Bailout Extends to the Arts
December 7, 2008 § Leave a comment
The Virginia Symphony Orchestra may have to declare bankruptcy if a bailout loan is not approved by the Norfolk Economic Development Authority. The symphony accrued a $1.5 debt in the last year as a result of reduced single ticket sales and donations and may not be able to meet payroll is the loan if not approved.
The Nashville symphony is one of the few to have declared bankruptcy in recent years and has since recovered, but it is always a risky proposition that may destroy donor confidence. Other arts groups seem to be in trouble as well – the Virginia Musical Theater recently received $200,000 from the Virginia Beach City Council.