By Rick Horrow and Karla Swatek
July 23, 2012
“Bust”: Top Five Reasons the Armageddon is Near
1. In their first proposal to the NHLPA, the NHL asked the players union for big concessions in their new collective bargaining agreement. The league reportedly wants the players to drop their cut of gross revenues from 57% to 46%, while redefining “Hockey Related Revenue.” NHL TV partners are beginning to make plans should there be a lockout.
2. Despite the NFL amending its long-time blackout policy, several teams will not take advantage of the relaxed rule. The new policy allows teams to televise games locally as long as 85% of non-premium tickets are sold. The Buffalo Bills, Cleveland Browns, and San Diego Chargers are among teams that won’t ease blackout restrictions.
3. Clothing company Ralph Lauren received sharp criticism from U.S. lawmakers for making in China the uniforms Team USA will wear at the Olympic Opening Ceremonies. In response to the congressional criticism, Ralph Lauren announced uniforms for the 2014 Sochi Games would be made in the U.S.
4. The Big Ten and Pac-12 conferences have called off a joint agreement due to scheduling issues. The two conferences planned to have an annual round-robin football schedule, featuring 12 games per year between their teams. However, since the Pac-12 has nine conference games each season compared to the Big Ten’s eight, four schools refused to schedule the game.
5. The Phoenix Suns this year have no plans to host an outdoor, preseason basketball game at Indian Wells Tennis Garden. The Suns had played a preseason game at Indian Wells every year since 2008, with the exception of last season due to the lockout.
“Boom”: Top Five Reasons that Prosperity is Right Around the Corner
1. ESPN reportedly has agreed to pay $80 million a year for rights to the Rose Bowl, a 167% increase over the $30 million annually the network currently pays. According to sources cited by SportsBusiness Journal, the size of the Rose Bowl deal could push the value for playoffs media rights as high as $600 million for a championship game, two semifinals and four major bowls.
2. Coming off their 2011 Super Bowl victory, the Green Bay Packers set earnings and revenue records for the fiscal year ending March 31, 2012. The team reported $302 million in revenue and $42 million in net profit, and may use the strong financial performance to expand a previously announced $143 million Lambeau Field renovation.
3. The Montreal Canadiens announced plans to build a $175 million skyscraper on the team’s Centennial Plaza. The unit is expected to have 500 condos, nine floors of parking, and a two-story sports bar. Once complete, the 48-floor building will be the tallest on the island of Montreal.
4. The USOC unveiled “The Green Ring,” a sustainability program that will see the governing body work with its corporate partners to adopt environmentally friendly practices. Among the sponsors already participating are Anheuser-Busch, BP, and McDonald’s, with more partners expected to join in the future.
5. New Orleans Hornets top overall draft pick Anthony Davis signed his first endorsement deal, a shoe contract with Nike. Terms of the deal weren’t disclosed. By signing Davis, Nike sponsors all 12 members of the USA men’s Olympic basketball team.
“Hope”: Top Five Reasons That Creativity is the Key to Economic Survival
1. Marvel Entertainment – the creator of comic book characters Spider-Man, Captain America, Iron Man, Hulk, Thor and Wolverine – is teaming with Russell Athletic to release a new line of co-branded college sports apparel. Participating universities include UCLA, Michigan State, and Ohio State. Marvel also has deals with the NBA and the Dallas Cowboys.
2. LOCOG is giving non-Olympic sponsors the opportunity to buy advertising space within venue zones because sales to official sponsors have been slower than expected. The ad space is being offered to companies from the music, film, and theater industries because don’t compete with official sponsor categories.
3. The New York Islanders could end up moving to the Barclays Center when the team’s Nassau County Coliseum lease expires in 2015. Nassau County voters last August rejected a public referendum to build a new arena, and no other proposals appear imminent.
4. The Miami Heat this October will play two preseason games in China. The trip could be advantageous for marketing opportunities since Lebron James and Dwyane Wade are popular in China and the Heat has an existing relationship with Chinese beer company Tsingtao.
5. Now that the Marlins moved into their own stadium, the Miami Dolphins have turned to international soccer as a way to keep Sun Life Stadium busy out of football season. For the 12-month period ending in August, the stadium will have hosted six soccer matches featuring teams such as AC Milan and Chelsea.