Football's Magic Money Tree

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The esk
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Re: Football's Magic Money Tree

Post by The esk » Wed Sep 02, 2020 5:23 pm

Chester Perry wrote:
Wed Sep 02, 2020 1:58 pm
I know he has a lot of respect for our approach, and especially our firm grasp on what we are trying to achieve, commitment to that approach and the fact that everyone is on message and aligned with the thinking - I suspect he favours a more self funded approach (or at least one where the investment is likely to see a return) but does not really have much of an issue with the benefactor approach - he also has fond (understandably) memories of the Mersey millionaires when the club's owner could/would dip into his pocket if he saw fit.
I think we are playing a very dangerous game to be honest. Most of the debt has been accumulated since Moshiri arrived February 2016. Our debt position then was circa £54 million.

The latest figures from Swiss Ramble to end may 2019 include £300 million from Moshiri that has no repayment date and is considered equity. It also includes £228 million of creditors, most of which is trade creditors (£107 million) and accruals and deferred income £59 million. Other loans £37 million were advances on instalments due to Everton from Manchester United re the Lukaku sale now paid off.

Since then Moshiri has provided another £50 million (before calendar year end 2019) and almost certainly has provided more funding given our foray into the market now.

It is a reflection of the appalling recruitment and horrific negotiating of quite ludicrous contracts - complete mis-management - the exact opposite of how your club has been run.
This user liked this post: Royboyclaret

Royboyclaret
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Re: Football's Magic Money Tree

Post by Royboyclaret » Wed Sep 02, 2020 6:44 pm

The esk wrote:
Wed Sep 02, 2020 5:23 pm
I think we are playing a very dangerous game to be honest. Most of the debt has been accumulated since Moshiri arrived February 2016. Our debt position then was circa £54 million.

The latest figures from Swiss Ramble to end may 2019 include £300 million from Moshiri that has no repayment date and is considered equity. It also includes £228 million of creditors, most of which is trade creditors (£107 million) and accruals and deferred income £59 million. Other loans £37 million were advances on instalments due to Everton from Manchester United re the Lukaku sale now paid off.

Since then Moshiri has provided another £50 million (before calendar year end 2019) and almost certainly has provided more funding given our foray into the market now.

It is a reflection of the appalling recruitment and horrific negotiating of quite ludicrous contracts - complete mis-management - the exact opposite of how your club has been run.
Cheers for the response, Paul.......That final paragraph takes the breath away.

Chester Perry
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Re: Football's Magic Money Tree

Post by Chester Perry » Wed Sep 02, 2020 9:06 pm

This is interesting, though I am not sure that it is not as a result of a sponsor change - I suspect the lack of spend on match-going is at play also - Shirt sales up significantly for Everton and Villa and dropping betting company sponsorship - from SportsProMedia.com

Everton and Aston Villa see shirt sales boost after ditching betting sponsors
Toffees see kit merchandise revenue up 60% YoY after dropping SportPesa deal.

Posted: September 2 2020 By: Tom Bassam

- Cazoo-branded shirt also sees Villa get 50% YoY sales increase
- Clubs could see coffers boosted by as much as UK£100k

Two clubs in English top-flight soccer’s Premier League have seen shirt sales go up after ditching principal partnerships with betting brands, according to the OffThePitch soccer business outlet.

Everton and Aston Villa have reportedly seen shirt sales increase a respective 60 per cent and 50 per cent compared to last summer after agreeing separate deals with digital car sales platform Cazoo.

The sales boost, according to OffThePitch, could be worth an additional UK£100,000 (US$133,000) in shirt sales revenue for both clubs.

Everton agree 'UK£10m-a-year' Cazoo shirt sponsorship deal

Everton were previously sponsored by Kenya-based gambling firm SportPesa, but cut that UK£9.6 million (US$12.5 million) a year deal short by two seasons after a ‘comprehensive review’ of their partnerships earlier in 2020. In June they announced Cazoo as their shirt sponsor in a three-year deal worth UK£10 million (US$12.6 million) a year.

Aston Villa, who had a one-year deal with the W88 betting brand worth a reported UK£6 million (US$8 million), followed the Toffees later that month and agreed a two-year, UK£12 million (US$16 million) contract with the company founded by British entrepreneur Alex Chesterman.

When Everton’s latest kit, which is also the first under their new technical partnership with Hummel, went on sale on 3rd July it generated record sales for the club’s online store.

According to Everton’s retail partner Fanatics, just four hours after pre-orders of the club’s new home kit began, sales had surpassed the full opening day figures for each season over the past decade.

According to OffThePitch, Cazoo sees the value in sports sponsorships and has not ruled out similar deals with other clubs.

Premier League clubs will be encouraged by the emergence of a new player in the sponsorship sector given the calls for increased regulation on gambling marketing in English soccer. In July, a House of Lords Select Committee report recommended that shirt sponsorship deals with betting companies be outlawed in the Premier League and that clubs in the English Football League (EFL) should be given three years to phase out such contracts.

Premier League chief executive Richard Masters previously said gambling needs stronger governance, but added it is up to individual clubs whether they want to pursue partnerships with betting brands.

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Re: Football's Magic Money Tree

Post by Chester Perry » Thu Sep 03, 2020 2:30 pm

Chester Perry wrote:
Tue Sep 01, 2020 2:32 pm
There was a tweet doing the rounds this morning that the Chinese broadcaster partner for the Premier League, PPTV owned by Suning Holdings, have started termination proceedings on their existing contract (worth £550m over 3 years 2019-22). Remember PPTV reportedly also withheld a £160m payment due in March 2020. It sparked off a lot of chatter but has since been deleted

This was Simon Chadwick's take at the time

https://twitter.com/Prof_Chadwick/statu ... 6397819904

It has been confirmed that the Premier League's Chinese TV deal has been terminated with immediate effect - from the BBC

Premier League rights: China deal terminated with immediate effect

China was the Premier League's most lucrative overseas television rights territory
The Premier League has terminated its £564m contract with its Chinese licensee with immediate effect.

China was the English top flight's most lucrative overseas television rights territory, with a three-season deal agreed in 2019.

It is understood the reasons for the termination are financial rather than political.

BBC Sport has been told streaming service PPTV withheld its latest payment of £160m, due in March.

In a statement on Thursday, the Premier League said: "The Premier League confirms that it has today terminated its agreements for Premier League coverage in China with its licensee in that territory.

"The Premier League will not be commenting further on the matter at this stage."

PPTV is owned by Suning Holdings, the Chinese group which also has a controlling stake in Serie A side Inter Milan.

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Re: Football's Magic Money Tree

Post by Chester Perry » Thu Sep 03, 2020 2:57 pm

It has taken a while to get over the line but it has now been confirmed that City Football Group have bought French club Troyes - From the Mail

Manchester City's owner group buys TENTH club as they add second-tier French side Troyes to their growing portfolio
- City Football Group have purchased French side Troyes – their tenth club
- Man City's parent company become the new majority shareholder in Troyes
- French businessman Maxime Ray has also acquired a minority stake in the club
- Troyes play in Ligue 2 and finished fourth last season before the coronavirus hit
By PA SPORT STAFF

PUBLISHED: 13:30, 3 September 2020 | UPDATED: 13:41, 3 September 2020

Manchester City's parent company, City Football Group, has invested in a second-tier French side to take its total number of clubs around the world to 10.

Troyes, who won the Intertoto Cup in 2001, play in Ligue 2 and finished fourth last season before the 2019-20 campaign was suspended.

CFG will become the new majority shareholder in Troyes, having acquired the shares owned by previous owner Daniel Masoni.

French businessman Maxime Ray has also acquired a minority stake in the club and will take a seat on the board.

Ferran Soriano, chief executive of CFG, said: 'We have had an interest in French football for some time and have long admired ESTAC (Troyes), so we are delighted to have completed the acquisition of our 10th club and have a permanent presence in France.

'This is a milestone for City Football Group and demonstrates how our model continues to adapt and grow in a relatively short space of time.

'At City Football Group, our objective remains to play beautiful football, identify and develop grassroots talent and have a permanent presence in the world's football centres.

'There is no doubt that France is one of the top football countries in the world and we are proud to be part of that community.

'We look forward to getting to know our new home and the club's fans and working together to create a bright future for ESTAC.

'We would also like to thank Mr Masoni for all his contributions to the club.'

Along with Manchester City and Troyes, CFG also owns New York City, Melbourne City, Yokohama F. Marinos in Japan, Montevideo City Torque in Uruguay, Girona in Spain, Sichuan Jiuniu in China, Mumbai City in India and Lommel SK in Belgium.

Chester Perry
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Re: Football's Magic Money Tree

Post by Chester Perry » Thu Sep 03, 2020 3:31 pm

Another great thread from Simon Chadwick on that Premier League Chinese TV deal

https://twitter.com/Prof_Chadwick/statu ... 9650881536

Chester Perry
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Re: Football's Magic Money Tree

Post by Chester Perry » Thu Sep 03, 2020 4:17 pm

I can see a certain amount of logic in this argument but I am still far from convinced as it being a legitimate argument (there are better ones) for the Premier League not to broadcast all games for behind closed door matches

Premier League clubs fear season ticket sales will slump if all games are shown on TV
SAM WALLACE SEPTEMBER 03, 2020

The prospect of allowing all Premier League games to be broadcast live will not find favour with all 20 clubs at Thursday’s shareholders meeting as many of them struggle with when and how to sell tickets for a season in which they do not know when fans will be admitted again.

One of the biggest problems for clubs in the Covid era has been how to pitch ticket sales at fans - and season tickets in particular, such a key part of their revenue – when there is no return date yet for fans in stadiums. There is a school of thought that telling supporters that all games will be broadcast live until the return of full-stadium access for crowds will have a major impact on season ticket sales, especially at less well-supported clubs.

Some clubs begin selling season tickets before the previous season is finished, at a point where they believe they can cash in on the optimism for the next campaign. But for many the league suspension on March 12 and lockdown came too early for that. Now they fear that fans who ordinarily make a decision in the summer whether to commit to a season ticket will be discouraged from doing so by the prospect of watching the first rounds of games on television before stadiums are open to fans again. They will write-off their 2020-2021 season tickets.

It would mean that as well as the loss of revenue, the stadiums would not be full when the go-ahead is given to operate at capacity. Empty stands are a major problem for the Premier League which has sold itself around the world as a competition where games are played in noisy, full, atmospheric stadiums.

There has not been a uniform approach to season ticket arrangements for the new season. Tottenham Hotspur, West Ham and Leicester City have offered season ticket holders a deal to pay a percentage of the price of their season ticket – non-refundable – to secure their seats for when supporters are re-admitted to games. Some clubs, including Spurs, have included in the deposit package the opportunity to enter a ballot for tickets in reduced capacity matches.

Burnley, Brighton, Newcastle United, Sheffield United, Aston Villa, Everton and Manchester United were among clubs who had already sold season tickets for 2020-2021 before the suspension of the 2019-2020 season and the subsequent introduction of behind-closed-doors measures. The expectation for those who have already bought season tickets is pro rata refunds for the games they cannot attend while behind-closed-doors measures remain in place.

Liverpool, Arsenal, Wolverhampton Wanderers and Chelsea are yet to make an announcement on the sale of season tickets for the new season. Manchester City are guaranteeing season ticket holders their seats with no deposit payable.

The scope of the opposition among Premier League clubs to a government demand to broadcast all games is not yet clear and will emerge at the shareholders’ meeting when the clubs discuss the measures. The announcement took clubs by surprise and they would rather have concentrated on returning fans to stadiums safely rather than renegotiating with broadcasters for access to all games.

There are also fears that the key domestic broadcast partners Sky Sports, BT Sport and Amazon Prime Video will see further loss of exclusivity as detracting from their offer to subscribers.

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Re: Football's Magic Money Tree

Post by Chester Perry » Thu Sep 03, 2020 6:05 pm

The New York Times looks at that Premier League recinding the PPTV rights for China story

English Premier League Terminates China TV Agreement Amid Dispute
The world’s most-watched sports league said it had canceled its biggest overseas broadcast deal, worth over $700 million. It was already facing heavy costs from coronavirus disruption.

By Tariq Panja - Sept. 3, 2020 - Updated 12:40 p.m. ET

LONDON — The English Premier League, already facing mounting losses because of the continued impact of the coronavirus crisis on soccer and other sporting events, announced on Thursday that it had canceled its most lucrative overseas broadcast contract after it was unable to resolve a dispute with its Chinese partner.

The league and its Chinese broadcast partner, Suning Holdings, a closely held company controlled by one of China’s richest men, had been locked in talks for months after Suning failed to pay the league $200 million in fees due in March, in the first year of a record three-year agreement worth more than $700 million.

