Mark Brunell - Chapter 11 (1 Viewer)

[Don Quixote]

I agree, give me a few million dollars and id throw it into a bank and live off the interest. If I could get even 4 or 5 percent id live like a king.

FDIC limit is $100k. So if it was one of the banks that failed in 2008/2009, you'd be in pretty bad shape now.

There are services that will take your 10 million and split it up among 100 banks to get full coverage.

I'm sure there are, but poster I was responding to said "a bank."

1) The FDIC limit is $250K, not $100k. The insurance limit was slated to roll back to $100,000 Jan. 1, 2010, but Congress extended deadline through Dec. 31, 2013. As things stand now, the standard insurance coverage will revert to $100,000 per depositor Jan. 1, 2014. (Not to mention the FDIC Transaction Account Guarantee Program provides full deposit insurance coverage for all funds in non-interest-bearing transaction deposit accounts for participating institutions through June 30, 2010.)

Also, the FDIC provides separate insurance coverage for deposit accounts held in different categories of ownership. You may qualify for more than $250,000 in coverage at one insured bank if you own deposit accounts in different categories (i.e.- joint accounts, retirement, etc.).

2) CDARS are covered up to $50 Million in FDIC insurance. They are opened and managed by the customer dealing with just one aka "a" bank.

I stand corrected.

 

[NeverEnough]

Disgusting. $52 mil & you have nothing?

Give me $52 mil & I'll show you how to be an adult.

 

[Sweet Love]

The reality is, when you make $50+ million over a 15 year period, you do not "invest" in anything. You throw it into super, super, low risk stuff (i.e. treasury strips and the crap gandma used to give you as a kid) and live off the interest...why this is so confusing, I have no idea.

Glad you've got it figured out. When did you make your $50 million?

I haven't yet...I am just one of those guys that swindles people out of their money and know sound from dumb...

 

[Sweet Love]

[The reality is, when you make $50+ million over a 15 year period, you do not "invest" in anything. You throw it into super, super, low risk stuff (i.e. treasury strips and the crap gandma used to give you as a kid) and live off the interest...why this is so confusing, I have no idea.

If you're living off interest, you 'invested' in something.

True, but I think you get my point...I have no axe to grind with the man, but he tried to parlay X into Y and got burned. Would the world feel sorry for me if I had $1k and put it into a stock and lost it all?

 

[massraider]

[The reality is, when you make $50+ million over a 15 year period, you do not "invest" in anything. You throw it into super, super, low risk stuff (i.e. treasury strips and the crap gandma used to give you as a kid) and live off the interest...why this is so confusing, I have no idea.

If you're living off interest, you 'invested' in something.

True, but I think you get my point...I have no axe to grind with the man, but he tried to parlay X into Y and got burned. Would the world feel sorry for me if I had $1k and put it into a stock and lost it all?

Not sure too many people are feeling sorry for him.Just as I would understand how it was possible that you lost your money, I understand how people lost their money over the last 2-3 years. Not everyone that lost their shirt in real estate was stupid, just like not everyone who invested with Madoff was stupid. There were real estate investors that lost everything in failed developments, or condo projects. Some were speculators, that didn't see the bottom falling out (pretty large group there), and some were investors that should have diversified. That latter group might be guilty of greed. And some invested in BS mortgage-backed securities that they were told were solid bets by rating agencies that were supposed to be trustworthy--and weren't. I also like how everyone seems to be under the assumption that Brunell received 50 mill, tax-free, 20 years ago. Break down the actual money he received, when he got it, subtract taxes and agent fees, subtract living expenses (this is where everyone asks how much a 1-bedroom apartment in Jacksonville costs, right?) and the interest isn't that impressive anymore. Not for nothing, but there are safe ways to invest without doing the monetary equivalent of sewing it into your mattress. Bottom line: Smarter people than Brunell got burned, and while I don't feel bad for him, I understand how it could happen.

