U2's Clarence Hotel Sees Profits Drop By 35%
Published on Nov 18 2013 8:59 AM in Hotel
The Clarence Hotel, Temple Bar revealed new accounts that show it accumulated losses of €73,442 to €2.379 million last year, following losses in 2009 and 2008.
The 4-star hotel was purchased by Bono and the Edge in 1992. The shareholders advanced interest-free loans to the business and were owed €769,583 at the end of December last. The shareholders in question are Bono, his wife, Ali Hewson, The Edge, financier Derek Quinlan and developer Paddy McKillen.
A note attached to the accounts says that "the company continues to meet its day to day working capital requirements by way of loans from its directors/shareholders, which are unsecured and interest free. These parties have confirmed that they will not seek repayment of such loans for the foreseeable future."
The note adds that Bono and The Edge "have confirmed their intention to provide the financial support necessary to enable the company to discharge its liabilities as they fall due, and continue its operations for the foreseeable future".
In 2006, the U2-members loaned of €8.5 million from their company, Lorijudd Investments Ltd to the Clarence which was then written off.