PDA

View Full Version : Blazers Sold??



Scout
07-13-2007, 07:47 AM
Friday, July 13, 2007
Trying to buy the Blazers
From The Daily News of Friday, July 13

The Kamloops Blazers Sports Society’s nine-man board of directors is awaiting receipt of another offer to purchase from River City Hockey Inc.
“We have been anticipating that to be happening because of the activity over the last couple of months,” Murray Owen, the society’s president, said Thursday.
Owen was referring to Vancouver-based businessman Tom Gaglardi, who heads up River City Hockey, and his supporters working over the last while to buy up shares in the society.
The anticipation is about to end because River City Hockey, rebuffed in its bid to purchase the Blazers for $6 million a year ago, is back with a slightly restructured offer for the WHL team.
Gaglardi, who heads up the group that also includes former Blazers players Shane Doan, Jarome Iginla, Mark Recchi and Darryl Sydor, said yesterday that River City Hockey will make a $6-million offer, perhaps as soon as next week.
A letter stating that “River City Hockey will once again present the board of directors of your society an offer to purchase” was delivered to the Blazers’ office at the Interior Savings Centre late Wednesday afternoon. Copies of the letter were mailed to the society’s shareholders, or members, who number about 200.
A year ago, River City Hockey dealt primarily with the society’s board of directors; this time the group is working to involve the society’s members in the process.
Over the last year, Gaglardi and some of the group’s supporters were able to purchase shares that had been owned by Vic Mah of Edmonton. Now, as a member, Gaglardi has a copy of the constitution; he also has a list of members.
“He is putting each shareholder on notice that this is what he intends to do,” Owen said.
Owen added that the board is more prepared to deal with an offer than it was a year ago.
“We have an opinion since that time,” he said, “about where we are legally in terms of if the club were ever to be sold, what the steps and procedures would have to be. I think we have it very clear in our minds what that is.”
Owen also said that he feels what Gaglardi is doing, because he is a member, “is contrary to the constitution.”
“As far as our board is concerned, we believe that the membership would have to change the constitution prior to entertaining offers,” Owen said. “I don’t know if Tom doesn’t understand our position or (if) he doesn’t care . . . he has his own ideas about where he would like to go with it.”
For now, Owen and the board are awaiting the arrival of the offer. Sometime after that, Owen said, the board “will have to respond to his letter.”
And in the end, Owen concluded, it all will come down to what the membership wants.
“Our board is committed to the wishes of the membership,” he said. “That’s all there is to it. Whatever transpires is going to be pretty much whatever the membership of the society wants to do.”
River City Hockey also is undertaking a public relations campaign, one that will include the setting up of a website on which details of the offer will be posted for all to peruse.
Last summer, the group’s $6-million offer never got past the board to members. The board decided on June 27, 2006, that “the assets of the Kamloops Blazers Hockey Club are not for sale.”
The board then scheduled a July 11, 2006, meeting of members. Gaglardi’s request to appear at that meeting was turned down by the board.
At that meeting, the members, by a vote of 49-38, let it be known that the society’s assets aren’t for sale. River City Hockey’s bid to purchase wasn’t presented at that meeting, nor was it ever presented to members.
This time, Gaglardi is making sure that the membership knows what is on the table.
“The offer,” he said, “is a little different this year.”
He then explained that while the number -- $6 million -- is the same, the process in which members would receive money has been changed.
“The difference is that rather than rely on the board to repay the founding members the $1,000 per share,” Gaglardi said, “this offer builds that in. What we’re doing is offering each member $1,000 plus interest at the rate of five per cent simple interest from the date they bought their shares. That amount gets paid separately but it’s deducted from the $6-million purchase price, so we’re still paying $6 million.”
Under these terms, a share purchased for $1,000 in 1984 now would be worth $2,150, including $1,150 in interest.
“A bunch of guys in 1984 put up $1,000 each which was a lot of money then to keep this team here and they’ve held it all along,” Gaglardi said. “The team has appreciated and, although it’s not for profit, why shouldn’t they have their money returned to them, with five per cent simple interest?”
Gaglardi, 39, is a grandson of the late Phil Gaglardi, who was a prominent politician in the Kamloops area. Tom is the CEO of Northland Properties Corp., which owns, among other things, Sandman Hotels, Inns and Suites, Moxie’s Restaurants, and Denny’s of Canada.
Gaglardi and Ryan Beedie, another Vancouver-based businessman, are involved in a lawsuit in which they are suing Vancouver Canucks owner Francesco Aquilini and former owner John McCaw for ownership of the NHL team and its home arena, GM Place. That court action is in recess until Aug. 7.

