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Paul Drockton: Mormon Church Prepares for Economic Crash
The Mormon Church committed its members monies to redeveloping Salt Lake City with a downtown mall that had an original budget of 300 million. In fact, a similar Mall was built for around that amount just South of Salt Lake City. The City Creek Mall now is expected to cost anywhere from 4-8 billion dollars. Its final appraised value will be closer to the 300 million dollar mark.
In 2011, the Church had an estimated net worth of 30 billion dollars, with about 5 billion in revenues before the implosion of Mormon Inc.
"Time magazine estimated in 1996 that the church's assets exceeded $30 billion. This figure represents only one side of the balance sheet and does not include current liabilities for maintenance, although the LDS Church incurs virtually no long-term liabilities. After the Time article was published, the LDS Church responded that the financial figures in the article were "grossly exaggerated." Three years later, annual revenues were estimated to be $5 billion, with total assets at $25 to $30 billion. Whatever the actual figure, about two-thirds of it is made up of non-income-producing facilities and the land they sit on, including thousands of meetinghouses and over 130 temples the LDS Church operates worldwide, as well as educational institutions (mainly Brigham Young University). The remaining assets include direct investments in for-profit businesses managed through Deseret Management Corporation. Although the LDS church is a tax-exempt organization, its for-profit entities generate "unrelated business income" that is subject to federal, state, and local income and other taxes." (Source)
Mormon Inc. suffered heavy losses due to its exposure to sub-prime mortgages and derivatives. The main casualty was the 3 billion dollar "Beneficial Financial Group". Now, only a shell of its former self. The Mormon Church owned Mall looks to be another non-producer, especially with its retail lineup. It appears that the mall will cater primarily to the world's wealthiest 1% with designer names like:
Michael Kors: City Creek Center is Utah’s first location for the namesake lifestyle store of one of America’s preeminent designers for luxury sportswear.
Porsche Design: Porsche Design is a luxury brand with a particular focus on technically inspired products.
Tiffany & Co.: Boxes and bags of a certain, unmistakable blue are coming to Utah when Tiffany & Co., the world leader in luxury jewelry,
LUSH Fresh Handmade Cosmetics
Anchor stores like Macy's and Nordstrom will complete the package. Nordstrom's stock is down about 20% and Macy's will never weather the kind of economic collapse this country is heading into. Now that an audit of the Federal Reserve shows an additional 16 trillion dollars in debt created by the Federal Reserve, financial doom is all but guaranteed:
"An amendment by Sen. Bernie Sanders to the Wall Street reform law passed one year ago this week directed the Government Accountability Office to conduct the study. "As a result of this audit, we now know that the Federal Reserve provided more than $16 trillion in total financial assistance to some of the largest financial institutions and corporations in the United States and throughout the world," said Sanders." (Source)
Since the Church has not disclosed its finances to its members since 1959, it will remain a mystery as to what preparations, if any, have been made for the massive global unemployment, famines, and social unrest that will be shortly sweeping the globe. An empty billion dollar mall will do little to ease the needs of its members.