Jacko sold down the river by the Bank of America

[scritti]

the gist:a new company will call in their loan made to jackon and will take over his controlling interest in the Beatles catalog.

Jacko Shocked: Bank Sells Out Beatle Loan
Wednesday, May 04, 2005
By Roger Friedman

Michael Jackson was reportedly shocked Wednesday when he received word that Bank of America sold him out.

I can tell you exclusively that Bank of America has sold Jackson's $270 million in loans to a private hedge fund. The group is called Fortress Investments, located in Manhattan. Their principals are Peter L. Briger Jr., formerly with Goldman Sachs; plus Wesley R. Edens, Robert I. Kauffman, Randal A. Nardone, and Michael E. Novogratz — all with substantial backgrounds in finance. Their specialty, according to their Web site, is rescuing "undervalued, orphaned and distressed investments throughout the United States, Western Europe and Japan."

With this sale, Fortress now stands to become a 50 percent owner in Sony/ATV Music Publishing if Jackson should default on the loan. Technically, he is currently in default. Further, Jackson's deal with Sony comes to an end this December, at which time the company can buy him out for $200 million if he can't come up with a new buyer or enough money to pay back the loan. The Fortress deal is also rumored to include a $70 million loan Jackson has on his own publishing catalog, called MiJac.

Jackson was apparently shocked, according to sources, when he got word about the sale on Wednesday morning from Bank of America. He had previously rejected a deal that would have netted him money, cleared debt, and left him in good shape with people who were longtime friends. But now he's in business with strangers.

[The Assassin]

Paul McCartney is smiling somewhere