Things are falling apart at Intrawest at the worst time.

Next month’s main Olympic ski venue could change hands right in the middle of the Winter Games, as Intrawest LLC’s creditors look to auction off the ski resort operator’s assets.

The Whistler ski resort, home to next month’s Olympic downhill, and Intrawest have said that financial dealings would not affect the Games. SkiRebel.com has reported on Intrawest’s financial issues, including missing a key $1.4 billion payment to creditors last month.

The company’s lenders, Fortress Investment Group LLC which includes Lehman Brothers, posted a public notice of foreclosure announcing that Intrawest assets would be auctioned off on February 19th, right in the middle of the Winter Olympics.

An Intrawest spokesman said no company assets have been seized, that the auction notice is standard practice by lenders, and that it’s business as usual for the Games.

“No foreclosure has happened,” said spokesman Ian Galbraith. “We’re looking forward to the success of the Games.”

Vancouver’s Olympic organizing committee (VANOC) has also dismissed concerns that the events will be affected, arguing that it would make no business sense to affect Whistler’s operations during such an important time.

Whistler Mountain will host the alpine skiing events, while the sister mountain Blackcomb is the site of the sliding centre. Both are owned by Intrawest. Nordic events in Whistler are at a site not owned by Intrawest.

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