Tennessee Revenues and Expenses

#1
VolnJC

VolnJC

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#1
For those that think it is just as easy as stroking a check to make Coach Jones go away..take a look at these numbers
Revenue $107,499,732
Expenses $106,153,854
and keep in mind that there is no "rainy day fund" because we were still paying excoaches and football pays for all the other sports other than mens basketball also ticket sales don't fluctuate that much..2012 was actually higher than 2014

Coach Jones deal is 3.6 million for 5 years..so he is due 18 million and the buyout would probably be about half that.
Are you guys going to start a GoFundMe account for a new coach? The Haslams might not have the deep pockets they once had after paying the 100 million dollar fine from the rebate fiasco.

Full list..Oregon is on top with 192 million..they make a 80 million dollar profit per year
NCAA | Finances | USA TODAY Sports
 
#4
#4
Buyout before Mar 2016 is $4M total. After Mar 16 it's $3M and decreases $1M annually after that. I've seen people talking about $12M and $18M buyouts, but the contract simply isn't structured that way.
 
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#5
#5
Jeepster said:
Buyout before Mar 2016 is $4M total. After Mar 16 it's $3M and decreases $1M annually after that. I've seen people talking about $12M and $18M buyouts, but the contract simply isn't structured that way.
Click to expand...

yep you're right but that still eats up our profit for the next four years

Just as in the original contract, the buyout for coach termination — what Jones would have to pay if he left Tennessee to take another job or for any other reason — peaks at $4 million. That buyout was in effect through Feb. 28, 2014 in the old contract signed two years ago, and had gone down to $3 million. On March 1, 2016, the buyout was set to fall to $2 million. Under the extended contract, the buyout goes back to $4 million through Feb. 29, 2016. It falls to $3 million from March 1, 2016 through Feb. 28, 2017, then goes to $2 million for the duration of the contract.
 
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#9
#9
Jeepster said:
Buyout before Mar 2016 is $4M total. After Mar 16 it's $3M and decreases $1M annually after that. I've seen people talking about $12M and $18M buyouts, but the contract simply isn't structured that way.
Click to expand...

Exactly, cause Dave Hart isn't as stupid as the former AD and structured it that way for that reason. It's bout time we have a AD with a head on his shoulders n some common sense.
 
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#10
#10
Jeepster said:
Buyout before Mar 2016 is $4M total. After Mar 16 it's $3M and decreases $1M annually after that. I've seen people talking about $12M and $18M buyouts, but the contract simply isn't structured that way.
Click to expand...

I have read the original contract, but cannot find the extension. The original contract says that if the university terminates the agreement without cause (and no, losing games does not count as cause), Butch gets $2 Million per year left on the contract. With the extension, that leaves 5 years on the contract. That's where the $10 million is coming from.

The reports on the extension only refer to what Butch has to pay if he terminates the agreement. The reports don't say anything about a change to the contract should the university terminate. If someone has a link to the actual extension, I'd like to read it. I really doubt Diamond Dave had the sense to reduce the university's exposure in case of a flop. Remember, Dave was all worried about Michigan snatching Butch up.
 
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#11
#11
Frivolous said:
I have read the original contract, but cannot find the extension. The original contract says that if the university terminates the agreement without cause (and no, losing games does not count as cause), Butch gets $2 Million per year left on the contract. With the extension, that leaves 5 years on the contract. That's where the $10 million is coming from.

The reports on the extension only refer to what Butch has to pay if he terminates the agreement. The reports don't say anything about a change to the contract should the university terminate. If someone has a link to the actual extension, I'd like to read it. I really doubt Diamond Dave had the sense to reduce the university's exposure in case of a flop. Remember, Dave was all worried about Michigan snatching Butch up.
Click to expand...
I've searched and can't find the original contract. I've found both the MOU and the extension, addendum, but not the original contract. Would love to take a peek at it.
 
#12
#12
Frivolous said:
I have read the original contract, but cannot find the extension. The original contract says that if the university terminates the agreement without cause (and no, losing games does not count as cause), Butch gets $2 Million per year left on the contract. With the extension, that leaves 5 years on the contract. That's where the $10 million is coming from.

