Cash On Hand

TheOak · 03-10-2014, 04:14 PM

Not even rumor grade, just pure speculation/guessing on my part.

This seems to be the season with the most cuts and fewest restructures. But why?

I am unaware of the NFL liquidity requirement for franchise owners. Also clueless as to how Tom Benson's businesses are doing.

We throw around cap and bonuses for restructures with out even a thought to whether Benson has that much cash available.

Signing bonuses have to take a toll on the cash coffer, restricting generally means a few Mil bonus up front.

In comparison to 2013 Jimmy's 7m FT, is a large salary increase between 2013/2014 that has to be paid when he signs. Add 2-3 restructures and that could add 5-6+ million.

What are the chances Benson doesn't have $15m laying around to pay for all of that?

Danno · 03-10-2014, 04:35 PM

Yep, spreading a 20 million cap hit over 4 years is for the books.

Benson writes a check for 20 million before the ink dries on that contract.

And I'm sure Benson has a much larger LOC than most of us every will.

AsylumGuido · 03-10-2014, 04:56 PM

Forbes has Benson's net worth listed at $1.5 billion as of March 1st.

TheOak · 03-10-2014, 04:57 PM

LOL Drew has taken near 55m in checks to the bank in the last 2 years.

TheOak · 03-10-2014, 05:45 PM

Originally Posted by AsylumGuido

Forbes has Benson's net worth listed at $1.5 billion as of March 1st.

Nearly 1B of that is the Saints franchise.

ScottF · 03-10-2014, 08:09 PM

Originally Posted by TheOak

What are the chances Benson doesn't have $15m laying around to pay for all of that?

not too likely

Billionaire Saints Owner Tom Benson To Score $400 Million Revenue Boost From Agreement With State - Forbes

Unless he has a REAL bad gambling/coke/hooker problem

Four years ago, he negotiated one of the most complex — and lucrative — stadium lease agreements in the NFL, adding to his fortune as his team was bringing in estimated yearly profits of $31 million. Over 15 years, the term of the lease, the state will pay Benson at least $198 million in increased revenue from the Superdome, $142 million in rental payments on property Benson owns, $10 million in bonuses for bringing the Super Bowl to New Orleans and $2.6 million in tax breaks. Benson will get another $40 million from private rent payments to a tower he bought as part of the deal.

TheOak · 03-10-2014, 08:20 PM

Originally Posted by ScottF

not too likely

Billionaire Saints Owner Tom Benson To Score $400 Million Revenue Boost From Agreement With State - Forbes

Unless he has a REAL bad gambling/coke/hooker problem

Four years ago, he negotiated one of the most complex — and lucrative — stadium lease agreements in the NFL, adding to his fortune as his team was bringing in estimated yearly profits of $31 million. Over 15 years, the term of the lease, the state will pay Benson at least $198 million in increased revenue from the Superdome, $142 million in rental payments on property Benson owns, $10 million in bonuses for bringing the Super Bowl to New Orleans and $2.6 million in tax breaks. Benson will get another $40 million from private rent payments to a tower he bought as part of the deal.

None of which means he has $15m in cash around. See all the places where it says payment(s)?

Benson is an investor. It is very foolish to have $15m sitting in a checking or savings account earning 1%.

In the last 3-4 years he has written $50m in checks to just Brees and Evans.

The Dude · 03-10-2014, 08:24 PM

Originally Posted by TheOak

Not even rumor grade, just pure speculation/guessing on my part.

This seems to be the season with the most cuts and fewest restructures. But why?

I am unaware of the NFL liquidity requirement for franchise owners. Also clueless as to how Tom Benson's businesses are doing.

We throw around cap and bonuses for restructures with out even a thought to whether Benson has that much cash available.

Signing bonuses have to take a toll on the cash coffer, restricting generally means a few Mil bonus up front.

In comparison to 2013 Jimmy's 7m FT, is a large salary increase between 2013/2014 that has to be paid when he signs. Add 2-3 restructures and that could add 5-6+ million.

What are the chances Benson doesn't have $15m laying around to pay for all of that?

I think it is highly possible in the current economy especially since we know he has been spending up until this point. A lot of people who have a huge net worth are "cash poor"

TheOak · 03-10-2014, 08:25 PM

Originally Posted by The Dude

I think it is highly possible in the current economy especially since we know he has been spending up until this point. A lot of people who have a huge net worth are "cash poor"

The ticket price increase would support that theory also.

ChrisXVI · 03-10-2014, 08:28 PM

You really think Benson couldn't get the money if he needed it?

03-10-2014, 04:14 PM	#1
TheOak 10000 POST CLUB Join Date: Dec 2009 Location: Cypress Tx. Posts: 18,978	Cash On Hand Not even rumor grade, just pure speculation/guessing on my part. This seems to be the season with the most cuts and fewest restructures. But why? I am unaware of the NFL liquidity requirement for franchise owners. Also clueless as to how Tom Benson's businesses are doing. We throw around cap and bonuses for restructures with out even a thought to whether Benson has that much cash available. Signing bonuses have to take a toll on the cash coffer, restricting generally means a few Mil bonus up front. In comparison to 2013 Jimmy's 7m FT, is a large salary increase between 2013/2014 that has to be paid when he signs. Add 2-3 restructures and that could add 5-6+ million. What are the chances Benson doesn't have $15m laying around to pay for all of that?
	It's not what you look at that matters, it's what you see. ~ Henry David Thoreau

03-10-2014, 04:35 PM	#2
Danno Site Donor 2014 Truth Addict Join Date: Dec 2003 Location: Spanish Fort, AL (via NO and B/R) Posts: 24,640	Re: Cash On Hand Yep, spreading a 20 million cap hit over 4 years is for the books. Benson writes a check for 20 million before the ink dries on that contract. And I'm sure Benson has a much larger LOC than most of us every will. saintfan, TheOak and saintsfan403 like this.

