ISP/ESPN Form Partnership to Manage USF Multimedia

[Eric_Soncrant]

Let me explain how these deals work guys just so you understand a little better.  The $22 million over 10 years is a guarantee.  ISP/ESPN will then sell their butts off.  I don't have the specific breakdown on this agreement but typically once they've reached the break even point, which in this case is $2.2 million each year, the excess is then split between ISP/ESPN and USF.  So it isn't a max amount, it is a minimum amount guaranteed to USF Athletics each year.  So if they go out and sell $5 million worth of sponsorships, etc., we stand to make more than that amount.

Hope that helps clarify this stuff a little bit.

Eric

[bulls96go]

good number...IF we are top 25 over the next 5 yrs with a BE title or two and a BCS game, and 50K in tha stands then some renegotiation will occur upward.

hope we maximize our potential.

[Joe]

Let me explain how these deals work guys just so you understand a little better.  The $22 million over 10 years is a guarantee.  ISP/ESPN will then sell their butts off.  I don't have the specific breakdown on this agreement but typically once they've reached the break even point, which in this case is $2.2 million each year, the excess is then split between ISP/ESPN and USF.  So it isn't a max amount, it is a minimum amount guaranteed to USF Athletics each year.  So if they go out and sell $5 million worth of sponsorships, etc., we stand to make more than that amount.

Hope that helps clarify this stuff a little bit.

Eric

Eric,

I understand the agreement. The school I work for (which I'm not allowed to mention, but it is in the midwest) has a similar deal that has turned out not to be what the school thought it would be, even though we're fairly successful.

I'm just concerned on the length, because it has been our undoing.

[USFan]

Ugh. Very similar to the deals forced upon C-DOA with CSTV after we left.

The length of the contract bothers me, because it limits us through 2017.

Further, ESPN is the devil, and anything they touch usually ends up becoming a second thought if it doesn't make them money or give them a platform.

The money is very nice. I just hate exclusive deals like this.

But FSU was willing to sign for 10 years with ISP.  It didn't bother them, albeit for quite a bit more dollars but their name is worth more right now.

For 66 Million, sign me up.

However 22 Million, while it seems like a nice number now, is not the type of number that (I hope) is going to be viable to this school in 5-6 years.

I guess I'm saying the agreement is way too long.

Eric has already mentioned it (and it's also on the press release)... this number is a minimum.

I like the deal... it's better than what we had before of approximately 500k a year.

Moving forward and bigger!  That's what I like to hear.

[Joe]

I won't go any further into detail because I'm not sure if I am allowed to talk about the involvement of my school and it's media rights publically.

However, I will say it has not worked out the way we thought it would.

[smazza]

bad deal for usf

who negotiated this deal for usf?

same money for 5 years would have been appropriate

[USFan]

bad deal for usf

who negotiated this deal for usf?

same money for 5 years would have been appropriate

I think smazza is going to have a lot of "negative horns" when the new board is released...

[SeaBull]

bad deal for usf

who negotiated this deal for usf?

same money for 5 years would have been appropriate

I think smazza is going to have a lot of "negative horns" when the new board is released...

I agree, although this post won't provide them. I actually agree with him.

[USFan]

bad deal for usf

who negotiated this deal for usf?

same money for 5 years would have been appropriate

I think smazza is going to have a lot of "negative horns" when the new board is released...

I agree, although this post won't provide them. I actually agree with him.

To some degree, sure, but not all.

There are a few things that are better.

1) This deal blows away our current one (about $500k a year)

2) When we look at the FSU deal, we have to realize that our name is not worth as much (same letters, just a different order  )

3) We can make more if we continue to rise... again, $22M is the minimum, which is also guaranteed.

4) We're still young and we have to realize what this means to us at our current stage.  This deal shows progress, which is great!

5) Did I mention that this deal is better than our current one?  

[Guest]

bad deal for usf

who negotiated this deal for usf?

same money for 5 years would have been appropriate

I think smazza is going to have a lot of "negative horns" when the new board is released...

Assuming people don't Ignore him ... I expect he will have the highest number of posters ignoring his posts.