New Found Revenue!
Twins Video
No one seems to be talking about this so I thought I would post it here. The Pohlad's said they paid off the debt from the new investors investing in the team. How much were the payments on that debt that the Twins are no longer paying. Let's look at some possibilities. First the amount of the debt. I understand the debt to be in the neighborhood of 425 million.
what is the interest on that debt and is it interest only or fully amortizing?
let's look at 5%, 8% 10% and 12%. on interest only we would see annual payments of at 5% = 21,250,000 8% = 34,000,000 at 10% we have 42,500,000 and at 12% = 51 million.
if the debt is amortized we get at 5% = 27,377,900 at 8% = 37,421,993 at 10% = 44,756,150 and at 12% = 52,459,242
This is pretty significant and wide range. With all of the cuts to payroll. It seems the Twins are back to profitability but also they have this newfound resource to reinvest into the team if they so desired. I would think that most of the debt would be int eh 8-10% range some possibly lower and recent debt higher. The Twins are definately saving more than they are losing on the TV deal. and with Revenue Sharing and Attendance revenue The Twins should have a good solid amount of revenue.


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