Yellowstone Club Bankruptcy

Tim Blixseth Responds to Yellowstone Club Bankruptcy Allegations

Comment By BS, 2-12-09

Tim - good for you to break your silence. It's too bad so many people got screwed in this process. The hard working employees all believed in your dream and you. It is tough to know what to believe when so many people got hurt and there have been so many lies. At the end of the day members just wanted to come to Montana to enjoy the simpler life, enjoy the powder and cherish the views.

Tim you had an amazing vision and the team worked their butts off to build it for you and the members. The fact that the people who worked so hard got burned is a sin. The YC name is tarnished forever and all parties should be ashamed that payrolls were missed, vendors not paid and obligations not met. How all parties associated with this can continue to operate and argue over hundreds of millions of dollars while forgetting the employees and vendors is gross. They have all crossed a line of ethics and should all be embarrassed to look themselves in the mirror.

It would take some really big checks and some big bals to clean this mess up. Tim - you have done it before and I don't doubt you will show up with a check to start the clean-up process. I just question if any Montanan will be there to pick up a hammer or phone and help you rebuild the dream.

How about all ownership parties get together and sign a big letter of apology to the staff, vendors and members and beg for forgiveness- publish it in all newspapers and put it on billboards along Hwy 191.
Next - Pay everyone off + interest.
Next - Donate a large pile of money to people starving in the world.
Next - Open up YC to all the local Montanans for a ski season, donate all the money from ski tixs to local charities.
Next - Put the balance of YC land into conservation easments
And finally - come meet all the locals at church on Sunday and beg for forgiveness.

That is the only hope......

Comment By Blockhead, 2-13-09

Dear Mr. Blixseth,

First, I am surprised by you candid display of a press release. I think the only thing which impresses me the most is that you have realized that NEW WEST is actually the only forum which covers the Yellowstone Saga openly and fairly. The Editors of the paper have shielded all parties from vicious attacks and have done the best when it covers the stories. Fair and accurate. I appreciate the fact this Blog has been less than fair with you but equally has attacked Sam Byrne, Edra Blixseth and others. The editors I believe have been fair to delete comments which were unforunded and sometimes hurtful. This is not to say that people are entitled to their opinion, however we must try and keep things clean in some manners as my good friend JOHN has stated.


I believe you know the facts of this case. Lets be honest shall we? Afterall you wrote the press release and it begs for a response. I know you read this site, thus I address me comments to you but in an open forum.

The transaction with CH (Sam Byrne) did not materilize because CH was unwilling to provide you proof of funding and you realized CH was possibly trying to take advantage of you in many cases which was proved by your legal team. You told Mr. Byrne to either provide you proof of his funding or you had no choice but to not extend the deadline for the sale. This is a fair an accurate statement correct? I also remind everyone that you, at no time every contimplated nor suggested that the club should be put into a 'Pre-Package' Bankruptcy, rather CH suggested this as a way to get rid of the unsecured creditors, Greg Lemond and reduce the CS loan. In fact, if you go back to the depositions of your Ex-wife and yourself, it was only CH making such a suggestion as early as February 2008. This is correct and assume this will come out in your court documents. In fairness to Sam Byrne / CH, he was only stating this because he was not receiving the documentation to give comfort to his investors. This is also correct as well and am sure you will agree.

I think its also fair to state the club in June, July and august was not doing well. You had used lines of credit to insure everyone was paid. Correct? I also give you credit as I know for a fact you were transfering monies to many companies to keep this afloat from your own pocket. This I have proof of substantially. You maybe disliked but at least you were trying to raise money in any effort to insure the banks were paid. Afterall you had good reason to insure the bank was paid and that was to protect you other investments or uses of the money.

You are very correct that no one can blame you for the loan agreement. You actually followed this to the letter of the law. Over 23 lawyers went through this agreement and CS allowed you to take 209m legally to spend as you wish and without providing security other than YC. Should you have informed the other sharholders? Legally the answer is Yes and morally the answer is YES. This was an error on your part but by insuring Greg Lemond got paid 20m was equal to his investment. The other B shareholders did not get anthing. This was a mistake. Greg Lemond with the 20m payment plus another amount from Edra in august is more than the legal amount owed under the proceeds of the loan. Why you settled for more was unknown to all B shareholders. A mistake or maybe you did it to protect the club?

Edra Blixseth, your Ex-wife did in fact go after the club as she believed it was worth more and probably had a vision that it was the 'Cure All' to her own personal fortune. Clearly she was only advised by legal counsel and not financial experts. Your comments are correct in your letter, she put on one of the best fights and in the end relied on Sam Byrne (CH) to give her funds to pay you off and assume control. As we all know she pledge Porcupine Creek to Sam Byrne (CH) to get the money to pay you off, make a further payment to Greg Lemond, pay bills at the club and pay off some of her own bills.

We can not fauly CH / Sam Byrne for doing this. It was not illegal. Cross Harbor is probably one of the most successful Distressed Asset funds in the USA. You may not like his personality but he is a very successful person in this industry and HAS DONE NOTHING WRONG under the letter of the law. He invested into the club. not a small amount but over 75m un and until the Chapter 11. Clearly you would agree he was the largest group to invest into the club? He loaned your Ex-wfe money, Legally! She was so convinced of her success and dreaming of becoming the 'Savoior of the Club' just to prove to everyone you were a fraud. So, CH and Sam Byren loan her the monies on a one month basis. Afterall so told CH/Sam Byrne she had Archer Capital standing by to grant her 70m USD against her house being Porcupine Creek. All parties are aware of this fact and so are you I believe. So what went wrong? Well it clear, your Ex-wfie borrowed too much money defending the divorce and Blxware. She borrowed money from any bank which woudl give her money on the basis she would get Porcupine Creek away from you. It worked and the banks all fell for it. Archer Capital is a smart lender in times like this and soon realized your Ex-wife borrowed more than she could pay back and could no longer come up with such funding. Clearly as the court documents show, Castle in France not selling was also a crushing blow to her over-all game plan.

Now in your statement you still show CH and Edra cooperated to buy the club cheap. This is an accurate statement but again its not illegal. Why? Listen CH / Sam Byrne did have leverage over Edra but also lent her 35m (well this is not true either as you owed some money to CH and edra assume that amount according to court records correct?) I think the top up amount must be around say, 23m? Anyway, Edra was in a position that he was the only one to help her and she took it, hook line and sinker! Yes CH was in the best position, HOWEVER, CH did nothing wrong! CS had the opportunity to provide a DIP Loan and they could not raise the money. Had it not been for Sam Byrne / CH the club would have been liquidated in November 2008 correct? The answer Tim is yes! CH / Sam Byrne had over 75m in the club and thanks to them they helped you cashflow the debt service at the club since late 2006 and all of 2007 with their investment. Right or wrong! Again, CH/Sam Byrne is not a group to under estimate but this Boston Fund is one of the best in the industry and knows distressed deals like no other and they are good at what they do but they do it legally and to the letter of the law.

Why chapter 11? There was no choice. No sales = No revenue.

So, Tim Blixseth you wish to enter the game again. Why not? Here is my advise to you as the above person clearly is not an investor and his wishes make no financial sense. The apology is the onyl thing I think is important but it stops there!


First, I would cooperate with Credit Suisse. Many people forget that CS is the administrator and not the Lender. It was a bond placement. Who purcchased the bonds? Great question! It was hedge funds and investment funds. Who supplied those hedge funds and investments funds? Well it was pension funds of teachers, firemen, etc. Hard working people invested their money in those funds and in turn those funds invested into the CS offering. It would be nice to say Cs takes the hit but this is not the case. AS the Editor rightfully points out, CS is fighting this as they are responsible to all the bond holders. I hope this is clear to all the readers. Sp back to the point:

1) Cooperate with CS to find the best possible solution. Clearly CS needs to write off some of the money as the market has turned and they should have demanded in March / June proof of funds from both your Ex-wife and You. Mitigate their losses but do not throw them to the wolves.

