Realignment Megathread (All The Moves)

[Cloneon]

How quick can a Super League come about?

What is Iowa State athletic department's debt service?

Sure Iowa State AD has other fixed expenses, but I doubt many can't be unwound over the next 4-5 years.

Iowa State's revenues are pretty certain through 2031 when the Big12 Media deal expires.

The Big10 has the first media deal up for renewal after 2029/30 fiscal. Would be surprised if FOX, CBS, NBC are interested in voiding their current deal.

Debt service is the KEY to many of these discussions. I suspect JP has those within very comfortable margins, whereas, I suspect a good portion of the P2 are over extended, despite their lucrative contracts. Remember, many of them are in more concentrated markets, with substantially higher expense. For example let's see how long it takes Northwestern to get into the black.

 

[FinalFourCy]

I fully understand revenue would drop. And that means expenses would have to drop.

Instead of so much energy going into the Protect Sports initiative. If Big12, ACC and G5 fans want to get "evil" ESPN & FOX's attention, we should boycott from watching Big10 & SEC games! If there are not enough fans in the Big12, ACC and G5 to impact viewership, then that indicates the Big10 & SEC are right in wanting to move to a P2.

It doesn’t seem like you fully understand any of this

There are only 10-20 schools that have enough fans in which those fans boycotting would be effective

This is about the casual viewer. They essentially watch a current M2 school playing top brands at the top level just as much as they’d watch P2 filler


The P2 won’t formally separate at 34. They’ll expand, gutting Big 12 and ACC based on which schools they want in the club, esoteric in nature, rather than based not on incremental valuation.

 

[isucy86]

Iowa Stare Athletics debt service payments is $24 million yearly, according to AI. I saw a 2022 report that had it at $10 million yearly. The university’s annual debt service payments is $46 million. I don’t know if there is overlap. I also don’t know if this includes the debt service payment for Cy town. In 2020 Jamie Pollard reported Iowa States fixed cost at $55 million. Probably a lot more now. Iowa State signed the house ageeement. I don’t know how much of this is considered a fixed cost in case the super league happens. Needless to say Jamie has plenty of fixed costs.

Again, when do you anticipate a Super League?

But fixed costs are very different than debt service. Fixed costs can typically be unwound under 5 years. TJ's, JR & maybe JP have contacts beyond 5 years.

Is there debt service on Cytown? I would anticipate site prep possibly. But buildings I would anticipate are covered by rent.

Iowa State signed House Agreement, but I believe it expires mid-2030's. And it's based on % of media rights based on P4 schools. If Big10/SEC break away, is ISU's share based on ACC/Big12 average?

Regardless schools might contest House Settlement if Big10/SEC create a Super League.

 

[Kinch]

Debt service is the KEY to many of these discussions. I suspect JP has those within very comfortable margins, whereas, I suspect a good portion of the P2 are over extended, despite their lucrative contracts. Remember, many of them are in more concentrated markets, with substantially higher expense. For example let's see how long it takes Northwestern to get into the black.

Nebby has a $600 million stadium renovation. $350 million added to debt service and they are slated to raise $250 million privately. That is a lot of cash to raise and also a lot to bond. Some consultant painted a too rosy picture of “this will pay for itself” in so many years.

 

[theshadow]

Your proposal here has two major issues => jamming 8 games in one day and too many (and unnecessary) conflicts vs NFL games. And if you have QF games at bowl venues, one week of prep for fan travel to those venues will drastically decrease attendance for those games.

Your counter has major issues.

16 basketball games across 4 networks on a Thursday is totally cool, but 8 football games on a Saturday across 3 networks is suddenly a bridge too far?

Fox and ESPN each do triple-headers every week during the regular season. There's no extra lift there.

All of the games listed are on a Friday night or Saturday.

Nobody said anything about playing QF at bowl venues.

It can all easily be accomplished while meeting every asking point of the current proposals.

 

[isucy86]

Here is info from Iowa States most recent financial statements to NCAA (FY 2024/25).

Iowa State Athletic Department Debt = $132.4M
AD 2024/25 Facilities Related Debt Service = $12.1M
AD Debt Held by University = $0.0
Annual Facilities Mtce & Ops = $9.2M

As a person who worked in Finance & Operations over the bulk of my 30 year corporate career I fully understand the ramifications if the Big10 & SEC break away. I'm not saying the road ahead for ISU would be easy. But when problems or disruption in business occurs, then smart people solve problems. I trust Cook & Pollard will bring ISU through the chaos and Iowa State University will still be a great academic institution and our Athletic Department will build great teams and be on a solid financial foundation.