*** VD 13 Commentary Thread ***

[Kevin Seitzer]

Hello...........anyone here ?

No....

[The Feral Slasher]

I don't really know what to do about the whole coronavirus thing. Obviously it's serious. It's unclear to me whether ultimately basically everyone in the world gets it. That seems kinda bleak, but I'm not optimistic it is containable. I understand the arguments about containment attempts keeping our healthcare system from being overwhelmed even if we can't prevent most people from getting the virus. But I do worry about my parents, who are in their 80s, and whether their best approach is to be hermits for the next two months.

I'm also not wild about working in an industry that pretty much requires huge social gatherings to pay the bills.

Tellimg my 80 year old parents to stay inside too. At least for a bit

[Ken]

I don't remember off the top of my head what percentage of the revenue stream comes from TV, but I think it's around 30%. Players get about 55% of the revenue pool, and rent and other labor and fixed costs take up about another 35% of the revenue. It varies from team to team, but it can't survive on TV money for very long. That's MLB. I'm guessing the situation for other major sports is not too different.

That's strange to me - I've always assumed it was much higher than 30%. When we've seen massive shifts in payroll numbers it's always been attributed to TV contracts. If those only provide 30%, I don't get it.

[Kevin Seitzer]

That's strange to me - I've always assumed it was much higher than 30%. When we've seen massive shifts in payroll numbers it's always been attributed to TV contracts. If those only provide 30%, I don't get it.

Again just working off the top of my head, so my numbers might not be quite right, but if a typical MLB payroll is around $150M, lower end teams are around $100M and higher end teams are around $200M. An opening day payroll of $150M implies somewhere around $330M in revenues, with $182M going to MLB and minor-league player payroll, benefits, and signing bonuses. Then 30% of $330M is $99M for TV revenue. Some of that is local TV revenue and some is league TV revenue. If a team signs a new TV deal that boosts their annual revenue by $30-40M, you can see how that can enable a huge move in MLB payroll ranking while still being maybe only a 10% boost to their overall revenue number.

Gate is by far the biggest driver of MLB revenue. Concessions, merchandising, and sponsorship are relatively small in comparison. Obviously, a million here and a million there still adds up (haha), but in terms of the overall budget it doesn't make a huge impact the way that gate revenue does.

[Bene Futuis]

Ken - clear out your PMs!

[Ken]

Ken - clear out your PMs!

cleared out and ready to take all the Lite Caesar orders again. Demand is high

[Ken]

Gate is by far the biggest driver of MLB revenue. Concessions, merchandising, and sponsorship are relatively small in comparison. Obviously, a million here and a million there still adds up (haha), but in terms of the overall budget it doesn't make a huge impact the way that gate revenue does.

Great information here, I have a new perspective, thank you.

[The Feral Slasher]

Heye - clear out your BMs!

I thought he did that a week ago or so ?

[heyelander]

I thought he did that a week ago or so ?

this is so sad... I mean it was a funny "fixed" but I thought you had just changed the PMs. I was excited that someone wanted to have a conversation with me. I even cleared my PMs before I read it all.

On a slightly better note... I've got someone going on that I don't want to jink.

[The Feral Slasher]

this is so sad... I mean it was a funny "fixed" but I thought you had just changed the PMs. I was excited that someone wanted to have a conversation with me. I even cleared my PMs before I read it all.

On a slightly better note... I've got someone going on that I don't want to jink.

I was going to send u a pm on your boeing stock comment ! Holy shit

[The Feral Slasher]

I find myself putting 4 dots in my work emails, lol. Ken probably only uses two

[Kevin Seitzer]

What a weird day. I saw this coming, but still. I wonder when we will play baseball again. I wonder how everyone will be doing when we do.

[The Feral Slasher]

What a weird day. I saw this coming, but still. I wonder when we will play baseball again. I wonder how everyone will be doing when we do.

The last 2 days have been like 2 years of normal news. Everything is changing and we just have no idea where this all ends....It's kind of amazing to see how big institutions are reacting and how the federal government is a fucking piece of shit and has been lying and dodging. Still in denial.

On a personal note, my wife still needs to go in to work, at a new office, not at school. Makes me kind of nervous but that may be shut down soon I suppose. We still have a relatively low death count for people under 80, I really hope something is different here than Italy, but it's really scary.

[Bene Futuis]

My kid’s school just got closed for three weeks. His soccer and baseball leagues are indefinitely suspended. The county courts are partially closing but I bet they’re shut down by next week. All hearings are to be conducted via telephone and they’re not transporting prisoners in for hearings. All civil trials are suspended.

[The Feral Slasher]

My kid’s school just got closed for three weeks. His soccer and baseball leagues are indefinitely suspended. The county courts are partially closing but I bet they’re shut down by next week. All hearings are to be conducted via telephone and they’re not transporting prisoners in for hearings. All civil trials are suspended.

That is good news that there arent a lot of cases in your area (i think) yet peope are still taking action. I am a little disturbed in seattle that people still go out to eat feom what i have seen. Really a hard call because small businesses (and large) are going to get hammered