The termination of the contract with Suning Holdings adds to the woes of the Premier League, the most-watched sports league in the world. The league was already required to repay millions to television companies in Britain and overseas because of the disruption caused by the coronavirus to the 2019-20 season championship. Further financial damage has been caused by the league being forced to play without spectators, cutting off a lucrative revenue stream that is unlikely to return to pre-coronavirus levels until at least next year.

“The Premier League confirms that it has today terminated its agreements for Premier League coverage in China with its licensee in that territory,” the league said in a short statement confirming its decision.

PPTV, the Suning Holdings subsidiary that broadcast the matches, said in a statement that “After rounds of meetings, PPLive Sports and the Premier League” had been unable to reach an agreement on the cost of broadcasting rights.

“Covid-19 has brought many challenges, and it is especially notable during broadcasting rights negotiations,” the statement said.

Even though Suning cast the decision as purely business, it comes at a time when China’s relationship with the United Kingdom has deteriorated. Britain angered China in July when it banned the Chinese technology giant Huawei from the country’s high-speed mobile network, reversing an earlier decision.

That came a month after Britain stoked Beijing’s ire when Prime Minister Boris Johnson promised to allow nearly three million people from Hong Kong to live and work in Britain if China passed a new national security law in the former British colony.

The Premier League, with its matches broadcast in more than 200 territories around the world, has grown to become Britain’s best-known export since it launched in 1992. Its longtime former chief executive, Richard Scudamore, was regularly invited to join government trade missions to strategically important markets.

China had long been a particular focus for the league’s growth, with the Premier League’s Asia Trophy — a branding exercise as much as an off-season tuneup event — frequently being held in Hong Kong and mainland China.

The termination of the broadcast contract comes just months after a politically charged episode involving Premier League broadcasts in China.

Last December, matches involving one London-based Premier League team, Arsenal, were summarily taken off the air after a post on Twitter by its German star Mesut Özil that denounced China’s treatment of the Uighurs, a largely Muslim minority in northwestern China. While Arsenal matches eventually returned to screens, Özil was essentially erased from coverage in China, with commentators not mentioning his name and internet searches for him ending in error messages.

The N.B.A.’s Houston Rockets found themselves in a similar imbroglio last October, when the club’s general manager expressed support for protests in Hong Kong, setting off a wave of anger in China.

The Premier League struck its deal with Suning, which owns the Italian soccer giant Inter Milan, at the peak of a spending spree on soccer assets by Chinese companies. Dozens of teams across Europe were acquired and millions were being lavished on broadcast rights, capped by the agreement with the Premier League — a deal worth 12 times more than the league’s existing Chinese contract.

The Premier League has become by far the world’s most lucrative domestic competition, thanks in large part to overseas broadcasters, which accounted for almost half of the league’s $11.7 billion in rights agreements for its current 2019-2022 cycle.

That influx of cash has fueled spending on some of the world’s most talented players on salaries that only handful of teams in other leagues can match.

But in the player transfer window before a new season starts this month, the continued uncertainty from the coronavirus pandemic has led all but a few teams — like the billionaire-backed Manchester City and Chelsea — to show restraint in changing their rosters. The loss of millions from the terminated Suning contract might also put a damper on major deals this year.

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Re: Football's Magic Money Tree

Post by Chester Perry » Thu Sep 03, 2020 6:42 pm

twohundredpercent.com with the latest series, in a long litany of depressingly familiar/similar, cases against Jack Warner.

Jack Warner: (Still) At Large
by Mark | Sep 1, 2020

It was familiar news. On 18th March 2020, the United States Department of Justice (DoJ) published a “superseding” indictment against various ‘personalities’ connected with world football’s governing body, Fifa. And there, at the bottom of the front-page list of 17 familiar indictees, in terms of credibility, likeability and…well…just ‘ability,’ was, to give him his full title, the repugnant Jack Warner.

He was actually last on the list because of alphabetical order, Warner coming after ‘w*nkers.’ It was a familiar charge sheet, too, bribes totalling US$5m, for facilitating dodgy “contracts for the rights to the Caribbean Football Union (CFU) 2006 World Cup qualifying matches, while he was CFU president” and “purported to be a special adviser” to Trinidad & Tobago’s FA (TTFA). And for facilitating South Africa and Russia’s successful bids for, respectively, 2010 and 2018 World Cup hosting rights.

Warner’s reaction was familiar, too. Slightly off-centre English bluster and arrogant, contempt, while body-serving direct denials. Asked by Trinidad’s Newsday newspaper about the indictment, he replied: “You really want me to answer that stupidness? And when pressed to deny the charges, he told Newsday that if “all yuh want to be messengers for the US, go ahead. I have no problem with that.”

The indictment is one of the latest chapters in Warner’s long legal story. The US has sought his extradition from Trinidad since May 2015, with Warner inevitably among the Fifa bods named in the DoJ indictment which led to the infamous dawn raids on a Zurich hotel before Fifa’s annual congress. Warner is wanted on a dozen financial skullduggery-based charges and has been out on TT$2.5m bail since spending 27th May 2015 in a prison in Trinidad’s capital, Port of Spain. And his legal eagles have since successfully maintained his freedom.

In November 2017, I asked if he was to face “Justice at last.” Frustratingly, the answer then and now was/is “not yet.” And thanks to Trinidad’s colonial past, his case currently sits with the United Kingdom’s Privy Council, his last legal port-of-call. In 2017, we also noted a number of other Warner cases. And now there are another number of other cases involving a man single-handedly keeping much of Trinidad’s justice system on their toes.

Though Warner has successfully avoided extradition, where most others have failed, this has had far less to do with his innocence than claiming kinks in extradition law. Warner has argued that Trinidad’s Extradition (Commonwealth and Foreign Territories) Act, is at odds with its extradition treaty with the US, as “in passing the Act,” Trinidad’s parliament “afforded citizens certain protections which are ignored by the international treaty.”

In June 2017, Warner’s application for a judicial review of his extradition proceedings was heard. Warner’s legal team identified five “non-conformities” between the two legislations. But he was especially exercised by the possibility that, once in America, he could be charged with other offences which, in themselves, were not extraditable. I will leave you to draw your own conclusions about the possibility that the old twister definitely committed such offences.

Warner also had procedural complaints about the Trinidad Attorney-General’s office’s obtaining of the “Authority to Proceed” (ATP) with the extradition process, back in May 2015. Warner’s attorneys complained at not having the right to comment before the ATP was granted. But they did and refused for reasons which even presiding Judge Justice James Aboud found “difficult to understand.”

As we noted then, Aboud “was decisively dismissive” of Warner’s case, which “described ‘the US judicial system as if it were intrinsically brutish, conniving, and ungoverned by the rule of law.” Aboud was “sufficiently persuaded” that it didn’t “act capriciously.” Nor did he “consider” that it would “go rogue and act outside of its well-developed doctrines of the rule of law.” And nothing has since happened to US justice, under President Trump, to change that view…er…anyway.

Alas, that September, Warner won the right to appeal Aboud’s decisiveness. And Trinidad’s acting Chief Magistrate Maria Busby-Earle-Caddle adjourned the case until 18th January 2018. This was delayed a month because of course it was (partly by arguments over Warner’s legal costs). So, on 20th February, Warner successfully played one legal proceeding off against the other, when Justice of Appeal Mark Mohammed ordered a November appeal date, because of course he did, and stayed (halted) the extradition proceedings pending said appeal.

This let Warner face other little local (legal) difficulties. On 23rd May, a case brought by North and Central America’s football confederation, Concacaf, was heard in Trinidad’s High Court, a well-documented dispute over the ownership of the Dr Joao Havelange Centre of Excellence, built for Concacaf and opened in YR but owned by a network of Warner companies (including one called the Dr Joao Havelange Centre of Excellence…there was a clue in there somewhere) for his personal financial benefit.

Such dodgy ownership was arguably entirely appropriate for a centre named after the corrupt-as-ninepence Brazilian autocrat who presided over Fifa for his own benefit from 1974 to 1998. But Concacaf were nonetheless after $37.8m in “compensation for the misappropriation of funds with respect to the ownership and use of the Centre.”

Also in May, Trinidad High Court Judge, and perfect term for Warner’s legal filibustering, Frank Seepersad, ordered him to pay $1.5m to tech firm Real Time Systems. RTS’s owner, Krishna Lalla, claimed that he loaned $1.5m to Warner in 2007 and expected repayment from what the Trinidad Guardian reported without comment as “US$10m that (Warner) expected to receive from his former employer” in 2008. The “former employer” was Fifa, though this US$10m and the US$10m he allegedly received in 2008 for voting for South Africa to host the 2010 World Cup were surely unrelated.

Warner said the money was donated to the United National Congress (UNC) political party he then chaired, to help finance 2007’s general election campaign. But Seepersad ruled that “on a balance of probabilities, this court is of the view that Mr Warner may have wanted to portray an image to the UNC that he was its main financier, but to do so he sourced finance from Mr Lalla on the basis and expectation that (it) would be repaid upon his receipt of an a US$10m Fifa payment, due in February 2008.” Warner ask for leave to appeal, as per. Which, as per, was granted.

Also, also in May, Warner was ordered to pay $650,000 in damages to community activist and charity worker Faaiq Mohammed, tripling an award granted in 2014. In November 2013, in a move which would smash any functional irony-meter, Warner told a press conference his then political colleague Mohammed took TT$2.5m to vote for another party in a key, high-profile administrative election. And he vowed to “finish” Mohammed’s political career. He did so, viciously, even for him and, ultimately, defamatorily, conceivably bitter that he wasn’t offered the bribe himself.

As the Trinidad Guardian also noted, there were “several (lawsuits) involving Warner currently before the courts,” including “other litigation” from Lalla “over similar loans which are still pending.” And from Concacaf, relating to his 20 years as their president (1990-2010).

Warner’s appeal against Aboud’s September 2017 decision to dismiss his judicial review application finally got the legal elbow, from three Trinidad Court of Appeal judges, in June 2019. Their 40-page judgment upheld Aboud’s decision on Warner’s case. But even this “final” word was subjected to a 21-day staying, pending Warner’s application to appeal to the privy…council.

This allowed Warner time for more little local, and big international, legal difficulties. Two weeks later, Brooklyn District Judge William Kuntz decided to body-swerve nominative determinism and “entered judgment” against Warner and his partner in countless financial crimes, the Dickensian-named former Concacaf general secretary Chuck Blazer, in a civil lawsuit brought by the confederation in April 2017.

The suit said there could be “no doubt” that Warner and Blazer, who died in June 2017, “victimized Concacaf, stealing and defrauding it out of tens of millions of dollars in brazen acts of corruption for their own personal benefit at the expense of the entire Concacaf region.” This included a number if he “kickbacks” and other financial fiddles covered in the 2015 DoJ indictment.

Concacaf were awarded an oddly-reported “upwards of $20m,” in what some media superfluously added, was “Warner’s absence,” Brooklyn being quite famously in the US. Warner was also unrepresented in court, which seemed expensively unwise when, on 10th July, Kuntz awarded Concacaf $79m. Concacaf had reportedly claimed $20m as a minimum and wanted “three times that amount” plus “recovery costs and legal fees.” Kuntz, faced with no in-court opposition to these claims and to his own judgement on the costs and fees, agreed.

But whether Concacaf will see a cent remains unclear, as Warner isn’t due any more Fifa payments. Warner was after another payment, but ‘only’ $2.3m from the TTFA. In a near role-reversal of his RTS case, Warner claimed that he loaned the TTFA the $2.3m and that the TTFA’s annual accounts from 2007 to 2012 acknowledged this. Warner’s court filings, seen by the Trini Guardian, included two letters from then TTFA president Raymond Tim Kee, “acknowledging the debt” and giving assurances that “it would be cleared” when TTFA finances “improved.”

The debt was written off in 2015, with the association’s annual accounts stating that it was “statute-barred” and that it had “no obligation to pay.” But Warner claimed that the 2015 accounts “were published after the date of both letters” from Kee, who had twice “acknowledged the debt” to him. “At no time,” Warner stressed, did the TTFA tell him “that they were no longer under an obligation to repay” the money.

“Warner is no stranger to the courts,” the Trinidad Guardian understated titanically, as the Concacaf claim over the Havelange Centre of Corruption re-emerged, with two Warner companies and his wife Maureen applying to have action against them struck off because it was “generalised and lacking in particulars and direction,” which Maureen might have been used to, having listened to her husband for so long.

Warner may even have sued Kelloggs during this period, for a year’s supply of Bran Flakes (insert your own ‘full of s**t’ jokes here). And then doubtless appealed, if necessary. Especially as Trinidad’s judges seem unable to say “no,” to such requests.

