Anchorage Sportsplex, Inc. (The Dome) Files for Chapter 11 Bankruptcy Protection
Despite significant improvement in revenues and reduction in costs,
Anchorage Sportsplex, Inc., a non-profit corporation that operates The Dome,
has filed for Chapter 11 bankruptcy protection in an effort to restructure
its long-term debt. The Dome will remain open during this process and there
will be no disruptions in facility use along the way.
Over the last two years, the Dome has seen increased utilization by a
diverse group of users, raised revenues through broadened promotional
efforts, and significantly reduced expenses through operating efficiencies.
These steps have increased revenues and expanded the facility¹s role as a
While annual revenues at the Dome now exceed operating expenses, when
combined with the debt payments, total expenses exceed revenues. This
challenge is compounded during the summer months when Dome¹s usage is down
but monthly debt payments are ongoing. In addition, the Dome continues to
struggle with the Municipality of Anchorage regarding its status as a
non-profit corporation and the Dome continues to be billed annual property
taxes in excess of $200,000 despite serving mostly community based
As a result, Anchorage Sportsplex, Inc. is initiating steps to restructure
its debt. These actions come after 20 months of ongoing discussions with the
primary creditors for the facility, and are an important step in
establishing a sustainable long-term financial structure that keeps the Dome
open and serving the Alaska community for generations to come. The end
result of this reorganization process will likely be a restructuring of the
debt on the facility, to a more sustainable model with a reduced monthly
obligation that reflects the seasonal nature of Dome revenues.
During this time of transition and moving ahead the Dome is committed to
maintaining its operations, rental programs, and other commitments.
Posted: June 7, 2010
More Latest News »