SEC discusses expansion, distributes $209M in revenue (UPDATED)
(Updated 8 p.m.)
DESTIN, Fla. – Amid speculation of a massive shakeup in some of college athletics’ major conferences, the SEC quantified Friday just how well the current structure is working for its members.
The SEC completed its four-day spring meetings by announcing that it will distribute a record $209 million to its 12 members this year, $17.4 million per school –- up 58 percent from last year’s distribution of $11 million per school.
The increased payout, which is slightly higher than most projections, stems largely from the SEC’s new television contracts with ESPN and CBS. The payout also includes funds generated by the league’s football championship game and bowl games, as well as its men’s basketball tournament and its cut from NCAA championship events.
The financial bonanza is particularly notable at a time when at least two major conferences, the Big Ten and Pac-10, are trying to add schools and another, the Big 12, appears in danger of collapse.
Rumors of conference realignment and expansion have permeated college athletics for six months, gaining volume the past two days with reports that the Pac-10 is on the verge of inviting half of the Big 12 to join its ranks.
The presidents and chancellors of the SEC schools discussed the issue of expansion at length during a three-hour meeting Friday, emerging with no change from the league’s oft-stated position that it will analyze any moves by other conferences “strategically and thoughtfully” and act or react if appropriate. The consensus among the presidents and chancellors seems to be that they like their league as currently constituted but do not rule out adding members if the landscape changes substantially.
“‘Strategic and thoughtful’ could mean doing nothing, no matter what anybody else does. And it could mean doing something,” SEC commissioner Mike Slive said after the meetings adjourned. “It’s just designed to say that we have maximum flexibility in how we approach this issue.
“We are very comfortable where we are now. If nothing happened [in other leagues], we would be very comfortable [staying] where we are now. And no matter what happens, we may find ourselves very comfortable where we are now. But we may not.”
Slive declined to say whether the SEC has talked with any school(s) about the possibility of joining the league. But he suggested it’s no coincidence most of the expansion talk is emanating elsewhere.
“In fact there may be some other leagues that have some needs they’re trying to fill,” he said.
LSU Chancellor Michael Martin said “circumstances” nationally could influence the SEC on expansion but added that the league’s financial strength gives it flexibility on how to approach the issue.
“If the world changes in the future,” he said, “then I guess we’ll have to be there to see it.”
For now, the SEC is expanding in one area: revenue.
While conference-to-conference comparisons on revenue distributions cannot be fairly drawn because leagues are inconsistent in what revenue they share and how they divvy it up, the SEC was celebrating its financial results.
“This meeting, with the new [TV] contract and all, may be as much a celebration as any one I’ve seen in 13 years,” University of Georgia President Michael Adams said when he arrived at the Sandestin Hilton at mid-week.
Of the $209 million the SEC is distributing, 72 percent was produced by football, including $109.5 million from television contracts, $26.5 million from bowl games and $14.5 million from the conference championship game in Atlanta.
The remainder of the money came from basketball television ($30 million), the league’s men’s basketball tournament ($5 million) and NCAA championship events ($23.5 million).
The leap in the cumulative distribution from last year’s $132.5 million to this year’s $209 million marked the 21st consecutive year the payout has increased. The distribution has more than doubled since 2003.
“It’s an extraordinary growth,” Slive said.
The league expects the growth to continue, with or without expansion, although the major bump from the new TV contracts came this year. The contracts do have provisions allowing for renegotiation if the number of schools in the league increases.
Follow @ajcuga on Twitter for updates.
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265 comments Add your comment
larry
June 4th, 2010
10:13 am
George
June 4th, 2010
10:18 am
All those presidents are out on the beach throwing tar balls at each other.
Anti-alternative
June 4th, 2010
10:18 am
Wow, ballsy on the part of the Pac-10, but good for them, in my opinion. They want to expand plus be the biggest and best? Well, adding the Big 12 South would do that for ‘em. Especially if the Big 10 goes ahead grabbing Mizzou and Nebraska. As far as the SEC goes, I say they’ll need to offer Texas and TAMU (never T Tech…way too far West…that’s Pac-10 rival for Arizona schools if anything!), but then head East and offer two of the NC schools (maybe UNC and NC State)…if anyone can break up the “Big 4″ from Texas and “Tobacco Road” it’s the SEC. Money talks.
If heading West fails, I say they look East or look to go for the “Southeastern Lockdown” strategy that includes inviting all those ACC rivals (FSU, Clemson, GT, +1) mentioned in other posts. Frankly, if the Pac-10 can convince the Western schools that the money and exposure would be better this last move is the best option for the SEC.
Pitt Blather — The Rantings Continue Permalink » Armageddon From the West
June 4th, 2010
10:19 am
[...] Should be a very interesting day. The SEC has their final day of their meetings. Guess what is expected to be discussed? [...]
Crumpu frisky in Italy
June 4th, 2010
10:20 am
No, they will still suck and go 7-5.
Dean
June 4th, 2010
10:23 am
Austin,
I guess the ole Southwest conference isn’t around anymore because they focused too much on academics. What an ignorant tool you are!
Clay
June 4th, 2010
10:24 am
Hugo, I don’t think Rutgers was in the discussion because of its academics. NJ and NY consider Rutgers THE area college football team, so that’s a big tv market for the Big Ten to grab.
Was that your point also?
Don
June 4th, 2010
10:26 am
“If we see movement” would be too late and put the SEC into a purely reactionary posture, possible after other deals are struck. That is not leadership.
