The USADA letter in full

[benzwire]

My hope is he tries to take down the UCI with him.... that would be fun.

His legal options are scarce. Surpreme Court would be awesome. I'm sure they'd be a way to get Grand Jury testomoney unsealed for that one!

He's biggest fight is his bank balance. He literally has no money left and worse still no form of stable income.

At bare minimum, he owns a successful shop on Austin. He has other business ventures (Nike, Honey Stinger, etc) that aren't dropping him. He can still draw a speaking fee, even after all this crap. Sure his earning power will be diminished, but I wouldn't say the guy can't make a buck.

 

[andy1234]

If you replace "observant" with "ignorant" you will hit your mark.

I'm going to guess I spend a lot more time in your country than you spend in anyone else's?

 

[ChewbaccaD]

I'm going to guess I spend a lot more time in your country than you spend in anyone else's?

I would bet you do to. But I've traveled all over the world, and seen many xenophobic ****wits like you, so don't pretend to have some special insight. You don't. But nice way to pretend ignorant prejudice is a superior form of human insight.

Funny, you love the stereotypical "ugly American" in Armstrong, but hate the country? I think there is some serious self-loathing going on. You can leave the money for the psychotherapy with my secretary.

Toodles!

 

[andy1234]

I would bet you do to. But I've traveled all over the world, and seen many xenophobic ****wits like you, so don't pretend to have some special insight. You don't. But nice way to pretend ignorant prejudice is a superior form of human insight.

Funny, you love the stereotypical "ugly American" in Armstrong, but hate the country? I think there is some serious self-loathing going on. You can leave the money for the psychotherapy with my secretary.

Toodles!

Thanks for the advice, but I think I'm talking to the stereotypical "ugly American", unable to take criticism about any part of their culture.
Otherwise why would you take so much offence?

What is definitely stereotypical is the way you think every sentence should be punctuated by the word Armstrong. A nation obsessed with the man, for good or bad, just can't see that the rest of the world doesn't feel so embarrassed by it all.

I also don't have any special insight. I just have more than you.

 

[Race Radio]

I'm going to guess I spend a lot more time in your country than you spend in anyone else's?

Chewie is right, you are wrong, get over it.

Yes, I lived in your country for 3 years, as well as close to a dozen others. Travel internationally 4-6 times a year.....does that qualify me to state the obvious?

 

[andy1234]

Chewie is right, you are wrong, get over it.

Yes, I lived in your country for 3 years, as well as close to a dozen others. Travel internationally 4-6 times a year.....does that qualify me to state the obvious?

Who's talking to you?

 

[Susan Westemeyer]

Stop it now. Suspensions are just waiting to be handed out.

Susan

 

[thehog]

At bare minimum, he owns a successful shop on Austin. He has other business ventures (Nike, Honey Stinger, etc) that aren't dropping him. He can still draw a speaking fee, even after all this crap. Sure his earning power will be diminished, but I wouldn't say the guy can't make a buck.

Honey Stinger, please. He has an investment in Honey Stinger. They're not paying him.

Speaking fees? Sure. I said stable!

He's not actually that wealthy. The selloff has already begun.

 

[joe_papp]

Don't know quite where else to put this. Interesting sports editorial in the NY Daily News.


"Armstrong has done something more than destroy his own mythology:

He has effectively destroyed the sport that made him rich and famous.

Cycling now makes pro wrestling look serious, and should be banned from the Olympics immediately."

http://www.nydailynews.com/sports/m...andal-lebron-james-decision-article-1.1097137

Bet we'll see a lot more like this.

Why don't you repost this in the "reactions from the pro peloton" thread? There have been so few reactions from athletes that we've posted reactions from other stakeholders in the sport, and other media figures. I'd be fine w/ seeing that thread become a repository of official commentary on the #USPSConspiracy, just so the thread doesn't get derailed w/ posts not strictly related to documenting the reactions or clarifying or requesting a reaction, etc... Others may feel differently.

http://forum.cyclingnews.com/showthread.php?t=17476

 

[joe_papp]

Legal Insurance?

I thought he had sold the Gulfstream??

It seems like even with the attorney's bills he still has a bundle that is not touched...his sponsors are still standing by him for the moment so can not imagine that his paychecks have dried up yet.

Would Armstrong have taken out something like an insurance policy that would pay x-amount of his legal fees if he'd been indicted or charged by USADA? I know policies like that are available to corporate directors, but perhaps LA would've been uninsurable in this regard?

Have there been any reliable estimates of his expenditures on legal fees thus far? Vs. his income (which I thought was $20 million in 2010 or 11 in just salary and endorsements [never mind investment income])?

 

[Anonymous]

Would Armstrong have taken out something like an insurance policy that would pay x-amount of his legal fees if he'd been indicted or charged by USADA? I know policies like that are available to corporate directors, but perhaps LA would've been uninsurable in this regard?

Have there been any reliable estimates of his expenditures on legal fees thus far? Vs. his income (which I thought was $20 million in 2010 or 11 in just salary and endorsements [never mind investment income])?

Nope.

Professional Liability, E&O, D&O, EPLI works for things like wrongful termination, sexual harrassment, mistakes during the course of your profession (think medical malpractice)...

Nothing protects from fraud and I'm quite sure that's how a D&O claims handler would view Armstrong's situation.

 

[Microchip]

Originally Posted by mewmewmew13

It seems like even with the attorney's bills he still has a bundle that is not touched...

Exactly. Is he rich like King Midas? He's been hiring an army of high-ranking lawyers, "donating" all over the place and still has money??!?!

