NCAA’s credit outlook now negative, in part because of Ed O’Bannon case

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The Ed O’Bannon case could be hurting the NCAA’s credit outlook, according to the Wall Street Journal.

Looks like the case is starting to affect other things outside the courtroom, with the case slowly catching on nationally after a slow start. O’Bannon, a former UCLA player, is looking to help former college players recoup royalties from their likenesses being used in video games.

The report marked the first time that litigation has emerged as a risk in a Moody’s report for NCAA debt. A federal judge in Oakland is weighing a class-action certification for the suit, launched by former UCLA basketball star Ed O’Bannon in 2009, that would add potentially thousands more current and former athletes to the case and expose to the NCAA to greater damages if it loses.

The NCAA’s credit rating has not changed, but  the outlook presents a prediction of what it will be in the near future. This is especially true if the lawsuit O’Bannon is keying gains class status. The credit watch is a prediction that covers the next two years. Their current credit rating sits at Aa2, the third-highest rating available. If the case does gain class status, that would prompt the change, more than likely.

If the O’Bannon case gains class certification, Moody’s says the NCAA could face greater danger of a downgrade from the third-highest Aa2 rating, which would affect $40 million in debt the association took out in 2005 and 2010 to buy rights to basketball’s National Invitation Tournament and renovate its Indianapolis headquarters, among other expenses.

The NCAA is currently staring down $40 million of debt taken from 2005-2010.

Increasing interest in the case was the reason for the report. “We felt the trial has advanced to a point where it was worth looking at the credit again,” said Moody’s spokesman David Jacobson.

Follow David Harten on Twitter at @David_Harten

CBT Fancast: Catching up with famous Final Four fans: Adam Morrison, Marcus Paige, Neil Everett

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For today’s episode, I spoke with the famous fans of the programs in the Final Four, from the greatest player in Gonzaga history to the almost-star of last year’s Final Four to the most famous dual Gonzaga and Oregon fan in the world.

Sindarius Thornwell misses practice on Thursday

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Sindarius Thornwell has been the best player in the NCAA tournament to date, yet he was not in the building on Thursday when the South Carolina Gamecocks practiced and he was nowhere to be found during South Carolina’s media availability.

A school spokeswoman told reporters that Thornwell was back at the hotel, that he was sick and resting.

Thornwell is averaging 25.7 points in four games in the NCAA tournament. He’s been sensational. If he’s not at his best this weekend, that’s a massive blow for South Carolina’s chances of getting to a national title game, but South Carolina head coach Frank Martin doesn’t seem too concerned.

“I’ve got a bug myself. Luckily I don’t have to play,” Martin said. “He had a little body temperature last night when we landed. And he was a little better this morning. But I kind of told our trainer, just feed him fluids, do what doctors do and let him rest rather than stress him right now. He’s our most intelligent player. And I don’t mean to say that demeaning the other guys. He understands basketball at a high, high level, he doesn’t need to be on the practice court to understand what we’re doing.”

Arizona freshman Lauri Markkanen to declare for NBA Draft

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Arizona freshman Lauri Markkanen will announce today that he is declaring for the NBA Draft and signing with an agent, according to multiple reports.

The program is holding a press conference for Thursday at 1 p.m. ET.

Markkanen is a 7-footer from Finland that averaged 15.6 points this season while shooting 42 percent from beyond the arc. He’s projected as a top ten pick, and his size and versatility should make him a valuable piece given the way that the NBA is trending.

There is very little surprise with this decision. The expectation always was that Markkanen would be gone after one season.

The news was first reported by Scout.com.

Anthony Grant to replace Archie Miller at Dayton

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Dayton has hired Anthony Grant to replace Archie Miller as head coach, the program announced on Thursday.

“Anthony Grant is a proven winner with the highest integrity,” Athletic Director Neil Sullivan said. “He has successful experience in coaching, recruiting and playing basketball at an elite level. I welcome Anthony to our staff and look forward to partnering with him as we continue to aggressively pursue graduating student-athletes, winning conference championships and advancing in the NCAA tournament. He is absolutely the right coach.”

Grant is a Dayton alum. He spent 12 years as Billy Donovan’s assistant coach before finally landing a head coaching gig at VCU. After three seasons with the Rams, he took over at Alabama, where he was fired in 2015.

Grant has spent the last two years with Donovan as an assistant with the Oklahoma City Thunder.

“I am honored and humbled to be the head coach at the University of Dayton,” Grant said. “It’s a great responsibility to take over at an institution that is so well-respected. Anyone you talk to in college basketball would say our program is a successful one, but the potential is here for so much more.”

North Carolina ‘repeals’ HB2 to satisfy NCAA, anti-LGBTQ discrimination remains legal

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Late on Wednesday night, literally hours before an NCAA-imposed deadline that would have prevented the state of North Carolina from hosting any and all NCAA tournament events until at least 2022, the lawmakers in the state announced that they have reached an agreement to repeal House Bill 2, a discriminatory law that is commonly known as the bathroom bill.

The question now is whether or not this repeal will be enough to satisfy the NCAA, who was one of a handful of businesses that pulled out of the state due to HB2. According to the AP, more than $3.7 billion in revenue will be lost over the next decade as a result.

The issue with HB2 isn’t just that it makes it illegal for transgender people to use the bathroom of the gender they identify as. That gets the headlines, but the real damage done by this law is that it curbs legal protections for the LGBTQ community by banning local governments from passing laws to make discrimination illegal for at least three years.

From the New York Times:

Gay rights advocates were harshly critical of the bill. Cathryn Oakley, senior legislative counsel for the Human Rights Campaign, said that the compromise would leave lesbian, gay, bisexual and transgender people with no statewide anti-discrimination ordinance and no ability to seek such protections from local government for a number of years.

“What that means for the L.G.B.T. community is that we continue to be boxed out of nondiscrimination protections,” she said.

Chris Sgro, executive director of the gay rights group Equality North Carolina, said that the proposal “keeps North Carolina as the only state in the country obsessed with where trans people use the restroom through law.”

From the Charlotte Observer:

“The rumored HB2 ‘deal’ does nothing more than double-down on discrimination and would ensure North Carolina remains the worst state in the nation for LGBTQ people,” HRC President Chad Griffin said in a statement. “The consequences of this hateful law will only continue without full repeal of HB2. Sellouts cave under pressure. Leaders fight for what’s right.”

The NCAA had pulled first and second round games from Greensboro for this year’s tournament, instead allowing Greenville, South Carolina, to host the games. That’s significant because the NCAA, in 2002, pulled all events from that state because they flew the confederate flag on the statehouse grounds. The flag came down in 2015, and the NCAA rewarded the state with games; it’s hard not to see that as a statement to North Carolina.

In this year’s tournament, No. 2 seed Duke lost a game to No. 7 seed South Carolina in a game that was played in South Carolina instead of in North Carolina. The location wasn’t the only reason Duke lost that game, but you’ll have trouble convincing me that quasi-home court environment didn’t play a role.