| | The Daily Insider
Afternoon News & Headlines
Tuesday, October 19, 2004
4:00pm ET | |
| |
| • | XM Satellite Radio Teaming With MLB In Largest Satellite Radio Deal Ever |
| • | Reebok Providing Special Cleat For Red Sox P Curt Schilling For Start Tonight |
| • | VO5 Hair-Care Brand Title Sponsoring Breeders’ Cup Filly & Mare Turf |
| • | Cowboys Gear Prohibited From Polling Centers With Stadium Issue On Ballot |
| • | NBC Earns 14% Increase For Saturday’s NASCAR Nextel Cup UAW-GM 500 |
| • | Buzzer Beaters/Tonight’s Events/Channel Surfing/In Other News/The Daily Stat |
XM SATELLITE RADIO TEAMING WITH MLB IN 11-YEAR, $650M DEAL
By Terry Lefton, Editor-at-Large, The Sports Business Daily
XM Satellite Radio is close to taking the wraps off a deal with MLB that would be the largest in the brief history of satellite radio. Sources said the 11-year deal — expected to be unveiled sometime before the first game of the World Series this Saturday — is worth as much as $650M in cash and stock. They added that the agreement won’t begin until 2005.
The deal brings into sharp focus the competition between XM and Sirius Satellite Radio, the two heavyweights of the developing segment, each of which hopes that by signing big-name, big-dollar content deals, they will be able to grow what are now relatively small subscriber bases. XM has about 2.5 million subscribers; while Sirius has about 700,000. Steve Mather, a research analyst who follows satellite radio for Sanders Morris Harris, L.A., said, “I think it’s safe to say this has become an arms race with the money they are paying for talent. At these prices, they’d be better off selling consumers on (satellite radio) itself.”
Sirius execs have long said that the deal it signed with the NFL in December is as important as a branding device as it is for content. The addition of MLB to the its lineup helps XM level the playing field, since baseball has more than 10 times as many games and has been a staple of radio almost since the medium started. Sirius paid about $220M for its seven-year deal with the NFL, an interesting comparison to these latest MLB numbers. Nonetheless, the money is flowing. Sirius recently signed Howard Stern to a five-year, $500M deal. With the concomitant publicity, Sirius said it gained more than 69,000 new subscribers in September to pass the 700,000 mark. In the sports arena, Sirius has deals with the NHL, AVP and top-tier college basketball and football programs, including Notre Dame, Michigan, Oklahoma, USC and Nebraska. Its rights deal with the NBA is expected to be renewed shortly. XM’s sports offerings include an exclusive deal with NASCAR, and college conference deals with the Big Ten, the ACC and the Pac-10.
SCHILLING WEARING SPECIALLY-DESIGNED REEBOK CLEATS TONIGHT
Red Sox P Curt Schilling tonight during his start in Game Six of the ALCS will wear a specially-designed version of his Reebok Vero cleat aimed at decreasing the pain on his right ankle. The BOSTON GLOBE noted the first shoe Reebok sent the pitcher “was too small and hurt Schilling’s toes.” Red Sox manager Terry Francona: “For all of the publicity they are getting, they ought to be able to get the right size.” Reebok has sent Schilling a new pair (BOSTON GLOBE, 10/17).
During last night’s ALCS Game Five, Fox’ Chris Myers reported on the new cleat and noted, "They already have the Curt Schilling number on the back. Reebok, doing its best to help Curt Schilling do his best if he pitches in Game Six, and now I can show you something in a suede loafer if you want.” Fox’ Joe Buck: “Chris Myers will be outfitted in Reebok the rest of his life. Shameless. If Chris Myers can get Stephen King to hold up the Reebok then we’ve got a story” (Fox, 10/18).
ALBERTO-CULVER’S VO5 BRAND TITLING BREEDERS’ CUP RACE
The NTRA today announced that Alberto-Culver has inked a deal for its VO5 hair-care brand to title sponsor the October 30 Breeders’ Cup Filly & Mare Turf race, which will be called the VO5 Breeders’ Cup Filly & Mare Turf. Alberto-Culver sponsored the Breeders’ Cup Sprint in ’89 and the Filly & Mare Turf in ’00. The company is also the official hair-care provider of the ’04 Breeders’ Cup (NTRA).
