# How much is Mattress Mack going to lose?



## stammster - temporary (Jul 20, 2009)

Mattress Mack must be crapping his pants.


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## scwine (Sep 7, 2006)

What did he do? I need a back story I guess.


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## iridered2003 (Dec 12, 2005)

nothing to compared to what he made. think about it.


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## stammster - temporary (Jul 20, 2009)

If Seattle wins, everyone who bought more than $6k worth of furniture during the promotion get their money back.


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## poppadawg (Aug 10, 2007)

What if Denver won or was it only Seattle?


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## BCSurf (Jul 13, 2011)

The way I understood it this year, Mac says the broncos win. If seattle wins and you bought $6k worth of furniture its free. If denver wins, you dont get your refund. I have two friends that did it


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## StinkBait (May 31, 2004)

Seattle only, for sure he is insured against this. And what ever number he says he loses divide that by 3, furniture is marked up like diamonds. 

Sent from my SAMSUNG-SGH-I747 using Tapatalk


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## Haute Pursuit (Jun 26, 2006)

StinkBait said:


> Seattle only, for sure he is insured against this. And what ever number he says he loses divide that by 3, furniture is marked up like diamonds.
> 
> Sent from my SAMSUNG-SGH-I747 using Tapatalk


 At least by 3.


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## HoustonKid (Dec 29, 2005)

He paid back over $600,000 for the NFC/AFC games.


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## Jolly Roger (May 21, 2004)

If Mac is giving a full refund, then he is going to loose a LOT of money. 

Would think he would have done like 60% refund, credit toward future purchase, or something of that nature so he would not take such a loss. Extremely bad business decision, no way you want to set yourself up for a 100% loss.


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## poppadawg (Aug 10, 2007)

StinkBait said:


> Seattle only, for sure he is insured against this. And what ever number he says he loses divide that by 3, furniture is marked up like diamonds.
> 
> Sent from my SAMSUNG-SGH-I747 using Tapatalk


Huge promotional value.


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## dwilliams35 (Oct 8, 2006)

Jolly Roger said:


> If Mac is giving a full refund, then he is going to loose a LOT of money.
> 
> Would think he would have done like 60% refund, credit toward future purchase, or something of that nature so he would not take such a loss. Extremely bad business decision, no way you want to set yourself up for a 100% loss.


 I really, really, really, really wouldn't make any assumption that Mac wouldn't have this all figured out beforehand. He'll make a killing no matter what happens. He's been playing this game too long to get caught with his pants down..


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## Jolly Roger (May 21, 2004)

dwilliams35 said:


> I really, really, really, really wouldn't make any assumption that Mac wouldn't have this all figured out beforehand. He'll make a killing no matter what happens. He's been playing this game too long to get caught with his pants down..


We will just have to disagree, no one can make money giving stuff away for free, and paying the wages of the salesmen and labor to deliver it. Insurance will not cover all the loss, not even close.

I have no doubt Mac has made in the past and will make plenty in the future to cover the loss. But this is going to be a loss for him, a big one.


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## Deany45 (Jul 24, 2011)

It's all about advertising for him. Everyone will be talking about it. He would spend the money on commercials, billboards etc anyway. This is "free" publicity and a bunch of it. He knows what he is doing.


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## dwilliams35 (Oct 8, 2006)

Jolly Roger said:


> We will just have to disagree, no one can make money giving stuff away for free, and paying the wages of the salesmen and labor to deliver it. Insurance will not cover all the loss, not even close.
> 
> I have no doubt Mac has made in the past and will make plenty in the future to cover the loss. But this is going to be a loss for him, a big one.


 You're completely discounting publicity: however this is insured, it's got his name back on everybody's tongue, and people in the store.. People pay a lot of good money for just that.. Here we are, during the game in which every 30 second commercial sold for $4m+: what are we talking about now, Go Daddy or Gallery furniture??? How many people actually went through his doors this week who otherwise wouldn't have?

You gotta remember, he did all this LAST WEEK too: publicly said he got stuck for $600K: you really think he's going to bail off into doing it again if he didn't have the game plan down? You're seriously underestimating the guy.