 

[Lake Titicaca]

[The reality is, when you make $50+ million over a 15 year period, you do not "invest" in anything. You throw it into super, super, low risk stuff (i.e. treasury strips and the crap gandma used to give you as a kid) and live off the interest...why this is so confusing, I have no idea.

If you're living off interest, you 'invested' in something.

True, but I think you get my point...I have no axe to grind with the man, but he tried to parlay X into Y and got burned. Would the world feel sorry for me if I had $1k and put it into a stock and lost it all?

Not sure too many people are feeling sorry for him.Just as I would understand how it was possible that you lost your money, I understand how people lost their money over the last 2-3 years. Not everyone that lost their shirt in real estate was stupid, just like not everyone who invested with Madoff was stupid. There were real estate investors that lost everything in failed developments, or condo projects. Some were speculators, that didn't see the bottom falling out (pretty large group there), and some were investors that should have diversified. That latter group might be guilty of greed. And some invested in BS mortgage-backed securities that they were told were solid bets by rating agencies that were supposed to be trustworthy--and weren't. I also like how everyone seems to be under the assumption that Brunell received 50 mill, tax-free, 20 years ago. Break down the actual money he received, when he got it, subtract taxes and agent fees, subtract living expenses (this is where everyone asks how much a 1-bedroom apartment in Jacksonville costs, right?) and the interest isn't that impressive anymore. Not for nothing, but there are safe ways to invest without doing the monetary equivalent of sewing it into your mattress. Bottom line: Smarter people than Brunell got burned, and while I don't feel bad for him, I understand how it could happen.

I'm not sure where the piling on comes from, especially the personal stuff- Brunell's always seemed like a good guy. This sounds like a combination of lousy luck and poor investment - hard to say whether or not he was also some kind of spendthrift, but that would certainly seem at odds with his public persona; he's not exactly Allen Iverson.

 

[fatness]

This sounds like a combination of lousy luck and poor investment - hard to say whether or not he was also some kind of spendthrift, but that would certainly seem at odds with his public persona; he's not exactly Allen Iverson.

That's what's wrong with putting much faith in public personas.

 

[buck naked]

Where's your God now Mark?

You're a moron.

 

[buck naked]

As a commercial litigation attorney, I've seen alot of businessmen and good people over the past 2 years get slammed and bankrupted by the collapse of the real estate market. He probably overextended himself into real estate and failed to properly diversify his assets. I'm not surprised at all to see this happen. Many people have suffered a similar fate.

 

[Lake Titicaca]

This sounds like a combination of lousy luck and poor investment - hard to say whether or not he was also some kind of spendthrift, but that would certainly seem at odds with his public persona; he's not exactly Allen Iverson.

That's what's wrong with putting much faith in public personas.

Certainly, but this wasn't a guy known for throwing lavish Vegas birthday parties, etc. Maybe he was lavish in other ways. I'm suspecting, however, that he just wasn't diversified, and possibly that he also took on poor business partners. He sounds like he was stand-up in trying to salvage his partnership with his own funds, so . . .But you're right, who really knows?

 

[msommer]

Maybe he put his assets in his wife's name

 

[massraider]

Maybe he put his assets in his wife's name

Ha, that's the other notion.People declare bankruptcy without having lost all their money. Maybe he just wanted to stop paying for those bad loans before he lost all his money.

 

[H.K.]

As a commercial litigation attorney, I've seen alot of businessmen and good people over the past 2 years get slammed and bankrupted by the collapse of the real estate market. He probably overextended himself into real estate and failed to properly diversify his assets. I'm not surprised at all to see this happen. Many people have suffered a similar fate.

Agreed, the lack of diversification is surprising. I don't get what he was doing outside of the LLC allowing for personal exposure, either.

 

[SuperJohn96]

What an idiot.

A lot of people lost money in the real estate market over the past few years. Brunell not the first or the last.

Link to where I said those people weren't idiots.

 

[Don Quixote]

What an idiot.

A lot of people lost money in the real estate market over the past few years. Brunell not the first or the last.

Link to where I said those people weren't idiots.

I don't think I accused you of any hypocrisy.

 

[wflcommissioner]

Where's your God now Mark?

Faith in God has absolutely zero to do with whether bad things happen to people. Faith in God doesn't excuse any Christian from the same hardships that the rest of the world goes through. People who have faith in God still get cancer, still have children that die unexpectedly, still get in car wrecks, and still have fantasy football teams that finish last in their league. My guess would be, and I don't know a whole lot about Brunell but I do know he does claim to have a very strong faith, that his God is still in the same place he was prior to the bankruptcy, and that is a first priority in his life. I don't suspect that has changed. Sounds to me like he made some really lousy business decisions that a lot of people (faith or no-faith) have done in real estate over the last 5 years. I don't see where faith has anything to do with the bankruptcy....just my opinion. Thanks for letting me reply. It's all good....

 

[TommyGilmore]

Where's your God now Mark?

Faith in God has absolutely zero to do with whether bad things happen to people.

....which is why the guy said "Where's your God now".Because many Christians DO believe that their faith affects whether bad things happen to people. They think that because they are devout believers, God will bless their real estate and protect them from bad investments.Is Mark Brunell one of those types? I don't know. But I bet a lot of people think he is.

 

[SuperJohn96]

What an idiot.

A lot of people lost money in the real estate market over the past few years. Brunell not the first or the last.

Link to where I said those people weren't idiots.

I don't think I accused you of any hypocrisy.

Ah, I see...so you're just saying there are a lot of idiots out there.

 

[Lake Titicaca]

Where's your God now Mark?

Faith in God has absolutely zero to do with whether bad things happen to people.

....which is why the guy said "Where's your God now".Because many Christians DO believe that their faith affects whether bad things happen to people. They think that because they are devout believers, God will bless their real estate and protect them from bad investments.

Is Mark Brunell one of those types? I don't know. But I bet a lot of people think he is.

This is why this is irrelevant. Stupid comment. If he was out advocating a faith-for-fun-and-profit message, then it would be different.

Plasma obviously hates religion and decided to use this as an extremely tangential excuse to voice it.

 

[TheWheel]

Casualty of the burst bubble.

 

[PlasmaDogPlasma]

Where's your God now Mark?

Faith in God has absolutely zero to do with whether bad things happen to people.

....which is why the guy said "Where's your God now".Because many Christians DO believe that their faith affects whether bad things happen to people. They think that because they are devout believers, God will bless their real estate and protect them from bad investments.

Is Mark Brunell one of those types? I don't know. But I bet a lot of people think he is.

This is why this is irrelevant. Stupid comment. If he was out advocating a faith-for-fun-and-profit message, then it would be different.

Plasma obviously hates religion and decided to use this as an extremely tangential excuse to voice it.

I used to rent a room in my house out to a priest and sometimes when some little thing would go wrong for him I would yell "Where's your God now?". He thought it was funny. Of course he didn't have a stick in an uncomfortable place.

 

[ookook]

Clearly, his God is punishing him for not giving ENOUGH to the Church.

If he had, his invenstments would be solid gold.

 

[Lake Titicaca]

Where's your God now Mark?

Faith in God has absolutely zero to do with whether bad things happen to people.

....which is why the guy said "Where's your God now".Because many Christians DO believe that their faith affects whether bad things happen to people. They think that because they are devout believers, God will bless their real estate and protect them from bad investments.

Is Mark Brunell one of those types? I don't know. But I bet a lot of people think he is.

This is why this is irrelevant. Stupid comment. If he was out advocating a faith-for-fun-and-profit message, then it would be different.

Plasma obviously hates religion and decided to use this as an extremely tangential excuse to voice it.

I used to rent a room in my house out to a priest and sometimes when some little thing would go wrong for him I would yell "Where's your God now?". He thought it was funny. Of course he didn't have a stick in an uncomfortable place.

Cool story, bro, however I don't see how your personal relationship and understanding with one person applies to comments made at large on a message board, especially one well known to be rife with religion-bashing trolls. Incidentally, I'm not churchgoing but I certainly am respectful towards others' beliefs, so this aspect of this board tends to annoy me.

 

[Jason Wood]

Guys,

This isn't the place for discussions about the man's faith. There are 9,217 threads devoted to those kinds of debates in the Free for All, if you're so inclined.

 

[34=Sweetness]

Disgusting. $52 mil & you have nothing?Give me $52 mil & I'll show you how to be an adult.

He got burned in the real estate market trying to increase his money. I don't think he was spending it on liquor and strippers.

 

[H.K.]

Disgusting. $52 mil & you have nothing?

Give me $52 mil & I'll show you how to be an adult.

He got burned in the real estate market trying to increase his money. I don't think he was spending it on liquor and strippers.

A little more info:

According to Brunell's bankruptcy filing that First Coast News has obtained, the nature of the debts is marked as primarily business debts. Brunell's assets are estimated to be between $1 to $10 million opposed to his estimated liabilities at $10 to $50 million, according to the paperwork. The debt is forcing him to give up his Whataburger restaurants and restructure his finances.

 

[TommyGilmore]

Guys,This isn't the place for discussions about the man's faith. There are 9,217 threads devoted to those kinds of debates in the Free for All, if you're so inclined.

And yet it's perfectly OK to discuss rape accusations, bar fights, and shootings involving someone's cousin.

 

[FavreCo]

Joe Haden Draped in Jewelry at Rookie Symposium --

Tue Jun 29, 2010 --from FFMastermind.com

•NFL.com’s Steve Wyche reports Cleveland Browns first-round draft pick CB Joe Haden showed up at the NFL Rookie Symposium draped in jewelry looking like Mr. T.



They never learn. This guy will be broke in 15 years....if he is lucky to have a 10 year NFL career.

 

[Hooper31]

This kind of thing sickens me. He should be set for life and have generational wealth to provide his kids and future grandchildren. Inexcusable.

My parents weren't obligated to provide a lifetime of financial security for me, and I'm a better person for it.

 

[KCC]

This kind of thing sickens me. He should be set for life and have generational wealth to provide his kids and future grandchildren. Inexcusable.

My parents weren't obligated to provide a lifetime of financial security for me, and I'm a better person for it.

Honest question: How do you know that?

 

[massraider]

Even Brunell thinks Dermontti needs to be smarter with his money:

Dermontti Dawson deals with nearly $70 million in debtPosted by Gregg Rosenthal on July 2, 2010 12:22 PM ETLongtime great Steelers center Dermontti Dawson can feel Mark Brunell's bankruptcy pain.Dawson, in fact, dug himself a far greater financial hole than Brunell over the years. A finalist in the voting for the Pro Football Hall of Hame the last two years, Dawson filed for bankruptcy this week. He has liabilities totaling $69.659 million. He has assets totaling $1.417 million.The filing indicates Dawson owes many business partners, primarily in real estate."Today's real estate market and economic conditions, plus the fact that I own non-controlling minority interests in the entities which own the real estate, left me with limited options," Dawson said. "I certainly wish things had turned out differently and look forward to continuing my contributions to this community."It's a sad, sobering story about a man that by all accounts is a valued and highly respected member of his community. Current NFL players would be wise to keep Dawson's plight in mind as they try to grow their small fortunes.

 

[Daywalker]

Sure Brunnell will have various opportunities to coach in some capacity in the NFL or college. Making good scratch and talking football all day. Wouldn't feel sorry for him.

 

[Hooper31]

This kind of thing sickens me. He should be set for life and have generational wealth to provide his kids and future grandchildren. Inexcusable.

My parents weren't obligated to provide a lifetime of financial security for me, and I'm a better person for it.

Honest question: How do you know that?

IMO things given as opposed to earned leads to a sense of entitlement. Do you disagree?

 

[Rockchild]

This kind of thing sickens me. He should be set for life and have generational wealth to provide his kids and future grandchildren. Inexcusable.

My parents weren't obligated to provide a lifetime of financial security for me, and I'm a better person for it.

Honest question: How do you know that?

IMO things given as opposed to earned leads to a sense of entitlement. Do you disagree?

Maybe but I'd like to try the given side for the next 40 or so years and I'll get back to you. It's too bad that he has to declare bankruptcy but he's not the first person for it to happen to even after making so much money. What's the worst thing that has to happen to him now-he has to find a job? Most of us have to work for a living and we survive so I'm sure he'll be fine.

 

[CletiusMaximus]

Mark Brunell declares bankruptcy

Posted by Mike Florio on June 25, 2010 8:35 AM ET

For the second time in less than three years, a former NFL starting quarterback has sought protection not from five offensive linemen, but from the eleventh chapter of the U.S. bankruptcy laws.

The last time around, it was Mike Vick. This time, it's Mark Brunell.

Abel Harding of the Florida Times-Union reports that Brunell plans to make the filing today, despite earning $52 million during his career.

The tipping point seems to be multiple lawsuits resulting from failed business loans for which Brunell and others co-signed. The fact, however, that the total liability under those claims falls in the neighborhood of $3.3 million suggests that Brunell hasn't squirreled away much, if any, of the money he made while playing. To qualify for bankruptcy protection, assets can't exceed debts. Thus, Brunell necessarily has less money than he owes.

The filing will trigger an automatic stay of all pending litigation. Then, the process converts into an effort to identify Brunell's non-exempt assets and to distribute them to creditors based on priority. Eventually, a plan is approved for repaying as much of the debts as possible.

Typically, some creditors end up getting pennies on the dollar, or nothing at all.

There's also a chance that the filing will be converted into a full-blown liquidation under Chapter 7, where Brunell basically comes out of the process with the shirt on his back and the roof over his head, and everything else goes to creditors.

He reportedly plans to sign with the Jets on or after July 22, when the rules of the "Final Eight Plan" expire. It remains to be seen whether the Jets will choose to follow through on their interest, given that Brunell necessarily brings to Broadway the kind of baggage that some teams would prefer to avoid.

I would like to read more about the bolded when additional information is available.

The first bolded sentence is false, and the second doesn't necessarily follow. These schedules are public record, so anyone who is interested can easily look it up online.

 

[Hoot&HoLLer]

Add Steelers great center Dermonti Dawson to the Chapter 11 club. http://www.post-gazette.com/pg/10183/1070257-66.stm

 

[KCC]

This kind of thing sickens me. He should be set for life and have generational wealth to provide his kids and future grandchildren. Inexcusable.

My parents weren't obligated to provide a lifetime of financial security for me, and I'm a better person for it.

Honest question: How do you know that?

IMO things given as opposed to earned leads to a sense of entitlement. Do you disagree?

Simply because a family has significant resources does not mean they end up indiscriminately spoiling their children. However, if you have two families that are similar in every way except that one family is financially secure and the other family is in the process of declaring bankruptcy, I think it's safe to guess which family environment is the most stressful for the kids and which one has more attentional resources to be able to devout to their children.

 

[Hooper31]

This kind of thing sickens me. He should be set for life and have generational wealth to provide his kids and future grandchildren. Inexcusable.

My parents weren't obligated to provide a lifetime of financial security for me, and I'm a better person for it.

Honest question: How do you know that?

IMO things given as opposed to earned leads to a sense of entitlement. Do you disagree?

Simply because a family has significant resources does not mean they end up indiscriminately spoiling their children. However, if you have two families that are similar in every way except that one family is financially secure and the other family is in the process of declaring bankruptcy, I think it's safe to guess which family environment is the most stressful for the kids and which one has more attentional resources to be able to devout to their children.

I don't disagree that wealthy parents can be fine parents, but you're getting away from what started this. Go back and read the quote from Jason. I think he's way off base. Are you really siding with what he says there? Are you sickened by Brunell not providing generational wealth for his kids and future grandchildren?Or perhaps you're only here to snipe at my one comment? Am I better off for not being handed financial security? Perhaps not. Is that you're only contribution to this thread? Would you care to comment on the thread topic?

Reality check. Not only is Jason way off base, he's flushed reality down the toilet. Brunell's family is no where near the financial ruin that you're implying. With some quick searching you can get some more details. Brunell's family will continue to live a rather plush lifestyle if they choose to do so.

 

[KCC]

I don't disagree that wealthy parents can be fine parents, but you're getting away from what started this. Go back and read the quote from Jason. I think he's way off base. Are you really siding with what he says there? Are you sickened by Brunell not providing generational wealth for his kids and future grandchildren?Or perhaps you're only here to snipe at my one comment? Am I better off for not being handed financial security? Perhaps not. Is that you're only contribution to this thread? Would you care to comment on the thread topic?Reality check. Not only is Jason way off base, he's flushed reality down the toilet. Brunell's family is no where near the financial ruin that you're implying. With some quick searching you can get some more details. Brunell's family will continue to live a rather plush lifestyle if they choose to do so.

Jesus - settle down. I did not "snipe at your comment", or accuse you of "not being handed financial security". I simply asked an honest question and replied to the one you asked me in return, which I think is reasonable behavior on a public message board. I also don't think anyone else would accuse Jason of "flushing reality down the toilet" for what he said either. you may not agree with it, but you don't have to use such emotionally charged language in your characterization of what he said. Save your histrionics for people who are actually going after you, and there are plenty of people like that on these boards. For the record, I'm not one of them.

 

[Hooper31]

I don't disagree that wealthy parents can be fine parents, but you're getting away from what started this. Go back and read the quote from Jason. I think he's way off base. Are you really siding with what he says there? Are you sickened by Brunell not providing generational wealth for his kids and future grandchildren?Or perhaps you're only here to snipe at my one comment? Am I better off for not being handed financial security? Perhaps not. Is that you're only contribution to this thread? Would you care to comment on the thread topic?Reality check. Not only is Jason way off base, he's flushed reality down the toilet. Brunell's family is no where near the financial ruin that you're implying. With some quick searching you can get some more details. Brunell's family will continue to live a rather plush lifestyle if they choose to do so.

Jesus - settle down. I did not "snipe at your comment", or accuse you of "not being handed financial security". I simply asked an honest question and replied to the one you asked me in return, which I think is reasonable behavior on a public message board. I also don't think anyone else would accuse Jason of "flushing reality down the toilet" for what he said either. you may not agree with it, but you don't have to use such emotionally charged language in your characterization of what he said. Save your histrionics for people who are actually going after you, and there are plenty of people like that on these boards. For the record, I'm not one of them.

You're better than this. Pointing at me and blaming me of caring too much and accusing me of being emotional? Histrionics? Whatever tone you read in my words you put there yourself.

This kind of thing sickens me. He should be set for life and have generational wealth to provide his kids and future grandchildren. Inexcusable.

Sickens? Inexcusable? Histrionics? From me? Have you bothered to learn about the subject of this thread. Mark Brunell will likely retire a wealthy man still. His children will want for nothing if Brunell and his wife choose to parent in that fashion.

 

[KCC]

I don't disagree that wealthy parents can be fine parents, but you're getting away from what started this. Go back and read the quote from Jason. I think he's way off base. Are you really siding with what he says there? Are you sickened by Brunell not providing generational wealth for his kids and future grandchildren?

Or perhaps you're only here to snipe at my one comment? Am I better off for not being handed financial security? Perhaps not. Is that you're only contribution to this thread? Would you care to comment on the thread topic?

Reality check. Not only is Jason way off base, he's flushed reality down the toilet. Brunell's family is no where near the financial ruin that you're implying. With some quick searching you can get some more details. Brunell's family will continue to live a rather plush lifestyle if they choose to do so.

Jesus - settle down. I did not "snipe at your comment", or accuse you of "not being handed financial security". I simply asked an honest question and replied to the one you asked me in return, which I think is reasonable behavior on a public message board. I also don't think anyone else would accuse Jason of "flushing reality down the toilet" for what he said either. you may not agree with it, but you don't have to use such emotionally charged language in your characterization of what he said. Save your histrionics for people who are actually going after you, and there are plenty of people like that on these boards. For the record, I'm not one of them.

