If you won the mega-millions this weekend....would you invest in the Hawks

[High5]

That would be a terrible investment. You'd have everything tied up in a team with no fans.

[thecampster]

I don't think the Hawks were selling for much. I might be wrong but wasn't it around $200 million

http://www.ajc.com/sports/atlanta-hawks/hawks-sale-to-meruelo-1217751.html

This is where I got my numbers. Looking at the below numbers, part of the reason the Hawks lose money is they are making finance payments for Phillips, the league fund and paying back Turner. Assume a 15 year mortgage at 6.5% on all (rates at the time), They have a $25 million dollar a year mortgage. Or if 20 years about a $20 million dollar a year nut on the team.

The value of Meruelo’s original deal to buy the team was estimated by sports-business experts in August at $300 million-plus — an amount based largely on the debt he was to assume or pay off.

Based on prior reports or court records, those debts included the approximately $120 million the Hawks borrowed last year from the NBA’s league-wide credit facility and the $40 million-plus owed to Turner Broadcasting/Time Warner, which financed part of its 2004 sale of the Hawks and Thrashers to Atlanta Spirit.

The debt to the NBA credit facility would transfer with the franchise to a new owner, while the debt to Turner/Time Warner, backed by Levenson and Peskowitz, likely would have to be paid off or renegotiated by a new owner.

Also, the Hawks remain responsible for debt payments on the bonds that paid for the construction of Philips Arena. The $124 million left on those bonds was refinanced in August 2010, with the Spirit pledging Hawks and arena revenues, up to the maximum annual lease payment, as collateral.

In addition, the $300 million-plus price included the value of the minority stake that, under terms of the August agreement, was to be retained by Atlanta Spirit.

[Plainview1981]

How's this for a slow night topic? The lottery is $540 million. After cash payout it's going to be about $350-$365 million before taxes. Assuming the NBA would approve you as an owner. The estimated price to buy the Hawks and Phillips is around $300 million plus bank retainer. Assuming you avoid taxes through business investment having enough available, answer these questions:1. Would you buy them?2. What would be your first order of business?3. What would you not change?4. Do you think you could profit?5 What would it take to make them a champion?

I would move them. I don't think it's ever going to work here.

[Dejay]

I would need more $$$ to not only get rid of the debt they are carrying but also make going through the trouble of making it back to Philips after work worth their while. Then, I would hire the best marketing and scouting folks around. The team has been lacking in both departments for decades now...

[gsuteke]

Hell no!!!!

[Randy]

No, but I might buy the Dream instead. Cost a lot less, probably loses money at a slower rate. But then, I have never played the lottery either. Call me a pessimist but if a one in a billion thing happens to me I'm betting its a train wreck or a plane crash, not a jackpot.

[BrandonJ0]

i would buy them and try really hard to bring in a high profile player for ticket and winning purposes and im prettty sure i can draft better than the hawks been drafting