Phoenix LXXII: Send in the Clowns
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02-15-2013, 05:07 PM
bettman's a Weasel
Join Date: May 2009
Originally Posted by
I was just illustrating that to Cohen, it was the same thing.
Let's say he was -$200 MM
. The new owners hypothetically say you can have it as cash or we assume your -$200 MM debt. If he were to take it as cash, he then turns around pays off the debt. He no longer owns the team but he also has zero debt. The debt doesn't just disappear because he sells. Not sure how the NHL structured the actual transaction as far as their requirements for 50%; plus the guarantee money, but that's a different issue.
Your $200M assumption is correct, as it is generally accepted that little or no money changed hands during the 'transaction'. In your opinion, where did the $200M debt come from? Why was Cohen $200M in debt to begin with?
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