The reports on the extension only refer to what Butch has to pay if he terminates the agreement. The reports don't say anything about a change to the contract should the university terminate. If someone has a link to the actual extension, I'd like to read it. I really doubt Diamond Dave had the sense to reduce the university's exposure in case of a flop. Remember, Dave was all worried about Michigan snatching Butch up.
Click to expand...

I read it now to be 4 million..the radio guys said 10..I think they are wrong now
Just as in the original contract, the buyout for coach termination — what Jones would have to pay if he left Tennessee to take another job or for any other reason — peaks at $4 million. That buyout was in effect through Feb. 28, 2014 in the old contract signed two years ago, and had gone down to $3 million. On March 1, 2016, the buyout was set to fall to $2 million. Under the extended contract, the buyout goes back to $4 million through Feb. 29, 2016. It falls to $3 million from March 1, 2016 through Feb. 28, 2017, then goes to $2 million for the duration of the contract.

full article
Butch Jones’ new contract resets buyout at $4M - GoVolsXtra Story
 
#14
#14
VolnJC said:
I read it now to be 4 million..the radio guys said 10..I think they are wrong now
Just as in the original contract, the buyout for coach termination — what Jones would have to pay if he left Tennessee to take another job or for any other reason — peaks at $4 million. That buyout was in effect through Feb. 28, 2014 in the old contract signed two years ago, and had gone down to $3 million. On March 1, 2016, the buyout was set to fall to $2 million. Under the extended contract, the buyout goes back to $4 million through Feb. 29, 2016. It falls to $3 million from March 1, 2016 through Feb. 28, 2017, then goes to $2 million for the duration of the contract.

full article
Butch Jones’ new contract resets buyout at $4M - GoVolsXtra Story
Click to expand...

No, the buyout for Tennessee would be $10m or $12m. Read the addendum they posted on your link. The rest of the Agreement stays in effect - which was a buyout of $2m per year remaining on the contract. That addendum added 2 more years - to Feb, 2021. Thus $10m or $12m (not sure which one, would have to go look at the original.

The $4m is how much Jones would have to pay if he quit as a football coach.
 
#15
#15
touchdown-tony said:
No, the buyout for Tennessee would be $10m or $12m. Read the addendum they posted on your link. The rest of the Agreement stays in effect - which was a buyout of $2m per year remaining on the contract. That addendum added 2 more years - to Feb, 2021. Thus $10m or $12m (not sure which one, would have to go look at the original.

The $4m is how much Jones would have to pay if he quit as a football coach.
Click to expand...

Per the same contract he is required to look for work. UT only has to pay the difference (if any) at his new job.
 
#16
#16
InVOLuntary said:
I've searched and can't find the original contract. I've found both the MOU and the extension, addendum, but not the original contract. Would love to take a peek at it.
Click to expand...

Here's the original contract:

http://media-cdn.timesfreepress.com//news/documents/2014/12/10/1210butchcontract_3018513559.pdf

The extension (I've read it now), goes through the end of Feb 2021. As stated above, the buyout is $2 million per year left on the contract, prorated for partial years. If Butch were fired Dec. 1, 2015, the buyout would be $10,500,000.

The buyout is offset by the coach's subsequent earnings if he takes another job. If it were me, though, I'd take the $2 million a year and enjoy my Saturdays.
 
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#17
#17
InVOLuntary said:
But what if the revenue side dropped by say $10mil?
Click to expand...

This, people (and probably those that matter), do not think about the money they lose or could gain from a good coach coming in.

First they would make more money (revenue sales and more donations) just from hype and expectations of what new great coach is going to do, then that would continue as team is winning.

It would be wise to take out a loan if needed to get great coach for that reason imo.
 
#18
#18
touchdown-tony said:
No, the buyout for Tennessee would be $10m or $12m. Read the addendum they posted on your link. The rest of the Agreement stays in effect - which was a buyout of $2m per year remaining on the contract. That addendum added 2 more years - to Feb, 2021. Thus $10m or $12m (not sure which one, would have to go look at the original.

