Odds of Party collapsing on Saturday? - Page 4

permafrost · #31 10-08-2006, 01:09 PM

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of course another possibility is that they offer a low % reload to non-americans on thursday/friday so they build up their cash on hand before the inevitable cash outs.

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5% reload up to a $1000 bonus!

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Thursday, only 15X!!

TomR · #32 10-08-2006, 01:52 PM

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For according to the company's June 30, 2006, balance sheet, PartyGaming owes its clients $192.6 million in liabilities and prize pools, while having only $132.9 million in cash and cash equivalents to meet that obligation. And those cash holdings are likely to have fallen sharply, because of $130.5 million of cash spent on an acquisition in August.

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This really is kind of puzzling to me. Does anybody here have access to PartyGaming's Financial statements? If Party really has Player money in a segregated account then it should show up on the balance sheet and Barron's statement should prove to be bogus. But then what's up with Barron's? Are they unable to read a balance sheet? Are they deliberately not mentioning the Special segregated account? ie. Are they either incompetent or liars?

There is really no reason why we can't read the Party Financials for ourselves. Surely somebody around here is a Party Stockholder and has a copy.

PairTheBoard

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Read em for yourself: Party Gaming's 6/30/06 Interim F/S

Barron's analysis seems to be correct, as I assumed it would be.

What made you believe that they had player money in a segregated account, I don't see that.

FWIW, I am a CPA.

TruePoker CEO · #33 10-08-2006, 02:11 PM

It is more likely that 4 feet of snow will force cancellation of the Monday new conference in Antigua than likely that Party will "collapse" on Saturday.

About as close to zero chance of either as you can get.

Guthrie · #34 10-08-2006, 02:21 PM

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What made you believe that they had player money in a segregated account, I don't see that.

FWIW, I am a CPA.

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Perhaps he confused Party with a responsible company like Stars.

PairTheBoard · #35 10-08-2006, 02:43 PM

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For according to the company's June 30, 2006, balance sheet, PartyGaming owes its clients $192.6 million in liabilities and prize pools, while having only $132.9 million in cash and cash equivalents to meet that obligation. And those cash holdings are likely to have fallen sharply, because of $130.5 million of cash spent on an acquisition in August.

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This really is kind of puzzling to me. Does anybody here have access to PartyGaming's Financial statements? If Party really has Player money in a segregated account then it should show up on the balance sheet and Barron's statement should prove to be bogus. But then what's up with Barron's? Are they unable to read a balance sheet? Are they deliberately not mentioning the Special segregated account? ie. Are they either incompetent or liars?

There is really no reason why we can't read the Party Financials for ourselves. Surely somebody around here is a Party Stockholder and has a copy.

PairTheBoard

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Read em for yourself: Party Gaming's 6/30/06 Interim F/S

Barron's analysis seems to be correct, as I assumed it would be.

What made you believe that they had player money in a segregated account, I don't see that.

FWIW, I am a CPA.

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I don't recall what Party specifically has said about it, but we've heard from numerous sites that Player Money is kept in a seperate account - on deposit in banks for example.

They show $155 million in "Trade and other Recievables". What could Party possibly have in the way of Recievables to the tune of $155 million? Is it possible that this is the account line containing Player Monies?

Also, in the $192 million for "Client Liabilities and Prize Pools" could they be including all the "Guaranteed" type tournaments? For example, the Sunday Million Guaranteed may show as a $1 million current liability even though the $1 million always ends up being covered by player entry fees.

As a CPA, what's your take on this Tom? They will surely have around 75% of Player Accounts withdrawn after Saturday. If the Barron's analysis is correct they certainly don't appear to have the cash to cover those withdrawls. Should we be buying Puts on Party next week? Are you going to buy Puts on Party next week?

PairTheBoard

Eponymous · #36 10-08-2006, 02:43 PM

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A butt load of that 80 percent probably has no idea whats going on.

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That may be true, but they'll know soon enough when Party doesn't allow them to play anymore. Then they'll definitely be pulling their money off the site. As soon as that happens, there will be no US money left on Party.

I hope all the fish move to Stars and FTP. I like their software much better anyway.

Sniper · #37 10-08-2006, 02:59 PM

imho, you have nothing to fear wrt your funds at party...

For those asking about Party's geographic revenue distribution, I posted Party's latest reported figures in the Barron's threads...

Broken Glass Can · #38 10-08-2006, 03:02 PM

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A butt load of that 80 percent probably has no idea whats going on.

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That may be true, but they'll know soon enough when Party doesn't allow them to play anymore. Then they'll definitely be pulling their money off the site. As soon as that happens, there will be no US money left on Party.

I hope all the fish move to Stars and FTP. I like their software much better anyway.

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Unfortunately, Party will probably not go under. It would be better if they did.

A run on Party's cash deposits would be good for poker. It could push a few of those sites that are still on the fence to realize what the consequences of hasty action will be.

The legality of playing poker has not changed, after all.

Gregg777 · #39 10-08-2006, 05:38 PM

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It is more likely that 4 feet of snow will force cancellation of the Monday new conference in Antigua than likely that Party will "collapse" on Saturday.

About as close to zero chance of either as you can get.

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One of these has happened thousands of times.

The other has never happened in the history or recorded man.

So I think you are just a weeeee bit off in your comparison.

TruePoker CEO · #40 10-08-2006, 06:11 PM

Neither event has happened "thousands of times".

The first is a future event, will it snow 4 feet in Antigua on Monday ?

The other is a future event, the issue of a collapse of Party, on a specific date. (I did not say "never" collapse, I was addressing this to the time frame of this coming Saturday)

I have no stake in either event happening or not.