Last September, Warner got “preliminary permission to pursue” privy councilling over his judicial review application appeal denial. Trinidad’s Attorney-General’s office did not oppose this but, uber-optimistically, asked that matters be “handled expeditiously.” Warner’s people agreed but claimed he was at the mercy of Privy Council timetabling. They hoped so, anyway, as delay is Warner’s strategy.

The strategy worked again. It wasn’t until 20th January 2020 that the appeal court granted Warner ”final leave” to privy-council. And he had an Appeal Court win double. Three days earlier, he won more “final leave,” to appeal the increased Faaiq Mohammed damages. And this became a hat-trick on 18th February, when the above-mentioned $1.5m from RTS was ruled a donation, not a loan.

Judge Seepersad shipped criticism for letting personal distaste for dodgy election-campaign finance cloud his legal judgment. And Warner responded with typical self-unawareness: “Too many judges believe they should brag to the media about their judgments. This case should be used to put the brakes on judges who are so inclined.”

April’s DoJ indictment changed his luck. It claimed that “In or about and between (!) November 2010 and April 2011,” he “was promised and received $5m.” which was paid into a CFU account “he controlled,” at Trinidad’s Republic Bank. “Wire transfers were sent from 10 different shell companies…part of a broader network…used to move money among offshore accounts,” several of which facilitated “wire transfers to or from” US-based companies “that performed work on behalf of the 2018 Russia World Cup bid.” The indictment didn’t stint on its language either, calling one set of Warner deals the “TTFF Sham Contracts.”

On 13th June, Switzerland’s Attorney-General’s office (OAG) announced that they considered disgraced former Fifa president Sepp Blatter an “accused person” over a 2010 Fifa loan of $1m, interest-free, to the TTFA. In April, the OAG closed an investigation into a 2004 broadcast rights deal Blatter signed with the Warner-controlled CFU. But an “investigation document,” dated 13th May, revealed new material, which reportedly “came to light as part of the ongoing case against Warner.”

Then, in July, the former national security minister (oh yes he was) announced his political comeback, after his previous eight-year parliamentary tenure ended in 2015 general election defeat. At last month’s election, e stood for the Independent Liberal Party he founded. But he destroyed a thousand “Jack is Back” headlines by coming a distant second in his constituency, as his party won no seats.

In football politics, last November, Warner publicly backed the “United TTFA” group which won TTFA elections. However, new association chief William Wallace told Fifa Secretary-General Fatma Samoura “that there has not been, is not, and never will be a connection with (Warner)” The new board was replaced by a Fifa Normalisation Committee in March. But that’s another story.

So, rightly so, as he is innocent until proven guilty, the repugnant Jack Warner remains at large, under island-wide ‘house’ arrest, yet somehow covering gargantuan legal costs at will. But experienced Trinidad Appeal Court judge Peter Jamadar, who co-presided over the May 2019 Faaiq Mohammed appeal, offered the most powerful possible description of this repugnance.

Warner said that Mohammed “was offered $2.5m. I have the documents. I have the deed and so on. I told him ‘boy, you are a young man, don’t spoil your career. If a Muslim young man sells his soul for money…under Muslim this kind of thing is wrong, son.’ His political career is finished. … We shall deal with him in the fullness of time.”

And Jamadar wrote that he achieved this “by sustained, vicious, untrue and unjustifiable assaults on Mohammed’s character and identity. The effects on Mohammed’s reputation were immediate, destructive and long-lasting. This appeal concerns Warner’s conscious, intentional, wilful and relentless defamation of Mohammed, with absolutely no evidence to show any truthfulness in or justification for the statements made and repeated and where no offer to apologise has ever been made. (In court), he produced not an iota of evidence to support or justify his allegations.”

Jamadar covered all Warner’s Trumpian arrogance, ignorance, dishonesty and disdain for due process. And true justice would lead the Privy Council and the Department of Justice to bring Warner TO justice.

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Re: Football's Magic Money Tree

Post by The esk » Thu Sep 03, 2020 9:18 pm

The lunacy that is rule E55 (Premier League Handbook) effectively suspending profit and sustainability rules for 12 months stands in stark contrast to the loss of the PPTV which immediately reduces yet another income stream for Premier League clubs.
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Re: Football's Magic Money Tree

Post by Chester Perry » Thu Sep 03, 2020 10:30 pm

The Telegraph with more coverage on that decision by the Premier League today re the rights in China

Premier League terminates China broadcast deal engulfing it in biggest cash crisis in its history
The deal with Chinese broadcaster PPTV as been terminated due to an unpaid fee of £160m, and clubs could forfeit even more

By Ben Rumsby - 3 September 2020 • 7:41pm

The Premier League was engulfed by the biggest cash crisis in its history on Thursday night after terminating its television deal in China in a move that left it with a potential £800 million-plus coronavirus bill.

The world’s richest league pulled the plug on its £564 million contract with Chinese conglomerate Suning Holdings – its most lucrative-ever overseas deal – following a legal dispute over an unpaid £160m rights fee during the Covid-19 crisis.

The drastic decision was taken during yesterday’s Premier League shareholders’ meeting and left officials barely a week to find a replacement broadcast partner or face starting the season without one.

The loss of around £300m from the Chinese deal – £265m of it is said to have been paid up front – came on top of rebates paid to all its rights holders over the three-month suspension of football during the pandemic.

Clubs were told last season those would total £330m, plus £36m for every week the campaign went beyond its official end date of July 16.

Coupled with an estimated loss of match-day revenue of £177m and counting, the potential total losses suffered by clubs last night was £800m and rising.

Swingeing cost-cutting measures have already been imposed by teams because of these severe shortfalls, including a controversial wave of redundancies, and the news from China would have sparked fears of more to come, particularly given sides have spent millions in the transfer market already this summer.

The Premier League declined to comment beyond a terse announcement of the termination of a contract that represented a six per cent chunk of its record-breaking £9.2bn cluster of television deals for the 2019-2022 seasons.

The broadcasting arm of Suning, PPLive Sports International, responded with a post on its official Weibo account in which it blamed the Covid-19 crisis for the impasse.

Confirming it had attempted to renegotiate its deal, it said: “Covid-19 has brought many challenges, and it’s especially obvious during broadcasting rights negotiations.

“After rounds of meetings, PPLive Sports and the Premier League have a disagreement on the price of broadcasting rights. We regret we couldn’t have an agreement with the Premier League.”

Disagreements included attempts by the company to secure a three-year extension to its contract to cover the 2022-25 seasons at a more advantageous price.

Premier League clubs had considered negotiating a new payment plan with Suning or terminating the deal last month before voting for the latter at the meeting.

Suning bought the rights to the previous three-year cycle back in November 2016, months after securing a majority stake in Inter Milan that it holds to this day.

It did so at the peak of Chinese interest in international football, with the Premier League managing to secure a 12-fold increase on its previous contract in the region with Super Sports Media.

But Suning’s ability to fund the deal was called into question even before the pandemic after it laid off a large number of staff last year following a period in which it spent heavily on rights agreements including those of Europe’s other major leagues, La Liga, the Bundesliga and Serie A.

The termination of its Premier League contract has also taken place against a backdrop of simmering political tension between Britain and China, including over the future of Hong Kong.

In a stark message in July, the Chinese ambassador in London warned of consequences following Boris Johnson’s pledge to offer UK residency to up to 3 million residents of the former British colony.

The Prime Minister’s decision to block Chinese technology giant Huawei’s involvement in the UK’s new 5G network over security concerns also soured relations.

The Premier League also found itself at the centre of a diplomatic row with China last year after Mesut Ozil spoke out on Instagram against alleged human rights abuses inflicted on the country’s Muslim Uighur population in Xinjiang.

And, only this summer, Chinese state broadcaster CCTV Sports – to which Suning sublicensed some matches – caused a stir by switching their coverage of Liverpool’s 5-3 win over Chelsea to a less-viewed digital channel.

It remained to be seen last night whether CCTV or another broadcaster would be willing or able to step into the void left by Suning and, if so, how much they would be prepared to pay at a time of global financial turmoil.

Football finance expert Kieran Maguire, a lecturer in the subject at the University of Liverpool, told The Telegraph: “It will be a challenge for the Premier League, because if you’re dealing with a Chinese company, normally it is linked directly or indirectly to some form of government approval.

“If the withdrawal of payment by the present broadcaster was approved by central government then it’s difficult to see how the Premier League is going to negotiate with a new broadcast partner in China.

“I don't think they'd be hurrying into a deal for the start of this season.”

It also remained to be seen whether the termination of the Suning deal would end up in court.

Maguire warned the Premier League could struggle to find a major legal firm prepared to take on a Chinese conglomerate if that meant risking “upsetting” clients based in the country.

Saying it had a similar problem when trying to shut down pirate network beoutQ in Saudi Arabia, he added: “Trying to find legal representation, I think, will be a big challenge for the Premier League and I think they will be trying to negotiate behind the scenes for an alternative.”

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Re: Football's Magic Money Tree

Post by Chester Perry » Thu Sep 03, 2020 10:42 pm

More here from Euronews.com featuring Simon Chadwick - it paints a gloomy outlook for the future, particularly with regards to other overseas broadcasters, that some of us have been fearing for months and possibly best described by our friend The Esk

Why did English Premier League scrap huge broadcasting deal with Chinese TV?

By Matthew Holroyd • last updated: 03/09/2020 - 18:51

The English Premier League has ended its television broadcasting deal with Chinese streaming service PP Sports with immediate effect.

The contract with PPTV, which is owned by Chinese retail giant Suning, was one of its most lucrative internationally, reportedly worth about £550 million (€616 million).

But the league did not give a reason for terminating the agreement after just one season of a three-year contract.

"The Premier League confirms that it has today terminated its agreements for Premier League coverage in China with its licensee in that territory," read a brief statement on Thursday.

"The Premier League will not be commenting further on the matter at this stage."

Did politics play a part?
Reports suggested that the Premier League had engaged in a standoff with PPTV over a withheld payment when football fixtures were postponed for three months in March during the COVID-19 pandemic.

"From Suning's side, there seems to be some concern about the value for money they're getting from the deal with the Premier League," said Simon Chadwick, professor of Eurasian sport at Emlyon Business School.

"Essentially Suning had paid for something that wasn't being produced, in this case, football matches".

"But this termination does seem to have been the nuclear option because there are lots of other broadcasters across the world who are in negotiations with the Premier League over this".

When football resumed in June, the Premier League was said to have rejected proposals to renegotiate the contract with PP Sports.

But Chadwick told Euronews the issue seems to be about more than the pandemic and money.

"We know how closely politics, business, and football can be related."

"An announcement of this magnitude - it's a lot of money and its high profile - has been timed during a period when relations between the two countries are becoming tenser.

"On both the Chinese and English side, there is likely to have been some state involvement in the decision-making".

Earlier this year, the British government decided to exclude Chinese tech giant Huawei from involvement in the UK’s future 5G network.

Dr Paul Widdop, a senior lecturer in sports development at Manchester Metropolitan University, agrees that the contract termination is linked to the relationship between the UK and China.

"Suning's financial returns and accounts in the last few months have been very good, so I don't think this a notion that they have paid too much for a deal with the Premier League," he told Euronews.

"Sport is an easy way of promoting dissatisfaction to the world because of its high profile.

"This announcement from the Premier League does not sit well with me, I think it has an underlying political motivation".

'Competitive disadvantage'
In a deal signed in July 2019, PP Sports provided Chinese football supporters with a live broadcasting service, including the use of special effects to create a match atmosphere.

In the wake of the contract's termination, there has been no announcement about new negotiations for the broadcast of the Premier League in China's lucrative market.

But Simon Chadwick does not expect to see a scramble from Chinese broadcasters to fill the void of PP Sports.

"What we now have is a much more fractious relationship between London and Beijing and whatever negotiations that take place are going to be set in that context.

"It really does raise questions about how much a new deal will be worth, but also how long it will be before we see a deal."

The decision to end the contract with Suning will also likely affect the finances of Premier League clubs, who have already been hard hit during the pandemic.

"If you take away a huge part of revenue budget, as well as supporters, clubs are really going to struggle with wage packets", said Paul Widdop.

"There is always going to be a knock-on effect as well to the leagues below and English football at the grassroots level."

Paul Widdop also noted that the loss of PPTV will be a serious disappointment for Premier League supporters in China.

"This is an industry that is very successful with the Chinese audience, and there is now a danger of the Premier League losing market share that they might never get that back".

"This is now is a challenge for the Premier League to think about it will financially manage this shortfall and what that will mean in terms of payments to clubs," added Chadwick.

"While there is certainly an appetite for Premier League football in China, it's always a tough sell and this is a significant development.

"When you look at their rivals in La Liga, Serie A, Bundesliga, this potentially puts the Premier League at something of a competitive disadvantage."

