Wednesday, February 29, 2012
Exit fees finalized for Missouri, Texas A&M
By Edward Aschoff
The Big 12 reached buyout agreements with both Missouri and Texas A&M Tuesday, and both schools should be pretty happy with how things ended.
The two schools will be leaving the Big 12 for the SEC at a price of just $12.41 million each. While to you and me that sounds like a pretty hefty number, it isn't much when you consider how much both schools could have lost if not for some top notch legal work.
Both schools announced in the fall of 2011 that they would be leaving the Big 12 on July 1, 2012, but Big 12 bylaws state that schools that provide less than 12 months' notice of their eventual departure are subject to having 90 percent of their conference revenue retained.
The total was estimated to be nearly $30 million for each school, but as you can see, Missouri and Texas A&M won't even have to pay half of that.
The Big 12's new television contract with Fox Sports also begins on July 1, 2012, and Missouri agreed to waive all benefits from the new deal, but Texas A&M will receive a portion of the contracts' benefits.
Here's what Missouri Chancellor Brady Deaton said:
"We are pleased to have these issues resolved and we wish the Big 12 and its continuing member institutions the best in the future."
And here's what Texas A&M President R. Bowen Loftin said:
"We appreciate the Big 12 working with us on a quick and amicable settlement.
"On behalf of Texas A&M University and Aggies worldwide, I would like to thank the Big 12 and its member institutions for the many memories over the past 16 years. We value our ongoing academic and athletic relationships with Big 12 members, and it is our hope to continue many of our longstanding athletic rivalries in the future."
Plus, you get to leave for so cheap, so that's nice!
It sounds like these two universities came out of this whole thing well. They both get to join a conference they're more comfortable with and they didn't have to reach too deep into their institutional pockets to do it.
These two schools should be all smiles, but should the Big 12 happy with the outcome? I mean, schools are supposed to give at least two years' notice and the price tag for leaving within 12 months was much higher than both schools had to shell out.
Well, ESPN Big 12 blogger David Ubben thinks the Big 12 bylaws need an upgrade after what has transpired and I tend to agree, but you can't fault Missouri and Texas A&M for trying to find a better deal for themselves and actually having it work out.