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.
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Wichita State senior forward Anton Grady received some positive news on Saturday as a neurosurgeon reviewed MRI results, which are negative for spinal cord trauma.
According to a release from Wichita State, doctors believed Grady suffered a spinal cord concussion during a collision on Friday after he was taken off the floor in a stretcher and taken to a hospital in an ambulance. CT and MRI scans on Friday both turned up negative, but the news of Saturday’s results are an even more encouraging sign for Grady.
The injury for Grady occurred during a Friday loss to Alabama during the AdvoCare Invitational as the senior’s condition has improved since the collision. Grady will receive physical therapy over the next few days and doctors will check his progress before he is released from the hospital.
Grady has been alert and responsive to questions and had feeling in his extremities on Friday, but the use of his arms and legs was limited. By Saturday morning, Grady had improved the use of his extremities.
The 6-foot-8 Grady has averaged 9 points and 6 rebounds per game this season in his first season with the Shockers. The Cleveland State transfer is shooting 39 percent from the field.
Colorado sophomore forward Tory Miller has been reprimanded by the Pac-12 and he also apologized for biting Air Force’s Hayden Graham earlier this week.
During Colorado’s win over Air Force on Wednesday, Miller was assessed a Flagrant 2 Dead Ball Technical Foul and ejected with 12:25 left in the second half after biting Graham during a loose ball.
In a release from the Pac-12, they announced reprimanding Miller, but he will not be suspended.
“All of our student-athletes must adhere to the Pac-12’s Standards of Conduct and Sportsman-ship,” Pac-12 Commissioner Larry Scott said in the release. “Regardless of Mr. Miller’s frustration and emotion, such behavior is unacceptable and he is being appropriately reprimanded.”
Miller also released his apology in the same release.
“I would like to apologize for my actions during the Air Force game. I would like to apologize to Hayden Graham, Air Force, my teammates and fans. It was a heat of the moment thing. I’m an emotional player, but I let my emotions get the best of me. I will use this as a learning experience and focus on helping my teammates and respecting my opponents for the rest of the season and beyond,” Miller said.
For Miller to not be suspended for this is good news for him and Colorado since he won’t miss any additional action, but did the Pac-12 make the right decision on this?