At the 5 hour, 45 minute mark:
Summary: Currently, we are in the middle of a 7 year deal with IMG. They took over the old ISP contract. They are paying us $1.69M per year for the rights to market our brand. They get the next $1.69M per year. After that, we share profits 50-50.
We have agreed to extend the contact 7 more years, making it a 10-year deal. The new guarantee will be $2.78M year year. Again, IMG will get the next $2.78M. After that, we share profits 50-50.
There will be a provision in the contract extension that should UH ever get into a P5 conference, we would have the right to renegotiate immediately.
Hunter passed out an exhibit (not shown) that listed 12 schools in the MWC, American and CUSA plus Texas Tech. The average annual guarantee in those 12 schools is $2.26M per year. Texas Tech, Boise and UNLV apparently get more than we do, which caused some consternation from the board.
On the other hand, IMG apparently lowballed UCF, so UCF brought it's marketing and licensing in-house like we used to do in the Carr/Gladchuk days. Almost all schools outsource it to either IMG or Learfield. According to Hunter, UCF is the only school he knows that does it in-house these days.
As part of the contract extension, IMG will front the money for the ribbon boards at TDECU and the Fertitta Center. Currently, TDECU only has 300 feet of ribbon boards: between the 25 yard lines. We will add 720 feet of ribbon boards at TDECU, expanding it to 360 degrees! In addition, there will be more field level boards in the end zone. The Fertitta Center will have a 360 degree ribbon board built into the roof.
There was some concern from the Board about the length of the IMG contract, and getting proper value of our branding. Fertitta was concerned about the ribbon board pixelation becoming outdated.
Summary: Currently, we are in the middle of a 7 year deal with IMG. They took over the old ISP contract. They are paying us $1.69M per year for the rights to market our brand. They get the next $1.69M per year. After that, we share profits 50-50.
We have agreed to extend the contact 7 more years, making it a 10-year deal. The new guarantee will be $2.78M year year. Again, IMG will get the next $2.78M. After that, we share profits 50-50.
There will be a provision in the contract extension that should UH ever get into a P5 conference, we would have the right to renegotiate immediately.
Hunter passed out an exhibit (not shown) that listed 12 schools in the MWC, American and CUSA plus Texas Tech. The average annual guarantee in those 12 schools is $2.26M per year. Texas Tech, Boise and UNLV apparently get more than we do, which caused some consternation from the board.
On the other hand, IMG apparently lowballed UCF, so UCF brought it's marketing and licensing in-house like we used to do in the Carr/Gladchuk days. Almost all schools outsource it to either IMG or Learfield. According to Hunter, UCF is the only school he knows that does it in-house these days.
As part of the contract extension, IMG will front the money for the ribbon boards at TDECU and the Fertitta Center. Currently, TDECU only has 300 feet of ribbon boards: between the 25 yard lines. We will add 720 feet of ribbon boards at TDECU, expanding it to 360 degrees! In addition, there will be more field level boards in the end zone. The Fertitta Center will have a 360 degree ribbon board built into the roof.
There was some concern from the Board about the length of the IMG contract, and getting proper value of our branding. Fertitta was concerned about the ribbon board pixelation becoming outdated.
