- Joined
- Sep 22, 2008
- Messages
- 4,329
- Reaction score
- 2,486
So who is making the money for Kentucky, ND, Louisville...In financial world "losing money" is usually a situation where the investor is earning less that what he might be earning in other investments of equal risk. For example, someone who invests in a sports franchise might expect to earn 10% annually on his money. If he were to earn 5-6% a year for awhile, he might think that he is "losing money" in the sense that he could have earned more elsewhere, or that he might sell his position and invest his money elsewhere. In the NFL, there was almost no appreciation for 5 years and earnings were under 4% for the average team. There were lots of better investments. HOWEVER, last year the additional value (earnings plus appreciation) was about 25%, a pretty good deal.
The BOTTOM line is that last year was a very good year, and that the future is likely to be very good, given the contracts with players and networks.
Whoops, the same companies crying poor over NFL contracts...