After failing to find enough money to remain financially viable, the Richmond Renegades announced last night that they're going out of business effective immediately.
Allan B. Harvie Jr., president and general manager of the3-year-old Southern Professional Hockey League franchise, made it official in a press release.
"I have delayed making this announcement for as long as possible while my investors and I looked at every possible alternative," Harvie said in a statement.
"LIke so many other companies, we are the victim of the current harsh economic conditions. I am saddened beyond words for my team, my staff and especially my loyal Renegades fans."
Harvie, who was not available for further comment, had announced Feb. 24 that the team would suspend operations after the season if a major investor with a large cash infusion didn't come forward.
Without a major investor, Harvie said he needed to come up with around $280,000 through ticket sales or new sponsors in order to stay in business for the 2009-10 season.
"There isn't a financial stone that my business partners and I have left unturned, a phone call that we haven't made, a favor that we haven't called in trying to find a way to continue operations.
"There just simply isn't the money available to make up the $280,000 shortfall we will experience in order to continue operations."
Harvie had hoped to make up some of the shortfall with sellout crowds in the final three games, but fell far short of that goal, managing only to sell about one-third of the available tickets.
The biggest crowd of 6,351 attended Saturday night's season finale but close to a third of that was complimentary tickets, Harvie said.
For the year, Richmond averaged 3,302, a drop of 600 fans per game -- roughly 15 percent -- from the 2007-08 season.
Unless someone steps up soon with the money Harvie needs or another league puts a franchise here, there will be no pro hockey in Richmond next season for the first time in 20 years.
The original Renegades, under Harvie's backing, began operations in 1990 in the East Coast Hockey League and remained solvent until 2003. The RiverDogs took over the Coliseum ice when the Renegades went out of business and remained in the United Hockey League for three seasons. When the RiverDogs moved out of town after the 2005-06 season, Harvie brought the Renegades back.
Harvie's contract with the Coliseum doesn't end until April 30 and he doesn't have to formally ask the SPHL to end operations until the league's summer meeting in Huntsville, Ala., in mid-June.
But Harvie said in the press release that the team's office in the Coliseum will close "around April 4." He said the Renegades have started to refund all season and playoff ticket deposits and expect to have that completed by Tuesday. Richmond didn't qualify for the playoffs for the first time in three years, losing out on the final day of the season.
"If someone were to walk in with $300,000, we would be back in business, but the chances of that happening are one in a million," Harvie said.
Harvie had talked with Virginia Gov. Timothy M. Kaine and Richmond Mayor Dwight Jones this week about possibly getting some help from the local or state governments, but none was available, he was told.
Richmond becomes the second SPHL team to cease operations this week. Twin City, which is located in Winston-Salem, N.C., announced Tuesday that it was going out of business as of today.
Without Richmond and Twin City, the SPHL will be reduced to four teams, although the league is hopeful of adding two, perhaps three, expansion franchises for next season.
Contact John Packett at (804) 649-6313 or jpackett@timesdispatch.com.
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