Jun 22, 2012|
Former Red Sox pitcher Curt Schilling came on D&C to publicly address the 38 Studios situation, his failed video game venture, and to respond to fans and critics alike. Schilling addressed who he thinks is to blame, how everything went down from his point of view and whether or not he is a hypocrite who has gone against his conservative views.
Transcript - will not be 100% accurate
If you've been paying even a little bit of attention to anything. You're aware of the 38 studios played in Rhode Island and Kirch holdings company. Curt Schilling joins us in the studio morning -- morning I would ask how you're doing but I think -- a pretty good idea about that and -- start this. When you embarked on this adventure when you embarked on this business idea I suppose if you write a business plan. You sit there and think what's the best it can happen and what is the worst that can happen. Did you consider what the worst could possibly be -- this scenario ever enter your mind free launch. Well you always think about -- plan to consider things. You know this was always a potential but it never in my wildest dreams ever expect they'd be either here or close to here. Com up until about two months ago. And then you know all happened so fast and and it's just been. Spend kind of a surreal. In sixty days every five days. I'm gonna ask who will what does it been like for you and your family and your employees watching this thing play out so publicly. Like a bad -- can -- Merrill all of it. Yes all of it -- do. The employees got points -- there was no. One of the many many mistakes that thing here that was later that I made we made it. That's leadership team as was this is camera. And and in all honesty we never. You know the they found out. Because a government agency made a comment on Monday night's. About 7 o'clock. Am public comment which. Neither -- ever publicly on anything. And it was based around keeping the company used -- salt and that word. -- it was an enormous. Problem means for us the employees had no idea it was day. And going to -- and damages it just went down. Up personally this went haywire for you up politically it went haywire and certainly first and and foremost from a business standpoint it went haywire let's start -- -- review what happened business wise the had this thing circling the drain and expect what we we. If you look at the original palm trees on one of the one of the going concerns from day one always something cartons. Are needed we needed to raise capital of finals with the final on capitol between. I want money hand in hand on my investment in launch of the medium well. And you know we tried for for a long time -- didn't come from Russian. And it's you know the challenges and I I I can understand people. Questioning the validity of the comment that but it does the scenario as you could change in the final probably fortified monster attic for February. Incredibly well received outperform -- lifetime sales expectations for ninety days. So the contacts in the velocity of the discussions that we were having to dramatically and we ran -- Time Warner. We felt like we were comfortable with the thought that. Sometime between mid April in the debate we would either get three term sheet form more than one term sheet or find one not one more investors in the conversations were around. At the same time. Mr. -- -- Baltimore had the literally we were we were waiting. Literally Tuesday morning meeting finals for a buck 3532. Game reckoning -- -- game. For for. And the next morning. Late the next day after after the public Perry on the discussion and it completely went from. Kind of what was just -- Kind of a cursory meeting to give the final regarded and are down over due diligence. We were talking in detail about terms completion. -- And I knew then we. World that you know the challenge. In in in fossil. Again the employees. Got points they didn't deserve it it was not how we ever did business that we lead the point where it was that was the company one hand. It was about and we were never concerned. Analysts are concerned we were never worried about actually getting money to make the -- was we are just assuming that. There was semantics and some people work. Getting involved in in negotiating for things. Him during the -- tax credits. Just for that reason and then it became a potential -- Money in and I are fond of the company. For. And just spiral out. You you busted now and you broke arm I -- tapped out if that helps you didn't walk away with now. -- anything now nine put redeem. It. Rate it and I believed in it but I believe and what -- built I mean item. Never took a -- from the company were to complaints aren't appropriate for any. In tandem but it but it was it was it was different it was it would will be built was so incredibly different from a company perspective we atlas. It was a it was a made -- it was it was Adam I think it was a dream place to work. And you know you have -- employees and -- it's sure not but did everything we did was built around. Taking care of it it was a lot of lessons learned. In my career we we we spent. Five and a half years building a place that that wasn't a place to work it was it was a place to to belong it was a very different place and we have invested are all of the time and money into making. And we had a much of your money did you lose in -- I I put in just north of fifty million dollars I think morals and -- The -- So trying to figure out exactly -- the door and got none of that fifty back no no -- right it was all well and then. -- -- I I don't. It's it I don't I don't wanna -- obviously it's been a challenging couple months in can -- in this but I don't I'm not. Asking for sympathy -- I mean that was my choice -- chose to do this wanted to build this wanted to. To create the jobs and create something that have a very long standing. World changing fat man and I've thought we knew we were close. We're close to getting his typical power did you. Follow your heart too much and not your hand amenity you can and you made the comparison mccreery you could be passionate about baseball you can be emotional. We too emotional. About this company. And not. And and and maybe -- for an example. Talk about how much your employees made and in on the ice the studio was when these things that may -- went overboard on don't know. Jerry that that did the thing was we we did in if you look at what we've we we didn't help people we didn't we didn't buy employees it was we we've paid them a very competitive salary in the industry and better. They deservedly make a lot of money I think our average salaries and it was 6000 dollars a year seems a lot and that's that's a lot of monies are kids that are unbelievably. Talented and can work literally anywhere they want and we worried your revenues start and so. To get them to come to work with us and for -- they had either they'd be paid more a lot more than they are currently being paid. Or be believed in what we were building and we weren't gonna overpaid and and we didn't so so you know we put together an incredible place to work in -- we are that we have an incredible health benefits plan for for employees and we went overboard -- it's not overboard but we did everything we can do to make sure that they understood that they would never worked for someone cared more about them than we need that wasn't a mistake to pay them what you pay them to invest relocation at and -- -- -- more fruit that was the only way we could -- did build a team that we built. Lowest -- to do the things and listen there's. We actually made mistakes but it had everything ever done in my life span from our and that I mean that was why I didn't I was able to do I was -- -- that