Mod Notice: Temp Ban if Post on Changing the Name. Per New York Times: Dan Syder Agrees to Sell Washingon Commaders for $6B

[Riggo#44]

For those hand wringing about the number of owners and ownership stakes, the Steelers have 20 partners, Clark Hunt owns less than 25% of the Chiefs.

[Acworth skins fan]

Don’t know how many people that have cash at 6-7 billion.  Most of these billionaires net worth is what is, net worth, which doesn’t mean they have that in cash. The teams are getting more and more expensive, I’d imagine that in the future there will be more groups buying instead of one person. 

[DJD2]

So basically the owners are concerned that Harris might end up being "house poor"? I guess it's a legit concern.

[profusion]

Just like with houses, you'd better have access to a lot of liquidity if you're buying a fixer-upper of a team. Stuff's going to come up that you don't expect. 

 

Having a lot of sources of cash is a good thing. The potential downside I see is that these investors dumping in more cash may expect a more aggressive short-term return, not just the long-term potential of an appreciating asset. That's where the fans get soaked.

[Number 44]

It just seems odd to me that the NFL limits borrowing against the team to a specific dollar amount (1.1 billion) rather than a percentage of the purchase price.  Heck when the rule was put in place, 1.1 billion was probably 33 to 50 percent of what teams were going for.  The rule seems against the owners own interests by holding down sales prices.

[BringMetheHeadofBruceAllen]

Since the NFL only cares about money, I'm sure they'll  decide to "waive" their rules about foreign ownership, because their standards are so ridiculous that the only people who can afford NFL teams any more are corrupt Russian oligarchs and Saudis with oil money.

[profusion]

55 minutes ago, Number 44 said:

It just seems odd to me that the NFL limits borrowing against the team to a specific dollar amount (1.1 billion) rather than a percentage of the purchase price.  Heck when the rule was put in place, 1.1 billion was probably 33 to 50 percent of what teams were going for.  The rule seems against the owners own interests by holding down sales prices.

 

The NFL seems highly concerned about over-leveraging. Probably for good reason. 

 

The valuations are going so high, though, that they need to rethink their business model away from "rich man's hobby business." 

[Hooper]

All clickbait nonsense.

 

You see the headline, think "Oh No" and click... then you read the articles and it's clear no one really thinks the deal is in jeopardy.

[Canfan]

17 hours ago, Professor_Nutter_Butter said:

I'm exhausted. 

24 years of torture continues… Man, make it stop!!!

[RVAskins]

34 minutes ago, Canfan said:

24 years of torture continues… Man, make it stop!!!

[Riggo#44]

Dear Dan Snyder,

[Darth Tater]

5 hours ago, DJD2 said:

So basically the owners are concerned that Harris might end up being "house poor"? I guess it's a legit concern.

Not really, the big problem the owners have is that they are not happy that the team only gets 6B and, according to rumors, may actually be as little as 5.8B actual.  The other owners really wanted the 7B number even more than Dan. Remember, even if they don't plan to sell, having their franchises valued at 7B+ is huge. Technically up to 3.5B tax free cash can be generated (though NFL rules, risk management reasons and other issues depress that by a significant amount). There are myriad of other ways to generate cash flow from an overvalued assets. Finally, many of these guys have huge egos but, even though leadership at the top has a lot to do with team on-field success, there are many factors here that determine on-field success that the owners just don't control but they do know how to do the wealth thing (even if it is just my toy is worth more than your toy).

[Est.1974]

43 minutes ago, Riggo#44 said:

Dear Dan Snyder,

Damn I can’t stand Andy Murray either. Awful.

[Riggo#44]

6 minutes ago, Est.1974 said:

Damn I can’t stand Andy Murray either. Awful.

I don't really follow tennis, I had no idea who that was. I assumed he was an ass, but even then, not nearly as big an ass as Snyder.

[Skinsinparadise]

Russell is glass half empty about just about everything so don't care about him panicking.  Sheehan, Standig, Keim, etc all think things are on track but am curious about Perez's new upcoming story

 

 

 

Edited May 11, 2023 by Skinsinparadise

[RVAskins]

41 minutes ago, Darth Tater said:

Not really, the big problem the owners have is that they are not happy that the team only gets 6B and, according to rumors, may actually be as little as 5.8B actual.

I'm not sure I agree with that. I think the other owners would be very happy with 6B or 5.8B. It will only go up over time. The following is from Forbes

 

Forbes estimated last year that the Commanders were worth $5.56 billion, ranking sixth among the 32 NFL teams (with an average value of $4.47 billion). Sportico pegged the Commanders eighth in the league at $4.78 billion, a 2 percent decline over 2021.

[Canfan]

Was thinking about what we’ve been subjected to for the last 24 years, and figure we have to be the best fan base in all of sport, to still be following this team. We all thought we’d be stuck with the putz for rest of our lives, and yet we’re still here supporting the players, as much as we are embarrassed and disgusted with our FO. How many other fanbases would still be around? Like JKC said, we’re the best bloody fans in the the world. As compensation, we should win three Super Bowls in a five year stretch. We can start as soon as the tyrant makes for Europe. 

