Browns Franchise Value $1.03 billion

[ndneighbor]

 

http://www.cleveland.com/sports/plaindeale....xml&coll=2

 

 

Cleveland Browns franchise valued at $1.03 billion by Forbes magazine

Thursday, September 03, 2009

Bill Lubinger

Plain Dealer Reporter

 

"America's Team" is also America's richest.

 

For the third straight year, the Dallas Cowboys were ranked the NFL's most valuable franchise, with an estimated worth of $1.65 billion, according to Forbes magazine's annual valuations of the league's 32 teams.

 

The ranking, released late Wednesday, lists the Browns 13th, with an estimated value of $1.03 billion - unchanged from last year. Forbes reported the franchise had revenues of $235 million and operating income of $20.2 million in 2008.

 

While most NFL teams showed at least slight value increases, the Forbes list also reflects the hang of recession: The average team value was flat - at $1.04 billion - from last year. And for the first time in 10 years, some teams lost value. Soaring franchise values over the past several years were simply unsustainable, especially in this economy, said David Carter, a sports business professor at USC who predicted more television blackouts this season due to empty stadium seats.

 

While more than 90 percent of Browns season-ticket holders renewed for this season - compared with 85 percent leaguewide - tickets are still available for all home games, including a limited number for the opener against Minnesota and the Pittsburgh game. "Everybody's feeling the pinch," Browns President Mike Keenan said. "This isn't unique to the Browns."

 

Still, despite the recession, team revenues leaguewide rose 7 percent because of guaranteed television contracts that paid out $4 billion, Forbes reported.

 

The Browns' estimated value, while unchanged from last year, has almost doubled since the franchise was acquired. In September 1998, the late Al Lerner paid $530 million as the highest bidder for the new Browns.

 

Keenan wouldn't discuss team finances and said franchise value is really an unknown until it changes hands. "You have to find someone willing to buy the team," he said, "and the Browns aren't for sale."

 

After Dallas, whose value rose 2 percent from last year, the NFL's most valuable teams were: Washington, New England, the New York Giants, the New York Jets, Houston, Philadelphia Tampa Bay, Chicago and Denver. No team posted an annual increase of more than 3 percent.

 

The least valuable franchise: Oakland, at $797 million, a 7 percent drop from 2008 and the biggest decline among the 32 teams.

 

Eight teams declined in value: Atlanta (-2 percent from last year), Detroit (-6 percent) , Jacksonville (-1 percent), Indianapolis (-5 percent ), Miami (-3 percent), Oakland, Seattle (-2 percent) and St. Louis (-2 percent).

 

"In this economic environment, I'm actually surprised it wasn't more," said Marc Ganis, a Chicago-based sports business consultant. "That shows the strength of the NFL."

 

In fact, Ganis was aware of two teams that are entertaining offers to sell. He wouldn't identify the franchises, but said the offers have been much lower than the owners had hoped - the result of tight credit, the decline in individual wealth from stock market losses and an uncertain economic future.

 

To reach this Plain Dealer reporter:

 

blubinger@plaind.com, 216-999-5531

 

©2009 Plain Dealer

© 2009 cleveland.com All Rights Reserved.

 

[ClevelandFanForLife]

i like that oakland, one of the dumbest franchises in sports is the lowest valued at around $730 million. way to go al...

[Dave]

After Dallas, whose value rose 2 percent from last year, the NFL's most valuable teams were: Washington, New England, the New York Giants, the New York Jets, Houston, Philadelphia Tampa Bay, Chicago and Denver. No team posted an annual increase of more than 3 percent.

 

What's interesting is all of these markets are almost 4 million people deep, except for Denver. For Cleveland to be only 13th really says a lot about how important football is to Cleveland and this region. Really makes you wonder what Art was thinking.

[ClevelandFanForLife]

What's interesting is all of these markets are almost 4 million people deep, except for Denver. For Cleveland to be only 13th really says a lot about how important football is to Cleveland and this region. Really makes you wonder what Art was thinking.

he was thinking "how can i be the biggest asshole in the world and still profit from it?"

