Buyout

[WVU_Dave]

So, I just read the savings between now and the end of season on NB's buyout is 100K.

Is that accurate?

If so, wouldn't the opportunity cost of those weeks for retaining players and recruits and starting a new coaches recruitment process, be worth it? (I guess if our new coach is not employed of course.)

 

[MountaineerWV]

So, I just read the savings between now and the end of season on NB's buyout is 100K.

Is that accurate?

If so, wouldn't the opportunity cost of those weeks for retaining players and recruits and starting a new coaches recruitment process, be worth it? (I guess if our new coach is not employed of course.)

Don't think so. I think it is somewhere around $2 million in savings.

 

[WVU_Dave]

Don't think so. I think it is somewhere around $2 million in savings.

Not a solid source, but read this today:
Q: What is Neal Brown's current contract, and what is the buyout and time of buyout reduction?

A: Brown's contract runs through the end of the 2027 season, thanks to an extension that took place in the offseason. With the new deal, though, Brown's buyout dropped from 100% to 75%. So if West Virginia decides to move in a different direction now, at the end of the season, or at any point before his contract expires, the university will owe him 75% of his remaining salary. Right now, it's approximately $9.8 million. By the end of the season, it will be roughly $9.7 million.

 

[MountaineerWV]

New Contract - 75% of his remaining 2024 salary ($1.00 million) plus 75% of the remaining three years ($4+4.3+4.4 for a total of $12.7). Seventy-five percent of that number ($13.7) comes out to a grand total of $10.275 million.

Result? With the new extension, WVU is paying out $645,000 more to Brown if they fire him at the end of this month than they would have under the old deal.



Okay, let's now go to Brown being fired at the end of the season. All money paid this year is a sunk cost, done and gone. So we're just looking at future salaries. In that scenario, WVU would have paid $8.6 million (100% of his remaining contract) under the old deal, but will pay $9.525 (75% of $12.7 million) under the new deal, which equals $925,000 more. Take away $100,00 because of the savings in salary, and your true difference is $825,000.



Let's say WVU pulls a reverse-Dana and waits until January 1st to make their move, prompting the 85% trigger in the old deal. That would have saved WVU $1.3 million on the old deal, bringing the buyout down to $7.31 million..... while it would still remain $9.525 under the new deal.



How about the ship gets righted, WVU finishes 8-4 on the season, and they ride it out for one more year, but things go horribly in 2025? WVU moves on after the 2025 season. That would mean Brown got his salary for all of 2025, then the buyout for beyond that. In the old deal, that would be a total of $7.94 million ($4.2 million in salary plus $3.74 million in buyout), while the new extension would have paid him $10.525 million ($4 million salary plus $6.525 million in buyout). That's a difference of $2.585 million - saving $200,000 in salary, but paying $2.785 million more in buyout.

 

[oceantide83]

Don't waste your time. He's gone at the end of the season.

 

[deedoubleyou]

When they fix the football program, donations, ticket sales, wvu overall attendance and everything will get better. His buyout will seem like chump change.

 

[WVUALLEN]

New Contract - 75% of his remaining 2024 salary ($1.00 million) plus 75% of the remaining three years ($4+4.3+4.4 for a total of $12.7). Seventy-five percent of that number ($13.7) comes out to a grand total of $10.275 million.

Result? With the new extension, WVU is paying out $645,000 more to Brown if they fire him at the end of this month than they would have under the old deal.



Okay, let's now go to Brown being fired at the end of the season. All money paid this year is a sunk cost, done and gone. So we're just looking at future salaries. In that scenario, WVU would have paid $8.6 million (100% of his remaining contract) under the old deal, but will pay $9.525 (75% of $12.7 million) under the new deal, which equals $925,000 more. Take away $100,00 because of the savings in salary, and your true difference is $825,000.



Let's say WVU pulls a reverse-Dana and waits until January 1st to make their move, prompting the 85% trigger in the old deal. That would have saved WVU $1.3 million on the old deal, bringing the buyout down to $7.31 million..... while it would still remain $9.525 under the new deal.



How about the ship gets righted, WVU finishes 8-4 on the season, and they ride it out for one more year, but things go horribly in 2025? WVU moves on after the 2025 season. That would mean Brown got his salary for all of 2025, then the buyout for beyond that. In the old deal, that would be a total of $7.94 million ($4.2 million in salary plus $3.74 million in buyout), while the new extension would have paid him $10.525 million ($4 million salary plus $6.525 million in buyout). That's a difference of $2.585 million - saving $200,000 in salary, but paying $2.785 million more in buyout.

On the buyout. Would you rather pay $9.525 million over three years or $8.6 million over two years?

 

[steeleer]

New Contract - 75% of his remaining 2024 salary ($1.00 million) plus 75% of the remaining three years ($4+4.3+4.4 for a total of $12.7). Seventy-five percent of that number ($13.7) comes out to a grand total of $10.275 million.

