According to a note by rating agency, Standard & Poor's, the National Football League could weather a two-year work stoppage, Chris Isidore of CNNMoney.com reports.
S&P's report states that the largest share of the NFL's estimated $9 billion in revenue comes from $4 billion in television contracts, who will pay the league for the 2011 season, even if the games are not played.
If games are missed, the NFL will to pay that money back, with interest, when the games resume. In the meantime, however, teams will be able to use that money to meet their own financial obligations.
Another estimation by S&P was that 50%-80% of stadium-generated revenue comes from "contractually obligated income", such as luxury and club suites and stadium advertising, which are treated the same way as the television contracts.
The NFL and NFL Players Association are scheduled to hold another mediated negotiating session towards a new collective bargaining agreement on Tuesday in Washington, D.C..
0 comments:
Post a Comment