Michigan Expecting To Receive $51.1M From Big Ten In '18, Projects Operating Surplus
The Univ. of Michigan athletic department for FY '18 "projects an operating surplus" of $2M and will get a "huge financial bump from the Big Ten's conference distribution," according to Angelique Chengelis of the DETROIT NEWS. Michigan is expected to receive $51.1M in '18, a "substantial increase" from the $36.3M during FY '17, in "large part because of the Big Ten's new television contract." UM AD Warde Manuel said, "(We have) higher than anticipated conference distribution, higher than anticipated licensing revenue with the addition of Nike and Jordan Brand, who have been great partners of ours." The budget "projects operating revenues" of $182.4M and operating expenses of $180.4M. Total operating expenses are "projected to increase" approximately 5% from FY '17, and included is a $4M transfer to a "deferred maintenance fund used to provide athletic facilities upkeep and rehab." Football spectator admissions will "drop slightly" to $43.1M in '18 from $48.9M last year reflecting Michigan's six-game home football schedule this fall "compared to an eight-game schedule last year" (DETROIT NEWS, 6/16). In Detroit, Snyder & Jesse note the "'other' revenue category is expected to climb" from $7M to $12.8M due to the "payment from the neutral site football game" against Florida on Sept. 2 at AT&T Stadium. Michigan is "scheduled to receive" a $6M payment from that game (DETROIT FREE PRESS, 6/16). In Michigan, Martin Slagter noted licensing royalties "increased" by $2.37M in '17, from $8.4M to $10.8M (MLIVE.com, 6/15).
SAFE KEEPING: The DETROIT NEWS' Chengelis reported Michigan alums David and Meredith Kaplan have made a $7.5M gift to "endow the men's basketball head coaching position." Michigan athletics has endowments for the AD, football head coach and football offensive and defensive coordinators. The Kaplans' gift "includes funding for the head coaching position." The Kaplans have "long been major donors to the university" (DETROIT NEWS, 6/16).