15 bombshell revelations from the Senate investigation into the PGA Tour/PIF deal

jimmy-dunne-and-ron-price-testifying-in-court

A three-hour court hearing and 276 pages of emails, proposals and WhatsApp messages has revealed the true nature of the framework agreement between the PGA Tour and Saudi’s Public Investment Fund.

From LIV’s ambitious plans for Tiger and Rory to the PIF Governor’s outlandish request for a membership at Augusta National and the R&A, these are the main takeaways from the fraught negotiations and what the future holds for men’s golf.

The PGA Tour faced financial ruin

PGA Tour COO Ron Price admitted under oath that they had no choice but to unite with the Public Investment Fund (PIF) because of the litigation, which he claims “was threatening the very survival of the PGA Tour” and was unsustainable”.

The original purpose of the Framework Agreement was to end litigation

This is where things get a little messy. PGA Tour board member and powerbroker Jimmy Dunne claims that the Tour messed up the messaging of the alliance. “The only deal reached in the framework is that the lawsuits among the parties has been settled,” he told the Senate. “Everything else is aspirational.”

Senator Richard Blumenthal, who chaired the panel, made an impassioned plea to the PGA to decline the deal, saying that they “still have the choice to stand up against sportswashing”. Dunne had earlier cast doubt on the deal, saying that it was “possible we will not come to an agreement” with LIV.

The PGA Tour and PIF are not entering into a merger

Both Price and Dunne are adamant this is not the case, despite claims to the contrary in the initial press release. Under the terms of the agreement, the PGA Tour will retain “full decision-making authority”, with the PIF contributing to the new for-profit entity – called NewCo in the framework agreement – as a non-controlling, minority investor.

The PGA Tour are set to receive a $1 billion windfall

The PIF have remained tight-lipped about how much money they plan to invest into the new entity, but Dunne revealed in Senate that the figure is “north of $1 billion”.

A Ryder Cup style event for men and women has been discussed

Under a page entitled ‘Proposals for Consideration’, the PIF laid out plans for a “large-scale superstar team global event”, featuring players from the PGA Tour, LIV Golf, and the LPGA. Their proposal includes 16 team captains with qualifying tournaments in Saudi Arabia and a live televised NFL-style draft. 

The next point also raised the possibility of having national teams, though their example of having “4 x US teams including Rory and Tiger (if fit)” has one major flaw in it.

The PIF want Tiger Woods and Rory McIlroy to captain a LIV Golf team and to play in at least 10 events per season

This won’t happen, but we like their ambition. They also want Saudi Aramco to sponsor two high-profile PGA Tour events, including one in Saudi Arabia.

Rory met the PIF Governor in Dubai last year

Despite Rory’s open hostility towards LIV, the Irishman did agree to a meeting with Yasir Al-Rumayyan in November 2022. Among the main talking points included an IPL-style team event in the fall, culminating in a revived World Cup of Golf, as well as co-sanctioned regular PGA Tour tournaments which would be designated as an Aramco Series. The rendezvous was described as “very cordial and constructive” in documents.

Greg Norman’s days are numbered

PGA Tour officials requested a side agreement specifying that Norman and UK-based PR agency Performance54 would not be retained by LIV Golf following the execution of the framework agreement.

Ultimately, the agreement was never signed, but in an address to the policy board, Monahan claimed that “Greg Norman will be reassigned to an advisory role determined by PIF when the PGA Tour becomes the manager of the LIV Tour”.

Yasir Al-Rumayyan wants a Green Jacket

Incredibly, the PIF’s lawyers actually put forward this request as part of the first round of proposals. They asked for memberships of the R&A and Augusta National for His Excellency, in addition to him becoming a director of the International Golf Federation, a position which is jointly held by Monahan and Keith Pelley, among others.

Jay Monahan will determine the fate of LIV Golf

Contrary to what LIV’s players have been told by Greg Norman, the 2024 season will only go ahead with Monahan’s say so. NewCo’s board, acting on Monahan’s recommendation, will be granted full control in determining the future of LIV Golf if the deal goes through.

The PIF, on the other hand, has no decision-making authority with respect to LIV’s future, albeit they have offered to make two LIV teams available for PGA Tour players.

The PIF have called for LIV golfers to receive World Ranking points, backdated for the 2022 and 2023 season

The PIF want a lot of things for LIV Golf, but this was one of the foundational terms listed for compromise in a slide show, titled ‘The Best of Both Worlds’. They also asked for full PGA Tour status to be restored, in addition to the Ryder and Presidents Cups, and for LIV players to receive unfettered access to Majors, as per normal qualifying criteria.

Another clause requested automatic qualification into all four Majors next season, based on the top 24 players in this season’s LIV standings. Crucially though, none of the above made it into the final framework.

Jimmy Dunne and Ed Herlihy could head up LIV Golf

An email written by PGA Tour board member Ed Herlihy to Dunne noted that Monahan “really liked” the idea of the pair “overseeing” LIV. However, on June 2 – four days before the announcement ­– Dunne expressed a desire to wait until a more definitive agreement was reached. Watch this space.

The framework agreement was heavily edited by both sides

We counted eight revisions over a two-week period, with both sides adding and removing various clauses. The most eye-catching from the first draft, prepared by the PGA Tour, was how the Tour would immediately become the manager of all of PIF’s golf-related investments, “including LIV and the Asian Tour”. This section was eventually removed.  

The Tours won’t say a bad word against each other

The PGA Tour have agreed to a non-disparagement clause that prevents the tour from saying anything negative or critical of Saudi Arabia. In return, LIV promised to stop poaching their players, though this clause has now been dropped from the agreement following the Justice Department inquiry.

In explaining the decision, the PGA Tour said they “consider it unnecessary in the spirit of cooperation,” though another reason might be that antitrust experts warned that the clause could violate federal law if it was seen to threaten the integrity of the labour market.  

Norman and Yasir Al-Rumayyan may be subpoenaed to appear in court

Scheduling conflicts may have prevented their testimony in court on July 11, but they may not be in the clear yet. Senator Blumenthal expressed his dissatisfaction with how incomplete the hearing was and said it was within their power “to seek testimonies from foreign nationals under some circumstances, such as their doing business in the United States or other ties that enable us to reach them.

Monahan was also absent from the hearing due to ill health, though he will return to work on July 17.

About the author

Michael Catling
Today’s Golfer Features Editor

Michael Catling is Today’s Golfer‘s Features Editor and an award-winning journalist who specializes in golf’s Majors and Tours, including DP World, PGA, LPGA, and LIV.

Michael joined Today’s Golfer in 2016 and has traveled the world to attend the game’s biggest events and secure exclusive interviews with dozens of Major champions, including Jack Nicklaus, Jordan Spieth, Tom Watson, Greg Norman, Gary Player, and Justin Thomas.

A former member of Ufford Park and Burghley Park, Michael has been playing golf since he was 11 and currently plays off a handicap of 10.

Away from golf he’s a keen amateur chef and has his own healthy recipes website. He also loves playing squash, going to the gym, and following Chelsea FC.

Michael uses a Ping G driver, Ping G 3-wood, Ping G Crossover 3-iron, Ping G Series irons (4-PW), Ping Glide wedges (52º, 56º, 60º), TaylorMade MySpider Tour Putter, and Srixon AD333 golf ball.

Get in touch with Michael via email and follow him on Twitter.