9a) DCU Financials
- DCU made 448,098 for the fiscal year. My question would be what about of this profit would we lose if the Sharks leave
- The city received a distribution of $244,515 this year and $335,480 last year. My question would be what will the annual payments be by the City of Worcester for all the additional bonds we have take for the 96 million dollar of improvements to the DCU.
- SMG management this year was 309,744. Next year it will be that number timed the CPI. What surprises me is that they get 50% of all monies take in that exceed $4,000,000 to a maximum of their mgmt fee.
- Revenue exceeded 4,000,000 by 1,755,686. 50% of that is 877,843 but it is capped by the 309,744 mgmt fee
- In total SMG received 619,481…
SMG received 619,481, while the City of Worcester received 244,515. What concerns me about the the SMG bonus is that it is solely based on revenues not on profit?? Lets say that we have $6,000,000 of sales next year, SMG will max out on their bonus even if we lost money??? The bonus should be tied to PROFIT not GROSS REVENUES….