Franklin Buyout

[Frank Lee]

I'm not a finance guy but...
Present Value of $56m over seven years using 5.25% is $39m.

So settle with James for $30m lump sum because to James' advantage, any lump sum would grow faster than 5.25% (Austin Private Wealth of Trump Butler fame and other organizations like them do this for the Bushes, the James Bakers, and the Pelosi types. 15% is typical. Also, knock $39m down to $30m because Franklin would go out as the good guy. $30m invested for seven years at 10% provides and ending balance of $58m, plus he can also earn a living somewhere else and he'll be out of a toxic environment.
A Nguyen-Nguyen situation as they say in Da Nang.

 

[Frank Lee]

So, agreed.
$30m lump sum for immediate buyout and dismissal
Hire Urban Meyer or maybe Nick Saban for two years
Have portal and recruit money ready
Save the program; save the brand

***
For later because of the protecting the hockey stick guy, destroying and erasing JoePa, hiring Sandy, hiring for DEI quotas, obstructing TPUSA and other Christian and conservative voices:
Conduct a DOGE on the entire university. The salaries; the research for false data and other fraud; the publications for plagiarism, rigor, and AI origins; all procurement; contractor kickbacks, etc. Stupid outsider shi+s been running PSU into the ground for years.

 

[IANit]

If we pay it annually we can probably more easily do a set off when he gets another job. The contract effectively guarantees a level of income, not necessarily who will pay it. If I was him I'd take a year or two off, maybe do some TV, then take a good job elsewhere when it opens up.

 

[Frank Lee]

If we pay it annually we can probably more easily do a set off when he gets another job. The contract guarantees a level of income If I was him I'd take a year or two off, maybe do some TV, then take a good job when it opens up.

so, relieve him of his duties but pay him as he's currently getting paid?

 

[IANit]

That's normally how it works. You have the contract period to pay him. Not a lump sum when he walks out the door. But it was Sandy negotiating, so who knows? We don't have the contract to look at.

 

[IANit]

And there's usually an offset provision, so if he gets a job at or above his current pay rate we don't pay. If less, we pay the difference between his current contract with us and his new contract. Guessing the actual number would be much less than $56 million.

 

[IANit]

Jimbo Fisher's $75 million contract had no offset provision, so he got $19.4 million initially then $7.2 mm through 2031. Franklins reportedly has an offset provision. I'd guess it does have an initial lump sum requirement in a similar range. Much more manageable than the $56 mm the talking heads throw about.

 

[Frank Lee]

And there's usually an offset provision, so if he gets a job at or above his current pay rate we don't pay. If less, we pay the difference between his current contract with us and his new contract. Guessing the actual number would be much less than $56 million.

Keep in mind the the lump sum offer would be discounted. $30m now or $56m over a period of seven years. Most people who win powerball take the discounted lump sum and even pay the taxes on it. Franklin can get advice from his accountant.