News Article: Melnyk: 'not selling the team — period'

[Do Make Say Think]

JDI can google these answers for himself. The answers aren't pretty.

You do realize that he wasn't convicted of anything right?

Some of you should inform yourselves before speaking/typing.

And yes, Melnyk is an ass and I hope he sells the team real soon.

 

[JD1]

You do realize that he wasn't convicted of anything right?

Some of you should inform yourselves before speaking/typing.

And yes, Melnyk is an ass and I hope he sells the team real soon.

In the race to shit on everything Melnyk there's been a ton of stuff written about him on these boards

The security cases against him are interesting to read. More people posting here should take the time to read that material

 

[JD1]

JDI can google these answers for himself. The answers aren't pretty.

I'm well aware of Melnyk's legal situation with the osc. I didn't ask the question because I don't know, I asked the question to try to get you to answer it to see if you know.

And for the record, I am not defending him. his relationship with the fanbase is imo irreparably broken and he needs to sell.

the problem with him selling is the recent info on debt. It's higher than I thought. that's not good.....trying to sell something that is losing cash operationally like that.

 

[Sensung]

I'm well aware of Melnyk's legal situation with the osc. I didn't ask the question because I don't know, I asked the question to try to get you to answer it to see if you know.

And for the record, I am not defending him. his relationship with the fanbase is imo irreparably broken and he needs to sell.

the problem with him selling is the recent info on debt. It's higher than I thought. that's not good.....trying to sell something that is losing cash operationally like that.

The Sens having debt proves that Melnyk loaded them with debt, not that they were losing cash operationally.

Repeating the same faulty conclusion doesn't make it true.

 

[Grizwald]

You do realize that he wasn't convicted of anything right?

Some of you should inform yourselves before speaking/typing.

And yes, Melnyk is an ass and I hope he sells the team real soon.

Sorry Dude. You should be more informed and do some research yourself. I realize Melnyk was never actually 'convicted' of anything. It doesn't mean he's not a fraud and a liar, though. And where I come from being a fraud + liar = crook.

 

[Grizwald]

I'm well aware of Melnyk's legal situation with the osc. I didn't ask the question because I don't know, I asked the question to try to get you to answer it to see if you know.

And for the record, I am not defending him. his relationship with the fanbase is imo irreparably broken and he needs to sell.

the problem with him selling is the recent info on debt. It's higher than I thought. that's not good.....trying to sell something that is losing cash operationally like that.

I totally agree. I consistently went to SENS games ever since Ottawa was awarded an expansion franchise, however Melnyk has driven me to a point where I just can't bring myself to give this man one more cent of my money - that occurred when he fired Cyril Leeder. I realize there are others here who can get past the ownership issues and still attend the hockey games, and this is the only way the SENS will survive in this city especially when it's being owned by Melnyk, and I respect that.

 

[JD1]

Sensung

[mod] frankly you post often about the Sens finances and you clearly do not understand corporate finance

the reason their is debt is because of what it takes to.operate the entire entity. He initially was reputed to have 75M in debt and it appears we are now well over 200

that increase in debt comes from the franchise not being able to sustain itself. You can argue that it comes from Melnyk not injecting cash but either way the root cause is the same which is not sustaining itself. It isn't a shell game,it's not fancy accounting where the Sens lose all the money and other legal entities make money.

and as a guy that hates Melnyk you should be very concerned. sports franchises are going to reach an inflection point and stop rising in value. we are at the point where fanbase are maxed out in terms of what we can pay to watch live sports. I think it would be very challenging to sell something for top dollar...in the 600 range...when it's evident it bleeds money and there's likely limited upside in franchise values. There are few Canadians with deep enough pockets to survive it

 

[slamigo]

Uh, JD1, legalized sports betting says hi. Sport franchises in NA are going way up in value.

 

[darnok]

Sorry Dude. You should be more informed and do some research yourself. I realize Melnyk was never actually 'convicted' of anything. It doesn't mean he's not a fraud and a liar, though. And where I come from being a fraud + liar = crook.

what does never actually 'convicted' mean?
Does it mean the authorities got it wrong but you know better? Maybe you should be subpoenaed.

 

[Sensung]

Sensung

frankly you post often about the Sens finances and you clearly do not understand corporate finance

Don't need to be an expert to see what is going on with the Sens.

the reason their is debt is because of what it takes to.operate the entire entity. He initially was reputed to have 75M in debt and it appears we are now well over 200

OR Eugene's personal finances have taken a hit and he us using the franchise as an ATM to maintain his lifestyle.

that increase in debt comes from the franchise not being able to sustain itself. You can argue that it comes from Melnyk not injecting cash but either way the root cause is the same which is not sustaining itself. It isn't a shell game,it's not fancy accounting where the Sens lose all the money and other legal entities make money.

You are speculating and ignoring other options which are backed by reputable sources.
You are willfully ignoring Melnyk's track record of dubious business practices and acting like poor revenue is the only possible source of debt. It's an illogical position to take.

and as a guy that hates Melnyk you should be very concerned. sports franchises are going to reach an inflection point and stop rising in value. we are at the point where fanbase are maxed out in terms of what we can pay to watch live sports. I think it would be very challenging to sell something for top dollar...in the 600 range...when it's evident it bleeds money and there's likely limited upside in franchise values. There are few Canadians with deep enough pockets to survive it

There are willing buyers and another group is about to drop 650M for a franchise...

Sorry, but only fool wouldn't ask themselves why they are doing so and why the Sens have willing buyers if the business model is so poor.

