Team Glazer To Shed Some Debt
November 18th, 2010
As the U.S. government keeps printing money at an alarming pace, Team Glazer apparently will go in the other direction and pay down some of its massive debt.
A story in the Wall Street Journal says Team Glazer has found $354 million to pay off the nastiest of its Manchester United loans.
The U.S. owners of Manchester United, the fabled English football team, will repay roughly £220 million ($354 million) of high-interest loans without using club funds, the team’s parent company said on Tuesday.
Joel Glazer, United’s co-chairman, issued a “voluntary free-payment notice” on Monday informing lenders that Red Football Joint Venture Ltd., the club’s holding company, is poised to pay off 100% of its expensive payment-in-kind facility on Nov. 22, seven years ahead of its maturity date.
In a statement accompanying its first-quarter results, the team’s holding company confirmed that the Glazer family, who bought the 18-times English champion in 2005 in a £790 million leveraged buyout, have not taken money out of the club to pay off the loan. PIK debt is where interest is paid via the issuance of new debt, rather than in cash.
Of course, it’s unclear how Team Glazer came up with the money, though they may be forced to reveal the sources next year in financial filings related to the soccer team.
Did they merely find a lower interest loan to pay off this one? Or did they sell a piece of Manchester United? Did they simply drain other holdings? Did they have Michael Vick last week in a covert $10 million-a-head fantasy league among NFL owners?
Do Bucs fans care?
November 18th, 2010 at 8:08 am
Do Bucs fans care – NO!
November 18th, 2010 at 8:45 am
This outta make those Brits who hate them pretty mad. They dont have as much debt to complain about.
Listen Glazers, I can guarantee you this: if you dont open up the checkbook this offseason for FA, then you will lose what little fans you still have in your corner; and the hatred in Bucs nation will start to resemble the hatred in the UK. Dont make fans on both sides of the pond hate you! Spend some $$$$!!!!
November 18th, 2010 at 8:47 am
They should care…because the sooner that debt is paid off, the sooner the Bucs benefit, Mr. Lucky.
On another note:
Does this statement mean that no money from MU has gone to pay off the debt? Or does it mean the Glazers did not tap this previously untouched element of their holdings to pay off the MU debt?
If it’s the later…is it possible they really have not touched the Bucs to pay off the MU debt?
So many questions on all this…and every answer is mostly assumption with no proof, since they won’t release the details.
November 18th, 2010 at 8:52 am
(note this is directed not directly at you, but the mentality)
I’m sorry, but this kind of attitude seems outdated. The Glazers said they would rebuild this team through the draft, and they are following through with that plan.
If they were not having success, I would see reason to complain, but a solid team is being put together more quickly than anyone could have expected.
Spending money in FA? There’s always a time and place for it, but only when guided by wisdom…if they feel all they need to do is plug a couple holes, I can see them spending a little money.
BUT…
…to just sit there and assume fans will turn on them if they don’t…you could not be further from the truth. If anything, the Glazers have thus far proven that mentality completely wrong.
November 18th, 2010 at 9:18 am
”Do Bucs fans care?”
Not this one.
November 18th, 2010 at 9:20 am
Pete,
If we sucked like we did last year, sure keep building through the draft. The only reason I say open up in FA is because a piece here and there would do us alot of good since I feel we are on the cusp of being a very good team. I agree with the plan, and think its the right thing to do. But when your team improves faster than expected, that plan has to change.
All I want is 1 premier FA at a defensive position. Someone that we can finally settle a position on. A DE, LB, or S would be great.
November 18th, 2010 at 9:42 am
I’m not saying you are wrong about thus off season, but let’s think this through for a sec.
What position?
Say, for example, the Bucs use their first pick on a qulity DE…do we still go after another one in FA?
What if they go after a quality MLB with their second pick? Do they still get one in FA?
Without knowing the results of the draft, how can we even begin to insist they spend money in FA? We don’t even know what positions will need to be addressed by free agency yet.
On defense, there are three key positions I think we need to address in the off season:
1) DE
2) MLB
3) CB (because we need to prepare a replacement for Ronde)
But we also have guys already on this team that may be ready to step up by then. Biggers or Mack, for example, might be the future at CB.
Clearly DE is a key need. And we probably need 2 of them, because I am nowhere ner impressed by the ones on the team atm.
But another rising concern is D. Joseph, whose production on the OL has been dropping this year. Is it a sign of a problem? I hope not, but by the end of the season? Who knows?