2) You presently own YCW assets and under the chapter 11 the remaining assets are still there according to court records. You have Turks with a purchase value of 30m, Tamarindo with a purchase value of 40m, Castle in France at 28m, your G4, your shares in Western Pacific and of course the other lands are worthless. This is significant in terms of security. Pledge these assets over to CS and cooperate with them. Clearly if this club is sold for 100m everyone looses and clearly CS needs to jump on board. The logical solution is to pledge these assets and have Cs jump into the game with you. Not bad advise huh!

3) you must pay back the unsecured creditors. This is where the CH plan fails. The only way you will get worker back on the mountain is paying them what they are owed. Apology aside, they will come back but if they get screwed they will not return nor will the workers and nor will future buyers. CS needs to adopt this plan with you. Meaning if CS has to write off 150m because this goes back into the club then give them shares in the upside potential of the club. The club wll come back but you must address the unsecured to insure the success of the club. Name one lawyer who is givig you this advise Tim? Listen, its all about keeping it Simple and not complicated.

3) The Club needs a new image, many do not trust you and the press has not helped! Do you deserve some of this? Yes Tim you do. You forgot where you came from despite the fact you always wanted the press to tell this story! Your a simple person who sees things others do not. good or bad you lost touch with who you were beacuse of the money. Somewhere inside of you I beleive there is a lot of good intentions but your follow through SUCKS! You need good advisors around you and not the KISS ASS people you presently employ! sorry to be so blunt but you need a sounding board and you have a 'MIRROR MIRRO ON THE WALL' of people telling you what they think you want to hear! Am I right?

4) CS needs to become your partner. You should offer 200m for the club plus pay off all the unsecured creditors. (CH /Sam are owed 25+ for the DIP Loan! This means 300m more or less. CS should loan to the new structure 150m and become a 50-50 partner with you. In return Tim, you assign the YCW assets as security over to the new JV. This give the new JV asset values worth over 100m plus the YC assets. This is more than enough to show the members there membership deposits are safe. Agreed?

Now, the club needs money as you undersold the annual dues. THey are too low. Every member, once you complete the above will in most cases top up the annual dues to 30,000 per year.

You and Cs need to provide a Mezzanie loan in the amount of 50m to carry the club until you liquidate the YCW assets. This should be on par per partnership. Fair terms and clearly recoverable once you sell the YCW assets at a fiar value.

Finally, you need to address the issues with you Ex wife. She is left with mounting debts and an estate which is pledge to the hill. Let her get on with her life the best she can. She needs to realize that happiness is worth more than a rented Gulfstream and having a large estate she cant pay for. She just needs to find happiness and too realize people never liked her for her money but had no respect for her when she was silent to them She is not a bad person, rather she was just hoping for the best and in some ways was in over her head. Its not nice to see people fall from Grace. In fact its a humbling experience no matter how much you loose. The attacks on her personal appearance are outright hurtful and those who write such things are insecure themselves.

Tim Blixseth, the time is now. This time you have addressed the press with bold claims and wish to be vindicated. You do have a chance to take back the club and move forward but must do so now with the support of CS, the unsecured and the members. Forgivness is a big word, I think everyone would settle for ' He did waht he said he woudl do' A mans word will always clear those who doubt. The attacks will stop once action is seen. 'Talk is Cheap' Tim Bliseth. You know all to well what i have said above is more than plausable. Clearly CH will put up a fight on value but at the end of the day, you actions will lead to a higher price for the club and more importantly, the courts will look to your actions of doing the right thing with the unsecured. Again, cooperate with CS and you win this fight and at a fair value. The respect will be give. We all know this market will come back and there is much value to take from the Club. Either you and CS agree to this or you both admit to everyone by not acting that the loan was in deed the failure of the club!

I await your swift action. Forget the court actions Tim, actions speak louder then words or press. Cooperate with CS to do the right thing.

I wish you God Speed.

Comment By KL, 2-13-09

You weak-minded fool! He's using an old Jedi
mind trick.

Your mind powers will not work on me, boy.

Comment By Hugh Net-Wirth, 2-13-09

Please explain why Blixseth missed the LeMond settlement payments in January and April 2008 while the club was under Tim's control.

Comment By Blockhead, 2-13-09

Greg Lemond Question:

Great Question but it comes down to how much should Greg have made on his small seed investment. Lets not forget Greg was only one of the B Shareholders. The Settlement amount was more than 12m more than what was owed to Greg but the 12m was to keep his moutht shut and stop damaging the reputation. clearly not honoring the settlment was a mistake of Tim. Tim made a decission to pay for the club or the premium to Greg, he chose the first. Listen, Greg was due legally 20m for his share based on the fact Tim treated the loan as a repayment of equity proceeds. THerefore Greg did receive his fair share and the 12 m extra was an inducment to go away from the club. Greg should be so lucky as the other B shareholders like Mike Snow et all got Screwed up till now. Tim did not pay because another fight broker out. Greg was going to be paid is Sam bought the Club, this did not happen, then he and Edra decided to fight for the club, why should he pay not knowing the outcome. Listen, I agree with your comment to some extent but lets be fair here, who write the chaeck for a premium when you do not know the outcome. Hope this helps.

Comment By Blockhead, 2-13-09

Lets not forget Greg also got a further 8m in august from Edra so he has made 28,000,000 on a 300,000 investment thus far. I would love to have another B shareholder write on this blog and tell you what they got! THey got nothing so Greg L, your a lucky man as are your in laws. Now, lets get back to who is going to pay the unsecured and maximise the CS bond holders. Give Tim a chance, give Sam a chance. The best plan wins but to make money in the future you need to make the unsecured whole! Right or Wrong?

Comment By Elkaholic, 2-13-09

Is Tim's desire to take back control of the club a matter of good economics or EGO-nomics?

Comment By Hugh Net-Wirth, 2-13-09

I'm not debating Lemond's worthiness..it's just a pretty fair indicator of the financial state of the club, and dates of potential insolvency. That and Tim's ever so cheap beat up about YC's world's most expensive house show how desperate Tim was getting trying to flog properties.

As for Tim, he's a self serving snake oil salesman. The club needs to proudly show 'under new management' signs if it has any hopes of attracting new members.

As for the club itself I think it's unviable in its present form. Membership is one third of projected, it's bankrupt and yearly member fees don't cover the hefty staff and maintenance costs. I doubt YC was ever devised for the long term, just a way to flog property. Read Tim's career anecdote about upselling donkeys to see a scary parallel.

Comment By BlockHead, 2-13-09

Hugh-net-wirth:

Great name! The club was loosing money but Tim always did find a way to pay the bills correct? Look at it this way, if he does cooperate with Credit Suisse and he turns over to CS the YCW assets, then He and CS become partners and reduce the losses owed to everyone. Lets not throw stones yet as everyone stands to loose a lot of money. Having Tim up the anti so to speak is a good thing even if you do not like the man. Donkey or no donkey I am sure many would like to see some of the money in their pocket. Now, Sam and CH have an equal chance as well to bid more for the group. Clearly the 'Low-Ball' offer was the bench mark but in no way was this CH final position, they are not stupid and know this game better than most. Clearly if Tim and CS team up they would be hard to stop. CS/Bondholders take an equity stake, carry more of the loan, Tim contributes Cash and asset for his part. Everyone wins but this also assumes Tim and Cs pay off the unsecured creditors and take a 'Haircut' of 20-25% loss to insure this happens. There is only one person who knows how to sell land like this and its Tim Blixseth. How can you argue that. Look who he sold to and he sold more than 2 billion in real estate before the CS loan! Listen, its time to up the bid and the person who bids the highest is best for the unsecrured, however CS is the only one which can make that happen and they need Tim to do it and Tim needs CS to insure he is not called on those notes he signed for in BGI

Comment By Ann, 2-13-09

It looks good on PAPER.......................

