Big 12 vs. SEC thread

[java]

Guys, I'm going strictly from memory.  There is not time to look it up right now.  

This is the way I remember it - the short version.  DeLoss approached Dollar Bill about starting the Lone Star Network.  Both would invest in the start up.  No one anticipated that it would become a dynamic source of income.  At the time, the Ags were really strapped for cash.  (If I recall, they owed A&M $5,000,000)  Dollar Bill said no way.  DeLoss had been investing in infrastructure for some time.  Dollar Bill was not such a progressive thinker, and he had not been doing so.

DeLoss continued with the plans for Texas to go it alone, and the rest is history.  Dollar Bill didn't tell the truth because he cost the Ags millions, so he spun a whopper and blamed it on The Sips.  The LHN is much like an oil well.  Investors put down their money in the beginning, not after the results are in.  The payoff is for those who take the risk, not for those who sit on the sidelines.

That's the short story, without spin. or embellishment.  A&M has never been progressive.  They throw money at the flavor of the month, and they have developed quite a reputation in the coaching ranks.  I cannot imagine a young, ambitious coach, with great prospects taking that job.  Look at the career paths of their most recent Head FB coaches.

     RC - fired and retired

     Franchioni - Texas State

     Sherman - Offensive Coordinator

     Sumlin - to be determined

Not exactly what you would call an upward trajectory.

By the way, Mike, in regards to the arms race, if Texas wanted to arm and re-arm, we have the funds.  Not to worry.  As it is, we continue to send funds to the academic side of the house.  Financially, we are fine.  

I'm out.  Ags, spin it any way you want.  We are still Texas, and you still aren't.

Hook 'em!

 

[Randolph Duke]

Guys, I'm going strictly from memory. There is not time to look it up right now.

This is the way I remember it - the short version. DeLoss approached Dollar Bill about starting the Lone Star Network. Both would invest in the start up. No one anticipated that it would become a dynamic source of income. At the time, the Ags were really strapped for cash. (If I recall, they owed A&M $5,000,000) Dollar Bill said no way. DeLoss had been investing in infrastructure for some time. Dollar Bill was not such a progressive thinker, and he had not been doing so.

What A&M athletics owed the university was $16 million and the university was trying not to let that information get public. Unfortunately for them, the whole thing blew up into a small furor around the time Deloss came knocking. There was no way Byrne was going to be allowed to spend on a new playtoy such as any "Lone Star Network" until and unless the academic side got paid back first. For the record, in 2012 they needed another $5 mil to be able to pay their bills and for the latest year, the subsidy from academics to athletics at A&M was $1.2 million (Texas, of course, sends money the other way and accepts no such subsidy).

The money quote about the bailout loan at A&M was the university president publicly stating "“it is imperative that a business plan now be developed and implemented by athletics, to ensure that expenditures are kept in check and that strict adherence to the budget is realized." That killed any dream A&M might have had about any Tier 3 project. An individual familiar with college athletics spending said of the interest free loan at the heart of the A&M financial bailout of their athletics program: “This is, as far as I know, very unusual. I think I might understand why they do it because they would rather call it a loan than a subsidy. We have a lot of people feeling like institutions are not doing very well and we shouldn’t be spending a lot of money on athletics. I understand why they might be doing it.â€

Link to info on recent A&M subsidy:

http://sports.usatoday.com/ncaa/finances/

Link to info on $16 million bailout of A&M athletics by the university.

http://www.knightcommission.org/presidential-control-a-leadership/presidential-control-a-leadership-news/304-june-7-2009-texas-aam-to-recoup-16-million-loan-to-athletics

 

[primal defense]

UT mentioned in the article:

The arrangement between the SEC and ESPN is similar to the one between ESPN and the University of Texas that produced the Longhorn Network. In that deal, Texas receives a minimum cash guarantee but also retains 70 percent of the profit (not gross revenue) once ESPN recoups its initial $295 million investment. Because of serious carriage issues, the Longhorn Network could take a while to recoup that investment. The SEC Network, because it was almost fully distributed immediately, would recoup a similar up-front investment much more quickly.

So with the SEC Network positioned to kick out even more cash in the coming years and the Big Ten about to do a primary deal that will reset the market, the financial future looks bright for those leagues. Meanwhile, the rank-and-file members of the ACC, Big 12 and Pac-12—Texas and Oklahoma will always be fine—will realize that they aren’t exactly peers with the rank-and-file members the Big Ten and SEC.

