Is Jerry Jones broke? (1 Viewer)

[Dexter Manley]

I've contemplated this the last few months, as some of the moves JJ has made appear to be primarily motivated by $$$$. I don't agree with the article's premise that he's broke, but I definitely think that the economy tanking at the worst possible time for him has definitely had an impact on his decision making.

Is Jerry Jones broke? Perhaps, we should just call it belt tightening. When you examine some of the moves the Cowboys have made in the off-season, it makes you wonder, especially since the Cowboys' $1.25 billion stadium doesn't have a corporate sponsor. Seriously, think about it. Then there's the curious decision the Cowboys made on draft day to drop out of the second round and into the third round, where the contracts are typically shorter and less expensive. Add to that the big deal Jerry made about not wanting to trade into the first round because of the financial risk involved and you're within your rights to wonder whether he's making decisions based more on money than winning.

http://www.fannation.com/truth_and_rumors/...broke?eref=sihp

 

[LarryAllen'sJockstrap]

I think the football moves have very little to do with his financial situation. They gave Roy Williams (WR) and Marion Barber big contracts last season and might be clearing up some room to sign Demarcus Ware to a long term extension, which will no doubt be a huge contract.

On the flip side, there's no doubt he has invested a ton of money into the new stadium, and with the recent economy, he's almost certainely feeling it more than if things were good right now. Though, I'd be shocked beyond belief if news came out he was selling an interest in the Boys cause he was going under.

 

[Traders2001]

I think the football moves have very little to do with his financial situation. They gave Roy Williams (WR) and Marion Barber big contracts last season and might be clearing up some room to sign Demarcus Ware to a long term extension, which will no doubt be a huge contract.On the flip side, there's no doubt he has invested a ton of money into the new stadium, and with the recent economy, he's almost certainely feeling it more than if things were good right now. Though, I'd be shocked beyond belief if news came out he was selling an interest in the Boys cause he was going under.

Lots of team in different sports are in big time trouble .Ex: Montreal Canadiens ( A hockey dinasty ) is for sale , George Gillett is having big time financing problems . The Dallas Stars owner ( Gillett partner on a big time soccer team ) is also in big trouble .

 

[a_troll00]

I think the football moves have very little to do with his financial situation. They gave Roy Williams (WR) and Marion Barber big contracts last season and might be clearing up some room to sign Demarcus Ware to a long term extension, which will no doubt be a huge contract.

On the flip side, there's no doubt he has invested a ton of money into the new stadium, and with the recent economy, he's almost certainely feeling it more than if things were good right now. Though, I'd be shocked beyond belief if news came out he was selling an interest in the Boys cause he was going under.

Lots of team in different sports are in big time trouble .Ex: Montreal Canadiens ( A hockey dinasty ) is for sale , George Gillett is having big time financing problems .

The Dallas Stars owner ( Gillett partner on a big time soccer team ) is also in big trouble .

Woody Paige wrote a story on Pat Bowlen a month ago and noted Bowlen could be in significant financial trouble as well.http://www.denverpost.com/broncos/ci_12281980

There have been hints Bowlen has fallen into serious debt in the aftermath of wasting money on free agents who didn't pan out, combined with the severe economic downturn, his investment in the stadium, and the $21 million still due Shanahan, as well as guarantees to fired assistant coaches. He is not among the richest NFL owners, and a majority of his income is football-based. The Broncos also laid off several employees last year. But he said the franchise is in stable financial shape.

 

[GroveDiesel]

Or maybe he's just saving up some money to really unload next year when there's no salary cap.

 

[Dexter Manley]

I think the football moves have very little to do with his financial situation. They gave Roy Williams (WR) and Marion Barber big contracts last season and might be clearing up some room to sign Demarcus Ware to a long term extension, which will no doubt be a huge contract.On the flip side, there's no doubt he has invested a ton of money into the new stadium, and with the recent economy, he's almost certainely feeling it more than if things were good right now. Though, I'd be shocked beyond belief if news came out he was selling an interest in the Boys cause he was going under.

Actually, didn't both of those signings occur before the full blown economy meltdown?And I actually thought they would have signed Ware to an extension by now, because his price tag can only go up.Fwiw, I would be shocked if he had to sell any interest in the team as well.

 

[crnerblitz]

Jerry Jones is very far from broke. He isn't even badly bent. He is however naturally slightly crooked.

