Monday, January 31, 2011

NFL finances, as seen through Records air conditioners-New York Times

Packers report is more than a novelty with a view to their play Pittsburgh Steelers in Super Bowl on Feb. 6. Is a result of their being only owned, non-profit publicly in the League, with the 112,158 shareholders about 4.7 million Treasury shares.

Account economic conditioners is a proxy for those do not release the other 31 team owners and is of interest more than usual, because the owners are trying to alter the economy to pay their players in a new employment contract. If you do not agree the League and players Association, N.F.L., owners may block players.

Union officials often talk about team revenue and profit; They want to look at books of each team, but they cannot. The League insists that the Union has the right to control all League team player revenue and costs. But this is not enough for the Union.

In fact, the Packers have a more detailed version of their public statements, but is not available to the Union. George Atallah, Assistant Executive Director, said, "no one offers a thirty-second the information you need to make a business decision."

Financial results for the Packers, he said, adding up to "non-profit make a profit".

In a cartoon on the website of the Union, a lock owner hands a player a slice of Swiss cheese. The owner says: "the financial records called" while you hide a wheel of cheese behind him.

For air conditioners, releasing their financial results is a basic annual ritual.

"This is who we are," said Mark Murphy, President air conditioners. "We have done for years, and there is increasing interest in it when we come to the end of a collective bargaining agreement".

For the League, Packers financial results support its argument that we need to reduce what teams they pay their players. "There is a strong sense that the current agreement went too far out for gamers and it was unilateral," said Murphy.

The Packers earn much less than four years ago. Their operating profit dropped 71% from 34.2 million in the year ended March 31, 2007 (which coincides with the beginning of the current collective bargaining agreement), 3.9 million in the year ended on 31 March. Revenue rose 18 percent in that period to 257.9 million.

The main reason for the profit was sharply reduced player costs (wages and benefits), which has grown in recent years to EUR 160.8 million from $ 110.7 million.

"When your income goes into a recession, should pick up the profits, but they diverge here and that was due to higher costs of player and team," said Marc Ganis, a sports industry consultant.

Murphy said, "our player costs are growing at twice the speed of our revenue is growing."

The Packers are in many ways a healthy company, the most famous in Green Bay, while not as big as local businesses such as American foods group, Georgia-Pacific or Humana. Of course, none of them gets tens of millions of dollars from network TV offerings, as does each team N.F.L ...

Packers reports show that the proportion of money network rosa 95.8 million last year from 84.2 million in 2005. Their cut licensing, merchandising and other domestic revenue jumped to $ 45.8 million from $ 14.5 million.

While local revenue growth has been modest in recent years, air conditioners, sponsorship and advertising revenues pro shop for 43 million (down from 2009 and the peak of 50.2 million in 2008) are approximately equal to all of your income and luxury box tickets.

The Packers are without the sort of debt that some teams accumulate from venues financing or buy their franchise. The Packers partially funded the renovation of Lambeau field that concluded in 2003 with revenues from user fees seat — a form of personal seat licenses — a stock sale and a loan of the League.

"The average team has about 20 million per year of servicing the debt," said Murphy.

Michael Ozanian, Executive Director of Forbes magazine, which teams of values across all major sports, said the Packers were typical of the teams N.F.L. in the layer below the richest, as the Dallas Cowboys, the Washington Redskins, the New England Patriots and the Giants. Forbes has ranked the Packers XIV in value (a $ 1 billion), 15: 27 in revenue and operating income in 2009, well below the Cowboys ' 143.3 million.

Murphy has started in the League as a Redskins safety, he worked for the Union, then moved into management as athletic director Colgate and Northwestern before joining Green Bay in 2008. He knew that fans have had little sympathy for both sides of the dispute, he said.

"My point of view is the average fan sees rich, wealthy owners and players rich, rich and says," I don't like both sides; I just want to see the football, "Murphy said."And everyone is trying to publicly represent their best side. None of us want an interruption of work ".

He added, "I have great respect for what the players come through, so we want to make sure that we treat them fairly".

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