Comment By casual observer, 2-13-09

Let me know if I understand this correctly. Mr. Blixseth is scheming to buy the club back with monies he received from CS a few years ago, while leaving CS out roughly 300million. It seems to me he has enjoyed his lavish lifestyle on pure credit and has never accumulated actual wealth, is this correct.

Comment By BLOCKHEAD, 2-13-09

CASUAL OBSERVER:

I wish it was that easy. Listen, Tim and Edra sold more than 2 Billion dollars worth of real estate. They made some great money on this and Cs loan was just a 2 inch layer of frosting on the cake. They had money to do YC in the first place. In fairness to Tim, he has no debt on those assets, remember, Edra took over BGI but Tim did in fact sign for those Promissory Notes and he knows he cant shelter those assets from CS bond holders through the veil of the Divorce.

Listen, what does it really matter? Tim is not a bad option consideraing all things and nor is Sam Byrne. They both love this club and they both seem the hidden value. Again, if Tim teams up with CS as I mentioned above its really got a fighting chance but again, Tim knows all to well if you want to get things done you have to grease the wheels and that means paying off the unsecured. Sure CS and Tim take a small loss but in the picture world, if CS takes equity with Tim and Tim donates the remaining YCW assets and cash for the future operations they could pull this off. Its not that far fetched. Tim still has cash and Edra is close to Bankruptcy according to one of the last three articles. Excuse me if this is incorrect but I read that somewhere in one of the last 3 articles. She owes a fortune to banks, Sam and it looks like some 20m to her blxware company. She is a survivor and her day will come again one day to rise up. For now its a humbling experience and is the reason I tell you to not pick on her personally unless you have gone through something like this.

Now, CH also has cash reserves and valued this at 400m last year and still can make this work. Why should they pay for the mistakes of others. They have profesional management but the only eroor in their thinking is looking after the members and moving forward. That is not a wrong thing by the way. Is short side thinking as no one will ever come up and work there again if they are not paid from the past and it will be that much harder to get any future member to join knowing such issues were never corrected. Again, thats a financial decission for the future return on investment CH / Sam need to address. Nothing in life comes cheap. Its like jumping in what you believe to be the fastest lane on the highway only to learn the slower one moves faster. I think you get my point I hope.

To summarize, encouraging a healthy bidding procedure is good for everyone. The fact Tim has come back into the Picture says alot about his character. Now, words are not actions but I assume Tim is reading these Blogs and hopefully he understands where I am going with all of this. Tim, you are in the best possible situation but you need CS and they neeed you and without the small guys the future is not there. Sam, you have the talent, the money and the experience and you have done nothing wrong, in fact you kept this club going and should be complimented for doing so. Therefore we have two horses in the game and thats a GREAT THING given this economy of ours. The members just want to get back to enjoying the mountain and skiing and insure their investments are protected. The employees want to get on with their jobs and the tradesmen and women want to earn an honest living. May the best group win and may those who have lost thus far benefit by such competition.

Comment By John McCauley, 2-13-09

BLOCKHEAD...a new found respect for you. You get it! Thank you.

Comment By ts, 2-13-09

Far from accurate.

1.3B in sales. Over 40% of sales were 3rd party contracts therefore no money to Blixseths.

leverage, leverage, leverage

Do any of you have day jobs?

Comment By hungry beaver, 2-13-09

Yes! I know you don't need any more commentary from the peanut gallery, but...

I've been watching this situation obsessively over the last few days, and casually for years. Today I like what I'm seeing. It would seem if more guys like you from disparate viewpoints pool your resources, the sooner this mess will get sorted out. Who knows what you'll find? Tensions are straining everyone, but it does no good to trade barbs on some message board for the riffraff like me to see. That just makes it more of a circus. And that just makes the riffraff think "the heck with these rich people, this is exactly the problem with big business." And maybe "I hope they lose big." But nobody wants that, because that would mean more of the little guys not getting paid.

This is such a convoluted deal it's going to need to be approached from several angles. Somehow this message board is the place where those angles can converge. Dang! Tim B's posting is either honest and sincere or a pretty convincing hoax. We'll never know unless some of you guys cooperate. There's not much more to lose, and at least you'll be putting your efforts into more than wasting them on duking it out.

Back to you, Blockhead

Comment By Blockhead, 2-13-09

Its really up to Team Sam Byrne (Discovery Land Co and others) or Team Blixseth which is Tim and CS.

Listen there is enough assets and enough brains to pull all of this off for either camp. Lets just all agree to see one wins and that the Unsecured wins.

Not much else to say than this. I believe this message board should post the best business plan forward and help all the lawyers understand that this is not that complicated at the end of the day.

Comment By Blockhead, 2-13-09

Thoughts?

Approx:

Credit Suisse Bond Holders: 309m - 20% discount of a loss but benefits from being Equity Partner
CH / Sam Byrne: 26m - Paid in full with a big Thank you
Unsecured: 89m - Paid in full
Total debt: 424m







Tim's potential Assets if he puts into the 'Pot with CS'
Tamarindo Asset 30m
Turks & Caicos House 25m
Castle France 25m - Part of Chapter 11 and remains with club
G4 Tim B 12m
Western Pacific Shares TB 50m
Wyoming Land 3m
Scotland land 0m
Two Yacht Sales generated 12m

Tim Cash on Hand 45m

Total Asset Value unleveraged: 202m


Tim pledges assets to the JV and Cash
CS pledges cash and gives new financing Bond Holders and CS are now going for the upside.


In needs work but somewhere in this madness is a deal.

Comment By Small pea-in the pod, 2-13-09

W.o.W. Blockhead!

I'll admit, I'm a long time YC employee (currently - and hopefully will continue to be in the future - whatever it may hold) So I am part of the unsecured creditors and I'm upset just as other unsecured creditors are in this matter, as I've been here a long time and have alot of my "time" invested here - and I'm not happy to lose that.

I have read all these blogs - good & bad. Your comment #2 on this list - is the best of them all - thank you!

Anyone and everyone can finger point and complain of what is wrong with the situation - but your comments gave some very good reasonable sounding suggestions to "Fix-it" - or at least place a "bandage" on it so that it can start to heal itself.

I realize it is all hypothetical, but it's a start in the right direction for these comments. In the event those involved do read these blogs - it would be nice for them to consider some of your points. We can only hope!

Thanks again for the great suggestions - I'd go for it - but then again, I'm just a "small pea-in the pod". But something to keep in mind I guess, is that sometimes when trying to find the best solution(s), it is to make right with the "small peas" who usually will remain reliable and faithful to those that do them right - whereby one would prosper (not meaning merely monetary terms) more with them in the long run, rather than trying to appease the few "Green Peas".

Comment By Casual Observer, 2-13-09

I'm not seeing what assets tim has other than that which was recieved from the CS loan. I'm not a financial type but from what I understand in the statement privided thru newwest, he took a loan from CS at what 10% ?, then paid some lines of credit, bought a couple planes, real estate and put a substanital sum into cd's from american bank mainly what you Blockhead is saying his assets are. Now I am not the most educated of individual, but I do know that cd's do not earn more than what the loan interest rate is, that does not make sense. I am still under the impression that tim has no business JVing with CS since the only thing he brings to the table is money he questionably recieved from CS.

Comment By Adonis, 2-13-09

Listening to you all speculate is like being at the end of a "wisper line" in grade school. I have yet to read anything other than postings by pseudo-members, out of work contractors, and YC fry cooks. There are people on this site who are listing assets and debt, as if they actually have the forensic accounting of the club and the Blixseths personally. You all have no idea what they own, since the family trust, and various entities have changed the titles and ownership multiple times. Why not mention that most of the assets have been pledged as collateral on multiple loans, including PC and the castle? If Mr. Blixseth is such a genius and so flush with cash, explain why he has liquidated so many assets (boats, planes, etc) for a fraction of their purchase price. He (as owner of YC last spring) missed numerous payments, and scuttled multiple deals to sell YC and save us all this hassle. No, if he had the money to make YC work, we would not be reading about this right now. So now, he sits and waits for the courts to no doubt reverse the divorce settlement, since that is the logical next step. In the end, another entity will own and run the YC. Let's all hope they have deep enough pockets to carry the club through till the economy turns around. Maybe Tim will start another club with the deal he cuts for land in Idaho.