[RVAskins]

52 minutes ago, Riggo#44 said:

I don't really follow tennis, I had no idea who that was. I assumed he was an ass, but even then, not nearly as big an ass as Snyder.

I don't follow tennis either but I imagine the line judge telling him "yo mamma."

[actorguy1]

 

 

The eight-member NFL finance committee took a look Wednesday at Josh Harris’ massive deal to purchase the Washington Commanders — one so complex it could take longer than initially expected.

 

But in the aftermath of the meeting, sources told Front Office Sports on Thursday that the $6.05 billion package Harris and at least a dozen limited partners put together is inching toward acceptance.

 

FOS reported that there were no red flags in Harris’ proposal, including any that would require a waiver to comply with debt limits or anything contained in the NFL Constitution and Bylaws. 

 

Granted, Commanders owner Dan Snyder and Harris haven’t officially entered into a sale agreement. As a result, the operation has progressed down a novel path, with the league reviewing Harris’ proposal as if it were a done deal. 

 

That review — which includes vetting the financials and backgrounds of Harris and all his limited partners — is still ongoing.

 

“There’s just a lot to work through,” one source said.

 

There was hope the review process and the finalization would be concluded by the next full ownership meeting scheduled to get underway May 22.

 

While a vote to approve Harris by the NFL owners appears at least somewhat questionable, a source told FOS that the tentative deal between Harris and Snyder is expected to be finalized by those meetings.

[Conn]

So all is essentially well as many of us thought, and Russell is taking one of the remaining (quickly dwindling, I hope) opportunities to feast on our despair before it’s all sunshine and rainbows 

[Skinsinparadise]

 

 

[Skinsinparadise]

33 minutes ago, Conn said:

So all is essentially well as many of us thought, and Russell is taking one of the remaining (quickly dwindling, I hope) opportunities to feast on our despair before it’s all sunshine and rainbows 

 

I listened to Kaplan just now on 106.7.  Combining that interview and the one he did yesterday.  He seems like he feels it happens.

 

Basically the four hurdles.

 

A.  Because of the number of minority partners the background checks will take time

 

B.  The Dan weird component of this is he hasn't submitted the bid -- instead Harris submitted it -- and there is this conditional process of the sale.  So in turn the owners have to approve it conditionally, too.

 

C.  the debt issue has nothing to do with in the context of this actual sale.  They allow 1.1 billion of debt.  And rich people typically take on the debt because they'd rather not liquidate a ton.  He mentioned even Walton took on the full 1.1 billion debt.  With Harris, he wants to add some debt to his other sports franchises.  And this by rule is allowed by the NFL -- but they just want to assurances from Harris that he can handle that.

 

D.  Indemnity

 

Kaplan is though much more of a negative nancy on this issue compared to AJ Perez.  Kaplan likes to make the point that the NFL will go backwards for Harris because they want to get rid of Dan -- implying he is getting a pass that otherwise he might not have gotten.   Perez seems to explain it more like hey this will take some time, they got to work through some stuff, nothing deal breaking, but its happening and probably soon.  

 

I though I recall Kaplan has been negative about this process the whole time.  When he started writing about the story and talking about it, he was big on Dan won't sell at all -- that there was a good chance of that.  Even when almost everyone else was saying it was going down.

 

So i don't get his negativity on this considering his own explanation of what's up indicates that Harris is playing by the rules and meeting those rules.  But he's been somewhat negative -- killjoy on the process throughout the sale. . So for that reason I trust Perez's angle on this more.

 

Kaplan is sort of red meat for the negative nancies on something going wrong -- Russell, Danny Rouhier, etc.  But even if I run with the negativity, he still thinks its going down.

 

Edited May 11, 2023 by Skinsinparadise

[Skinsinparadise]

the same story but with that heading feels better .  And Perez hasn't always been optimistic about the timing of how things would transpire.  So its a good sign.

If

Edited May 11, 2023 by Skinsinparadise

[Skinsinparadise]

Counter punching Danny Rouhier's point on 106.7 where he doesn't expect much help from the minority partners as to the stadium.  Grant disagreed with him on this earlier this week where he (as do I) feels like it matters to have all these mega wealthy minority owners.

 

Yeah the idea that minority partners would kick in for operating costs -- I agree that's unlikely.

 

But the idea that they'd kick in on the stadium and the development around it IMO is really high.  That project will be an investment so the investing can ideally be a vehicle for them to make a good sum of money on it.  I'd add that those talking about Rales interest in being a part of the deal -- centered some of that on Rales' interest to be involved with the stadium.

Edited May 11, 2023 by Skinsinparadise

[Die Hard]

1 hour ago, Skinsinparadise said:

 

 

Some people would want to be Logan Roy. Nobody wants to be Dan Snyder.