Mike in Horseheads Posted June 28, 2016 Share Posted June 28, 2016 Why does anyone think that Pegs will sell the team? My guess Doc is because he hasn't won a Stanley Cup or Super Bowl yet. Lots of short fuses here and The Buffalo News hates him for not kissing their feet. Link to comment Share on other sites More sharing options...
Saxum Posted June 29, 2016 Share Posted June 29, 2016 My guess Doc is because he hasn't won a Stanley Cup or Super Bowl yet. Lots of short fuses here and The Buffalo News hates him for not kissing their feet. Wish he'd buy the Buffalo News and replace the sports News department, Link to comment Share on other sites More sharing options...
Mr. WEO Posted June 29, 2016 Share Posted June 29, 2016 Wish he'd buy the Buffalo News and replace the sports News department, Holy cow..... Where to begin? Link to comment Share on other sites More sharing options...
ddaryl Posted June 29, 2016 Share Posted June 29, 2016 (edited) Team payroll takes up a large chunk of that. then coaches scouts and office personnel, add in insurance policies and the cost of equipment and utilities etc... not much left over but definitely net positive for Pegulas Edited June 29, 2016 by ddaryl Link to comment Share on other sites More sharing options...
Doc Posted June 29, 2016 Share Posted June 29, 2016 then coaches scouts and office personnel, add in insurance policies and the cost of equipment and utilities etc... not much left over but definitely net positive for Pegulas I didn't mean to imply they don't make money. But it's not even close to the $222M. Link to comment Share on other sites More sharing options...
ddaryl Posted June 29, 2016 Share Posted June 29, 2016 (edited) Holy cow..... Where to begin? I actually agree. The Buffalo news is so pathetic I'd rather have whitewashed news from a sports team owner I didn't mean to imply they don't make money. But it's not even close to the $222M. the salary cap alone is $155 million. Coaches insurance policies on player contracts are HUGE Utility costs equipment cost. according to Forbes the Bills operating income is $44 million add that to $155 million salary cap and there is $22 million left over from TV revenues. The Bills total revenue was $296 Million before taxes and that includes TV revenue. I would say at the very best the Pegulas receive a $50 mil ROI each year. so divide that into 1.4 billion it would take 28 years for the Pegula's to recoup the initial investment without sale, and I believe my $50 mil is quite generous so probably longer Edited June 29, 2016 by ddaryl Link to comment Share on other sites More sharing options...
Mr. WEO Posted June 29, 2016 Share Posted June 29, 2016 I actually agree. The Buffalo news is so pathetic I'd rather have whitewashed news from a sports team owner the salary cap alone is $155 million. Coaches insurance policies on player contracts are HUGE Utility costs equipment cost. according to Forbes the Bills operating income is $44 million add that to $155 million salary cap and there is $22 million left over from TV revenues. The Bills total revenue was $296 Million before taxes and that includes TV revenue. I would say at the very best the Pegulas receive a $50 mil ROI each year. so divide that into 1.4 billion it would take 28 years for the Pegula's to recoup the initial investment without sale, and I believe my $50 mil is quite generous so probably longer This isn't how it works. It's an investment property that provides a huge dividend even to the lowest revenue teams. It's somewhere to park your billions while it appreciates to several billions more automatically...while providing tens of millions of extra money in your pocket. It's like owning a giant building that is fully rented and getting top dollar per foot while the value of real estate keeps going up---except owning a team is much more prestigious and fun. Where else is Pegula going to put 1.4 billion and get all of that in return? And he's getting that without even lifting a finger to increase team revenues. This investment can generate 300 million a year no matter what he trots out onto the field...no matter how mediocre the product. People mock Dan Snyder, but despite of his "mismanagement" of the team and the "outrage" over the name of his team, he has seen the value of his investment triple in 20 years. That's a massive ROI. Link to comment Share on other sites More sharing options...
Fadingpain Posted June 29, 2016 Share Posted June 29, 2016 The real money in NFL ownership is not annual profit, but selling a team at a price way higher than you bought it at. That's why the ownership group loves Pegula. He overpaid for the team and provided a high comparable selling price for future sales. Link to comment Share on other sites More sharing options...
DirtDart Posted June 29, 2016 Share Posted June 29, 2016 The only issue, as has been pointed out, the longer they wait the more it costs. But good point about the additional seats that they may have today vs a new stadium. Given that it's surprising we are so low league wide for revenue. How can people afford some of these season tickets at other stadiums. I'm guessing the box prices differ quite a bit. But I don't think those are shared. Having lived in Maryland, I know the PSL for Ravens seats are twice the amount of the actual season ticket price. The area wouldnt be able to sustain that type of hike in pricing and stay viable. Link to comment Share on other sites More sharing options...
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