Skip navigation
MOST POPULAR RELATED TAGS
  • TOPICS
  • SECTORS
  • COMPANIES
Sports Biz Video Gallery
The Ultimate Fighting Championship has trumped the boxing world and become a billion dollar business, reports CNBC's Dar...
TV pitchman Billy Mays was found dead in his Florida home on Sunday. CNBC's Darren Rovell has the details.
darren rovell's sports index
Loading...
Loading...
Loading...
Loading...
Loading...
Loading...
Loading...
Loading...
Loading...
Loading...
Loading...
Loading...
Loading...
Loading...
Loading...
Loading...
Loading...
Loading...
Loading...
Loading...
Loading...

RSS FEED

» Help

Current DateTime: 10:44:41 10 Jul 2009
LinksList Documentid: 30212900

SPORTS BIZ VIDEO GALLERY

» More

Current DateTime: 10:44:42 10 Jul 2009
LinksList Documentid: 30231077
    • UFC 100  7 hrs ago

        The Ultimate Fighting Championship has trumped the boxing world and become a billion dollar business, reports CNBC's Darren Rovell.

    • TV Pitchman Billy Mays Dead at 50  29 Jun 2009

        TV pitchman Billy Mays was found dead in his Florida home on Sunday. CNBC's Darren Rovell has the details.

    • Nike: Not Doing It  25 Jun 2009

        The athletic company faces an uphill battle after its earnings fall 30%, reports CNBC's Darren Rovell.

    • Likely #1 Draft Pick  25 Jun 2009

        Blake Griffin, the likely number one pick in Thursday's NBA draft, talks to CNBC's Darren Rovell.

    • Kyle Busch  24 Jun 2009

        One of the key selling points of a NASCAR sponsorship is driver access. Kyle Busch spent the day at sponsor M&M, getting a tour of the plant and signing autographs for employees, with CNBC's Darren Rovell.

    • Tony Stewart  24 Jun 2009

        Tony Stewart is a winner both on and off the track. The two-time Sprint Cup Champion also runs a dozen other businesses, including racetracks and a public relations firm, with CNBC's Darren Rovell.

Sports Biz Blog
Text Size
Jul.14
2:47 PM ET
Monday, 14 Jul 2008
New York Yankees Will LOSE Money In 2008

New York Yankees
CNBC.com
New York Yankees

I just interviewed New York Yankees president Randy Levine and chief operating officer Lonn Trost. Despite the fact that the Yankees are the first team to draw four million fans for four consecutive seasons, Levine said they will still lose money this year.

Darren: What does having the All-Star Game at Yankee Stadium mean to you?

Trost: It's the acknowledgement of the history and tradition of the great ballpark that was built in 1923 and then retrofitted in the mid-70s and it's a fond farewell to this great cathedral as we're about to open up just across the street this magnificent edifice that we've replicated.

Darren: At $1.3 billion, the New Yankee Stadium is the most expensive stadium ever built in the United States. The price of steel has almost doubled in the last year. How does that affect that estimate?

Levine: It hasn't changed, Darren. The stadium is being built on budget and on time. It's been a tremendous effort by a lot of people. Every day, you walk it, you see it growing and you see it being the phenomenal replica of the 1923 stadium.

Darren: So those (steel) prices are locked in then?

Levine: Yes. Everything is locked in.

Darren: The big news in the financial world today is Anheuser-Busch getting acquired by InBev. Anheuser-Busch, the biggest advertiser in all of sports, the sponsor of major league baseball and 26 teams. Any idea how that might change sports spending?

Trost: They've made their name in this country. They've made their name internationally. I don't think much will change on that front. They have long-term agreements, not only with us but with professional teams and professional leagues throughout the sports industry. So I don't really think there will be any major changes, certainly on a domestic level.

Darren: It's always a popular story at the end of the year when people come out with the story on the Yankees. Despite what they've done, they didn't make money. For years, we've heard the payroll combined with revenue sharing resulting in double-digit losses. The way you work it and the way the Steinbrenners pump money back in the team. What's the state of the bottom line going to be in 2007 with four straight years of more than four million fans?

Levine: I think obviously our bottom line is affected by revenue sharing and luxury taxes. That's one thing George Steinbrenner always insisted on is putting his money back into the team. However, next year, with the new stadium, I think things will turn around in a serious way. And we've also been very, very fortunate to maximize the Yankee brand and other ventures. So the Yankees are financially in very, very good shape.

Darren: So, red is still the color for this year, then?

Levine: I anticipate it. With $100 million in revenue and luxury tax sharing, the answer is yes. But that will clearly change next year.

Questions?  Comments? 

© 2009 CNBC, Inc. All Rights Reserved

Tools:
PrintEmailAdd This share icon
Next Post


Current DateTime: 09:59:41 10 Jul 2009
LinksList Documentid: 29778428

Current DateTime: 01:04:09 10 Jul 2009
LinksList Documentid: 29779196

Current DateTime: 10:42:21 10 Jul 2009
LinksList Documentid: 29779199

Current DateTime: 01:05:34 10 Jul 2009
LinksList Documentid: 29779198
CNBCCNBC
About CNBC  |  Site Map  |  Privacy Policy  |  Terms of Service  |  Video Reprints  |  Advertise  |  Help  |  Contact
Partners: AOL Money  |  BloggingStocks.com
CNBC is a Division of NBC Universal
  Data is a real-time snapshot *Data is delayed at least 15 minutes
Global Business and Financial News, Stock Quotes, and Market Data and Analysis

© 2009 CNBC, Inc.  All Rights Reserved.
Thomson ReutersThomson Reuters