It looks like the final nail in the coffin for the short lived AAF.
According to court documents shared by Front Office Sports, the league is claiming assets of $11.3 million and liabilities of $48.3 million. Additionally, the AAF says it has just $536,160.68 in cash.
BREAKING: @TheAAF has filed for Chapter 7 Bankruptcy.
– In the filings, the league claims assets of $11.3 million and liabilities of $48.3 million.
– According to the documents, the league has $536,160.68 in cash. pic.twitter.com/IsOlGi2yoO
— Front Office Sports (@frntofficesport) April 17, 2019
The eight-team start-up league unexpectedly ceased operations on April 2nd after eight weeks of play, cancelling the final two weeks of regular season play and the entire championship playoffs.
Rushed to market by co-founders Charlie Ebersol and Bill Polian in an apparent effort to beat the return of the XFL in spring 2020, the AAF proved to be critically underfunded and survived only as long as it did due to the major infusion of funds from billionaire Tom Dundon, owner of the NHL Carolina Hurricanes.
Dundon contributed $70 million out of a pledge of up to $250 million to meet payroll in the AAF, which was trying to establish itself as a feeder league to the NFL.
Dundon bought into the idea of being a minor league development league to the granddaddy of all professional football leagues. In order to better accomplish that goal, he wanted some of the NFL’s young prospects to play in the league in which he essentially became controlling owner.
Dundon wanted to use players off NFL practice squads, giving them additional exposure in the AAF prior to the start of summer training camps. But Dundon ran up against resistance from the NFL’s Player Association, which wasn’t prepared to give the OK to such a plan so quickly due to injury concerns.
Dundon promptly withdrew his investment in the AAF, which forced the league to cease operations without additional funding.
The AAF released the following statement on its website:
“This week, we made the difficult decision to suspend all football operations for the Alliance of American Football. We understand the difficulty that this decision has caused for many people and for that we are very sorry. This is not the way we wanted it to end, but we are also committed to working on solutions for all outstanding issues to the best of our ability. Due to ongoing legal processes, we are unable to comment further or share details about the decision.
“We are grateful to our players, who delivered quality football and may now exercise their NFL-out clauses in our contract. We encourage them to continue pursuing their dreams and wish them the best. We are grateful to our fans, who have been true believers from the beginning, and to our world-class partners. And to the Alliance coaches and employees who devoted their valuable time and considerable talent to this venture, we are forever grateful.”
That’s all she wrote.
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