Banc Of California Keeping LAFC Stadium Entitlement, But Cutting Other Sports Deals
Banc of California execs during an investor presentation last week said that they will "cut back" on some sponsorship deals, in part to offset the bank's 15-year, $100M naming rights deal for LAFC's new venue, according to James Rufus Koren of the L.A. TIMES. The bank was at a "high point" last summer when it agreed to place its name on expansion MLS club LAFC's new soccer stadium, but in the months since that deal was announced, it has been "rocked by questions about insider deals, weak corporate oversight and connections to a convicted fraudster." The bank is "continuing with the stadium deal," though it is "cutting back on other ad and sponsorship campaigns, selling off a major business unit and laying off workers in what amounts to a dramatic strategic shift." In the presentation, the bank execs said that they would cut about $2.4M a year on "other sponsorships." Banc of California currently has deals with USC and San Diego State athletics programs, as well as with the Rams Foundation (L.A. TIMES, 3/17).