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Re: Football's Magic Money Tree

Post by Chester Perry » Thu Sep 03, 2020 10:58 pm

Just a thought - what is our sponsorship deal with LoveBet now worth considering that it was targeting the Chinese market and there is now no Premier League available on Chinese TV
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Re: Football's Magic Money Tree

Post by Chester Perry » Fri Sep 04, 2020 12:23 pm

The European Club's Association (remember them?) have released a report looking at the "Fan of the Future" the kind of thing that reminds you that to them football is a business first and a game last - here is how they describe it

02.09.20
ECA REPORT HIGHLIGHTS THE CHANGING FACE OF FOOTBALL FANDOM

ECA is pleased to announce the publication of Fan of the Future: Defining Modern Football Fandom, a report which looks at how modern football fans engage with and consume the game.

The report seeks to provide a holistic view of what it means to be a football fan in 2020 and beyond, looking at themes such as club affinity, engagement, and consumer behaviour, and what impact the evolving trends in these areas have on football clubs.

“Modern fans think differently about football, just as they think differently about other aspects of society and entertainment,” said ECA CEO, Charlie Marshall, “Younger fans, especially, are engaging with the game through more varied and diverse means, which is a growing challenge and a huge opportunity for clubs. Football’s business and commercial model was already undergoing significant changes before the seismic shocks caused by the COVID-19 pandemic, but with today’s “rapid response” management model, we must remember why we are all doing this: for the fans. Only through understanding what they value and how they are changing for the future will we be able to realise a sustainable future for football as the world’s leading sport and responsible engagement platform.”

ECA’s Director of Membership & Business Development, Lasse Wolter, added “findings show that present-day fandom is no longer just about hardcore and one-club supporters but is much broader than that – many younger fans support more than one club home and abroad, with birthplace no longer being the only factor in club affiliation. Those that follow the game in a more passive manner now make up the majority of the sport’s audience. There is clear evidence that fans today are starting to expect football clubs to focus beyond their core offering. It is no longer enough for clubs to compete; they need to demonstrate a level of social responsibility and community awareness aligned with fan values.”

The wide-ranging report, which surveyed 14,000 respondents across seven different markets globally, has significant implications for clubs, leagues and competitions. Delivering practical recommendations, the report and its findings will help ECA Member Clubs and clubs worldwide in better understanding the different types of football fans and inspire strategies to increase engagement and help grow the game for the future.

Based on survey responses, the football fanbase can be separated into six distinct groups, which are categorised by their primary routes into the sport:

27%: FOMO Followers
Moderate fans – claim to follow the sport closely, but don’t identify as “huge fans” and rather follow football for social currency
19%: Main Eventers
Moderate fans – keep up to date with news and watch on TV, with engagement increasing around big matches/tournaments
19%: Tag Alongs
Lightest football fans, with low emotional and intellectual engagement, and interest prompted by friends/family
14%: Club Loyalists
Highly engaged, long-term football fans who are emotionally invested in their club, which helps provide their identity
11%: Football Fanatics
Follow football in its entirety, with strong emotional engagement – football provides a sense of community which is key to their enjoyment
11%: Icon Imitators
Moderate to strong football interest, which is increasing, following specific players and playing regularly themselves - preference for playing than watching

The report highlights how younger fans are markedly different consumers compared to their older peers. They watch football differently, often follow more than one club, are attracted by a club’s playing style and expect clubs to reflect their own values - as well as being less likely to be fans at all. 40% of survey respondents aged 16-24 claimed to have no interest in football, sparking fears of a ‘missing generation’ of fans. However, engagement in the youngest age bracket is strong, with 84% of 8-15 year olds having a huge to passing interest in the sport. There is agreement across the generations that football must do more: most fans say that football clubs have a responsibility to the wider community and to help make the world a better place, but only one in five football fans believe that football is doing enough to address societal issues.

The actual report can be found here - https://www.ecaeurope.com/media/4802/ec ... fandom.pdf
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Re: Football's Magic Money Tree

Post by Chester Perry » Fri Sep 04, 2020 12:52 pm

If you ever want to understand why the Spanish elite clubs are in such a financial mess - try this about the Eden Hazard transfer and remember he was in the last year of his contract at Chelsea when he left (reads a lot like the Coutinho transfer to Barcelona).

https://twitter.com/HLNinEngeland/statu ... 9333858304

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Re: Football's Magic Money Tree

Post by Chester Perry » Fri Sep 04, 2020 1:12 pm

Rui Pinto's (Football Leaks) trial has started today in Portugal https://twitter.com/tariqpanja is your man if you want to keep abreast of things - reporters will not be able to tweet updates through the day though as phones/computers have been banned for those watching/observing the proceedings

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Re: Football's Magic Money Tree

Post by Chester Perry » Fri Sep 04, 2020 1:19 pm

Chester Perry wrote:
Thu Sep 03, 2020 3:31 pm
Another great thread from Simon Chadwick on that Premier League Chinese TV deal

https://twitter.com/Prof_Chadwick/statu ... 9650881536
get the feeling I am repeating my self here, Another great thread from Simon Chadwick on that Premier League Chinese TV deal - this time looking at who may replace PPTV - possibility that the two major players brokering the deal in the background could be the Chinese Government and Manchester United

https://twitter.com/Prof_Chadwick/statu ... 6547860480
Last edited by Chester Perry on Sat Sep 05, 2020 1:05 pm, edited 1 time in total.

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Re: Football's Magic Money Tree

Post by Chester Perry » Fri Sep 04, 2020 5:25 pm

Chester Perry wrote:
Tue Aug 25, 2020 4:29 pm
It is looking like the Southampton shirt sponsorship deal with LD Sports was an expensive mistake - they have been forced to ditch the sponsor with no actual business (no reasons given) after new season kits with the logo sold have been made and sold to fans - they have gone down the betting route for a quickly organised ((and no doubt less lucrative) 1 year deal - from the Guardian - I have raised issues with the LD Sports sponsorship for some time and I suspect that the Premier League were not having it that a sponsor with no business was a good idea in their league.

Southampton say 'no alternative' but to ditch shirt sponsor LD Sports
Chinese brand to be replaced by Sportsbet.io for next season
Club will work with fans who have already bought 2020-21 shirts

David Hytne Tue 25 Aug 2020 14.18 BST Last modified on Tue 25 Aug 2020 15.43 BST

Southampton have announced an abrupt end to their sponsorship arrangement with LD Sports, suggesting that the Chinese brand is no longer an appropriate and viable partner. The club have struck a one-year deal at short notice with Sportsbet.io and the online gambling company will be their front-of-shirt sponsor for the 2020-21 season.

It is hugely embarrassing for Southampton, less than three weeks before the start of the new campaign, and they have pledged to work with supporters who have bought LD Sports-sponsored shirts to provide a suitable solution.

The club announced the deal with LD Sports in May of last year when they described it as a “new sports content, marketing and entertainment platform”, although little was known about the company.

Southampton are owned by Gao Jisheng, a Chinese businessman, and the deal with LD Sports was said to have been struck by one of his China-based employees. Gao owns 80% of the club and he and his family had the option to purchase the remaining 20% this summer from Katharina Liebherr, the former majority shareholder. It is unclear whether Gao has done so.

Southampton said in a statement: “Over the last week, we have endeavoured to secure confirmation that LD Sports are still an appropriate and viable partner for the club but have been left with no alternative other than to end the partnership today with immediate effect.

“The club has also taken the difficult decision to temporarily halt all sales of home, away and third kits. Fans who have already purchased a 20-21 home, away or third shirt with LD Sports on the front are kindly asked for their patience and understanding at this time whilst the club resolves what is an extremely complex situation and sources a solution for updating their shirts.”
Southampton apparently taking legal action of this (probably have about as much chance as the Premier League getting the money owed then by PPTV - from SportsBusiness

Southampton pursuing legal action against LD Sports
Matthew Williams
September 4, 2020

English Premier League club Southampton is taking legal action against its former front-of-shirt sponsor, Chinese media company LD Sports.

The club signed a three-year contract worth £7.5m (€8.4m/$9.9m) per season with the brand at the start of the 2019-20 campaign, but this was cut short in August.

Southampton said at the time that it had been “left with no alternative” but to immediately end the contract with LD Sports after failing to “secure confirmation” that the sponsor was “still an appropriate and viable partner for the club”.

The club’s chief executive Martin Semmens has now told The Athletic: “[Legal action] is not being considered. It’s already taken. It’s something we have to do. We will continue pursuing them and finding a solution that will help our club out, but we feel that will take months and not weeks.”

Concerns were raised about Southampton’s relationship with LD at the time of signing, with the LD Sports product offering unknown and the company yet to launch.

The club has since replaced LD Sports with the signing of a one-year agreement with Sportsbet.io, the cryptocurrency-based sports betting platform.

The early conclusion of the LD Sports contract occurred just weeks before the start of the 2020-21 season, leaving Southampton with the added challenge that many supporters had already bought new kit featuring the logo of the Chinese firm.

Following this, the club was forced to temporarily halt all shirt sales ahead of the new season.

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Re: Football's Magic Money Tree

Post by Chester Perry » Fri Sep 04, 2020 5:29 pm

We will soon get an idea of just what will be happening to media rights values across Europe as La Liga puts out tenders for the 2021-22 to 2025-26 cycle - from Sports Business - in what would be the leagues first season without Lionel Messi if latest reports are to be believed

LaLiga broadcast rights on the market in heavyweight European countries
Alex Taylor
September 4, 2020

Mediapro, the international sales agency of the Spanish LaLiga, is to issue an invitation to tender in the coming week covering broadcast rights in seven European countries from 2021-22 to 2025-26, SportBusiness understands.

The territories included in Mediapro and LaLiga’s final multi-territory tender in Europe for the new cycle are Austria, Belgium, Germany, Greece, France, Italy and Poland. Rights to all matches from the top two divisions of domestic Spanish football are included, as well as the second-tier promotion play-off matches.

The rights in these nations are currently held by OTT subscription platform DAZN (Austria and Germany, and Italy), subscription broadcaster Eleven Sports (Belgium and Poland), pay-television broadcaster Cosmote (Greece, through a sub-licensing deal with the Ogilvy agency), and pay-television broadcaster beIN Sports (France).

The rights auction follows on from the 16-nation European Economic Area invitation to tender issued in February that covered the five Nordic countries, the Balkan region, Czech Republic, Hungary, Portugal and Slovakia.

An invitation to tender was then issued in June in 11 more European territories, running for five seasons from 2021-22 to 2025-26.

Territories included in that ITT were: Albania, Cyprus, Estonia, Kosovo, Latvia, Lithuania, Malta, the Netherlands, Romania, Russia and Switzerland (including Liechtenstein non-exclusively). A bid deadline of midday (CET) on July 9 was set and deals have since been agreed in the likes of the Netherlands and Russia.

In those tenders, successful bidders were required to broadcast a minimum of three top-tier matches and one second-tier match per matchweek alongside corresponding highlights and magazine programmes.

LaLiga has been steadily increasing revenues over recent cycles, which has yielded sizeable returns for its clubs, most recently seeing a total of €1.42bn ($1.53bn) in domestic and international revenues for its 20 participant clubs in the 2018-19 season.

LaLiga last month signed off on another rights deal in sub-Saharan Africa after securing a four-season extension with the African arm of French-language pay-television broadcaster Canal Plus. Canal Plus’ rights are not exclusive, as French-language rights will be shared with rival pay-television broadcaster StarTimes across sub-Saharan Africa, Madagascar and Mauritius.

Both the Canal Plus and StarTimes deals run for four seasons between 2020-21 and 2023-24. LaLiga also agreed an English-language renewal with SuperSport, the sports arm of dominant sub-Saharan pay-television broadcaster Multichoice.

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Re: Football's Magic Money Tree

Post by Chester Perry » Fri Sep 04, 2020 5:47 pm

Piece in the Financial Times about the potential matchday income losses in the Premier League for the coming season.

Premier League clubs face £540m match-day shortfall next season
MURAD AHMED SEPTEMBER 04, 2020

The English Premier League faces a coronavirus-related shortfall of more than half a billion pounds next season, in findings that lend fresh urgency to negotiations between the sport’s officials and government ministers over allowing fans to return to stadiums.

According to figures collated by Premier League officials and seen by the Financial Times, the 20 member teams in English football’s top tier are facing £540m in lost income next season under plans to allow only the partial reopening of grounds from October.

Executives at the world’s most valuable football competition also estimate the cost of managing stadiums to limit the spread of Covid-19 will be an additional £16m.

On Thursday, clubs were dealt an additional blow after the Premier League abruptly terminated a three-year $700m deal with Chinese digital broadcaster PPTV, owned by the Jiangsu-based online retailer Suning, in a dispute over payments withheld owing to the pandemic.

