New Stadium -
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Published on: 4/7/1999
Last Visited: 9/9/2000
The NFL and the players association pounded out rules for distributing earnings in 1992, said league spokesman Vincent Casey.
Those rules require teams to share all ticket revenue and broadcast revenue, Casey said, helping to even the gridiron between large-market and small-market teams.
The catch : Revenue from many sources be not shared.Those include stadium concessions, parking and advertisements ; luxury box and club seat rental fees ; local promotions and sponsorships ; naming rights sales ; non-NFL events ; and advertisements in team-sponsored publications.
To calculate its salary cap, the NFL adds the shared revenues plus a percentage of the unshared revenues, divides by the number of teams and multiplies by 63 percent, a figure negotiated with the players association.The cap is currently $ 57.28 million, Casey said.
But teams able to increase their pools of unshared revenue have a financial edge when trying to recruit the best players, Berling said.
How do you compete against a club like Dallas, where they have over 300 (luxury) suites? Berling said.The Dallas Cowboys, who play in Texas Stadium, have also put advertisements on every inch of the facility, he said, maximizing another unshared revenue source.