Comment By sunrise, 2-13-09

sunrise
http://www.mastersmindtechnologies.com/toygallery

Comment By BlockHead, 2-14-09

Casual Observer - (Change your name to Consistent Observer)

Listen, I only listed those assets I felt should be pledged. I did not include the large parcel of land Tim owns in Palm springs where he was going to do the Oasis, I did not include in other 5 houses, his car collections, his art collections and I was guessing at the value of Western Pacific (That is his Timber Company he owns 1/3 of, Dolan family 1/3 and Primm 1/3) I know WP has significant land holdings in the PNW. Tim also has a helicopter, another small jet, an numerous private land developments.

CS loan really went to pay off Porcupine Creek debt and as far as I know this home is leveraged to the hilt but if you run a credit report on Tim Blixseth and all his companies, they owe nothing, not even a car lease, etc. Edra was the one with out cash and borrowed her way to fight, Tim controlled the cash.

It really is irrelevant is it not? If Tim is willing to throw all those assets he legally does not have to pledge into the pot this saves millions in legal fees and more like a year of time in the court system. By having Tim partner with CS, we get to start solving the problem. If we go at it your way how much time will this take? CS can not merely go to Riverside California and unwind a Divorce in a months time and then seize assets the very next day. We are talking about multiple lawsuits and this means somewhere in 2011 there will be a result. I agree that the outcome would not be favourable to Tim as it would appear he would loose those assets but it will take time and Tim actually did nothing wrong according to the loan docs.

This is all about putting together a plan and insuring the best party prevails under the notion that the unsecured get paid. I do not see the CH plan as of yet wanting to pay any of the unsecured but as I mention, we have only seen the first 'Ace' in CH's hand. Do not underestimate CH / Sam Byrne, this group can pull this off and do something for the unsecured if in fact they realize with out them the future is that much harder.

Finally, ask Tim yourself what funds he has available. Tim does have access to big money and Tim himself does have sizable assets and net worth. clearly not on the Forbes list but its still sizable and his assets (YCW / WP) are not leveraged or borrowed against thus giving him a strong security package to gamble with on YC. You are confusing Ms. Blixseth assets which are now almost in the hands of the banks. Again, I state that not to cause harm to Ms. Blixseth but she bet the 'House' to win control and in the end she did not realize how big of a financial monster YC really was. She won control of the two biggest assets and the two biggest cost areas. Her estate alone in the Divorce was rumoured to cost over $800,000 per month and we know what YC costs. Can you imagine what her lawyers were being paid? 1$10,000,000 plus I would imagine and keeping two planes flying at a cost most likely around $200,000 per month. Lets not forget her other lawsuit for Blxware, more legal fees, staff, etc. For a person with no income since for two years can you imagine the debt she took on to actually survive that horrific two years? I think its close to $50,000,000. Now we also learned about her son's failed housing development where she personally guaranteed $13,000,000 and is in court on Colorado with the loan provider, then we are told in the press she signed a promissory note for $20,000,000 to resolve her dispute on Blxware which went into default and the note was called in December 2008. Its a horrible picture on this side of the equation. Not only did the market work against her, all her investments did the same. It was an expensive lifestyle you can only afford if you have serious income. Given YC was not selling land when she won control, it left her a bigger gapping hole in her personal finances. It was for this reason Sam Byrne loan the money to her LEGALLY! She had no money to but Tim Blixseth out and as the court document have said, Ms. Blixseth was expecting over $75,000,000 from a group called Archer Capital. She was also expecting the French Castle to sell for $60,000,000. Those events did not occur and sent her in a spiral. If those two events would have happened I still believe the club would have done a chapter 11. It was a natural course and no one should blame Sam Byrne for doing this to the club. It was over due since August to clean up the mess and put this on to a correct path. CH / Sam Byrne is not trying to harm the club, in fact he put it into the best possible position for a new owner, whether that is him or another group.

Ask yourself this, 'Does it matter who the owner is if they pay some, most or all the unsecured off, provide working capital and pay some,most or all of the CS bond holders off'? We have tow people / groups who can do just that. Let let them present their plans in public. Both groups represent different ideas but believe the share in the idea to bring this club back and return jobs to the area. I believe jobs and income are most important into days economic situation and be thankful we have two groups looking to buy this club at a correct value. If Tim did not step into the scene, Sam / CH made a brilliant investment to get the club for the 'Starting Bid/Offer at 100m' but the area looses and the unsecured really loose correct? Sam / CH never for a minute assumed they would get this club for such an amount but needed to set the opening bid. Its very attractive to get people to look at it is it not? They set the small amount to attract buyers and NOT to buy the club cheap! Its a strategy deployed in Real Estate and when in court you have to be seen to being fair to the open market when in CH 11. Its a brilliant move and a fair play on the part of CH / Sam Byrne.

Comment By Hugh Net-Wirth, 2-14-09

Is there any basis whatsoever for declaring Credit Suisse as being part of 'Team Blixseth' other than a comedic one?

Comment By BlockHead, 2-14-09

HUGH....................................

Does it really matter? Its an idea and clearly CS will not partner with CH would you agree? CS and Tim have a lot of commonality. CS to protect the Bond Holders and Tim to insure the Promissory notes are not called and he has assets legally owned by him he can put back in the pot. Tim did not steal the money, CS gave it to him and those assets are his until proven in a court of law!

Comment By traildog, 2-14-09

Poor millionaires and billionaires...don't just break your heart?

Seriously, those of us who aren't millionaires and did not buy into the "dream" that was the YC have a hard time forgetting that Blixseth has made most of his money due to direct and indirect subsidies by the federal government--including the land swap without which he would have been unable to create the "dream".

New West should change its name to: New Wealthy. This website is noting more than a forum for wealthy developers and realtors pretend they are actually a part of the communities which they suck life blood out of...

Comment By Elk Horn, 2-14-09

As a long time member of Yellowstone Club, I am in full support of Tim Blixseth going after and bidding on the YC Club. This has been Tim's "baby" from the start and what has happened to the greatest private club in North America over the past 12 months is nothing short of criminal. I know that Edra's heart was in the right place and she truly wanted to make it work, however, that said, she is not a developer and she is definitely not a Tim Blixseth. The shear fact that she has taken on so much debt over the last year and a half confirms this simple fact. Edra needs to let go of this, step back and get her life in order. Start flying commercial, get rid of the private jet, and quit doing things based on vendettas and paybacks. Life to short for this and you cannot make good business decisions when they are all based on getting even with someone else.

I have nothing against Cross Harbor or Sam Burns. They are a talented group but it simply makes no sense for anyone other than Tim get back involved and take the Yellowstone Club over. The Club is Tim's idea and his dream. Give him a chance to finish it and you will not be disappointed. To have a group like Cross Harbor, or anyone else, buy this club for $100 million is absurd. Even if this was simply a bid to be used as a "starting point", it is an insult to owners, members and creditors alike. A plan needs to be put in place to take care of those who are owed money, work with CS and create new and innovative programs to get the Yellowstone Club back on track as fast as possible.

Tim has stayed quiet for way too long and I was surprised and relieved to hear Tim finally come forward and tell his side of the story. I have seen so many rights and so many wrongs in the development business and I can assure you that the only correct path is for Tim to get back in control.

Everyone forgets that this is not the only major development to file Chapter 11. Tamarack, Carefree Resorts, Daufuskie Island Resort, etc... and it wont be the last. To much inside fighting and inside chicanary is taking place to try and wrestle control of the club. The problem is that the only real chance the Yellowstone Club has of getting back to it glory days is to see Tim Blixseth walking around the club house working that $2.00 calculator with his right thumb.

