Louisville Orchestra to tap endowments to pay musicians

Posted on: January 31, 2011

A report in Saturday’s (1/29) Courier-Journal (Louisville, Kentucky) states, “The Louisville Orchestra has been granted emergency funding that will allow it to pay its musicians on Monday, according to a release from the organization. At the suggestion of a bankruptcy court judge, the organization explored whether it could get funding from endowments controlled by the Philharmonic Trust and the Louisville Orchestra Foundation. Each organization granted advances against future seasons’ endowment allocations. The decision was made possible, in part, by an increase in returns from investments since December, according to the Friday release. Earlier this month, Robert Birman, the orchestra’s chief executive officer, said the organization did not have enough cash on hand to fund Monday’s payroll. He made the statement during questioning Jan. 20 at a meeting of creditors after the orchestra’s December filing for Chapter 11 bankruptcy. … Birman said the orchestra was working to abide by the Dec. 29 ruling by U.S. Bankruptcy Judge David Stosberg that requires the orchestra to honor its musicians’ contract, which expires in May.”

Posted January 31, 2011