Dago Red Out Last Two Years?

[wyhdah]

Re: Dago Red Out Last Two Years?

That's good news, I would hate to see it go anywhere but racing.

[proppro]

Re: Dago Red Out Last Two Years?

The original owner bought Dago Red and started a complete rebuild all the way to bare metal and had the P-51 in pieces when he went broke the last I heard is the bank holding the paper repo'd Dago Red.

[Randy Haskin]

Re: Dago Red Out Last Two Years?

My dad and I were able to talk to Terry Bland and he said that one of the racers has put a bid on Dago and is waiting to see if the bank will take the offer.

Rumor around the Reno pits also said that the bank wanted a ridiculously high number to buy the airplane as is.

The bid I heard about was somewhere in the $1.5 million range, which was under the bank's number by a pretty large margin.

[proppro]

Re: Dago Red Out Last Two Years?

The price might not be that unreasonable as a stock mustang can bring around that amount granted it may be together but this air frame with all of the modifications it could be close. Guess we will wait to see what happens and who the buyer is for me I wouldn't be surprised if it is Rod Lewis afterall he already owns Rare Bear, Glacier Girl, both Tiger Cats that were there racing why not add a mustang.

[Big_Jim]

Re: Dago Red Out Last Two Years?

Okay, guys....

Frank Taylor took the airplane apart for a reason. They wanted to see what they had, and when they did they did a digital scan of the entire airframe and entered it into a fluid dynamics program. The plan for that was to determine, via computer, the optimal shape of the fuselage, wings, etc. If/when it worked, it was going to be real trick. And yes, they were kicking the idea around of experimenting with a turbocharged Allison powerplant...but that was only in the 'hey, let's look into this' stage. I know who they were talking with, and I know what/why they wanted to do it.

The problem here is that the PREVIOUS owners defaulted on their loan and the bank repossessed the airframe. Taylor and his partners did not go broke...as from my understanding, they were paying off the aircraft in installments to the previous owners.

The bank didn't give a rat's a$$ that Taylor was in possession of the aircraft, they just knew that the loan they made to the previous owners defaulted, and they repossessed the aircraft based on that. They essentially took it away from Taylor. Too bad, so sad, sorry...but it's ours now.

Taylor, however, owns the trademark for "Dago Red".

Now, this is merely a postulation based on observations and what I have heard, but there is a certain owner who was there this year, with a certain hauler in their pits who has been in discussion with the bank. And it just might be the same owner who had intended on modifying his own P-51 for racing until he realized that buying one already modified was cheaper than actually converting his current one.

No ironclad proof...but....time will tell.

[Mustang1957]

Re: Dago Red Out Last Two Years?

geez,when I started this thread little did I know people were possibly going to start bidding on this plane.But this is a good thing.

[flyboycpa]

Re: Dago Red Out Last Two Years?

Okay, guys....

Frank Taylor took the airplane apart for a reason. They wanted to see what they had, and when they did they did a digital scan of the entire airframe and entered it into a fluid dynamics program. The plan for that was to determine, via computer, the optimal shape of the fuselage, wings, etc. If/when it worked, it was going to be real trick. And yes, they were kicking the idea around of experimenting with a turbocharged Allison powerplant...but that was only in the 'hey, let's look into this' stage. I know who they were talking with, and I know what/why they wanted to do it.

The problem here is that the PREVIOUS owners defaulted on their loan and the bank repossessed the airframe. Taylor and his partners did not go broke...as from my understanding, they were paying off the aircraft in installments to the previous owners.

The bank didn't give a rat's a$$ that Taylor was in possession of the aircraft, they just knew that the loan they made to the previous owners defaulted, and they repossessed the aircraft based on that. They essentially took it away from Taylor. Too bad, so sad, sorry...but it's ours now.

Taylor, however, owns the trademark for "Dago Red".

My wife has done some work with FT/Dago Red and what Big_Jim said agrees with what she has been told, FWIW.

[wyhdah]

Re: Dago Red Out Last Two Years?

I think that much of the story has been out. I remember someone saying in an earlier thread that it was the previous investors that were getting foreclosed. I imagine Taylor is losing some money on this deal as well. The unfortunate thing is it appears the bank only has this plane for collateral so it is trying to recoup it's entire loan amount through Dago so the price is way too high.

[Bill@Interstell]

Re: Dago Red Out Last Two Years?

It seems unrealistic for BofA to try to recoup thier entire loss from this airframe. Racing Mustangs have consitantly brought less than stock.

Perhaps if they started getting a little negative publicity they'd get real. Anyone writing a story about this?

[sealbeachbum]

Re: Dago Red Out Last Two Years?

When I was driving home from the air races on Monday (9-20) I passed a semi going southbound on the 395 just south of Lone Pine that had Dago Red painted on the sides and back of the trailer. I was shocked to see that! I wonder what was inside?

[wyhdah]

Re: Dago Red Out Last Two Years?

The folks flying that beautiful Corsair were using that trailer as a support trailer....I'll let them tell you of any further plans if they would like to post.

[wyhdah]

Re: Dago Red Out Last Two Years?

It seems unrealistic for BofA to try to recoup thier entire loss from this airframe. Racing Mustangs have consitantly brought less than stock.

Perhaps if they started getting a little negative publicity they'd get real. Anyone writing a story about this?

You are right Bill I am pretty sure they are trying to recoup more than what Terry Bland was asking for the whole operation a few years ago. That was support trailer, parts, and the plane intact. It could be that the bank is trying to keep the Govt regulators off their back so they are acting as though the plane is adequate collateral because obviously the personal guarantees have fallen through. Just a guess.

[shadow]

Re: Dago Red Out Last Two Years?

You are right Bill I am pretty sure they are trying to recoup more than what Terry Bland was asking for the whole operation a few years ago. That was support trailer, parts, and the plane intact. It could be that the bank is trying to keep the Govt regulators off their back so they are acting as though the plane is adequate collateral because obviously the personal guarantees have fallen through. Just a guess.

I was thinking the same thing. A couple of years ago banking regulations changed to allow financial institutions to 'mark to fantasy' the assets they held. Before that you had to 'mark to market'. When you 'mark to market' you basically value your assets according to what other people will pay for them. In 'mark to fantasy' you value the assets to whatever you want....

This happened because banks were woefully under-capitalized. Allow the banks to pick the value of their assets and boom! Instantaneous adequate capitalization.

Unfortunately for us, BoA appears to be between a rock and a hard place. BoA is teetering on adequate capitalization. It's actually better for them to hold onto the assets and mark them to whatever they want on the books.

The health of BoA may need to improve before a realistic purchase price can be arrived at.

Cheers,
Serge.

[wyhdah]

Re: Dago Red Out Last Two Years?

Those were my thoughts as well Shadow. Who's to say what the fastest Reno Racer is really worth? (even though it was a hard sell at 1.5 intact) Truth is it is worth what someone will pay and as long as BoA's asking price is 2 million guess what it is on the books for.

[Randy Haskin]

Re: Dago Red Out Last Two Years?