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## poppadawg (Aug 10, 2007)

Deany45 said:


> It's all about advertising for him. Everyone will be talking about it. He would spend the money on commercials, billboards etc anyway. This is "free" publicity and a bunch of it. He knows what he is doing.


Eactly. The furniture probably cost him .25 on the dollar, if that. If he gives away 1 million worth of furniture, will he get 250k worth of advertising from it.? As much as they advertise I would think so.


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## rookie06 (Oct 1, 2005)

He's said before that he doesn't insure it. I heard somewhere that this bath will be in the $3 million range, but not sure how accurate that is.


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## sotexhookset (Jun 4, 2011)

Ill make it simple. In house financing for probably 70% or more people he was able to bring into his locations for this $6000 guarantee if Seahawks win. I'd bet he had a 4-5k silent cap mandate on people that shouldn't be financed anyway on a second or third chance loan. Surprised 5000 or more"customers" with here's a $5000 in store purchase through in house but sorry you didn't qualify for the $6,000 and probably don't have the one or two g to get to six g. People were just happy to get credit and furniture two weeks before having to spend there $8000 they're getting back from Uncle Sam/us. I dont know much but if I were a business man, I'd take a slight chance that the Seahawks would win, have 1000 or so people spend $6000 and refund it with the 5000 or more people I gave a credit line of $5000. And at a 70% margin or more on furniture? Do the math. He made a ton.


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## Paul Marx (Nov 13, 2009)

Will be hand you your $ back ? Or will you get a store credit ?


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## LIVIN (Oct 31, 2006)

He bought an insurance policy for it.

It's the same thing companies do for $1,000,000 hole in one contest or win a truck if you make a basket at half court etc.


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## SeaY'all (Jul 14, 2011)

1.4 million is the number.


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## stryper (Nov 10, 2008)

+ 6k in furniture is only 14-1600 cost

Sent from my phone


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## rookie06 (Oct 1, 2005)

LIVIN said:


> He bought an insurance policy for it.
> 
> It's the same thing companies do for $1,000,000 hole in one contest or win a truck if you make a basket at half court etc.


Not according to this article, but who knows. He'd be crazy not to.

http://www.houstonchronicle.com/lif...man-met-Mattress-Mack-he-insulted-5186805.php


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## dbarham (Aug 13, 2005)

He paid my bro 7050

Sent from my SCH-I545 using Tapatalk


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## dwilliams35 (Oct 8, 2006)

I doubt it was an insurance policy: they deal with odds, too: a hole in one is a pretty easy one, given how rare that is; when you're dealing with the odds inherent in a football game, the policy would cost more than the money you'd get out of it. If it was covered, he just simply sent somebody to Vegas and placed a monster bet on the Seahawks: they weren't favored at gametime, so they'd pay more than the bet.


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## Jolly Roger (May 21, 2004)

reports are MAC lost 7 million on his bet


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## bluefin (Aug 16, 2005)

Wonder what he spent on the GalleryFurniture.com Bowl?
What return did he get for that?

I'm also thinking he moved the good (less marked up stuff) out of the warehouse and stuffed it with marginal furniture fully marked up.
And he gets to write those losses off.
No different than writing off his advertising costs.


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## Super Dave (May 26, 2004)

BCSurf said:


> The way I understood it this year, Mac says the broncos win. If seattle wins and you bought $6k worth of furniture its free. If denver wins, you dont get your refund. I have two friends that did it


don't you have to declare up front or something?


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## patricky (Aug 23, 2011)

TV


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## rookie06 (Oct 1, 2005)

If he was smart he hedged his bet by betting big on Seattle just in case.


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## JamesAggie (Jun 28, 2012)

I assure you Mac did not lose money on this promotion. Don't underestimate him. He definitely had a plan for this scenario.


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## Tortuga (May 21, 2004)

dwilliams35 said:


> I doubt it was an insurance policy: they deal with odds, too: a hole in one is a pretty easy one, given how rare that is; when you're dealing with the odds inherent in a football game, the policy would cost more than the money you'd get out of it. If it was covered, he just simply sent somebody to Vegas and placed a monster bet on the Seahawks: they weren't favored at gametime, so they'd pay more than the bet.





rookie06 said:


> If he was smart he hedged his bet by betting big on Seattle just in case.


