To: Sdgla who wrote (1144532 ) 6/26/2019 5:03:41 AM From: sylvester80 Respond to What "fortune" you lying moron? You mean the POS tRump daddy trust fund that he squandered away? Or the "vast transparency" of his taxes? That lying POS has declared bankruptcies more times than I care to count, has been in debt and a lying criminal and a TOTAL FAILURE ALL HIS LIFE and he is double the LYING CRIMINAL & FAILURE NOW!!!!Ultimately, in the early 1990s, Trump’s winning streak ground to a halt. The national economy started to slow down, and New York's economy stalled, causing Trump’s income streams to dwindle. Soon, he found it difficult to make the interest payments on the debt he'd accrued to finance his different businesses. His annual loan payments were $300 million. The Trump Organization and its subsidiaries owed $9 billion and Trump's personal debt totaled $975 million . To avoid having to file for bankruptcy, Trump met with four of his major lenders, Citibank ( C ), Bankers Trust, Chase Manhattan Bank, and Manufacturers Hanover Trust Co.—now owned by JPMorgan Chase Bank, National Association. The banks were concerned that if they foreclosed on his properties they, too, would lose tremendous amounts of money. An Additional Loan In the end, Trump convinced the banks to loan him an additional $65 million , which he'd use to keep his businesses afloat. The banks also agreed to defer, for five years, the interest and principal payments on Trump's outstanding loans. Some of Trump's debts were paid down with funds from the sale of his assets, which included an airline company (Trump Shuttle) and a yacht (which was sold to Saudi billionaire Prince Al-Waleed bin Talal). Trump also sold his controlling stake in the Plaza Hotel and turned his Florida beach house, Mar-a-Largo, into a resort. The Trump Organization famously revealed it was $5 billion in the hole in 1990, with as much as $1 billion guaranteed by Donald Trump personally. The business survived thanks to a combination bailout and deferment by more than 70 banks. Many point to the 1988 purchase of the Taj Mahal Casino as a major catalyst for the Trump debt cycle. There is some truth in this, particularly after Trump unsuccessfully tried to finance the construction of its sister casinos in 1989 through mostly junk bonds . Results of the Bailout Package The bailout package allowed him to take out second and third mortgages on most of his properties. Leverage became a common theme for Trump, who notoriously dealt with bankruptcy four times. Trump used the extra rope from his lenders to shore up debt, build up his rents and purchase other enterprises, including more casinos. The early 1990s were tumultuous for the Trump Organization and Donald's business prospects. In 1991 and 1992, two of Trump’s Atlantic City casinos (the Trump Taj Mahal and the Trump Plaza Hotel) filed for Chapter 11 bankruptcy , which allowed them to restructure their debt. As a result of the onerous debt, in 1991, Trump was forced to cede 50% of ownership in the Taj Mahal to his bondholders in exchange for lower interest payments and extra deferments. Shortly after, Trump combined his three Atlantic City casinos, forming a single company, called Trump Entertainment Resorts.
