October 19, 2023

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Mark Davis has received lots of criticism over the years as the owner of the Las Vegas Raiders owner, plenty of it deserved. But it’s a very different story with his Las Vegas Aces, the WNBA powerhouse that just won a second consecutive title. Davis became [[link removed]] a meme with his awkward, postgame dance moves, but there is no substitute for championship glory, and Davis is delivering for the Aces — and boosting the league’s profile in the process.

— Eric Fisher [[link removed]]

Will ESPN’s Financials Impact Its Search For Strategic Investors? [[link removed]]

Ron Chenoy-USA TODAY Sports

It’s been no secret that ESPN and parent company Disney have been under growing stress.

The causes have been clear: layoffs [[link removed]], industry-wide cord-cutting [[link removed]], carriage [[link removed]] battles, and a potential sale [[link removed]] of all the company’s linear properties. But now, the public — and potential ESPN equity partners — can put a number on how much pressure the sports media giant is facing.

Disney said [[link removed]] its sport division’s operating profit — deriving from ESPN itself and Star India — fell 20% to $1.48 billion in the first nine months of fiscal 2023 from $1.85 billion in the comparable period last year. Revenue fell by 1.3% in the same period to $13.2 billion.

However, ESPN specifically generated $11.49 billion for the first nine months of fiscal 2023 and $1.89 billion of operating income — figures that still show some relative health amid a fractured media landscape.

The disclosures to the U.S. Securities & Exchange Commission mark the first time Disney has broken out its sports results in this fashion. They precede a corporate reorganization and new financial reporting structure that will take effect with the company’s fiscal fourth quarter of 2023.

Wall Street analysts said that structure will provide potential equity partners a clearer picture on the state of the business, particularly as ESPN moves toward developing a full, direct-to-consumer version of the network.

Already, the possible suitors include several top pro leagues [[link removed]] including the NFL, Amazon [[link removed]], and Verizon [[link removed]].

“The new reporting structure should help frame a more concrete debate around Disney’s strategic options and its valuation framework,” wrote Barclays analyst Kannan Venkateshwar in an investor note.

A separate research note from Bloomberg Intelligence’s Geetha Ranganathan said [[link removed]] Disney’s sports business could now be worth as much as $22 billion.

Disney is due to report its next set of quarterly earnings on Nov. 8.

NFL Debt Limit Increase Not As High As Anticipated [[link removed]]

Syndication: The Indianapolis Star

Amid skyrocketing NFL franchise valuations and rising operating costs, team owners are getting a little extra breathing room on the financial side of things — but not quite as much as some wanted.

At this week’s NFL fall meetings in New York, the league decided to allow existing owners an additional $100 million of debt.

The ceiling now increases from $600 million to $700 million, but there was some discussion of raising that figure ever higher. The NFL owners’ finance committee had reportedly been exploring [[link removed]] allowing up to $1 billion of debt.

“I thought it should be closer to $1 billion,” Indianapolis Colts owner Jim Irsay said [[link removed]] after the decision was made. “We’re always granting special waivers anyway — I’d rather see a higher debt limit in general.”

Still, the new $700 million figure is quite staggering when compared to recent years. In 2015, the debt limit was only raised [[link removed]] from $200 million to $250 million.

Also under consideration was increasing incoming owners’ debt caps from $1.1 billion to as much as $1.6 billion. However, any new potential owners will simply see the same $100 million increase and will be allowed to carry $1.2 billion. Josh Harris’ group used $1 billion in debt to facilitate the recent $6.05 billion purchase of the Washington Commanders.

Many anticipate that the Seattle Seahawks could be the next NFL franchise to be sold [[link removed]] in the coming years — and with a recent valuation [[link removed]] of $5 billion, any bidders may have to make full use of the new debt limits.