Exactly !!!...called hedging or back=betting... SB ads were 4mil/30 seconds. He is getting more coverage than that here locally for essentially nothing.. Nobody is gonna outsmart MMac.....


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## Law Dog (Jul 27, 2010)

News is saying that MAC lost 7 million!


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## Kenner21 (Aug 25, 2005)

Well if the news reported It, it must be true. I'd imagine he had this scenario worked out otherwise he would have offered a pick em. He may have lost millions on paper but I can almost guarantee he made it back elsewhere. Probably worked out to be a huge tax break at the least.


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## Poon Chaser (Aug 22, 2006)

7 million. Just interviewed him

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## stdreb27 (Aug 15, 2011)

Jolly Roger said:


> We will just have to disagree, no one can make money giving stuff away for free, and paying the wages of the salesmen and labor to deliver it. Insurance will not cover all the loss, not even close.
> 
> I have no doubt Mac has made in the past and will make plenty in the future to cover the loss. But this is going to be a loss for him, a big one.


People who do this buy insurance, Here is a good example.

http://profootballtalk.nbcsports.co...hip-paying-out-420000-after-seahawks-shutout/

He's out the insurance money.


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## Jolly Roger (May 21, 2004)

stdreb27 said:


> People who do this buy insurance, Here is a good example.
> 
> http://profootballtalk.nbcsports.co...hip-paying-out-420000-after-seahawks-shutout/
> 
> He's out the insurance money.


in his own words Mac has said he does not insure these bets.

a loss of 7 million is a huge hit. No way he spends that much on those crappy commercials in five+ years, and no way he will make it up with the day or so this will be talked about around town. Tax write off will only be a small % of the loss. It is a huge loss no matter how you cut it.


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## willyhunting (Apr 21, 2006)

Jolly Roger said:


> in his own words Mac has said he does not insure these bets.
> 
> a loss of 7 million is a huge hit. No way he spends that much on those crappy commercials in five+ years, and no way he will make it up with the day or so this will be talked about around town. Tax write off will only be a small % of the loss. It is a huge loss no matter how you cut it.


He did not "lose 7 million." His only loss is costs of goods sold. Say that mark up is 65%, his cost was 2.45mm. I'm sure this bet was hedged with some other factor. Whether it be the draw of the event that didn't go with Seattle, those that didn't qualify with their purchase, etc.


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## CAPSIZED (Aug 10, 2004)

He hedged his bet by betting on Seattle in Vegas. He's a winner no matter what. He wants us and IRS to believe he lost. He's a smart shrewd business man.


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## FISHINFOOL87 (Jun 21, 2010)

Mattress Mack won in the long Run trust me!


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## SaltwaterTom (Jun 23, 2013)

Mac will even it out by selling ice to Eskimos and sand to Bedouins. The man is a retail genius. How else could he get 2 guys wearing Gallery Furniture T-shirts on worldwide TV carrying a recliner with an injured American gymnast sitting in it for her post win interview. 90% of our house is Gallery stuff, we don't even bother going anywhere else anymore.


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## neal_murph (Apr 12, 2012)

It will all be a tax right off. He won't lose anything...


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## Big Guns 1971 (Nov 7, 2013)

M Mack makes millions and spends millions. This man is about retirement age and trust me he doesn't need to make anymore money than he already has. He will loose about 25% of the 7 mil. Yeah it's a loss but not enough to hurt his company. It's way cheaper for him to do this than to pay for any other advertising. If he wouldn't come out ahead he wouldn't have done it.


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## capt. david (Dec 29, 2004)

Mac is not stupid. This one thread on this site has had over 2600 views!


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## Hullahopper (May 24, 2004)

dwilliams35 said:


> I doubt it was an insurance policy: they deal with odds, too: a hole in one is a pretty easy one, given how rare that is; when you're dealing with the odds inherent in a football game, the policy would cost more than the money you'd get out of it. If it was covered, he just simply sent somebody to Vegas and placed a monster bet on the Seahawks: they weren't favored at gametime, so they'd pay more than the bet.


This is the correct answer.


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## DJ77360 (Jun 10, 2012)

I'll be picking up my $6500 credit to my credit card at the refund party.
Awesome!!!!!
You are reimbursed in the same way that you purchased the furniture.
I think the refund party is March 1st.
I do have to pay taxes and delivery charge.


