johnbragg
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Will the Incoming Aresco League Schools Get (Further) Screwed?
There is a risk that UConn, USF, Cincinnati and maybe Temple will sell the Big East name to the C7 in exchange for all claim to the exit fee money, and then divide up the exit fee money amongst themselves. According to the emails sent by the Aresco League lawyer last December, there will be about $18.8M in the Realignment Reserve Fund by June 2013. Call it $21M when you include Boise's cancellation fee of $2.5M.
So they could sell the name to the C7 for the Realignment Fund, and then distribute the money amongst themselves, $7M each.
The new schools would be left with just the money coming in from Rutgers and Louisville, and maybe a final installment from Pitt and Syracuse, the article said $25M. That would have to be split 10 ways (or maybe 8 if they split the money in June 2014 before Tulane and ECU arrive.)
Plus $17.5M in entry fees over five years, if the entry fees get collected. But if the entry fees are being collected and then distributed to the membership, the entering schools are each paying $500,000 out of their conference revenue, for a total of $3.5M, which then gets split 10 ways, so they get a check for $350,000. (ACtually, by June 2013, Temple would have made 2 of their 5 payments. And Tulane and ECU's numbers look a little different because they're a year later. Their last year of paying entry fees, everyone gets a $100,000 check instead of $350,000.)
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02-27-2013 10:39 PM |
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