Jay Peak lost $6.5 million during its “off-season,” the court-appointed receiver overseeing the property says.
A lack of cash reserves carried over from last ski season by the resort’s owner, who now faces fraud allegations, is one of the main reason for the shortfall, he added.
“From May through December, the ‘off season,’ the resort loses money,” Michael Goldberg, the court-appointed receiver, wrote in a filing last week. “Cash flow projections indicate that the Jay Peak resort will lose approximately $6.5 million this off-season.”
Goldberg included news of the shortfall in a report he wrote to investors, which provided an update on the properties he has overseen since April, when civil fraud cases were brought against Jay Peak’s owner, Ariel Quiros, and William Stenger, the resort’s former CEO.