Mr.Powers

Sports, Clothing, and below par stock picks

[Mr.Powers @TomPowers_2]

Trevor story’s bat

[Lion (Flip you like…) @Champ_Lion]

Do yall understand how hard it is to never say anything smart? It's deadass impressive

[Mr.Powers @TomPowers_2]

5 years 5 moves

Gutty performance by me and pops today, shoutout the goat

20,000 steps

I will be hiring movers next time, gave the game all I had

[Kevin Garnett @KevinGarnett5KG]

Yo melo let me know when you have one of these! You mad bro?

[Mr.Powers @TomPowers_2]

I would kill for a Sobe this morning

[Mr.Powers @TomPowers_2]

Moving this weekend so I can’t cook everything packed

My solution cookout every night and try to supersize myself

[LyleTheEgg @LyleTheEgg]

Who’s kid is this 😭

[Mr.Powers @TomPowers_2]

@cob2678 1-0

[Mr.Powers @TomPowers_2]

Early and Often Fellas

[Mr.Powers @TomPowers_2]

Need to try some Russian creams in honor of the dude

[Montreal Expos @Montreal_Expos]

Work to bring back the Expos is temporarily on hold while we start up several life insurance companies

[Mr.Powers @TomPowers_2]

Mid season form

[Carlos A. Lopez @LosTalksPats]

Another angle of #Patriots S Craig Woodson intercepting Eagles QB Jalen Hurts yesterday in 7-on-7s ���

(🎥 patriots_every_thing TikTok)

[Daniel but sports @throwing_daniel]

Salary cap? Uh, have you considered acquiring multiple insurance companies and using the policy payments of little old ladies to fund your teams sports bets?

[Mr.Powers @TomPowers_2]

Should have signed with the Sox

[George Jarjour @GeorgeOnTap]

Dodgers owner Mark Walter is under a federal investigation and a whole lot of pressure. He just sold the Lakers only 14 months after buying the Lakers, he is selling his shares in Chelsea FC, and well the pressure is mounting and rumors are swirling about the Dodgers. The one key component here is Shohei Ohtani who is owed still $680 million by the Dodgers and well most of the contract is deferred until the 2040s. These two facts belong together, because Ohtani does have the richest contract in sports history, and that contract is owned by an owner who is under federal investigation. Basically, Ohtani gave the Dodgers a loan and now it looks like he might have loaned the wrong man.

Let’s break down the money. Ohtani’s contract is worth around $700 million dollars but right now because of the contract’s structure most people do know he takes home around $2 million a year. The rest of that money? Well it’s going to according to his contract be paid out 2034 to 2043. But he’s not the only Dodger whose deal is structured this way. They owe a total of over $1 billion dollars to nine different players with the payments being deferred all the way out to 2047. We all know about the infamous Bobby Bonilla day for the Mets where they pay him every July (that just ended), well the Dodgers took Bobby Bonilla day, injected it in Barry Bonds steroids and built a championship roster on layaway. They get the superstars today, the rings today, and the bill is due in the 2040s.

But one thing about deferred money and sports contracts is kind of insane. It’s not secured. Many are saying that it was Ohtani’s own idea to defer the money so the team could build a winner around him. Now, that may be true, but the money is not secured. Unlike most loans, there is no collateral, he doesn’t have a personal guarantee on Dodger stadium or anything of that sort. All he has is a promise, and it looks like he trusted the wrong man. If something happens cash wise, Ohtani is just another creditor standing in line looking for his money.

And Walters seems to be in huge trouble. But there is one thing in Ohtani’s contract that many people are missing. He has a “key-man” clause. If Walters sells the Dodgers (whether by choice or force) or if their executive Andrew Freidman leaves, Ohtani has the option to opt out of the rest of his contract. Which is funny, he wasn’t trusting the Dodgers franchise, he was trusting Walters himself. And Ohtani has said he would not opt out, but when facts change, opinions can too.

So if Walter has to sell, Ohtani basically can overnight become a free agent. And with an impending lockout and Walter needing cash, I think he might have to sell. And there is a darker road to the Dodgers problems and that is bankruptcy which might seem far fetched for a pro sports franchise but the Dodgers did go bankrupt in 2011. And a team bankruptcy can ask the courts to reject a contract which basically makes the player an unsecured creditor fighting to get pennies back on his dollar. And Ohtani’s $680 million with ZERO collateral? That’s something that has no leverage in a courtroom.

Now none of this is a prediction, and this can all play out in Ohtani’s favor, and Walters may even keep the Dodgers. But sports structure always assumes one big thing. And that is the franchise owner is stable. And that seemed like a given with Walters as he was buying assets and spending money left and right. But it’s harder to believe when he is under investigation and selling everything he owns. Ohtani made a bet worth $680 million dollars that the people who run the Dodgers would be safe and good standing when he turns 40. Well, his money is riding on a promise and hope.

[Mr.Powers @TomPowers_2]

@Delta why pay 500 for a round trip if you aren’t even going to provide a plane. @realDonaldTrump fix it bitch

[Jake @EconomPic]

How do the Dodgers carry an unlimited payroll?

Filings uncovered by @NickNemo17 show roughly $1.45 billion in debt for American Media Productions, the entity behind SportsNet LA and the Dodgers' 25-year, $8.35 billion Charter deal, sitting on the balance sheets of 5 life insurance companies tied to or controlled by the Dodgers' own ownership group.

i.e. the Dodgers get a sweetheart deal on their TV rights from a media company their owners co-own, financed by insurance companies those same owners control.

Because ownership sits on both sides, as borrower and lender, the setup functions as a closed loop:

-When RSNs hit turbulence, banks enforce covenants or force restructuring. Here the lenders are insurers the owners manage, so the capital stays patient and cash flow to the team never gets choked.
-MLB taxes net local revenue at 34% but allows deductions for debt service and interest tied to running the network. Carrying $1.45 billion in media debt on AMP's balance sheet generates interest expense that shrinks reportable net TV income and the resulting revenue-sharing bill.

Then there's the payroll itself. Over $1 billion of it is deferred, owed to 9 players through 2047. Pushing that cash out frees up money today, some of which is going toward servicing that same debt, and kicks the actual bill to a stretch of decades many of today's owners won't be around for.

LA built a (seemingly illegal) structure that captures its own interest yield, shelters TV income from league revenue sharing, and helps fund payroll dominance in the process.

[bball bruv 🧐🤨 @HoopsTalkBurner]

AGAIN I SAY: BRING BACK THE PLAYBOY OWNERS THAT FUCK HOES. ENOUGH OF THESE PRIVATE EQUITY DWEEBS

[Mr.Powers @TomPowers_2]

David Stern never would have allowed the NBA to get to where it is today.

Don’t even get me started on the MLB, didn’t think I’d ever see the day the league got Bernie Maddof’d

[Joe Pompliano @JoePompliano]

Mark Walter has been looking for cash to fund billions of dollars in loans for months, and he isn't just trying to sell his sports assets.

According to @Ourand_Puck, Mark Walter engaged Charter Communications to see whether the company wanted to exit its local TV deals for the Lakers and Dodgers several years early in exchange for a lump-sum payment, but those talks went nowhere.

The Dodgers currently have one of the best local TV deals in sports — 25 years, $8.35 billion for an average of $334 million annually — but Walter was willing to exit the deal early in exchange for upfront cash today.

That's crazy.

[Mr.Powers @TomPowers_2]

The Dodgers ownership group committing financial fraud is worse than the astros stealing signs. Biggest scandal in sports history @BillSimmons