SNO MOUNTAIN AUCTION COULD CONCLUDE THIS WEEK
SAM Magazine—Scranton, Pa., Feb. 26, 2013—Auction bids for Sno Mountain are due Thursday in Philadelphia, with several bidders said to remain interested in the facility. If a substantial bid is received, a sale could be completed at a Mar. 6 Bankruptcy Court hearing.
Sno Mountain's investors—including some in the ownership group, who aim to oust the group’s president—forced the resort into Chapter 11 bankruptcy in October. After the ownership group purchased Montage ski area from Lackawanna County for $5.1 million in 2006, it poured $15 million into the resort—$3 million to expand and upgrade snowmaking and to build a terrain park, and $12 million to develop the Sno Cove water park, which opened in 2008.
In all, Sno Mountain claims $24.2 million in debt. The largest secured creditor, National Penn Bank, is owed $8.9 million. If no bids reach that sum, the bank could take control.
While there are reportedly several potential bidders, the only one to publicly express interest is Arthur Berry, owner of Camelback and Camelbeach, Pa.