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Big T
07-02-2010, 06:33 PM
Dermontti Dawson deals with nearly $70 million in debt
Posted by Gregg Rosenthal on July 2, 2010 12:22 PM ET

Longtime great Steelers center Dermontti Dawson can feel Mark Brunell's bankruptcy pain.

Dawson, in fact, dug himself a far greater financial hole than Brunell over the years.* A finalist in the voting for the Pro Football Hall of Hame the last two years, Dawson filed for bankruptcy this week.* He has liabilities totaling $69.659 million.* He has assets totaling $1.417 million.

The filing indicates Dawson owes many business partners, primarily in real estate.

"Today's real estate market and economic conditions, plus the fact that I own non-controlling minority interests in the entities which own the real estate, left me with limited options," Dawson said.* "I certainly wish things had turned out differently and look forward to continuing my contributions to this community."

It's a sad, sobering story about a man that by all accounts is a valued and highly respected member of his community.* Current NFL players would be wise to keep Dawson's plight in mind as they try to grow their small fortunes.

http://profootballtalk.nbcsports.com/2010/07/02/dermontti-dawson-deals-with-nearly-70-million-in-debt/

Zachintosh66
07-02-2010, 06:42 PM
damn i thought my **** was bad... lol

Black@Gold Forever32
07-02-2010, 06:51 PM
damn i thought my **** was bad... lol

No kidding I lost a very well paying job in 2007 and the one I picked up after that only paid half of what I use to make.....I'm in debt but not that bad.....I feel good about my situation now...lol

LarryNJ
07-02-2010, 10:31 PM
Don't feel too bad for him, his liabilities will go away and he'll still have 1.4 million in assets. While you'll still owe $20,000 to Visa! :)

DanRooney
07-02-2010, 11:48 PM
We should sign him for a 3 year deal and get Hartwig the **** out

BlitzburghRockCity
07-03-2010, 12:42 AM
We should sign him for a 3 year deal and get Hartwig the **** out


Even with his bad hamstrings and knees he'd be an improvement :lol:

Really though, holy crap 70 million!! Jeebus, that's incredible!! :nonod:

Hburg
07-03-2010, 02:25 PM
What do you buy to be $70,000,000 in debt?

BuFu

Clevelandsux
07-04-2010, 07:57 PM
How does someone get that far in debt?

airbrake 1
07-04-2010, 09:21 PM
wow that really sucks for dirt... i watched a special on steelers on demand last year, i don't know exactly when it was taped it was called: a day in the life:Dermontti Dawson it basically followed him around for a day showing his businesses and such and him going back to UK seeing his name in the ring of honor. I t seemed like he was doing really well but i guess thing can turn bad quickly hopefully he can turn it around somehow...I'll be rooting for him he is one of my most beloved steelers of all-time and who should have been in the HOF on the first ballot... the best center i ever seen play hands down but there go that steeler bias again and if he doesn't get in in the next few years he might have to wait longer after bettis gets in ..we know they can't stand this many steelers going in... GO STEELERS ... GO DERMONTTI:2cents:

Prosdo
07-05-2010, 03:11 AM
What do you buy to be $70,000,000 in debt?

BuFu

Seriously. How are you able to even get yourself that far in debt? That is insane!

LarryNJ
07-05-2010, 07:39 AM
Seriously. How are you able to even get yourself that far in debt? That is insane!

Commercial Real Estate investments.

"Today's real estate market and economic conditions, plus the fact that I own non-controlling minority interests in the entities which own the real estate, left me with limited options," Dawson said.

It's been a very common occurrence the last couple years and one of the reasons many banks have failed or are in trouble. He's a partner in several LLC that bought and developed land. For example they buy 50 acres to build houses for $5,000,000 they need another $5,000,000 to clear the land put in sewers, water, electric, and streets. So they borrow $10,000,000 from the bank. It's a risk for the bank so they have Dermontti personally guarantee the loan. They clear the land and put all the improvements in, the housing market takes a dive and they never sell a house. Well the bank wants their money and the company can't pay because they haven't sold anything yet. Since he personally guaranteed the loan he's responsible. They will probably have a sheriffs sale on the land and someone will buy it for a couple million hang onto it for a couple years till the housing market rebounds and make lots of money. Mean while the bank loses about $8 million. Multiply that several times and you'll get to $70 million in no time.

On the personal side he lists his monthly income as $17,972 and his monthly expenses as $19,635.18. Like in Ga all of Ben's **** is public, well now all Dawson's is too. You can check it out here. (http://media.kentucky.com/smedia/2010/07/01/20/Dawson_bankruptcy_documents.source.prod_affiliate. 79.pdf)

Some of the things I find interesting:
Schedule B Personal Property
Cash on hand: $20 :lol:
Dog (mutt owned by daughter): $10

Dobre Shunka
07-05-2010, 01:46 PM
Wonder if one of those credit repair companies could help him?

Would like to hear their plea over the phone to his creditors.

Sportsguy9695
07-11-2010, 02:45 PM
Former Pittsburgh Steelers center Dermontti Dawson has filed for Chapter 7 bankruptcy, The Herald-Leader reports. According to his filing in U.S. Bankruptcy Court in Lexington, Kentucky, Dawson lists $1.417 million dollars in assets and $69.659 million dollars in liabilities, many of which are real estate ventures. His debts, according to the documents, are primarily business-related. Many of the people and entities on a list of creditors included in Dawson's bankruptcy filing appear to be connected to real estate ventures in which Dawson has been involved. "Unfortunately, my personal guaranty exposure on the debts of numerous real estate interests has led to the Chapter 7 filing. Today's real estate market and economic conditions, plus the fact that I own non-controlling minority interests in the entities which own the real estate, left me with limited options. I certainly wish things had turned out differently and look forward to continuing my contributions to this community," Dawson said on Thursday.

Source: The Herald-Leader (http://www.kentucky.com/2010/07/02/1332938/dermontti-dawson-files-for-bankruptcy.html)