04-09-2010, 11:02 AM
<!--quoteo(post=87373:date=Apr 9 2010, 09:57 AM:name=1060Ivy)-->QUOTE (1060Ivy @ Apr 9 2010, 09:57 AM) <{POST_SNAPBACK}><!--quotec-->A couple of items:
- The Cubs were just sold to Ricketts for $845 MM last year. Forbes should have at least included an asterisk to say that the market value is another $119 MM. In addition that would change the Debt/Value ratio to 69% rather than 80%
- Why assume that debt cannot be paid down from Operating Income? Ricketts will find new revenue streams but I don't believe that he has to create these streams in order to service the debt.<!--QuoteEnd--><!--QuoteEEnd-->
The purchase price was agreed upon almost 2 years ago. I have a hunch that the overall value has gone down during that time, with the recession and all. If the Rickettses tried to sell the team right now, they couldn't get over $800 mil for it IMO.
- The Cubs were just sold to Ricketts for $845 MM last year. Forbes should have at least included an asterisk to say that the market value is another $119 MM. In addition that would change the Debt/Value ratio to 69% rather than 80%
- Why assume that debt cannot be paid down from Operating Income? Ricketts will find new revenue streams but I don't believe that he has to create these streams in order to service the debt.<!--QuoteEnd--><!--QuoteEEnd-->
The purchase price was agreed upon almost 2 years ago. I have a hunch that the overall value has gone down during that time, with the recession and all. If the Rickettses tried to sell the team right now, they couldn't get over $800 mil for it IMO.