I couldn't resist. Jerry has enough money to burn a wet mule.

 

[cobalt_27]

I think the football moves have very little to do with his financial situation. They gave Roy Williams (WR) and Marion Barber big contracts last season and might be clearing up some room to sign Demarcus Ware to a long term extension, which will no doubt be a huge contract.

On the flip side, there's no doubt he has invested a ton of money into the new stadium, and with the recent economy, he's almost certainely feeling it more than if things were good right now. Though, I'd be shocked beyond belief if news came out he was selling an interest in the Boys cause he was going under.

Lots of team in different sports hockey teams are in big time trouble .Ex: Montreal Canadiens ( A hockey dinasty ) is for sale , George Gillett is having big time financing problems .

The Dallas Stars owner ( Gillett partner on a big time soccer team ) is also in big trouble .

Fixed.

 

[cobalt_27]

Or maybe he's just saving up some money to really unload next year when there's no salary cap.

But, this is too logical for this board. Didn't you get the memo about this being the place to over-think everything and divine the most extreme possible scenarios.

 

[by_the_sea_wannabe]

Or maybe he's just saving up some money to really unload next year when there's no salary cap.

But, this is too logical for this board. Didn't you get the memo about this being the place to over-think everything and divine the most extreme possible scenarios.

So this theory isn't an over-thinking scenario? ok, I guess ...

 

[Mustang Man]

Yeah he's broke

 

[Bri]

Jones was "broke" not too long ago during one of the final phases of construction.(feel free to google) He had all his money tied into one project or another.

Once all the money from fans and the NFL starts coming in, that will(or has) soon change.

This is a few months old if not more.

An owner does NOT get cheap with players due to a new stadium, they consider bringing in marquee names for it. Jones would have probably offered his right arm to a bank if he could get a loan to(somehow) have Peyton or Brady for this initial season. Some of the reasoning above is just way off.

Before the reply-T.O.'s likability was dwindling quick.

 

[Bri]

One more thing, Jones has enlisted (what seems like) every former Cowboys star to do something for the team this offseason even if it's cutting a ribbon or commemorating a plaque. He is using marquee/name players.

 

[stevegamer]

Jones was "broke" not too long ago during one of the final phases of construction.(feel free to google) He had all his money tied into one project or another.

Once all the money from fans and the NFL starts coming in, that will(or has) soon change.

This is a few months old if not more.

An owner does NOT get cheap with players due to a new stadium, they consider bringing in marquee names for it. Jones would have probably offered his right arm to a bank if he could get a loan to(somehow) have Peyton or Brady for this initial season. Some of the reasoning above is just way off.

Before the reply-T.O.'s likability was dwindling quick.

Cash flow problems, yes.

Broke, no.

 

[Donnybrook]

I've contemplated this the last few months, as some of the moves JJ has made appear to be primarily motivated by $$$$. I don't agree with the article's premise that he's broke, but I definitely think that the economy tanking at the worst possible time for him has definitely had an impact on his decision making.

Is Jerry Jones broke? Perhaps, we should just call it belt tightening. When you examine some of the moves the Cowboys have made in the off-season, it makes you wonder, especially since the Cowboys' $1.25 billion stadium doesn't have a corporate sponsor. Seriously, think about it. Then there's the curious decision the Cowboys made on draft day to drop out of the second round and into the third round, where the contracts are typically shorter and less expensive. Add to that the big deal Jerry made about not wanting to trade into the first round because of the financial risk involved and you're within your rights to wonder whether he's making decisions based more on money than winning.

http://www.fannation.com/truth_and_rumors/...broke?eref=sihp

I'm confused. Aren't players salaries cover by the salary cap? And isn't the salary cap money an equally share of the league's revenue? Shouldn't Jones be able to pay his rookies salaries regardless if he was broke or not?

 

[greyone]

http://en.wikipedia.org/wiki/Jerry_Jones

oil money...

Now into natural resource prospecting.

 

[Tyrion]

I've contemplated this the last few months, as some of the moves JJ has made appear to be primarily motivated by $$$$. I don't agree with the article's premise that he's broke, but I definitely think that the economy tanking at the worst possible time for him has definitely had an impact on his decision making.