Something doesn't add up, so you might want to take a closer look at other viable alternatives to your theory.

 

[Blotto71]

I feel that Melnyk will strip this team to the barest of bones before he sells so he can wring every cent from it. Then once he collects the dollars from the next expansion he will sell for at least the same price (if not more, pointing to the already established pipeline of prospects).

Seattle can't join soon enough.

 

[Grizwald]

what does never actually 'convicted' mean?
Does it mean the authorities got it wrong but you know better? Maybe you should be subpoenaed.

You don't understand English? And if or when I'm severely punished by both the US and Ontario Security Exchange Commissions, then yes I will fully expect to be subpoenaed. Happy now?

 

[Wondercarrot]

In the race to **** on everything Melnyk there's been a ton of stuff written about him on these boards

The security cases against him are interesting to read. More people posting here should take the time to read that material

They are very interesting, especially the court documents that reveal many of the exchanges between the biovail board members, melnyk and the courts.
He comes off as unabashed liar and a complete dirtbag, not to mention the million dollar fine - being banned from holding executive positions in public companies for a decade.
He got the classic rich guy ‘admit no wrong doing’ large settlement deal.

 

[Wondercarrot]

Sensung

[mod] frankly you post often about the Sens finances and you clearly do not understand corporate finance

the reason their is debt is because of what it takes to.operate the entire entity. He initially was reputed to have 75M in debt and it appears we are now well over 200

that increase in debt comes from the franchise not being able to sustain itself. You can argue that it comes from Melnyk not injecting cash but either way the root cause is the same which is not sustaining itself. It isn't a shell game,it's not fancy accounting where the Sens lose all the money and other legal entities make money.

and as a guy that hates Melnyk you should be very concerned. sports franchises are going to reach an inflection point and stop rising in value. we are at the point where fanbase are maxed out in terms of what we can pay to watch live sports. I think it would be very challenging to sell something for top dollar...in the 600 range...when it's evident it bleeds money and there's likely limited upside in franchise values. There are few Canadians with deep enough pockets to survive it

That’s complete speculation on your part, you have no idea how much money melnyk has pulled out of his private company for other uses.

 

[Pangu]

He doesn't have to have committed crimes to be a bad person or a person that we do not like. Its enough to backstab the person who saved his life and merely wanted him to bring the cup to Ottawa. Its enough for me if he tried to evade Canadian taxes, while benefiting from Canadian schools and Canadian hospitals. It can also be enough if he mismanaged the Senators and mistreated his employees. Those things are not crimes, but they can all be seen as unethical behaviour that we are free to disapprove of.

 

[Pangu]

Sensung

[mod] frankly you post often about the Sens finances and you clearly do not understand corporate finance

the reason their is debt is because of what it takes to.operate the entire entity. He initially was reputed to have 75M in debt and it appears we are now well over 200

that increase in debt comes from the franchise not being able to sustain itself.

If the team isn't able to sustain itself, it is a wonder that those financial institutions would be willing to loan him hundreds of millions of additional dollars.

 

[Stylizer1]

If the team isn't able to sustain itself, it is a wonder that those financial institutions would be willing to loan him hundreds of millions of additional dollars.

Banks make slaves no matter who you are.

 

[Tuna99]

Melnyck has no one to market to. He’s ruined an entire fanbase by insulting us, insulting the players we cheer for, insulting the media, insulting his coaches, insulting the NHL, insulting the mayor, insulting our local institutions and playing his message in our main rivals market.

Melnyck is such a fool he’s ruined the one thing he says he loves and is rabid about - the Ottawa Senators. What a moron. What a fool.

Melnyck has money, but has no ones respect, no ones well wished and had zero empathy.

He’s a rich man with no wealth

 

[JD1]

That’s complete speculation on your part, you have no idea how much money melnyk has pulled out of his private company for other uses.

you are right...it is speculation

but borrowing money inside a corporate entity that you must pay tax on to get out is not how anyone would access cash.

if he needed money he could simply borrow it rather than borrow it corporately and then pay tax to access it

so yes, I am speculating but really I'm not. There's no way he is gaining access to personal funds in this manner.

 

[JD1]

If the team isn't able to sustain itself, it is a wonder that those financial institutions would be willing to loan him hundreds of millions of additional dollars.

the loans are likely guaranteed against the tv contracts

 

[darnok]

You don't understand English? And if or when I'm severely punished by both the US and Ontario Security Exchange Commissions, then yes I will fully expect to be subpoenaed. Happy now?

No, I guess I don't. I understood your comments as that although he wasn't convicted of fraud you believed he was guilty of fraud. So I wondered if you had some evidence the authorities hadn't considered. I guess you meant something else.

 

[Do Make Say Think]

Uh, JD1, legalized sports betting says hi. Sport franchises in NA are going way up in value.

I expect this to really harm smaller market teams in the end.

 

[QuattroFTW]

Can’t wait to see Melnykel & Dimers excuse when Sens attendance drops to the lowest in the league next season. No Hoffman, likely no Karlsson, and no draft pick as a consolation. Congrats Sens management for being pure garbage.

 

[Satoru Gojo]

Can’t wait to see Melnykel & Dimers excuse when Sens attendance drops to the lowest in the league next season. No Hoffman, likely no Karlsson, and no draft pick as a consolation. Congrats Sens management for being pure garbage.

Honestly Im hoping to see a lot of empty seats in the home opener

 

[bert]

I expect this to really harm smaller market teams in the end.

Please elaborate.