ESPN ANNOUNCES LINEUP CHANGES TO NBA STUDIO SHOWS
ESPN today announced that John Saunders and former NBAer Mark Jackson will join the net's NBA studio coverage. Saunders replaces Kevin Frazier as host of "Kia NBA Shootaround," which generally airs leading into the net's Friday doubleheaders. Jackson will appear occassionally on select studio shows. Meanwhile, Matt Winer will host ESPN2's "NBA Nation," formerly "NBA Fastbreak Tuesday," and "NBA Fastbreak" alongside analysts Greg Anthony, Tim Legler and Stephen A. Smith. "NBA Nation" will air Tuesdays with live cut-ins and highlights of games, while "Fastbreak" will air Saturday-Wednesday to review the night's action (ESPN).
COWBOYS GEAR BEING BLOCKED FROM ARLINGTON VOTING BOOTHS
The DALLAS MORNING NEWS reports that Arlington residents who wear Cowboys gear to the polls on November 2 will not be “allowed to vote unless they cover or remove any visible mention” of the team. If the garment can not be covered, reversed or removed, “voters deciding on whether the city raises taxes to help build a stadium for the team will be asked to wear paper gowns” (DALLASNEWS.com, 10/19).
The AP notes that Texas law “prohibits voters at the polls with clothing, jewelry or badges that promote or denounce a candidate or proposition on a ballot” (AP, 10/19).
BUZZER BEATERS
MLB today announced that it has begun the preliminary process that will lead to the sale of the Expos. MLB Senior VP & General Counsel Thomas Ostertag is handling requests for application materials (MLB).
NBC earned a 4.9/9 final Nielsen rating for Saturday’s broadcast of the NASCAR Nextel Cup Series UAW-GM Quality 500, a 14% increase over last year’s 4.3/18 (NBC).
TNT today announced that former ESPN reporter David Aldridge has joined the net as an NBA reporter. Aldridge worked for ESPN from ’96-04 (TNT).
The Hawks have hired former NBAer Grant Long as their TV analyst for the team’s 30-game schedule on FSN South. Long will team with Bob Rathbun (FSN South).
Univ. of Kentucky men’s basketball coach Tubby Smith is partnering with NEMCO Motorsports, which is owned by NASCAR driver Joe Nemechek, to field a Chevy in the NASCAR Busch Series beginning next year with driver Jamie Mosley (NEMCO).
Moody’s Investor Service “affirmed the NFL’s G-3 program A3 debt ratings, judging the league’s outlook as stable.” Much of the league’s performance is tied to its TV deals. Moody’s predicts the next round of deals will increase to “a level near the mid double digits above that of the average of the current contracts” (CableFAX Daily, 10/19).
GMAC Commercial Finance’s Retail Finance Group today announced that it has granted The Athlete’s Foot a $20M credit facility (GMAC Commercial Finance).
UCLA officials “will reassess what is feasible in their plans to renovate aging Pauley Pavilion after cost estimates came in higher than expected in a meeting Monday with design architects” (ORANGE COUNTY REGISTER, 10/19).
U.S. Olympic Gold Medal-winning sprinter Alvin Harrison “has been banned for four years after he admitted taking” performance-enhancing drugs (REUTERS, 10/19).
TONIGHT’S EVENTS
The Dolphins will host a media kick off for their Superbowl of Fashion with a 6:30pm ET dinner party at Chima Restaurant in Miami. As his organization receives proceeds from the November 9 event, Cystic Fibrosis Foundation Exec Dir Eden Carr will join Dolphins players Shawn Wooden, Rob Konrad and David Bowens at the dinner.
The Arizona Broadcasters Association will induct Suns broadcaster Al McCoy into its Hall of Fame during a ceremony at the Hyatt Regency Phoenix.
CHANNEL SURFING
Inner-Circle Sports CEO Robert Tilliss will appear on CNBC’s “Bullseye” at 6:00pm ET.
