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Phoenix Ownership - Rob says FTFFA (Part 1)

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Posted July 16, 2011 09:27 · last edited March 18, 2021 07:33

terminator_x wrote:

What a lot of people seem to forget is that the Phoenix is a completely different business to the rest of Terry's empire. The downturn in the property market doesn't directly affect the Phoenix� business model at all.


The Phoenix business model RELIES ENTIRELY on Terry picking up the tab for losses. Losses are budgeted for. So Terry's "empire" will be required to produce a dividend to pay those amounts. If it can't there will be a shortfall at some point in the season. Aren't those facts inarguable?

When you say it "So it's definitely in the Nix interest that Terry is in a position to cover any losses but it doesn't automatically mean the end of the world for the Nix if he's not" what does that actually mean? Ok maybe it's not a problem today but surely it's going to be a problem at some time during the season?

Which comes back to the simple point that without Terry's funding the Phoenix business model is unsustainable

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Unknown editor edited March 18, 2021 07:33
terminator_x wrote:

What a lot of people seem to forget is that the Phoenix is a completely different business to the rest of Terry's empire. The downturn in the property market doesn't directly affect the Phoenix� business model at all.


The Phoenix business model RELIES ENTIRELY on Terry picking up the tab for losses. Losses are budgeted for. So Terry's "empire" will be required to produce a dividend to pay those amounts. If it can't there will be a shortfall at some point in the season. Aren't those facts inarguable?

When you say it "So it's definitely in the Nix interest that Terry is in a position to cover any losses but it doesn't automatically mean the end of the world for the Nix if he's not" what does that actually mean? Ok maybe it's not a problem today but surely it's going to be a problem at some time during the season?

Which comes back to the simple point that without Terry's funding the Phoenix business model is unsustainable