College Football Debt Making Bond Markets Nervous

[3rdCoastClone]

Some interesting stats regarding athletics debt and annual debt services. According to the ratings agency Moody's, "In April, a planned $15.4 million bond offering to be backed by athletic facility revenues at the University of Iowa was pulled from the market, probably due to lack of interest stemming from the pandemic, say two market participants. The Iowa bonds included a university pledge to impose student fees to cover the debt."

www.sportico.com/2020/business/finance/debt-laden-college-football-programs-making-muni-market-nervous-1234608360/

Anyone know what the annual Cyclone athletics debt service is this year?

 

[Remo Gaggi]

That might not be an issue for the hoks if Bartooth wasn't such an inept AD. Millions in settlements really add up, don't they?

 

[ribsnwhiskey]

Some interesting stats regarding athletics debt and annual debt services. According to the ratings agency Moody's, "In April, a planned $15.4 million bond offering to be backed by athletic facility revenues at the University of Iowa was pulled from the market, probably due to lack of interest stemming from the pandemic, say two market participants. The Iowa bonds included a university pledge to impose student fees to cover the debt."

www.sportico.com/2020/business/finance/debt-laden-college-football-programs-making-muni-market-nervous-1234608360/

Anyone know what the annual Cyclone athletics debt service is this year?

$6.5 Million.

 

[ArgentCy]

They should be nervous. Perhaps they can just get the FED to offer a backstop. They've done it for most other bonds. Interest rates should be going up.

 

[ArgentCy]

Municipal bonds are quite likely the WORST possible investment right now. And for reasons very much like outlined in this article. Just expand that to all areas of these local and state governments.

 

[3rdCoastClone]

$6.5 Million.

Lead donors rock... IJPWT
The annual debt service is lower than what I thought it might be.

Good job outta the entire Cyclone Nation too.

 

[CyCloned]

I like the way that JP was being proactive in getting salary reductions from the coaches early on. Probably not enough to handle the shortfall of half full stadium, but it is good to get ahead of these things instead of waiting until it is a panic situation.

 

[ArgentCy]

Not sure where you are seeing a full list of schools. Anyway, man how about that $EC Texas A & M. They are not looking so hot. Highest annual debt service at $23.3 million / year and second highest debt.

Then yesterday I was surprised because a radio showed asked for 3 of 4 teams who've never made the SEC football title game. Guess who, yep A&M was one. I was surprised. Down in the bottom of the forgotten barrel with Kentucky (football), Ole Miss, and the ever powerful Vanderbilt.

 

[Cyched]

Not sure where you are seeing a full list of schools. Anyway, man how about that $EC Texas A & M. They are not looking so hot. Highest annual debt service at $23.3 million / year and second highest debt.

Then yesterday I was surprised because a radio showed asked for 3 of 4 teams who've never made the SEC football title game. Guess who, yep A&M was one. I was surprised. Down in the bottom of the forgotten barrel with Kentucky (football), Ole Miss, and the ever powerful Vanderbilt.

I find it funny that Misery has made it twice while AtM has none

 

[ArgentCy]

I find it funny that Misery has made it twice while AtM has none

The radio host guessed Missery but kinda knew that was wrong. Lol, can't believe that A&M hasn't gone but I think that shows they've just been buried by being in the West division. Just no shot. They've had better teams than Missery but they aren't getting by the LSU and Bama's.

 

[Cyched]

The radio host guessed Missery but kinda knew that was wrong. Lol, can't believe that A&M hasn't gone but I think that shows they've just been buried by being in the West division. Just no shot. They've had better teams than Missery but they aren't getting by the LSU and Bama's.

I'll allow it.

 

[3rdCoastClone]

Iowa State total revenues have more than doubled over the last ten years - IJPWT

2019 = $95,411,884
2010 = $46,871,554

 

[OPButtrey]

Iowa State total revenues have more than doubled over the last ten years - IJPWT

2019 = $95,411,884
2010 = $46,871,554

Licensing went from approx 15 mil to 52 mil. That really shows the increase in the popularity of the brand.

 

[VeloClone]

Licensing went from approx 15 mil to 52 mil. That really shows the increase in the popularity of the brand.

I don't know the exact dates of it but a huge increase in the league's TV deals accounts for the majority of that.

EDIT: Fox deal was in '11-12 and ESPN deal was in '12-13. In 2018 per school distribution (not including third tier revenues) was about $36.5M which is more than twice the entire rights/licensing number for either 2010 or 2011 before those deals were in place.

 

[SEIOWA CLONE]

Not sure where you are seeing a full list of schools. Anyway, man how about that $EC Texas A & M. They are not looking so hot. Highest annual debt service at $23.3 million / year and second highest debt.

Then yesterday I was surprised because a radio showed asked for 3 of 4 teams who've never made the SEC football title game. Guess who, yep A&M was one. I was surprised. Down in the bottom of the forgotten barrel with Kentucky (football), Ole Miss, and the ever powerful Vanderbilt.

When you play in a division with Alabama, LSU and Auburn, even when you are aTm, its never easy to win the division. Its not quite like the Big 10 West. Their annual crossover game is S. Carolina, not to many horrible/bad teams on the yearly conference schedule for aTm.

 

[Sigmapolis]

When you play in a division with Alabama, LSU and Auburn, even when you are aTm, its never easy to win the division. Its not quite like the Big 10 West. Their annual crossover game is S. Carolina, not to many horrible/bad teams on the yearly conference schedule for aTm.

Coaches of the SEC West as of now...

Nick Saban
Sam Pittman
Gus Malzahn
Ed Orgeron
Mike Leach
Lane Kiffin
Jimbo Fisher

Good luck, Coach Pittman.