 

[DirtyWorks]

At bare minimum, he owns a successful shop on Austin. He has other business ventures (Nike, Honey Stinger, etc) that aren't dropping him. He can still draw a speaking fee, even after all this crap. Sure his earning power will be diminished, but I wouldn't say the guy can't make a buck.

Sanity check for you:
-Bike shops are a hobby/break-even affair. No one is killing it.
-Food business is tough, especially in the very crowded "energy snack" category. Definitely not killing it there.
-LivesWrong.com Bucket shop.

None of those is going to pay the legal bills and keep the kids in soccer camp and the moms in new SUV's.

Appearance fees probably can collect fat checks. Some of his sponsors are sticking with him for now too. We also don't know if Wiesel and others are contributing to the Lance Fairness Fund. Without Tri appearances though, he doesn't have a strong future revenue to bankroll a Fabiani-class legal assault.

I think the legal fees can wear him down. Not next year, but years down the road which is how long I think this will grind on.

 

[Deagol]

..... Some of his sponsors are sticking with him for now too. ......

Totally disgusted with Nike & Oakley

 

[patricknd]

Nope.

Professional Liability, E&O, D&O, EPLI works for things like wrongful termination, sexual harrassment, mistakes during the course of your profession (think medical malpractice)...

Nothing protects from fraud and I'm quite sure that's how a D&O claims handler would view Armstrong's situation.

looked into it for yourself?

 

[patricknd]

Can you give some examples of this? I don't recall him stating anything about taking the sport down.

it's like the story about the hook hand...

 

[Kennf1]

Nope.

Professional Liability, E&O, D&O, EPLI works for things like wrongful termination, sexual harrassment, mistakes during the course of your profession (think medical malpractice)...

Nothing protects from fraud and I'm quite sure that's how a D&O claims handler would view Armstrong's situation.

Actually, a typical E&O policy does pay to defend a fraud claim-- it just won't pay any judgment on such a claim.

 

[thehog]

Sanity check for you:
-Bike shops are a hobby/break-even affair. No one is killing it.
-Food business is tough, especially in the very crowded "energy snack" category. Definitely not killing it there.
-LivesWrong.com Bucket shop.

None of those is going to pay the legal bills and keep the kids in soccer camp and the moms in new SUV's.

Appearance fees probably can collect fat checks. Some of his sponsors are sticking with him for now too. We also don't know if Wiesel and others are contributing to the Lance Fairness Fund. Without Tri appearances though, he doesn't have a strong future revenue to bankroll a Fabiani-class legal assault.

I think the legal fees can wear him down. Not next year, but years down the road which is how long I think this will grind on.

I think for a long time he "appeared" wealthy. Having Livestrong fund his consultancy work to Livestrong helps but there's a lot of money going out and not a lot coming in.

Right now I would imagine he's structuring his finances in brace to pay out civil suits. Take SCA for example. They could draw out a suit for months which would kill him in legal fees. He'd just settle that one. Not worth the fight.

He'll have to start putting property in family and partners names and move other assets around.

He’s recently invested in tech funds and companies. It’s a good way of keeping money off asset values as its not realised.

Demand Media was a pump and dump effort and he sold a mass amount of shares after IPO. That will cause further problems with the IRS when Demand goes under – any one seen their balance sheet? My god.

 

[Polish]

Lance's Mom has done really well for herself too. Another real rags-to-riches story right there. Lance is rightfully proud of Mom. And if Lance blows through his few hundred million dollars - he and his kin can always go live with Mom. She would love to have them I'm sure.

Although I would think Lance has donated more to LiveStrong over the years than he has ever spent on lawyer fees. Lots more. Millions and Millions. I doubt Lance would EVER stop donating. Always money for that. He will scrape and scurry for that money. Collect bottles to recycle even.

 

[MacRoadie]

. Collect bottles to recycle even.

If he's willing to smash cans, he's more than welcome to come over to my garage and help himself. As long as he doesn't touch the bikes. It's not about the bikes.

 

[Anonymous]

Actually, a typical E&O policy does pay to defend a fraud claim-- it just won't pay any judgment on such a claim.

Common exclusions from E&O are fraudulent and criminal behavior.

At most an insured may get defense. If fraud is proven he/she may not get even that.

 

[MarkvW]

If he's willing to smash cans, he's more than welcome to come over to my garage and help himself. As long as he doesn't touch the bikes. It's not about the bikes.

Now that was funny!

 

[zigmeister]

Where does USADA get their funding? I know some if via federal grant, what are their financials and situation?

Lance might have more money than them to burn and waste on this case then they do.

Financial documents showing funding sources and how would be helpful.

They are not a government entity, so they have no authority to really do anything legally in the US. Anything they have control over are voluntary and compulsory in nature.

 

[Cal_Joe]

Where does USADA get their funding? I know some if via federal grant, what are their financials and situation?

Lance might have more money than them to burn and waste on this case then they do.

Financial documents showing funding sources and how would be helpful.

They are not a government entity, so they have no authority to really do anything legally in the US. Anything they have control over are voluntary and compulsory in nature.

You can find the most recent annual report at the USADA website - http://www.usada.org/annual-report

The last sentence of your post is, to put it politely, not quite correct.

 

[Hugh Januss]

You can find the most recent annual report at the USADA website - http://www.usada.org/annual-report

The last sentence of your post is, to put it politely, not quite correct.

I was still trying to work out the voluntary and compulsory bit myself.
It is also not completely an untrue statement either, since if Lance announced this morning that he was done with all competitive sports and he didn't care whether or not his 7 tour wins or any few of them were vacated and he was off to spend the rest of his days on his ranch, there wouldn't be much USADA could do beyond that point. SCA, US Justice, might be different stories.