Jerry Moyes is throwing in the towel on his attempt to get much out of the bankruptcy sale of the franchise and will sell to the NHL for $140 million.
Jerry Moyes is throwing in the towel on his attempt to get much out of the bankruptcy sale of the franchise and will sell to the NHL for $140 million if U.S. Bankruptcy Court Judge Redfield Baum approves the action.
The move comes before more than $4 million is needed for the Coyotes to make payroll. With the NHL funding the operations of the franchise anyway, the move will end Moyes' attempt to recoup some of the $100+ million he's put into the team.
According to the plan the NHL will pay $11.5 million to Glendale and jobing.com Arena contractors. The rest — almost $120 million — will be split between SOF Investment, the largest secured creditor ($79.7 million), about $37 million back to the NHL for money loaned to the franchise, and sopme $10 million to Moyes and coach Wayne Gretzky, who alone is owed $9.3 million.
It is most likely the league will flip the franchise quickly, but we're guessing Jim Balsillie, who offered $212.5 million for the team, will not be among the suitors. Ice Edge Holdings and Jerry Reinsdorf both offered around $150 million for the team, but those offers were contingent on Glendale agreeing to alter the Jobing.com Arena lease — and in the case of Reinsdorf, altering the lease to the point where he would be paid by Glendale to play games there, rather than paying rent. And word among NHL insiders is that there's nothing in the NHL's actions to guarantee the franchise will be kept in Glendale past this season or next.
RELATED STORIES: Glendale stands by NHL, rejects sweetened offer from Balsillie; Balsillie sweetens Coyotes offer; bidding is now closed ; Judge delays Coyotes auction, may consider bids that would move franchise; NHL: We have more bidders for Coyotes; Will Glendale arena investment pay off, even if Coyotes leave?; NHL shifts attention back to Copps Coliseum; Coyotes seek shelter in bankruptcy court; NHL to oppose; Who's in control of Coyotes? Glendale says NHL; team denies; Coyotes still millions in arrears on arena payments; Could Phoenix Coyotes end up in Toronto?; Financial woes continue for Coyotes; Coyotes now current on arena lease payments
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