 miles
■Binghamton – 37 miles
■Scranton – 76 miles
■Philadelphia – 195 miles
■Lyncroft, NJ – 200 miles
■New York City – 210 miles
■Baltimore – 270 miles
■Washington DC – 310 miles

that's a crap-ton of skiers and golfers - you'd be surprised at the number of folks who come up from the dc/baltimore metro area. do you really think that there's enough sour mash in tennessee to lend 30+ million dollars without some sort of business plan? the hotel was built 4 years ago - a year late when the economy started to go south and the original financing fell through, probably a good precursor of the current situation...

o.k.  So what was the business plan?  Where are the people?  Why couldn't they pay their debt?  Lots of huge expansions in the similar time frame. Stowe's Spruce Peak, Jay's Water park.. ?  I live in the NYC area and have been skiing for 40 + years.  I've never heard of anyone going there from around here, unless they were in that area for school or for family.  DC/baltimore I could see more since, well they're like in ski location hell. lol.   Otherwise, like I said, there just isn't that large of a population base:  Cortland has about 20k people; Ithaca has about 100k people; Syracuse about 145k; Binghamton about 50k.

i'd agree greek probably can't compete with the pokey's and 'skills in the nyc/nj metro area markets. i really don't have  insight into the numbers however i know there was/is what seemed like a sound business plan and that was my point. the hotel, water park and adventure center are by no means huge, based on the occupancy rates the numbers are certainly there to support a 100 room hotel and water park even in a weak economy. not sure how they got so upside down on the mortgage but that's the issue in my eyes. combined with the lender folding and a bad snow year was just too much...

i'd have to guess that the original lender way back when dangled a huge wad that put them on the road they took  there certainly was no construction expense spared on the lodge in terms of structure, finishes, full leed cert'd sytems etc - thats some expensive stuff! al certainly did it right - maybe too right...

I hear the hotel is really nice and pretty first class.  All I know, is the new owners seem to have got a bargain...hopefully, now starting new without any debt, they can make it a go.  

I was told by an industry insider that Greek's core business can support maybe 15M in debt. The 50M was killing them.

If that is legit and the new owners use the facility to support only 6.8M in debt, should be good enough handle some improvements?

Just by talking to people on the lift,etc. it seems like Greek gets little business from the NYC area other than students.
Most guests seem to come from the South....Allentown, Philadelphia, Delaware, Maryland.....
There is a Greek Peak billboard on the Penna Turnpike somewhere north of Allentown.

Not exactly scientific but Google Trends shows you the cities from which people search for things.

Here's the search for the phrase "Greak Peak"

The lodge actually receives a fair amount of traffic from the NYC metro area, as many of the Travelzoo and Groupon promotions have targeted that market.  Even before those promotions, the lodge saw NYC traffic.

With respect to the ski area, although the Philly/MD traffic has subsided, people still come from those areas to avoid the Pocono madness and ski a much more diversified mountain.  The bulk of their reported 250K annual visitors, however, are from CNY.  The Canadian market is untapped, and a potential area to draw some skiers who want to avoid the crowds of the larger resorts, but still be within a few hour drive from home.

Hey kids, let me tell you about Greek Peak.  What a great place to grow up skiing!  Odyssey was a narrow, winding trail down the mountain.  Illiad was narrow too.  Some days Elysian Fields and Stoic were moguls all the way down.
There was a lip on Stoic about 50 yards up from the base.  We would send a spotter down to wave his poles when it was clear for us to sail over it.  It was a dangerous spot so they leveled it off but not before a jumping contest was held the last day of the season.  We could also bomb from half way up Elysian Fields, across the Meadows, across the pond and hit the lip on the far side under the chair.  Didn't want to land on the flats - it hurt.  Atlas was o.k. but didn't hold snow.  Ronnie's Run was a favorite.
The owners hired the biggest bomber of them all - Pete King - to chase the rest of us bombers.  Man, he was a good skier.  He died in an avalanche out west in the early 70's.
Only two T-bars, one chair, and the double A-frame lodge back then, and yeah, we had to make our own jet-sticks
too.  When they built the Taverna the place started changing.  Sure I would not recognize it today.
One last memory.  Some Saturday nights we would take our sleeping bags up the T-bar and sleep out in the woods.
That way we had first tracks and first donuts in the lodge.

Welcome wedeler.

Great tale(s).  What years did you ski GP?