2013 Football=$15,000,000?

#1
MobileVol1

MobileVol1

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#1
How much is it going to cost the university to buyout all of these contracts when Dooley gets canned? We all know the $5 million for him, but if all of the other coaches get the axe as well, how much does that add up to? I am pretty sure we had 2 year contracts for all, but not sure about Chaney.

So total that, then add up the amount UT will have to pay to get a proven coach/announcer out of his current contract....My guess for this total prize package is $15,000,000....

Can/Will UT and the boosters pay this? Can they afford not to, based on the last 5 years worth of revenue decline.

I will hang up and listen...
 
#3
#3
Well... They're not giving signing bonuses so it's more like 7 or 8 to get rid of Dooley and all the assistants.. Then you'll have to offer around 4 million to a coach.. That will be paid over the course of next year... So if they get rid of Dooley. They'll pony up the 7 or 8 million.. There is always a chance the next coach may want to keep a few of these assistants.. I'd keep Jay Graham and Sam Pittman.. The rest can find employment elsewhere....
 
#5
#5
15 million is not the number that matters. All buyouts are paid out over time. I do not quite get why people keep throwing out "15 million, 20 million" or whatever. 3-4 years from now, sure you could speak to the 10-15 million or whatever it ends up being as what it cost UT to get out of the mess. Today, tomorrow, and going into 2013, it will not cost anywhere near that to move forward with a winning coach.

Hire the right guy, and DD's 5 million dollar buyout paid over 3-4 years will be paid for in revenue in 12 months.
 
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#6
#6
thy won't really have to give Dooley $5 million next year, right? It's like Fulmer's was and it's payments spread out over years, right? So, really you're paying Dooley like 1.3 million or so next year and then the year after and the year after, etc. You should make that up easily in ticket sales.
 
#7
#7
UT = Checkmate said:
No unless We lose to vandy or Kentucky
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I disagree. The students, fans, and boosters are restless. I can't see Dooley making it past Missouri. Other than his buyout which will be paid over years, there is no reason to keep him.
 
#8
#8
oregonvol said:
thy won't really have to give Dooley $5 million next year, right? It's like Fulmer's was and it's payments spread out over years, right? So, really you're paying Dooley like 1.3 million or so next year and then the year after and the year after, etc. You should make that up easily in ticket sales.
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And with the right hire...that could set Neyland Stadium on fire again. Spend $ to make $...but spend it in the right way in the right place.
 
#9
#9
Total changeover may be as high as $20mil, but is amortized over several years.

Lost revenue from lack of butts in seats could easily be over $10mil for 2013 season.
 
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#10
#10
UT can pay the $5 mil buyout over 10 years ($500,000 / year). The present value is only $3.68 million using a 6% discount rate!
 
#12
#12
It all comes down to simple questions: lose the coaches or lose the fans? Which costs more... and which contributes more? Which is easiest to replace? And which will do the most long-term damage to the program?

Coaches come and go, but some of these fans have been legacy supporters since the Neyland years. It takes a lot to shake their trust. UT has a loyal fanbase, generous donors and billionaire boosters. The money will be there when it's needed.
 
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#13
#13
Fulmer's buyout was $6 million, and his whole staff buyout was just under $10 million. With the fact that many on that staff were long-tenured, I would be surprised if the buyout package for Dooley's crew is more than that. That said, UT lost $8 million in revenue last year, and it will probably be more than that this year. The excitement generated by a new coach will create ticket and merchandise sales that will more than make up for the cost of replacing the coaches.
 
#14
#14
Two things:

Regardless of whether or not its paid out over several months, the amount of any buyouts does matter. It still has to be budgeted in, and its not like some yokel going down to the buy here/pay here and "wantin' to get the payments right". UT actually has to be smart with their money.

I'm assuming they'd gather the full amount immediately and put it in an escrow account or something to pay it out over the agreed time. I almost want to think that's what they've done in the past.

Second, the buyout for the assistants is unknown. It depends how many you keep, and how many find jobs. I could see 2 or 3 you'd keep in a lot of situations. Of the ones that leave, UT would be responsible for making up the difference in what their next job pays them and what they were making at UT (or the full amount if they don't find/accept a job). Example, if Coach A was making 200k at UT and accepts a job making 125k...UT owes 75k.
 
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#16
#16
LebanonVolunteer said:
15 million is not the number that matters. All buyouts are paid out over time. I do not quite get why people keep throwing out "15 million, 20 million" or whatever.
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Because the cost of such has to amortized over the payment period and compared against projected revenues. Most programs we're competing with have that kind of money laying around, we don't. Even Hart stated such in a recent interview with AL.com.