The findings on the estimated shortfall next season have left clubs bracing for a second year of heavy losses, while football executives are lobbying ministers for a loosening of restrictions on the number of supporters allowed at grounds to limit the financial blow.

“We’ve built our business models around having 98 to 99 to 100 per cent capacity for every game,” said Paul Barber, chief executive of Brighton and Hove Albion. “Anything less than that is obviously going to be a challenge for us. It’s going to be a financial impediment.”

Last season the league lost revenues projected to be worth £850m, due to lost match day income with fixtures played “behind closed doors” since February, as well as the cost of a £330m rebate paid to broadcasters to compensate for a three-month lack of action during lockdown.

When the new season kicks off next weekend, games will continue to be played in empty grounds throughout September. However, Premier League executives and government officials are drawing up plans to allow the reopening of stadiums next month, allowing them to be up to a third full.

Clubs are being forced to adhere to stringent government protocols, such as maintaining social distancing between supporters and avoiding an over-reliance on public transport. That has meant many clubs with older stadiums — which have tight concourses and a lack of car parking facilities — will be forced to restrict admissions to far less than 33 per cent.

Guidance from the Sports Grounds Safety Authority, a body advising on stadium reopenings, suggests that average maximum capacity at Premier League grounds can be just 23 per cent.

Some club executives have complained of the “double standards” of enforcing stricter rules for sport, such as preventing fans sitting next to each other in open-air stadiums, than other parts of the economy, such as in restaurants and airlines.

The Premier League declined to comment, but last week chief executive Richard Masters said: “We are committed to having full stadia as soon as possible, with safety always our priority.”

Fan groups have been critical of plans to show only 220 of the 380 matches on television next season in the UK, and are calling for games to be shown live until grounds can be reopened in full.

The Premier League is reluctant to unpick broadcast contracts, worth £3.7bn this season, fearing that screening more matches may devalue TV deals.

Kevin Miles, chief executive at the Football Supporters’ Association, said: “When exceptional circumstances prevent the loyalest of fans from being at a game . . . then exceptional measures are needed to allow some form of access to live games.”

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Re: Football's Magic Money Tree

Post by Chester Perry » Fri Sep 04, 2020 6:28 pm

We are all aware that many pubs have said the price of a license to broadcast Premier League games is too high - that has been rumbling on since day 1 - now it appears the American market (home of the sports bar) is about to find it too much also.

https://twitter.com/Spurs_US/status/1301595369034461187

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Re: Football's Magic Money Tree

Post by Chester Perry » Sat Sep 05, 2020 12:51 am

The esk wrote:
Thu Sep 03, 2020 9:18 pm
The lunacy that is rule E55 (Premier League Handbook) effectively suspending profit and sustainability rules for 12 months stands in stark contrast to the loss of the PPTV which immediately reduces yet another income stream for Premier League clubs.
some of you may have missed this on Thursday - it is significant (even the Times are now running a story about it https://www.thetimes.co.uk/article/prem ... -ssjkknrk6) It is from the Premier League Handbook 2020/21 page 123 - if you think it is not an issue, try this Burnley and Norwich (possibly Sheffield United) may be the only clubs not to have breached Profit and Sustainability rules last season - unfortunately no one gets punished for it, except us (who will remain prudent) who probably will be the only ones (possibly along with the promoted clubs) who will not breach them this season either
,
E.50. Subject to Rule E.55, if the aggregation of a Club’s Earnings Before Tax for T-1, T-2
and T-3 results in a loss, any consideration from Related Party Transactions having
been adjusted (if appropriate) pursuant to Rule E.48, then the Club must submit to
the Board the calculation of its Adjusted Earnings Before Tax for each of T, T-1, T-2
and T-3.

E.51. Subject to Rule E.55, if the PSR Calculation results in a loss of up to £15m, then the
Board shall determine whether the Club will, until the end of T+1, be able to pay its
liabilities described in Rule E.14.7.1 and fulfil the obligations set out in Rules E.14.7.2
and E.14.7.3.

E.52. Subject to Rule E.55, if the PSR Calculation results in a loss of in excess of £15m then
the following shall apply:
E.52.1. the Club shall provide, by 31 March in the relevant Season, Future Financial
Information to cover the period commencing from its last accounting
reference date (as defined in section 391 of the Act) until the end of T+2 and
a calculation of estimated aggregated Adjusted Earnings Before Tax until
the end of T+2 based on that Future Financial Information;
E.52.2. the Club shall provide such evidence of Secure Funding as the Board
considers sufficient; and
E.52.3. if the Club is unable to provide evidence of Secure Funding as set out in Rule
E.52.2, the Board may exercise its powers set out in Rule E.15.

E.53. Subject to Rule E.55, if the PSR Calculation results in losses of in excess of £105m:
E.53.1. the Board may exercise its powers set out in Rule E.15; and
E.53.2. the Club shall be treated as being in breach of these Rules and accordingly
the Board shall refer the breach to a Commission constituted pursuant to
Section W of these Rules.

E.54. The sum set out in Rule E.53 shall be reduced by £22m for each Season covered by
T-1, T-2 and T-3 in which the Club was in membership of The Football League.

E.55. In respect of Season 2019/20, the provisions of Rules E.50 to E.53 shall not apply.
-------------------------------------------------------------------------------------------------------------------------------------

The full handbook is here https://resources.premierleague.com/pre ... 110820.pdf
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Re: Football's Magic Money Tree

Post by Chester Perry » Sat Sep 05, 2020 1:11 pm

Chester Perry wrote:
Fri Sep 04, 2020 1:19 pm
get the feeling I am repeating my self here, Another great thread from Simon Chadwick on that Premier League Chinese TV deal - this time looking at who may replace PPTV - possibility that the two major players brokering the deal in the background could be the Chinese Government and Manchester United

https://twitter.com/Prof_Chadwick/statu ... 6547860480
Simon Chadwick involved in yet another great thread on the Chinese approach to TV deals and how nuance changes in official government policy will affect any new tv deal (and not just with the Premier League) it is totally obvious that the level of control over the private sector is huge. The policy of Dual Circulation Strategy fits right in with that last post about who is likely to pick up those Chinese market rights

https://twitter.com/FdeGongora/status/1 ... 4562366464

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Re: Football's Magic Money Tree

Post by Chester Perry » Sat Sep 05, 2020 1:14 pm

Chester Perry wrote:
Thu Sep 03, 2020 10:58 pm
Just a thought - what is our sponsorship deal with LoveBet now worth considering that it was targeting the Chinese market and there is now no Premier League available on Chinese TV
someone has picked up on this at last - shame it is behind a paywall - but you can see enough to get the gist

https://offthepitch.com/a/cancellation- ... rcial-pull
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Re: Football's Magic Money Tree

Post by Chester Perry » Sat Sep 05, 2020 11:35 pm

The Allam family come up with another rouse to endear them to the supporters of Hull City - by making sure that the only way you can follow the teams in match progress is through signing -up to ifollow as they ban matchday radio services - i would expect fans to respond by signing up to watch matches via their opponents ifollow services

https://www.hullcitytigers.com/club-sta ... ry-rights/

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Re: Football's Magic Money Tree

Post by GodIsADeeJay81 » Sun Sep 06, 2020 12:13 am

Bbc Sport will still have a live feed won't it?

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Re: Football's Magic Money Tree

Post by Chester Perry » Sun Sep 06, 2020 5:56 pm

TIFO Football with an intriguing piece on the hidden factors behind transfers

https://www.youtube.com/watch?v=uKQrUs9ku6I

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Re: Football's Magic Money Tree

Post by Royboyclaret » Sun Sep 06, 2020 8:54 pm

Chester Perry wrote:
Sun Sep 06, 2020 5:56 pm
TIFO Football with an intriguing piece on the hidden factors behind transfers

https://www.youtube.com/watch?v=uKQrUs9ku6I
Interesting stuff.......you'd imagine Sean would be very much in the category of extensive video presentation to a prospective signing, but it would be good to hear his confirmation, or otherwise, of such an approach. Even in terms of an incoming player via the loan route, the impression given to the young player of his potential new club is of vital importance.

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Re: Football's Magic Money Tree

Post by Chester Perry » Mon Sep 07, 2020 1:07 pm

Nark Jenkins who has recently stepped down from the Shief's snair at West Brom has delivered a pretty damning verdict of the EFL - from the BBC

EFL: West Brom 'had to get out' of Championship - ex-Baggies chief Mark Jenkins calls for change
By Simon Stone BBC Sport Last updated 58 minutes ago

Former West Brom chief executive Mark Jenkins says the club "had to get out" of the Championship - and has called for a "change in the structure" of the English Football League.

Jenkins retired from his role with the Baggies last month after their promotion back into the Premier League, ending an 18-year association with the West Midlands club.

West Brom return to the top flight two years after being relegated to the Championship and Jenkins told BBC Sport:

- The Championship is a "great product, poorly marketed";
- He is not in favour of salary caps and would prefer limits on squads instead;
- Having club directors on the EFL board is a "conflict of interest";
- Media deals are not good enough, making it "very difficult for football clubs to survive without owners putting money in".

"Football needs to sort itself out," said Jenkins. "If anything has happened through Covid, it is that there has to be a change in the structure of the EFL. There has to be real pressure on the EFL at the moment to change."

The TV deal row
The most recent TV rights deal was signed in November 2018. The EFL argues the £595m five-year deal with Sky Sports was the best offer on the table, was only accepted after extensive consultation and that it cemented a partnership which meant, this summer, there was no Premier League-style rebate despite the devastating impact of the coronavirus pandemic.

However, the contract was controversial.

Jenkins estimates 18 Championship clubs were unhappy with the terms of the deal but, although acknowledging the "frustrations of a number of clubs", the EFL board voted it through.

"The EFL said it had a duty to all clubs to get them something and nothing else was on the table," Jenkins said. "The Championship clubs were more bullish in saying: 'We are willing to pay poker on this.' In my opinion, the EFL board took the easy option.

"No deal was better than this one. We had 23 games moved for TV. That affects our income.

"We had to negotiate hard. The competitiveness of the Championship should have been exploited. If it was left to the Championship, they would have negotiated a deal that was worth more than the current one. We would have locked in the distribution to Leagues One and Two anyway to ensure they didn't lose out, but I am sure they would have got more out of the whole deal."

Jenkins believes second-tier clubs should have the power of veto on "all the major commercial deals" - which the EFL argues is already the case - and he claims the Championship is "a great product that is badly marketed".

'Conflicts of interest'
In March 2019, the EFL announced "a thorough review" of all its governance structures, which it said would look at "how its members are represented and decisions are made".

Law firm Bird and Bird carried out the review and among its recommendations was the appointment of three independent directors to the EFL board, either to replace three of the existing six club representatives, or all six.

The EFL said "after careful consideration" it did not support the proposal because it could "undermine" the relationship between board and clubs.

The league also said some proposals were accepted "following further refinement".

But Jenkins said: "The system currently is not working. Independent directors, which would include a CEO for the Championship, would be a way forward.

"At one meeting about the the TV contract, one person said: 'There is an argument if it is not broken, don't fix it.' I couldn't believe it. Of course it was broken.

"I had my head in my hands. I looked at my finance director, who was sitting with me, and I said: 'We have got to get out of this league.' It is not just the finance side. It is ridiculous."

Jenkins said that when the season was suspended in March amid the Covid-19 pandemic, West Brom's two-year strategy for a Premier League return switched focus to it being "even more important" promotion was achieved in 2019-20.

"That was for various reasons," he added. "The financial impact on the club to get to the Premier League but, also, it became even more fundamental that we needed to get out of the EFL."

The EFL says it is committed to enhanced levels of communication between the board and clubs, that there was weekly correspondence from the board to clubs, and also that dialogue is two-way.

BBC Sport understands a salary cap of £18m per club has, in principle, been agreed for the Championship. However, the precise details of how it should be implemented and the impact it will have on the Financial Fair Play regulations in place mean it will not be in operation for 2020-21.

Jenkins is not a fan.

"I have always been against financial controls. Why shouldn't a local businessman be able to put his money into his club? To the people supporting this, you might as well sit them in a room and tell them to admit they can't run a football club," he said.

"There are thousands of businesses up and down the country that don't put these controls in place and survive year on year aren't there? There are competing pressures in every industry.

"You can always say no. I never won a popularity contest with the [West Brom] fans. But as long as your mindset is 'I am doing the right thing for the club' that should get you through.

"If you want to keep your costs down, keep your player numbers down. If you pay a salary to a player and he is contributing, that is fine - it is the 20% who are fringe players and not part of the squad where the problem comes."

EFL positives
The EFL privately defends its position and also points out chairman Rick Parry and chief executive Dave Baldwin are both relatively recent appointments.

