The IOC is in discussion with Olympics sponsors, including
IBM, Coca-Cola and Eastman Kodak, about "extending long-term
agreements beyond the 2000 Games," according to ADVERTISING AGE.
This could help NBC, which last week agreed to pay $2.3B to
secure rights through the 2008 Games and "now must count on solid
advertiser support to avoid taking a financial beating on the
deal." AT&T is reportedly interested in talking with NBC about a
deal through 2008. AD AGE's Mandese & Jensen report, if the IOC
signs long-term deals with global sponsors, it "clears the way
for NBC to approach those marketers with multi-year Olympic ad
packages." Olympic TV rights contracts require networks to offer
deals first to official Games sponsors. Presently the IOC sells
those rights only in four-year "increments," which would hinder
NBC's ability to sell multiyear packages. But Olympic officials
said the IOC will "become increasingly flexible in meeting
sponsors needs." NBC won't be able "technically" to start
selling packages to the 2000 Games until CBS finishes with '98,
but they are already working on ways "to change the whole way
we're presented on the air," including a joint logo with the IOC,
according to NBC Sports President Dick Ebersol (AD AGE, 12/18
issue).
CBS BUYS: CBS is reportedly close to finalizing deals for
'98, including "megabuys" by Chrysler and Ford. The deals are
expected to be close to $50M. Anheuser-Busch is believed to have
locked-up the beer category for over $25M, while Coca-Cola may
have exclusivity for non-alcoholic beverages (Mandese & Jensen,
ADVERTISING AGE, 12/18 issue).