LebanonVolunteer said:
Hire the right guy, and DD's 5 million dollar buyout paid over 3-4 years will be paid for in revenue in 12 months.
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Can't say that if fully disagree with this. I just can't wrap my head around who's available that will guarantee the boost we'd need to pull it off.
 
#17
#17
I've got 20$ here to donate to the cause...you can give it to Sal because that is as much as he as earned this year IMO
 
#18
#18
oregonvol said:
thy won't really have to give Dooley $5 million next year, right? It's like Fulmer's was and it's payments spread out over years, right? So, really you're paying Dooley like 1.3 million or so next year and then the year after and the year after, etc. You should make that up easily in ticket sales.
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36 months.
 
#20
#20
Spend more money on the front end and less on the back end makes for championship football program. Meaning spend the money on a high profile coach and less on buyouts.
 
#21
#21
Does anyone have knowledge of the assistant's contracts containing clauses that we are only liable for the difference in their contracts over any amount they may receive if they get another job?
 
#22
#22
I sure am gald that most people that post here on VN never ran a business for me with all the guesses going on, LOL.

Guesses never made a payroll or paid anything else for that matter, LOL.

Only AD Hart and the big boosters know for certain what the actual numbers are but you can bet that if we fire CDD after he only got 2 recruiting classes of his own on campus there will again be NOBODY wanting to take his job, play in the SEC and put up with a fanbase like ours when they can get a much easier job not in the SEC and not have to start all over with another 3 to 5 year rebuilding project.

The ONLY way we'll get a top coach that's also a very good proven recruiter is to pay nick saTan $$$$ and to guarantee every penny of it for at least a 4 or 5 year contract no matter how many games they lose.

Firing CDD now is actually a HUGE risk unless AD hart already has all the $$$ he needs and that top coach ready to sign the contract instantly after it's put out to the press that CDD is going to be replaced.

Do NOT forget that AD Hart is also trying to raise the HUGE amount of $$$$ it's going to take to build a brand new dorm building for our players plus other things that Hart says is URGENTLY needed.

I wonder if Peyton left AD Hart with a check for $20 Million last night for the downpayment on a new dorm building, LOL.

Peyton Manning players dorm sounds pretty good to me.

I wonder where they would build a new players dorm building.

VFL...GBO!!!
 
#23
#23
Doolittle 1720 said:
Does anyone have knowledge of the assistant's contracts containing clauses that we are only liable for the difference in their contracts over any amount they may receive if they get another job?
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I'd have to go pull the contracts up, but I'm mainly going on what they've done in the past and what most of the media types say about staff changes.
 
#24
#24
MobileVol1 said:
How much is it going to cost the university to buyout all of these contracts when Dooley gets canned? We all know the $5 million for him, but if all of the other coaches get the axe as well, how much does that add up to? I am pretty sure we had 2 year contracts for all, but not sure about Chaney.

So total that, then add up the amount UT will have to pay to get a proven coach/announcer out of his current contract....My guess for this total prize package is $15,000,000....

Can/Will UT and the boosters pay this? Can they afford not to, based on the last 5 years worth of revenue decline.

I will hang up and listen...
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Sorry. I think your number is low. Every assistant except Coiner will be entitled to a buyout which is equal to the remainder of his contract. In 2012, the total bill for assistant coaches is $2.8 million and the only contract expiring this year is Coiner's. Everyone else with the exception of Sunseri is at the end of next season up until signing day 2014. Sunseri's contract ends on signing day 2015. CDD's contract ends at the end of 2015 and the buyout is as established in fixed amounts depending on when terminated.

Anyway, so the buyout for CDD if done on or before the Kentucky game this year would be $5m. The cost for the assistants would be collectively right at another $5m. So that's $10m to cover the costs of what we now have.

Any new coach is in all probability going to want his own staff. So if we are getting a homerun hire let's figure he's going to be the highest paid coach in college football. For now let's say it's $5.5m per year. His assistants will probably cost a bit more as well so let's say minimum $3.5m per year. So, I'm guessing the tab will be closer to $19-20m and the buyouts for the next group will be even higher so the next time we do this we'll be looking at something closer to $30-35m.

The contracts for all the coaches are at this link on the right of this page in pdf form.

Contracts for UT football assistants include bonuses for success | timesfreepress.com
 
#25
#25
Thing is buyouts only decrease by about 1.8m total at the end of next season. Dooleys is still $4m then. Not a tough decision imo. Not worth waiting.
 
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