And I suspect there will be very little movement in free agencyh this year, since there may not be football. Owners are not going to want to shell out the cash when it will not be earned. That would be stupid.
If there is no lockout? Then if the right player hits FA and he plugs the right hole, and if we know he isn’t injury prone or in his 30s, then the Bucs might be wise to consider him.
Just as they went after Jeff Faine (who I suspect will be gone in a couple years).
I just hate the “quick fix” type of mentality. The “win now” attitude of Jon Gruden hurt this team for years, and I don’t think going that route is the solution.
So insisting the Bucs spend money, without knowing the needs to be filled, and without knowing the players available, is the wrong thing to do.
Say for example, the Bucs use the first pick on a DE, but we need 2 of them, and there is only crap at the DE position in FA?
More likely, they will look at undrafted free agents and consider trades…and that’s the smart thing to do.
November 18th, 2010 at 9:43 am
@Gary
BTW, I agree the Bucs are close, but big spending in FA close? Not yet. Maybe if the right holes are plugged in the draft, but not right now unless some huge possibility comes along that would be a steal.
November 18th, 2010 at 9:48 am
Guys, forget about FA!
Does anyone here realize how many of our OWN GUYS are FAs next year?
November 18th, 2010 at 10:13 am
Rather than worrying about bringing in FA’s make SURE we re-sign our own boys.
November 18th, 2010 at 10:24 am
I think we’ll see several of our players not re-signed and some here will cry “What the F—!!!”, and others will scream the Glazers are CHEAP. But when the guys moving on are Jeremy Trueblood and Barrett Ruud and others that have under-performed, and the team replaces those guys with other FAs or draft picks (or already has someone in place like James Lee), it makes more sense to let some go. I hope our scouting department has been working all year long on finding guys to go after and guys to draft, because the draft next year isn’t nearly as full of talent as last year.
November 18th, 2010 at 10:37 am
You do know that printing money makes our debt cheaper, right?
November 18th, 2010 at 10:40 am
Anyway, this is huge news for the Bucs. Frees up a lot of cash for the Glazers and kills the whole can’t-spend meme.
November 18th, 2010 at 11:09 am
Judging from the talent we drafted this year and the FAs we’ve picked up,I think it’s safe to say that the scouting department is doing it’s homework.
November 18th, 2010 at 11:36 am
I can’t wait to hear JP Peterson, Dan Sileo and the other radio jackasses spin this into more proof that the Glazers actually are really broke.
November 18th, 2010 at 11:44 am
The Glazer holding company (First Allied Corporation) is a U.S. holding company for its various business interests, such as food processing, marine supplies, health care, real estate, energy exploration, and broadcasting. They could have pulled that money from anywhere, my guess is they liquidated something or raised capital by stock transactions. I doubt they were sitting on 1/3 of a billion in cash.
November 18th, 2010 at 11:51 am
Posey99,
A recent report came out that said US companies are sitting on close to one trillion in cash. I’m sure the same is true around the world. With size and scope of the Glazer family’s bussiness holdings around the world I don’t think it is out of the realm of possiblity that they would be sitting on large amounts of cash.
November 18th, 2010 at 11:53 am
Pete,
I am not advocating going insane in FA and getting 2 Fat Albert Hayesworth’s. All I’m saying is that our young team has developed enough that we should look at all the options in FA, instead of being anti-Gruden and just looking at the draft alone. How many miracles can we expect to have in the likes of Penn, Blount, etc. by picking up cheap scrap heap players other teams have overlooked? I have faith in our scouting dept. so I will be happy with whatever route they choose to go. Just as Gruden’s way of old retreads didn’t work, our growth will be stunted if we narrowly look at the draft alone. Now if there isnt any talent out there for the right price, sure have another quite offseason, I don’t have a problem with that.
And there can be a million what if scenarios as you describe with the draft picks. You have to do whats best for your team at that time. If a good FA comes along for the right price, age, quality, etc. then all I’m saying is go for it. Last year we had the rebuilding excuse. We don’t have that excuse anymore, we are a young team on the rise and I want that rise to continue sooner rather than later.
As far as our FA’s, I know Dom will do the righ thing. Ruud, Trueblood, and all those scrubs can walk. Lets say Ruud leaves, wouldn’t you want a veteran MLB leading our defense? One who is a proven commodity rather than a young (but promising) draft pick who will face a huge learning curve?
Lastly, one thing that is sorely missing on this team (as Joe and others have pointed out several times already) is veteran leadership. If Ronde leaves, where will we be at? You can’t find veteran leadship in the draft. Besides, we all know this draft will be weaker than last years anyway.
