Wednesday, March 28, 2007

H Wayne also sez

But most compelling to me was H's repeat of his season ticket price increases, particularly at the club level. He backed them and said that the Phins are still in the lower 3rd of prices, and that they're still cheaper than some other local sporting teams (ie, the Heat). I'm okay with that.

He said a lot of club seats got a "free ride" for years, and that he increased some of them when they renewed over the past few years and it "wasn't fair" to have some paying more than others. I'm less okay with that, but I generally understand.

He added that he wants to make the club section something unique and exclusive. He softly bashed Joe Robbie for not doing that, though he did say he wasn't trying to bash Joe. I can live with that, because it is all about the money, after all. It wasn't when Joe owned the team. And attracting corporations and the super-rich is profitable.

What I object to where his comments about how he *had* to increase ticket prices because player salaries are going up and because he has to pay for the stadium construction.

As I mentioned before, the stadium construction is being funded through an interest-free loan from the NFL. He also received some tax breaks from Florida while he's doing construction. So, there's basically no money out of pocket. And the revenue stream is good enough today to pay back the loan in just a few years (though I believe he has many years to pay it back).

As for player's salaries, there's this little thing called the CBA which governs how salaries are paid. Remember that TV revenue, regular-non-premium seating, and the like pays for players salaries through profit sharing. Premium seats (like club seats and suites), parking, concessions, and the like are straight profit for the Dolphins. Each team has a salary cap and gets an even portion of the revenue. Yes, there are instances with some guaranteed money has to come off the top of profit, but it still counts against the cap and will be applied in a subsequent year.

So, what I'm trying to say is that I (respectfully) disagree with his position on this. He made a comment that when he explains it to most people they understand and say "okay." But, he explained it to me and I'm not saying "okay." He's trying to make a greater profit and to ensure that corporations buy his premium seats; and he's trying to make sure the stadium sells out.

I don't have a problem with that concept. But, please don't misrepresent it and then try and convince me about it.

[aside: I now see why he created 'the loge'...those must be premium seats that he don't count in revenue sharing]

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