Cardinals' Off-Season Preview With The Lockout Looming

[Cheesebeef]

As far as your last statement is concerned, the Bidwill's didn't sell this business when they were barely breaking even every year. Why would they even entertain that thought now that they have a viable NFL franchise?

where in the world do you get the idea that the Bidwills were ever just "barely breaking even every year?" TV contracts and revenue sharing alone put pretty much EVERY team in the black, especially those teams who spend the least amount of money to put garbage products on the field.

 

[slanidrac16]

where in the world do you get the idea that the Bidwills were ever just "barely breaking even every year?" TV contracts and revenue sharing alone put pretty much EVERY team in the black, especially those teams who spend the least amount of money to put garbage products on the field.

I agree with you.

I looked up the television revenue from the networks (CBS< FOX< NBC>ESPN) and if those figures are right each team received 637.5 M from the start of the contract which runs through 2011. Espn runs through 2014. That's not counting DirecTV. That's also not counting what NFL Network brings in.

I can put this whole lockout problem in a nutshell. The recession has deflated earnings for the owners but the salary cap has remained the same or has gone up. Thus the players share by pct. has gone up. The owners could not foresee when the economy was going to turn around, if ever, so they opted out of the CBA thus taking control of what they WANTED to spend on salaries.

I still have a problem with the players "share" because nobody seems to be able to define the share of WHAT. I doubt that the players share of 59.1% is a share of EVERYTHING that being tv revenue, luxury boxes, ticket sale, parking, consession and fan gear.

Does anybody know?

 

[40yearfan]

where in the world do you get the idea that the Bidwills were ever just "barely breaking even every year?" TV contracts and revenue sharing alone put pretty much EVERY team in the black, especially those teams who spend the least amount of money to put garbage products on the field.

I'm talking about when they were in St. Louis Cheese. Those were some lean years.

 

[LoyaltyisaCurse]

And if you were running this business for a board of directors, you would get fired immediately with that attitude.

ROI is what it is all about 40... Yes, a billion dollar asset, but its not like its a 1 billion dollar liability.

Making NET profit in the tens of millions for one single entity is more than acceptable every year IMO.

The TV revenue alone is enough to cover the salary for the players for 4-6 years...

Its not like the Cardinals are a HUGE business like, say, Chevron.

For the most part, the Cardinals are a niche market and dont have the national appeal of the "Name Brand" teams, so that kind of profit does quite well for the owners.

 

[40yearfan]

ROI is what it is all about 40... Yes, a billion dollar asset, but its not like its a 1 billion dollar liability.

Making NET profit in the tens of millions for one single entity is more than acceptable every year IMO.

The TV revenue alone is enough to cover the salary for the players for 4-6 years...

Its not like the Cardinals are a HUGE business like, say, Chevron.

For the most part, the Cardinals are a niche market and dont have the national appeal of the "Name Brand" teams, so that kind of profit does quite well for the owners.

LIAC, at least you said IMO. Any astute businessman is going to look at a profit to net worth ratio when planning a budget and shoot for a percentage thereof.

Believe me, Mike Bidwill is an astute businessman. He knows he has to win to keep the dollars rolling in. I'm sure he won't be as kind as Mr. B was to his employees when it came to winning or losing. He won't be throwing money away, but he will spend what is necessary to have a winning franchise.

That's why going back to the old "Bidwill's are cheap" argument is no longer valid. It takes huge dollars to run an organization like this and the owners finally have the capital available to do so. They will not easily give that up and go back to the old days.