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## Shallow_Minded (Sep 21, 2004)

A guy here at work bought $15,000 worth of furniture at Gallery last week. He said in order to get the deal you had to buy a minimum of $6000 worth. He also stated when the delivery guys showed up he asked them how Mac could make such a deal, especially if he lost. They said he had everything insured to the max. Mac didn't lose one dime.

All my buddy had to pay was tax so he ended up with $15,000 worth of furniture for only around $700. Not a bad deal.


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## Bocephus (May 30, 2008)

Shallow Minded said:


> A guy here at work bought $15,000 worth of furniture at Gallery last week. He said in order to get the deal you had to buy a minimum of $6000 worth. He also stated when the delivery guys showed up he asked them how Mac could make such a deal, especially if he lost. They said he had everything insured to the max. Mac didn't lose one dime.
> 
> All my buddy had to pay was tax so he ended up with $15,000 worth of furniture for only around $700. Not a bad deal.


The tax should be a little over $1200 but that's still a hell of a deal !


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## Shallow_Minded (Sep 21, 2004)

Bocephus said:


> The tax should be a little over $1200 but that's still a hell of a deal !


Nope not for him, part of the $15,000 was for a $7000 mattress. His doctor wrote him a prescription because of some condition he has so he didn't have to pay the tax on the mattress.


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## Bocephus (May 30, 2008)

Shallow Minded said:


> Nope not for him, part of the $15,000 was for a $7000 mattress. His doctor wrote him a prescription because of some condition he has so he didn't have to pay the tax on the mattress.


Cool....I bet he's sleeping like a baby now !....lol.


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## Shallow_Minded (Sep 21, 2004)

He tells me it's unbelievable. He bought a Dormeo Octaspring, says there's nothing like it in the world.


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## hoosierplugger (May 24, 2004)

Funny, I just think it proves that margins on furniture are way over 50%. If you bought $6k worth of furniture and hedged by betting $3k on the Broncos you'd be guaranteed to pay net $3k for your furniture after the "hedge." You'd get $6k of furniture for $3k.

I'm sure Mack did the same (he'd take Seattle on the bet) and I'm guessing Mack didn't get where he is by selling furniture at break-even. Gotta wonder how much additional furniture Mack moved at smaller than normal margins.


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## 98aggie77566 (Jul 7, 2009)

Mack is one heckuva business man.

I bet he had this pretty well figured out before pulling the trigger.

He will most likely survive this tragedy


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## Bocephus (May 30, 2008)

A wise man will never bet more than he can afford to lose. Mack's no dummy.


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## Gottagofishin (Dec 17, 2005)

Congrats to those that get the refunds. You might check on the income tax implications. Mac's tax write off is your income.

Still a good deal, but you might owe the tax man a couple of grand extra in April 2015.


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## Zeitgeist (Nov 10, 2011)

Not buying that he did not have insurance or some kind of hedge. As has been stated he is a business man's business man. In the early years of my business I would cold call business owners and if you called Gallery Furniture you could actually speak to him. He was an interesting cat!


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## roundman (May 21, 2004)

didnt know there was such a thing

http://en.wikipedia.org/wiki/Prize_indemnity_insurance


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## Jolly Roger (May 21, 2004)

willyhunting said:


> He did not "lose 7 million." His only loss is costs of goods sold. Say that mark up is 65%, his cost was 2.45mm. I'm sure this bet was hedged with some other factor. Whether it be the draw of the event that didn't go with Seattle, those that didn't qualify with their purchase, etc.


Wrong. it is a business, and loss of profit is a loss.

If one day he had 7 million in his bank account and the next he does not. That is a loss of 7 million.



Zeitgeist said:


> Not buying that he did not have insurance or some kind of hedge. As has been stated he is a business man's business man. In the early years of my business I would cold call business owners and if you called Gallery Furniture you could actually speak to him. He was an interesting cat!


He was working the front desk when I bought there last year. I would have thought he would have it insured as well, maybe he does and is just not telling the whole truth. Hedgeing it with a bet is far more risky, and not a good or smart way to cover your loss.


