Leo's Articles - The Writings and Ideas of Leo Crocker Rogers

Topic: Dailies

Avoid The Clever

Preserve the 2010 Olympics

Leo Crocker Rogers

Fortress, the group that built the "Whistler" grandiose area surrounding the winter Olympics in Canada, had a plan. They would build the finest, fastest winter Olympic venue ever – refrigerated bobsled run, higher ski jumps, and more. And they did. To make this commitment to uplifting the Olympics, they built condos in the area. They did this because the altruistic "Let’s make this the best Olympics ever." dream could not bring in enough income to pay back all the moneys aimed at blessing the Olympics. The plan was to have the commercial aspects of their venture fund their outstanding contribution to the Olympics.

"Fortress Investment Group LLC, whose Intrawest ULC owns Olympic skiing venue Whistler Blackcomb, agreed with creditors to postpone a foreclosure auction set for today, said a person with knowledge of the agreement. Creditors agreed to extend the auction deadline until Feb. 26, said the person, who declined to be identified because terms are private."

Such mixes are like tying helium filled balloons to a Boeing 747 to give the plane more lift. Ultimately, and almost always, the "tie ons" end up being more drag than help. And so it is in this case. Fortress has not been able to muster the income from the sale of its commercial venture to pay for the Olympic’s venture. Fortress has missed loan payments and the banks are saying, we want it all – say 100% back. Shut down the "Whistler" portion of the Olympics as well as give us back your condos.

Likely it will not happen, but time and again, we need to learn to disconnect from clever schemes that suggest they can accomplish our original intent. Question: Was the original intent, to bless the Olympics with a great site venue, or was the intent to make money?

Clever is almost always accomplished with someone else’s money.

Avoid the clever.