ST. LOUIS, Mo – In a continuing script where favorable events occurred immediately following unfavorable events, the Blues followed up a disappointing end to a promising campaign with outstanding news. The franchise was sold to a group of local investors, led by Tom Stillman, the CEO of Summit Distributing, a St. Louis beer distributorship. All members of the ownership group are committed to success in St. Louis and it is the first time since 1999 the franchise has had local ownership when Mike Shanahan and Civic Progress headed the team.
Tom Stillman introduced as leader of the St. Louis Blues new ownership group.
The saga lasted several years after a rebuilding process failed to develop success on or off the ice. Dave Checketts, a Utah resident, whose partners no longer wanted to own the team, found a local buyer and will exit NHL ownership without succeeding in his pursuit of a Stanley Cup for the Blues. Checketts rescued the team in September 2006 after the franchise’s most valuable assets were sold by previous owner, Bill Laurie, a Columbia, Missouri resident who bought the team in the Fall of 1999.
The new group is the eighth in the franchise’s 45-year history which began when local insurance icon Sid Salomon and partners paid the expansion franchise fee of $2 million in 1967. The sale price of today’s transaction is believed to be around $130 million and includes the team’s AHL affiliate Peoria Rivermen, the Scottrade Center and “substantial interest” in the adjacent Peabody Opera House. The price is well below the $157 million that Forbes valued the Blues in December ranking 27th among the 30 NHL teams. The team sold for $150 million in 2006.
“Our group is honored and humbled to take ownership of our hometown Blues,” Stillman said at the morning press conference at Scottrade Center. “We’re 100 percent local, 100 percent committed to the Blues and the city of St. Louis. We see the franchise as a hometown institution, a critical city asset. We see ourselves more as stewards of the Blues than as owners. We will make decisions in the best interests of the franchise, our loyal fans and the city of St. Louis.”
Stillman continued, “We come to this with a real love of the game of hockey and a special passion for Blues hockey. Most of the members of our group are lifelong Blues fans, everyone has season tickets or suites or both, at least three of us still play on a regular basis. Our top priority will be to put a serious contender on the ice year in and year out and we do intend to win a Stanley Cup for the city of St. Louis.”
Stillman made clear the critical issue will be the financial security of the team, one that cannot be taken lightly.
“We aim to put the Blues on solid financial footing. We need to make the franchise stable and sustainable. On the ice, we’re now one of the elite teams in the NHL. We’re strong, talented with a mostly young core. This team accomplished a lot this year.”
“On the financial side, we have work to do. It won’t be easy, but with the support of fans, businesses large and small, and with everyone’s help we’ll get that done to assure the Blues franchise is strong and successful in St. Louis for generations to come and insure the long-term health of the St. Louis Blues.”
As the press conference wore on, Stillman’s voice cracked with emotion at times as he spoke about the process which led to this announcement.
“To have the opportunity to lead this organization, to be stewards of its present and future, is way beyond my wildest dreams. It’s an honor I take very seriously, as will the rest of our group.”
Stillman was seated at the news conference with NHL Commissioner Gary Bettman and St. Louis Mayor Francis Slay. Many Blues players, both current and former, also attended the announcement along with the Blues front office.
“A monumental, historic and really terrific day for St. Louis and the Blues,” Bettman said. “We know how important St. Louis is as a hockey market and how important the Blues are to the city. The future is bright, bright, bright. Tom’s as committed as anybody to running the franchise in a first-class way.”
Bettman said with the sale of the Blues to Stillman’s group, the team’s financial footing has already improved.
“The franchise is less leveraged and there is more equity in it, which are all good things.” Bettman said. “If not for Tom’s passion and persistence, this would not have happened.”
After a few attempts of Checketts’ group to sell the team, Stillman, a minority owner at the time, assembled a group of investors to buy the team. U.S. Senator John Danforth (Stillman’s father- in-law), Steve Maritz, CEO of Maritz Inc., Donn Lux, CEO of Luxco, and the Taylor family, owners of St. Louis-based Enterprise Holdings are among the members.
“A lot of times I didn’t think it was going to happen,” Stillman said. “It was something I thought and the members of our group thought, was the right outcome. I said to some people if there was another strong local option, I’d have been okay with that too. I thought it best to have the Blues franchise in the hands of local owners. That’s the best outcome for the Blues.”
In exciting development, Stillman has been talking with Brett Hull about having a yet-to-be-determined role with the franchise. Of the options, Stillman confirmed the all-time leading scorer for the franchise will not be a minority owner.
The full ownership group includes:
Thomas H. Stillman, Chairman & CEO, Summit Distributing
Jerald L. Kent, Chairman & CEO, Suddenlink Communications, CEO, Cequel III
Donn S. Lux, Chairman & CEO, Luxco
James A. Cooper, Managing Partner, Thompson Street Capital Partners
Jo Ann Taylor Kindle, President, Enterprise Holdings Foundation
W. Stephen Maritz, Chairman & CEO, Maritz Inc.
Edward M. Potter, Private investor
Mr. & Mrs. Andrew C. Taylor, Mr. Taylor is Chairman & CEO of Enterprise Holdings, Inc.
David L. Steward, Chairman, World Wide Technology, Inc.
James P. Kavanaugh, CEO, World Wide Technology, Inc.
John C. Danforth, Partner, Bryan Cave LLP, Former U.S. Senator, Former U.S. Ambassador to the United Nations
Christopher B. Danforth, Owner & CMO, Kennelwood Pet Resorts
James L. Johnson, Senior Vice President, Stifel Nicolaus & Co.
Scott B. McCuaig, Former President, Stifel Nicolaus & Co.
John S. Ross, Jr., President, Summit Development Group
Thomas F. Schlafly, Partner, Thompson Coburn, Founder, The Saint Louis Brewery
Contact Dennis Morrell@prohockeynews.com
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