The $4m is how much Jones would have to pay if he quit as a football coach.
Click to expand...

OK so I was originally right :)
 
#19
#19
When do the assistant coaches' contracts expire? We will be on the hook for a least some of them as well, right? And, if we hire a guy already coaching then more than likely we will be on the hook for this buyout as well. So we could be looking at eclipsing $15m or more for Hart's genius decision to hire this joke and then extend him for winning 6 games.
 
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#20
#20
Frivolous said:
Here's the original contract:

http://media-cdn.timesfreepress.com//news/documents/2014/12/10/1210butchcontract_3018513559.pdf

The extension (I've read it now), goes through the end of Feb 2021. As stated above, the buyout is $2 million per year left on the contract, prorated for partial years. If Butch were fired Dec. 1, 2015, the buyout would be $10,500,000.

The buyout is offset by the coach's subsequent earnings if he takes another job. If it were me, though, I'd take the $2 million a year and enjoy my Saturdays.
Click to expand...
Yes, I think you are correct, $2M per year making it approximately $10M this year. If he took a job as a head coach at another CMU that could easily be cut in half but if he took a coordinator position he'd be lucky to make $500K. Doesn't look good for an easy exit.I think he's here until the program totally implodes and there's nothing left.
 
#21
#21
VolnJC said:
For those that think it is just as easy as stroking a check to make Coach Jones go away..take a look at these numbers
Revenue $107,499,732
Expenses $106,153,854
and keep in mind that there is no "rainy day fund" because we were still paying excoaches and football pays for all the other sports other than mens basketball also ticket sales don't fluctuate that much..2012 was actually higher than 2014

Coach Jones deal is 3.6 million for 5 years..so he is due 18 million and the buyout would probably be about half that.
Are you guys going to start a GoFundMe account for a new coach? The Haslams might not have the deep pockets they once had after paying the 100 million dollar fine from the rebate fiasco.

Full list..Oregon is on top with 192 million..they make a 80 million dollar profit per year
NCAA | Finances | USA TODAY Sports
Click to expand...

Holy cow. What is Oregon doing so right that everybody else is doing wrong? That is a huge differential in their revenues vs expenses. We are barely meeting expenses. What is up with this?
 
#22
#22
LibertyVolance said:
Holy cow. What is Oregon doing so right that everybody else is doing wrong? That is a huge differential in their revenues vs expenses. We are barely meeting expenses. What is up with this?
Click to expand...

I know we have the highest recruiting budget in the country..so that is part of it
 
#23
#23
Wow...thank you E$PN for making "poser-coaches" and "coaching-cronyism" such a part of college athletics. Those TV contracts look really good now don't they? So Dooley s..ts the bed in Knoxville and immediately lands in Dallas as a WR coach (along with our $12M) and now ANOTHER mediocre coach could walk with $10M and end up as a RB coach or OC in a mid-major for $250k+.

I loves me some college sports - where significant results of the very few raise the bar of compensation for all the rest. Makes perfect sense.
 
#24
#24
I'd like to see the buyouts structured so that losses matter after the second year

Set amount of $5-6 million which is reduced by a million for every loss. So lose 7 games, you owe us money on your way out the door
 
#25
#25
VolnJC said:
I read it now to be 4 million..the radio guys said 10..I think they are wrong now
Just as in the original contract, the buyout for coach termination — what Jones would have to pay if he left Tennessee to take another job or for any other reason — peaks at $4 million. That buyout was in effect through Feb. 28, 2014 in the old contract signed two years ago, and had gone down to $3 million. On March 1, 2016, the buyout was set to fall to $2 million. Under the extended contract, the buyout goes back to $4 million through Feb. 29, 2016. It falls to $3 million from March 1, 2016 through Feb. 28, 2017, then goes to $2 million for the duration of the contract.

full article
Butch Jones’ new contract resets buyout at $4M - GoVolsXtra Story
Click to expand...


You're incorrect. They are right. It is 2 Million per year through the 2020 season or $10 million.
 
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