That's the question The Biz of Baseball asks:
Of the $680 million purchase, just under half ($300 million) is going to be financed with debt. According to Mike Ozanian of Forbes, “In 2010 the Astros had operating income of $14 million, so if Crane parks $300 million of debt on the team the franchise would be in technical default of the league’s debt limit, which is 10 times earnings before interest, taxes, depreciation and amortization.”
2 comments:
Yes and I've already started my little conversation with Maury himself. I like Crane and he will not be the next Frank McCourt.
-SS
Okay, then, as long as we have your word for it, I guess the $300 million in debt is no big deal.
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