[ClevelandFanForLife]

i found the whole list. we are worth more than pittsburgh, but we already knew that. i'm guessing that it's due to us having a bigger stadium and selling more tickets.

http://bloomberg.com/apps/news?pid=2060107...id=aecbuhOVScnM

FL TEAM VALUATIONS, REVENUE

 

TEAM VALUE 1-YR REVENUE

$ BLN CHANGE (%) $ MLN

1 Dallas Cowboys 1.65 2 280

2 Washington Redskins 1.55 1 345

3 New England Patriots 1.36 3 302

4 New York Giants 1.18 0 230

5 New York Jets 1.17 0 227

6 Houston Texans 1.15 2 256

7 Philadelphia Eagles 1.12 1 250

8 Tampa Bay Buccaneers 1.09 3 241

9 Chicago Bears 1.08 2 241

10 Denver Broncos 1.08 2 240

11 Baltimore Ravens 1.08 2 240

12 Carolina Panthers 1.05 1 238

13 Cleveland Browns 1.03 0 235

14 Kansas City Chiefs 1.03 1 228

15 Indianapolis Colts 1.03 -5 233

16 Pittsburgh Steelers 1.02 1 235

17 Green Bay Packers 1.02 0 232

18 Miami Dolphins 1.02 -3 242

19 Tennessee Titans 1.00 1 232

20 Seattle Seahawks 0.99 -2 231

21 Cincinnati Bengals 0.95 1 222

22 New Orleans Saints 0.94 0 232

23 Arizona Cardinals 0.94 2 223

24 San Diego Chargers 0.92 3 224

25 St. Louis Rams 0.91 -2 217

26 Buffalo Bills 0.91 3 222

27 San Francisco 49ers 0.88 1 214

28 Detroit Lions 0.87 -5 208

29 Jacksonville Jaguars 0.87 -1 217

30 Atlanta Falcons 0.86 -2 214

31 Minnesota Vikings 0.84 0 209

32 Oakland Raiders 0.80 -7 215

[Gips]

As bad as the browns have been since their return it really truly reflects how hardcore cleveland browns fans are and how important the browns are to the city of cleveland and the whole northern region of ohio and beyond....

[TheClevelandSound]

pocket change

[BrownIndian]

And Randy is still kissing the english football team .. care for some biscuits and tea ?

[ballpeen]

As was stated....these are just numbers. teams are worth what someone is willing to pay.

 

As it stands today, some teams are worthless when you get right down to it because there might not be 32 people who could come up with a billion or so dollars.

 

* Obviously all teams have a worth....but the reality is it may be far, far less than the numbers indicate.

[The Gipper]

The article also says that there are 2 NFL teams that are for sale on the QT. Here is my speculation on which those may be:

 

1. San Diego. Owner Alex Spanos is getting way up in years.

 

2. Buffalo. Ralph Wilson is over 90. He had 3 daughters. One died, the other two are barely or not involved at all with the team.

 

3. Tennessee. Bud Adams is also over 90. His son committed suicide. His two daughters are not really involved.

 

4. St. Louis. The children of Georgia Frontiere do not seem like they may be too interested in running an NFL team.

 

5. New Orleans. Tom Benson is also very old. I don't know if he has kids that may want to take over. I don't think so.

[ballpeen]

I thought Wilson was looking for a buyer???

[The Gipper]

I thought Wilson was looking for a buyer???

 

Yes, probably so. The article said two franchises were for sale. Buffalo is almost certainly one of them. There was some concern that someone from Toronto may have wanted to purchase them and move them there permanently.

 

[Dave]

The article also says that there are 2 NFL teams that are for sale on the QT. Here is my speculation on which those may be:

 

1. San Diego. Owner Alex Spanos is getting way up in years.

 

2. Buffalo. Ralph Wilson is over 90. He had 3 daughters. One died, the other two are barely or not involved at all with the team.