It argues attendances are at their highest level - 18.4 million in 2018-19 - for 60 years, average crowds are over 11,000, commercial revenues have grown 90% in the past five years, and over £100m has now been spent on youth development.

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Re: Football's Magic Money Tree

Post by Chester Perry » Mon Sep 07, 2020 1:31 pm

@SwissRamble looking at why Liverpool, flush from recent seasons of trophy winning success, record revenues and profits are not active in the transfer market - an object lesson in just how close to the wire clubs tend to operate, it is why I advocate (an old fashioned even working class approach of) building a cash pile for rainy days, which means solid operational profits year in year out.

https://twitter.com/SwissRamble/status/ ... 9306147840

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Re: Football's Magic Money Tree

Post by Chester Perry » Mon Sep 07, 2020 4:35 pm

The vultures are at the door - Private Equity (and Sports specialists) CVC Capital are looking at acquiring a share of the Women's Super League (which after a raft of big transfers this summer is perhaps the biggest women's League in Europe, if not the world) frpm SportsProMedia - remember the Premier League were getting ready to take over the running of it in the next couple of years.

CVC eyeing Women’s Super League equity investment
Bridgepoint and Premier League also interested in acquiring English soccer competition.

Posted: September 7 2020 By: Michael Long

- CVC has approached the FA but no deal imminent, reports Sky News
- FA seeking to cut costs amid looming revenue deficit of UK£300m
- Talks with interested parties centre on WSL’s commercial rights

Private equity firm CVC Capital Partners is eyeing an investment in the Women's Super League (WSL), the top flight of women’s club soccer in England, according to a report by Sky News.

The former owners of Formula One have reportedly approached the Football Association (FA), English soccer’s national governing body, about acquiring a stake in the ten-year-old competition, although no deal is thought to be imminent.

According to UK media reports in July, Bridgepoint, to whom CVC sold the commercial rights to MotoGP for €500 million in 2016, in also pursuing a stake in the 12-team WSL.

Bridgepoint is said to be interested in purchasing ‘a large minority stake’ in a new company that would own and manage the WSL’s commercial rights, with the FA and member clubs holding a controlling stake.

Reports of CVC’s interest come amid the ongoing financial uncertainty brought about by the coronavirus pandemic, which has already forced the FA to cut 124 jobs in an attempt to withstand a projected deficit of UK£300 million (US$374 million) over the next four years.

The company’s interest also comes against the backdrop of continued talks over a possible takeover of the WSL by the men’s Premier League, whose chief executive, Richard Masters, recently said discussions would be revisited “in the near future”.

Several clubs in the WSL are said to be against the prospect of a takeover by the Premier League, however, due to concerns over whether the men’s competition would be prioritised in favour of the women’s game.

Selling an equity stake in the WSL would nevertheless go some way towards alleviating some of the FA’s financial commitment to the women’s competition, which is said to cost the national body UK£7 million (US$8.7 million) to run each year.

The FA is also in the process of marketing domestic broadcast rights to the WSL for the first time after appointing the Women’s Sports Group agency to support the sales process for the next cycle, which starts from the 2021/22 season.

CVC, which owned Formula One for a decade until 2016, has noticeably ramped up its interest in sport in the wake of Covid-19. Its pursuit of assets has been most aggressive in rugby union, where it is reportedly seeking to invest in the Six Nations, the British and Irish Lions and a new trans-Tasman rugby tournament, having previously acquired stakes in the Premiership Rugby and Pro14 club competitions.

In soccer, the firm continues to be heavily linked with investments in Italian soccer’s Serie A and a revamped Fifa Club World Cup.

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Re: Football's Magic Money Tree

Post by Chester Perry » Mon Sep 07, 2020 4:38 pm

That news about CVC and the WSL is directly related to this opinion piece at SportsProMedia regarding Private Equity and Women's sport

Opinion | Is women’s sport about to kick off a new season in private equity investment?
After investment firms Bridgepoint and CVC were linked with buying a stake in the FA Women's Super League, Danielle Sharkey and Satish Khandke of Charles Russell Speechlys explain why women's sport represents a compelling business case for private equity investors.

Posted: September 7 2020By: Danielle Sharkey and Satish Khandke

Prior to the Covid-19 lockdown, women’s sport in England had been gathering real momentum. Viewership and media coverage have been steadily increasing, inspired in part by the success of women’s national teams on the international stage.

2019 saw England reach World Cup semi-finals in both soccer and netball, and the knock-on effect was instantaneous. Even more fans attended this February’s Netball Super League opener than the World Cup medal games last July. To put the growth in interest in women’s sport into context, a crowd of 31,000 watched the women’s soccer Manchester derby last year in the wake of the ‘summer of women’s sport’ – almost triple the capacity of then men’s top-flight Premier League side AFC Bournemouth’s stadium.

That progress was all halted abruptly, however, in March this year. Whilst the pandemic, of course, brought a sudden threat to the entire sports sector, women’s sport has been left particularly vulnerable.

Losing out to men’s sports
The pre-existing inequalities in the funding and sponsorship of women’s sport in comparison to male competitions have been exacerbated by the lockdown. Sponsors and broadcasters have greater financial investments in men’s sport, and so consequently stood to lose more the longer that men’s sport was disrupted. The effect? The resumption of men’s sport was prioritised over the women’s return.

Whilst the reasoning for such prioritisation may be financially logical, the return of men’s sport has now largely been successfully implemented. Therefore, the time has come for the focus to shift onto broader and longer-term objectives, and foremost amongst these should be the continued promotion of women’s sport.

A potential new focus for private equity?
It’s here where there is an opportunity for private equity investors.

The current value in established global brands like the Premier League and its clubs is clear, and those values may well have plateaued. By contrast, venture capital and private equity investors generally seek out undervalued assets, where an injection of money coupled with strategic or operational changes can result in steeply increasing valuations in the short to medium-term. Whilst such investors may no longer view men’s sport as offering many such investment opportunities, women’s sport could offer a very viable and attractive alternative.

The recent interest expressed by Bridgepoint and CVC, two of the leading private equity firms with investments in men’s sport, regarding a stake in the FA Women’s Super League (WSL), England's top-flight women's soccer competition, indicates that women’s sport is now seen as offering a potentially compelling investment case.

Bridgepoint and CVC’s interest could well indicate a refocusing of private equity and venture capital investors’ investment strategy towards women’s sport, which could be a game-changing moment for women’s competitions. The investment case for women’s sport is bolstered by the increase in major sponsorships of women’s sports which has been seen in recent years, demonstrated most recently by PepsiCo announcing a new five-year deal with Uefa to support women’s soccer. Clearly, the more commercial money that flows into women’s sport the more likely it is that equity investments into women’s sport will deliver a financial return.

The rights focus
We are now in a position where brands could see supporting women’s sport as delivering greater value to them than men’s sport, from a financial and reputational perspective. Women’s sport also appears to offer a greater opportunity for creativity when it comes to rights activation. In contrast to men’s sport, where sponsorship, broadcasting and naming rights are usually carefully divided and packaged and then sold on a long-term basis to the highest bidder on an exclusive basis, women’s sport can offer more space for new initiatives and innovative activation strategies.

Taking Barclays’ sponsorship of the WSL as an example, that deal involved more than the traditional brand exposure for Barclays and promotion of the women’s game that one would expect from such a relationship. In addition, Barclays secured the right to show video highlights of matches on a dedicated page on its website, with direct links to clips of matches and player performance stats, and even partnered with well-known sports stars to create its own web-accessible soccer-focused commentary show.

That example demonstrates the ability of the women’s game to deliver greater value for money to its commercial partners than they might receive from the men’s game, where competition for rights is fierce and commercial rights packages are very strictly delineated.

In a post-Covid environment, where sport itself has been disrupted in innumerable ways, providing not only value for money but also the scope for innovating in response to such disruption could give women’s sport a commercial edge.

Maintaining a fine balance
However, amidst the excitement of women’s sport stepping into the spotlight of focus for private equity (and other) investors, administrators in women’s sport need to ensure they remain vigilant in balancing the acceptance of investment against relinquishing too much control over their sport.

On the one hand, there is obvious progressive value in accepting investment to help make their sport more financially stable and potentially take it to the next level in terms of appeal and popularity. In men’s sport, private investment has allowed transformative innovations, such as the Indian Premier League (IPL) in cricket, to flourish.

However, it is also important for administrators in women’s sports to try to maintain the degree of control necessary to ensure that the integrity and future of their sport is protected in the long term, in line with their strategic aspirations. Again, some would cite the impact of the IPL and other short-form cricket competitions on Test cricket as highlighting the need for governing bodies to maintain a sufficient level of control and autonomy over their sport.

Navigating the crossroads
Across all sports – and indeed organisations more broadly - the pandemic has provided a pause for thought and an impetus to re-think existing business models and precipitate change.

For women’s sport, the hiatus has come at a particularly crucial time. Strides have been made toward greater equality for women’s sport, but we are still some distance from the target. Progress cannot afford to stall now. For investors looking to unearth assets on the cusp of exponential growth in value, now could be the time to get on board.

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Re: Football's Magic Money Tree

Post by Chester Perry » Mon Sep 07, 2020 4:44 pm

This is a surprising move - PPTV are preparing to sue the Premier League over the termination of their TV contract - cannot see how they would win in this country - though it may be very different in China, especially if the Premier League sign a deal with a new broadcaster of significantly lower value, which is what PPTV were wanting with a renegotiation - from SportsProMedia

PP Sports to sue Premier League over rights contract cancellation
Legal dispute comes after English top flight terminated its UK£523m TV deal.

Posted: September 7 2020By: Tom Bassam


- English soccer’s top flight confirmed contract termination on 3rd September
- Organisers claim OTT service did not pay UK£160m media rights fee

PP Sports is planning to sue English soccer’s top flight Premier League over the cancellation of the streaming platform's Chinese broadcast partnership, according to a report by the Beijing News agency.

The Premier League confirmed the termination of the deal on 3rd September, cutting short the UK£523 million (US$719 million) contract two years early, with British media reports suggesting that PP Sports had not paid a UK£160 million (US$209 million) instalment for the recently completed 2019/20 season.

PP Sports said in a statement: ‘The global epidemic has brought many challenges, which have become more prominent in rights negotiations. After many rounds of talks, PP Sports and the Premier League have not been able to agree on the value of the rights. It is a pity that we have not reached an agreement with the Premier League. Although PP Sports has prepaid the Premier League right cycle fees in accordance with the agreement, PP Sports will still terminate the agreement with the Premier League.’

No details of a formal suit have emerged but a legal dispute would mark the Premier League’s latest troubles in the region. At the end of last season China Central Television (CCTV), the state broadcaster, demoted its Premier League coverage to a less watched channel amid heightened political tensions with the UK. That move came soon after the British government confirmed a ban on Huawei technology being used in its 5G network.

UK Prime Minister Boris Johnson also angered Beijing by pledging to offer asylum to up to three million Hong Kong residents impacted by new security laws in the former British overseas territory.

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Re: Football's Magic Money Tree

Post by Royboyclaret » Mon Sep 07, 2020 7:44 pm

Chester Perry wrote:
Mon Sep 07, 2020 1:31 pm
@SwissRamble looking at why Liverpool, flush from recent seasons of trophy winning success, record revenues and profits are not active in the transfer market - an object lesson in just how close to the wire clubs tend to operate, it is why I advocate (an old fashioned even working class approach of) building a cash pile for rainy days, which means solid operational profits year in year out.

https://twitter.com/SwissRamble/status/ ... 9306147840
As Liverpool, along with the other 19 PL clubs, venture into the unknown of a second pandemic affected season, it's little wonder that a serious amount of caution is being applied to current spending. Swiss Ramble, as ever, throws up yet more thought-provoking figures with his projected numbers for Liverpool assuming games for the whole of next season remain behind-closed-doors.

The potential loss of match-day receipts at Anfield amount to £84million for '20/'21 which of course adds to the £13million for the 4 home games last season. A total loss therefore of some £97million through the gate. For comparison purposes, the equivalent figure at Burnley would be £7.4million, comprising £1.1million for last season plus a potential £6.3million for the whole of '20/'21. For once, other clubs, ironically the bigger they are, have potentially greater concerns than little old Burnley.
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Re: Football's Magic Money Tree

Post by Chester Perry » Mon Sep 07, 2020 10:34 pm

Chester Perry wrote:
Tue Aug 25, 2020 3:20 pm
Derby get off again on Financial Fair Play breeches - they are the kings of getting round it - from the Telegraph

Derby County avoid points deduction as charges for breaching Financial Fair Play dismissed
JOHN PERCY AUGUST 25, 2020

Derby County will face no points deduction or fine after the charges against them were dismissed by an independent disciplinary commission.