was why it was the pitcher because. I feel like in my heart -- and do some things that I might not have otherwise. On the pros use in my head. But. In -- to counterbalance that I surround myself with with incredibly intelligent people calm in in software. And and and allow you know because this was you know it was a place word word I work in and I always. At the opposite everyday for five -- almost six years but. But I have Peterson and allowed them legion and and do what it is they were supposed to do so what went wrong. -- wouldn't raise capital we did not raise private meeting deprived -- but the end of the day when you look at all the things that we did. You know I'd I'd I'd put all the money I said -- put in -- rate a guarantee that things are guaranteed -- -- perspective -- I never took a penny count and we spent the money exactly how -- we defined it and all the documentation with the state. And the one thing that we always listed as a going concern -- -- and we could not raise private capital and I'm for a for a litany of different reasons I'm sure if you ask anybody Google do you wanna wanna more reasons but. That the hard part and probably. The most painful part was we had we leave for the first time -- appears so wells and and it is it just didn't work. Governor Chafee is comment about solvency did not immediately flip the landscape. Oh yeah did it changed drastically chains and and a 38 million dollars you're gonna get the next day. Went away -- -- -- get all the conversations we had stopped -- part of my question to you is did he do that intentionally was it a slip of the tongue was there. Was there malice aforethought here. Why did you -- basket -- -- -- IE IE listen. If you look at the last sixty days he's accurate comment that the state of Euro aid. And and and the the other challenges that when you when I say the state over Ireland I'm talking about her few specific people on the -- taxpayers. I think that was one colossal mistake that we made from the outset was not engaging. The Providence. And bringing literally having is we need to have open house bringing them in to let them see what it is that we. And we were we were we were incredibly silent. Two point work cause problems. You know we have our grand opening at a store in mass. For the launch of our game unbeknownst to anybody that wasn't our call that was this GameStop was missed the -- -- -- and open where the opening. And that was their decision on where we would do that we want its opener in Providence locally because that's where we belong. We -- we we made mistakes like that we just didn't we we we didn't engage the local community and to get them. To see what it is we were doing this week we have 300 people in the studio -- were out in the business community every day at once we made an impact on the local. In the technology industry to dramatic impact from the day we moved do you think governor -- was disappointed when 38 studios mailed no not at all. Now I think. They do have an agenda and in execution. And and 400 people out of work. Well yeah I mean they were right I think a majority if not all most of them. Again we have an amazing amazing team and epic team in. That's all power and picked apart are almost aren't our Baltimore studio as a team. And the most though a lot of that the employees in the in the -- -- work elsewhere that's. And that's been the hardest thing is I've I've been in touch with hundreds of them on -- on almost a daily basis and. You don't see too many disgruntled employees well I've -- they have every right borders. Trolling on. Twitter saying call me -- -- reporter do this call me if Europe. -- laid off. Fired -- it's -- is employed tell me your story and -- form you don't see too many employees and Schilling screwed up the. -- -- in a -- blossomed navy they have every right to be upset I mean I always told everybody if it's something we're gonna happen you're gonna have a month or two. The lead time and and an -- I'd I'd I'd. Bomb on the -- and an epic fashion and again. -- of that is there's so many. Real life stories you know people talk about a lot of the incidents that came out in this. You know we'd we'd that we fired everybody by email. Which we ended up terminating people buying open. The reason was but at that point they had received a paycheck almost three weeks and people were were out of money. And sold -- people that drove an hour apple waste work and and they couldn't get to work on it if we were gonna be able to save them and ends and you know that we left them without health -- which we didn't we we were working diligently the end to make sure that when. We did it right to make sure they're governor there healthcare extended past. When it was in end in a week. We have pushed tables like in -- -- on receipt doctor business people you always want to be caught up bills that. You get to -- read you push things pushed tables among you put you know he put your credit karma does not. We've pushed tables at a point where it was it was it was potentially damaging situation and and that's why again. If we had thought for a second we weren't gonna get extra money we we we -- have been different there was never consideration. I want to get I want to -- -- -- Obama I wanna ask about the tax considerations the loan guarantees the move for Maynard to Rhode Island also burn rates as well it's gonna open the phone lines like you talked to -- 6177790850. Talk remember. 8885250850. Curt Schilling with you next. Welcome back Dennis and Callahan on a free form Friday Curt Schilling in studio with us and Kelly Campbell the fault lines like you talked to -- if you so choose 6177790852. -- 3888525. Series repeat. -- loan guarantees curt did the the -- the loan guarantees from Rhode Island in anyway quench your thirst for seeking out venture capital Manama. -- -- -- -- that that was part of loan guarantee the semifinal in the 70 absolutely I mean I had put at that point about thirty million dollars of my own money into the company. And we were looking for -- we were looking for investment and and when they approached us and talked about the steal I mean obviously. It was incredibly attractive because we would have the state as a partner news initially we have him as a partner. And and there are I mean this is one of the private venture -- of world Boston New England area and California. An and in initially that looked like it would be a it's a huge boon because. We would have them in our corner and working with us and in import and and it it just never ever materialized I mean that the you know when we initially signed the deal. You know the CDC borders is I think at twelve member board. And the governor can turn over half of support so we knew that that some of the board would be moving now. Com which is why we we made sure up from when we when he signed the deal couple years ago. We told them you know they were in first position for all the debt in the senior positions or call. And we made it clear to them at some point we're gonna come back -- business because you're not gonna have a there's no public from the world's gonna -- in order bastards points subordinate debt. -- and that was a that was a very easy conversation I haven't actually and we went back have a commerce -- last year. It Muslim man tandem. You know those hurdles we saw at the outset but we always envisioned being able to pass them -- -- go to Iraq what makes you go to Rhode Island they call you Buren Maine and everything's you're happy and everything's working out you have somebody seeking no one no we will it was a conversation that I -- -- Governor -- hearing and and and event for the band of Brothers. We we were discussing and I was parked in my company and you're looking for for private funding and they were looking to create jobs and we mean it was a power seats in the we have in and we just rolled off of that -- in and department a couple of people on and it just it just came out and and we tried to put together a deal that would work. It would -- create jobs and be. Help the company with with samples would -- just payroll and development hand them and that's where we ended up it's very specific was there a specific person or group of people in charge of burn rate and did they not do their job well. Well you know listen I RE IR made a lot of mistakes and and I think one of the mistakes is a company that we made. You -- Beirut the two. Approaches to this week first subtle than there were milestones that we have to meet to get the money to drawdown on the money. They didn't wanna be in the business of software development so we didn't wanna titles milestones to the product achieving specific places because they didn't have expertise -- So we did was we do the logical step was deprive them to job creation. In hindsight that was a big mistake because we ended up putting together a staff -- how to stripping him far too fast. And basically. The money they were investing in the company. We weren't allowed to use as we need to use it's about we had to use of the creek and he jobs we got too big to fast and you know looking back on -- that was that was probably one on the mistakes. That was made read from the outset and. As far as -- goes. Was it him Adam obviously was against it. So was it like vindication why did he want to him did he do you think in a way was stand ups and see I told you so -- Did he and you can I mean I'm not make an abuse and second read over the last sixty -- his comment mean -- that I was that one of the challenging parts was again. This was our partner. -- your partner in and there was not you know our first game was a failure. This is not a this is these are his -- right and true. We we we we had that story -- one day and in the same story where he says the games of failure of an analyst. Of the industry video game industry analyst saying it was a success. Electronic arts actually put a quote out there in rebuttal to his comment because these big Symbian and said enough we actually -- need common extra people understand that's not the truth. And and so it as an investor from looking at a potential partnership of this company. Bit bit this senior debtor which is the state and the biggest partner is the is downplaying the partnership and downplaying the company two -- a such a place that. I've got to be concerned about. Becoming partners without if you if you were publicly held company stop it knows. Why what did it and get what it would have been something somebody coming I would imagine you're have been able take action against somebody saying something like that do you think he'll run on this is that is motivational this is -- I told you so absolutely. And mrs. -- absolutely I've been here accompaniment or so and you know just. That's okay. And MOR until the -- lines and give you an opportunity to a chat with virtually Gloria kicks off from east province take -- good morning. Good morning good morning everyone and good morning Kurt Warner. I'm I'm interested in finding out if your relationship with epic games. Is really where the intellectual property that the people for an -- paid for it going to end up being. And then now. Right Gloria I I don't have the answer to that when we filed chapter seven the trustee that was appointed to oversee that is it is it's my understanding. That they are income total control over every asset that the company owns and controls and so all of the technology it was created and proprietary in Baltimore all of the IT and property is freedom province is now is in the -- the hands of atrocity. 22. To go out and trying to -- to recover money for the state a -- in Somerville Franken actual Curt Schilling. I -- I'm just curious about the time line you were you were talking about governor -- making those comments on Monday that basically ruined everything made it -- they I think it would really. You know. Help people take kind of be in your court if you talk a little bit more about who you're meeting with on Tuesday. And and where this money was going to have come from you know if you're so close to us. Either getting misty don't tax credits or the big windfall. Hulu where was this money coming. You know what I view it is it's Apollo well known publisher. And I. I don't know that that it would be okay for me to mention their name. I would imagine if something were to happen and I went -- to come on it would amounted. But it was a publishers. One of one of the probably 45 biggest publishers in the world not not the original public was not electronic arts wasn't drizzle calls from first game. I'm but it was who was one of them for -- biggest publishers otherwise. And then when I'm curious to it did seem from report that use admit payroll before that you know he'd admit. Hero -- out there right so that was the comment was made on Monday the fourteenth I believe from my from opposite it was money in fourteen program that dates. Four to the fifteenth and the following that that next morning we we we payroll was the fifteenth and we were in discussions that -- that that that policy deal had nothing to do with us in the making or not making payroll. That policy deal was a deal that would end up making the Baltimore studio in neutral bar we knew it would cover the costs -- -- the next three years. Which reduce the burn rate overall for the company. Beat beat beat beat payroll piece was all -- and I did the tax -- a -- -- about a month part of mid April. We were in the final stage and processes -- of finalizing and finishing in and we assume would be done within a week of June mid April. And then. We got the default letter. Which was another. Kind of a stunning incident we -- they knew a week before that bit that was and we were not gonna be make we had a meeting. And we told them you don't pass despite. As our partner we we you know what we here's where we are. And we made a mistake we didn't specifically asked them to give us an extension. And we just assume based on a conversation that they understood we will be able to make this payment on the first. But in sometime in the next thirty to 45 days we should be comfortably able to make that is that when the check. Allegedly. You know that was actually so so what happened was the first came in Lance. And and the fourth which was a Friday of that that may play. We got a default. Which completely blind -- -- And the default under triggered a lot of other things we were abandoned immediately ineligible for tax credits and all of this other stuff. We were actually confused as to what we got it because again this is our partner. And we're trying to work together to make the company's successful they had every right issue that in the amendment that we never argued that that we just. Assume based on the conversation that they had your best interest -- absolutely and so. Well we ended up having multiple discussions they came back and he came to the table and you know we have a litany females and where we made multiple agreements in different places they came back they want an equity. They wanted other things in and a week we acquiesced everything and we have an anger multiple times in the in the fraudulent checks the pop up and and and that was probably. That's should have been the final red light -- somebody is doing something very evil we're. And that whole story was. We had to make the default and and they. We have had a couple special meetings with the DC united told them that I couldn't they kept just say it ended for awhile ago that they were playing in a poker and they believe I had money. And just wasn't thinking in the company and -- I can't do that. And the next night will we did was we had an extra step up and off for the money based on the state giving tax and we have our CFO. Cohort the DC with a one point 25 million dollar check he announced we got -- this -- does not have sufficient funds. When these certification is -- all it's. And the money that they have the virus or wired money to our count at that point the chip will be covered we will give it to you. Date we literally had people on the phone we had council we have our our the buyer seller and -- are people on the phone. And -- it was it was it does this was the last thing we have to have the money and by the wire that day this was -- panicked because now it was really blame -- -- give the money. And the person Brooke CDC -- the phone. It's on the phone personal conversation and fifty it's motivation personally saying that we -- issued a fraudulent pack. We never should never have to detect any of our CFO came back to the company with a check in his hand. And told us exactly what it happened -- and that's that was just that was when it's -- commanders were real and and and I started to realize that there was something. Not good going on that more than a few people didn't have your best -- absolutely an end and at that point now now it's a little bit of panic because now there that are. They're making comments and and statements about us that we we had committed basically checked for and and that was not the case and that story comes out and then it's that we you know we -- we default on the -- we traditional fraudulent check neither of we did default on payment group but everybody involved knew that that was going -- And we didn't issue anybody fraudulent check and so now it's like. Do I say something publicly because -- one of the things that happened is I've been. You know on and father -- quiet for for two months which is not how I made but it but. Short of being able to us to talk through things and I couldn't do this and sound bites and and columnist Susan and there were small what's going on in this was changing every thirty minutes and most importantly to me was my team and their families were being blind -- -- something that was going to be a life changing things are -- hardworking honest -- Like changing will take me to my next question we gonna take a brief sum up the full one directly -- -- Joshua Justin Donna John we'll get to all the questions for commercially I don't know how this has changed your life will be respects. It's really. -- Callahan out on a free form Friday Curt Schilling in studio did you know -- That. Loan guarantees tax credits and the economic assistance at all was just liberals we aware that consumes is broke. And that's what I gonna answer every time. Ode to hip hypocritical for a small government conservative. Take any economic assistance and we know and tell the story in the globe via the -- front page of all the companies on the waterfront and how much. How much have taken loan guarantees tax credits whatever you know how much the city the state the government has invested in the and I assume they're all being run by liberals. It's conservatives aren't allowed to pay but. Listen during the -- this is I don't know because I've heard that as much as anything about I mean being hypocritical I'm not sure where my. My a stance. It in in an opinion in that we need a smaller government I don't know how the core leads to this one. You know this this was. In -- one of the amazing things these tax credits that that which were for 2011. Were unclaimed tax credits when the new budgets passed that money is lost and no one had applied for. And and in in our honestly if you are looking at how packed film and tax credits worker and entertainment film packs for its work. Generally it's it's a it's a transit company that come from out of state. Come and shoot a movie leave and go home and and the money that they will crew or require from the tax credits is money that he spent locally. From from a from a perspective you can. The argument if you don't like tax credits he liked the program that's a completely different argument I understand that and if you have a problem that. The program was there for local businesses to use an -- in this sense we were a dream company to use them because we were local that money was literally coming out of the budget into our company going right back into the local economy our employees live in Rhode Island spend the money -- and and 99% of tax money was for payroll and developments all that money was spent locally for rent and all the things that you do to to keep the company running Portland D'Brickashaw don't ask about your family in and in your life how has this entire experience changed the chilling family. You you you while particular in the -- in general. I don't know I really I mean it's not over yet I don't know I would imagine and and the next foreseeable period of time -- is going to be. -- but. And you know because and again and I and I see some of the techsters. From commenting. I I am not blameless here and I think it -- -- a couple I absolutely am am. Part of the reason that this field shall as the leader of this company. I carry as much as I hate this that have to that have to take it it's it's on me and but it's. You know I I sat down with with with my family and explained about a month ago. In in Adam. To them that. Thirty studios was probably going to fail and go bankrupt them that money that I urgency during baseball was probably all gone and then it was -- -- and that you know they -- its adherence and things in school and and things like rapid it was a a conversation and mr. -- an industry that we're not talking about terminal illness or or somebody dying misses -- it's it's but it's a life changing thing and you know it's not a conversation at trinity father. Anybody. But but I had to do Witten and explain to them that that this was. No part of growing up as being accountable on this was my decision to do this and in that as real and no -- would probably start seeing can be very different for us I don't know Odyssey. How it's different how it's gonna you know obviously. You know people or are saying things about me in about us. That that aren't flattering and you know for whatever that's worth it but you know life is going to -- -- what would you be back on ESPN. It's -- -- went where you are right what we you know we haven't we have discussion and and we mutually agreed that we would we would back off and and let this thing play itself fountain. So does the anger and vitriol surprise you know -- no no I mean down. The that the joy in the -- for now because it's it's you know what news this is. This is I've I've heard some of this before and from the comment in no for that I've never ever been able to walk away from. I've always heard things. I am. You know it's it's painful. To hear people wish. And hate I mean I I I've been in a lot of situations in my life than. And and probably the the fifty or sixty years since I've I've become -- Christian I don't know that I've I've ever said -- somebody might I dislike people -- and he missed it's much energy agency that the amount of hatred. Is. Is is surprising. Given that -- I've never -- my wife I've never driven drunk have never taken drugs I've never done and it's steroids I've never. I've never done things that a lot of people have done. Doesn't mean I'm solace RE raid by make mistakes every day and I've done -- seven on some stupid stuff in my life but I've never done a maliciously had never done with the world -- won ten. I believe I've always have a pretty good