Comments on: IFL 10Q report (8/27/08)

By: IceMuncher

IceMuncher — Thu, 28 Aug 2008 20:07:43 +0000

Bad timing. If they this was all happening a year ago, they probably could have persuaded EliteXC to buy them out during that farm league splurge.

By: Jeremy (not that Jeremy)

Jeremy (not that Jeremy) — Thu, 28 Aug 2008 14:11:38 +0000

It’s hard to convince Zuffa to buy you out when it would require paying off all your debts and getting nothing in return (non-exclusive contracts? a brand that’s been burned to the ground already? the names of a bunch of teams that are no longer used?)

There’s nearly zero chance of IFL ever running another show, so I suspect Zuffa is happy to let it die on the vine.

By: cyph

cyph — Thu, 28 Aug 2008 13:58:04 +0000

You’re right. Debt doesn’t mean anything. It’s the cash flow that tells the story. In short, they had none. All debt and no revenue.

They slashed their net loss more than half this year, but alas, they still had no inflow of cash.

IFL, dead because they didn’t have a business model that worked.

By: Grape Knee High

Grape Knee High — Thu, 28 Aug 2008 13:31:03 +0000

Debt, in and of itself, does not signify the financial health of any company (positively or negatively). The UFC has $350 million in debt.

You have to compare many other metrics like debt ratios, cash flow, earnings, etc., to get a true picture. Pure balance sheet numbers with no context usually are very misleading when comparing two companies like the IFL or EXC.

By: Alan Conceicao

Alan Conceicao — Thu, 28 Aug 2008 02:55:33 +0000

$20,000 a show isn’t even horrible. Its pretty close to ESPN Friday Night Fights money.

By: Jeremy

Jeremy — Thu, 28 Aug 2008 02:39:47 +0000

At the Q & A at UFC 87, Dana said they had had discussions, but that the deal fell through.