 

3. Tennessee. Bud Adams is also over 90. His son committed suicide. His two daughters are not really involved.

 

4. St. Louis. The children of Georgia Frontiere do not seem like they may be too interested in running an NFL team.

 

5. New Orleans. Tom Benson is also very old. I don't know if he has kids that may want to take over. I don't think so.

 

 

I think one is Jacksonville:

 

http://espn.go.com/blog/nflnation/tag/_/name/blackout-threat

 

It looks as if all their home games could be blacked out.

[AZBrowns]

Yes, probably so. The article said two franchises were for sale. Buffalo is almost certainly one of them. There was some concern that someone from Toronto may have wanted to purchase them and move them there permanently.

 

 

I have a friend who is a diehard Bills fan and he was telling me that Ralph Wilson will not sell the team to anyone with the intentions of moving the team to Toronto.

 

Not sure how accurrate that assumption is, but if it's true and he is still alive and sells the team, don't expect them to move... especially to Toronto.

[Dave]

San Diego could also be a possibility but it doesn't make sense to me because L.A. is so close and they have one of the largest markets in the U.S. Maybe they could just move the team north 60 miles or so and pull both markets. Call it the Southern California Wildfires???

 

Buffalo would make sense to sell, its a small market but I think you'll see more games moved to Toronto instead of moving the team. Possibly selling the team to a Toronto based interest. It would certainly alienate some Buffalo fans but its not that far away for the diehards to drive.

 

As an outside pick to sell would be the Raiders. Al Davis' last FU to the NFL before he croaks. Possibly moving the team back to Anaheim in the process. Then the movie stars can break out their old LA Raiders gear.

[BrownsFan17]

That appears to back up Dallas's claim that they are "America's Team".

 

I do find it interesting that the 2 teams (Pitt and GB) that some people (i.e. Jamie Dukes) say have the best fan base are actually listed in the middle of the pack.

[The Gipper]

I think one is Jacksonville:

 

http://espn.go.com/blog/nflnation/tag/_/name/blackout-threat

 

It looks as if all their home games could be blacked out.

 

I don't think so. Despite these problems their owner, Wayne Weaver is considered one of the most solid owners in the league and I doubt he is about to sell.

Notwithstanding a few empty seats, the NFL is still as much a license to print money as any operation going on in our nation today.

 

[The Gipper]

San Diego could also be a possibility but it doesn't make sense to me because L.A. is so close and they have one of the largest markets in the U.S. Maybe they could just move the team north 60 miles or so and pull both markets. Call it the Southern California Wildfires???

 

Buffalo would make sense to sell, its a small market but I think you'll see more games moved to Toronto instead of moving the team. Possibly selling the team to a Toronto based interest. It would certainly alienate some Buffalo fans but its not that far away for the diehards to drive.

 

As an outside pick to sell would be the Raiders. Al Davis' last FU to the NFL before he croaks. Possibly moving the team back to Anaheim in the process. Then the movie stars can break out their old LA Raiders gear.

 

This is not speculation on any team being moved, just on them being sold. You got 2 teams owned by nonagenarians (90 year olds: Buffalo, Tenn.), 2 more owned by guys that are 86 and 82 (Chargers and Saints), and Al Davis who just turned 80. And to my knowledge, they all have questionable family situations in terms of who would take over. These are not like in Arizona where Mike Bidwill is already running the team for his Dad, Bill. Or where Jim Irsay took over for Bob Irsay. Or Clark Hunt took over for Lamar Hunt. Or even where Randy Lerner took over for his dad, Al.

The St. Louis situation may be the other. The kids of Georgia have already brought in a minority owner, and may be negotiating to sell the majority share to him.

[DawgTracker]

It sucks to be poor doesn't it mr lerner?

[ballpeen]

Jacksonville was the absolute worst city ever to get a franchise. Those mullet head mongoloids have no idea what being an NFL fan is all about. I'm from Florida originally so I've spent my fair share of time in Jacksonville and I can say I thank God every time I get on I-95 outta there...

 

 

LOL....I might have to agree...that's what happens in a Navy base town...Dads are away and the kids grow up to be Gomers.

 

I worked there for a short period early in my career. I didn't like it either. It isn't a true representation of Florida...and i agree, it should never have been awarded a team.

 

I have always thought Oklahoma City would be a great town for a NFL team.