heart and tried to be good to people. And and it it's surprising to some extent that it. When you see how other people. Get. Put in and part of it is is the god given ability I was given put -- a place -- not -- people get through them and I've always. Been incredibly pursue the fact that I got to experience what my experience when I played baseball and and I thought I was doing something. Good incredibly good in there and I created the company and beat created -- jobs in the worst economy of our lifetime. For over five years and we -- -- -- we're on our way to building Euro literally a world changing company. And -- I made a comment on when rice founded the company. I wanted to take a shot at getting built its roots in a lot of people will roll her eyes and says things about at the outset and the -- wasn't the for the reason people think. It was because. To open up the sound is showing -- -- brought his research for a quarter billion dollars you have to. Make a lot of money and and and we've been impacted and affected by so many things like we've had the ability to be involved -- for over twenty years. We've had we have an autistic son my wife is a cancer survivor. On those are three things that are immensely important to us and -- -- And we have tried to do and make sure that the world and to be in a better place and we leave at that was a year and this was one of the ways to do that I absolutely we have a Philanthropic arm of a thirty studios and my employees. Had an amazing -- -- and a lot of effort and again as -- start uploading young kids in this company but they understood that. We were building something bigger with much bigger goals and purpose and and that was one of them -- adjusted in Peabody Justin your next with Curt Schilling. A good morning guys. I think. Our district -- that would be a vote only to. A -- English able to plug all home well it might take a quick question for ball. I got a little -- worldwide. Game such as aperture won't urgently -- lightly considering that we -- -- oracle. Why do I helped more than -- -- I mean obviously you -- estimated fell flat. -- -- -- what is the outlook or estimate there are I don't completely understand build developer publisher relationship. How -- home. VA come out that he would make money -- and money in Portugal. Paid on working with yet. So so EA funded of the development first came to the tune of about 35 million dollars I think it was. And EA is the way it's set up in in a developer publisher world this is not specific BA is that there's generally something along the lines of a 60407030. Split in their favor. -- revenue. -- -- -- that that's split is recovered immediately on top of them recouping their investments -- literally. It if you have a 7030 split and they give you thirty million for your game a hundred million of the first hundred million goes to the developer. It's say the game is -- the industry is set up so independent developers can no longer make big budget products and and so. You know EA as they should have got all of the money that came from reckoning in would've -- if we had sold five million they probably would have gotten most of all of that as well and and we that -- we never. We never minced words around it would. Reckoning was our way to announce ourselves to the world and to bring in. Awareness for the intellectual property and to get our names and and and our our our ability out there and and and all those ways I think -- succeed. Olympic quicktime up that would get the blade in province Joshua Donna John -- questions for Curt Schilling will be read acts. Sports Radio telling you guys. I -- of -- lineup for quite some time what's let's go by the people who way to the longest Blaine is in Providence, Rhode Island hello -- you're next with Curt Schilling. Blame it. Blaine Blaine is not there. It's Joshua Cambridge Joshua good morning. Good morning. -- -- -- -- -- -- Bret -- and here thank you it's worth I throw the endorphins and and into the world Terry is collaborate on the big big big chair umpire -- -- Circuit Court. Question -- political views of and there's a small business loan burden. You know noted there's a sharp as being the look. I don't know I'm I'm not business and our road this very very small business it's a slightly larger than eliminated and -- an artist formerly served our. You wouldn't let -- two million of your own money company just and an eight game like a military. -- look like -- and and how much it will I think you know. So -- yet -- -- -- EA invested 35 million on the development of the game that was being built in Baltimore so that was that was but. All pro right not to that changes anything but but but for the period of time -- that game was to be enveloped it was it was seed the development aid for. -- idea. By EA. On the state ended up -- it was one of the issues and -- and notices this sounds whiny but it was a very relevant piece of this we initially went to Ireland that we were going to be. Issued 75 million dollars. On the -- and we actually got 49 million from the -- held back 26 in reserve are needed to get out so it's sort. I don't have an exact dollar amount and quality of your my and plus. MySpace MySpace plus plus we had a small number of and with investors. I'm probably about a hundred and in in the game and ball in in the province studio in the game and in problem. Now the governor said you weren't eligible for the tax credits because you weren't incorporated -- the core of the problem is that this was this was the fourth time. We had already been pre certified three separate times before -- received tax credits so that anti or register and -- I'll let them. I know -- and right we we were domicile and headquarters in Rhode Island I mean what we didn't have an employer outside of province are or -- -- Maryland -- and the money was spent in Merrill and -- in Providence all of it. On the that was the the one of the multiple times we've already done it before this need to increase which means we submitted all the applications all stuff that we did. And in the film tax commission entertainment commission came back in and was OK -- everything. And and we didn't not divulge any information or hide anything. We did all the things legally supposed to -- yet again. You know that this was a vehicle for us to to help. Keep -- the company going to get to the public event and it is it's something any business that qualifies for catfish should and and interstate -- them you should absolutely go after these unclaimed 2011 credits. No one had applied. Stuck to what John and ballot join us -- Curt Schilling. -- term on ask a couple questions. Just up first -- They are men that were silenced it'll that was a business partner in Australia and then in one breath he's that you can't beat up people to make the jump that you're being hypocritical with Europe. You're outspoken -- you admittedly you've been Leo spoke missile or small government not getting involved private. Bernard -- I -- us and I never said that I never said and I didn't have a problem with small government getting in I don't have a -- any problems. With government helping -- ignores it doesn't it probably ought to -- -- What about what do you mean the -- don't you agree with you -- very well. I don't know enough in detail about any of that stuff other than to know that if they're successful and it works great. -- -- -- what you're not going to keep party line you're right -- like you're on air right are hundreds of times saying you believe in small less government the government shouldn't. Before you started this business government and armed small business large business shouldn't it shouldn't help one another -- Now novel way not knowing what our budget and brought all of us not only rely -- what you're lying you're lying he does. You line. Art call -- second. God or jump on the John hold so we can have a conversation I'm not hang up on you all get you back on the year on hold because you're talking over there but if -- -- gonna -- gonna call me up record please do that's fine I edit and if you disagree with being too hard to me that's fine. Do not put words in my mouth and make me say things I didn't set. I am for smaller government always have been smaller government. It but your your making comments that I made that I didn't make. But that's because. Put your back pocket your past Parker and that incredibly governor Chafee is certainly more urgent help. Shot Johnny just I didn't blame yourself an hour if -- attention. And why did. Why did Rhode Island hand over -- in the 49 million to get you to move there with 400 employees. Is that that typical the congress sent a pretty sure you know GM and didn't move somewhere and take their business and that the tax base. The somewhere else every city does every city every statement -- have an economic development office. I don't I don't know if they do or not but we you know when we were talking about you know one -- the other. Falsehoods around this was that. Massachusetts walked away from us we were never in in we never got in we had one conversation with people in the state of Massachusetts and it wasn't about anything specific there was no. Bartering back and -- -- your multiple conversations we had initial discussion looking at what the state. Did offer four or what I offer was indeed in the interest in offering. The help small business it was never a point specific conversation making amounts of studio love that bit. It never went past that initial conversation in the conscious -- It's from the fortune magazine in -- allies fortune magazine says. Chilling. Has been an outspoken conservative loudly loudly endorsing limited government but he basically begged Massachusetts for subsidies. And when that failed took a massive loan guarantee. Fraud from horn island and in terms bag now to produce an old. And and again that's that's another reason why I'd been as quiet as -- mean that there's just no there shall much misinformation and and and you know you just heard him say that. I absolutely am to blame for their IRA actually bear responsibility a lot of responsibility. For the company fail and end. I don't know how many of ways I can -- And and in all honesty the state was our partner there was there was they have every incentive and every reason for us. 22 wanna be successful right -- that we are asking them to give us another loan. We were taking advantage of the things that -- mechanisms they put in place to help businesses succeed. We didn't ask him for another bill on her hand up on -- term anyways since. We're up against -- top of the -- -- you -- for one more segment or -- ago. I'm -- okay our three Indian secrets on where your -- yet but -- Red Sox to silicon. -- lines continue to be -- talked to Donna in New Hampshire on your next. On my -- -- I I'm here. And it. I don't forget my question I just aren't they thank you for staying beyond the 8 o'clock hour here a bit on hold a forty -- so I'm late for work now that makes it worthwhile to -- That wanted to thank you cut your contributions and bring in the World Series -- -- in my skin is. You mentioned that you put it in million dollars and that's not your own aren't into the average fan like me that should we only they are just a drop in the bucket -- you -- personally obligated to assist some of the employees that we. Or heard in the news reports are no looting their home. And whatnot. -- are still personally. Probably did everything I mean I I don't know how -- support this amendment and this has been a devastating thing for for families. No one of the things that that we did when we move the company was Saddam. We entered into to a business deal with a company to to handle the move we spent about 3.2 million dollars moving problems about a 160 families. We we work with a company to assume the mortgages of the homes of the people were moving from. A closing on that sale and pay closing on the new one and and and reimburse them for up to 25000 dollar loss of home. But why it was one of the things we had to do that had to do that well because it it was a it was about the team it didn't matter if we move the company had money in the people didn't come with us in the team wasn't going to be there. These it was always my understanding the when we entered into this deal that the big the company would assume the mortgages and paid week in and we would pay them for mortgages and told -- salt. And we I think we did it for almost a hundred homes and at the when we went when we -- -- seven there were seven family still in the Q -- process. And and the those people are being now called on the -- to mortgages they can't do this to be financially devastating. For those families and so were you know again once the once of the bankruptcy it filed it was up to the it's up to the trustee. To try and make that right and so my hope my hope is that that will be one of the senior priorities for for anything that happens from a monitor percent of those employees will be me at all. In addition to the wages that were paid at the end and that's. And obviously I feel. I don't know in in a way to put it I mean I'm devastated that that that anybody has some thoughts -- so. This gaming industry which ought to understand if you said we gonna pay you 90000 dollars over the average salary -- and the BB you've got to get to Rhode Island yourself. Knew that they do that they would become well as an option I never even consider that as an option because. Again this was about if we're not gonna overpay you there's things we have to do from a health care perspective we have the best. As good health care as any company in the world we took care because again this was not. This one of the things I learned when I played baseball was that that when my wife and kids were healthy and happy and things for good. Bend it bend. Life was good and end the game was fun and in that wasn't -- there's no -- sensitive to my paycheck and I know that sounds very. I don't know -- Britain because I was always making obscene amounts of money to play baseball. But I assume that carries no matter how much are making a pure -- helping your kids are healthy and happy Phillips then -- -- like this getting your -- incredibly productive person at work and so we tried to make sure. That everything was taken care of for the employees and their families so when it came to work they could be the creative people we hire begat. And and that that again that this collapse as fast as it did. And why inserted the employees the way it did his views is one the most devastating piece is the odd jobs -- New Hampshire your natural Curt Schilling the morning Jim. -- Who interest. Or current Peru and -- oval port. -- at a long term program that was. It was all the way to. That action and I've got a little problem with well I'm here today. It turned referring to it -- island and your partner. You know the end of the day. I don't think that they wish stockholders I don't think they would have benefited. From the -- the company. Oh no that's incorrect -- today -- They they would did did the way that did the everything was structured that that. The company's. Who was selling needs skewed that when the imam went out and and we -- money they were going to be beneficiaries of what's being successful absolutely. Are there yes absolutely absolutely. Yes. -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- That you talk. Actually that ordered the law. -- -- such credits. In the