Nashville Symphony finances: update

Posted on: June 19, 2014

Walter F. Roche Jr. reports in Wednesday’s (6/18) Tennessean, “The deal that saved the Schermerhorn Symphony Center from a foreclosure sale last year cost the Nashville Symphony Orchestra’s lenders some $39 million, a recently filed tax return shows.… According to Chad Boyd, the symphony’s chief financial officer, the $39 million included some $30 million the symphony owed to the banks on a mortgage with a balance of $85.3 million and another $9 million due to the lenders under a related interest swap agreement.… The banks, the tax return shows, agreed to a cash payment of $35 million plus a $20 million mortgage note. The note was sold to a company formed by longtime symphony board member Martha Ingram. The new disclosures come just a year after the symphony faced a financial crisis with growing debt on its new concert hall, which was badly damaged and put out of commission due to the 2010 flood. The orchestra, the tax return shows, ended the last fiscal year with a $13.2 million deficit but officials of the organization expect to shave that figure substantially in the next reporting period.… Boyd said in an interview that when the books are closed for the current fiscal year, which ends July 31, a deficit of only $3.5 million is anticipated.”

Posted June 19, 2014