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Old 04-20-2018, 02:10 PM   #228
getbak
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Location: Calgary, AB
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Quote:
Originally Posted by Enoch Root View Post
Actually, they are 20 oz, so 99 cups, assuming no waste - or $3.43 per cup (using your math)

More importantly, beer is part of HRR, so half of the price goes to the players. So $3.43 cost (before labour and other items) and $5 revenue.

I'm not suggesting they are losing money or anything, but the HRR split took much of the profit out of liquor and food sales for the teams.
The HRR on concessions is calculated net of direct costs, including product costs and employee wages. The players' share on a $10 beer isn't $5. It's half of the net revenue from selling that beer.

Quote:
Concessions: All revenues received by a Club or a Club Affiliated Entity derived from the sale of concessions, including any restaurant owned by a Club or a Club Affiliated Entity, in NHL arenas or on any street that is adjacent to the arena, on days on which that Club's NHL hockey games or NHL events take place, for such NHL game or NHL event (all such revenues net of Direct Costs, including, without limitation, product costs, and vendor and food-preparer salaries, but not including any depreciation and/or leasehold amortization expenses from in-house operations, provided, however, that for concessions sales locations operated in-house (as defined in the HRR Reporting Package) or through a Club Affiliated Entity, the Direct Costs relating to such concessions that may be netted against total revenues generated by concessions shall not exceed fifty-four (54) percent per League Year for such Clubs on an aggregated basis). The parties agree that revenues after netting of Direct Costs for concessions shall not be reported as a negative number (less than zero) for any individual Club;
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