The Championship club were charged in January by the English Football League over exceeding "excess losses", with another charge related to their accounting procedures, but a panel has ruled that no sanctions will be issued against them.

Derby insist they are "delighted" with the outcome and it is understood that the prospect of legal action against the EFL cannot be ruled out.

It is also believed that Derby are pushing for the written reasons on the verdict to be released as soon as possible.

The EFL's statement read: "In January 2020, following a review of Derby County’s Profitability and Sustainability (P&S) submissions, the EFL charged the Club for recording losses in excess of the permitted amounts provided for in EFL Regulations for the three-year period ending 30 June 2018.

"An independent Disciplinary Commission has dismissed the charge brought against the Club in respect of the valuation associated with the sale of Pride Park in 2018.

"A second charge relating to the Club’s policy regarding the amortisation of intangible assets was found proven only in respect of the Club’s failure to properly disclose a change in policy in 2015. The Commission found that the Club’s approach to amortisation did not break financial reporting standard FRS 102.

"The EFL notes the decision of the Commission and will now consider the judgment in full before commenting further. Both parties have 14 days to appeal."

Derby were found to have exceeded “excess losses” in the three years up to June 2018, with the charge understood to be related to the £80million sale of their Pride Park stadium to a company owned by chairman Mel Morris.

There was also a charge over the amortisation policy in their financial statements but that has also been dropped.

Derby said in a statement: "Derby County is delighted at the outcome and will, at this stage, not make any further comment relating to the matter and the full focus of everyone at the club is now on preparations for the upcoming 2020/21 season."

In July Sheffield Wednesday were docked 12 points after being found guilty of financial misconduct by an IDC.
The EFL are to appeal the Derby amortisation practice decision according to the Telegraph

EFL launch appeal after Derby County escape financial misconduct charges
JOHN PERCY SEPTEMBER 07, 2020

The English Football League are set for another legal row with Derby after launching an appeal against the club's escape from misconduct charges last month.

Derby avoided punishment for two alleged breaches of spending rules after charges were dismissed by an independent disciplinary commission following a lengthy investigation.

The Championship club were initially charged with misconduct related to the valuation of their Pride Park Stadium and a separate charge regarding the amortisation of player contracts.

And it was revealed on Monday night that the EFL will be contesting the second charge of amortisation - which is effectively how the purchase price of a player is spread over a contract.

The EFL's deadline to submit an appeal was Tuesday and in a statement they confirmed: "The EFL Board has determined the league will appeal against the outcome of an independent disciplinary commission in respect of misconduct charges brought against Derby County.

"The appeal is specific to the second charge only, which considered the club’s policy regarding the amortisation of intangible assets. There will be no further comment at this time."

Derby said they were "delighted" with the verdict after the charges were dismissed last month.

Sheffield Wednesday will start this season with a 12-point deduction after they were found guilty of breaking the EFL's Profitability & Sustainability rules on July 31.

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Re: Football's Magic Money Tree

Post by Royboyclaret » Mon Sep 07, 2020 10:41 pm

Royboyclaret wrote:
Mon Sep 07, 2020 7:44 pm
As Liverpool, along with the other 19 PL clubs, venture into the unknown of a second pandemic affected season, it's little wonder that a serious amount of caution is being applied to current spending. Swiss Ramble, as ever, throws up yet more thought-provoking figures with his projected numbers for Liverpool assuming games for the whole of next season remain behind-closed-doors.

The potential loss of match-day receipts at Anfield amount to £84million for '20/'21 which of course adds to the £13million for the 4 home games last season. A total loss therefore of some £97million through the gate. For comparison purposes, the equivalent figure at Burnley would be £7.4million, comprising £1.1million for last season plus a potential £6.3million for the whole of '20/'21. For once, other clubs, ironically the bigger they are, have potentially greater concerns than little old Burnley.
On further inspection it appears that Arsenal will be even more vulnerable than Liverpool as behind-closed-doors matches begin to stack up next season. For a full '20/'21 season they have a potential match-day receipts loss of a staggering £96million. Added to their 5 game loss for last season they are staring down the barrel of a figure approaching £122million. Remember this compares to a Turf Moor figure of just over £7million.

No wonder things are getting a little twitchy down at The Emirates.

For sure Mike Garlick will have taken all this on board already, whilst at the same time the realisation dawns that the real killer for us will be the extended Broadcast Rebates which clearly increase the longer games have to continue behind-closed-doors.

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Re: Football's Magic Money Tree

Post by Chester Perry » Mon Sep 07, 2020 10:45 pm

It seems that it is payback time for all those EFL clubs who furloughed staff - the HMRC is demanding all unpaid tax be paid in a single payment - from the Mail - given that clubs know tax has to be paid, this seems like Matt Hughes has been pumped up by a few chairmen. especially given the "yet to recieve a bailout from the Premier League" remark

EFL tax war: HMRC demanding huge sums from struggling Football League teams which could leave clubs struggling to pay players next month
Football League clubs are battling with HMRC over expensive tax demands
- The Government are demanding that the unpaid bills are settled in one lump sum
- This could leave several EFL clubs struggling to pay players next month
- The EFL have tried to help by relaxing their own tax regulations and laws
By MATT HUGHES FOR THE DAILY MAIL

PUBLISHED: 22:30, 7 September 2020 | UPDATED: 22:30, 7 September 2020

Football League clubs are locked in a battle with HMRC over tax demands for up to hundreds of thousands of pounds that could leave them struggling to pay players next month.

Sportsmail has learned that, having granted clubs a four-month payment holiday from VAT and PAYE at the start of lockdown, the Government are now demanding that the unpaid bills are settled in one lump sum.

This adds to the clubs’ financial problems at a time when they remain without gate receipts and have yet to receive a bailout from the Premier League.

The Revenue are understood to be refusing to negotiate a collective agreement with the EFL and are instead picking off clubs individually, demanding the unpaid tax which covers the period from March to June.

The sums involved vary from a few thousand pounds at the smaller clubs up to several hundred thousand pounds in the Championship, but given clubs are operating with minimal income in the absence of match-going fans, the tax bills could still have a major impact on their ability to keep trading over the next few months.

The EFL have attempted to help by relaxing their own regulations which state that any club with outstanding tax bills will be given a transfer embargo.

As a result, the EFL deadline for clubs to have paid their tax without incurring sanctions has been extended from the start of the month until October 15, by which point it is hoped they will have received some financial assistance from the Premier League.

The EFL are confident all of their clubs will be able to start the season this weekend after all 72 made pay-roll last month, but there are concerns about the ability of some to pay players from next month, when most of the funds they have been advanced will have been used.

Many of the clubs are effectively living off borrowed money — the £77m solidarity money advanced by the Premier League and £30m of Sky Sports TV rights that has been paid early by the EFL — which will leave them with major holes in their finances later in the season.

The EFL are seeking a £250m aid package from the Premier League payable over the next four years, but no agreement has been forthcoming so they are considering other options including a commercial loan, as revealed by Sportsmail last month.

The clubs lost a combined £50m through missing gate receipts after lockdown and a further loss of £200m is expected if significant crowds are kept away this season.
Last edited by Chester Perry on Tue Sep 08, 2020 4:23 pm, edited 1 time in total.

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Re: Football's Magic Money Tree

Post by GodIsADeeJay81 » Mon Sep 07, 2020 10:46 pm

Those are some seriously worrying losses for Arsenal etc.

Levy must be a little twitchy at Spurs, they're relying on varying revenue to help pay for the stadium.
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Re: Football's Magic Money Tree

Post by GodIsADeeJay81 » Mon Sep 07, 2020 10:49 pm

Those financial worries, do we think they'll push prices up for championship players or down to get sales done and cash in?

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Re: Football's Magic Money Tree

Post by Chester Perry » Mon Sep 07, 2020 10:56 pm

We have been discussing the increasingly perilous finances at Arsenal for some time, it is a shame that just as they get a manager who seems to be really helping them forward the decisions of the previous regime have come back to haunt them and that they just do not appear to have the right approach to the commercials, though the refinancing of loans earlier this summer has probably saved them around £10m of interest a year (that about covers half of Ozil's wage costs btw)

They could lose Arteta if the owner does not make a contribution, though he has his own challenges with the new Rams Stadium in LA requiring huge $500m + loans this year

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Re: Football's Magic Money Tree

Post by Chester Perry » Mon Sep 07, 2020 10:58 pm

GodIsADeeJay81 wrote:
Mon Sep 07, 2020 10:49 pm
Those financial worries, do we think they'll push prices up for championship players or down to get sales done and cash in?
It will push prices down if the cash price is paid in full especially as deadline day approaches - I said it a while back - cash will be king this summer and that is what we have seen so far

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Re: Football's Magic Money Tree

Post by Royboyclaret » Mon Sep 07, 2020 11:01 pm

GodIsADeeJay81 wrote:
Mon Sep 07, 2020 10:49 pm
Those financial worries, do we think they'll push prices up for championship players or down to get sales done and cash in?
That's a tough one to answer with any real certainty. We are in unchartered waters with this pandemic, but with the ever increasing financial demands over the coming months (not least the one outlined by Chester in his previous post) many Championship clubs are going to struggle to even pay their staff. A second severe wave of this virus and the future for many of our clubs does not bear thinking about.

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Re: Football's Magic Money Tree

Post by GodIsADeeJay81 » Mon Sep 07, 2020 11:24 pm

Royboyclaret wrote:
Mon Sep 07, 2020 11:01 pm
That's a tough one to answer with any real certainty. We are in unchartered waters with this pandemic, but with the ever increasing financial demands over the coming months (not least the one outlined by Chester in his previous post) many Championship clubs are going to struggle to even pay their staff. A second severe wave of this virus and the future for many of our clubs does not bear thinking about.
Could it lead to a real change in the financial regulation in the championship and lower?
For to long now clubs have been allowed to have mountains of debt with no real way to clear it, usually due to wage bills.

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Re: Football's Magic Money Tree

Post by claretandy » Tue Sep 08, 2020 5:51 am

Royboyclaret wrote:
Mon Sep 07, 2020 10:41 pm
On further inspection it appears that Arsenal will be even more vulnerable than Liverpool as behind-closed-doors matches begin to stack up next season. For a full '20/'21 season they have a potential match-day receipts loss of a staggering £96million. Added to their 5 game loss for last season they are staring down the barrel of a figure approaching £122million. Remember this compares to a Turf Moor figure of just over £7million.

No wonder things are getting a little twitchy down at The Emirates.

For sure Mike Garlick will have taken all this on board already, whilst at the same time the realisation dawns that the real killer for us will be the extended Broadcast Rebates which clearly increase the longer games have to continue behind-closed-doors.
There won't be any more domestic rebates this season for behind closed door games, the broadcasters understand the unprecedented situation.

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Re: Football's Magic Money Tree

Post by Chester Perry » Tue Sep 08, 2020 12:02 pm

claretandy wrote:
Tue Sep 08, 2020 5:51 am
There won't be any more domestic rebates this season for behind closed door games, the broadcasters understand the unprecedented situation.
That is a big call: we know from the restart that the big 3 items for the broadcasters and their contracts are - games being played on schedule (contractual), fans are part of the entertainment (full attendance and noisy atmosphere) full strength teams, big name players playing at least some of the game (hence 5 subs and water breaks)

This season is starting a month late, there are more mid-week fixtures, teams told they must play if they have at least 14 fit players (including youths), local lockdowns happening across the country at short notice so fan's may be blocked from attending games, full attendance unlikely all season, no away fans likely, fans barred from chanting. Then you have the fan pressure to give access to all games on tv/streaming, which devalues the rights the broadcasters have paid for.

Add to that the fact that Premier League do not want to normalise all the things they are saving to bolster fall rights fees in future cycles, including increased access to managers and players, more games on TV and additional TV slots over the weekend

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Re: Football's Magic Money Tree

Post by Chester Perry » Tue Sep 08, 2020 12:18 pm

And on the subject of rebates - UEFA has just found out what they are having to pay for last season after refusing to work with broadcasters in advance with it's club competitions, like the Premier League did with it's partners) - more revenue distress for the big six clubs - from the Mail

REVEALED: Champions League TV rebate is a staggering £518MILLION after last season's tournament was delayed and played out in a reduced format due to the Covid-19 pandemic - leaving the world's biggest clubs out of pocket
- European clubs and UEFA will foot a massive £518m TV rebate for broadcasters
- ECA and Juventus chairman Andrea Agnelli confirmed the news on Tuesday
- Agnelli added talks over more one-legged ties in the future had also stalled
By TOM FARMERY FOR MAILONLINE

PUBLISHED: 11:36, 8 September 2020 | UPDATED: 11:43, 8 September 2020

Top European clubs already hit hard by coronavirus have been dealt another blow after it was revealed they would have to foot a huge TV rebate.

