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outlining our tv deal

carbonpoke

Well-known member
did some digging around, found the original values and timeframe for the contract.

it was signed in 2006. its a ten year contract, renegotiations possible in the 2015-2016 year.

value is $120 million. pending on how many teams are in the conference, we get to split 12 million per school per year.

the hair attempted many different tactics to kill the contract including killing the mountain tv channel. which actually dropped the payout a little, but allowed teams to negotiate there teir 3 game (i think).

we are currently a 10 team league, and next year we would be the same with san jose and and utah state coming in.

k... that being said. we are not going to be able to change the valuation until the contract expires... however the hair stated that if we can get a championship game, cbs would talk. meaning there is more value due to the fact that an extra game is on schedule, which would have higher viewership throughout the conference. Im thinking if we can add two teams like tulsa and utep, hopefully cbs would increase total payout from $120 million to 125-130. by adding an extra two schools we would lose money off the original contract but the championship game would help balance it out.

next... we have to remember that when we signed the contract in 2006, we kinda broke ground for the landscape. and we really got hosed. in 2015, the market value is going to be inflatted from other current contracts. we really don't need to worry about market value and penetration until then.

looking at 2015 though, i believe we will probably see an average payout per team around 5 mil per team, due to the fact that our conference would have a championship game in place.

all of this is a maybe anyway, because we have no current news about expansion other than that we are seeking to expand.

so our payouts are around 1 mil per school, and will be about that through 2015. as long as the conference doesn't dissolve and can keep membership stability after the defectors leave, our ability to negotiate should be more powerful than what the big east is currently experiencing. their timing is absolutely horrible. to be going through membership instability as they negotiate is going to worsen their ability to lock up sound dollars. i wouldn't be suprised if they got forced to sign an extended contract with a backloaded dollar, and stipulations about decreased dollars if more members leave.
 
and remember this. when we originally signed the contract... we were either an 8-9 team league. we were able to get a 120 million for far less markets than what we could be sitting at in 2015. when our contract expires, just the fact that we have more institutions will increase the payout.

60-80 million for big east... lol and the big east thinks it will see those dollars divided up equally over the contract's lifespan. good luck.

think of member stability as a credit report for Big T.V. investors. who in their right mind would sign over that amount of money too a conference that has shown poor management. every passing day that the big east doesn't sign these contract offers, its going to get worse. desperation leads to bad deals.

the real business minded folks at san diego and boise have to be squirming a little.
 
I'm pretty sure they are gone. Pride is now a part of the equation. The payout is still more for them and the 'change' will generate a little excitement for a year or two.

By the way, thanks for digging into this carbonpoke.

I hope you are right on the 5 million number. However, I also wonder if the networks aren't getting down to the bottom of their cash barrels?

Something that Aresco said is very interesting. I'm going to start a new post about it to see what others think.

Again, thanks for looking into this.
 

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