November 18th, 2010 at 12:08 pm
dmoney, its possible.
November 18th, 2010 at 12:45 pm
I hope we don’t start getting worked up over the whole FA thing this offseason again. If anything the success of the team this season will convince the team to stick with their build throught the draft strategy.
Expect more of the same this year.
A Focus on making good draft picks and add a few cheap project free agents. I suspect that if they have success next year in the draft like they so far have had in this draft class then you might see some free agent signings in the 2012 offseason. I wouldn’t expect it after this season though.
November 18th, 2010 at 12:55 pm
Don’t care if a crow crapped the money on a rock in their back yard. Just need to keep winning football games for the next 7 weeks
November 18th, 2010 at 1:08 pm
Lamar Woodley would look great in Buc colors.He’s only 26 and he’s a beast. and a sack machine.He would be # 1 on my Christmas list.Please Santa-I promise to be a good boy.
November 18th, 2010 at 1:47 pm
lakeland bob:
But would Woodley succeed in the Bucs defense? The Steelers play a far different type of defense with far different responsibilities for linebackers than what the Bucs use.
November 18th, 2010 at 2:29 pm
Absolutely think time is right to invest in a few good FAscto plug holes, while continuing to build thru draft. Why my change in opinion. Because unexpectedly soon, this team has became a legit contender!!!
November 18th, 2010 at 2:33 pm
And the Glazers never, ever had Money issues! The local media, and some gullible fans, had intelligence issues. Nothing new there
November 18th, 2010 at 3:08 pm
Joe:
But would Woodley succeed in the Bucs defense? The Steelers play a far different type of defense with far different responsibilities for linebackers than what the Bucs use.
Still have to believe Woodley would provide better run support than Quincy Black even in a different system.
November 18th, 2010 at 5:28 pm
@Joe- I’ve done the research Joe. Woodley is not considered a liability in pass coverage. He is considered neck and neck with Harrison as a pass rusher and is also considered one of the best run stuffers in the league. Who cares if he is not a prototype small weak monte kiffin linebacker? Raheem is quickly evolving this defense away from Monte Kiffins anyway. Its time for a paradigm shift in the type of linebackers this team employs. Seriously tho do the research. Woodley and all the steeler linebackers for that matter are so quick, strong and talented they would succeed in ANY defense.
November 18th, 2010 at 5:32 pm
Joe- to expound a little further- the responsibilities of the Steelers linebackers are not as different as you would think. The Steelers 3-4 is considered an odd duck for that type of defense because of the comparitively large amount of responsibility the LB’s have in pass coverage
November 18th, 2010 at 5:38 pm
Lamarr Woodley is the Bucs next Hardy Nickerson. I am obsessed with this. We must start a fan petition to sign him NOW!!!!!
November 18th, 2010 at 6:48 pm
Gitarlvr-put my name at the top of the list.
November 18th, 2010 at 9:39 pm
You are assuming the Steelers will let him go…if he’s that good they’ll lock him up before he gets away.
If Ruud leaves (which is likely) we may already have a replacement on the team. And even if that does not pan out, I would like a vet there, but the odds of getting one in free agency are slim.
And everyone is ignoring the work stoppage. I hope it doesn’t happen, but it’s leaning that way. Why would any team want to pay a player during a lockout? Oh wait…a lockout means they cannot sign Free Agents, or does it? I mean, how exactly would that work?
And, to top it off, a free agent usually gets a very large payment in the first year of his contract…why would a team do that if there is no football?
Also, assume there is a lockout…a 28 year old player would be 29 before he even got on the field for us…and 29 is when injuries start happening in a normal situation…after a lockout with lots of time off (maybe a year)?
If there is a lockout, expect a ton of injuries when hte players come back.
It all depends on IF there is a lockout.
November 18th, 2010 at 11:38 pm
when need to resign some of our own players, when the Glazers do that I will finally trust them. Penn is not enough. Joseph better not get away.
November 19th, 2010 at 12:50 am
After watching the Bears game, my hatred for the Glazers swelled. A great DE like Peppers would have been perfect for this team. The guy just causes so much havoc in every game. Any good pass rushing DE would have been good for the Bucs this season. I hate that the Glazers are getting any credit for the success this yr. The Bucs are winning in spite of the Glazers. Such horse crap what the Glazers have done the last few years. This D would be 10000x times better with a free agent here or there. Vanden Bosch could have been good as well. But noooooooooooo he’s too old. Screw that. God almighty I am so pissed right now. I almost threw up when I heard a commentator praise the Glazers for their “plan”. Hell every frickin team wants to build through the draft!!!!!!!!!!!!!!!
