close
close
In the case of Sunday Ticket, some owners could struggle to raise 0 million

In the case of Sunday Ticket, some owners could struggle to raise $440 million

If/when the NFL has to come up with a solution $14.088 billion (plus interest and costs) in the Sunday Ticket lawsuit, each team must pay more than $440 million.

For many ultra-rich, there is not that much money in the piggy bank.

There is a difference between paper value and liquid money. And if 345 Park Avenue has to give the bat signal at $440 million per team, some owners will have a hard time finding that amount.

We won’t name names because we don’t have access to the information that would allow reliable estimates of the money each owner has on hand.

For one team we know. The Packers, as a publicly traded company, have to produce an annual report. Last year the team had $583 million in “cash and investments.”

It could be difficult to do business any other way if more than 75 percent of available money and investments have to be transferred to the league.

Other owners may not be nearly as liquid as the Packers. That could make it even more important for owners who hold half a billion in gold bullion to accept private equity investments. Which, if enough teams look for private equity, could depress value.

It’s supply and demand, with a dash of desperation. If, say, a third of the owners (again, we don’t know the actual number) need help reaching $440 million, they’ll compete with each other for private equity deals — and in turn drive prices down.

The easiest way to get $450 million is to borrow it. That would require the league as a whole to agree to allow that much debt per team. If nine or more owners have the money and want to target those who don’t, any attempt to increase the borrowing limit could be scrapped.

It doesn’t matter if the competition ultimately wins the case. Going all-in on the possibility of victory being snatched from the jaws of defeat is not a strategy. It’s a recipe for bankruptcy because it affects owners whose liabilities could suddenly overshadow their assets once $440 million is added to the wrong side of the ledger.