Hang-em high.

Comment By Blockhead, 2-15-09

Excellent reply. Tim Blixseth lets see what you can do now with CS? Good luck to CH and TIM

Comment By big timber, 2-15-09

With all the backslapping and attaboying over praise for someone who has more recently been demonized for his part in causing these problems, his board seems suspiciously like it's being filled up by Blixseth plants.

Comment By Blockhead, 2-16-09

For the record and if you read former blogs, i am not a TB supporter but would be if he adopts some of my thoughts. Ball is in his court. Thanks Big Timber

Comment By Spyder Man, 2-16-09

"Oh what a tangled web we weave when first we practice to deceive"

Comment By Hugh Net-Wirth, 2-16-09

I can't believe the support Tim gets on this board. At best he chanced upon the world's stupidest and most convenient divorce settlement, at worst he pretty perfectly divided tangible assets to himself so cleanly you have to wonder if the whole divorce wasn't a divorce of convenience.

Why doesn't anyone question why Blixseth gambled YC's future with the YC World disaster. I think that misadventure set YC's road to ruin. Having conveniently assumed many of those assets without ever paying for them, Tim may disagree.

Tim needs to 'fix' the Credit Suisse loan and the other creditors before he has the nerve to reenter the fray like nothing ever happened/changed. Saying my wife stupidly fought for those debts and won them, excusing your own bag of IOUs, just doesn't cut it. Let him be man enough to admit he steered it to the brink then jumped ship. If I hear him say 'divorce' or 'my wife' one more time I'll scream.

I only follow this saga for sport as 4 years ago my instincts told me schysters like Blixseth end up on the news and in court. I couldn't believe 'high net worth' individuals would invest with this former bankrupt rainmaker. Economic downturns expose the bottom feeders in the tide and here is Blixseth with a thousand excuses.

I turn to the learned George W for guidance:
"There's an old saying in Tennessee — I know it's in Texas, probably in Tennessee — that says, fool me once, shame on — shame on you. Fool me — you can't get fooled again."

Comment By A Nobody..., 2-16-09

As a kid I used to ride horses, and play in the country side that is now Big Sky, and Yellowstone Club, where there was nothing there but what God had put there. I look at it all now, and it makes my stomach turn. What's worse is that it now seems to be the battleground of the millionaires vs. the billionaires. I sit back, and watch all of this nonsense going on with these greedy, truly unhappy people, and find myself ever so grateful to be a nobody, and very happy.

Comment By Elkaholic, 2-16-09

The caviar bar? Yellowstone Club World? The world's most expensive home to ever be built? That's a long way away from staying in a 700 square foot Rainbow cabin, enjoying a burger in the BBG and buying into the idea of a "Place where families gather".

Comment By Elkaholic, 2-17-09

continued....
Are you sure you want Blixseth back at the helm??
Yes, it is his "baby" and his vision. But somewhere along the line his vision got a little blurry. This was a profit making venture and then the profit making got out of control. If lots had stayed remained reasonable priced (REALATIVELY...considering what slopeside would cost in any of the major western ski resorts), the majority could have been sold by now. Instead the price of poker went way up, the publicity centered around the "playground for the rich", the world's most expensive home was going to be constructed and the YC World club was created. Those ideas were not on par with the ideals of the members that came to gather with their families. If he were to return...what agenda would it be under?

Comment By Elk Horn, 2-17-09

You are so right in your comments regarding Tim losing his way, however, it is important to remember that a lot of people lost their way during the 2003 thru 2006. Money was easy to get, people had a lot of it and were willing to spend. Tim had a crazy idea to build the Yellowstone Club once and I remember those days. People thought he was out of his mind. But it worked and when it was working he was "smart", "talented", a "visionary", etc. Then he wanted to do the World Club and at first, everyone thought it was a great idea. Tim's confidence in this program grew as members of YC started committing deposits to this new Club concept. I personally know of well over 20 people that expressed interest in becoming members. If it worked, again he would have been praised. It did not work, however, he still had solid assets he could sell and pay off CS, at least that was the intent. Then all hell broke lose with the divorce, rumors of insolvency were spread well before the current economic collapse and poeple stopped buying at YC and decided to sit on the side lines and watch. When Edra got the club, I was amazed to see how much money she was borrowing as the world was crashing down around us and the markets were going the opposite direction. It was as if she thought she was the Unsinkable Molly Brown.

As a member and owner, the priority is to get the Club back on its feet, get the Big Sky community paid in full and back in support of the club and take care of all the employees that have hung in there. We must also treat Credit Suisse with respect. They loaned money in good faith and have proper collateral. I feel that a guy like Tim can sit down with CS, figure out a solution, put a plan together to get the club up and running and do so with a proper business plan that will work. Will he once again decide to build the most expensive home or do another World Club, I think just about all of us have learned something over the last 12 months.

As much as some think he is the devil incarnate, he is the man for the job, he has the resources and he has the talent. As much as some do not like it, they know deep down that Tim could get it done.

Bugle on

Comment By Ann, 2-17-09

Like I said it looks good on paper. Question is; Does anyone dare TRUST? I'm glad it isn't up to me. Screw me once shame on me. But there won't be a second chance.

Comment By Blockhead, 2-17-09

Well put elkhorn. I think Tim is the only person at this stage to pull off a succcess and recover the positions by puttin back the YCW assets. Tim has the knowledge set to rework the problem and address it head on. He is a street fighter and not a Harvard MBA type to screw it up further. CH is also a good choice as he has the right management team and skin in the game as well. Either way lets see a healthy future. Again, good luck to both parties and may the best plan win. A smart group would PR the hell out of their plan and let the courts know what the people want, the suppliers want, the members want etc. Montana courts can go eithr way for the right long term plan and not sticking CS with huge losses to explain to Bond Holders. CS deserves better and Tim knows he can be a hero to come back in this fashion. As for Edra, well, I wish you happier days and your a nice person who wanted better for everyone. Support the best plan Edra but do the one which is best for the club. Not much can save your debt problems at this stage so better to save face as you can always make money but showing your word is more important.

Comment By Elkaholic, 2-17-09

Do you think Tim is really able to do what the members want and not just what Tim wants?? I'd like to think so but am deeply concerned that his vision has strayed too far from being an anti-Vail/Aspen/Deer Valley and his goal leans towards amping up the exclusiveness. When the cost of a lot/home reached a certain point...the prospect pool narrowed. If you go from catering to the very wealthy to just the uber-rich you get into a group that collects trophy homes they visit one week a year and never become part of the community (obviously, this is a generalization as you can find well-grounded, involved, active families in all economic stratas....but hard to find 500 of them to complete the membership). The majority of the members really seem to be looking for comfort and family time...not exclusiveness and all of the other over-the-top trappings that Tim seems to think are appealing. Maybe I'm wrong? But from conversations I've had it seems most members came to Big Sky, loved it, then discovered Yellowstone and couldn't resist. How many came because they were lured by exclusiveness and elitism and fireworks on New Year's Eve? What would Tim and Credit Suisse be interested in selling? A completed membership with families of all ages, various backgrounds, common interests in skiing, outdoor activities and family time OR grandious homes, expensive parties, and lots as expensive as the market will bear?

Comment By Blockhead, 2-18-09

Tim

what are your plans? Let us know

Comment By yc employee....for now, 2-18-09

So, its been a discovery kind of day here at YC. The sales and marketing team was let go today, I guess it was about time since no one had been paid there since August. They were working for free anyhow.
Is this just a glimpse of how it will be the week after ski season ends, I for see 400 unemployed people around here in one fell swoop of the ax.
What a sad state of affairs for the employees. This is just another round of crap an top of crap.

Comment By Gate Crasher, 2-18-09

What???? So, so sorry to hear that.

Comment By Elk Horn, 2-18-09

That is so sad to hear. I never understood the importance of putting up $20 million to keep YC open for a Ski Season. The Club should have been closed, employee programs in place to keep them paid, shut down everything else and get the right guys in place to re-organize, create a new plan with CS and spend this year working to bring in the right financial resources to get the club back on its feet and ready to go next year. This is just another black eye for the club and another failure for YC.

This is sinful and for all the employees of YC still employed and for those that have been let go, God Bless all of you and I wish and hope we can get the right team in place ASAP. I will say it one last time. Tim Blixseth, love him or hate him, is the ONLY guy in North America that can put this deal together and get it done in todays environment. Edra needs to step aside and file Chapter 11 along with Mathew and call it a day. Was it really worth the $20 million to keep the club open for this season? What was the point? Those funds, plus the $80 or so million Edra has borrowed would have gone a long way to solving a great deal of YC's problems. Now we just owe another $20 million on top of the CS debt and Edra is in a hole she will never dig her way out of.

Keep on truckin

Comment By Elk Horn, 2-18-09

Elkoholic,

Forgot to answer you. It is a matter of economics. Edra's entire plan was about EGO-nomics and revenge-onomics. Hard way to do business.

Stay dry

Comment By Elkaholic, 2-18-09

I'm confused. Was Discovery in a position to let Sales and Marketing go?? I was under the impression that they were just put in place to run the day-to-day business of the club...restaurants in particular. Discovery is now in charge of Selling and Marketing Yellowstone?? Who writes the checks? Are they coming from Discovery or Yellowstone? Membership has no say in any of this?

Comment By Elk Horn, 2-18-09

I agree. As a member/owner, we have had no say in any of this unless you part of the Ad-hoc Committee, which I am, and all it does is vote along with CH and and some other key owner/members that are leading the charge for Discovery.

Who is in charge? It is like an Abbot and Costello routine.

Comment By JohnMcCauley, 2-19-09

Elk Horn ... Did this really happen? If so, how can the members and this ad-hoc committee sit back and allow this to happen? Has anyone thought through the fact that CH is not guaranteed to get the club and their relationship with Discovery is only "inked" through the end of ski season. What happens if another suitor comes in...even at the last minute? Discovery is making decisions in the short term that they may not be able to support in the long term.

Comment By yc employee, 2-19-09

Amazing, is it not, how "Discovery" can just come in and lay-off current employees - just to fill vacancies with their own Discovery Staff ?(at higher wages no doubt)

It needs to be known that Discovery is using their current position to make gains for themselves - and only themselves. They and their staff are taking advantage of the situation, and have NOT done anything for the Club to make it any better that it already was (or was not) - if anything they, DISCOVERY LAND CO. and it's Joke of a STAFF - have demoralized the Real YC staff!

Discovery cares not about any current and loyal YC employees. It is just in it to help themselves and give a "Rats-Bottom" about the real folk who run this place!

Whomever obtains control of the Club (if it ever is acquired and not shut down) PLEASE, PLEASE, PLEASE, give Discovery Folk the damn "Boot" that they deserve!!

Comment By Mehmnet, 2-19-09

Tim: STFU.

Where did all the money go? Certainly not toward botched facelifts for you and Edra.

Come clean buddy boy - stop positioning yourself as the victim: too many criminals in your league have used the same excuse and made it "cliché".

Own up to it: you are a scam-artist who, by a lucky quirk of fate, got the chance to pull the old bait-and-switch on a particularly wealthy group of investors. You were never a businessman, just a snake-oil salesman. Hah! You never did see any value in education - otherwise you would have donated to Montana State University when your looser son went there (wow - was he a real pain-in-the-a$$ when he was there!).

Comment By supertramp, 2-19-09

It seems that DLC are running free range with their descisions regardng staff layoffs, with no concern to the operation of the club or the members. Someone has to be held accountable for these choices......but as has been said, moral at the club is now at a rock bottom level and no one feels safe from the "Axe"

Comment By yc employee....for now, 2-19-09

So the real deal is that MOST of the little people in sales and marketing got let go effective next Thursday. The sales guys will stay - maybe - and thier assistants may be let go.

The Discovery AX man Duckett makes the decisions without looking in the eyes of the employees and has Hans do his dirty work. The "discovery" team is destroying the will of the YC employees who have served without much question through this mess while praying they will still be getting a meager paycheck.

DLC had the balls to have the YC kitchen staff redo alll the menus because they could. They also have a campfire burning non stop outside the lodge which stinks up cars and the main lobby of the lodge while setting off the fire alarm at times - dumb. Discovery has enough clout that they do whatever they want. I hope the adhoc members can get control over this train wreck before she falls completely apart.

Comment By A Man in Full, 2-19-09

fact: early this week per the direction of DLC, several, but not all, members of the sales and marketing staff were individually told they would be let go as soon as next week

fact: a meeting was held among the sales and marketing staff today to discuss those being let go

fact: minutes after the meeting concluded, a DLC partner called and rescinded the layoff because DLC isn't yet the exclusive manager of the YC. the sales and marketing staff remains in tact through April 30th. TRUE STORY!

fact: almost a year ago and long before the bankruptcy, Tim Blixseth, while still majority owner and in complete control of the YC, stole the rightfully earned commissions of the sales and marketing team from several transactions!

question: TIM, since you are so concerned about paying all the employees back, do you plan on paying this team their commissions that you ROBBED them of last year?

Comment By Space Turbo, 2-20-09

Why are people concerned with losing their jobs at the YC...there is no peace of mind working there wondering what the future holds...selling overpriced McMansions to a 'so 2007' elite superclass isn't the easiest gig when their club fees will barely cover powering the seat warmers in the chair lifts. I'd rather be unemployed with dignity than trying to lure new suckers into this beached and foundering ponzi scam.

You're better off getting out of that house of cards.

By the way there is now a warrant approved for Edra Blixseth for failing to attend court over other loans she co-signed.

Comment By Concerned, 2-20-09

Can anyone shed some light on what the newest ruling (against the proposed CH bid) means for TB, CH & YC?

Comment By GC, 2-24-09

It seems as though Blockhead and others are a little too close to Tim. Lets keep in mind relatives, lawyers and personal friends of TB are trying to get him back in the game and this blog has turned into their latest tool to deceive the public. Blockhead, how do you ignore TB's reputation of slow progress throughout and stringing along every sub that ever worked on YC from day one? Do you really think an apology letter will bring forgiveness after 7 yrs of mismanagement and late payments? TB drug the reputation of YC into the mud long ago as far as subs are concerned. Dont get me wrong, Tims dream has fed thousands across the valley and was an economic boon for me personally. But to put a positive spin on TB buying the club is preposterous. This thing is a total mess thanks to him! The only real reason he wants it back is to avoid personal lawsuits once the club is sold at a loss. If Tim buys it back he can potentially avoid this, am I right? CH can properly manage and maintain the club as I see it. They have a great reputation at YC and throughout the valley. As far as I could tell Sam Byrne always paid his bills on time at Sunrise ridge and they moved substantially smoother than the debacle at the lodge? Lets be real folks, TB made his bed and now he should lye in it and take a nap while this gets sorted out. The sooner this gets resolved the better off everyone will be. Tim, Thank you for making YC a reality but the community and Club members want change.

Comment By Blockhead, 2-24-09

GC

If you read all my blogs you will see I am neutral but have attacked Tim on many issues. The point I make is does it really matter who owns the club as long as the unsecured are paid off and CS is made close to whole? You honestly think CHcan waive a wand better that TB? Tell me how? This is all about selling real estate and running a club. Not rocket science here. IF you want a one horse bid then ok, I agree CH is the best bid but CH cant waive a magic wand and employ people any better than TB. Pay off the debt, then pray big time the market comes back. THere will not be new construction for 2 years on this hill or any other hill and thats reality. TB is willing to pledge his YCW assets and has another big investor to come in with him. Put aside your differences, TIM create the club, yes created some of the mess giving the club over to Edra and now says he wants to insure the maximum price is paid. Wether its to cover his own ASS as you think really should not concern you as long as he pays off the unsecured and maximise the price does it not? You fault Tim but do not take the time to understand under tim's control he did the best he ccould to pay people when the market went soft in 2007/2008. The divorce dd not help either. Lay off the TB attacks and give us solutions. If TB wants to bid you are a fool not to hear the man out. He has a heart and merely wants to show everyone this side of him. People make mistakes and we cant make everyone happy but a one horse bid process is not good for anyone.

