108 replies to this topic

[Daniel]

I may be wrong but if the Devils go bankrupt I believe there is a provision to break the lease and re-write it with Vanderbeek or the NHL or the new Owner.

Such a lease provision would be unenforceable.

[ThreeCups]

JVB is a HUCKSTER! I can't wait to see how this drama filled soap opera plays out over the next few months....

[Mayday]

i can give a dollar

[Zubie#8]

Chris Botta ‏@ChrisBottaNHL

NJ Devils lenders could force team to bankruptcy tomorrow, but will likely wait until CBA is resolved. Details at @SBJSBD

[Colin226]

Why would the CBA effect this? It's not like the Devils will get a substantial amount more from revenue sharing

[Triumph]

Why would the CBA effect this? It's not like the Devils will get a substantial amount more from revenue sharing

The Devils have no chance of ever getting anything from a revenue sharing provision in the CBA unless something about the team changes drastically. They are a mid to high revenue team.

My guess is that they want someone who's solvent to take over the team and pay off the debts - as I understand it, once bankruptcy is declared, that jeopardizes the amount of money the lenders can expect to get back. But unfortunately I don't subscribe to Sports Business Daily.

Edited by Triumph, 13 August 2012 - 09:44 AM.

[Chuck the Duck]

Chris Botta ‏@ChrisBottaNHL

NJ Devils lenders could force team to bankruptcy tomorrow, but will likely wait until CBA is resolved. Details at @SBJSBD

If they are going to force the team into bankruptcy, I don't see any point in waiting until the CBA is resolved to do it from the banks point of view. They might give JVB another extension, but if he hasn't come up with the money by now, he's likely not going to be able to do so. I like him, and he clearly has a passion for the team, but it's time for him to go and putting the team into bankruptcy might be the best thing possible for the long term financial stability of the organization. The lease with the City of Newark will not broken as a result of the bankruptcy and the team will continue to play in the arena (essentially) rent free for the next 25 years. Eliminating and/or restructuring the debt load with a new owner in place is probably needed at this juncture.

[Daniel]

Per "Debtwire", which I can't link to unfortunately, the rumor is that Vanderbeek is trying to get a two-year extension on the maturity of the $80 million that's past due, in exchange for giving the lenders a "coupon bump", a term that I'm unfamiliar with, but which I assume means higher priority.

[SMantzas]

Per "Debtwire", which I can't link to unfortunately, the rumor is that Vanderbeek is trying to get a two-year extension on the maturity of the $80 million that's past due, in exchange for giving the lenders a "coupon bump", a term that I'm unfamiliar with, but which I assume means higher priority.

Jesus, why is Vanderbeek delaying the inevitable? What does he honestly gain from all this?

[Triumph]

Jesus, why is Vanderbeek delaying the inevitable? What does he honestly gain from all this?

The illusion that he is a man capable of affording to own an NHL franchise? I mean, if I were him I'd probably do the same thing - he quit his day job. What's he going to have if he's forced out as owner?

[SMantzas]

The illusion that he is a man capable of affording to own an NHL franchise? I mean, if I were him I'd probably do the same thing - he quit his day job. What's he going to have if he's forced out as owner?

I know the Devils are in the top half of revenue, but isn't JVB still losing a **** ton trying to scrape together money to pay back the creditors? I feel like this is all counterproductive for him

[Zubie#8]

The illusion that he is a man capable of affording to own an NHL franchise? I mean, if I were him I'd probably do the same thing - he quit his day job. What's he going to have if he's forced out as owner?

How old is Vanderbeek? Cant find anything on google.

[sammyk]

How old is Vanderbeek? Cant find anything on google.

He was 46/47 when he bought the team so he's probably around 51/52.

[Zubie#8]

He was 46/47 when he bought the team so he's probably around 51/52.

Cool thanks, I was just curious

Edited by Zubie#8, 13 August 2012 - 01:00 PM.

[aylbert]

Per "Debtwire", which I can't link to unfortunately, the rumor is that Vanderbeek is trying to get a two-year extension on the maturity of the $80 million that's past due, in exchange for giving the lenders a "coupon bump", a term that I'm unfamiliar with, but which I assume means higher priority.

In simple terms, it's basically just an interest payment. (It's really a scheduled periodic interest payment made prior to a bond's maturity).
So he's just offering to pay more of an interest rate to buy more time to make the payment. Aka: pushing these events on for another two years.

[devlman]

I know the Devils are in the top half of revenue, but isn't JVB still losing a **** ton trying to scrape together money to pay back the creditors? I feel like this is all counterproductive for him

He must feel that he can make the business model work. With a sweet deal with Newark and an increasing Season Ticket base, he may see a profitable franchise in the near-future.

I mean, i can feel for him because the debt he is struggling with is mostly from the arena. We needed a brand new one and he was a key figure in making it happen. After all the work in constructing it, rebuilding the marketing dept, etc.. I'm sure he wants to be around to see the fruits of his labor start paying dividends.

Edited by devlman, 13 August 2012 - 03:01 PM.

[NJDevs4978]

He must feel that he can make the business model work. With a sweet deal with Newark and an increasing Season Ticket base, he may see a profitable franchise in the near-future.

I mean, i can feel for him because the debt he is struggling with is mostly from the arena. We needed a brand new one and he was a key figure in making it happen. After all the work in constructing it, rebuilding the marketing dept, etc.. I'm sure he wants to be around to see the fruits of his labor start paying dividends.

It's more than business for him, the guy's a legit Devils fan. If one of us owned the team, you can bet we'd be doing everything including begging (which is basically what JVB is doing now) to try to help us hang on to it. Most of these owners buy teams for reasons other than it's a good business anyway.

I'm at the point where I just want this to end, whether this means JVB gets flushed or not, preferably flushed if the best he can get is a stay of execution anyway. I do feel for him though.

[Daniel]

It's more than business for him, the guy's a legit Devils fan. If one of us owned the team, you can bet we'd be doing everything including begging (which is basically what JVB is doing now) to try to help us hang on to it. Most of these owners buy teams for reasons other than it's a good business anyway.

I'm at the point where I just want this to end, whether this means JVB gets flushed or not, preferably flushed if the best he can get is a stay of execution anyway. I do feel for him though.

If it were me, I would realize that holding onto the team would not be in the best interests of the team or the fans. To the extent I could control it, I would sell to someone who is committed to keeping the team in New Jersey and keeping the team competitive from a spending standpoint.

[DevsMan84]

If the Devils have to declare bankruptcy, we all know the only acceptable method is for JVB to do this:

[sundstrom]

In simple terms, it's basically just an interest payment. (It's really a scheduled periodic interest payment made prior to a bond's maturity).
So he's just offering to pay more of an interest rate to buy more time to make the payment. Aka: pushing these events on for another two years.

i would gladly pay you two hamburgers on friday, for one hamburger today!