N.L. Liberals out of the red after fundraising dinner

Thursday night's Liberal fundraiser helped the party pay off its election debt.

Party President John Allan told CBC News after the event that it brought in "a couple hundred thousand dollars, in that range."

"As of tonight our party is basically debt free" he said.

The fundraiser, billed as "an evening with the premier" cost $500 a plate, although not all of the 550 people in attendance paid that price.

The party offered discount tickets to people involved with the party, like those on the executive, for as low as $125 each, but Allan said only about 20 or 30 of the total tickets were sold at the lower price.

Allan insists that despite the party's low standing in the polls after an unpopular spring budget,the party didn't struggle to sell tickets.

"People are pretty excited, I guess, Idon't know if excited," said Allan, stopping himself.

"The last 6 to 8 weeks we've seen a big difference, so coming into the fall now [Dwight Ball] can get down to government business instead of trying to put out fires."

Some of the seats at the dinner were sold to companies through annual sponsorships, allowing them to pay for all of the various Liberalfundraising activities at once, and ensuring it had a base of supporters.

The Liberal Partyin Newfoundland and Labrador has struggled with more than $800,000 in debt. Last year the party reached a deal to pay off the principal but banks forgave interest owing.

That allowed the party to get out of debt, but then dipped into the red in order to fight last fall's election campaign.

The Progressive Conservative Party marked a similar debt-free milestone earlier in September.

Leader Paul Davis boasted his party is back in the black after the party's fundraising golf tournament.

Rebuilding the war chest

Much of the debt the Liberals retired last year was left over from its failed attempt to hang onto power in 2003.

Allan said the party is now trying to make sure it doesn't face a similar problem.

"The Liberal party will never be destitute again," said Allan.

"One of the things we are working on very hard is that each district for a general election is fully funded."

The party has three years until the next general election is called.Allan said having a war chest will ensure the party will attract candidates who can focus on campaigning rather than raising money.