Swan resigns from Orchestra London as financial details released
As more details of the financial troubles facing Orchestra London were released, executive director Joe Swan submitted his resignation.
An email from the chair of the orchestra's board of directors, Joseph O'Neill, says his resignation was accepted around 5 p.m. Tuesday and is effective immediately.
He added, "The Board thanks Mr. Swan for his considerable contributions on behalf of Orchestra London and wish him well in his future endeavors"
The news comes as details of the financial bailout the orchestra is asking for from the city were released, indicating the fiscal problems go deeper than initially indicated.
Including a newly revealed six-figure debt to the federal government, Orchestra London will ask city hall on Thursday for $375,000, but will still enter bankruptcy even if they get it.
The orchestra is facing a $1.3 million deficit, and London Mayor Matt Brown says the financial details are unsettling.
"It is more than early estimates suggested, I have serious concerns, and this is a serious situarion for the organization...They are clearly in a downward spiral."
A letter from the orchestra's board on Monday outlined a three-part bailout request, including:
- $215,000 for December salaries and benefits fo musicians and staff
- $110,000 Canada Revenue Agency deductions owed
- $50,000 to hire company for bankruptcy management
The $375,000 request is on top of the $500,000 already provided as a municipal grant earlier this year.
Council will discuss the bailout on Thursday, but Brown says the growing scope of the issue hasn't changed his views.
"Any additional dollars in, I think its safe to assume, that would be a bad investment."
The bailout does not make any reference to money to refund customers for cancelled shows.
It is also unclear whether the City of London would be on the hook for a $500,000 line of credit that it guaranteed for the orchestra, should the organization be allowed to enter bankruptcy.