Is Jerry Jones broke? Perhaps, we should just call it belt tightening. When you examine some of the moves the Cowboys have made in the off-season, it makes you wonder, especially since the Cowboys' $1.25 billion stadium doesn't have a corporate sponsor. Seriously, think about it. Then there's the curious decision the Cowboys made on draft day to drop out of the second round and into the third round, where the contracts are typically shorter and less expensive. Add to that the big deal Jerry made about not wanting to trade into the first round because of the financial risk involved and you're within your rights to wonder whether he's making decisions based more on money than winning.

http://www.fannation.com/truth_and_rumors/...broke?eref=sihp

I'm confused. Aren't players salaries cover by the salary cap? And isn't the salary cap money an equally share of the league's revenue? Shouldn't Jones be able to pay his rookies salaries regardless if he was broke or not?

The salary cap is just a number that tells the owner how much he can spend and how much he has to spend. It is not an actual account full of money. Also if Jones is having money problems at the moment, I doubt this by the way, he won't be for long. The new stadium is estimated to bring in an extra $90 million or more annually and that is without a naming rights deal.

http://www.dallasnews.com/sharedcontent/dw...ue.445fb39.html

 

[Bankerguy]

This whole thread is

 

[Bri]

This whole thread is

can you add to thishttp://forums.footballguys.com/forum/index...mp;pid=10408834

I blew it off and don't really remember it too too well

 

[Bankerguy]

This whole thread is

can you add to thishttp://forums.footballguys.com/forum/index...mp;pid=10408834

I blew it off and don't really remember it too too well

Wat?

 

[Phurfur]

The one thing I thing everyone agrees on is that JJ is a great businessman. I doubt that he is broke.

Does anyone know the money breakdown on the stadium? Does JJ (Cowboys) own the stadium or is it community owned with JJ contributing to the project?

 

[Bankerguy]

I think Jerry has about 350M in loans on the project. I've read the rest in various pots and honestly I can't remember the other details off the top of my head. OH....I'm too lazy to go looking for it either...LOL. This is pure speculation and I for one am not worried at all.

The player cuts have NOTHING to do with Jerry's bank account. He's clearling cap and bad character players. Let's review around training camp time when he spends a few dimes on Ware.

 

[TheFanatic]

I've contemplated this the last few months, as some of the moves JJ has made appear to be primarily motivated by $$$$. I don't agree with the article's premise that he's broke, but I definitely think that the economy tanking at the worst possible time for him has definitely had an impact on his decision making.

Is Jerry Jones broke? Perhaps, we should just call it belt tightening. When you examine some of the moves the Cowboys have made in the off-season, it makes you wonder, especially since the Cowboys' $1.25 billion stadium doesn't have a corporate sponsor. Seriously, think about it. Then there's the curious decision the Cowboys made on draft day to drop out of the second round and into the third round, where the contracts are typically shorter and less expensive. Add to that the big deal Jerry made about not wanting to trade into the first round because of the financial risk involved and you're within your rights to wonder whether he's making decisions based more on money than winning.

http://www.fannation.com/truth_and_rumors/...broke?eref=sihp

Doesn't the bolded statement above contradict the whole premise? If he was hurting he would get a corporate sponsor for the stadium. He has no need for the financial assistance a corporate sponsor would provide...

 

[Bankerguy]

I've contemplated this the last few months, as some of the moves JJ has made appear to be primarily motivated by $$$$. I don't agree with the article's premise that he's broke, but I definitely think that the economy tanking at the worst possible time for him has definitely had an impact on his decision making.

Is Jerry Jones broke? Perhaps, we should just call it belt tightening. When you examine some of the moves the Cowboys have made in the off-season, it makes you wonder, especially since the Cowboys' $1.25 billion stadium doesn't have a corporate sponsor. Seriously, think about it. Then there's the curious decision the Cowboys made on draft day to drop out of the second round and into the third round, where the contracts are typically shorter and less expensive. Add to that the big deal Jerry made about not wanting to trade into the first round because of the financial risk involved and you're within your rights to wonder whether he's making decisions based more on money than winning.

http://www.fannation.com/truth_and_rumors/...broke?eref=sihp

Doesn't the bolded statement above contradict the whole premise? If he was hurting he would get a corporate sponsor for the stadium. He has no need for the financial assistance a corporate sponsor would provide...

It's more about getting the right price for that right. The Economy is hurting the spend on this. Jerry is wisely just waiting to maximize the dollars. He also chose a name for the stadium that won't interfere with naming rights.My 0.02.

