Quote:
Originally Posted by Bingo
Haven't seen that specifically no.
But you don't need that to take income from games (tickets, concession, etc) and make them zero. Then look at income from tv and naming rights etc and pro rate them down by the expected games played.
Then compare that to player salaries at 72%.
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Quote:
Originally Posted by Scroopy Noopers
The big item I keep looking at is their typical gate revenue is $1.8billion. So, slashing that by operating without fans seems insane to me. The bubbles in Edmonton and Toronto cost them about $100mil as pointed out in an article a while back. I imagine you scale that up with having multiple cities, but the biggest take away from me is the loss of that gate revenue. So if it’s $300mil or $100mil to run it, neither make sense to me.
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I’m just trying to determine what the actual cost to the league would be as it seems unlikely that that losses would be so high that it would put many teams in jeopardy as has been speculated. Given that burning the last year of the tv deal will result in a pretty big influx of cash next season, with the salary cap frozen for several season it seems unlikely that the league is going to be hurting for very long even if they were to lose some money this season.
I think people forget that when revenues were previously split 50/50 about 20% of that revenue ended up being profit for the owners. That puts the previous costs to run the league after player salaries at around $1.5B. How much of that is being saved by not having to staff arenas for games, less travel etc? The players are already giving up an additional $0.7B in salary so a rough estimate of what the league would be paying if they were still paying event staff would be around $3.3B, roughly the revenue previously generated outside of the league’s broadcast rights. Again I’m just trying to figure out what people are basing their argument that teams would have to fold under the current structure on.