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  1. #31
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    Re: Surprise! Kroenke decides to exercise his matching rights

    Wow, now the real drama unfolds. I have to give it to Kroenke, holdin out to the last minute. GC, I agree with you that this has to do more with Kroenke maximizing his returns more than anything. I believe he will challenge the NFL rule tho on cross ownership. How this will turn out nobody knows, and so the world turns.


  2. #32
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    Re: Surprise! Kroenke decides to exercise his matching rights

    If you ask me, i can see the cross ownership rule being bypassed in this instance. They have done it before when Huizenga bought the Dolphins. The only barrier is Pat Bowlen, the owner of the Broncos. If he has no problem with Kroenke owning the Colorado/Denver franchises in other sports, then there should be no barrier to Kroenke owning the Rams aswell. But if Bowlen doesnt like it then i doubt Kroenke will be allowed.

    Like someone else said, maybe Kroenke used the full 60 days to talk to Bowlen and see what he thought of the situation.

  3. #33
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    Re: Surprise! Kroenke decides to exercise his matching rights

    Quote Originally Posted by Bar-bq View Post
    I read in another thread today that Kroenke has also been expressing interest in purchasing the Arsenal Football Club in the English Premier League. They are one of the biggest soccer teams in Endland after the Manchester Franchises and I'd say one of the biggest in Europe standing alongside franchises from Italy, Spain & Greece. My best guess is that Arsenal FC would pull more money than any NFL franchise and that if Kroneke can buy into The Gunners he could purchase the Rams in entirety and make at least what he's making with his Colorado franchises at the moment.
    "Franchises"? Don't let us English hear you calling 'clubs' franchises

    In all seriousness, it's a good point. The English soccer clubs have just landed a new tv deal that nets them something like an extra 14m a year (prob somewhere around $20m) and Arsenal are a side who have a huge stadium on a huge chunk of land in one of the wealthiest parts of London. Which is comfortably the wealthiest city in the UK. They're also regularly successful and playing in the money-spinning Champions League competition. Add to which many soccer clubs are expecting incomes to rise considerably over the next five years or so (as they start internet streaming games live to India and Asia, where Premiership football is huge).

    If Kroenke *could* buy Arsenal and the Rams outright (and neither will be straightforward) then I'd imagine he'd certainly make more from those two entities than just having bits and pieces in the Rams / Arsenal + his Colorado holdings. Assuming his motivation is the business, rather than personal interest in any of the sports, I can see why that would be his play.

    Interesting times...!

  4. #34
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    Re: Surprise! Kroenke decides to exercise his matching rights

    Ahhh...gotta love it. One thing for sure though is this famous line from Fred Thompson in the Hunt for Red October: "What's the plan? The Russians don't take a dump without a plan." Kroenke has more money than the GDP of most third world countries combined. That being said, nothing a person with that much money is done without a plan. What that is, I don't know but I do know one thing. If Kroenke was instrumental in investing in the Rams in 1993 and moving them to St. Louis, why would he move them back to L.A.? If he would move them anywhere it would be Columbia, MO so he could walk to the game.

  5. #35
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    Re: Surprise! Kroenke decides to exercise his matching rights

    Quote Originally Posted by GC
    I should also point out that the gift tax consequences of transferring ownership of the two colorado teams to family members will be very substantial. I am not saying that he wouldnt do it, just that we should all keep in mind that alternative will not be cheap, even if it does pass league scrutiny, which it may or may not.
    According to Forbes, the combined value of the Avs and Nugs would be about $550 Million. Without assuming some extraordinary item, the gift tax on that would be in the $200 Million ballpark.
    "Before the gates of excellence the high gods have placed sweat; long is the road thereto and rough and steep at first; but when the heights are reached, then there is ease, though grievously hard in the winning." --- Hesiod

  6. #36
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    Re: Surprise! Kroenke decides to exercise his matching rights

    Quote Originally Posted by Dragoon
    I can't see anyone getting filthy rich owning the Rams--and at best profitable if the team is a proven winner. So always believed that any owner would be "proud" to own an NFL team, and an extention of their ego. To that end, an owner would be willing to forgo making some profit to build a winning team. So goes my thought pattern.
    Actually, owning an NFL team is quite profitable. Of the 32 teams, 30 made a profit in 2008 (most recent data available). Only the Raiders and Seahawks reported operating losses.

    And oddly enough, winning does not equate with profits. Among the leagues 7 least profitable teams.......the Packers, Steelers, and Cowboys. Among the top 5 profitable teams........the Redskins, Bucs, and Chiefs.

