NBA Loaned Bucks Owner at Least $55 Million Last Season

The Milwaukee Bucks were but one of 19 teams to borrow money from the NBA last season, but the amount they asked for is eye-popping. From the Journal-Sentinel: “U.S. Sen. Herb Kohl, owner of the Milwaukee Bucks, borrowed at least $55 million last year from the NBA’s credit facility, according to his Senate financial disclosure form. Disclosure rules in the Senate do not require senators to disclose the exact amount of their investments, assets and liabilities. But the records indicate that Kohl borrowed at least $55 million in three separate loans in behalf of the Bucks. The records also indicate that Kohl used some of the proceeds for investments by two of his trusts. That is allowable under NBA rules for those borrowing from the $2 billion credit facility. It is not uncommon for NBA owners to borrow from the league’s credit facility, largely because of favorable interest rates. A total of 19 teams in the league did just that last year. Moreover, borrowing from the facility does not necessarily indicate a team is in financial trouble, although Kohl has said, without providing specific details, that the Bucks have been losing money for years. Kohl’s disclosure form also indicates that a 2003 loan from the league matured last year.”