The Ongoing Coyotes Sale Thread

[getbak]

I thought there was an out clause with some sort of payback requirements depending on the time frame.

[TorqueDog]

He's only guaranteeing some - not all - of the bond. And because the deal continues to leverage public funds, I think Goldwater will continue to pursue legal avenues until not one cent of taxpayer money is involved.

Goldwater has been fighting this on the basis of the law being violated and the risk to taxpayers. Reducing the risk (not eliminating it) while still violating Arizona law (as Goldwater believes they are) will keep GWI opposing the deal.

I think Goldwater keeps their foot on the gas until there's either no public money being used or the team leaves. GWI's CEO even mentioned the sale of the Sabres making use of absolutely no public money. That's what they want.

[Sidney Crosby's Hat]

This thing is over tomorrow.

[Cowperson]

Originally Posted by getbak

I thought there was an out clause with some sort of payback requirements depending on the time frame.

If I recall correctly, the new lease gives the city the right to find a buyer or buy the team itself at a relatively low, predetermined price, if this particular owner wants to exit prematurely.

You wouldn't believe how little press this is getting in Hawaii!!!

Cowperson

[Mazrim]

Originally Posted by Sidney Crosby's Hat

This thing is over tomorrow.

But the Coyotes haven't been eliminated yet!!

[Golden Jet]

Originally Posted by Mazrim

Scott Taylor on the Fan960 this morning was mentioning how it will likely take every penny of corporations in Winnipeg to make the team profitable, which would hurt other sports like the Blue Bombers who are getting their new stadium and need more money rather than less.

Scott Taylor has has no shred of credibility in Winnipeg. He used to be a columnist with the Winnipeg Free Press until he stole a published article from another journalist, changed a few words & paragraphs here & there & then published it under his name. He was fired by the FP. He's the last guy you should listen to when it comes to topics like this.

[Jordan!]

So Hulsizer will cover the bonds entirely. Game. set. match.

Thanks for coming out.. can't wait for finality.

[TorqueDog]

I believe one of the greatest things a person can do is teach a child to read...

Originally Posted by Bouw N Arrow

So Hulsizer will cover the bonds entirely. Game. set. match.

... derp. Well, better late than never.

Originally Posted by Winnipeg Free Press

Hulsizer was a first-intermission guest on the Coyotes TV network Sunday night and said he sent a letter on Friday to the Goldwater Institute, the taxpayer-watchdog group that has opposed his deal with the City of Glendale from the outset, informing them he’s going to guarantee $75 million of the bond proceeds that the city is fronting him.

If the city of Glendale can sell the $116-million bond issue it’s trying to float, Hulsizer is slated to receive $100 million of it in return for the rights to parking revenue around Jobing.com Arena. He in turn can buy the money-losing Coyotes from the NHL for about $170 million.

...
Hulsizer mentioned the $75-million figure Sunday night in appearing to suggest he’s going to be responsible for the team’s losses this season. Once he receives the $100 million from bond sales, he said the city will be receiving $25 million back, which likely refers to the funds it was required to put in escrow for the NHL last spring in order to guarantee the team’s losses for this season.

Read the bolded bits.

Total bond: $116 million
Amount to be given to Matthew Hulsizer: $100 million
Amount guaranteed by Matthew Hulsizer: $75 million
Amount to be returned to the city (to cover a separate expense in the form of monies put into escrow to cover losses, separate from the bond issue): $25 million

In order for Hulsizer to cover the bonds entirely, he would need to guarantee $116 million dollars. Notice that $75 million is short of that by $41 million. Glendale will get $25 million returned to it, except that's covering off a completely different expense meaning there's still that $25 million uncovered - move the numbers around all you want, it doesn't change that.

If you think this is game, set and match then you don't understand what the Goldwater Institute is about. There are still public monies being given to a private enterprise as a gift that is in violation of Arizona law. And they will continue to fight this on that premise.

[Resolute 14]

Originally Posted by Bouw N Arrow

So Hulsizer will cover the bonds entirely. Game. set. match.

Thanks for coming out.. can't wait for finality.

Gotta say, your success rate at calling this over is even lower than Dwayne Klessel's success rate at calling rumours.

[Parallex]

Holy, I didn't think this deal could get more complicated but I guess it could.

