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Big Ten Discussing $2 Billion Private Capital Deal
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[QUOTE="HtownOrange, post: 5562620, member: 622"] See the link for the Yahoo article alleging that the 16 B1G teams are willing to vote and issue an ultimatum to UM and USC (3-6 months being floated for them to decide). Good article, haven't seen some of the stuff verified elsewhere, take it with a grain of salt unless you find additional sources to back it up without referencing this article. [URL unfurl="true"]https://sports.yahoo.com/college-football/breaking-news/article/sources-big-ten-execs-pressing-to-make-24-billion-investment-deal--without-michigan-and-usc-if-needed-140045573.html[/URL] What really caught my eye and should surprise everyone is the disparity between the proposed infusions and the shares of the deal going forward. [I]However, a driving factor for USC is the uneven distribution of revenue. Michigan, Ohio State and Penn State stand to earn as much as $190 million in upfront cash from the $2.4 billion — or about $40-50 million more than USC and Oregon. The other 13 schools are expected to receive $100-$110 million. USC would also earn a smaller percentage of future annual conference distribution than Ohio State, Michigan and Penn State. The three legacy programs are expected to get an annual cut of about 5.5% of league revenues with other schools at 5% or lower, according to those who have seen details of the deal.[/I] Initial cash infusion: UM at $190MM, as well as tOSU and PSU. USC at $145ishMM, with Oregon (Way too much for a school that lacks history!) Then, 13 schools in the $100MM-$110MM range. This is a far worse deal than I originally thought. Not only are the lower teams going to pay for everything, the middle teams are as well. Then the shares are watered down along with the initial cash infusion. I am surprised that the BoTs are being tossed to the side. If this moves forward, I would not be surprised if several of the 16 schools lose their chancellors/presidents along with their ADs, and possibly a few suits to void the vote without a full BoT review and approval. [/QUOTE]
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Big Ten Discussing $2 Billion Private Capital Deal
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