New RI Governor Vows to Keep an Eye on 38 Studios

November 9, 2010 -

Curt Schilling’s 38 Studios has received an initial payment of $13 million from the Rhode Island Economic Development Corporation (EDC) as part of a $75 million bond deal put together to lure the developer from Massachusetts to the Ocean State.

38 Studios is slated to receive approximately $51 million in all, with $20 million held in reserve in order to guarantee three years worth of repayments on the debt. Schilling’s firm will receive the rest of the money over the next 15 months as it meets certain milestones.

Rhode Island’s governor-elect, and opponent of the 38 Studios deal, Lincoln Chafee (pictured) stated that he was disappointed over the closing of the loan, as he would have liked to “formally contribute to the process.” He wished 38 Studios success while vowing to do everything in his power “to protect the interests of the taxpayers of our state.”

Chafee also promised to keep watch over the EDC and 38 Studios, saying, “I will, however, ensure that 38 Studios fully and completely comply with each and every commitment that it has made to the taxpayers of Rhode Island.”

A Providence Journal story features details on the fund raising used to fuel the 38 Studios deal, which will be generated by a bond sale. Moody’s gave the bonds in question an A2 rating, “three notches below the Aa2 rating on Rhode Island’s general obligation bonds.”

Standard & Poor’s rated the bonds A, “with a negative outlook,” which indicates “the possibility the rating could be lowered in the next 6 to 24 months.”

The primary job of repaying investors will fall upon 38 Studios. Moody’s said about the bonds, “Given the development stage nature of the company, loan payments from 38 Studios have inherently more risk than other revenue streams that have established track records and predictability.”

Meanwhile, another story on the Providence Journal website outlines the entire story of the deal between 38 Studios and Rhode Island, which apparently began as a result of a visit by then Governor Donald Carcieri to Schilling’s Massachusetts home earlier this year for a fundraiser.

Carcieri recounted telling Schilling that he should relocate to Rhode Island, but he added, “I wasn’t thinking anything would come of it.”


 
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Mattsworknameargue that it's wrong, but then please admit it's wrong on ALL Fronts07/29/2015 - 2:06am
MattsworknameTechnoGeek: It's actually NOT, but it is a method used all across the specturm. See Rush limbaugh, MSNBC, Shawn hannity, etc etc, how many compagns have been brought up to try and shut them down by going after there advertisers. It's fine if you wanna07/29/2015 - 2:05am
Mattsworknamediscussed, while not what I liked and not the methods I wanted to see used, were , in a sense, the effort of thsoe game consuming masses to hold what they felt was supposed to be there press accountable for what many of them felt was Betrayal07/29/2015 - 2:03am
MattsworknameAs we say, the gamers are dead article set of a firestorm among the game consuming populace, who, ideally, were the intended audiance for sites like Kotaku, Polygon, Et all. As such, the turn about on them and the attacking of them, via the metods07/29/2015 - 2:03am
MattsworknameAndrew: Thats kind fo the issue at hand, Accountable is a matter of context. For a media group, it means accountable to its reader. to a goverment, to it's voters and tax payer, to a company, to it's share holders.07/29/2015 - 2:02am
Andrew EisenAnd again, you keep saying "accountable." What exactly does that mean? How is Gamasutra not accounting for the editorial it published?07/28/2015 - 11:47pm
Andrew EisenMatt - I disagree with your 9:12 and 9:16 comment. There are myriad ways to address content you don't like. And they're far easier to execute in the online space.07/28/2015 - 11:47pm
Andrew EisenMatt - Banning in the legal sense? Not that I'm aware but there have certainly been groups of gamers who have worked towards getting content they don't like removed.07/28/2015 - 11:45pm
DanJAlexander's editorial was and continues to be grossly misrepresented by her opponents. And if you don't like a site, you stop reading it - same as not watching a tv show. They get your first click, but not your second.07/28/2015 - 11:40pm
TechnogeekYes, because actively trying to convince advertisers to influence the editorial content of media is a perfectly acceptable thing to do, especially for a movement that's ostensibly about journalistic ethics.07/28/2015 - 11:02pm
Mattsworknameanother07/28/2015 - 9:16pm
Mattsworknameyou HAVE TO click on it. So they get the click revenue weather you like what it says or not. as such, the targeting of advertisers most likely seemed like a good course of action to those who wanted to hold those media groups accountable for one reason07/28/2015 - 9:16pm
MattsworknameBut, when you look at online media, it's completely different, with far more options, but far few ways to address issues that the consumers may have. In tv, you don't like what they show, you don't watch. But in order to see if you like something online07/28/2015 - 9:12pm
MattsworknameIn tv, and radio, ratings are how it works. your ratings determine how well you do and how much money you an charge.07/28/2015 - 9:02pm
Mattsworknameexpect to do so without someone wanting to hold you to task for it07/28/2015 - 9:00pm
MattsworknameMecha: I don't think anyone was asking for Editoral changes, what they wanted was to show those media groups that if they were gonna bash there own audiance, the audiance was not gonna take it sitting down. you can write what you want, but you can't07/28/2015 - 8:56pm
MattsworknameAndrew, Im asking as a practical question, Have gamers, as a group, ever asked for a game, or other item, to be banned. Im trying to see if theres any cases anyone else remembers cause I cant find or remember any.07/28/2015 - 8:55pm
Andrew EisenAs mentioned, Gamasutra isn't a gaming site, it's a game industry site. I don't feel it's changed its focus at all. Also, I don't get the sense that the majority of the people who took issue with that one opinion piece were regular readers anyway.07/28/2015 - 8:43pm
MattsworknameDitto kotaku, Gawker, VOX, Polygon, ETC07/28/2015 - 8:41pm
MechaTama31So, between pulling a game from one chain of stores, and forcing editorial changes to a media source, only one of them strikes you as being on the edge of censorship, and it's the game one?07/28/2015 - 8:41pm
 

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