Comment By Blockhead, 2-24-09

GC

By the way, doyou own a home on the hill? You do realize if this entire club is sold for 100m, not only does CS bond holders get screwed so do all the home values on the Hill. Is this fair? Why attack TB when he is merely trying to do the right thing? This economy sucks. TB can walk away but at least he has the balls to comme back and help. That takes a lot of courage given the attacks against him. This is why I wish to stop attacking TB and see what he is all about. TB is horrible attacked and maybe he deserves some but he could walk away and it will take years for CS bond holders to unravel the promissory notes and assets, TB merely says' HERE I AM lets do a better deal for the benefit of those i brough into this mess. WHY is that a wrong thing. Now if this is all a lie on TB's part then you have every right to make your comments but TB is taking this very seriously so give the man a break.

Comment By Mehmnet, 2-24-09

Oh pleez. Tim is an sub-culture thief and snake oil salesman, not some drop-out from Harvard or MIT who, if given the chance, can parlay a few mill into a few bill by virtue of his (misanthropic) ingenuity.

Tim needs to be prosecuted to the full extent of the law for his crimes - and not given the chance to be in control of ANYBODY's money from here on in - including HIS OWN!

As for Edra, well, bad plastic surgery she'll have to live with and than may be punishment enough, but I still say she and Tim - and their loser con-son - should be forced to serve their sentences out on some desert island.

(OMG - and did y'all read: someone on this thread made a death threat to Tim and caused a Federal "security alarm" - HAH! - like there aren't any number of Yellowstone club members and workers who weren't thinking of doing the same. Oh COME ON!!!!)

Comment By Chum, 2-24-09

Careful people. Timmy has his lawyers watching ready to sue at the drop of a dime.

Weak Tim, very very weak. You make no friends by filing frivolous lawsuits. Weak.

Comment By Elk Horn, 2-25-09

I am in agreement to give Tim every opportunity to bid on and buy back the Club. I am not a "Tim Supporter" as referred to in previous messages. I am a YC supporter and I think the club deserves every chance to get back where it needs to be. Either Tim or Edra could have ended up with the Club a year ago and Edra is the one that elected to pay Tim to go away. If it went the other way and Tim would have taken over, I can guarantee that this club would not be in BK Court and even in these tough times, Tim would have made the right moves to get square with CS, get employees and Big Sky residents paid and shore up the short term issues with YC, with a plan for the long term. He would not have borrowed $80 or $90 million in personal loans for absolutely no reason.

Love him or hate him, Tim is smart and someone you can never count out. He as a natural ability to get things done and put deals together. Accusing him of being a "hustler" or a "snake oil salesman" is absurd. Some people are letting their anger cloud their mind and their judgment.

Remember back a 2 years ago during the divorce when Edra was saying to the public that the club was facing insolvency and Tim did not have the funds to save it but she did. What happened Edra? Where the beef? What happened to the French guy that smoked one cigarette after another and stomped them on the ground in front of the lodge with all YC Employees watching. What a class act option that was!

All that talk did was stop people from buying property and then, the next year the world changed. I know because I was one who was prepared to buy a new property and decided to wait and see how the divorce turned out. Well we now know.

Give all bidders and equal chance for the sake of the Club, its employees and its members.

Comment By Mehmnet, 2-25-09

OMG - STOP IT!

Tim is not - nor ever has been - "smart".

He IS sneaky and underhanded - which is why everything is playing out the way it is and blowing up in everyone's face.

The Yellowstone Club has nowhere to go but down. The only question now is: are you going to go down with it?

Comment By Elk Horn, 2-25-09

Obviously not a member or an owner. Just some ass sitting on the sidelines. May be time to grow up.

Comment By Mehmnet, 2-25-09

Oh - we're not allowed to comment or pass judgment???

Sorry - bud - but this is a public forum and this trainwreck 3-ring circus is too entertaining - and the Blixeths too full of themselves - not to invite such commentary.

Happy landings!

SCHADENFREUDE!!!

Comment By buddy, 2-25-09

I think everyone is losing the bigger picture in all of this. This whole ordeal is bad. This shouldn't be about who did what or didn't do. This should be about what is best for the members, employees of the club and contractors that work on the club. Who is going to purchase the club and who is going to take care of the debts owed and make the YC prosper? There are may things going back and forth about who will be the best and the worst. No one can decide that, no one knows everything. What needs to happen is the truth so hopefully someone reading these can make a change.

The YC was based with the Mission of having family join the YC and have the security to enjoy it. That is not what is happening! There is a company as many know as DLC, this company is stripping the very core and heart of the YC apart.

DLC held a meeting that stated we would not even notice they were here

DLC disappeared for a few months, once they returned it was made very known they had returned, starting to layoff numerous positions with in the club and filling those positions with their own people ( are they going to find these employees jobs to help support their families, wake up and smell the coffee DLC you are bringing in your own employee's and getting rid of the people who need the jobs, just in case you haven't looked, there is not much to pick from)

DLC is trying to eliminate the security of the club and changing it to a concierge servie asking members when they first enter if they want cookies coffee ect......security can't do their job because DLC won't allow to rehire enough staff to help patrol, watch gates and check peoples activity on property.

DLC needs to leave the YC they don't have the best interest at heart and don't belong here. DLC doesn't care about the members and employee's, it cares only about it's image and financial gain in the future.

It is hard to believe that CH and Ad-Hoc are allowing DLC to ruin the very basis of the YC and for what.

The YC is the Hub of income for much of Montana and many other states, wether it is a YC employee or contractor coming to build in the YC. Who ever buys the club I hope you keep all these factors in mind. I agree that the club is on life support with the plug about ready to be pulled, yes it needs money to go forward.

The YC is a wonderful place to live but it could be even better. It should not be a season place, this should be a place where members feel safe and have many more eminities to offer. All costs money however which should come with time with the proper owner. We need to focus on having more people want to be permanent residence verses seasonal that is what is going to support the club and make it grow.

Right now the YC is a joke in the US, I don't find it very funny however they are making some valid points. Why don't we prove them all wrong and turn the YC back into what it stands for and why people came here to begin with.

TB and CH, I hope you are doing this to better the YC and not just make another name for yourself or company. Step back and look at the whole picture and see everything being effects, it not going to go anywhere if nobody can trust or owns it!!

Comment By Hugh Net-Wirth, 2-25-09

I'm not the sharkbait member in question and never issued any threats, but I did once say something negative about and/or question Tim Blixseth.

I take it all back Tim, please, please don't sue me. You are a great, honest and upstanding person, and all those loans you took out were to help the destitute homeless lepers.

Don't sue me Tim, I promise to make up all kinds of good things about you.

Comment By GC, 2-27-09

Blockhead, I have to rebutt a few of your points. First off, I am a "landowner on the hill" and have much fiscal and emotional connection with YC. Our property values will not decrease if CH buys the club at steal.. Its going to take puchasing the club at a low price to make it viable and profitable in this shitty economy. Solutions: Quit complaining about CH getting too good of a deal? That just means they can put more into it. Support CH as they have a name and reputation to get the place reorganized. To the bond holders associated with CS, I say tough investment, they should have looked at the profitability of YCW when they loaned the money to TB. YCW was stumbling and never penciled out from day one, this is the fault of CS and its bond holders not the fault of YC or its members!! You say manging the club is not "rocket science".. Hmmm...I wish it was that easy, TB had that same attitude and look where it got us. Blockhead, no matter what amount is paid for the club as long as TB's name isnt associated it will stabilize home values. If TB pays top dollar you are correct no homes will be built for years and we will see a serious misfortune. If CH takes over we will see several houses begin or resume construction as soon as the snow melts. Why? because there is confidence in anyone but TB. Christ just read the F%&^&%$ing newspaper for the last how many years!! Give up on TB you are one of very few that has confidence in him!!

