Not to be a wet blanket here, and please correct me if I am wrong…

but I believe that a $15M naming rights contract will be paid $1M per year for 15 years so we do not have access to that money up front.  What it does do, is give us the guarantee that we will have x number of dollars coming in for a number of years.

Getting that commitment may still give us the ability to break ground, but just wanted to state how the naming rights will most likely work.

fauowl said

"Not to be a wet blanket here…"

Better to be a wet blanket, than a dirty wet blanket  ;D

and yes, you are correct on your purport..BUT, it doesnt have to be 15yrs…thats a soft and negotiable term of the deal…

Besides,  it wouldnt be in anyones interest to committ to a term of that length…you dont know how things will go…the vaule can turn sharply upward over time (in which the school would lose), or downward (and the business would lose)…better left a moderate length initially until fully entrenched within a conference, etc…

Florida_Owl said

BUT, it doesnt have to be 15yrs…thats a soft and negotiable term of the deal…

Agreed.  Just used that example as that is what the UCF deal is with Bright House (I believe to the best of my knowledge).  I thought that was a long deal myself, but maybe it works for both parties in that case.

fauowl said

Agreed.  Just used that example as that is what the UCF deal is with Bright House (I believe to the best of my knowledge).  I thought that was a long deal myself, but maybe it works for both parties in that case.

judging by the way things are going for them, yeah…but considering where we could be in 5 years, that wouldnt work for us…they could do it, and always put a "clause" in, etc…ie:

"Should FAU enter a more prominent conference, such as The Big East, etc, it will receive rights of immediate re-negotiation, and or refusal to remain bound to remaining contractual terms."

That's the way to go IMO…

These are all long-term deals. Movie Gallery pays Troy $250,000 per year for 20 years (which now seems like a bargain).

BMarkey said

These are all long-term deals. Movie Gallery pays Troy $250,000 per year for 20 years (which now seems like a bargain).

my EXACT point…someone should have thought that through before they allowed that to happen…thats a JOKE of an annuity for a rising program like Troy……

At the time, that was groundbreaking, the first time a college stadium gained a paying sponsor. And $5 million sounded good for a new stadium in a somewhat rural town of 15,000 people.

If MG ever goes under, Troy can re-sell it for more. I think UCF is getting $20 million.

BMarkey said

If MG ever goes under, Troy can re-sell it for more. I think UCF is getting $20 million.

When does their contract expire? I'm sure Troy will try to line up other sponsors to at least pressure MG into paying more to keep the name.

Troy's contract is good for another 14 years or so, but I don't think Movie Gallery will last that long (not as a bricks-and-mortar entity, anyway). Blockbuster and the rest won't last either.

I just rented a movie from a machine at Publix for $1. And, of course, there's DirecTV and the PPV cable offerings, plus the Internet downloads that are picking up steam.

I would shop at Movie Gallery if a store was near me, because of its sponsorship.

BMarkey said

Troy's contract is good for another 14 years or so, but I don't think Movie Gallery will last that long (not as a bricks-and-mortar entity, anyway). Blockbuster and the rest won't last either.

I just rented a movie from a machine at Publix for $1. And, of course, there's DirecTV and the PPV cable offerings, plus the Internet downloads that are picking up steam.

I would shop at Movie Gallery if a store was near me, because of its sponsorship.

You're right. Blockbuster is probably a dying breed in its current form.

As soon as Netflix hit the scene, it made sense because you could have people recommend movies to you plus you can queue movies as well. The downside is that renting a movie is largely spontaneous and that's where Blockbuster still wins out.

Similarly with the $1 machine  – which I've talked to both Dr.Brown and the Residential Student Association about getting on campus, to no avail… Dr.Brown thought that FAU would be liable if students were caught making copies but I doubt it – anyway, with the $1 DVD machines, they only have newer rentals and titles are often rented out because they can only hold so many movies.

Therefore Blockbuster has an edge over that too. So we'll see.