MJCO5
07-13-2007, 03:35 PM
It's interesting to see this topic arise again. This time it's great to see that the proper information is going to be made available, unlike last year where the board of directors did everything in the power to keep people in the dark especially the shareholders. This team being controled by good hockey people and great Blazer Alumni is best thing for this team long-term, perhaps one year we may even make it past the first round

Scout
07-14-2007, 07:37 AM
Friday, July 13, 2007
More on bid to buy Blazers
From Daily News of Sat., July 14:

The four ex-players who are involved with River City Hockey Inc., the group
attempting to purchase the WHL's Kamloops Blazers, will be more involved in
the sales pitch this time around.
So says Tom Gaglardi, the Vancouver-based businessman who heads up RCH.
A year ago, when RCH tried to buy the franchise, Gaglardi had ex-Blazers
Shane Doan, Mark Recchi and Darryl Sydor with him. Those three still are
involved and they have added Jarome Iginla.
Doan, Recchi and Sydor didn∂t have much of a public profile last summer when
it came to trying to sell the bid. That, Gaglardi said, is about to change.
"Absolutely," Gaglardi said Friday evening. "Mark has bought a home (in Sun
Rivers) and is going to spend a good chunk of his summer there. Darryl and
Shane are there now.
"These guys are serious . . . they always were."
Gaglardi also said that "there are other players" who have shown an interest
in getting involved but that "I'm not anxious to expand the group."
"We may (expand) but I don't think so," he added.
Since being rebuffed in an attempt to purchase the team a year ago, Gaglardi
said he and Recchi have bought $1,000 memberships in the Kamloops Blazers
Sports Society. He said that in the next while the other three players also
will become members.
"By the AGM we'll all be members," he said, referring to the society's
annual general meeting which normally is held in September. "We'll all be
there."
On Thursday, Blazers president Murray Owen said that in his opinion
Gaglardi's actions are "contrary to (the Blazers') constitution."
Gaglardi said yesterday that in becoming a member he had to sign a letter
saying he would "uphold the constitution."
"I looked at that letter pretty hard legally," he said, "and it says the
square-root of nothing.
"I'm hoping that . . . the board will act properly and just put (the
purchase offer) to the members."
RCH's next move will be to finalize its latest offer, which Gaglardi said
Thursday will be for $6 million, as it was a year ago.
"We're going to put our offer in within a few days," he said. "It might be
next week and it may not be. But I think more likely that it will be."
After presenting an offer to the Blazers' board of directors, RCH will wait
for a response.

scamperdog
07-14-2007, 11:24 AM
If it makes it to a vote this time, I think the deal has a chance, but the board will do everything it can to stop it, after all thats the Blazer way!

scamperdog
07-17-2007, 02:31 PM
here is the address of the group trying to buy the team
www.rivercityhockey.ca
also the teams board is going to have a news conference tomorrow, on what there position is.

