Creditors are not pleased but have generally accepted a bail-out plan for the deeply in debt Ski-VM, which organized last winter’s Nordic World Championships in skiing and ski jumping. The organization ended up around NOK 37 million in debt, and couldn’t pay all its outstanding bills.
A total of 114 creditors were still waiting for their money when they were informed of Ski-VM‘s financial problems. All of those owed NOK 40,000 (USD 4,000) or less will be reimbursed fully. Those owed more than that will first be paid half of the amount over NOK 40,000 and then another 7 percent in a later payment.
The city of Trondheim, which owns 10 percent of Ski-VM, is pitching in to help it pay Ski-VM’s bills, especially to one creditor that’s owed a large amount and had objected to the bail-out plan. Other creditors reluctantly went along with the plan, since the results of any bankruptcy case in court were unclear and would have led to further costs.
“It’s important for us to contribute towards creditors getting their money back, and bringing an end to this,” Kjetil Reinskou, head of finance in the Trondheim city government, told state broadcaster NRK on Thursday.
Other owners of Ski-VM include Norges Skiforbund (Norway’s national skiing federation) with 60 percent and the local skiing organization Sør-Trøndelag skikrets. Both have warned of cuts within their own operations because of Ski-VM‘s debts after the championships ended with both lots of gold medals to Norwegians and a ski-jumping scandal.
NewsinEnglish.no staff
