Athletic World Advertising Trading Hands
Last updated Friday, October 10, 2008 11:24 AM CDT in Business
By Kim Souza
THE MORNING NEWS
SPRINGDALE -- More than 100 employees of Athletic World Advertising in Fayetteville and Tulsa who lost jobs after the sports promotions company shut its doors Wednesday got a bit of good news Thursday. Rumors of a pending sale to Game On Advertising Inc. of Springdale have been confirmed.
Game On said it has brokered a deal with the owners of Athletic World Advertising to rescue a number of local jobs and to preserve the business relationships of the Fayetteville company.
Mark McQueen, president of Game On, said in an e-mail statement that a deal agreed upon Thursday has allowed his firm to acquire the assets of AWA.
He said that a vast majority of AWA Fayetteville workers will become Game On employees, and that they "will not miss a beat with their paychecks, and all previous AWA employees will also receive their final pay."
McQueen credited Blake and Audra Ogden, the son and daughter of AWA's late chairman, Gregg Ogden, for their efforts to take care of the employees.
"Sometimes in business challenges arise that are difficult and beyond our control," McQueen said. "But like the Ogdens and AWA, Game On believes in its people and the relationships we create with our customers. The opportunity here is to work together to continue driving the industry standard upward for the great schools and programs that we serve."
McQueen is the former president of Athletic World Advertising, according to a corporate filing on the Arkansas Secretary of State Web site.
Ironically, a judgment was filed Sept. 23 against AWA for $745,947 by The Bank of Fayetteville for an outstanding debt owed by Brick Wade Ogden, the brother of the company's founder, Gregg Odgen.
Washington County Circuit Judge Kim Smith awarded the judgment and gave the company 45 days to file with the court a schedule listing all of its personal and real property.
According to the filing, the bank loaned $1.03 million to Brick Ogden on Dec. 12, 2006, with the company as collateral. The debt is now is the later stages of default for non-payment. Brick Ogden reportedly sold his shares to the company before relocating out of the country a few years ago.
The court filing said the company was having cash-flow problems and its ownership may soon change.
The bank alleged in the filing the company was guilty of breach of contract for failing to make required payments under the redemption agreement. The bank sought a default judgment against both Brick Ogden and the company.
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rojo0979 wrote on Oct 11, 2008 3:44 PM:
Not already registered?
HoUsEQuAkE wrote on Oct 10, 2008 9:03 PM: