The Walt Disney Co. retained the broadcast rights for ABC's "Monday Night Football" and "captured the entire" Sunday night package for ESPN for a "staggering" $9.2B over eight years, according to Stephen Battaglio of the HOLLYWOOD REPORTER. The ABC-ESPN deal "means the NFL will take in a guaranteed total" of $17.6B in TV rights fees over eight years. The NFL "reserves the right" to reopen the contracts after five years. Disney's deal leaves NBC and TNT "without a piece of the NFL pie." ABC will pay $550M a year for "MNF," a 139% increase from its previous deal, in which it had paid a 2% increase. ABC also gets three Super Bowls. ESPN will pay $600M for the Sunday night package -- up 135% from the previous deal. ABC Sports spokesperson Mark Mandel said that the "exact payments for each package have not been determined." Battaglio adds that ABC's new deal turns "MNF" from a "profit center to a loss leader," as it took in $300M in ad revenue this year, while paying $230M. Battaglio writes, "Even a significant increase next year won't stem" a $100M loss (HOLLYWOOD REPORTER, 1/14). In N.Y., Richard Sandomir reports that "MNF" games will start at 8:00pm ET. ESPN's $600M-per-year deal for Sunday nights "is the most expensive of all the packages." In a statement, Turner Sports said, "We weren't prepared to change our economic model for TNT or our affiliates. We'll redirect those programming dollars for more efficient use." ABC outbid NBC for Monday nights. Afterward, NBC Sports President Dick Ebersol told Sandomir, "Winning is an extraordinary feeling, but we're paid a salary to make money, and there was no chance of making money on this deal" (N.Y. TIMES, 1/14). RIPPLE EFFECT: The "big winners" in the new TV deals will be the players, according to Gary Myers of the N.Y. DAILY NEWS. There is speculation that the deals "could increase the salary cap by at least" $10M per team in '98, but Myers writes that "[c]onservative estimates" place the increase at $5-7M this year (N.Y. DAILY NEWS, 1/14). In Atlanta, Len Pasquarelli notes that "the larger increases in the past have come in the second year of a TV contract," but a $5-7M cap jump "would fuel heated bidding for some" free agents (ATL. CONSTITUTION, 1/14). NFLPA Exec Dir Gene Upshaw "predicted a per-club salary cap" of $47-48M for '98, up about 17% from the $41.45M cap in '97 (USA TODAY, 1/14). TV COVERAGE: ABC announced its NFL TV deals on "World News Tonight," 25 minutes into its broadcast. "CBS Evening News" reported on CBS' deal with the NFL 24 minutes into its broadcast. "NBC Nightly News" did not include a story on the NFL TV deals. CNBC's "Bull Session" and CNN's "Moneyline" led its broadcast with the news of the NFL TV deals. Also, "ET" and "Access Hollywood" covered the story in last night's broadcast. In print, the deals were given front-page coverage in today's N.Y. Times, N.Y. Post, N.Y. Daily News, Philadelphia Inquirer, Washington Post, USA Today, Charlotte Observer, Hollywood Reporter, Wall Street Journal and Financial Times (THE DAILY). In L.A., Randy Harvey: "The NFL knows it has its audience hooked when as many people are interested in who's televising the games as in who's playing in them" (L.A. TIMES, 1/14). REAX: In Detroit, Tim Kiska: "Tuesday's announcements had little to do with sports and everything to do with big- money television" (DETROIT NEWS, 1/14). In N.Y., Richard Wilner writes under the header "Monumental TV Deal A TD For Tagliabue." Wilner: "Never doubt the power of Paul Tagliabue. Or the National Football League" (N.Y. POST, 1/14). The AP's Josh Dubow: "After watching the NBA double its money in its television contract in November, NFL owners wanted the same result. And they got it" (AP, 1/14). On ABC's "World News Tonight," Aaron Brown reported, "The NFL has become so important to the country, you're not considered a major network without it" (ABC, 1/13).
