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- #21
What the NFL isn't admitting is that only ONE-QUARTER OF THE NFL'S YEARLY REVENUE IS RELATED TO FAN ATTENDANCE. The NFL is in better shape than most sports in that regard. Also what the NFL isn't saying is that each year each team receives about $300M just from the TV revenue, so that isn't counting the team product sales. That TV revenue is what is keeping teams like the Chargers afloat.
Will they take a hit? Absolutely, but not nearly the doom and gloom being projected. Okay, why do I keep saying it looks like a 14 game season? It's because of exactly that TV revenue. If the NFL drops two regular season games each team loses about $37.5 M in TV revenue. So now that $40 M the NFL wants from the players is more than coincidental IMO. As I've pointed out the CBA is play to get paid, with a notable exception, the guaranteed money. If the NFL can get the concession of a player pay reduction of $40M it covers the lost TV revenue if they go to a 14 game season as the concession would have to be blanket (i.e. covering guaranteed money being deferred a year).
That is why the NFLPA is fighting back and countering with a spread the financial hit over several years to protect player contracts. The owners simply want it all in one hit with the players carrying the burden. When I said the key to understanding the NFL is "what would a greedy man do", this is a prime example of it. If they played the 14 game season without the concession the owners would take about an average of 15%-40% hit on their bottom line. Almost all the teams would still show a profit of some sort. But teams like the Chargers which is run like a family business, the hit is magnified.
Will they take a hit? Absolutely, but not nearly the doom and gloom being projected. Okay, why do I keep saying it looks like a 14 game season? It's because of exactly that TV revenue. If the NFL drops two regular season games each team loses about $37.5 M in TV revenue. So now that $40 M the NFL wants from the players is more than coincidental IMO. As I've pointed out the CBA is play to get paid, with a notable exception, the guaranteed money. If the NFL can get the concession of a player pay reduction of $40M it covers the lost TV revenue if they go to a 14 game season as the concession would have to be blanket (i.e. covering guaranteed money being deferred a year).
That is why the NFLPA is fighting back and countering with a spread the financial hit over several years to protect player contracts. The owners simply want it all in one hit with the players carrying the burden. When I said the key to understanding the NFL is "what would a greedy man do", this is a prime example of it. If they played the 14 game season without the concession the owners would take about an average of 15%-40% hit on their bottom line. Almost all the teams would still show a profit of some sort. But teams like the Chargers which is run like a family business, the hit is magnified.