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Citi Bike: Despite Bixi Bankruptcy, We're Fine

Tuesday, January 21, 2014 - 07:36 PM

WNYC
Citibike commuters brave frigid temperatures as a polar vortex hits the city on January 7, 2014. Citibike commuters brave frigid temperatures as a polar vortex hits the city on January 7, 2014. (Stephen Nessen/WNYC)

A Citi Bike spokeswoman says the declaration of bankruptcy by a corporate cousin of the company operating New York's bike share won't affect the system.

Montreal-based Bixi bike share declared bankruptcy on Monday. The company owes about 46 million in Canadian dollars.

The news caused ripples across the bike share community. Bixi provides technology for Citi Bike, as well as other bike share programs across the country, including Washington D.C., Chicago, and San Francisco. But according to Dani Simons, head of marketing for Citi Bike, there's no cause for alarm.

"At this point," said Simons, "we are committed to sustaining and expanding Citi Bike as the world's greatest bike share system, and we're not anticipating that this will have any impact on that."

New York City's Transportation Department has long avoided answering questions about Bixi's financial problems, which have stemmed from a quasi-public agency in Montreal's morphing into an international operator of bike share systems.  

Meanwhile, during Tuesday's winter storm, Citi Bike is open. To facilitate snow removal, workers have relocated most of the bikes from stations on streets to stations located on sidewalks or plazas.

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Comments [4]

Irvin Dawid from Burlingame, Calif.

In response to a question posed here, "Bixi was stymied by legal disputes, software glitches, upgrade delays and, most recently, by New York City and Chicago withholding payments, claiming Bixi was not fulfilling its end of the bargain."
http://www.montrealgazette.com/business/Bixi+files+bankruptcy+protection/9408589/story.html

Jan. 22 2014 05:51 PM
Ilene Skeen from Manhattan

Bixi is bankrupt and everybody says no biggie. So did this NYC venture cause Canadian Bixi's demise? Did the new mayor decide not to open his wallet and pay Bixi? Did not enough NYC riders turn out? Who bears the cost of maintaining the bikes? Bixi? NYC tax payers? Certainly not the riders. Can bike rentals on this scale ever be profitable with NYC's winters which have not responded to the Global Warming Mandate? Who is going to ask the hard questions that deserve real answers instead of fluff?

Jan. 22 2014 03:35 PM
TOM from Brooklyn

Now tell us again about the 10% of the Citibank/MC sponsorship money that was diverted to the Canadiens PR operation and what was the value to NYC of that?

Jan. 22 2014 01:51 PM
Roberto Gautier from Brooklyn

Bankruptcy? Pas de problème! But, seriously, where is the outrage about such a poor choice of partners for the bike people of NYC? Another case of letting culprits off the hook? Hope not. What would Commissioner Sadik-Kahn say, if she were still around? This, in light of what WNYC's writer reported:
"New York City's Transportation Department has long avoided answering questions about Bixi's financial problems..."

Jan. 22 2014 09:15 AM

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