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## donf (Aug 8, 2005)

Mac did not lose 7 million on this, he lost what he paid for the furniture sold during the promotion, his cost of goods sold. Probably 1/3 of the sales figure. 
And he probably had that insured.


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## RRfisher (Mar 5, 2007)

neal_murph said:


> It will all be a tax right off. He won't lose anything...


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## stdreb27 (Aug 15, 2011)

Jolly Roger said:


> in his own words Mac has said he does not insure these bets.
> 
> a loss of 7 million is a huge hit. No way he spends that much on those crappy commercials in five+ years, and no way he will make it up with the day or so this will be talked about around town. Tax write off will only be a small % of the loss. It is a huge loss no matter how you cut it.


Oh **** he did say he self insured.


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## GMTK (Sep 8, 2008)

Made national news. For what the insurance cost him, he's gotten that much worth of free national advertising. He's a very smart businessman.


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## AndrewChief (Aug 17, 2013)




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## sweenyite (Feb 22, 2009)

He probably gives that much away every year. Mac is good people!


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## mstrelectricman (Jul 10, 2009)

I think he's a great guy....heck I know he is.
Our house is packed with his stuff and it's about time to replace some of it.


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## Pier Pressure (Aug 30, 2009)

He had insurance on this and he only refunds up to 6k, if you bought more than you still pay that.
He does not refund taxes, or delivery costs.


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## Gilbert (May 25, 2004)

Pier Pressure said:


> He had insurance on this and he only refunds up to 6k, if you bought more than you still pay that.
> He does not refund taxes, or delivery costs.


he refunds everything minus tax and delivery as long as you bought $6k or more worth of furniture. He explained this himself on the radio every time he was on. He had just sold a guy 35k worth of furniture and he said he would refund the guy the 35k if the Seahawks won. There is a refund party in March. He is holding on to all the money for one month. Just like he did for the AFC/NFC championship games.


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## Blk Jck 224 (Oct 16, 2009)

I won $500 on the Puppy Bowl! :doowapsta


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## capt. david (Dec 29, 2004)

Lets see alot of people don't have 6k to buy furniture. So they finance. If it is financed through Gallery, I am sure the finance company gives him a kick back. He makes some money there. He gets to write off the total of what he lost and I would venture to say the mark up on the furniture purchased was high!


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## Mr. Breeze (Jan 6, 2005)

http://msn.foxsports.com/buzzer/sto...-hook-for-7-million-after-seahawks-win-020314


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## bill (May 21, 2004)

Jim McIngvale is a good man. He has done things in and for Houston for a very long time. He has always been involved in charity. He is working to refurnish 130 USO centers around the world. What is it something like 30+ years of giving away furniture to families at Christmas? He did a fundraiser for The Salvation Army and gave $50K out of his own pocket. What about when he was buying the Grand Champion Steers for the kids?

When I see him on TV (and it's not as much as he used to be on) he is looking a little thin and I fear he is ill. If he wants to do something positive, why not let him? Just enjoy it if your were lucky in buying.


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## Pier Pressure (Aug 30, 2009)

Gilbert said:


> he refunds everything minus tax and delivery as long as you bought $6k or more worth of furniture. He explained this himself on the radio every time he was on. He had just sold a guy 35k worth of furniture and he said he would refund the guy the 35k if the Seahawks won. There is a refund party in March. He is holding on to all the money for one month. Just like he did for the AFC/NFC championship games.


Mack only refunds the 6k like I said. I heard one of his employees on the radio telling this along with someone that bought furniture last week. Anything over the 6k he don't refund.


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## txgoddess (Sep 21, 2007)

Pier Pressure said:


> Mack only refunds the 6k like I said. I heard one of his employees on the radio telling this along with someone that bought furniture last week. Anything over the 6k he don't refund.


That is not correct.

ESPN.com:

"Anyone who spent more than $6,000 and had their furniture delivered by kickoff Sunday would get a full refund if Seattle won. Roughly 1,000 people bought enough to be eligible for the promotion with an average bill of $7,000, and *McIngvale said one customer will get $30,000 back as a result of his big purchase.*"


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## coogerpop (Sep 3, 2009)

Mack is such a good businessman that I'm sure he had it all figured out before he made the offer....you still pay the tax,he only refunds the $6000,he bought the furniture at a far lower price than the sale price....he can probally write off as a promotion the balance,he is getting full use of your money for a month or 2, he gets great publicity out of it....looks like a WIN for Mack.....


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## Rubberback (Sep 9, 2008)

Someone told me he flipped a coin to determine the winner. Guess, Mac likes to gamble. 
I'd also have to say no one likes to loose. I'm glad I didn't bet on that game. It was a terrible super bowl & not too many people thought it would turn out the way it did.


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## Pier Pressure (Aug 30, 2009)

txgoddess said:


> That is not correct.
> 
> ESPN.com:
> 
> "Anyone who spent more than $6,000 and had their furniture delivered by kickoff Sunday would get a full refund if Seattle won. Roughly 1,000 people bought enough to be eligible for the promotion with an average bill of $7,000, and *McIngvale said one customer will get $30,000 back as a result of his big purchase.*"


You might be right. Now I just heard on ch 2 mack didnt have ins on the bet. 
I saw one report that 6k is the max, now I just saw a report that one guy that spent 7k gets all of it back. 
who knows, I didnt buy furniture. Good luck to who ever got it for free.


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## Pier Pressure (Aug 30, 2009)

coogerpop said:


> Mack is such a good businessman that I'm sure he had it all figured out before he made the offer....you still pay the tax,he only refunds the $6000,he bought the furniture at a far lower price than the sale price....he can probally write off as a promotion the balance,he is getting full use of your money for a month or 2, he gets great publicity out of it....looks like a WIN for Mack.....


sure does. Im up in the air about th 6k though. Ive now heard from the media 6K max and full refund.


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## D.L. (Sep 13, 2007)

The sign at the front door Friday night said buy 6k, 10k, 20k whatever if the seahawks win its refunded in full. My wife wanted new bedroom furniture and couches but we couldn't find anything we liked so I suggested something else but she wasn't convinced that a new 75" led tv and a projector system for the media room in our new house was a good bet







... **** it! Should have put my foot down...


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## HunterGirl (Jan 24, 2011)

Hmmmm.....could it be that Mac went to Vegas and legally laid $7 mill on the Seahawks, thereby netting a push or even a gain with his profits?


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## berto (Oct 14, 2004)

I'm sure the markup is huge on furniture, he owns a couple factories so that makes it even cheaper for him. 

He prob lost out a couple million, and coogerpop said he's got some good advertising out of it. 


Also if he can man 7 million in two weeks then just think what kind of jack he makes per year


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## omgidk (Nov 5, 2010)

He does give and do lots of charity and has come a looong way from when he started. 
I was told it was all insured and he didnt lose anything, happens all the time like hole in one cars, harley giveaways ect.... maybe somene from that line of work can chime in.


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## agonzales1981 (Jun 12, 2008)

He said 7 mil was 5% of the yearly revenue. That's a big hit but not for him, Mack wins with all the exposure he's gained.


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## dwilliams35 (Oct 8, 2006)

omgidk said:


> I was told It was all insured, and he didnt lose anything..... it happens all the time, hole in one cars, free bike give aways.... exit thread....


 Again, it's probably not going to be an insurance policy: the game went off with the Broncos being a 2.5 point favorite: I'm not sure just what that would translate to, but that small of a spread would probably end up with, just for argument's sake, maybe a 55% opening chance that the Broncos would win. That means there's a 45% chance that the seahawks would win. Thus, in order to essentially have an actuarial chance of breaking even, the insurance company would have to charge 45 cents for every dollar covered in the policy: plus, let's say another dime for profit and overhead. That 7 million dollar coverage would require something on the order of a four million dollar premium payment by Mac: Thus, he gets three mil net back after having paid the premium, which isn't returned. A four million dollar upfront payment to get three million back to put against a seven million dollar loss? No way Mac's doing it, no way an insurance company is doing it anyway. Their shareholders would go ballistic if they wrote something like that. It's just not something that a for-profit insurance company could legitimately get into, it's beyond the fiduciary responsibilities of the company.. It's just too high a chance of a loss. LLoyd's might do it, but you'll definitely pay out the nose for something like that..

