Report: Intrawest Closer To Default

(Reuters) – Canadian ski resort operator Intrawest ULC, which owns some 2010 Winter Olympics venues, may default on a $1.4 billion loan and is in talks with its lenders about debt repayment, Bloomberg reported, citing people familiar with the matter.

“Intrawest is current on all its obligations and we are in active dialogue with our lenders regarding refinancing a term loan,” Chief Executive Bill Jensen told the news agency.

Intrawest, which is owned by private equity firm Fortress Investment Group LLC (FIG.N), is due to make a $524 million payment on Wednesday after obtaining a 60-day extension on Oct. 23, Bloomberg said.

Vancouver-based Intrawest was bought for $2.8 billion in 2006 by Fortress, which did the leveraged buyout with a $1.7 billion loan.

The games, which are scheduled to begin Feb. 12, won’t be affected by a missed loan payment, the report said.

Reuters could not immediately reach Intrawest for a comment outside of regular Canadian business hours. (Reporting by Sakthi Prasad in Bangalore; Editing by Lisa Von Ahn)