XFL Bankruptcy Filing Reveals Partial WWE Ownership
Photo Credit: Alpha Entertainment
After firing all its employees last week, the XFL has filed for bankruptcy. In a statement released to press, the company thanks fans for rallying behind it earlier this year:
The XFL quickly captured the hearts and imaginations of millions of people who love football. Unfortunately, as a new enterprise, we were not insulated from the harsh economic impacts and uncertainties caused by the COVID-19 crisis. 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.
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
Eric Fisher of the SportBusiness Group shared his findings about the filing, stating that Vince McMahon owned the majority of the shares in the company, but WWE as a company also owned around 23% of its Class B shares. This flys in the face of previous statements by the company reassuring stockholders that WWE wasn’t getting back into the business of football.
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