date. The tax money -- -- taxpayer has lost -- -- pocket. The fact that I actually feel like. That is what their government. Right no -- it was my understanding that the money was budgeted and and allocated. And -- I am I I'm not thoroughly. I'm not sure that I -- that I'm I'm doing it justice but it was budget minority allocated. And if if the budget the 2012 budget had gone through those that those that that would have been lost but but might I guess my meager point was that. It was money sitting up there for businesses -- Rhode Island businesses to use that nobody had claimed. And so we didn't push somebody out of the way or deny anybody else receiving big capital to an end again that I think -- the bigger things was. We the world local company those tax credits weren't going to be put into the pockets of employees going to another state to spend all the money was being put right back into the Rhode Island economy with the stock. Was an incredibly beneficial thing for that for -- and a kind of a rarity. And and -- -- -- -- -- nor would not be your fiduciary duty to claim that trouble maker company is what happens is it's it's months did listen. The the bond deal the tax credits any entrepreneur or any business or the would've had access to doing those things that would have done the same thing might -- Newbury port my connection -- Mike. Might. Look like on -- problem here with his question was. Nazis Christine is in Rhode Island Christine good morning your broker. I like -- I don't. -- content -- sure thing I'm not gonna do it thank you held them for what I'm going to do thank you coming out I was speaking about the com. And I just want to explain something really quickly which you have to understand here on the animosity. -- Edward island was one of the hardest hit eight with the economic crushed. Our model -- cult. That's what we shall and you know. On the blame game has got to stop global one. You can't blame our island int yeah it's the taxpayer -- -- and he's itself are and that you don't know what he's really. Bad okay in the hobby I know they should be sued and -- -- what you got a little real not gonna scream it'll computer and -- Who am ill. In. The end a lot -- -- explains all white dot what are we gonna hear it and we -- you know -- to -- We -- -- as Curt Schilling all. We got out. And and oh yeah you're absolutely. And where it's coming from -- try to kill. -- -- but I -- you'll. No I endless Internet you know now I understand and and man and I understand the animosity as well. Know the challenge for me is Andy you're right it did the hard thing to say. Is is it for me is is that bit there's a blame part of this failed in the as the reasons it failed and there are people fall and and I am one of those people and so when I say the state of our island it's sounds like I'm pointing off of the guilt and blame that bit. You know part of this is it. If you remember. After after governor Chafee went into office. He came by the studio and end and he had made a public comment that you know he was against the deal before he got elected but now that he was in the office he was gonna do everything you do to help this company succeed. And that absolutely unequivocally never ever happened in any possible way and and and that's not that's not the sole reason this company -- it's not -- -- again -- I can tell keep repeating it. I was by you know I'm responsible first up or obsolete part of this is just. It's it's it's crossing in devastating that it is who have seen it fall and fail exactly the way it did after five years of building. How many how many copies of the game sold. As of about a month and apple goes about one point three global one point I'm looking a quote from chief purity called it flop yet. And there's an analyst of the industry who said just the up this what he did you know access. I and I know you're you're getting killed here and call isn't and textures but I I just have a question for them. Why would Chafee called a flop why would you say it failed. You know me you know -- -- one wanting it to fail he was happy that it failed he's happy that you failed. He's a politician to the -- this is a big. Political victory. Yeah I mean I don't know I don't know how to aggressive and it is there there was there was a lot of situations where it stinky could've. Help us succeed in and probably the one thing at the end it that I and I said this earlier. That people understand is we have an investor at the end. That would right east fifteen to twenty million dollar check hold the state. Hold the governor he would write this check his his asked of the state was to be in senior position for the debt. After -- state issued the six million dollars -- -- -- the clean up the mess that we had -- and jewelry Poland if they had that happened. He would come in and save the company. Annika governor said -- nothing. He was. We get calls wanna talk about the red sock guests please don't you don't watch each and every game one that the you know major combat triggered -- -- -- -- multiple reds dealt with virtually next. It's really. Guy. It doesn't Callahan Curt Schilling remains in studio with us on NASA on WG I FM 93 point seven points talked to brand -- -- Brandon from East Hampton New York hello -- in the morning. Important victory Michael thanks. Abduct does start up like -- -- the Red Sox curt Newton back to kind of separate questions. For yet one not they've been busy doing business and everything that you had a chance to what the Red Sox yes that idea. And -- -- seen anything like that Jon Lester -- -- that maybe you saw that they need to change -- Finger tip and offered no reason they're not have been such a great year this year. And the second question is how many more can you -- -- remote and -- the dealer. That's -- it will I think the thing with John is that -- -- there's that final step to take yes and taken and that is his fastball command. That -- everything every pitcher whether it's Jamie Moyer Stephen Strasburg. Success is dependent on fastball command. -- is just not been able to make that final step in command the fastball to both sides of the plate I mean. Stuff wise he's as good as anybody in the game physically you there's nothing not to like a bottom. Park head everything but he he hasn't. Finished. It hasn't completed himself and and if he finds a way. Two to harness fastball command both sides of the plate -- the upsides through the roof and ended just -- I expected to happen before us and hasn't. Do you look at just back at the way we do like roll your eyes and says it -- to I mean when he -- The various things in the -- back to the playing golf with -- you know after have a it was a the last -- -- -- You know blowing off the media that. Those same you know what I do on my off days mild day do you think he likes it here and do you think if he were to get rated would you -- to it -- of Clinton and fun guy. I think I don't know I mean that's a lot that's a lot of hypotheticals what he agreed to -- I don't know when I mean clearly his wife and his child -- Are his driving -- -- priority I don't know what that means I mean do they wanna play somewhere else does he wanna play -- I don't know wiping. He has some guys on this team you like I'm in -- Tillman along time and I don't know what his mindset is. You know when he's he's been right he's thrown the crap out of the ball. You know it's just get and that thirty to 35 starts and has been -- -- What do you make of David Ortiz standing up yesterday when the team was going very very well and and for a second or third in -- -- dealing with the toxic in the tension questions about the clubhouse. And and and when you watch him and when you'll slump didn't really sound that nobody does