Wild success of SEC Network creating Titanic Two of conference finances

http://www.si.com/college-football/2015/05/29/sec-network-big-ten-revenue-gap?page=3&devicetype=default

 

[Randolph Duke]

UT mentioned in the article:

The arrangement between the SEC and ESPN is similar to the one between ESPN and the University of Texas that produced the Longhorn Network. In that deal, Texas receives a minimum cash guarantee but also retains 70 percent of the profit (not gross revenue) once ESPN recoups its initial $295 million investment. Because of serious carriage issues, the Longhorn Network could take a while to recoup that investment. The SEC Network, because it was almost fully distributed immediately, would recoup a similar up-front investment much more quickly.

So with the SEC Network positioned to kick out even more cash in the coming years and the Big Ten about to do a primary deal that will reset the market, the financial future looks bright for those leagues. Meanwhile, the rank-and-file members of the ACC, Big 12 and Pac-12—Texas and Oklahoma will always be fine—will realize that they aren’t exactly peers with the rank-and-file members the Big Ten and SEC.

Wild success of SEC Network creating Titanic Two of conference finances

"Titanic two." Well, the sister ship of the Titanic was the Britannic.

 

[J.B. TexasEx]

A&M has never been progressive.  They throw money at the flavor of the month, and they have developed quite a reputation in the coaching ranks.  I cannot imagine a young, ambitious coach, with great prospects taking that job.  Look at the career paths of their most recent Head FB coaches.

     RC - fired and retired

     Franchioni - Texas State

     Sherman - Offensive Coordinator

     Sumlin - to be determined

Not exactly what you would call an upward trajectory.

The Shermanator has agreed to become a high school coach in his home state of Massachusetts. 

http://www.theeagle.com/aggie_sports/former-texas-a-m-football-coach-to-coach-high-school/article_cea9ac02-0745-11e5-9446-ef7274fb48cd.html

Missed opportunity for aggie to hire him as Director of Player Personnel. 

 

[java]

That is so sad for Sherman.  He set the table for Sumlin's early success with the offensive line personnel and JFF.  Did they ever pay his buy out?

RD, thank you for the correction.

 

[The Bry-Man81]

I wouldn't necessarily say "sad" for Sherman. I'm sure he could get an NFL position job if he wanted it. I think there are things about coaching high school that you don't necessarily get in college or the NFL. You get them at a much more influential part of their life and can be a big influence for them. And with his standing as a respectable NFL and College head coach, he'll be able to run that program the way that he wants to with minimal interference. How many college/NFL coaches can say that?

I don't think this is Sherman saying, "I can't get a job anywhere else, guess I have to resort to coaching high school." I think this is him wanting to try something new and wanting to be a positive influence in these kids lives. I hope he enjoys his time, because it's a unique place to be.

 

[tejasrulz]

When I think of Sherman, I go back to just before Tucker's kick when he bows his head on the aggy sideline. I do admit to having felt sorry for him but not for the rest of aggy nation. So yea, I wish him the best of luck in his endeavors.

 

[primal defense]

That is so sad for Sherman.  He set the table for Sumlin's early success with the offensive line personnel and JFF.  Did they ever pay his buy out?

RD, thank you for the correction.

It's not too sad, Sherman was a mediocre coach at A&M. A four year record of 25-25 including his fourth season at 6-6. It's hard to feel too sad for someone making over $2 million a year. Nice guy though.

 

[J.B. TexasEx]

It's not too sad, Sherman was a mediocre coach at A&M. A four year record of 25-25 including his fourth season at 6-6. It's hard to feel too sad for someone making over $2 million a year. Nice guy though.

I'm surprised Ol' Army hired that damn yankee in the first place!  :huh:

 

[J.B. TexasEx]

Here's a link to a good Big12 Fanatics post "Finance Schminace"

http://big12fanatics.com/conference-confusion-finance-schminance/

 

[J.B. TexasEx]

Well - glory be - SEC homer, Chadd Scott, helps put the SEC Network into perspective. I'm shocked

http://www.sportsdaynow.com/sec-network-revenue-needs-context/

 

[java]

Ya' mean, the SEC still isn't making as much as Texas on Tier 1,2, & 3?  I'm shocked!  And then, there is all that nice merchandising money, too.  Remember, buy Texas!

Hook 'em!

 

[J.B. TexasEx]

Ya' mean, the SEC still isn't making as much as Texas on Tier 1,2, & 3?  I'm shocked!  And then, there is all that nice merchandising money, too.  Remember, buy Texas!

Hook 'em!

...and UT merchandise may soon be Under Armour branded!

The apparel giant is prepared to make a monster bid to partner with the University of Texas


Even though Texas has been a die-hard Nike school since UT entered into an agreement with the shoe company in 2000, Under Armour is making a serious bid to outfit the Longhorns.

One source said it could be the largest apparel deal for a major university in college athletics history - such as a 10-year deal at $150 million.

Nike has always been seen as the leader because of the history between Nike and Texas. But officials said Under Armour is not deterred and will continue to make an aggressive bid and that Steve Patterson is enamored. - Chip Brown