Detail, east Portland photo, courtesy Miles Hochstein / Portland Ground.

For old times' sake
The bojack bumper sticker -- only $1.50!

To order, click here.

Excellent tunes -- free! And on your browser right now. Just click on Radio Bojack!

E-mail us here.


This page contains a single entry from the blog posted on February 2, 2007 4:46 PM. The previous post in this blog was Super (slow) bowl. The next post in this blog is Big weekend. Many more can be found on the main index page or by looking through the archives.



Law and Taxation
How Appealing
TaxProf Blog
Mauled Again
Tax Appellate Blog
A Taxing Matter
Josh Marquis
Native America, Discovered and Conquered
The Yin Blog
Ernie the Attorney
Above the Law
The Volokh Conspiracy
Going Concern
Bag and Baggage
Wealth Strategies Journal
Jim Hamilton's World of Securities Regulation
World of Work
The Faculty Lounge
Lowering the Bar
OrCon Law

Hap'nin' Guys
Tony Pierce
Parkway Rest Stop
Along the Gradyent
Dwight Jaynes
Bob Borden
Dingleberry Gazette
The Red Electric
Iced Borscht
Jeremy Blachman
Dean's Rhetorical Flourish
Straight White Guy
As Time Goes By
Dave Wagner
Jeff Selis
Alas, a Blog
Scott Hendison
The View Through the Windshield
Appliance Blog
The Bleat

Hap'nin' Gals
My Whim is Law
Lelo in Nopo
Attorney at Large
Linda Kruschke
The Non-Consumer Advocate
10 Steps to Finding Your Happy Place
A Pig of Success
Attorney at Large
Margaret and Helen
Kimberlee Jaynes
Cornelia Seigneur
And Sew It Goes
Mile 73
Rainy Day Thoughts
That Black Girl
Posie Gets Cozy
Cat Eyes
Rhi in Pink
Ragwaters, Bitters, and Blue Ruin
Rose City Journal
Type Like the Wind

Portland and Oregon
Isaac Laquedem
Rantings of a [Censored] Bus Driver
Jeff Mapes
Vintage Portland
The Portlander
South Waterfront
Amanda Fritz
O City Hall Reporters
Guilty Carnivore
Old Town by Larry Norton
The Alaunt
Bend Blogs
Lost Oregon
Cafe Unknown
Tin Zeroes
David's Oregon Picayune
Mark Nelsen's Weather Blog
Travel Oregon Blog
Portland Daily Photo
Portland Building Ads
Portland Food and
Dave Knows Portland
Idaho's Portugal
Alameda Old House History
MLK in Motion

Retired from Blogging
Various Observations...
The Daily E-Mail
Saving James
Portland Freelancer
Furious Nads (b!X)
Izzle Pfaff
The Grich
Kevin Allman
AboutItAll - Oregon
Lost in the Details
Worldwide Pablo
Tales from the Stump
Whitman Boys
Two Pennies
This Stony Planet
1221 SW 4th
I am a Fish
Here Today
What If...?
Superinky Fixations
The Rural Bus Route
Another Blogger
Mikeyman's Computer Treehouse
Portland Housing Blog

Wonderfully Wacky
Dave Barry
Borowitz Report
Stuff White People Like
Worst of the Web

Valuable Time-Wasters
My Gallery of Jacks
Litterbox, On the Prowl
Litterbox, Bag of Bones
Litterbox, Scratch
Ride That Donkey
Singin' Horses
Rally Monkey
Simon Swears
Strong Bad's E-mail

Oregon News
The Oregonian
Portland Tribune
Willamette Week
The Sentinel
Southeast Examiner
Northwest Examiner
Sellwood Bee
Mid-County Memo
Vancouver Voice
Eugene Register-Guard
OPB - Portland
Salem Statesman-Journal
Oregon Capitol News
Portland Business Journal
Daily Journal of Commerce
Oregon Business
Portland Info Net
McMinnville News Register
Lake Oswego Review
The Daily Astorian
Bend Bulletin
Corvallis Gazette-Times
Roseburg News-Review
Medford Mail-Tribune
Ashland Daily Tidings
Newport News-Times
Albany Democrat-Herald
The Eugene Weekly
Portland IndyMedia
The Columbian

The Beatles
Bruce Springsteen
Joni Mitchell
Ella Fitzgerald
Steve Earle
Joe Ely
Stevie Wonder
Lou Rawls

E-mail, Feeds, 'n' Stuff

Friday, February 2, 2007

Bankrupt billionaire buyback

Paul Allen has reportedly signed a letter of intent to buy back the Rose Garden arena from the pension funds and other lenders that he flipped the bird to a few years back, declaring bankruptcy for his real estate company and walking away from his existing mortgage. Without the arena, Allen's Trail Blazer basketball team was an unspeakable, horrendous money-loser, as opposed to a simply awful one. With the new deal on the building in place, the Blazers are back on track for a return to sound, eight-digit-a-year losability.

