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
Isn't that what I just said?
I was simply making the point that even if "Terry is gone for all money" you would need to have access to the Nix' cashflow forecasts to know exactly when that becomes a problem for the Nix. As you said yourself "maybe it's not a problem today" but it will become a problem sometime (unless the Nix can at least break-even).
I am becoming more optimistic by the day that the Nix will be alive and well at the start of the season, and for a significant part of the season. That gives Terry maybe another 6-9 months in which he can try and sort out his financial situation before his "ownership" of the Nix becomes an issue. That's good news for those of us who would like to see him stay, rather than be forced out of the club he created.
The more immediate threat is that if he is made personally bankrupt he won't be able to continue as a director of Century City Football and we don't know what that means in terms of the FFA allowing Century City Football to retain the license (but it almost certainly means it's all over).