 

[HellToupee]

I think the football moves have very little to do with his financial situation. They gave Roy Williams (WR) and Marion Barber big contracts last season and might be clearing up some room to sign Demarcus Ware to a long term extension, which will no doubt be a huge contract.

On the flip side, there's no doubt he has invested a ton of money into the new stadium, and with the recent economy, he's almost certainely feeling it more than if things were good right now. Though, I'd be shocked beyond belief if news came out he was selling an interest in the Boys cause he was going under.

Lots of team in different sports hockey teams are in big time trouble .Ex: Montreal Canadiens ( A hockey dinasty ) is for sale , George Gillett is having big time financing problems .

The Dallas Stars owner ( Gillett partner on a big time soccer team ) is also in big trouble .

Fixed

How is it a hockey problem . .Its no coincidence both teams might be sold ,both Gillett & Hicks own a 50% share in Liverpool , they paid about 350m each for the Reds. Hicks is in a heap more trouble than GillettHicks negotiating with lenders over Rangers, Stars debt

12:00 AM CDT on Saturday, April 4, 2009

By GARY JACOBSON / The Dallas Morning News

gjacobson@dallasnews.com / The Dallas Morning News

Brendan Case contributed to this report.

Tom Hicks' sports holding company, which owns the Rangers and Stars, has stopped making interest-only payments on $525 million in loans while it renegotiates the teams' debt with lenders, Hicks said Friday.

FILE 2008/Staff photo

Texas Rangers owner Tom Hicks, greeting the team before last season's home opener, is trying to renegotiate the terms of the Rangers' and Stars' debt with lenders.

The Dallas investor said in an interview that the negotiations, which have been going on for a "couple weeks," are taking longer than normal because of the frozen credit markets.

"I've committed to supporting the operations of the two teams for as long as necessary," Hicks said. "This is a nonevent for the teams, fans, sponsors and vendors."

Sports business expert Rodney Fort, a professor at the University of Michigan, called the move a tough negotiating tactic.

"It sounds to me like he doesn't think people get the point, and he wants to make it more emphatic," he said in a telephone interview.

The situation illustrates that wealthy team owners are not immune from the tough economy.

"Those owners who have more exposure to the financial markets, which Hicks obviously has, are going to be more impacted," said Andrew Zimbalist, a professor at Smith College. Zimbalist estimates that the value of the Rangers, and most Major League Baseball teams, has declined 20 percent because of the economic crunch.

Hicks built his fortune as a private equity pioneer in the 1980s, financing deals with large amounts of debt. He gained a reputation as an aggressive investor not afraid to take big risks. That carried over to his sports investments with the $250 million signing of baseball star Alex Rodriguez in late 2000.

In the interview with The News, Hicks said he is the largest lender to his sports holding company, Hicks Sports Group, and has personally funded some of its interest payments.

"In these times, I'm not willing to do that anymore," he said. Asked if he was in default on the sports loans, Hicks said: "Not yet."

Hicks would not disclose the size of the interest-only payments. But if the terms are anything like those Jerry Jones received on his big bond package for the new Cowboys stadium in Arlington, the bill would equal roughly $2 million a month.

Hicks Sports Group, which withheld the interest payment due March 31, is not asking for more money, Hicks said. Instead, it's asking for changes in its lending agreement as well as full access to reserve accounts and a revolving credit line. He said he is negotiating with 40 lenders and needs the agreement of just over half.

The debt in question is separate from Hicks' other holdings, including the Liverpool soccer team, and family interests. The debt is also unrelated to Hicks' share of the company that operates American Airlines Center, a spokesman for Hicks said.

"I'm fine," Hicks said of his personal finances. "I'm going through what everybody else is going through."

Last week, he said he was trying to sell large minority stakes in both the Rangers and Stars to reduce debt and diversify his holdings.

"I think that was a warning sign," Zimbalist said.

In last year's pro team rankings, Forbes magazine estimated that the Rangers generated $17 million in operating income on revenue of $172 million for the 2007 season. The magazine valued the team at $412 million, right in the middle of the Major League pack.

Forbes estimated that the Stars generated $14 million in operating income on revenue of $105 million for the 2007-08 season. The magazine valued the team at $273 million, among the top National Hockey League clubs. The Stars are averaging 17,659 in attendance this season, 15th in the 30-team league. The Rangers matched a 20-year low in attendance last year.

"We hope to do better this season," Hicks said, while admitting that the economy will complicate ticket sales.

