Take me out to bankruptcy: Baseball team struggles with debt
It’s not just American consumers who are having trouble managing their credit card debt these days. The Texas Rangers baseball team had to act quickly in order to pay down a whopping credit card bill.
The credit card bill is part of a larger financial stability issue for the troubled ball club, as controversy between its increasingly numerous creditors and the financially strapped ownership group continues in federal bankruptcy court.
Judge D. Michael Lynn said during the hearing that he thought the outsized bill was a strong indication the Rangers’ players were into “nice hotels and fancy restaurants,” according to the Wall Street Journal. However, Lynn allowed the club to meet its payroll obligation and renegotiate the terms of its credit line in order to stay operational.
The case is an offbeat but pertinent example of how far the financial crisis has penetrated into even the wealthiest sectors of American society. Consumers dealing with debts far smaller than that incurred by the Rangers can still face real difficulties, experts say.