While the AAFL is blaming the credit crunch for its failure to launch, it's safer to say that its lack of a TV contract is its bigger problem. Even if there were no problems in the financial markets, without a TV deal the six-team league would still have had trouble raising capital. The news of the postponement comes only days before training camp for the spring season was to start. The league's announcement did indicate that if a TV contract is signed before kickoff day in April, then the season could be salvaged. Surprisingly, the National Football League, which has quashed prior startup leagues, was in negotiations to carry the games on its cable channel the NFL Network, notes the San Diego Union-Tribune.
Prior to launching the AAFL, Katz created in 1993 Educational Loan Administration Group, a student lender, which American Express Co. purchased three years later. Katz created another lending business shortly after selling to AmEx, and in turn sold it to Dallas insurer UICI in 1998. Hmm, maybe trouble in Katz's day job is to blame after all. - Matthew Wurtzel
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The nascent All American Football League, the latest creation of serial entrepreneur Marcus Katz, is blaming the subprime crisis for the postponement of its first season.
