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Wisconsin Ski Resort Files Bankruptcy After Snow Drought
22 Nov
Summary
- A Wisconsin ski resort filed for Chapter 11 bankruptcy due to severe snowfall deficits.
- Revenue plummeted from $1.4 million to $197,000 over two recent seasons.
- The resort aims to continue operations through the upcoming winter season.
Whitecap Mountains Resort, a Wisconsin institution known for its skiing, has filed for Chapter 11 bankruptcy protection. This move comes after two consecutive winters with drastically reduced snowfall, severely impacting the resort's financial standing. Revenue fell sharply from approximately $1.4 million in the 2022-2023 season to about $197,000 the following year, and continued to be low in the most recent season.
The resort's owner, Midwest Skiing Company LLC, sought bankruptcy protection to prevent foreclosure proceedings initiated by a private lender, Brighton Asset Management, to whom it owes about $1.86 million. The Chapter 11 filing imposes an automatic stay, halting collection efforts and allowing the resort to reorganize.
Despite the financial challenges, the resort assures customers and employees that operations will continue through the upcoming snow season. The bankruptcy filing is intended to provide a clear path forward for continued operations and a plan of reorganization, ensuring the future of the long-standing Wisconsin ski destination.
