By Carey Purcell
28 Apr 2014
"We have been in negotiations with TD Bank about the mortgage for several years," PTC board chairman E. Gerald Riesenbach told Philly.com. "In the course of those discussions, the bank foreclosed. We continue to discuss ongoing occupancy arrangements that will assure us of permanent residency in the SRT. We are confident of a positive resolution to those discussions..."
Philly.com reports that as of August 2012, the theatre had a balance on its mortgage of a little more than $11 million, according to its most recent tax return. The theatre had an annual budget of just under $5 million in 2012.
PTC opened its 365-seat Suzanne Roberts Theatre in 2007 with the help of $5 million from the state and $3 million from the city. Fund-raising to pay for the building was never finished.
"We do have cash-flow issues," Riesenbach told Philly.com. "We are at this current moment engaged in the late stages of discussions with a very significant donor that will once and for all put us on a very strong financial footing."
"We have been in negotiations about PTC’s mortgage on the theatre with TD Bank for several years. As a practical matter, this situation has little effect upon PTC's operations," a statement on the theatre company's website said. "We continue to occupy the theatre and to prepare for our exciting main stage production of A Boy and His Soul, which will run from May 23 through June 22. Our just announced summer offering, Colin Quinn's Unconstitutional, will run from July 1 to July 13.
"We continue to discuss ongoing occupancy arrangements that will assure PTC of permanent residency in the SRT," the statement continued. "We are confident of a positive resolution to those discussions and will shortly announce our 40th anniversary season in the SRT beginning in September 2014."
"PTC has no plans whatsoever to file for bankruptcy," executive producing director Sara Garonzik said to Philly.com. "Certainly, cash flow is always a challenge, but we have been working our way through it."
Visit philadelphiatheatrecompany.org for more information.