Montreal's Outgames Lose $5Million

[Luv2play]

The auditors have spoken and Montreal's Outgames, held in early August for the first time (in competition with the Chicago Gay Games), are in the hole for $5millionCdn (about $4.2millionUS). The organization that was formed to hold the games has filed for bankruptcy, leaving many small suppliers and governments that extended loans on the hook for $millions. The co-chair who was responsible for the financial side of things has disappeared!

 

All of this is very disappointing for Montreal's gay community but was somewhat predictable, despite assurances to the contrary by the organizers last summer when a small profit was being predicted. It was not for want of tourists or participants, there were thousands. Also the weather cooperated and the Gay Village really got behind the games and partied like mad!

 

I believe what did them in was the fact that they charged far too much for the main events (opening and closing ceremonies) and also for the individual sporting events. The ticket prices were astronomical and largely went unsold. The only way they filled the Olympic Stadium with 50,000 people for the big events was by allowing free entry at the last minute to avoid the embarassment of empty stands. People weren't going to pay $160 for a couple of tickets just to sit in the nosebleed seats and watch Liza Minelli though binoculars! Many sporting events had less than 50 people watching.

 

The event was well attended on the periphery, however, and thousands visited Montreal and partied hard for a week in and around the Gaqy Village. In this respect, the local community did well and the bar owners and restaurants were happy. So it was not a total loss. Still, it is ironic that the main reason given for hosting the event was that the Montreal organizers couldn't agree with the Gay Games organization over the financial issues and the final result was that the Chicago games will not have lost very much money (apparently some several hundred thousand dollars) and the Outgames lost a bundle!

[alanalt]

Imagine! A sporting event losing money in Montreal? That's shocking!!

 

[+ ArVaGuy]

Unfortunately this seems to be a condition of Gay related events held on such a large scale. Just about every one of these events seems to wind up with in fighting amongst organizers, factionalism, and then fail to raise the projected amounts of money. Small businesses (some of them gay owned) wind up getting stiffed for expenses when the event organizers take the bankruptcy route.

[Luv2play]

You're right about that. Over the last several weeks people have been coming forward with details of the kind of losses they have suffered. One supplier was a guy who provided the boats for the dragon races and he is out over $6000, not a huge amount but for a small business owner it hurts. Others who worked for the organization have told how they were instructed to use their own credit cards for certain expenses and they would be re-imbursed later. Well, now is later and all the money has disappeared. Some people are feeling pretty burned.

[+ ArVaGuy]

Sounds familiar, same things have happend here in DC with some of these events. After one event many a smaller businessman stated that the gay events would have to pay in full up front for services.

 

I must admit that I have become skeptical when these events are being held as to just exactly who is accountable for the way these things are run. Not sure about Montreal but DC seems to have the same faces running different events time after time. Said events wind up with issues and funds never ever seem to be raised for the purpose intended. Then when the organizers are questioned no one is accountable and there's stonewalling and nasty comments.

 

My line of work is in the conference and events management field in a nonprofit. Back in the 90's I volunteered on a couple of events slated for DC. I assumed some of my background would be helpful especially in the budgeting and costs areas. Let me just say that it became very clear that my ideas about spending were not appreicated and conflicts of interested abounded.

 

I learned a few lessons and vowed not to get that involved again. One thing for sure I really scrutinize the groups I donate my money to after that experience.

[KY_TOP]

It is my understanding that the Gay Games in Chicago also lost money. That according to an article a few weeks back about both events in the Blade. They have now decided to alternate years so they won't compete with each other.

[+ deej]

Read Canadian (gay) swimmer Mark Tewksbury's book, "Inside Out".

 

He goes into a lot of gory detail behind the politics and bullshit that caused the split between the Gay Games and the Outgames. He was on the committee during the split. It's quite eye-opening. Apparently, one faction mostly was interested in the deep-pockets uber-political OLYMPICS approach, and the other faction wanted to focus on the athletes and the GAMES.

[Louis]

Well its nothing new for a sporting event to lose money in Montreal. Look at the 76 Olympics. I think they paid off that debt, maybe a year ago or so. Its all about politics and maybe a bit of greed.

Louis

[+ newatthis]

> In this respect, the local community

>did well and the bar owners and restaurants were happy.

 

luv--

 

Another data point. When I visited Montreal in August, the unanimous response of the strip club waiters and dancers I queried was that business was, if anything, worse for them during the outgames than during a normal summer. This doesn't contradict what you wrote -- many reported that there *were* throngs of people. They just didn't do much hiring or even much drinking in the strip bars.

 

--new

[fedssocr1]

Our soccer club competed in the Outgames and one of my best friends was a volunteer referee there. As part of his compensation for working the tournament he was given "free" hotel accomodations. It turns out the organizers neglected to pay the hotel bill so the hotel decided (reportedly at the urging of the organizers who have disappeared) to go ahead and charge the credit cards on file which everyone had to give them at check in for incidentals. My friend ended up with a $1200 charge on his credit card a couple of months after the fact. He is of course contesting the charge.

 

To hear him tell it the Outgames seemed like a vanity event for Mark Tewksbury to sell his book.

 

The Chicago GG lost a couple of hundred thousand but they had donors who covered their debts. It seems like everything that the Federation of GG board said would happen, did happen with regard to Montreal's overly optimistic plans.

[Luv2play]

Newatthis, you gotta get out of those stripper bars!LOL Maybe the strippers didn't do so well that week as there were a lot of other diversions in the Gay Village and elsewhere. I had a straight friend in town but we dined one evening on Ste. Catherine in one of the outdoor terraces set up by a gay restaurant and the place was packed. Every restaurant was packed and we tried several before we got a table. I understand the saunas were doing a roaring business as well. So I guess it all depended where you were at that time.

[Luv2play]

I think you're right about Tewksbury. He was smart enough to keep away from the financial side of things and did the PR stuff. He hasn't been tarred with the financial mess as his co-chair has, who is a well-known lesbian in the community. (She is the one who is on the lamb.) Meanwhile Mark has subsequently made a public appearance at the recent Liberal Party convention to select a new leader for the party (at the national level) and he introduced the former Prime Minister for a farewell toast by the party on national television. I imagine Mark is prepping himself for a political career some day and these appearances help. The Liberals, BTW, were the party that legalized gay marriage when they were in power in Ottawa a couple of years ago.

[+ newatthis]

>I understand the saunas were doing a roaring business as well.

 

;-) ;-) ;-) --new