November 19th, 2010 at 2:53 am
Eric S,
Don’t be too upset. Peppers had a good game with 3 sacks, but coming into the game, he only had 2 on the season. A significant reason he had 3 was the Dolphins completely abandoned the run. They ran the ball 4 times in the first half. They were only down 6 at the half, and still only ran the ball 3 more times in the second half. Tyler Thigpen had almost as many runs (for his life) as the rest of the team combined. When a team only rushes 7 times in an entire game, it allows the opposing D-line to concentrate on one thing, and one thing only… get to the QB. Not only that, Jake Long (starting LT) was injured. And what do the Dolphins do? Yep, put more pressure on Long by forcing him to pass protect for a 3rd string QB all game long against an extremely good pass rusher.
Peppers success was the result of a horrible game plan by the Dolphins. I don’t know when it’s ever a good idea to give up on the run that early. Yeah, I know, the Bears are the #2 run defense in the league, but when you abandon the run entirely (they didn’t even run 1 wildcat play, which is really the Dolphins bread and butter), you allow the D to rush, rush, rush.
I hope the Bucs watched that game, because they’re facing the #10 run defense this weekend. They’ll need to keep pounding the ball, even if they’re only getting 2 yards per carry. If they abandon the run, they’ll lose their biggest threat, the play-action pass. Virtually every big play this year has been on a play-action pass. I can only think of one off the top of my head that wasn’t (the slant to Williams). Never give the D only half your offense to defend, even when that half is your strength and their weakness.
November 19th, 2010 at 3:33 am
Peppers is so overrated
November 19th, 2010 at 3:43 am
@Pete Dutcher
He is that good. But as I have said I have done the research and the Steelers are going to let him hit the free agent market. This is a fact. Look it up. They just gave James Harrison a huge extension recently. They really cant afford to have all kinds of top money linebackers. Unlike the Bucs they are not near the bottom of the league in payroll. The only thing which would prevent the Bucs from making a run at him is if they don’t work out a new CBA and he would be a restricted free agent instead of unrestricted. Of course if that happens there might not be football at all.
November 19th, 2010 at 3:48 am
@Rican- they might as well let Joseph go and give the right guard job to Zuttah.
@Eric. s- Glazers made the right decision not overpaying for 30 year old defensive ends.
November 19th, 2010 at 4:02 am
If there was real mistake made in free agency it was the failure to resign Jimmy Wilkerson for very reasonable money. Money that ended up going to a guy who got cut a 1/3 of the way through the season(Vincent). Wilkerson was the Bucs best lineman last year. I find it hilarious people think Kyle Vanden Bosch is some kind of superstar that would make a huge impact on this defense. I am of the school of thought that future HOF’er Ndamukong Suh is making Bosch look good and not the other way around. Just like how Albert Haynesworth used to do for him. Oh yeah and he’s 32 years old. Now Peppers of course really would have been a big help but he is 30 and I don’t blame the Glazers for not mortgaging the future on a guy that got HUGE #1 free agent money. Woodley is only 26. That’s a different story.
November 19th, 2010 at 5:14 am
Even when Peppers isn’t getting sacks, he is causing havoc. He is a huge reason why the Bears are a top 5 D. They are 2nd in the NFL in points allowed. They were 21st the year before. Huge part of it is the presence of Peppers. The guy has a trickle down effect on everyone on the D. I am so glad everyone is pleased with this crappy defense that we have now. Even if the Bucs signed Peppers or Kyle, their salary cap still would have been well below the average in the league!
Yeah a 5-time Pro Bowler is very overrated. Great DEs almost always age well. Bruce Smith was still a force into his mid 30s. Reggie White was DPOY at age 37. Fred Dean had one of his best yrs at age 31. Richard Dent went to the Pro Bowl at age 33. Peppers keeps himself in great shape. He truly would have made a huge difference. Vanden Bosch and Suh help each other.
I think I have seen about 4-5 Bears games. Every game Peppers was all over the place. A great pass rusher means a lot to a D. I saw 2 tonight in Peppers and Wake. Both of them put on a show. I truly am baffled why people defend the Glazers when they’ve been cheap for so long. We built their f*cking stadium. The least they can do is spend some money. They deserve 0% of the credit this year. None.