By comparison, a hole in one by an amateur supposedly has the odds of 1:12,500: thus the policy written to cover that or a single person would be much, much cheaper: it's a realistically insurable risk: probably better odds than whether your house will get damaged by a hurricane in any given year.

If there was any coverage on this at all, it had to be a bet: Vegas would take the chance, and if he won his seahawks bet, he'd get his bet back.. Insurance companies don't refund premiums if they have to pay a claim.


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## the hook (Aug 8, 2011)

He was just on Hannity...Said he lost 7.3 mill....Would do it again in a heartbeat...you know that he made money somehow out of this??


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## dwilliams35 (Oct 8, 2006)

the hook said:


> He was just on Hannity...Said he lost 7.3 mill....Would do it again in a heartbeat...you know that he made money somehow out of this??


At the very least, he's got 7.3 mil to write off to promotions, goodwill, whatever else his CPA can come up with..


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## berto (Oct 14, 2004)

Interview I heard he said he didn't buy a policy that it's coming out of his pocket.


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## jamesf888 (May 21, 2004)

i don't thionk he will be able to write it off as a promotion because it was a bet. It will probably be written off as a gaming loss.



james


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## Rubberback (Sep 9, 2008)

HunterGirl said:


> Hmmmm.....could it be that Mac went to Vegas and legally laid $7 mill on the Seahawks, thereby netting a push or even a gain with his profits?


Could be! Good thought.


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## wfishtx (Apr 10, 2006)

Anyone have any ideas on what it will cost those who "won" come tax time next year? 

Will they have to pay income tax on the "winnings" or is the sales tax all that will be required to be paid by the winners?


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## Fishin' Soldier (Dec 25, 2007)

Business men dont get to where he is at, being stupid. Either 7mil was pocket change and worth the publicity or he has ways to cover it. Either way he will win in the end. So does everyone that bought furniture. Im sure he has plenty of advisors that help with big decisions like this.


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## Gilbert (May 25, 2004)

Fishin' Soldier said:


> Business men dont get to where he is at, being stupid. Either 7mil was pocket change and worth the publicity or he has ways to cover it. Either way he will win in the end. So does everyone that bought furniture. Im sure he has plenty of advisors that help with big decisions like this.


I read somewhere that 7mil was 5% of his annual revenue.


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## Fishin' Soldier (Dec 25, 2007)

wfishtx said:


> Anyone have any ideas on what it will cost those who "won" come tax time next year?
> 
> Will they have to pay income tax on the "winnings" or is the sales tax all that will be required to be paid by the winners?


If they pay the sales tax then they shouldent be taxed again.


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## Fishin' Soldier (Dec 25, 2007)

Gilbert said:


> I read somewhere that 7mil was 5% of his annual revenue.


Annual revenue of 140mil? :spineyes::spineyes:


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## wfishtx (Apr 10, 2006)

Fishin' Soldier said:


> If they pay the sales tax then they shouldent be taxed again.


I get they paid sales tax on the furniture when they purchased it, but now that Mattress Mack is giving it to them (i.e. refunding their money) would it not be treated as a "gift" or income and therefore they would be required to pay taxes on it?

The only reason I ask is we once gave a car away at a company function and the winner was required to pay the tax, title, and registration, however he was also given a 1099 and from what I understand had to include the value of the vehicle (i.e. MSRP) as income on his taxes. I remember it because it threw the guy into another tax bracket and he wasn't happy about it.

I assumed this would work the same way, but wasn't sure.


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## Fishin' Soldier (Dec 25, 2007)

wfishtx said:


> I get they paid sales tax on the furniture when they purchased it, but now that Mattress Mack is giving it to them (i.e. refunding their money) would it not be treated as a "gift" or income and therefore they would be required to pay taxes on it?
> 
> The only reason I ask is we once gave a car away at a company function and the winner was required to pay the tax, title, and registration, however he was also given a 1099 and from what I understand had to include the value of the vehicle (i.e. MSRP) as income on his taxes. I remember it because it threw the guy into another tax bracket and he wasn't happy about it.
> 
> I assumed this would work the same way, but wasn't sure.


I am also not sure. Just because we shouldnt have to doesnt mean we dont have to.


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## RRfisher (Mar 5, 2007)

I am sure the winners will have to pay income tax on their furniture award.


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