like like they think it does not send you said the opposite when he said the day before in game four was this clubhouse is great everything's wonderful right. And that he says it's turned into a weekly poll -- used to be the next day yeah. Well I mean listen. That's always easy to do here 'cause in some segments in some places it's always right I mean that the media is a pain in the passenger and it's something that exists here that doesn't exist everywhere else and there are enough bad people in the media here for a -- Take -- be relevant I mean any city with programs Shaughnessy -- if you you absolutely can -- by the media so. You know I mean it it it's just it's. It's a way to in David's OK with with taken heat and and and so I think it was more a matter of listen if you guys gonna bits and -- and make up stories about this that we have a thing could just you know here here's one for -- Did get some people stop asking other people questions to look -- and shelves for your next with Curt Schilling -- Christen. Good morning -- Patrick I just wanted to say. From another -- I'm a woman that's been in business for over thirty years up and down -- the small business owner. And the only update I will not working into an island got. A work. Go over the coming in good advice about three years ago and yeah you know I'm I'm I'm kidding no don't realize. How difficult it is certain to go into Rhode Island to work. It's it's just it's different and I just wanted to thank -- I got tired of listening to people com. -- She. Again I presume but I also understand the anger and an end of the anger though when you when you sit around. It's of as much about if not more so about the misinformation people believed to be true rather than the actual starts without that we do some basic arithmetic here because they -- 23 -- 23 callers to keep saying where -- the money go -- were all the money went and -- fifty million dollars and he sold all -- you just explain that right. -- -- -- -- global assume. That we use the -- hypothetical business -- -- -- -- on -- settlement every game of reckoning has sold for sixty box yes we got a 100% of that money right what we got none of it but but anyway that that one -- there's about seventy to 7570. Million dollars from the explains that's -- get -- that actually did that the that again generally generally the whole -- that did the developer will get about thirty to 35 dollars a game as opposed to the sixty. A bomb that that money was the case all of that money was the case of so thirties who has never saw penny of that and sales of that product. I put in about fifty. The state put in another 49 and I had probably between five and ten million dollars from high net worth investors and that's a 110 million dollars every penny of that -- into the -- payroll and development of the products the game. Building up the building all the things that went in to making the business go and move in growth. All of a pretty basic. Yeah well. To an end and you have said that the company's been honored I mean -- okay so this is -- -- -- people wanna what's the legal or illegal ram for so where's the follow. Here's what from from inception we have repeat BC press -- Cooper as our auditor which is not a common thing. It's very expensive and and as start -- generally don't put that kind of money but we always want to make sure when we sat in front of an investor and you sit in front of sophisticated investors. That they don't have they don't -- they don't need to bring in an independent auto or two auditor you -- -- -- -- five star independent Peter BC is one of those. From inception we always have one. About a month and a half two months ago governor Chafee demanded an independent audit which under the Bonn agreement they were allowed to do once a year. The auditor -- and then they had bit that the results of that -- they didn't like so they ordered a third and that's when he started to hear conversations around. Working with the state police and bringing in fresh and mean that was where I started to realize that people can say anything they want. And imply anything they want. It's for for no reason. Because the auditor there independent daughter went back and said there's four problems the first is that he's invests every penny that he said yes. He's guaranteed the loans that he said he has the company he has never taken a -- from the company ever. And the companies spend the money exactly how they said they were going to spend in the bond documents. And they were so unhappy at the results they ordered a third independent audit and when the same one came back it was the fourth. And and it's almost like they're they're trying so hard to find something that they're going to find something there's -- upon I never did any. Being a legal and again I never took -- I didn't get rich from this company am I actually did the opposite of that. And and that was that was -- about when those currencies asserted it was an incredibly uncomfortable. And and I think what and and we're here from -- Malone and -- and doors are. In can sympathize with because a lot of people who have taken a chance and in a wrist at all lost at all. -- and it is still need him I mean used we still only -- -- -- is still only people out of who take chances out there and a lot of your -- from a -- him to designate a fall in my dream I'm broke it and -- I sympathize. But. You know what do you do now we do now I know you'll be bet you going to be back in his -- And -- -- -- I again I've thoroughly. My my faith has gotten me through you know I I it was amazing. IE I -- I did a lot of praying during this initially was to. I was praying for this company advocates say these people's jobs it's in the future of the company to be there and eventually got to the point. Where I just wanted. Got to show me the past whatever whatever it is I needed to and does the stress was was I'd never been through anything like this perform life and I wouldn't wish this on anybody and and the employees that's what they had to endure I just wanted. I wanted to pass in the end I wanted him to give ministering to keep my head up and walk and that's what I'm doing right now it's literally day today and wake him up and I don't know -- morals and burning in so in on coaching -- softball travel team on quotes and wanna Garrett teams and and trying to to be as strong as I can be my -- much it's. -- are -- more like Terry Francona player's manager Bobby Valentine. Whatever he has. Minutes. It's awful I it will you know what it's. I made it incredibly pivotal time in the boys' lives at sixteen to eighteen years old -- On it to me it's as much about. Teaching them to be men and and to be leaders as it is of the propaganda -- all available -- lesson yes and it is it is in in in days you know there and the kids are incredibly respectful -- with my -- being on the team and that's a little twist and I'm incredibly proud of the way he carries himself. A lot of -- in Mansfield and my daughter who's fourteen playing on an -- travel team. As an exceptional athlete and she's she's going to be -- for your varsity player -- to go to college and play in Pittston. Incredibly proud of both of them but that's that's where a lot of -- times can soap opera now Tom I'm grateful for. Well thanks for taking some time -- to spend an hour and a half with us today thinking entered a lot of questions -- you later -- clearly and concisely as I think you possibly could not everybody heard -- understood were gathered when he keeps saying where's all the money you know where the money. Went at this point crucially thanks for the -- good article for thank you virtually with Dennis and Callahan.
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