Just wait - You'll be sorry

[Gray Mule]

Talk about a sweet deal. Our soon to be new owner,

if he gets his way, will clean house. We'll see who's

who then.

Can't you picture the deals he will pull off.

Right now, the other owners have a choice.

Sell out to him for their actual investment, making their

70 % ownership worth about $30 million or pay him the

estimated value of the 30% that he owns.

Lets see, 30% of 450 million is a good bit of change!

$135 Million, or thereabouts.

Pay him $135 million for 30% or sell him 70% for

$30 million.

Some how, this don't add up, does it??

[Diesel]

I told you...

Quote:

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Belkin will not sell at the price that he bought in for. You guys are stupid if you think that's the case and he would be stupid. All the documentation I have shown you without the revenue from the Arena suggests that it's upward of 120 million ALREADY..

Hawks = 232.

Thrashers = 160.

Close to 400 million. 30% = close to 120...

So how you guys think he would sell his stake in the Hawks, Thrashers, and Arena and get less than 100... Is beyond me. Belkin will make a profit. A big profit because the simple fact is... He didn't have to sell.

---

[AHF]

I remain very worried about this situation. It angers me that the contract had a clause giving him the right to purchase the franchise(s) under any circumstances.

[tmac13]

I am thinking more and more Belkin has outfoxed the rest of the owners..Either he gets the teams, or he financially straps the rest of the owners..Either way its a bad situation for the Hawks and Thrashers.

[DrReality]

The longer he drags it out the more leverage he has . . . and the more damage done to the franchise. At this point it would appear his motive is revenge. And it looks like he's going to get his pound of flesh. Don't think he'll ever get control of the franchise because David Stern would move heaven and hell to prevent it.

[Eddielives]

Is it really possible Belkin would want to buy this team? As maligned as he is by a vast majority of Atlanta fans for what he has done, does he really think he can win back their hearts? I think he just wants his fair share of the teams value and he moves on. At least I hope so.

[AHF]

Quote:

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Is it really possible Belkin would want to buy this team? As maligned as he is by a vast majority of Atlanta fans for what he has done, does he really think he can win back their hearts? I think he just wants his fair share of the teams value and he moves on. At least I hope so.

---

He would happily pay $30M for the right to sell 100% of the Hawks and Thrashers franchises to the highest bidders in Atlanta (most likely given the ownerhip of the venue), Las Vegas, Oklahoma City, whereever the $$ could come from. He is interested in maximizing his profit and he would do that best by paying $30M for the rights to the teams, standiums, etc.

He is out for $$ more than revenge but he does seem to be absolutely playing the rest of the owners. I hope this does not end badly.

[DJlaysitup]

I bet the other owners wish BK would have stood up, faked a smile, and shook Belkin's hand. Revenge is being served cold.

As Patton said after being relieved of command for slapping a soldier that he thought was a coward (at least in the movie) - "If I had it to do over I'da kissed the son of a b!tch"

[Lascar78]

somehow I doubt that handshake has any relevance. Belkin was being a greedy @sshole long before that moment.

[AHF]

Quote:

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somehow I doubt that handshake has any relevance. Belkin was being a greedy @sshole long before that moment.

---

Agreed.

[lifelong]

Quote:

---

I told you...

Quote:

---

Belkin will not sell at the price that he bought in for. You guys are stupid if you think that's the case and he would be stupid. All the documentation I have shown you without the revenue from the Arena suggests that it's upward of 120 million ALREADY..

Hawks = 232.

Thrashers = 160.

Close to 400 million. 30% = close to 120...

So how you guys think he would sell his stake in the Hawks, Thrashers, and Arena and get less than 100... Is beyond me. Belkin will make a profit. A big profit because the simple fact is... He didn't have to sell.

---

---

you also told us that philips arena makes $90 million a year in profit.

[lifelong]

Quote:

---

Quote:

---

I told you...

