Wednesday, February 01, 2006

And You Thought That You Had a Lot of Credit Card Debt

I wonder if he can call one of those debt counseling services you see on late night TV? From the WSJ

Larry Ellison may be one of the world's richest men, but that hasn't stopped him from running up debts. Really big debts.

Recently unsealed court documents paint a rare and detailed picture of the software billionaire's finances -- in particular, his reluctance to sell the Oracle Corp. stock that makes up most of Mr. Ellison's fortune, and his proclivity for taking on debt to finance his lifestyle, charity giving and private investments.

In mid-2000, for instance, documents originally prepared by Mr. Ellison's personal financial adviser, Philip Simon, show that the Oracle co-founder and chief executive owed a total of more than $1 billion to five different banks, just $328 million shy of tapping out his line of credit. At the time, Mr. Simon anticipated additional spending by Mr. Ellison of more than $700 million over the next three years, including $20 million a year for "lifestyle," $194 million for a new yacht and $80 million for Mr. Ellison's America's Cup yacht-racing team.

"I'm worried, Larry," Mr. Simon wrote to Mr. Ellison in a 2002 email. "It's imperative that we start to budget and plan."