Comment By Blockhead, 2-28-09

GC,

You almost sound like your head of marketing or something. Did you actually buy your land or was it part of your package?

Listen, you clearly do not understand investments, in fact its people like you why the economy is in the crapper. SCREW the bond holders you say. How nice, did your mother or father not teach you responsibility? Write it off right? Shit you probably like the auto bail out didnt you. Something for nothing like your land? Pull your head out of your AXX. Even the Judge thought the CH plan was to say the least BS. Are you telling this forum CH did not loa Edra money to screw CS? Please! CH loaned money to TB on the first deal to tie up TB with 12m! CH wanted to BQ this from day one and found a poor sucker like EB. Listen, CH is a great client for the club but lets get the facts out shall we. Different styles to get to an end result. Why is TB so bad to take 209m from the club and not repay it? CH defaulted on the golf lot but got out of it by loaning 35m to EB. Why has CH not defaulted EB on the loan which has been indefault since Ocotber 2008? Is CH this bad of an investor knowing the banks are forcing her to her knees. Oh, yeah, they have the first deed right. Well, GC, it has to be liquidated now. CH plays the same as TB but they do it with a Pen and TB just tells you to your face. Let them both bid. YC is not going to se fun times if we have members like you saying its ok to screw CS and call it bad advise. People like you need to have your head examined. Let me guess you take loans to and say, tuff luck to the banks? Get a grip on life and getoff your butt and work hard for your money and then have some Axxwhole on a mountain say, sorry you idiot, CS deserves to loose your money. Who are you really? TB is just as good as CH and I hope TB wins this bet because at least he does not lend money to nieve women in Palm springs to steal a club and BQ it!

Comment By Elk Horn, 2-28-09

GC

You sound like Edra even more than you sound like you are in marketing for YC!! I cannot believe that anyone would take the stance to screw the bond holders and screw CS. What a simple minded and selfish stance. If Edra would have started working with CS a year ago, instead of borrowing millions of dollars for nothing, leveraging every asset she has and letting CH completely run her over, we would probably not even be having these conversations.

Way to go Blockhead for nailing GC to the cross.

Comment By Yes we can't, 2-28-09

Sorry Elk Horn but GC isn't nailed at all, and for blockhead to say GC doesn't understand investments is ignorant and wrong. YC has an extremely finite amount of money coming, so from the member's point of view that amount can be spent on the club's future, or spent paying off the Credit Suisse debt. Credit Suisse's shortfall has no action against the members, just Edra and probably Tim and his 'private' YC world assets no longer enjoyed by members. As it is likely CS will have to forgive at least some of the debt, their spite and grudge might as well be directed at the Blixseths. You are basically suggesting that the members
wear Tim's penalty.

You seem to think that whoever bids the higher amount wins. I doubt it's that simple. Cross Harbor isn't emburdened by paying for the debt now or the likely subsequent legal action CS has against Tim. Their bid is their bid and effectively cancels the debt. Whether Tim repays the debt at bidding time or later in court, there are several hundred million reasons not to have faith in Tims ongoing ability to run the show. It will be funny to see if Tim's offer includes more IOUs...

Blockhead and his Blixseth gang (of two) are perfectly entitled to their wish to have captain stupid back at the helm. GC's view is equally valid. Nailed nothing.

Comment By GC, 3-02-09

Blockhead, Pull my head out of my AXX? If TB gets the club watch the values go down the tube. It doesnt take a Harvard degree in Economics to figure that out. You may know the details but the confidence is not with TB. His name is shit at YC besides a couple cronies like you and Elk Horn kissing his aXX. Who the hell is going to invest in the club with the BS he has caused over the past few years? NOBODY!! Its called "Consumer confidence" of which there is a serious lack of when it comes to TB. Argue that with all your BS. And for CS, they should have done there F(*^&*ing homework before loaning millions to TB!! Im not for bailing out automakers or swiss banks Blockhead, they made a bad investment. The bondholders before them probably made out like bandits with fistfuls of cash. Thats how it goes. As for consumer confidence maybe that nice letter to the public you suggested will win us over? Whatever!!! TB started started digging his grave by F(*&^ing hardworking people and members long ago. Sorry Blockhead if TB gets the club it will be a ghost town for 2 years or more. How do you expect to make that viable for CS and TB? Investing millions more with zero lots sales. TB should do his research before he goes for the club. If he gets it we could be doing this whole bankruptcy thing over in 2 years. Amen!

Comment By Jane, 3-03-09

I wonder about the figure $12 million for golf property in St. Andrews, Scotland. A few weeks ago a Scottish Newspaper stated Yellowstone Development LLC bought the Development site for £1.8 million. This week another newspaper claims the planning submissions for the golf course are illegal.
Can anyone clarify?

Comment By Simple Minded, 3-08-09

Elk Horn

Its very clear that 'BY YES WE CANT' is more or less a prop up for CH. Did this blogger even both to read that the BQ judge is seeing through how CH has taken advantage of Edra Blixseth? They lead her down a path and control her every move. Why? Ch is clearly not stupid. CH could not control Tim Blixseth. At least Tim never came up with the plan to Bankrupt the club. CH suggested this almost 1 year ago and was in an email to Edra Blixseth in Edra's deposition on court records. Sam wanted to do this with Tim Blixseth but Tim would not play ball with Sam Byrne. Lets also not forget that it was Sam Byrne who never could prove he had the money to buy the club.

CH is just as guilty of clouding the issues and the 30 day loan to Edra for 35m was the starting point. Then it was locking away the Family Compund. The CH told her to hire FTI Consulting, to hire Mike Meldman / DLC and then when Edra had no my lawyers, CH recommended the Seattle Law firm. CH instructs and Edra is merely sitting back letting it all happen. CH is trying to buy the club cheap for over a year now. How can you say they are favored by the members? Ask around, the members started their own investment group to bid. CH is equally not liked and sorry to say this but Tim Blixseth is not liked by those around Edra.

Tim made a lot of people wealthy. Ok, some made less but get over it or go buy your own mountain.

Tim has NO DEBT, He does not own BLX Group. Edra became to greedy, she wanted the golf estate and the club and now she looses everything. Bo who. Get over it! CH is the new owner of the golf estate and who wants this at 700,000 / month.

Given Edra borrowed so much money and made so many promises to banks, friends and employees, how can she not do exactly with CH / Sam tells her to do. She does not think, she merely signs when CH says sign here! Edra went from billionaire to Sam's puppet. How sad is this and I believe the Judge already sees' the manipulation and control. Just wait for the Judge to learn that CH had this all planned. CBRE is selling what? where is the proof they sent the offering out to 18,000 clients? What clients? 60 offfers now? BS. CH is the only person at the table holding their 30m to do a deal with 70m in Promissory notes. BS. Come clean everyone, who really gives a shxt who pays the highest amount but lets not forget, Tim built the dream and ran it. It was not Chapter 11 during his helm.

Comment By Perry Mason, 3-08-09

Thanks for the update, Blockhead

Comment By Elk Horn, 3-08-09

Well said simple minded. CH has manipulated YC straight into bankruptcy and has put Edra there as well. I hope they enjoy paying the monthly bills on Porcupine Creek because they are going to own it.

This was always Tim's dream and CH and Edra have done everything in their power to destroy it while trying to pin the blame and all the problems on Tim.

Sorry group of individuals.

Comment By Yes We Can't, 3-09-09

Thanks Blockhead, I mean Simple Minded (what happened to the melodramatic farewell?).

This article was printed from www.newwest.net at the following URL: http://www.newwest.net/topic/article/tim_blixseth_responds_to_yellowstone_club_bankruptcy_allegations/C35/L35/