THE VIRGINIAN-PILOT Copyright (c) 1995, Landmark Communications, Inc. DATE: Sunday, December 31, 1995 TAG: 9512310193 SECTION: SPORTS PAGE: C1 EDITION: FINAL SOURCE: BY HARRY MINIUM, STAFF WRITER LENGTH: Long : 111 lines
The CFL Pirates say they have paid off or have agreed to payment schedules with more than 60 vendors in Shreveport, La., and thus have fulfilled a promise made to Norfolk Mayor Paul Fraim earlier this month to make good on those debts by Jan. 1.
The Pirates, who have relocated their Canadian Football League team to Hampton Roads, say that about 60 vendors have been paid, and that two others have agreed to delayed payments.
Highland Hospital, which is owed $66,000, has agreed to a payment schedule extending through the spring. And Highland Clinic, which helped rehabilitate injured players, will be paid $25,000 it is owed later this week.
The remaining vendors received a total of about $100,000 in checks mailed last week, Pirates president Lonie Glieberman said.
``We have lived up to our obligations, which is something we should do,'' Glieberman said. ``Not many businesses lose $7 million over two years and pay all of their bills.''
Fraim declined to say whether the Pirates indeed kept their promise.
``Obviously, fiscal integrity is an issue with anyone you enter into a partnership with,'' he said. ``It's something City Council will have to consider.''
Privately, however, one source close to the Norfolk City Council expressed disappointment that the debts were not all paid immediately. ``We'd hoped everything would be cleared by the 1st,'' said the official, who asked not to be identified.
The City Council has been asked to fund $400,000 in improvements to Foreman Field, where the team hopes to play next season. The team must also sign a lease with Old Dominion University, which owns Foreman Field.
Sources say ODU athletic director Jim Jarrett, who has met five times with Pirates officials, has told Norfolk officials that he will not sign a lease with the Pirates until the city has given him the OK. So far, sources say, he hasn't been given the OK.
A random sampling of vendors, including some who complained bitterly about the Pirates as recently as two weeks ago, found none willing to complain after the checks were mailed.
Cary Camp, general manager of radio station KLKL, the Pirates' flagship station last season, has been one of the Pirates' harshest critics. But after several phone calls with Pirates owner Bernie Glieberman, he softened his stance.
The Pirates mailed three checks to KLKL, which they owed $17,300. Camp said he received a check for $7,300, another for $5,000 postdated to Jan. 1, and another for $5,000 postdated to Feb. 1.
``Bernie gave me his assurances that the checks are good,'' Camp said. ``He and I have talked frequently the last few weeks, and I feel that his money is good.
``I have zero problems with this arrangement. I feel like I've been paid in full.''
Lonie Glieberman said KLKL was the only vendor to receive postdated checks.
Rod Elder, administrator at Highland Hospital, said he is satisfied with the payment schedule, which was proposed by the hospital.
``We are comfortable with the arrangements that have been made,'' he said. When asked if he thought the Pirates were making a good-faith effort to pay all of their bills in Shreveport, he said: ``Yes, I do.''
So does Sherry Thompson, vice president of finance for J.B. Cable Ads Inc. ``We got their check and we're thrilled,'' she said. ``We didn't think we'd ever see it.''
Nonetheless, the Pirates are far from settling accounts in Shreveport. Mid-South Printing and Conco Concessions were mailed checks but dispute how much is owed.
Mid-South insists that the Pirates owe $3,000 more than the $14,000 they were paid. The Pirates have said they'll pay when Mid-South presents an itemized bill for services rendered.
Lonie Glieberman said Pirates executive vice president Bill Haase went through the team's books and could find no records to justify the higher billings from the two companies.
``If they can show us we owe the money, then we'll pay,'' he said.
Conco, meanwhile, has impounded about $40,000 worth of equipment owned by the Pirates, Lonie Glieberman said. He said he is trying to negotiate a settlement that will result in the equipment being released.
The team's biggest dispute is with the city of Shreveport, which claims that the Pirates owe more than $1.5 million, in part for breaking their lease. The dispute involves complicated contracts and likely will be settled in court.
A sign company has also demanded nearly $400,000 for building the scoreboard in Independence Stadium in Shreveport. The Pirates say their contract with the company calls for them to make payments of $5,400 per month, which they have been making.
Meanwhile, Lonie Glieberman said the Pirates are owed more than $80,000 pledged by Shreveport corporations.
``We're paying our bills, as we should, but I'm convinced that we'll never see a lot of the money we're owed,'' he said.
Shreveport, meanwhile, appears closer to landing a CFL team to replace the Pirates.
The Shreveport Times has reported that the Ark-La-Tex Football Association, a consortium of businessmen, will soon announce the purchase of the Birmingham Barracudas franchise.
Jim Kelly, the Barracudas' chief financial officer, apparently agreed to a purchase price with two representatives of the new group.
Shreveport Mayor Bo Williams has assured the new group that the Pirates won't be returning, in spite of the city's decision two weeks ago to ask the Pirates to return. That offer apparently was a legal maneuver to bolster the city's case in court.
``I hope the Ark-La-Tex group is successful,'' Lonie Glieberman said.
Little wonder. If the Barracudas move to Shreveport, the Pirates' bargaining position is expected to be strengthened, since the city would need to negotiate a lease with the new group to receive CFL approval. Before that could be done, a settlement with the Pirates would have to be reached. by CNB