How Much Do You Think The New Deal Is Worth???

Last time TSN signed a CFL deal, the initial report was $36M/yr. Then $40M. The consensus settled in at $43M/yr.

TSN and the CFL inked a 3 year extension today - until 2021. If I was a betting man, I'd bet the extension was a condition of the Argo sale. Now we are left trying to guess how much of an increase, if any, the CFL received.

Why I think the amount per year is the same as the last contract...

  • Buying the Argos was not cheap for BCE. They, along with Larry Tanenbaum, will have to cover the Argos' BMO costs - $10M for the Fed's portion and (perhaps) $10M for the province. Assuming Braley got $10M for the Argos and the team loses another $20M between now and 2021, Tanen-Bell could be in the hole up to $50,000,000. In return, they'd want an extension at little or no extra cost.
  • The CFL needs BCE to ensure the Argos are safe and give them access to the Toronto Corporate market.

Why I think the amount per year is (much) higher than the last contract...

  • The teams out West would NOT sign an extension without an increase - they have little or no sympathy for the Argos or the teams in the East.
  • The market rates for CFL TV numbers are much higher after the NHL deal(s).
  • TSN NEEDS the CFL and (hopefully) the CFL knows it.

Add it up and I'm guessing the deal averages $55M/yr.

Information on the deal will leak over the next couple months - it will take a while before we get an exact number.

How much do you think the average will be, per year, between now and 2021?

I'm going to say the same for lack of any other information.

If it's more or if an inflation escalator is built in then all the better.

Now if the poll does not allow a guess to go over the actual retail price.....I'll say it's 1 dollar Bob 8)

Maybe that’s the handshake for Bell taking on the Argos…

And

A big FU to Rogers :smiley:

Well if they didn't get a minimum of $50M for the additional years, again the league got snookered.

How could they get snookered when their broadcaster took their mortally wounded franchise off their hand ? CFL governors should kiss George's feet every time they see him.

I just can't believe the Western teams would agree to re-sign with TSN without an increase - especially when there was still 3 years on their current contract. Buying the Argos wouldn't be enough, based on the past, to believe they would forgo additional monies. Hell, they didn't care when C&S threatened to walk away and they've shown NO empathy or concern for the Argos when they were in financial trouble before. What changed?

I could see them re-signing with TSN but there would have to be some financial reward. That is why I believe there was a increase. It may not have been as big as it would be if BCE didn't buy the Argos but I'm sure it was still there.

Based on past experience, I believe Edmonton, Saskatchewan, Calgary and Winnipeg would say,

"We'd like the Argos to survive but this League has lived with 8 teams in the past and can do so again. If TSN doesn't give us an increase then let the Argos fail and we'll take our chances renegotiating in 2018."

However, if BCE/TSN tells Edmonton, Saskatchewan, Calgary and Winnipeg,

"We'll buy the Argos PLUS give you a (small) increase over the remaining 4 years of your current deal, IF you extend until 2021."

then, I think, everyone buys in. So, instead of getting $43M/yr until 2018 and then hoping for a LARGE increase, they agree to $55M/yr (my number) for every year up to 2021.

You know what they say about A Bird In Hand.

I just wanted to focus on this part your post . . . I wonder what the relationship is like exactly between Bell and Tanenbaum. Of course, Bell would like an extension at the same rate, but why would Tanenbaum want that? Does he have some stake in Bell or TSN? If not, then he'd logically want as much out of the TV rights as possible.

Also, I think your estimated $20 million in losses could be an overestimate, especially when you factor in hosting a Grey Cup or two.

It's not a NEW deal it's an extension - therefore it's the same deal but it's extended to 2021, therefore the same income.
It's a good deal for TSN since they don't have to negotiate again in 2017 and a good deal for the CFL, they are gambling that there won't be much competition in 2017 and this gives them 6 more years of stability and 6 more years of TV ratings.
There is no guarantee that the contract would be negotiated higher in 2017, there is that risk with no competition from other networks and a drop in TV ratings that they could be offered a smaller contract.

As part of the [b]extension[/b], TSN and RDS continue to hold exclusive media rights to all CFL games, including pre-season, regular season, playoffs, and the iconic celebration of Canadian sports that is the Grey Cup. In addition to broadcast and digital rights, the deal features exclusive radio rights to the Grey Cup for Bell Media’s Grey Cup Radio Network.

Wow, that's quite the assumption (stated as pure fact). Just because a deal is extended doesn't mean the terms haven't changed. It might be for more money, might be for less, might be the same. I would assume it is for more money.

I think it probably stayed the same.

If you look at numbers for ratings and and attendance - they are not increasing, they are going the wrong way.