Quote:

---

Belkin will not sell at the price that he bought in for. You guys are stupid if you think that's the case and he would be stupid. All the documentation I have shown you without the revenue from the Arena suggests that it's upward of 120 million ALREADY..

Hawks = 232.

Thrashers = 160.

Close to 400 million. 30% = close to 120...

So how you guys think he would sell his stake in the Hawks, Thrashers, and Arena and get less than 100... Is beyond me. Belkin will make a profit. A big profit because the simple fact is... He didn't have to sell.

---

---

you also told us that philips arena makes $90 million a year in profit.

---

make that $95 million:

http://www.hawksquawk.net/forums/showthrea...hp?Number=98155

absolutely crazy...

[AHF]

Diesel's basic point about the overall value of the Arena, Hawks and Thrashers still stands. I don't know what the Phillips Arena profit/loss statement reads but the overall value of these assets was more in line with Diesel's predictions. I have no problem with his posts at all.

[er9dverk]

my hunch is this latest noise is a tempest in a teapot. i think the thing got settled months ago, except for the amount of cash steve b. gets.

lets not lose too much sleep, we gotta save our energy for the important matters (noah or thomas? aldridge or bargnani? wilcox? marcus williams? etc.).

[AHF]

Quote:

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i think the thing got settled months ago, except for the amount of cash steve b. gets.

---

I don't think you've following this very closely based on that comment. No offense but the concern stems from everything that has happened since the parties created a purchase agreement months ago.

[er9dverk]

i know that. i was just telling you my hunch. i havent read the settlement documents, neither have any of us.

i am just saying lets worry about something else, i have a strong hunch this noise is nothing.

[DJlaysitup]

Quote:

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i know that. i was just telling you my hunch. i havent read the settlement documents, neither have any of us...

---

Well it has pretty much been verified that there is something in the contract stating that Belkin has a cost-buyout option at this point. The judge could go Belkin's way. Judges always can also basically 'nullify' due to fairness so that's a good possibility, and of course there are always appeals.

Belkin can also apply pressure (which he's obviously doing) by inflating the cost of buying him out.

I would guess that the Spirit group would end up winning out but they haven't been making the right moves so far. In truth, the 'buyout at cost' thing sounds like a trap that Belkin managed to slip by the others. They may be in a bigger bind than we think. If Belkin needed the money to finish buying them out - I would imagine he'd have rich partners lined up already to make a quick killing.

[AHF]

Quote:

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Judges always can also basically 'nullify' due to fairness so that's a good possibility, and of course there are always appeals.

---

Unfortunately, they really can't when interpreting an unambiguous contract. Some principals of equity may come in, for example, if Belkin is found to be the cause of the delay but they can't just nullify the contract because it is unfair. The first obligation of the judge will be to interpret the contract as written. You would only go outside of the terms of the contract if there is an ambiguity or the terms were unenforceable as written for some reason.

Quote:

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Belkin can also apply pressure (which he's obviously doing) by inflating the cost of buying him out.

---

Yep.

Quote:

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I would guess that the Spirit group would end up winning out but they haven't been making the right moves so far. In truth, the 'buyout at cost' thing sounds like a trap that Belkin managed to slip by the others. They may be in a bigger bind than we think. If Belkin needed the money to finish buying them out - I would imagine he'd have rich partners lined up already to make a quick killing.

---

That is my fear. He would only need $30M to buy them out and would easily get more than that for their interest in the teams.

I really hope they pony up and just pay him off at this point. I am really annoyed they alowed the 'buyout at cost' option to go into the contract under any circumstances. That provision just makes no sense.

[DJlaysitup]

Yeah I think you're right on the 'nullification' thing AHF. I guess I was thinking of jury nullification in criminal law.

It'll be interesting to see how it comes out. As far as the arguement that Stern will not allow him to do this...who knows...if he is smart (which we figure he's proven he is)...he may agree to take on a majority partner or other minority partners that Stern would be very happy with. All sorts of possibilities.