WTVP has announced that the station is saved.
You’ve done it! You’ve saved your public television station from extinction, and we will be forever grateful!! Thanks to the generosity of families and individuals in over 6,400 households in Central Illinois, we received over $2 million in pledges that allowed us to avoid going dark and to settle the long term debt crisis that was facing the station. […] Thanks to National City Bank and the Illinois Facilities Fund for their confidence in the future of WTVP.
The Journal Star adds this information:
Ultimately, the $7.2 million in debt was settled for $5.25 million. National City Bank and the Illinois Facilities Fund Bank teamed up to provide a $2 million mortgage, which cuts the station’s annual debt service from $1.3 million to $192,000.
Wow, what a sweet deal! Let this be a lesson to all you who overextend yourselves in debt: It pays. It pays big.
It looks like I won’t be able to pick up any of their bargain-priced equipment at auction. But the good news is that John Morris has a job to go back to after all.
On a serious note, I’m glad to have them remain on the air, but I worry about the management of the station after this debacle. It’s nice that viewers bailed them out, but maybe now that the crisis is over some changes in management should be made.
Good! Now, someone throw Chet Tomcyzk out the door for causing THIS, near, disaster.
They overextended themselves from the start. The suggestion was made when relocating that they should make the building taller and add condos or apartments above to help supplement, but they did not listen. I am sure they are wishing they had the income now. I am glad they are still on the air, but this large amount of money needed so quickly may take away from others’ fundraising efforts. New Management is much needed!
I expect some resignations. Not that I have any authority to demand them but it would seem proper for them to do so. The management of this whole affair from start to finish has been an example of ineptitude.
In other news… Bank of America wants a farkin bailout. http://www.nytimes.com/2008/02/23/business/23housing.html?_r=2&ref=business&pagewanted=all&oref=slogin
I say, short the SOBs.
Can anyone figure out what National City had to gain by accepting a loss like this? There is still more to this story.
Good will in the area for “saving” the station and a $2M lien against a property worth more than that. With the other mortgage out of the way, they are sitting in a good financial position on this loan.
Good job WTVP! Now you guys can get back to running a station. This is a great asset for our community.
I don’t think it was Chet or John that made bad decisions, if anything it was the board that wanted to move the station from Bradley.
I see where a principle in the WTVP administration has just resigned… hmmm…. what are we going to find out in the future about this?
Something still smells on the riverfront and it ain’t dead fish.