FIFA Makes $72M Profit In '13, Increases Cash Reserves To $1.4B
FIFA has "increased its cash pile" to $1.4B after making a profit again last year, "justifying the sum as a safety net should a World Cup have to be cancelled," according to Keith Weir of REUTERS. Income from TV rights and marketing deals ahead of this year's World Cup in Brazil "helped to drive up revenues" to $1.3B. FIFA reported a surplus of $72M last year. Many Brazilians "are angry at the amount of money their country is spending on hosting the World Cup," saying they would rather have "FIFA standard" schools and hospitals. There are also "fears of protests around the tournament in June-July" (REUTERS, 3/21). The majority of the revenue was made from the sale of TV rights ($601M) and marketing rights ($404M) for the Brazil World Cup (FIFA). The AP reported FIFA's financial results "typically peak in a World Cup year, which will be reported next March." FIFA paid $17M in tax linked to its subsidiary companies, including Early Warning System, which monitors gambling on football, and financial assets. FIFA President Sepp Blatter's salary and benefits "were not detailed." Blatter is among the FIFA leaders and execs "who shared bonus payments" totalling $36.3M (AP, 3/21).