It will be quite interesting to see the terms of the final deal, if one is indeed reached. I hope the lenders (who were, in part, investing my own pension funds) get a good pound of flesh out of the guy. When it comes to business sense, he's strictly Windows 95, and on this particular investment, he's behaved like a true schmo.

Comments (23)

There's a bunch of talk about "this guarantees that he'll keep the team in Portland." Hard to see how that's the case. It makes it somewhat less likely that he'll move the Blazers to Seattle, but with Allen -- literally -- there are no guarantees.

My first reaction was it's easier to sell them as a package than as distinct entities.

When are the Blazers leaving town? It can't be soon enough to suit me, then maybe we can get a real sport like women's curling. Generally, the best thing that could happen to pro B. Ball is to have manditory integration for all teams. Just maybe there then would be some player class and decorum.

"When it comes to business sense, he's strictly Windows 95"
You are too kind, try DOS 2.0

Funny how we don't hear anything anymore about "broken economic model."

Since the Hornets are definitely moving back to New Orleans in 2007-08, that leaves a hole in Oklahoma City. The Sonics' ownership won't get a dime out of the WA legislature (they asked for $300 million when the WA leg wouldn't even give Schultz $200 million), so when their Key Arena lease is up, they're off to OKC.

While some say that means the Blazers are bound for Seattle, I don't think it does. Apparently the Milwaukee Bucks are nearing the end of their lease and are having trouble getting a new arena deal. Unlike the Blazers, who have a no-move clause, the Bucks have no such clause.

So after the Sonics move to OKC, Allen sells the Blazers to a local group and buys the Bucks and moves to them to Seattle.

Winners in this scenario: Paul Allen, Oklahoma City, Seattle (who gets a local hero as owner) and Portland (because we're not owned by a whining loser anymore).

Losers in this scenario: Milwaukee (whatever).

It doesn't solve the Seattle arena problem, but if Allen wants to consolidate his assets in Seattle and get out of the Portland game, he could truly be the hero in Seattle and maybe leverage some of that goodwill into a new arena. Bellevue looks ripe for it, they're got the land, they're getting light rail in a few years, they're becoming a mini-downtown anyway, and most basketball fans are already on the East side of Lake Washington anyway. Seattle proper is mostly going the condo/transit route, like Portland. Sports arenas beyond the ones already built are not high on their priority list.

Allen sells the Blazers to a local group

This didn't work when it was Allen selling the team and a smart group of financial people simultaneously selling the building. Will it work when it's all Allen?

we can get a real sport like women's curling.... have manditory integration for all teams.

For you folks out there who are ready to jump on anything you don't like on this site, let the record show that I strongly disagree with both of those sentiments.

I just got a breathless e-mail from Steve Patterson, head of the Blazers. It's pretty much the same as what we heard this afternoon -- suddenly this development is the solution to everyone's problems, and we're supposed to be happy! happy! happy!

Other than that, it's interesting that he talks about "a letter of intent under which Paul Allen will acquire PAM, the owners of the Rose Garden." Sounds like a stock deal, rather than an asset deal, FWIW.

The e-mail raves on and on, including:

Now that we are a critical step closer to working within financial terms that can allow the team to succeed, we are eager to focus our energy on fulfilling our mission to make this franchise "The Pride of Portland" once again. This is a victory for the City of Portland, the Trail Blazers, and the NBA.

Whatever, bub. You could have done this two years ago, and spared us all the drama.

This is a good thing, Jack. It does repair the "broken financial model."

This city needs the Blazers. This news is a pretty good indication that the team will stay here.

That was always one of the objectives of the Terry Porter group, and I can say that the people involved are very encouraged by this news.

Good to hear, but if you can figure out this guy and his minions, you should get an immediate Ph.D. in psychiatry.

