Like Al said, it reads strangely. And as llama said, the first team out would be the worst in the country, the 2nd team out is the 2nd worst team in the country, etc, making the last team out the best team that didn't make the tourney. Doing a quick search, multiple online dictionaries define "next to last" the same way, with Cambridge's definition being "describes the person or thing before the last one." Grammatically it's correct, but when reading it quickly I agree it does sound strange.