Overall though I think revenues are up, but does TSN care so much about that? They care about eyeballs to sell advertising. I don't see how they can increase the amount they spent so much, when it is clear to anyone watching the games that they are not attracting high quality advertising (Zoomies anyone) unless they really see a turn around in #'s.

They may increase the offer, taking a gamble that when everything is 'normal' in 2016 that could be a new beginning for the league, and ratings increase, and they have cost certainty until 2021.

End result, no one here knows anything, its funny to see people get so worked up.

Time to move on to training camp talk...

Since the Argos are moving out a year early. We should see grass in the dome real soon :roll:

REALLY. SO YOUR SAYING THE #1 SPORTS PROPERTY IN CANADA FOR THE SUMMER MONTHS AND THE #2 SPORTS PROPERTY OVERALL FOR CANADA, SHOULD COUNT THEMSELFS LUCKY TO HAVE THIS DEAL. DON'T KID YOURSELF, ROGERS WOULD KISS THE CFL FEET IF THEY THOUGHT THEY COULD GET THE CFL TV RIGHTS, SAME WITH GLOBAL AND CBC. WHY DO YOU THINK TSN LOCKED IN THEIR DEAL. YOU DON'T LET A LEAGUE LIKE THE CFL WHO RECIEVE THE RATES THEY GET ,GO. TSN DOES NOT WANT THE CFL TO GO TO MARKET,BECAUSE OF THE FACT NETWORKS WOULD BE DRIVING UP THE PRICE

SURE BELL WANTS TO ENSURE ITS INVESTMENT IN THE TV RIGHTS, SO BUYING THE ARGOS MAKES SENSE. HOWEVER MLSE (WITHOUT ROGERS0 WOULD NOT BUY THE TEAM IF THEY THOUGHT THEY WOULD TAKE MAJOR LOSSES. IF HAMILTON IS PROFTIBALE NOW ON 22,000, SO WILL THE ARGOS AT 20,000 TO 23,000 PER GAME. I THINK THE ARGOS ON IN THE BLACK ON YEAR 2 OF THE BMO MOVE. OF COURSE MEDIA FOLKS IN ROGERS WON'T REPORT THIS FACT

You guys have to stop "feeding" him. I've noticed he's become even more negative since the Argos announced their new ownership. I wonder why ? :lol:

Argos new owners
New BMO field
TSN extension
New TV presentation
New Web site
New stadium in Saskatchewan
Improved ratings in the States
Bills stay in Buffalo, new stadium soon to be announced

Doom and Gloom :cowboy:

YES, that's what I'm saying and that's what the CFL and TSN are saying by agreeing to an extension. It's a contract extension not a NEW contract.
And no Rogers won't negotiate with the CFL in two years time especially since their competitor owns the Argos and they have spent so much money on the NHL.

NOT my words, so stop shooting the messenger!!

Essentially, negotiating this extension at this point rather than closer to 2018 provides the CFL with some long-term stability and security. It also could be a useful hedge against declining ratings or a potential advertising bubble. The league will be under less immediate pressure to draw big numbers of viewers now, and if there's some major crash in the value of TV sports rights, the CFL won't be hurt by it until at least 2022. Moreover, this gives TSN yet more incentive (and they already had plenty) to work to promote the CFL and make it a pillar of their own long-term strategy. However, locking into a long-term deal now rather than near the contract's expiry, and doing so without any apparent negotiations with other broadcasters, may limit the financial upside for the CFL. In particular, if the game continues to grow and the values of sports rights continue to rise the way they have over the last decade, the decision to extend this deal now may look like a bargain for TSN.
[url=https://ca.sports.yahoo.com/blogs/cfl-55-yard-line/cfl-extends-tv-radio-digital-contract-with-tsn-rds-through-2021--a-good-move-231945456.html]https://ca.sports.yahoo.com/blogs/cfl-5 ... 45456.html[/url]

Agree, 100%.

Well, said. Lots of good news with more to follow. Things are looking up and miles ahead of where we were 20 years ago. :thup:

I disagree, Jim.

First, I have negotiated extension before and terms do change.

Second, you keep quoting an article that is old when saying Rogers does NOT want the CFL. I, for one, do not believe that. I believe they would happily steal the rights and put the games on TheScore 360.

Last, even if Rogers does not want the rights, they don't want TSN to get them cheap. Given how predatory Rogers is, I could see them bidding, if for no other reason than to raise TSN's costs.

All of this is (common) business sense.

I agree. TSN does NOT want Rogers to have a chance at the CFL. They worry they may lose the rights and they worry Rogers may drive up the costs.

Soon, very soon we won’t have to mention Rogers on here ever again :smiley:

We need to bash them. :slight_smile: