Senator Charles E. Schumer

FOR IMMEDIATE RELEASE: August 7, 2012

SCHUMER PUSHES FDIC TO NOW FIND LONG- TERM PLAN FOR GREEK PEAK; SENATOR’S INITIAL EFFORTS LED TO FDIC LIFELINE THAT WILL KEEP GREEK PEAK OPEN FOR BUSINESS THIS SKI SEASON

Last Month, Schumer Personally Urged FDIC Chairman Gruenberg to Find Plan To Keep The Peak Open This Winter – Recent Agreement to Provide FDIC Financing Is A First Step & Critical Lifeline, But Long-Term Plan Is Needed

Schumer Noted That Bankruptcy Filing Provides Challenge, But FDIC Financing Successfully Prevented Massive Layoffs And Will Keep Tourism Hub Intact This Winter

Schumer Urges NYers to Use Greek Peak This Summer & Winter, Will Continue to Pressure FDIC To Keep Greek Peak’s Doors Open

Today, U. S. Senator Charles E. Schumer announced his push for the Federal Deposit Insurance Corporation (FDIC) to work with Greek Peak Resort and carve out a long-term plan for the resort’s vitality. Last week’s news that Greek Peak Resort had filed for bankruptcy provides challenges, however this FDIC lifeline is critical to keep the company’s doors open until the winter ski season arrives, and provides an opportunity to find a long-term plan. Schumer highlighted that the recent agreement between the FDIC and the resort signaled that the immediate crisis had been averted and that the ski resort and its 1,000 jobs would remain this winter. Schumer called FDIC Chairman Gruenberg last week to emphasize the importance of Greek Peak to Cortland County and Central New York as a whole, and to reiterate that a long-term solution is critical as Greek Peak charts the best path forward to pay down their debt. In addition, Schumer is urging New Yorkers to visit the iconic Greek Peak this summer and winter season.

“Greek Peak has received an FDIC lifeline just in time to stay in business through next ski season. As I made clear in my conversation with FDIC Chairman Gruenberg, the bottom line is that 1,000 jobs and the heart of a local economy were at stake and step one was to avert closing and lay-offs. That has now happened, but more needs to be done to map out a long-term solution. I will work tirelessly with the FDIC to keep the doors open, the workers on the job, and to find a long-term solution that ensures this resort’s vitality for years to come.

“As the recent agreement by the FDIC unfolds, I will be working hand-in-glove with Greek Peak and local leaders to ensure the FDIC doesn’t lose sight of the main goal—to keep business humming. That the FDIC agreed to provide Greek Peak with this $1.6 million loan is a really important step towards saving the Peak, and I will continue to push the FDIC to work on carving out a permanent solution that preserves their role as a tourism mecca in Central New York.”

In July, Schumer urged the Federal Deposit Insurance Corporation (FDIC) to expedite a loan review made by Greek Peak, the Central New York tourist destination, in order to keep Greek Peak in business. The resort had applied for a $1.6 million loan from the FDIC that it desperately needed in order to stay operational until the upcoming ski season, and ensure Greek Peak’s over 1,000 employees stay on the job. The FDIC has agreed to offer Greek Peak that $1.6 million loan, as Schumer urged, provided that Greek Peak’s filing for Ch. 11. While Schumer noted that this plan provides challenges for the resort, it gives them the temporary lending Schumer pushed for and that the resort needs to make it through the winter season.

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