All today's sudden feel-good p.r. may just be a bargaining ploy. DOS Boy likes to think of himself as a smart businessman, which is laughable. As I say, it will be quite interesting to see what kind of deal, if any, emerges from this.

To those of us who have suffered through all of Microsoft's operating systems, I think the appropriate comparison to Allen's business sense is Windows Millenium Edition.

To those of us who have suffered through all of Microsoft's operating systems, I think the appropriate comparison to Allen's business sense is Windows Millenium Edition.
JK: And competency is Linux.


"The Pride of Portland" Sorry Blazers but that title now goes to The Tram.

The value of the team has dropped dramatically since Paul Allen and his minions gave up ownership of the building. The crappy personnel decisions did not help the value either.

The bottom line is though Global Spectrum has been a better manager of the Rose Garden than Vulcan. They put money into upgrades when Vulcan did not, Mike Scanlon has come into this community and mad a difference, plus the events at the Rose Garden have been more varied and plentiful since Global Spectrum has been in place.

What this means in regards to Allen owning the team in the future or moving the team remains to be seen. I do not believe that the Blazers have ever been locally owned. Larry Weinberg was from El Lay, and Allen is from Washington.

I have said before we as Portlanders are lucky in a sense that we have a wealthy owner and that for the majority of the time he has owned the team, he has lavished the wealth on his team (the private jet, the arena built with a large portion of his funds, spending on salaries over the salary cap) but him and the Vulcans have also made a bunch of decisions that have been bad for the community and the team.

"This city needs the Blazers" - Kremer.

No, it doesn't.

Paul Allen is the George W. Bush of Microsoft Billionaires...

Paul Allen's buying the stadium back is very nice. Having one major-league team in Portland is good for many residents. The Blazers now have good players, a good coach, and good management.

Two out of three ain't bad. I'd give management an A for this semester, but a career GPA of about a C.


I think it flunked out during the Whitsitt years. I think it's back though, maybe on probation.

Allen cannot own his black basketball players, and own his racist LIARS Larson, in the same town. One 'property' or the other has to go.

The Blazers still exist? What the heck do we need them for, now that we have a Roller Derby League?

This was something that was long over due. It is something in which it is used a number of times in the business world. Sure there were some people that got short changed, but that was the risk they were taking when they loned him the funds.
If I was in the same situation, I would do the same. I first would try to reason with the lenders, something in which I do believe Paul did but then I would file.

I believe it was the lenders who were trying to reason with Allen, not vice versa. Under the lease he has now, he has lost tons more on the team than he ever needed to. And I'll bet he won't get much of a deal on the building if indeed he does buy it back. The people who are managing the arena now are doing a much better job than he ever did.

The institutional investment groups that made this loan are extraordinarily smart and powerful. TIAA-CREF has $300 billion in assets under management. In contrast, Paul Allen has pretty much proven himself to be quite a boob when it comes to money.


As a lawyer/blogger, I get
to be a member of:

In Vino Veritas

Lange, Pinot Gris 2015
Kiona, Lemberger 2014
Willamette Valley, Pinot Gris 2015
Aix, Rosé de Provence 2016
Marchigüe, Cabernet 2013
Inazío Irruzola, Getariako Txakolina Rosé 2015
Maso Canali, Pinot Grigio 2015
Campo Viejo, Rioja Reserva 2011
Kirkland, Côtes de Provence Rosé 2016
Cantele, Salice Salentino Reserva 2013
Whispering Angel, Côtes de Provence Rosé 2013
Avissi, Prosecco
Cleto Charli, Lambrusco di Sorbara Secco, Vecchia Modena
Pique Poul, Rosé 2016
Edmunds St. John, Bone-Jolly Rosé 2016
Stoller, Pinot Noir Rosé 2016
Chehalem, Inox Chardonnay 2015
The Four Graces, Pinot Gris 2015
Gascón, Colosal Red 2013
Cardwell Hill, Pinot Gris 2015
L'Ecole No. 41, Merlot 2013
Della Terra, Anonymus
Willamette Valley, Dijon Clone Chardonnay 2013
Wraith, Cabernet, Eidolon Estate 2012
Januik, Red 2015
Tomassi, Valpolicella, Rafaél, 2014
Sharecropper's Pinot Noir 2013
Helix, Pomatia Red Blend 2013
La Espera, Cabernet 2011
Campo Viejo, Rioja Reserva 2011
Villa Antinori, Toscana 2013
Locations, Spanish Red Wine
Locations, Argentinian Red Wine
La Antigua Clásico, Rioja 2011
Shatter, Grenache, Maury 2012
Argyle, Vintage Brut 2011
Abacela, Vintner's Blend #16 Abacela, Fiesta Tempranillo 2014
Benton Hill, Pinot Gris 2015
Primarius, Pinot Gris 2015
Januik, Merlot 2013
Napa Cellars, Cabernet 2013
J. Bookwalter, Protagonist 2012
LAN, Rioja Edicion Limitada 2011
Beaulieu, Cabernet, Rutherford 2009
Denada Cellars, Cabernet, Maipo Valley 2014
Marchigüe, Cabernet, Colchagua Valley 2013
Oberon, Cabernet 2014
Hedges, Red Mountain 2012
Balboa, Rose of Grenache 2015
Ontañón, Rioja Reserva 2015
Three Horse Ranch, Pinot Gris 2014
Archery Summit, Vireton Pinot Gris 2014
Nelms Road, Merlot 2013
Chateau Ste. Michelle, Pinot Gris 2014
Conn Creek, Cabernet, Napa 2012
Conn Creek, Cabernet, Napa 2013
Villa Maria, Sauvignon Blanc 2015
G3, Cabernet 2013
Chateau Smith, Cabernet, Washington State 2014
Abacela, Vintner's Blend #16
Willamette Valley, Rose of Pinot Noir, Whole Clusters 2015
Albero, Bobal Rose 2015
Ca' del Baio Barbaresco Valgrande 2012
Goodfellow, Reserve Pinot Gris, Clover 2014
Lugana, San Benedetto 2014
Wente, Cabernet, Charles Wetmore 2011
La Espera, Cabernet 2011
King Estate, Pinot Gris 2015
Adelsheim, Pinot Gris 2015
Trader Joe's, Pinot Gris, Willamette Valley 2015
La Vite Lucente, Toscana Red 2013
St. Francis, Cabernet, Sonoma 2013
Kendall-Jackson, Pinot Noir, California 2013
Beaulieu, Cabernet, Napa Valley 2013
Erath, Pinot Noir, Estate Selection 2012
Abbot's Table, Columbia Valley 2014
Intrinsic, Cabernet 2014
Oyster Bay, Pinot Noir 2010
Occhipinti, SP68 Bianco 2014
Layer Cake, Shiraz 2013
Desert Wind, Ruah 2011
WillaKenzie, Pinot Gris 2014
Abacela, Fiesta Tempranillo 2013
Des Amis, Rose 2014
Dunham, Trautina 2012
RoxyAnn, Claret 2012
Del Ri, Claret 2012
Stoppa, Emilia, Red 2004
Primarius, Pinot Noir 2013
Domaines Bunan, Bandol Rose 2015
Albero, Bobal Rose 2015
Deer Creek, Pinot Gris 2015
Beaulieu, Rutherford Cabernet 2013
Archery Summit, Vireton Pinot Gris 2014
King Estate, Pinot Gris, Backbone 2014
Oberon, Napa Cabernet 2013
Apaltagua, Envero Carmenere Gran Reserva 2013
Chateau des Arnauds, Cuvee des Capucins 2012
Nine Hats, Red 2013
Benziger, Cabernet, Sonoma 2012
Roxy Ann, Claret 2012
Januik, Merlot 2012
Conundrum, White 2013
St. Francis, Sonoma Cabernet 2012

