Friday, April 03, 2009

When Saying Nothing Is Better

The Indianapolis Colts do protest too much. The team feels the public is being disseminated inaccurate information about its contribution to the costs of Lucas Oil Stadium. To correct this claimed misperception, the Colts put out a statement which makes the following claim:

Contrary to reports in today’s Indianapolis Star, the Indianapolis Colts have a significant financial investment of more than $100 million in the building of Lucas Oil Stadium, together with annual lease payments to the CIB of $250,000.00, and expense reimbursements to the CIB (which are currently in the neighborhood of $800,000 to $1,000,000 per year) throughout the life of our current contract with the City. We pay those substantial sums for the right to use Lucas Oil Stadium no more than 19 days a year. There are many other significant financial sacrifices and commitments the team has made and will continue to make as we try every season to field a championship caliber team worthy of our fans, while living within the means dictated by our smaller market. In short, contrary to the Star’s inaccurate report, we’ve already contributed a tremendous amount of money to the construction and operation of Lucas Oil Stadium and we’re contractually obligated to continue to do so for at least the next 26 years.

A $100 million investment in LOS? LOL. Okay, let's begin by saying they count $50 million of that investment as the break-up fee the City of Indianapolis had an obligation to pay the Colts because they told us the RCA Dome wasn't good enough and they might have to look for another city. The CIB blinked first and agreed to break the lease. The generous Colts agreed to forgive the break-up fee if we agreed to build them a $720 million stadium and allowed them to keep all of the revenues it generates. I'm frankly surprised they would even bother to mention the paltry $250,000 a year lease payment the team makes. As for the $800,000-$1 million the team claims it reimburses the CIB annually, let's see an itemization of those costs, which amount to about $50,000 a game. One of the reasons the CIB is seeking a bailout is because it claims the cost of operating and maintaining LOS is $20 million a year more than the RCA Dome. We know the Colts are pocketing over $100 million in its naming rights agreement for OUR STADIUM with Lucas Oil, and it's pocketing tens of millions more in advertising opportunities at LOS, which we are told is none of our business and is a confidential business agreement between the Colts and their sponsors. And for some inexcusable reason, the Colts also pocket revenues from non-game events held at OUR STADIUM.

There's nothing like pouring salt in an open wound. That's pretty much what the Colts accomplished today with their bogus claims.


Jon said...

For the Colts to cry about their treatment is disingenuous and frankly ludicrous. Besides the 40-50 million to terminate the lease and the naming right to Lucas for another 100+ million plus all other signage, plus parking, plus concessions, plus 50% of everything else that comes through the gate. They get all of this for a mere 250k per year. Add up this sum if you would Mr. Irsay; 30 years at 20 million per year for Lucas maintenance plus the principal and interest of 720 million for the same 30 years and that number is a whole lot more than 250k.

Concerned Taxpayer said...

I think they should just get mad, take their ball, and go home.