Take the buyout
- Thread starter kougkurt
- Start date
I actually think we should take it and apply it to the debt service and drop our interest payments massively.
We get rid of our debt service and we can get into the green making money on athletics and build a lot of stuff.
Yeah that will be a nice chunk of $$. Should afford us the ability to hire a great recruiting staff.
Ice cream social hosted by Walden and CPW.
If you don't know the secret hand shake, YOU DON'T GET IN!
If you don't know the secret hand shake, YOU DON'T GET IN!
No. It’s not Sterk it’s someone that understands that have a unique opportunity to still pay a nice rate for a coach given our current salary offering and rapidly put us in the green where athletics is making a lot of cash.
We may need to use at least some of that buyout money to buy out the next coach we hire.
Glad Cougar
Glad Cougar
What are the bonds trading for now? Gotta imagine we'd only save $90,000 or so annually if we bought back the bonds with the buyout. That simply won't move the needle.
It makes Chun's resume look better "he got WSU out of the financial abyss" when he looks for his own gig in the next 12 to 18 months.
If admission was $1 per person, that would raise three bucks. Walden, Wulff and Ed.
Correct. And the money is already there to pay the debt service. Spend the money now.
Potential prepayment penalties as well, depending on terms.
At best, just reeling in the payoff date a bit. No change in monthly/quarterly/annual payments.
Same as if you sent in additional principal on your mortgage. They don't change your monthly payment unless specifically re-negotiated/refinanced.
Bonds work differently. We would be buying $2,250,000 worth of bonds from holders of the debt. Once we own them again, we can retire them and won't be required to make the coupon payments since we'd be paying ourselves.
It would take more time than I'm willing to spend to see the savings, but I can't imagine they would be significant in any meaningful way. We still have the credit card close to maxed. Don't make a noticable dent in cash flow with under $100,000 in savings.
A first-class IPF is getting built.
Dr. Schultz has repeatedly said this is a major priority.
"We do NOT want something that looks cheap, like we threw it up and slapped a big Cougar head on it and everybody says, ‘Well, they clearly didn’t have enough money to do it right.’ I want to make sure it’s something our fans, our faculty, staff, our players and coaches are proud of ..."
Dr. Schultz has repeatedly said this is a major priority.
"We do NOT want something that looks cheap, like we threw it up and slapped a big Cougar head on it and everybody says, ‘Well, they clearly didn’t have enough money to do it right.’ I want to make sure it’s something our fans, our faculty, staff, our players and coaches are proud of ..."
I understand your idea, but I think you overestimate how much money athletics is making. Realistically, throwing the salary savings into the debt most likely wouldn't get us out of the hole, it would just slightly decrease how fast the hole is getting bigger.
Uh...when? I unfortunately do not share the same optimism as you. I don't think we see anything earlier than 2022 at this point...
Shovels in the ground this summer.
Dr. Schulz has said as much on more than one occasion.
Keep the faith, CSB!
It appears the buyout is $2,225,000.
Remember that part of the buyout may have to be used to terminate any coaches the new HC doesn't want on board.
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