The Occasional Book

Phil Stanford - Rose City Vice
Kenneth R. Feinberg - What is Life Worth?
Kent Haruf - Our Souls at Night
Peter Carey - True History of the Kelly Gang
Suzanne Collins - The Hunger Games
Amy Stewart - Girl Waits With Gun
Philip Roth - The Plot Against America
Norm Macdonald - Based on a True Story
Christopher Buckley - Boomsday
Ryan Holiday - The Obstacle is the Way
Ruth Sepetys - Between Shades of Gray
Richard Adams - Watership Down
Claire Vaye Watkins - Gold Fame Citrus
Markus Zusak - I am the Messenger
Anthony Doerr - All the Light We Cannot See
James Joyce - Dubliners
Cheryl Strayed - Torch
William Golding - Lord of the Flies
Saul Bellow - Mister Sammler's Planet
Phil Stanford - White House Call Girl
John Kaplan & Jon R. Waltz - The Trial of Jack Ruby
Kent Haruf - Eventide
David Halberstam - Summer of '49
Norman Mailer - The Naked and the Dead
Maria Dermoȗt - The Ten Thousand Things
William Faulkner - As I Lay Dying
Markus Zusak - The Book Thief
Christopher Buckley - Thank You for Smoking
William Shakespeare - Othello
Joseph Conrad - Heart of Darkness
Bill Bryson - A Short History of Nearly Everything
Cheryl Strayed - Tiny Beautiful Things
Sara Varon - Bake Sale
Stephen King - 11/22/63
Paul Goldstein - Errors and Omissions
Mark Twain - A Connecticut Yankee in King Arthur's Court
Steve Martin - Born Standing Up: A Comic's Life
Beverly Cleary - A Girl from Yamhill, a Memoir
Kent Haruf - Plainsong
Hope Larson - A Wrinkle in Time, the Graphic Novel
Rudyard Kipling - Kim
Peter Ames Carlin - Bruce
Fran Cannon Slayton - When the Whistle Blows
Neil Young - Waging Heavy Peace
Mark Bego - Aretha Franklin, the Queen of Soul (2012 ed.)
Jenny Lawson - Let's Pretend This Never Happened
J.D. Salinger - Franny and Zooey
Charles Dickens - A Christmas Carol
Timothy Egan - The Big Burn
Deborah Eisenberg - Transactions in a Foreign Currency
Kurt Vonnegut Jr. - Slaughterhouse Five
Kathryn Lance - Pandora's Genes
Cheryl Strayed - Wild
Fyodor Dostoyevsky - The Brothers Karamazov
Jack London - The House of Pride, and Other Tales of Hawaii
Jack Walker - The Extraordinary Rendition of Vincent Dellamaria
Colum McCann - Let the Great World Spin
Niccolò Machiavelli - The Prince
Harper Lee - To Kill a Mockingbird
Emma McLaughlin & Nicola Kraus - The Nanny Diaries
Brian Selznick - The Invention of Hugo Cabret
Sharon Creech - Walk Two Moons
Keith Richards - Life
F. Sionil Jose - Dusk
Natalie Babbitt - Tuck Everlasting
Justin Halpern - S#*t My Dad Says
Mark Herrmann - The Curmudgeon's Guide to Practicing Law
Barry Glassner - The Gospel of Food
Phil Stanford - The Peyton-Allan Files
Jesse Katz - The Opposite Field
Evelyn Waugh - Brideshead Revisited
J.K. Rowling - Harry Potter and the Sorcerer's Stone
David Sedaris - Holidays on Ice
Donald Miller - A Million Miles in a Thousand Years
Mitch Albom - Have a Little Faith
C.S. Lewis - The Magician's Nephew
F. Scott Fitzgerald - The Great Gatsby
William Shakespeare - A Midsummer Night's Dream
Ivan Doig - Bucking the Sun
Penda Diakité - I Lost My Tooth in Africa
Grace Lin - The Year of the Rat
Oscar Hijuelos - Mr. Ives' Christmas
Madeline L'Engle - A Wrinkle in Time
Steven Hart - The Last Three Miles
David Sedaris - Me Talk Pretty One Day
Karen Armstrong - The Spiral Staircase
Charles Larson - The Portland Murders
Adrian Wojnarowski - The Miracle of St. Anthony
William H. Colby - Long Goodbye
Steven D. Stark - Meet the Beatles
Phil Stanford - Portland Confidential
Rick Moody - Garden State
Jonathan Schwartz - All in Good Time
David Sedaris - Dress Your Family in Corduroy and Denim
Anthony Holden - Big Deal
Robert J. Spitzer - The Spirit of Leadership
James McManus - Positively Fifth Street
Jeff Noon - Vurt

Road Work

Miles run year to date: 113
At this date last year: 155
Total run in 2016: 155
In 2015: 271
In 2014: 401
In 2013: 257
In 2012: 129
In 2011: 113
In 2010: 125
In 2009: 67
In 2008: 28
In 2007: 113
In 2006: 100
In 2005: 149
In 2004: 204
In 2003: 269

Clicky Web Analytics