- 10 -
During the years at issue, the NFL revenue sharing program
applied to gross revenues derived from national broadcasting
rights and ticket sales, the two major sources of revenue for
each team. All broadcasting of regular and post-season games was
carried out under the terms of periodic league-wide contracts.
The revenues from the broadcasting were shared equally among all
NFL teams. Revenues derived from ticket sales were also shared,
but on a different basis. Generally, the home team received 60
percent of ticket revenues, plus an additional 15 percent for
expenses, and the visiting team was entitled to the balance.
By 1985, stadium operations provided a third potential
revenue source for NFL teams. These included revenues from
luxury suites, advertising, parking, concessions, novelty sales,
promotional allowances, and similar payments. The NFL's revenue
sharing rules, however, did not apply to revenues generated from
stadium operations. Consequently, if structured appropriately, a
team's stadium lease could be converted from an expense item to a
source of revenue.
Economic Impact of the Saints
At all relevant times during the years at issue, tourism and
entertainment have been among the leading industries in the City
of New Orleans (occasionally the City or New Orleans) and the
State of Louisiana. Moreover, because of the team's ability to
attract fans and stimulate local business, the Saints have been
one of several important elements in that industry.
Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Next
Last modified: May 25, 2011