scamperdog
07-18-2007, 05:35 PM
July 18th, 2007 – FOR IMMEDIATE RELEASE EXTRAORDINARY GENERAL MEETING CALLED FOR SOCIETY MEMBERS KAMLOOPS, BC – President of the Kamloops Blazers Board of Directors Murray Owen today called an Extraordinary General Meeting of members of the Kamloops Blazers Sports Society for Tuesday, August 7th at 7:00pm in the SportsAction Lounge at Interior Savings Centre. The purpose of the meeting is: “To seek direction from the membership to confirm or alter the Constitution of the Society – 2. (a) to own, manage and operate the Kamloops Junior Hockey Club and to promote amateur and junior hockey in and around the City of Kamloops.” A letter explaining the society’s position and obligations has been mailed to members as of today and the text of the letter is included below: July 18, 2007 Dear Kamloops Blazers Sports Society Members, I have just received my letter, as I am sure you have as well, from River City Hockey. After reading about their intentions, once again, to buy up the assets of our Blazers, I felt it necessary to write to each of you and explain the position of your Board of Directors. At last year’s AGM the question regarding the sale of the Blazers was narrowly defeated. Since that time your Directors have discussed what the appropriate attitude should be in the event the issue was raised again. During the last ten months there has been increased activity in the transfer of Blazer shares. The Board felt it necessary to seek a legal opinion to become better informed about the issue of sale and the link to the Society’s Constitution. In addition, to review our responsibilities to the Members. Your Board of Directors has been advised (by Legal Counsel) that we cannot ignore “that the sale of the Franchise is inconsistent with the Constitution (which the members and the directors required to uphold), to “own, manage and operate” the Kamloops Blazers.” “Section 20 of the Society Act permits a society by special resolution to change its purposes, and in that regard, “to abandon a purpose specified in the constitution”. Therefore, if KBSS is posed with a proposition to sell the Franchise, it must be identified to the membership that any such sale is contrary to the present purposes set out in the Constitution and if contemplated, requires the Constitution altered, so as to abandon the purpose of “to own, manage and operate” the Kamloops Blazers. Any such alteration to the Constitution is only by special resolution, thereby requiring at least 75% in favour, of the members present, at the meeting. In the event that the Constitution is altered, the sale of the Franchise is a sale of an asset of the KBSS and can be approved with a simple majority”. It is important to clarify the relationship between Kamloops Blazers Holdings Ltd. and the Society. The company relinquished all rights for the ownership and management of the WHL franchises with the formation of the Society and the sale of the hockey club in 1987. Kamloops Blazers Holdings Ltd. holds a non-interest bearing debenture registered on January 11, 1988 for the sum of $100,176.00 an originally intended to be payable in 1997. Two hundred and seventy-seven shares in the company were issued, which values each share at $361.64. The Society assumed the remaining liabilities of $297,222.00 from the company at the time of sale. Membership in the Society requires members to also be shareholders in the Kamloops Blazers Holdings Ltd. Kamloops Blazers Sports Society is a not for profit society governed by the BC Societies Act. No member may personally benefit from the assets of the organization. As you can appreciate, the Board is required to carry out the wishes of the Society’s Members. If there is a decision to sell the club, it would make good sense to acquire the best possible price in today’s market and to set the conditions of sale that a buyer must agree to. As Directors we will of course abide by any properly constituted decisions of the Members. We are committed to the best interests of our hockey team, our Members and Blazer fans. Very shortly, we will be into training camp and the start of another exciting year of BLAZER STYLE hockey. Sincerely, Murray OwenKBSS President -08-

scamperdog
07-18-2007, 07:10 PM
here is the link to the offer to purchase from River City Hockey

http://www.rivercityhockey.ca/docs/offer%2018%20signed.pdf

scamperdog
08-01-2007, 05:00 PM
So the extraordinary meetings for next week are off, and this whole thing is going to court, with both sides having different views of the team constitution and the society act, on how and if the team can be sold, I guess it best to make sure everything is on the right path,
In the mean time there is rumours that the Patisson group and also some Alberta dude are also interested in the team, the Patisson group would probaly be ok, although what does he know about hockey, big difference between that and cars and groceries, as for alberta dude, I say stay the hell out, people here want to keep this local, Rivercity does that, Pattisson does to a point, with Radio, tv, and Coopers and Save on foods all well established.

If the team does sell, which I hope it does, is 6 million the right price? As much as I hope Rivercity hockey can buy the team they still have to pay fair market value, and when the Ice dogs sell for 9 million, you have to question the 6 million dollar offer for a team with a lot more success and history

scamperdog
08-02-2007, 07:11 PM
Blazers, RCH head for court www.kamloopsnews.ca
by Mark Hunter

The Kamloops Blazers Sports Society and River City Hockey Inc. will square off in B.C. Supreme Court on Friday.

Society president Murray Owen and Bob Smillie, chairman of the society’s governance committee, announced at a Wednesday press conference that the two sides will have their cases heard in Supreme Court in Vancouver. The society is the not-for-profit organization that operates the local WHL franchise.

At issue is RCH’s offer to purchase the Blazers.

The society, on the advice of lawyer Barry Carter of the Kamloops firm MJB, has continually said that in order to hear offers for the team, its constitution must be changed.

