ChevyVanMiller Posted October 6, 2014 Share Posted October 6, 2014 Saw this little nugget in Peter King's MMQB. With the $30 mil the Bills currently clear, it means he should recoup his $1.4 Billion purchase price in 26 years. Not too shabby... http://mmqb.si.com/2014/10/06/nfl-week-5-peter-king-monday-morning-quarterback/ Quietly, every franchise in the NFL just improved its bottom line by $24.2 million a year, without any effort whatsoever. The new deal the NFL signed Wednesday with DirecTV, an eight-year contract worth a minimum of $12 billion (I hear it’s slightly more than that) beginning in 2015, is an increase in rights fees for satellite TV from $1 billion to $1.5 billion per year. That $500-million-per-year increase nets out to $15.6 million per team. Add to that the new $275 million this year from CBS for doing the Thursday night package ($8.6 million per team) and you’ve got $24.2 million a year more in found money for NFL teams from TV revenue alone. (To be clear, the DirecTV contract starts in 2015, and the $275 million will certainly be the floor that the NFL accepts from whichever network does the Thursday night package in 2015.) Link to comment Share on other sites More sharing options...
Deranged Rhino Posted October 6, 2014 Share Posted October 6, 2014 If Pegula gets them a Lombardi, he'll have bought a printing press rather than a team. GO BILLS!!! Link to comment Share on other sites More sharing options...
Bocephuz Posted October 6, 2014 Share Posted October 6, 2014 If Pegula gets them a Lombardi, he'll have bought a printing press rather than a team. GO BILLS!!! Hmm... that makes his annual return on investment look a lot better. Before the estimate was for him to make about $50 mil/ year ... ( which equates to 3.5% return on a 1.4 bill investment) .. if he is making $75 mil/ year ROI is 5.35% ... not bad Link to comment Share on other sites More sharing options...
eSJayDee Posted October 6, 2014 Share Posted October 6, 2014 Saw this little nugget in Peter King's MMQB. With the $30 mil the Bills currently clear, it means he should recoup his $1.4 Billion purchase price in 26 years. Not too shabby... Actually, that's a quite poor ROI. But, as has been said before, you don't buy an NFL franchise as an investment. Link to comment Share on other sites More sharing options...
ChevyVanMiller Posted October 6, 2014 Author Share Posted October 6, 2014 Actually, that's a quite poor ROI. But, as has been said before, you don't buy an NFL franchise as an investment. Well don't forget the value of the franchise will still grow, as well. The TV contracts in 5-10 years will make another jump forward. All in all, it's still a nice investment, even with the overpay on the estimated value. Link to comment Share on other sites More sharing options...
Tyrod's Tailor Posted October 6, 2014 Share Posted October 6, 2014 Well don't forget the value of the franchise will still probably grow, as well. The TV contracts in 5-10 years will make another jump forward. All in all, it's still a nice investment, even with the overpay on the estimated value. Fixed it for you. We don't know that, as likely as it seems today. Link to comment Share on other sites More sharing options...
filthymcnasty08 Posted October 6, 2014 Share Posted October 6, 2014 Good for Terrence - he gotta eat too! Link to comment Share on other sites More sharing options...
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