Fox will air Red Sox-Yankees ALCS Game Six at 8:00pm ET.
U.S. Olympic Gold Medalist Brandi Chastain will appear on CNBC’s “McEnroe” at 10:00pm ET.
U.S. Olympian Bruce Jenner will appear on FSN’s “BDSSP.”
IRL team owner Michael Andretti will appear on Speed Channel’s “Wind Tunnel" at 10:00pm ET.
Thirty-nine-year-old Univ. of South Carolina WR Tim Frisby will appear on NBC’s “The Tonight Show" at 11:30pm ET.
HEADLINERS
Here are tonight’s headline guests on the following talk shows:
| “Late Show” | Jude Law |
| “The Tonight Show” | Ewan McGregor |
| “The Late Late Show” | Sandra Bernhard |
| “Late Night” | Allison Janney |
| “Jimmy Kimmel Live” | Patton Oswalt |
TODAY’S ARTICLES OF INTEREST
The L.A. TIMES’ David Wharton writes UCLA varsity teams “operated at a loss of almost $164,000 in 2003-04. … Part of its shortfall could be blamed on $1.1[M] in buyouts to fired coaches. But the Bruins also faced a 32% increase in tuition and fees on campus, which meant the athletic department paid $800,000 more for scholarships.” Football generated $17.2M against $11.5M in expenses, while men’s basketball brought in $7.4M and spent $4M (L.A. TIMES).
The BOSTON GLOBE’s Naomi Aoki writes, “From regional to national sporting-good chains, everyone is converging on the New England market. The Sports Authority is sprucing up its 16 existing stores in the region and adding another three to five stores.” Dick’s Sporting Goods is “eyeing Eastern Massachusetts and southern New Hampshire with plans to add a dozen stores to its current tally of 10 New England locations. Even once troubled regional players are planning comebacks.” Bob's Stores “plans to solidify its foothold in the region with a fresher, more focused mix of merchandise before beginning a nationwide expansion.” Decathlon Sports “plans to expand after closing 14 of its 18 stores last year and restructuring its remaining stores” (BOSTON GLOBE).
See The Daily Insider’s Articles of Interest section for more sports business-related links.
TODAY’S TEASER…
Sports & Entertainment: What is the name of Shaquille O’Neal’s character in the ’94 film “Blue Chips?”
IN OTHER NEWS…
MULTICHANNEL NEWS reports that Cox Communications has accepted an amended bid by its parent company, Cox Enterprises, to take the remaining stake in the MSO it didn’t already own for $34.75 per share” (MULTICHANNEL.com, 10/19).
THE DAILY STAT: MOST AND LEAST STOLEN CARS FROM ’01-03 MODELS
The Insurance Institute for Highway Safety’s Highway Loss Data Institue today released its annual study on the vehicles most and least likely to be stolen, based on theft claims per 1,000 insured vehicles. Listed are the 2001-03 model year vehicles, frequency and average insurance payment (CHICAGO SUN-TIMES, 10/19):
| MOST STOLEN VEHICLE |
| RK | Vehicle | Theft claims per 1,000 insured | Avg. payment |
| 1) | Cadillac Escalade EXT | 20.2 | $14,939 |
| 2) | Nissan Maxima | 17.0 | $4,126 |
| 3) | Cadillac Escalade SUV | 10.2 | $15,703 |
| 4) | Dodge Stratus | 8.3 | $5,483 |
| 5) | Dodge Intrepid | 7.9 | $5,394 |
| LEAST STOLEN VEHICLE |
| RK | Vehicle | Theft claims per 1,000 insured | Avg. payment |
| 1) | Ford Taurus station wagon | 0.5 | $4,920 |
| 2) | Buick LeSabre | 0.5 | $3,201 |
| 3) | Buick Park Avenue | 0.5 | $5,098 |
| 4) | Buick Rendezvous | 0.7 | $1,601 |
| 5) | Saturn LW station wagon | 0.7 | $2.075 |
…TODAY’S ANSWER
Neon
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