You're better than this. Pointing at me and blaming me of caring too much and accusing me of being emotional? Histrionics? Whatever tone you read in my words you put there yourself.

When did I "point at you and blame you of caring too much"? You can't deny histrioninc emotional behavior when you fabricate statements like this.

 

[Hooper31]

When did I "point at you and blame you of caring too much"? You can't deny histrioninc emotional behavior when you fabricate statements like this.

I don't understand why you keep replying. Is it just to try an cause someone to get all pissy with you over nothing? Did you have an opinion on the topic and hand, or not?

 

[TommyGilmore]

Jets sign Brunell to 2-year contract

 

[Ketamine Dreams]

Add Steelers great center Dermonti Dawson to the Chapter 11 club. http://www.post-gazette.com/pg/10183/1070257-66.stm

$69 million in debt, WOW!

 

[H.K.]

Add Steelers great center Dermonti Dawson to the Chapter 11 club. http://www.post-gazette.com/pg/10183/1070257-66.stm

$69 million in debt, WOW!

Heard someone recently (Joe Horn?) interviewed and he referenced this stat, google search has it show up in several articles, and this is from SI:

By the time they have been retired for two years, 78% of former NFL players have gone bankrupt or are under financial stress because of joblessness or divorce.

 

[bagger]

Lots of ignorant people in this thread.

With an 11 Brunell is restructuring debt giving dogs back to the bank and implementing a plan to keep the investments that are still profitable to eventually pay back the banks and hopefully rebuild his own wealth. Lots of companies do this and are worth many millions afterwards.

Given the amount of contingent debt he apparently had, this was the best business move to make I am sure.

Dealing with people worth 10x this in R/E I have seen them also lose everything.

Should there have been more risk mitigation? Certainly. Is it crazy to think that someone worth $50MM can go BK? Not at all in this economy especially if you had any exposure to R/E.

 

[Exit 1]

Lots of ignorant people in this thread.With an 11 Brunell is restructuring debt giving dogs back to the bank and implementing a plan to keep the investments that are still profitable to eventually pay back the banks and hopefully rebuild his own wealth. Lots of companies do this and are worth many millions afterwards.Given the amount of contingent debt he apparently had, this was the best business move to make I am sure.Dealing with people worth 10x this in R/E I have seen them also lose everything.Should there have been more risk mitigation? Certainly. Is it crazy to think that someone worth $50MM can go BK? Not at all in this economy especially if you had any exposure to R/E.

I think what a lot of people in this thread are getting it is if he earned $50 million over past ten years or so, where is it? I don't care if his RE deals went south. Where did this money go?Heck, with that much, he could have paid for a bunch of properties in cash and not worry about mortgages.

 

[CletiusMaximus]

Lots of ignorant people in this thread.

With an 11 Brunell is restructuring debt giving dogs back to the bank and implementing a plan to keep the investments that are still profitable to eventually pay back the banks and hopefully rebuild his own wealth. Lots of companies do this and are worth many millions afterwards.

Given the amount of contingent debt he apparently had, this was the best business move to make I am sure.

Dealing with people worth 10x this in R/E I have seen them also lose everything.

Should there have been more risk mitigation? Certainly. Is it crazy to think that someone worth $50MM can go BK? Not at all in this economy especially if you had any exposure to R/E.

I think what a lot of people in this thread are getting it is if he earned $50 million over past ten years or so, where is it? I don't care if his RE deals went south. Where did this money go?Heck, with that much, he could have paid for a bunch of properties in cash and not worry about mortgages.

This makes no sense - you've got the answer to your question right here but you "don't care" about it? He loaned money to and personally guaranteed the loans of several real estate companies whose investments tanked. He has personally kept the notes current for years, but can no longer do so. His investments are gone and he's being sued personally on the guarantees and loan defaults. His petition lists just over $5mil. in assets, and over $20mil in debt.