European Club Association chairman Andrea Agnelli confirmed on Tuesday that the sides who competed in last season's Champions League and Europa League along with UEFA would have to foot the £518million bill to TV companies.

Agnelli also said talks over changes to the format and structure of Europe's two premier competitions, which last season saw one-legged ties introduced from the quarter-finals, would 'need to stall' while clubs tried to recover following the financial damage caused by Covid-19.

Clubs have suffered heavily over the last six months after being forced to play matches behind closed doors.

Premier League sides who featured in the Champions League and Europa League have been relatively well insulated in comparison with their European counterparts thanks to the staggering sums they get from TV revenue.

But across the continent others have had to significantly cut wage bills and sell players for less than their value to stay afloat.

Of the most high-profile are 2018 Champions League winners Real Madrid who sold James Rodriguez for a cut-price £20m to Everton as they try to balance the books.

Agnelli, who is also chairman of Juventus, said the outlook for many clubs in Europe remained bleak.

He said: 'We are looking at top revenue decrease of approximately €4billion in the next two years and according to FIFA, 90 per cent of those top-line losses will be borne by clubs.

'We have seen very important rebates to the principal broadcasters both at domestic level and at international level.

'We have seen a £330million rebate in the Premier League, we have seen a downturn in the Bundesliga domestic rights of about €200million, we are in the process of finalising the account with UEFA with a reduction of around €575million (£518m) for the international club competitions, and that is all money that is normally distributed.'

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Re: Football's Magic Money Tree

Post by Chester Perry » Tue Sep 08, 2020 12:39 pm

This was ECA Chairman Andrea Agnelli this morning at the opening of the 24th ECA General Assembly

https://www.youtube.com/watch?v=NUWN1vt ... e=emb_logo

the key part starts at around 41 minutes in
Last edited by Chester Perry on Tue Sep 08, 2020 1:06 pm, edited 1 time in total.

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Re: Football's Magic Money Tree

Post by Chester Perry » Tue Sep 08, 2020 12:57 pm

The Financial Times have also picked up on that speech by Andrea Agnelli and the wider issues facing European football

European football faces €3.6bn shortfall as pandemic leads to ‘cash crisis’
MURAD AHMED SEPTEMBER 08, 2020

Europe’s leading football clubs are facing a €3.6bn shortfall in revenues due to the coronavirus pandemic, with the sport confronting an unprecedented “cash crisis” as it heads into a new season, one of the industry’s top executives has warned.

Andrea Agnelli, president of Italy’s Juventus and chairman of the powerful European Club Association, on Tuesday painted a bleak picture of the damage the crisis has inflicted on the industry’s finances.

A combination of lost match-day income because of empty stadiums, as well as discounts demanded by broadcasters and sponsors to compensate for the lack of games during lockdown, will result in a revenue shortfall of €3.6bn over the next two years, Mr Agnelli warned.

The Juventus president also revealed that Uefa, European football’s governing body, has agreed a €575m rebate with broadcasters of its competitions, such as the Champions League. Those tournaments were completed in August, but only after reducing the number of matches played in their latter stages.

Other domestic football competitions have also agreed rebates to compensate for lost action during lockdown, with the English Premier League returning £330m to its television partners.

Addressing a virtual meeting of the ECA, which represents more than 200 leading sides across the continent, Mr Agnelli warned of “a dramatic erosion of ebitda [earnings before interest, tax, depreciation and amortisation] that will turn out to be a cash crisis for most clubs”.

He said the price of players in the sport’s multibillion transfer window has fallen between 20-30 per cent — a hit for smaller clubs that are more reliant on selling their best players each season to balance their books.

Many top leagues, such as the Premier League and Germany’s Bundesliga, are in negotiations with local governments to allow a partial reopening of stadiums in the coming weeks, but there is little expectation of full stadiums before the end of the year.

There are also signs that Pay-TV broadcasters, which have agreed huge screening deals that have powered the financial growth of Europe’s biggest leagues, are beginning to cut back on sports rights spending.

In June, the Bundesliga announced Sky and online service DAZN would pay €4.4bn to show matches in its home market between 2021 and 2025 — a fall of €200m from its previous domestic TV rights deal.

Last week, the Premier League abruptly terminated a three-year $700m deal with Chinese digital broadcaster PPTV, owned by the Jiangsu-based online retailer Suning, in a dispute over payments withheld owing to the pandemic.

A person close to the Chinese broadcaster’s leadership said: “Of course they would like to keep the same price and condition as pre-Covid, but it’s impossible.”

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Re: Football's Magic Money Tree

Post by Chester Perry » Tue Sep 08, 2020 1:09 pm

Better news for clubs/UEFA here from a major sponsor who feel that they got true value from the revamped efforts of those club competitions - from SportsBusiness.com

Pepsi sponsorship chief Warner says revamped Champions League delivered ‘comparable value’
Ben Cronin, Europe Editor - September 8, 2020

- Warner commends Uefa for finding ‘alternative sources of value’
- Brand has expanded Uefa rights to include women’s national and club competitions
- Says larger deal provides brand with ‘always-on’ marketing opportunities

PepsiCo’s senior director for global sports marketing, Adam Warner, has said this season’s reformatted Uefa Champions League delivered ‘comparable value’ for the soft drinks giant, in spite of there being fewer matches and no spectators allowed during the closing rounds of the competition.

The Covid-19 pandemic forced Uefa to conclude its premier club event behind closed doors in Portugal during the month of August, with straight knockout matches introduced instead of the traditional two-legged affairs.

Speaking exclusively to SportBusiness, Warner said: “I think we’ve seen comparable value; it was clearly a very different shape of tournament that we’ve had to adapt to this year versus previous years. But I think there’s been comparable value and we certainly see some benefits in that concentrated nature of the tournament through August.

“Undoubtedly we lost a chunk of value from not having the second legs of the quarter-finals and the semi-finals,” he said. “What I can say is that they [Uefa] were very collaborative in finding different sources of value for us across many different touchpoints – whether that’s in stadia or through more digital and social channels.”

PepsiCo began sponsoring the Uefa Champions League five years ago, prior to the 2015-16 season of the competition, and has used the platform to promote its snack brand Lay’s alongside its Gatorade, Pepsi Max and Pepsi beverages. Rival brand Coca-Cola sponsors the Uefa Men’s Euros and has a sponsorship deal with Fifa that includes the sponsorship rights to all of its global competitions, including the Men and Women’s Fifa World Cups.

“One of the unique characteristics of the Champions League is that it’s almost an always-on property that operates nine to 10 months of every year versus some other major sporting properties which are several weeks, every four years,” said Warner. “That’s highly attractive for us in terms of engaging with fans, partnering with our customers in an ongoing fashion and it creates ongoing value for us.”

Women’s football
The soft drinks firm recently expanded the deal with Uefa to include the governing body’s major women’s club and national team competitions until 2025. This means it now sponsors the Uefa Women’s Euros and the Uefa Women’s Champions League to sit alongside the Men’s Champions League.

The deal made PepsiCo the first brand to unify the men’s and women’s Champions League after Uefa unbundled the main sponsorship rights in 2018.

The appeal of the Women’s Champions League has been helped by the fact that the European governing body will also centralise the sponsorship rights to the competition from the quarter-final stage onwards, starting in the 2021-22 season. Previously the commercial rights to matches up to and including the semi-finals have been sold directly by competing clubs.

Under the terms of the deal, PepsiCo will only have sponsorship and pouring rights at the final of the 2020-21 Women’s Champions League – the first year of the deal – before the commercial inventory is expanded next year. The sponsorship rights to the Women’s Euros include sponsorship and pouring rights at all matches.

Warner said women’s football was beginning to provide a tangible return on investment and the brand wasn’t simply aligning itself with the game to promote a social purpose.

“I think there’s broad value it really provides to us – it’s really reaching scale now,” he said. “I think it’s been at scale actually longer than people realise – even before the [Fifa] World Cup in the summer of 2019, which was definitely a key moment for that side of the game. There were attendance records being broken throughout different parts of the world, [but] undoubtedly the summer of 2019 took a big stride forward.

“I think one of the reasons that a lot of bands are increasingly attracted to the women’s game is it is more accessible. It’s very interesting for us in terms of our portfolio of sponsorship, to think about how we create diverse experiences for fans across different parts of the year and across different years. And accessibility is a key difference versus the men’s game.”

National team rights
Asked whether there was greater value in the national or club competition rights, Warner appeared to be most excited about the package of rights around the Women’s Euros, which will next take place in England in 2022.

“Undoubtedly the national side of the game is also very valuable to us. I think, given where women’s football is at, the national game is the entry point for many fans into women’s football. If you think about the opportunities the Women’s Euros side of the sponsorship package provide to us, particularly for the key tentpole being the Women’s Euros in England in 2022, that’s very attractive to us and presents a great opportunity for us to work towards.”

He added that the brand has plans to create ‘integrated’ campaigns across the men and women’s Champions League during the first half of next year, and also ‘dedicated activations’ that seek to develop the women’s game. The drinks company will also seek to sign more deals with individual players like the one it already has with Barcelona and Holland international Lieke Martens.

“This is a way for us to broaden our footprint within football and women’s football is an increasingly important part of that – albeit you have to recognize actually that women’s football does have its own distinct identity,” he said.

“On the one hand there’s a lot of overlap in the audience but there are also incremental audiences, new audiences, for us – it’s more female, it’s more families. From a demographic point of view, that is a difference.”

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Re: Football's Magic Money Tree

Post by Chester Perry » Tue Sep 08, 2020 1:16 pm

The summer long running saga of Private Equity investment in Serie A may be coming towards a conclusion with talks between the clubs due tomorrow - from SportsBusiness

Serie A clubs to discuss ‘final bids’ from trio of private equity groups
SportBusiness Staff - September 8, 2020

Italy’s Serie A football clubs are set to meet tomorrow (Wednesday) to discuss final offers made by three private equity groups for a stake in a new holding vehicle that will oversee the league’s broadcast rights.

The new entity would control Lega Serie A’s media-rights business for the next 10 seasons, with three different proposals on the table, according to Reuters, citing sources familiar with the matter.

CVC Capital Partners is said to have entered a joint bid with Advent and Italy’s state-backed investor Fondo Strategico Italiano (FSI) valuing a 10-per-cent stake in the vehicle at around €1.6bn ($1.89bn). A proposal from a consortium led by Bain Capital is said to be of the same value, while differing in its structure.

Meanwhile, US investment firm Fortress is said to have joined with Apax and Three Hills Capital Partners for a proposal consisting of equity and debt, with little governance control. Fortress is said to have tweaked an initial offer of debt financing to include an equity package, mostly provided by Apax.

Reuters said tomorrow’s meeting is not expected to result in a single bidder being invited to enter into exclusive talks, with 14 of the 20 Serie A clubs needing to back a proposal for a deal to be made.

The latest developments come after it was reported that a joint investment proposal from CVC, Advent and FSI, and one led by a separate consortium consisting of Bain Capital and NB Renaissance Partners were leading the running to drive the next stage of Serie A’s commercial development.

The two proposals were said to be among six to eight binding bids submitted ahead of an August 28 deadline set by the Lega, which has for some months been examining the idea of securing outside investment.

It is not yet clear whether the clubs will be able to align themselves behind one proposal. Reports suggest Lazio president Claudio Lotito is backing the Fortress hybrid bid, while Napoli president Aurelio De Laurentiis, supported by teams like Udinese and Fiorentina, wants the Lega to enhance its business independently.

De Laurentiis is understood to think the Lega could grow media revenues from €2.5bn to €2.9bn by centralising television production and creating a Serie A channel that can be sold directly to telecoms operators and OTT providers.

The Wanda Sports Group and its agency Infront along with Spanish agency and production group Mediapro are reported to have entered separate non-binding proposals to the clubs concerning the formation of a partnership to create this Serie A channel.

Infront has strong existing ties to the Lega. The agency holds a six-year near-€6bn minimum-guarantee agreement to work as its exclusive adviser on domestic and international media-rights sales. But that deal comes to an end at the close of the 2020-21 season. Infront has worked as the league’s media-rights adviser since 2008.

In July, Lega Serie A was said to have placed a cap of 15 per cent on any potential private equity investment into a new commercial entity. A letter from Serie A president Paolo Dal Pino to the interested parties is said to have added that the proposals must contain a legal assessment confirming that the terms and conditions of the bid comply with Italy’s Melandri law, which governs the collective selling of media rights in the country.

CVC was previously said to have enjoyed an exclusive negotiation window. CVC’s reported €2.2bn bid was to acquire 20 per cent of a new company that would manage the media rights, Serie A’s international trademark and commercial development, and part-finance a new investment fund responsible for stadium development.

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