BleedGopher
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per the Pioneer Press:
When the University of Minnesota fell short of its goal to privately fund a large athletics department upgrade, school President Eric Kaler recommended last week that the U borrow the shortfall and break ground almost immediately. Twenty-four hours later, the Board of Regents had approved the recommendation.
The decision was a victory for the athletics department and supporters who believe the Athletes Village project is necessary if the Gophers are to keep pace in the increasingly competitive field of big-time college athletics. Some, however, question the wisdom of borrowing an estimated $89 million when the athletics department already has outstanding debt of $201.2 million.
In August, Standard & Poor's -- one of the country's big three credit ratings agencies -- looked at the school's overall debt and lowered its outlook of the U's AA credit rating from "stable" to "negative."
Deficit spending is not uncommon in college athletics, said Dennis Howard, a Philip H. Knight sports professor at the University of Oregon. In fact, he said, "in the new era of college sports," Minnesota's debt "is not excessive," even if combining the current and new debt would give the Gophers one of the most debt-ridden departments in the nation.
http://www.twincities.com/sports/ci_28981395/gophers-athletics-ski-u-mah-turning-into-iou
Go Gophers!!
When the University of Minnesota fell short of its goal to privately fund a large athletics department upgrade, school President Eric Kaler recommended last week that the U borrow the shortfall and break ground almost immediately. Twenty-four hours later, the Board of Regents had approved the recommendation.
The decision was a victory for the athletics department and supporters who believe the Athletes Village project is necessary if the Gophers are to keep pace in the increasingly competitive field of big-time college athletics. Some, however, question the wisdom of borrowing an estimated $89 million when the athletics department already has outstanding debt of $201.2 million.
In August, Standard & Poor's -- one of the country's big three credit ratings agencies -- looked at the school's overall debt and lowered its outlook of the U's AA credit rating from "stable" to "negative."
Deficit spending is not uncommon in college athletics, said Dennis Howard, a Philip H. Knight sports professor at the University of Oregon. In fact, he said, "in the new era of college sports," Minnesota's debt "is not excessive," even if combining the current and new debt would give the Gophers one of the most debt-ridden departments in the nation.
http://www.twincities.com/sports/ci_28981395/gophers-athletics-ski-u-mah-turning-into-iou
Go Gophers!!