03-10-2014, 04:56 PM	#3
AsylumGuido 10000 POST CLUB Join Date: Sep 2007 Location: Bossier City, LA Posts: 24,391	Re: Cash On Hand Forbes has Benson's net worth listed at $1.5 billion as of March 1st. Rugby Saint II likes this.

03-10-2014, 04:57 PM	#4
TheOak 10000 POST CLUB Join Date: Dec 2009 Location: Cypress Tx. Posts: 18,978	Re: Cash On Hand LOL Drew has taken near 55m in checks to the bank in the last 2 years.

03-10-2014, 05:45 PM	#5
TheOak 10000 POST CLUB Join Date: Dec 2009 Location: Cypress Tx. Posts: 18,978	Re: Cash On Hand Originally Posted by AsylumGuido Forbes has Benson's net worth listed at $1.5 billion as of March 1st. Nearly 1B of that is the Saints franchise.

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03-10-2014, 08:09 PM	#6
ScottF 5000 POSTS! + Join Date: Feb 2007 Location: Atlanta Posts: 6,324	Re: Cash On Hand Originally Posted by TheOak What are the chances Benson doesn't have $15m laying around to pay for all of that? not too likely Billionaire Saints Owner Tom Benson To Score $400 Million Revenue Boost From Agreement With State - Forbes Unless he has a REAL bad gambling/coke/hooker problem Four years ago, he negotiated one of the most complex — and lucrative — stadium lease agreements in the NFL, adding to his fortune as his team was bringing in estimated yearly profits of $31 million. Over 15 years, the term of the lease, the state will pay Benson at least $198 million in increased revenue from the Superdome, $142 million in rental payments on property Benson owns, $10 million in bonuses for bringing the Super Bowl to New Orleans and $2.6 million in tax breaks. Benson will get another $40 million from private rent payments to a tower he bought as part of the deal. Rugby Saint II and ChrisXVI like this.

03-10-2014, 08:20 PM	#7
TheOak 10000 POST CLUB Join Date: Dec 2009 Location: Cypress Tx. Posts: 18,978	Re: Cash On Hand Originally Posted by ScottF not too likely Billionaire Saints Owner Tom Benson To Score $400 Million Revenue Boost From Agreement With State - Forbes Unless he has a REAL bad gambling/coke/hooker problem Four years ago, he negotiated one of the most complex — and lucrative — stadium lease agreements in the NFL, adding to his fortune as his team was bringing in estimated yearly profits of $31 million. Over 15 years, the term of the lease, the state will pay Benson at least $198 million in increased revenue from the Superdome, $142 million in rental payments on property Benson owns, $10 million in bonuses for bringing the Super Bowl to New Orleans and $2.6 million in tax breaks. Benson will get another $40 million from private rent payments to a tower he bought as part of the deal. None of which means he has $15m in cash around. See all the places where it says payment(s)? Benson is an investor. It is very foolish to have $15m sitting in a checking or savings account earning 1%. In the last 3-4 years he has written $50m in checks to just Brees and Evans.

03-10-2014, 08:24 PM	#8
The Dude 5000 POSTS! + Join Date: Jul 2011 Posts: 9,006	Re: Cash On Hand Originally Posted by TheOak Not even rumor grade, just pure speculation/guessing on my part. This seems to be the season with the most cuts and fewest restructures. But why? I am unaware of the NFL liquidity requirement for franchise owners. Also clueless as to how Tom Benson's businesses are doing. We throw around cap and bonuses for restructures with out even a thought to whether Benson has that much cash available. Signing bonuses have to take a toll on the cash coffer, restricting generally means a few Mil bonus up front. In comparison to 2013 Jimmy's 7m FT, is a large salary increase between 2013/2014 that has to be paid when he signs. Add 2-3 restructures and that could add 5-6+ million. What are the chances Benson doesn't have $15m laying around to pay for all of that? I think it is highly possible in the current economy especially since we know he has been spending up until this point. A lot of people who have a huge net worth are "cash poor" TheOak likes this.
The Dude 5000 POSTS! + Join Date: Jul 2011 Posts: 9,006

03-10-2014, 08:25 PM	#9
TheOak 10000 POST CLUB Join Date: Dec 2009 Location: Cypress Tx. Posts: 18,978	Re: Cash On Hand Originally Posted by The Dude I think it is highly possible in the current economy especially since we know he has been spending up until this point. A lot of people who have a huge net worth are "cash poor" The ticket price increase would support that theory also.

03-10-2014, 08:28 PM	#10
ChrisXVI 10000 POST CLUB Join Date: Aug 2011 Location: Madison, WI Posts: 11,482	Re: Cash On Hand You really think Benson couldn't get the money if he needed it?

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