For all the laymen out here what does Hulsizer guaranteeing $75 million of the bond proceeds mean exactly? Does it mean he's going to pay it out? he's going to pay it out if Glendale can't? he's going to pay it out if Glendale can but not out of the revenue stream tied to it?

Regardless, I don't see this taming the GWI. I mean the GWI basic position includes the thought process that the City already owns the parking rights and therefor buying the parking rights for any amount violates the law, No? I fail to see a bunch of right-wing fiscal hawks all of a sudden thinking that doling out 41,000,000.00 in taxpayer money to private enterprise is acceptable. I mean making something less bad doesn't make it good.

[troutman]

If he can guarantee the bonds, why not just buy the team outright with his own money?

I can see the Coyotes staying in PHO now, but for how long? This team is hugely over-achieving this season IMO (like COL last year). What kind of attendance would they get next year if the team is around 10th or 11th?

[tjinaz]

I can see the Coyotes staying in PHO now, but for how long? This team is hugely over-achieving this season IMO (like COL last year). What kind of attendance would they get next year if the team is around 10th or 11th?

Actually I don't think they are over achieving. If they resign Bryz they are pretty much set. He is the key to the whole deal. They lost critical pieces last year in Lombardi and especially Michalek and it took them awhile to get back to form, but here they are in near the same place as last year. So long as the have the pieces and are committed to Tippet's system they will be right back where they are now. I think the attendance can only go up with the ownership issues solved. What is hurting them on ticket sales especially season tickets is the uncertainty of relocation, if they do stay and especially with a NFL lockout their attendance will most certainly climb. I honestly believe Hulsizer is salivating over the prospect of fan conversions if the NFL is locked out, this is a rare opportunity to gain a ton of fans in a hurry and he definitely wants it.

So Hulsizer will cover the bonds entirely. Game. set. match.

Thanks for coming out.. can't wait for finality.

Yea ... i would think so too but their is no telling with this deal. GWI could just go rogue and dig their heels in. They would likely lose but could take the team with them.

[PegCityFlamesFan]

Funny a deal done supposedly in December looks to be heading into April.

[Mccree]

So it will now be the Winnipeg Thrashers?

[tjinaz]

So it will now be the Winnipeg Thrashers?

Still the Manitoba Moose.....

Phoenix is leaning more towards staying and Atlanta has two ownership groups that are interested. This could be the biggest trick-f$%k ever perpetrated against a prospective sports market ever.

[Joborule]

Originally Posted by tjinaz

Still the Manitoba Moose.....

Phoenix is leaning more towards staying and Atlanta has two ownership groups that are interested. This could be the biggest trick-f$%k ever perpetrated against a prospective sports market ever.

Was it ever though? It's the media and fans that really built up the Winnipeg hockey bandwagon. The NHL shown they're fully committed to keeping franchises in their current spot if at all possible. It's the whole 'deal done/not done' though that people jumped on saying it's a sure bet that Winnipeg is getting a team again.

This still isn't over yet. This thing has dragged on so long I have no idea when it's safe to call it either way. It won't be until it's officially declared that Phoenix and Atlanta will keep their team for the meantime that we can breathe a little bit. Then Jets fans will probably look for another club to prowl away...

[automaton 3]

Is he personally guaranteeing? I highly doubt it, would be incredibly risky on his part.

If the Coyotes opco is the guarantor, the guarantee may be of limited value.

[Parallex]

Okey, now I'm really confused... http://www.azcentral.com/sports/coyo...#ixzz1HEZPvW2m

Hulsizer said he notified Goldwater he would guarantee the team will pay Glendale at least $100 million during its lease on the city's Jobing.com Arena through $75 million in team rent and fees and by covering $25 million in team losses that the city promised to pay the NHL this season

So... the 75M he's talking about isn't anything to do with the Parking Bonds he's just saying that he'll pay the rent (that he'd be paying anyways)? Or is this some other 75M that he's talking about

[Mazrim]

Originally Posted by tjinaz

Atlanta has two ownership groups that are interested.

Rewind 12 months ago. Who was interested in the Phoenix Coyotes then? Who is going to buy them now?

Just because someone is interested means there's maybe a 10% chance it will actually go through. Much like the Phoenix situation, I'll wait for the official press release that the sale is complete for Atlanta before counting it out.

[SILVERBACK13]

The only thing that is REAL...is Don Cherry guaranteed there will be hockey in Winnipeg next season.

...and hes never wrong.