Athlete Investor – Mr. Hedge
This athlete investor, about whom I’ve written previously – is off to a very rough start, early in his inaugural season.
His team looks even worse on the field than most people expected, and that’s really saying something.
Attendance has plummeted – cut in half, even when adjusted for changes made to how it gets publicly reported. In fact, they have already set their stadium’s “record” for the fewest number of fans buying tickets to a single game, on 3 separate occasions.
As someone who saw the deal terms from the inside, the financial projections forecast both cost cutting AND a revenue increase in year 1.
The entire financial plan, which justified the massive price tag his investor group paid for the team – relied upon that trend to continue in future years.
The way things are going, his investors will see most of their investment value evaporated – through taking on additional debt to fund operations, in about 3-4 years.
Derek Jeter: We’ll report tickets sold honestly, strive to grow Marlins attendance
Marlins CEO Derek Jeter said Friday his focus is on getting more fans into the ballpark rather than inflating attendance figures to mask embarrassingly small crowds.
The first three games of the current homestand drew paid attendance of 7,003, 6,516 and 6,150, the three smallest reported totals since Marlins Park opened in 2012, which received widespread media play.
However, similar-size crowds were reported significantly higher under previous ownership.
“I’ve seen that’s gotten a lot of attention,” Jeter said before Friday’s series opener against the Pirates. “Put it this way, one of the qualities of running a first-class organization is honesty. … Reporting paid attendance as the number of tickets sold is the way we’re going to report it. Our focus will continue to be on increasing the turnstile numbers here at Marlins Park.”
Despite the record-low official attendance figures so far, he said: “After the first homestand our turnstile numbers were higher this year than they were last year. We’re on pace after the second homestand to have our turnstile numbers higher this year than they were last year.” – Source