01-30-2013, 04:32 PM
Their "problems" are not that bad.
They at least had a goose laying golden eggs, and honestly I think the goose will fuel this AD engine again soon. There are many programs out there that borrow a bunch to build major projects when they have no real reason to believe the future gift giving or ticket sales will every come close to paying for the projects.
Seems as though they took on some major projects and debt for those projects should have been covered by incremental revenue. The revenue is not quite there yet because of relatively bad economic times and a very weak football team. No reason to panic. Despite the ticket revenue struggles all would still be OK if the conference could get their new TV revenue stream now, the program could avoid unique taxes and/or the program could avoid paying $7 million to the university each year.
Nothing to see here really. A picture of health compared to a school nearby that runs big annual deficits, funded a major project on the dream of non-binding long-term mortgages, and has a history of alumni apathy unmatched in the BCS conferences.
Compare that to UCB.Â
They at least had a goose laying golden eggs, and honestly I think the goose will fuel this AD engine again soon. There are many programs out there that borrow a bunch to build major projects when they have no real reason to believe the future gift giving or ticket sales will every come close to paying for the projects.
Seems as though they took on some major projects and debt for those projects should have been covered by incremental revenue. The revenue is not quite there yet because of relatively bad economic times and a very weak football team. No reason to panic. Despite the ticket revenue struggles all would still be OK if the conference could get their new TV revenue stream now, the program could avoid unique taxes and/or the program could avoid paying $7 million to the university each year.
Nothing to see here really. A picture of health compared to a school nearby that runs big annual deficits, funded a major project on the dream of non-binding long-term mortgages, and has a history of alumni apathy unmatched in the BCS conferences.
Compare that to UCB.Â