Hicks said he has been involved in the capital markets for more than 30 years, and this is the most severe credit freeze he has seen. "We can't get an economic recovery until banks start acting like banks," he said.

The Hicks news was the latest sign of trouble among Dallas' top investors. The developer of the huge Victory complex – Ross Perot Jr.'s Hillwood company – said last week that it is negotiating with a group of German investors and lenders about meeting the conditions on debt for several Victory buildings

Hicks was originally involved in those buildings, but he said he sold his one-third interest to Hillwood three years ago when the German investors got involved.

He is regularly listed among the world's richest people by Forbes.

Asked if he is still a billionaire, Hicks said: "That's what I read."

Staff writer Brendan Case contributed to this report.

 

[money.never.sleeps]

I think the football moves have very little to do with his financial situation. They gave Roy Williams (WR) and Marion Barber big contracts last season and might be clearing up some room to sign Demarcus Ware to a long term extension, which will no doubt be a huge contract.

On the flip side, there's no doubt he has invested a ton of money into the new stadium, and with the recent economy, he's almost certainely feeling it more than if things were good right now. Though, I'd be shocked beyond belief if news came out he was selling an interest in the Boys cause he was going under.

Lots of team in different sports are in big time trouble .The Dallas Stars owner ( Gillett partner on a big time soccer team ) is also in big trouble .

It's been rumored that Stars/Texas Rangers owner Tom Hicks will sell both franchises for some time... which sadly is the greatest thing to happen to the metro-plex in years if those 2 teams want to win again. (Esp. the Rangers) Concerning JJ.. He's put everything into this team and I do believe the economy could affect his wealth along with the new stadium but I agree that it would be shocking to see him sell a stake in the team or trade out of picks because of $$$..

 

[cobalt_27]

This whole thread is

Garbage. This thread and entire premise is garbage.

 

[Donnybrook]

I've contemplated this the last few months, as some of the moves JJ has made appear to be primarily motivated by $. I don't agree with the article's premise that he's broke, but I definitely think that the economy tanking at the worst possible time for him has definitely had an impact on his decision making.

Is Jerry Jones broke? Perhaps, we should just call it belt tightening. When you examine some of the moves the Cowboys have made in the off-season, it makes you wonder, especially since the Cowboys' $1.25 billion stadium doesn't have a corporate sponsor. Seriously, think about it. Then there's the curious decision the Cowboys made on draft day to drop out of the second round and into the third round, where the contracts are typically shorter and less expensive. Add to that the big deal Jerry made about not wanting to trade into the first round because of the financial risk involved and you're within your rights to wonder whether he's making decisions based more on money than winning.

http://www.fannation.com/truth_and_rumors/...broke?eref=sihp

I'm confused. Aren't players salaries cover by the salary cap? And isn't the salary cap money an equally share of the league's revenue? Shouldn't Jones be able to pay his rookies salaries regardless if he was broke or not?

The salary cap is just a number that tells the owner how much he can spend and how much he has to spend. It is not an actual account full of money. Also if Jones is having money problems at the moment, I doubt this by the way, he won't be for long. The new stadium is estimated to bring in an extra $90 million or more annually and that is without a naming rights deal.

http://www.dallasnews.com/sharedcontent/dw...ue.445fb39.html

Thanks for setting me straight.  

In the NFL there is revenue sharing and a salary cap. What does this mean? 

Revenue sharing 

About 2/3 of the NFL's money comes from the TV deal. The players get about 2/3 of team revenue. So, more or less, the TV contract goes to pay the players. These contracts are typically for about 5 years, and every time they are renegotiated the price goes up. So do player's salaries. 

The money from the TV contract is share and share alike - the Redskins, Cowboys, Bills, and Packers get identical checks. This money is key to the success of the smaller franchises. Without the TV contract money, there is simply no way on earth that Green Bay could ever field a competitive team.

http://football.calsci.com/SalaryCap.html

 

[puckalicious]

Jerry Jones is very far from broke. He isn't even badly bent. He is however naturally slightly crooked.I couldn't resist. Jerry has enough money to burn a wet mule.

Exactly. We are in a day and age where a billionaire is "broke" when he loses on some investments and is now only worth several million. Meanwhile the real people are praying to be able to keep a job in order to prevent living on the street. But he's the one that's broke and we should feel so sorry for him and try harder to scrape up some money for him.