Penguins hockey team, valued at $650 million, took out nearly $5 million COVID relief loan

The Pittsburgh Penguins professional hockey team received a $4.82 million loan through the Paycheck Protection Program under the CARES Act stimulus bill to help businesses during the COVID-19 pandemic.

"The CARES Act provides fast and direct economic assistance for American workers, families, and small businesses, and preserves jobs for our American industries," the Treasury Department wrote on its website.

The Penguins franchise is valued at $650 million, according to Forbes.

Contacted by the New York Post, the NHL team's officials explained why they took out the loan.

"With our arena being ordered closed since March and without any event revenue, we requested that our landlord, the Sports & Exhibition Authority (SEA), consider a temporary deferral of our annual rent payment due in September. This request was denied,” the Penguins replied.

"Accordingly, we borrowed $4.8M under the CARES Act program in mid-August and applied the funds to our $6.1M September rent payment to the SEA, which was used by the public agency to make its required bond payment."

"The SEA indicated it is facing similar financial difficulties due to the closure of the SEA-owned Convention Center, and we are pleased these funds were used to support an important public agency during these challenging times."

None of the other 122 teams in the Big Four North American Men’s Sports Leagues took out a loan through the Paycheck Protection Program, the New York Post reported.