As noted earlier, the XFL has filed for bankruptcy. You can click here to read the bankruptcy filing that also reveals that WWE did indeed have ownership in the league.
The XFL issued the following statement to TMZ:
“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.”
The bankruptcy statement is the final nail in the coffin for the league. Vince McMahon planned on investing $500 over the next three years with the hope of getting a paying TV deal. Clearly, with the coronavirus affecting every business, networks will be less likely to sign new large-scale TV contracts.
League sources told TMZ that the coronavirus pandemic caused the league to lose “tens of millions in revenue” since they were not able to go forward with the rest of the regular seasons and playoff games.
TMZ was told that XFL employees were paid up until April 12. The bankruptcy essentially takes them off the hook for any future payments. Head coaches Bob Stoops ($1,083,333.33), Mark Trestman ($777,777.78), Jonathan Hayes ($633,333.33), Winston Moss ($583,333.33) and others were among those listed as creditors.