The impact hiring Rick Pitino will have on Boston
Celtics Limited Partnership is examined by Tina Cassidy of
the BOSTON GLOBE. Despite shares hitting a 52-week high on
May 6, they have since "rolled back" which "could be the
morning-after realization that Pitino's 10-year contract ...
is a big investment that will be hard for the team to earn
back. ... [And] what's good for the fan may not always be
good for the investor." N.Y.-based Shelby Cullom Davis
analyst Peter Russ: "The short-term impact of Rick Pitino
coming to the Celtics is one of negative economic value. He
costs $7 million a year. That's $1.25 a unit he will cost,
and he will not provide $7 million in revenue opportunity
for at least two to three years." Celtics execs, including
Chair Paul Gaston, declined to discuss how the Partnership
"could be affected" by Pitino's hiring. Since his hiring,
the team has taken deposits on 1,000 season tickets and it
expects its season-ticket base to increase from 12,700 to as
many as 15,000 next season (BOSTON GLOBE, 5/15).
STILL BIG BUCKS: Pitino will be paid $50M, not $70M as
was widely reported, according to NBC-TV. Pitino will be
paid $7M a year to coach for six years and $2M a year for
four years as the club's President (USA TODAY, 5/15).
