$9 billion in debt

[iceberg]

wonder if they can go cash a check somewhere and pay this off. : )

http://lloydvance.wordpress.com/category/2008-nfl-rules-changes/
specifically:
The NFL’s Debt - It was reported at the meetings that the NFL is 9 Billion dollars in debt. That figure needs to be looked into at a time when the league’s NFL Network is losing money - while they are still encouraged/funding it, the spending of millions in building the league’s many new stadiums/palaces at low-interest loan prices with little chance for revenues, small market teams like the Buffalo Bills hurting (enough to go to Canada for dollars) and we all know something is brewing at NFL Films. And can someone give me a straight answer on how all this debt is possible when the NFL is by far the most popular game in the world in terms of attendance, merchandising, ticket sales, and television dollars.

never knew the NFL was in such debt. wonder what it means in the "real" world.

 

[Arch Stanton]

With all the new stadiums being built I am surprised its only $9 billion.

 

[iceberg]

With all the new stadiums being built I am surprised its only $9 billion.

in debt to *who* is my question. the cities and owners pay for the stadiums, i thought. or by NFL do they mean a collective whole and adding the revenue/loss of each team in the mix?

 

[ABQCOWBOY]

9 Billion is an awful lot of money. I would be very sceptical that they could be this far n debt.

 

[iceberg]

9 Billion is an awful lot of money. I would be very sceptical that they could be this far n debt.

maybe they have to pay their rookie managers who've never managed anything in the business world but got A's in college.

 

[Arch Stanton]

in debt to *who* is my question. the cities and owners pay for the stadiums, i thought. or by NFL do they mean a collective whole and adding the revenue/loss of each team in the mix?

No idea, but they are low interest loans.

What's brewing at NFL films? More spygate?

 

[DCfaninDC]

With all the new stadiums being built I am surprised its only $9 billion.

Same thing here. I mean there are 32 NFL teams after all, and if one fourth of them had new stadiums with todays dollar figures, 9 billion is not that much.

Also, I am not sure that the NFL is the most popular sport in the world and makes the most in TV and attendance revenues. While we do have other sports, basketball, baseball, and hockey as the other 3 major sports, most of the world only has soccer at the top of their lists.

An NFL team can play up to 19 (not including preseason) games a season. Soccer teams easily play around 50 games.

 

[sacase]

You do understand that not all debt is bad debt. Look how much debt some very profitable companies are carrying.

People need to stop acting like debt is a bad word.

What is even more funny is that they think that staduims have little chance for revenue. Hell, they are HUGE revenue opertunities for the owners. ticket sales and food are only a small part of it.

 

[iceberg]

they caught goodell with a duck and are letting wade wilson set the punishment.

 

[DCfaninDC]

in debt to *who* is my question. the cities and owners pay for the stadiums, i thought. or by NFL do they mean a collective whole and adding the revenue/loss of each team in the mix?

most probably the local and state governments where they build those new stadiums and the locals in that area.

 

[iceberg]

You do understand that not all debt is bad debt. Look how much debt some very profitable companies are carrying.

People need to stop acting like debt is a bad word.

What is even more funny is that they think that staduims have little chance for revenue. Hell, they are HUGE revenue opertunities for the owners. ticket sales and food are only a small part of it.

who's acting like it's a bad word vs. trying to understand it?

i see talking about it. wondering what it applies to, does not apply to, what it means in the real world, but i see no one going WAH BAD NFL.

yet.

 

[Arch Stanton]

they caught goodell with a duck and are letting wade wilson set the punishment.

:laugh2:

I was thinking that Bill Bellicheat employed NFL films to video the Rams walkthrough.

 

[iceberg]

most probably the local and state governments where they build those new stadiums and the locals in that area.

ok, let's use our own new stadium as an example.

the city approves the sales tax/whatever to put funds into it.
jerry jones funds a good chunk of it.

is what jones is doing considered part of that debt? is the city considered debt till the tax revenue offsets their burden? just trying to understand how that fits in this equation.

not saying anything bad mind you. : )

 

[sacase]

Also remember that you have to look at the NFL as 32 different companies.

 

[AdamJT13]

The NFL is NOT $9 billion IN debt, the NFL has $9 billion OF debt. There's a huge difference.

 

[Doomsday101]

Also remember that you have to look at the NFL as 32 different companies.

Not really it is a single company with franchises.

 

[DCfaninDC]

ok, let's use our own new stadium as an example.

the city approves the sales tax/whatever to put funds into it.
jerry jones funds a good chunk of it.

is what jones is doing considered part of that debt? is the city considered debt till the tax revenue offsets their burden? just trying to understand how that fits in this equation.

not saying anything bad mind you. : )

I am sure that is considered part of that debt.

Also, I would think that the "bonus" and guarnteed money is part of this debt too. I mean sure they don't have to pay the players this year, but eventually they will. That is the definition of debt, something you owe that is due in the future.

Now, we have 32 teams and in each team, there are many players getting paid very well. That can add up pretty quickly.

 

[sacase]

ok, let's use our own new stadium as an example.

the city approves the sales tax/whatever to put funds into it.
jerry jones funds a good chunk of it.

is what jones is doing considered part of that debt? is the city considered debt till the tax revenue offsets their burden? just trying to understand how that fits in this equation.

not saying anything bad mind you. : )

I think I see a article similar to this that said that JJ was responsible for about 700+ million of the debt.

Let's assume that is true and JJ owes 700 mil. He gets a naming rights deal of 300 mil. Now he could put that 300 mil towards the 700 mil, but that is not a good use of his liquid cash. He can use the liquid cash to fun other projects so he can make more money. So the debt he is carrying is not bad debt. I would guess that many owners are doing the same thing with their outstanding debts.

 

[DCfaninDC]

Not really it is a single company with franchises.

actually the NFL itself is non-for-profit organization...go figure.

 

[Doomsday101]

actually the NFL itself is non-for-profit organization...go figure.

Well as we know all NFL franchises are under the rules of the NFL and the union does not deal with individual teams they deal with the NFL. No doubt the NFL as well as MLB and the NBA are not your normal business