If you are looking forward to visiting Disney World or other attractions in Orlando, planning the trick with a little information could help save you money. Instead of opting for the first package that comes your way, its best to get some more knowledg…

I couldn’t understand some parts of this article, but it sounds interesting…

I couldn’t understand some parts of this article, but it sounds interesting…

Sorry, it just sounds like a crazy idea for me :)…

I totally agree with your last paragraph. Gilbert is a weasel, but an extraordinarily slick one, particularly when it comes to finances. This guy wanted the Brewers, for God’s sakes, so you know the ego factor of being majority owner of a sports franchise is also important to him. But this guy ain’t no fool when it comes to money, and Rock Financial does not appear to be a rock anymore.

I’m extraordinarily interested and very worried as to what is going to happen to the franchise in five years. All Cavs fans should be. I can easily see a situation where Gilbert and his partners are desperate to get out, but the only way to recoup their investment would be to sell to an outside group that would move the franchise. Gund had talked with outside groups, but his family had prior ties to the community. Now compare this with Gilbert. This guy has no ties and couldn’t care less about Cleveland. I don’t trust him.

(amount financed) - (value of least valuable NBA franchise)

with “amount financed” being (Price paid for Cavs) - (cash Gilbert put in).

Gilbert paid $375 million and Forbes says the least valuable NBA franchise is the Bucks ($190 million) so the maximum at risk is $185 million. (Actually, Gilbert didn’t acquire 100%, but the Bucks number is two years old, so let’s guess it balances out.)

We don’t know how much cash Gilbert put in. I would guess “not much”, because he bought the team when interest rates were ungodly low. The smart thing to do would have been to finance as much as possible, with his rate locked in.

That way, when rates rose, Gilbert could invest the cash he hadn’t spent, getting a return that might (depending on how high they rose) pay more than his interest on the loan.

That’s speculation, but remember that Gilbert made his fortune in finance. He isn’t some goof who inherited money (Randy Lerner) or a guy who made money in an unrelated field (like Larry Dolan and cable TV).

Anything can happen, but it is highly improbable that Gilbert, who is where he is because he made interest rates work to his advantage, structured a deal that left him vulnerable to fluctuations in capital.

Many super-rich people are very stupid about money in many respects (Paul Allen has lost billions on dumb ideas). But when someone does a deal within his field of expertise, it is usually successful.

You’re making the same argument (in principle) as the folks who said Dolan couldn’t make money on Sports Time Ohio. I don’t think highly of Gilbert as a human being, but I am 99.9% confident in his ability on this specific point.

Great. Maybe Danny Ferry can trade Drew Gooden to the Kings for Bibby and a time machine. That way, the Cavs can get the young, speedy Bibby instead of the old, slow 2007 model.

AZ Joe, you complained about the roster being hamstrung with bad contracts. Don’t you think adding Bibby to the payroll would have the same effect?

I think the Cavs are far better off riding out the upcomnig season with no major additions. They’ll be in better position next year to make some additions, due to expiring contracts, draft picks, etc.