    One more note; the St. Louis Rams are one of the least leveraged teams in the NFL. Only the Packers (2%) and Colts (4%) have a lower debt:value ratio than the Rams (7%). On the other end of the scale, it sucks to be a New York team; Giants (55%), Jets (64%).
    "Before the gates of excellence the high gods have placed sweat; long is the road thereto and rough and steep at first; but when the heights are reached, then there is ease, though grievously hard in the winning." --- Hesiod

  7. #37
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    Re: Surprise! Kroenke decides to exercise his matching rights

    rams dragoon hit the nail on the head. Uncertainty is a bad thing for the rams. It would be great if stan buys the team. It will be painful if this drags on another year or more with ownership in limbo.



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  8. #38
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    Re: Surprise! Kroenke decides to exercise his matching rights

    Quote Originally Posted by AvengerRam View Post
    Let's not get silly about this. There's a lot we don't know, but I think that its safe to assume that (1) this isn't about the first draft pick, and (2) this isn't an indication that the Rams are moving.
    In complete agreement.. the 1st draft pick is a decision like where to eat tonight ...it wouldn't impact a falling out of ownership.. Kroenke has a card up his sleeve and none of us have the x-ray glasses.. we just have to wait and see and hope... he is moving them to lansing michigan ........................hehehehehe just kidding

  9. #39
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    Re: Surprise! Kroenke decides to exercise his matching rights

    I doubt selling franchises is in his plan. He would have been more pro-active to this point if that was his plan of action. Selling 2 franchises would be counter productive and would take at least a year.

    Just my guess (and it's a complete guess) is that some NFL owners approached him and let him know privately that they would like the cross ownership rule changed and believe they can get that achieved. This rule has been changed in the past so it isn't improbable to believe these owners would consider another change. Many owners are investors in other sports teams. Paul Allen owns the Trailblazers. Eliminating or adjusting the rule would open them up to further investment opportunities. Other leagues don't have this rule and they aren't being hurt by it.

  10. #40
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    Re: Surprise! Kroenke decides to exercise his matching rights

    Quote Originally Posted by bigtiger737 View Post
    In complete agreement.. the 1st draft pick is a decision like where to eat tonight ...it wouldn't impact a falling out of ownership.. Kroenke has a card up his sleeve and none of us have the x-ray glasses.. we just have to wait and see and hope... he is moving them to lansing michigan ........................hehehehehe just kidding
    To be fair, I believe the Atlanta Hawks and Thrashers ownership's internal Civil War can pretty much be pinned down to one or two personnel calls.

    So if Chip doesn't see this situation ending any time soon, might he audible us into taking a cheaper DT?

  11. #41
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    Re: Surprise! Kroenke decides to exercise his matching rights

    Quote Originally Posted by PeoriaRam View Post
    So if Chip doesn't see this situation ending any time soon, might he audible us into taking a cheaper DT?
    I seriously doubt that Devaney and Spagnuolo are even consulting Chip on the draft choice at this point.

  12. #42
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    Re: Surprise! Kroenke decides to exercise his matching rights

    Quote Originally Posted by AvengerRam View Post
    I seriously doubt that Devaney and Spagnuolo are even consulting Chip on the draft choice at this point.
    Chip may insist on having some input when it comes to how much of his money is getting spent. Would you rule out him installing a price ceiling on any contract offers?

  13. #43
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    Re: Surprise! Kroenke decides to exercise his matching rights

    i agree that chip wont be involved in the draft pick, but i bet he is involved in the operating budget, no matter what anyone tells you about "business as usual" and that goes to the issue of up front spending on free agents or retaining our own guys.

    Profitability has a lot more to do with luxury box and parking revenue than it does with won lost record due to the revenue sharing arrangement in the nfl (the key is the tv contracts which all the teams share). For the record, jacksonville is now a money loser as well.

    The rams were apparantly the third most profitable nfl team when they moved to st louis based on the stadium deal and tax breaks that they got at the time. THe deal is not as good, relatively speaking, as it was in 1995, but the team still makes money.

    As to the situation with the atlanta hawks and thrashers, it was not one personnel or two personnel decisions that caused those problems. The joe johnson situation was the catylist that started the actual lawsuit, but the underlying problems were there from the get go and the litigation was inevitable at some point based on the complexities surrounding the financing terms of the stadium vs the teams and the conflicts between the hockey guys and the basketball guys.

    ramming speed to all

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