By Jason Powell, ProWrestling.net Editor (@prowrestlingnet)
The XFL filed for bankruptcy on Monday. “Unfortunately, as a new enterprise, we were not insulated from the harsh economic impacts and uncertainties caused by the COVID-19 crisis,” reads an XFL statement published by TMZ.com. “Accordingly, we have filed a voluntary petition for relief under Chapter 11 of the U.S. Bankruptcy Code. This is a heartbreaking time for many, including our passionate fans, players and staff, and we are thankful to them, our television partners, and the many Americans who rallied to the XFL for the love of football.”
Powell’s POV: Meanwhile, sports business analyst Darren Rovell and other sports media members report that the filing reveals that WWE owned 23.5 percent of the XFL’s Class B stock while Vince McMahon owned the remainder of the folded league. WWE’s ownership is an interesting development given that WWE’s Interim CFO Frank Riddick stated back in February during a WWE conference call that there were no plans for the XFL to be part of WWE’s investments. Here’s hoping that someone in the financial world will seek clarification on this matter when WWE releases its quarterly financial report and holds another conference call on April 23.
BREAKING: XFL files for bankruptcy. N bankruptcy filing reveals that WWE actually does own part of league (23.5% of Class B stock). Among the creditors — Bob Stoops ($1M), Marc Trestman ($777K), Ticketmaster ($655K), other coaches ($583K) and MetLife Stadium lease ($368K). pic.twitter.com/PRj3CXAnkv
— Darren Rovell (@darrenrovell) April 13, 2020
Vince McMahon had 100 pct of the XFL’s Class A shares. He also had 76.5% of the Class B shares, with WWE holding the rest.
— Eric Fisher (@EricFisherSBG) April 13, 2020
The Pro Wrestling Boom Podcast with Jason Powell features Kenny Herzog discussing his journalism career, his new Outside Interference podcast, doing a feature story on CM Punk, pro wrestling in the pandemic, WWE talk on Retribution, The Hurt Business, Roman Reigns as a heel, and much more...