SPONSORED BY CHEVROLET

Hitting the Bike Trail With Zaire Wade

[[link removed]]

Zaire Wade is mostly known as one of basketball’s most promising young players and the son of a basketball legend. But like many professional athletes – Zaire has his own passions off the court.​

​In our new series, My Other Passion, presented by Chevrolet, we hit the outdoors [[link removed]] with some of the most recognizable athletes in sports to explore their interests outside the arena.​

​Learn how biking helps Zaire Wade move forward, find peace off the court, and gain the mental freedom he needs to succeed in pursuit of his dream.​

​Watch episode three [[link removed]] now.

Switzerland Wants Winter Olympics, Projects $1.6B In Revenue [[link removed]]

Angie Walton-USA TODAY Sports

A major city typically hosts the Olympics every other year — as with Beijing in 2022 and Paris in 2024. Sometimes, multiple cities partner for the occasion, which will be the case for the 2026 Winter Games in Italian cities Milan and Cortina d’Ampezzo.

But never has an entire country hosted the Olympic Games. Switzerland is proposing to do just that in either 2030 or 2034, targeting a Winter Games across multiple cities.

The Swiss Olympic Committee just released a feasibility study [[link removed]] touting the country’s ability to host the Games — and the benefits of doing so. The Winter Games could generate nearly $1.7 billion in revenue, the SOC said.

Officials said the opening ceremony would take place in Lausanne, the closing ceremony in Bern, and the competition itself over 12 venues in four regions. St. Moritz co-hosted the Winter Olympics in 1928 and 1948, but Switzerland hasn’t hosted any portion of the Games since.

By the time the International Olympic Committee concludes a slate of executive board meetings in Paris on Dec. 1, a Swiss bid could be given the greenlight to move forward.

Other potential bidders for the 2030 Winter Olympics currently include a Swedish [[link removed]] bid from Stockholm-Åre and a French bid involving two regions. Salt Lake City, which once considered the 2030 Games, is now targeting [[link removed]] hosting in 2034.

Conversation Starters Kirk Herbstreit is on the move again this weekend, covering 2,765 miles and three football games. Follow [[link removed]] his itinerary. On Wednesday night, with 20 seconds left in the WNBA Finals, ESPN’s broadcast got stuck [[link removed]] in a loop for over a minute. It was restored just seconds before play resumed. Check out Nike’s new ad [[link removed]] celebrating WNBA Finals MVP A’ja Wilson.

FRONT OFFICE SPORTS AWARDS

Are You One of The Best Employers in Sports?

Whether it’s great leadership, focus on diversity, equity and inclusion or commitment to employee wellbeing, the Front Office Sports Best Employers in Sports Award [[link removed]]recognizes organizations who do right by their employees.

How do we determine who wins the award? We don’t — employees do! The award is based entirely on anonymous survey results from sports industry professionals.

Responses will be evaluated in collaboration with our primary research partner, Canvs [[link removed]], using patented AI technology free from all subjectivity and human bias. There is no word count limit and you can even use slang, text abbreviations, sarcasm or emojis to complete the survey.

Tomorrow is the last day to take the 2023 employee survey! Take the survey [[link removed]] by 11:59 p.m. ET on Oct. 20 for a chance to recognize your company as one of the best in the business.

Editor's Picks After ESPN Exit, Bomani Jones Starts New Media Life On His Own [[link removed]]by Michael McCarthy [[link removed]]After a 20-year run at ESPN, Jones gets a restart with Wave Sports + Entertainment. Lawsuit Filed by Former Commanders Executive Heading to Arbitration [[link removed]]by A.J. Perez [[link removed]]A defamation lawsuit filed by a former Commanders executive seeks nearly $8 million in damages. Disney Lifts Curtain on ESPN Financials Amid Sports TV’s Uncertainties [[link removed]]by Michael McCarthy [[link removed]] and A.J. Perez [[link removed]]Disney broke out financial results for ESPN for the first time. The results were eye-opening. Advertise [[link removed]] Awards [[link removed]] Learning [[link removed]] Video [[link removed]] Podcast [[link removed]] Sports Careers [[link removed]] Written by Eric Fisher [[link removed]], David Rumsey [[link removed]] Edited by Matthew Tabeek [[link removed]], Brian Krikorian [[link removed]]

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