Jerry's post-stadium spending

[T-RO]

I'm not saying I have a problem with it (yet) but I've wondered about Jones' wallet since the stadium has been built.

The stadium went considerably over budget, and whereas the stadium has been a huge hit in many respects, it arrived at the same time as an economic downturn.

I wonder if Jerry is as eager to spend money as we all have believed for so long.

Maybe he foresees a new cap coming into place and wants to manage that. If so I applaud his frugality.

Thoughts?

 

[DallasCowboysRule!]

He spent it all on booze.

 

[Doomsday101]

I'm not saying I have a problem with it (yet) but I've wondered about Jones' wallet since the stadium has been built.

The stadium went considerably over budget, and whereas the stadium has been a huge hit in many respects, it arrived at the same time as an economic downturn.

I wonder if Jerry is as eager to spend money as we all have believed for so long.

Maybe he foresees a new cap coming into place and wants to manage that. If so I applaud his frugality.

Thoughts?

I think Jerry is looking to keep many guys we already have that will be costly. We could be like the skins or we could look to the draft and pay our top players the money they earned in Dallas. I don't think Jerry Jones is going cheap what so ever just smarter with the money he is spending.

 

[RS12]

He spent it all on booze.

Not to mention plastic surgery.

 

[laythewood28]

I think he wants to evaluate his talent before shelling out big bucks. Too many unknowns going into this season (free, ball,Jason and Brandon Williams, Victor Butler.) Also their really wasn't any big difference makers this off season.

 

[theogt]

I think it's absolutely affected his decision making and until he gets his big naming rights deal done, cash flow is a concern.

I'm not saying he's going bankrupt any time soon (I have no idea what his financials look like), but those debt payments are large. And I can't imagine any business taking on that amount of debt and not having it be a major concern.

 

[AmishCowboy]

Maybe he's waiting like what seems like the other NFL teams are doing waiting to see what the next CBA looks like or just not spending in case of a lockout in 2011.

 

[Jay]

What kind of free agents would you have wanted to sign? You do realize signing one of those big names or even a middle of the line guy would then in turn effect who we wanted to resign, right?

We all know Miles Austin is up for a contract extension. We've got some other young players with a year or two left that I believe will be resigned as well.

It could have a little to do with it, but I don't think nearly as much as you're thinking.

 

[LeonDixson]

I'm not saying I have a problem with it (yet) but I've wondered about Jones' wallet since the stadium has been built.

The stadium went considerably over budget, and whereas the stadium has been a huge hit in many respects, it arrived at the same time as an economic downturn.

I wonder if Jerry is as eager to spend money as we all have believed for so long.

Maybe he foresees a new cap coming into place and wants to manage that. If so I applaud his frugality.

Thoughts?

I think this is the main thing. Plus, I'm pretty sure I read somewhere that we have lots and lots of contracts for existing players coming due next year. (20+??) We have to be exceptionally smart this year if the cap returns next year.

Theogt makes a good point too.

 

[Doomsay]

He may have re-fied, but a large % of the notes that he is responsible for reverted to a fairly high interest rate when the Auction rate market imploded. Jerry had to eat all of the cost overruns as well - so he might have some cash flow challenges even if he is fine from an net asset standpoint. I don't think that there is any question that with the exception retaining some marquis players, he has been more frugal over the past 2 seasons.

 

[sonnyboy]

I think it's absolutely affected his decision making and until he gets his big naming rights deal done, cash flow is a concern.

I'm not saying he's going bankrupt any time soon (I have no idea what his financials look like), but those debt payments are large. And I can't imagine any business taking on that amount of debt and not having it be a major concern.

No and no for a bunch of reasons.

1) You see any empty seats last year?
2) If he were cash strapped, we'd already have a name rights deal in place. The fact that we don't is clear evidence he's dealing/operating from a position of strength and will wait til he gets a long term deal for the fair long-term value.
3) Nothing we did this or last off season would offer obvious signs he's cash strapped. The labor instability is he only issue.

4) Most importantly, if Jerry and the Cowboys had any real financial issue, it would never stay quite. Word would get out because it always does.

 

[theogt]

No and no for a bunch of reasons.

1) You see any empty seats last year?
2) If he were cash strapped, we'd already have a name rights deal in place. The fact that we don't is clear evidence he's dealing/operating from a position of strength and will wait til he gets a long term deal for the fair long-term value.
3) Nothing we did this or last off season would offer obvious signs he's cash strapped. The labor instability is he only issue.

4) Most importantly, if Jerry and the Cowboys had any real financial issue, it would never stay quite. Word would get out because it always does.

1. Yes, there are unsold seats and season tickets. Regardless, I don't think you can service the debt on seat payments alone, so this point is irrelevant.

2. That's a bit of a circular argument. You can't really make the argument that BECAUSE he doesn't have a naming deal in place, he doesn't need one.

3. That's debatable. I see some recent moves that I think were based in part on cash decisions.

4. It's a private company. It will stay quiet if he wants it to until the moment he files bankruptcy.

 

[jnday]

It was reported back before training camp that Jerry had as much money outside of the Cowboys as he has invested in them. Jerry is not starving or broke.

 

[67CowboysFan]

Didn't Jerry say earlier this year that Stephen was in charge of spending money?

 

[T-RO]

I think Jerry is looking to keep many guys we already have that will be costly. We could be like the skins or we could look to the draft and pay our top players the money they earned in Dallas. I don't think Jerry Jones is going cheap what so ever just smarter with the money he is spending.

I think that's very plausible. I hope that's the case.

 

[T-RO]

Didn't Jerry say earlier this year that Stephen was in charge of spending money?

He might have said it. Do I believe it?

 

[T-RO]

I think it's absolutely affected his decision making and until he gets his big naming rights deal done, cash flow is a concern.

I'm not saying he's going bankrupt any time soon (I have no idea what his financials look like), but those debt payments are large. And I can't imagine any business taking on that amount of debt and not having it be a major concern.

theogt, you hit the nail with those two words: cash flow.

 

[67CowboysFan]

He might have said it. Do I believe it?

Do I care what you believe?

 

[sonnyboy]

1. Yes, there are unsold seats and season tickets. Regardless, I don't think you can service the debt on seat payments alone, so this point is irrelevant.

2. That's a bit of a circular argument. You can't really make the argument that BECAUSE he doesn't have a naming deal in place, he doesn't need one.

3. That's debatable. I see some recent moves that I think were based in part on cash decisions.

4. It's a private company. It will stay quiet if he wants it to until the moment he files bankruptcy.

We could back and fourth on this all night because neither one of us have the answers. But.............

How many games were blacked out in Dallas last year?

It's a completely valid argument. If he had to have the money, we would have a naming deal in place. He's forgoing huge $ each season we don't have one. It's the smart play because he will make more over the next 30 yrs, but you can't do that if you're strapped!

No it real isn't debatable. No player decision is so out of character to prove anything type of cash short fall.

I could go on for 3 pages on why this is not the case. I if Jerry had real problems, we would know.

 

[utrunner07]

The Stadium reportedly cost 1.3B, the total pay roll from 2009 90.341M or 6.95% of the cost of the stadium.

I kind of doubt that the payroll is being influenced by the cost of the stadium, its small enough to be an afterthought to Jerry, IMO. Of course it has been several years since I have managed that type of money so I could be wrong here, but I think there are a couple of good theories stated here that seem to make more sense.