Negative business rumors can create problems on many levels. So the NJ Devils are taking great pains to try to distance themselves from a NY Post report that the team was close to filing for bankruptcy.
According to the Post’s story, the “attendance-challenged, heavily-indebted team missed its Sept. 1 loan payment, giving its lenders a breakaway chance to push the team into bankruptcy.” The story went on to cite a source that claimed the Devils “told their banks to get lost.”
“Today’s NY Post story is inaccurate. The notions that the Devils are facing bankruptcy or that ‘the Devils have told their banks to get lost’ are patently untrue,” the team said in a statement.
“The Devils value their relationship with their banks and are confident a refinancing will be completed shortly. As stated previously, ownership is close to finalizing an agreement that would lead to a buyout of (minority owner) Brick City’s share of the company.”
Additionally, a league source told ESPN.com said there are “many inaccuracies” in the article.
“Most significantly, that a bankruptcy filing is either imminent or being threatened” the source said.