RCH has said that the team can be sold without changes to the constitution, and got the same opinion from Alan McEachern, a retired chief justice of the Supreme Court of B.C.

“Barry Carter is very familiar with our constitution,” Owen said. “He had given us an opinion on our constitution and how we should proceed. Mr. McEachern’s opinion was in conflict with ours and that’s why we’re taking it to the Supreme Court of B.C.”

The society originally had called an extraordinary general meeting for Tuesday to discuss the constitution, but that meeting has been postponed. A scheduled Aug. 9 meeting, which was called by members of the society, has also been called off.

RCH, comprising Vancouver businessman Tom Gaglardi and former Blazers Shane Doan, Jarome Iginla, Mark Recchi and Darryl Sydor, made a $6.1 million offer to purchase the Blazers on July 18.

It was the second year in a row RCH had made such an offer — its $6 million offer was rejected last year.

Neither Owen nor Smillie knows for sure how long the Supreme Court case will take, although the board has tentatively re-scheduled the Tuesday meeting for the week of Aug. 20.

“The timing of the decision, obviously, will be up to the judge,” Smillie said. “The affidavit that we provided to the court basically outlines the history of the organization with respect to its formation . . . and how it’s operated. What information River City Hockey will be providing through their legal counsel, I’m not aware, but I would suspect it’s on the basis of Mr. McEachern’s opinion.”

Smillie said the board is pushing for a special resolution, which, according to the Society Act of B.C., would require approval from 75 per cent of the members to change the constitution. An ordinary resolution requires only 50 per cent, plus one.

“It was clear from our perspective that the formation and the . . . sole purpose of this organization, when it was founded in 1987, was to operate and manage the Kamloops Blazers hockey club,” Smillie said.

“We feel strongly that if the assets of the society, which is primarily the franchise, are being sold, that would require a special resolution of our membership.”

If the judge rules in favour of the society, it would mean that the members would have to vote in order to change the constitution, with 75 per cent necessary to change it.

If the judge rules in favour of RCH, the members could vote on whether to sell the team, with only 50 per cent plus one needed.

Smillie said he wanted to leave the tough decision in the hands of someone impartial.

“In the best interests of everybody involved in this organization, we felt that it was important that an impartial party makes the decision,” he said.

“That’s why it’s been referred to the Supreme Court.”

scamperdog
08-02-2007, 07:17 PM
Dear Member of the Kamloops Blazers Society;


Thank you for your interest in River City Hockey and our Offer to Purchase the Kamloops Blazers. There has been much media coverage and correspondence regarding our Offer. This email is intended to ensure that you are fully informed, in a timely manner, of River City Hockey’s position on the issue of the Society’s Constitution and how it affects your consideration of our Offer.


As you may be aware, the Directors of the Blazers Society have taken the position that the Kamloops Blazers cannot be sold without a special resolution of 3/4 of the members requesting amendment to the Society’s Constitution.


We disagree with this position. We believe that a simple majority of the members directing the board is all that is needed to sell the team.


That said, we recognize that so long as the Society Board takes the position that an amendment to the Constitution is required, there will be no progress in allowing you and your fellow Society members to consider our Offer to Purchase the Blazers.


With that in mind, and in an effort to bring closure to the constitutional issue, River City Hockey has agreed with the Board of the Society to ask the BC Supreme Court to render a decision on the need for the Society to amend the constitution in order to sell the team. The matter will be heard this Friday August 4, 2007 by mutual consent of the Society and River City Hockey.


As a decision by the Court may take some time to be rendered, we have agreed to adjourn the Society meetings originally scheduled for both Tuesday August 7 at 7 p.m. and Thursday August 9, 2007. Instead, a single meeting will be scheduled for the week of August 20, 2007 in the Sport Action Lounge of Interior Savings Place. We hope you will be available to attend the meeting that week.


If you want to review the Offer to Purchase or require additional information about our vision for the future of the Kamloops Blazers, please visit www.kamloopswins.ca.


If you have a question that requires a response from either Tom Gaglardi, Shane Doan, Jarome Iginla, Mark Recchi or Darryl Sydor – please email us at info@rivercityhockey.ca – we will be more than happy to respond or contact you in person.