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SBD/21/Leagues Governing Bodies
STUDY SAYS MONTREAL LOST MORE THAN A SHOT AT THE PENNANT
Published September 21, 1994
According to a study prepared for Expos President and Owner Claude Brochu the losses to the Montreal economy due to the cancellation of the season "are significant." The study, conducted by Ernst & Young, says the loss to the local economy and to all levels of government will amount to at least C$66M. Factoring in Montreal's possible participation in post-season play, the loss rises to C$113M -- including C$23.5M in lost tax revenue to the province of Quebec and C$21.5M to the Canadian government. While MONTREAL GAZETTE's Peter Hadekel writes that estimates of economic spin-offs from sports "are often suspect," he calls the Expos "a bit of a special case. They draw 60 percent of their revenue base from U.S. sources, including money from network television, licensing and their share of gate revenues on the road. Take that stimulus out of the Quebec economy and it would be difficult to replace" (MONTREAL GAZETTE, 9/21). ST. LOUIS BLUES: "Factories were hiring, but baseball- dependant businesses were firing and so the unemployment rate didn't budge in St. Louis in August." State labor analyst Randall Clark attributed many of the 1,500 restaurant and recreation job losses in the area to the strike (Jim Gallagher, ST. LOUIS POST-DISPATCH, 9/21). BAY AREA REPORT: While sales and marketing execs at the Giants and A's "say they are huddling on strategies to come from behind in the public-opinion series," they will probably wait for a settlement, just like the fans. A's Exec VP Andy Dolich: "We have lots of thoughts, but we haven't come up with specifics. ... [In the end] what the baseball fan cares about is only two words ... 'play ball.'" Giants Senior VP of Business Operations Pat Gallagher: "In terms of developing themes or gimmicks, we're certainly not going to be cavalier about what's happened or downplay it. I think we have to remind people about what they love about the game -- the simple pleasure of watching the game, of being a fan" (Louis Trager, SAN FRANCISCO EXAMINER, 9/21).