Billionaire Comes to the Rescue for Jacko
Monday, April 25, 2005
By Roger Friedman
The word in Michael Jackson circles is that the beleaguered pop star has found a white knight: billionaire Ron Burkle.
Jackson has gone to the tycoon hoping that Burkle, who is reportedly worth $2.3 billion, can stave off the former King of Pop's much-needed sale of his portion of Sony/ATV Music Publishing.
Jackson is currently at risk of defaulting on over $270 million in loans from Bank of America.
Since Jackson loves "Star Wars," it's ironic that Burkle comes into his financial saga as an unwitting Darth Vader.
Burkle owns the largest supermarket chain in America, thanks to his acquisition of Kroger Stores. He is also the largest supplier of produce to McDonald's. His Yucaipa Companies also owns the Pittsburgh Penguins and Alliance Entertainment.
But Burkle is not just a corporate suit. He is a huge Democratic fundraiser and friend of the Clintons.
Last year, Burkle invested in Sean "P. Diddy" Combs' Sean John clothing line. Soon after, Combs became obsessed with getting people to register to vote or, as he put it, die. Combs and Bill and Hillary Clinton joined the billionaire in a luxury box, paid for by Burkle, at the Democratic National Convention in Boston.
In order for Burkle to help Jackson, sources say he might first have to pony up a $12 million gift. That number is arrived at because Jackson is $6 million in the hole and isn't allowed to accept loans, according to his agreement with Bank of America. But there would be taxes to pay – making the true amount much higher.
Burkle now enters the Jackson story. Like a lot of people who've helped Jackson in the past, he may soon regret it.
Burkle has given Jackson only financial advice in the past, not cash. Jackson's intimates say Burkle has come up with ideas to find another bank to relieve Bank of America. But this seems highly unlikely, since Jackson has no income right now, lots of debt and ongoing expenses and many more lawsuits looming on the horizon.
Nevertheless, "Darth" Burkle is said by some to harbor personal grudges against Jackson's real saviors, Charles Koppleman and Al Malnik. The billionaire may want to cause trouble in Jackson's dealings just to disturb them.
In the end, Burkle may not want to get involved with Jackson. Entanglements with the singer guarantee lots of publicity and attention to anyone who tries to help him.
Burkle has his own problems right now, insiders pointed out, including a nasty lawsuit he's filed against former Hollywood heavyweight Michael Ovitz, an even nastier divorce and the potential for being dragged into the government's case against former Hillary Clinton fundraiser David Rosen.
http://www.foxnews.com/story/0,2933,154492,00.html
Monday, April 25, 2005
By Roger Friedman
The word in Michael Jackson circles is that the beleaguered pop star has found a white knight: billionaire Ron Burkle.
Jackson has gone to the tycoon hoping that Burkle, who is reportedly worth $2.3 billion, can stave off the former King of Pop's much-needed sale of his portion of Sony/ATV Music Publishing.
Jackson is currently at risk of defaulting on over $270 million in loans from Bank of America.
Since Jackson loves "Star Wars," it's ironic that Burkle comes into his financial saga as an unwitting Darth Vader.
Burkle owns the largest supermarket chain in America, thanks to his acquisition of Kroger Stores. He is also the largest supplier of produce to McDonald's. His Yucaipa Companies also owns the Pittsburgh Penguins and Alliance Entertainment.
But Burkle is not just a corporate suit. He is a huge Democratic fundraiser and friend of the Clintons.
Last year, Burkle invested in Sean "P. Diddy" Combs' Sean John clothing line. Soon after, Combs became obsessed with getting people to register to vote or, as he put it, die. Combs and Bill and Hillary Clinton joined the billionaire in a luxury box, paid for by Burkle, at the Democratic National Convention in Boston.
In order for Burkle to help Jackson, sources say he might first have to pony up a $12 million gift. That number is arrived at because Jackson is $6 million in the hole and isn't allowed to accept loans, according to his agreement with Bank of America. But there would be taxes to pay – making the true amount much higher.
Burkle now enters the Jackson story. Like a lot of people who've helped Jackson in the past, he may soon regret it.
Burkle has given Jackson only financial advice in the past, not cash. Jackson's intimates say Burkle has come up with ideas to find another bank to relieve Bank of America. But this seems highly unlikely, since Jackson has no income right now, lots of debt and ongoing expenses and many more lawsuits looming on the horizon.
Nevertheless, "Darth" Burkle is said by some to harbor personal grudges against Jackson's real saviors, Charles Koppleman and Al Malnik. The billionaire may want to cause trouble in Jackson's dealings just to disturb them.
In the end, Burkle may not want to get involved with Jackson. Entanglements with the singer guarantee lots of publicity and attention to anyone who tries to help him.
Burkle has his own problems right now, insiders pointed out, including a nasty lawsuit he's filed against former Hollywood heavyweight Michael Ovitz, an even nastier divorce and the potential for being dragged into the government's case against former Hillary Clinton fundraiser David Rosen.
http://www.foxnews.com/story/0,2933,154492,00.html