Result? With the new extension, WVU is paying out $645,000 more to Brown if they fire him at the end of this month than they would have under the old deal.



Okay, let's now go to Brown being fired at the end of the season. All money paid this year is a sunk cost, done and gone. So we're just looking at future salaries. In that scenario, WVU would have paid $8.6 million (100% of his remaining contract) under the old deal, but will pay $9.525 (75% of $12.7 million) under the new deal, which equals $925,000 more. Take away $100,00 because of the savings in salary, and your true difference is $825,000.



Let's say WVU pulls a reverse-Dana and waits until January 1st to make their move, prompting the 85% trigger in the old deal. That would have saved WVU $1.3 million on the old deal, bringing the buyout down to $7.31 million..... while it would still remain $9.525 under the new deal.



How about the ship gets righted, WVU finishes 8-4 on the season, and they ride it out for one more year, but things go horribly in 2025? WVU moves on after the 2025 season. That would mean Brown got his salary for all of 2025, then the buyout for beyond that. In the old deal, that would be a total of $7.94 million ($4.2 million in salary plus $3.74 million in buyout), while the new extension would have paid him $10.525 million ($4 million salary plus $6.525 million in buyout). That's a difference of $2.585 million - saving $200,000 in salary, but paying $2.785 million more in buyout.

Again. That extension only benefited Brown.
We still have to pay out the nose to get rid of him and he gained a significant cut in what he would have to pay to get out of the contract if he didn’t suck this year.

His agent needs a raise and we need a real A.D.

 

[WVUALLEN]

Don't waste your time. He's gone at the end of the season.

Not if EGG has any say in it. Remember he said 5-7 was a good year. The claim from fraud steeleer that the AD is problem is baseless. As most his claims are. People are forgetting the political power that EGG has over the BOG. He blocks any movement from Wren wanting to hire a new coach.

Even if he got approval The BOG would put it on the back burner due to needing to find a new President of the university.

 

[oceantide83]

EGG(head) is gone, too.

 

[steeleer]

Not if EGG has any say in it. Remember he said 5-7 was a good year. The claim from fraud steeleer that the AD is problem is baseless. As most his claims are. People are forgetting the political power that EGG has over the BOG. He blocks any movement from Wren wanting to hire a new coach.

Even if he got approval The BOG would put it on the back burner due to needing to find a new President of the university.

I like facts:

1) WVU is swimming in red ink and Gee is holding the pen.

2) Gee is out after this year.

Being a lame duck president, he will be able to block jack shit unless WVU wins the remaining two games and their bowl game. In that case, they would keep him anyhow, and it would have nothing to do with Gee.

If that doesn’t happen, there is a 0.0% chance that Jimbo would come on with that clown as AD.

This would be Jimbo’s last chance to get back into the big time and he’s not going to hitch his wagon to some imbecile.

 

[WVUALLEN]

I like facts:

1) WVU is swimming in red ink and Gee is holding the pen.

2) Gee is out after this year.

Being a lame duck president, he will be able to block jack shit unless WVU wins the remaining two games and their bowl game. In that case, they would keep him anyhow, and it would have nothing to do with Gee.

If that doesn’t happen, there is a 0.0% chance that Jimbo would come on with that clown as AD.

This would be Jimbo’s last chance to get back into the big time and he’s not going to hitch his wagon to some imbecile.

It's obvious you can't see the cuffs that EGG has on the entire department.

Its obvious he controls the BOG. Perhaps he has something on them.

But I might tend to agree with you on Wren if he doesn't find the money to fire Brown. But currently the the blame is misdirected.

With a new President coming in June, hopefully not hired by EGG, will most likely want his own AD. Hopefully he doesn't handcuff the entire department like the current one has.

 

[steeleer]

It's obvious you can't see the cuffs that EGG has on the entire department.

Its obvious he controls the BOG. Perhaps he has something on them.

But I might tend to agree with you on Wren if he doesn't find the money to fire Brown. But currently the the blame is misdirected.

With a new President coming in June, hopefully not hired by EGG, will most likely want his own AD. Hopefully he doesn't handcuff the entire department like the current one has.

It all comes down to money. Gee is losing it a lot of it, and while he was a big name when he was hired, in the end it always comes back to money.

I have no idea if he’s going to be allowed to name his successor, but if he does, WVU deserves exactly what it’s going to get, which is more of the same bullshit.

I think Stimpy will be allowed to stick around long enough to fire Brown and then within a month of that Stimpy will also be fired.

That’s how this goes in the corporate world too. Make the outgoing manager (AD) do the messy work before they get the chopping block as well and then the company starts fresh.

Then you let the new A.D. make their choice and it’s all handled before the new president starts.

I will say this though, I think if they hire Jimbo, it’ll be the other way around. He’s going to want to have a role in choosing the A.D.

If he’s willing to work for cheap, I think WVU gives him that leverage.