HugoStiglitz
June 4th, 2010
10:26 am
One thing not mentioned above is that the rumors of the Pac 10 expansion also include a plan to create a television network similar to what the Big Ten has. A television network that includes Texas, Texas A&M, Oklahoma, USC, UCLA, Stanford, etc.. would be a huge money making network, probably on par with the Big Ten. The Pac 10 is also willing to take Texas’s little brothers(A&M, Tech) along with them to diffuse any political pressures. The plan actually makes alot of sense for everyone involved.
Anti-alternative
June 4th, 2010
10:26 am
Also, if the SEC succeeds at moving West and doesn’t touch the ACC at all, then I think the ACC needs to get creative. If I’m the ACC I’d want Cincy, Louisville, WVU and Pitt, but I’m not sure all of those bring the best academic or basketball mix. Who knows…maybe the ACC raids the Ivy League? (kidding)
BD
June 4th, 2010
10:29 am
What’s with all the love for Clemson? They can’t even win the ACC, but SEC folks like to think of them as one of thiers.
As for Texas A&M, that would be like adding another Mississippi State or Arkansas to the conference. Texas A&M is NOT similar to the University of Texas. The University of Texas makes money hand over fist. Texas A&M is broke and had to borrow money from the schools general fund to keep from going insolvent. They want in the SEC so the SEC can prop their butts up.
Plus, if A&M joins the SEC – and Texas doesn’t – you can just bet the The University of Texas, if they join the PAC 10, won’t sit idly by. They will financially crush A&M.
Otto
June 4th, 2010
10:30 am
Boca, Drop Clemson for Miami and lock down Florida TV.
Clemson does not add as much to the TV market and would further hurt UGA’s recruiting base which is hotly contested as it is.
Rock E. Top
June 4th, 2010
10:31 am
Oh, HELL no to TX being allowed into the SEC….Strictly because IT’S NOT IN THE SOUTH-EAST!!!!!!! Jebus Tap-Dancing Christ!
Otto
June 4th, 2010
10:32 am
BD, I don’t get the love for Clemson either they have not been contender since the series with UGA died. Yes I know FSU entered the picture at about the same time but Clemson can not recruit Ga. like it did before.
Clay
June 4th, 2010
10:33 am
That may be true BD, but it will be a package deal – Texas and Texas A&M. That’s supposedly why Texas didn’t join the SEC when it expanded. The Texas legislature nixed a “done deal” because A&M didn’t get an invite.
Clay
June 4th, 2010
10:33 am
Oh, I got this info from Tony B a couple of months ago …
Anti-alternative
June 4th, 2010
10:34 am
Hugo, I think it’s a big deal that the Pac-10 can outdo the SEC with an argument for a bigger TV deal (a BTN-style network) and the inclusion of Texas Tech. TTU is way too far West to make any sense playing Florida, for example, but it could very easily play teams in California, Colorado, and Arizona. The only team that is far enough East to probably not make sense in an expanded Pac-10 in TAMU. It’s much closer to Arky and LSU than even TTU. Politically, though, keeping them together keeps a rabid fanbase in its current dynamic. It’s a similar effect, however, to what life could have been like if GT hadn’t left the SEC or if the SEC added Clemson and FSU. Whole states (not ones named Mississippi or Alabama) dominated by a conference. Advertising and hype become FAR more effective and rivalries take new meaning (since they have actual implications for the season).
Erik
June 4th, 2010
10:37 am
Texas would be my first choice. Actually, if the SEC is going to add 4, I hope it’s Texas, Texas A&M, Florida State, and Georgia Tech (just so that waste of a game each year would start counting as a conference game).
Go Dawgs.
As rumors fly, SEC presidents will talk expansion today
June 4th, 2010
10:37 am
[...] Article at: AJC var a2a_config = a2a_config || {}; a2a_config.linkname="As rumors fly, SEC presidents will talk [...]
Otto
June 4th, 2010
10:37 am
Hugo, It does make sense for the PAC10 and with the Big10 taking atleast 2 from the North it could be the perfect storm.
The reports do not seem to be strongly denied by the ADs. If it is possible IMO the SEC should step up and maybe make the first strike, remember the SEC started this armms race back in the early 90s.
If the Big12 teams are off the table IMO the SEC should take FSU, Miami, Clemson and USF or VT.
RoyDawg
June 4th, 2010
10:38 am
I like 12!!! Perfect set up as is.
Think about it – the SEC would still be relevent if B11 raided ND & BEast, the P10 raids B12 south.
At the end of the day – you can only play 12 regular season games – the SEC does not need to expand. Those other mega-conferences will make it harder on themselves to win conference titles and national titles.
Otto
June 4th, 2010
10:41 am
For those wanting just Tx and Tx A&M out of the west Oklahoma may come as a package. Besides Oklahoma and Tx is one of the biggest games played each year and would be a big revenue draw for an expanded SEC. Guaranteed national TV.
Oklahoma would bring far more TV exposure than GT or Clemson.
James
June 4th, 2010
10:42 am
Go Boca Baby!!
Anti-alternative
June 4th, 2010
10:43 am
RoyDawg, the SEC could stay at twelve and STILL manage to “expand” if they did some other kinds of fancy footwork. What if, for instance, they looked only at how to get new TV markets and competitive teams. They could drop some teams that do not pull their weight in football historically and add some new states. In my mind that would mean waving bye-bye to MSU and Vandy while adding VT and WVU. Think about what that does for you. You drop two bottom-feeders and add two large fanbases in the East that both get some of the DC TV market and have a rivalry together (the “black diamond”). You could stay at 12 and strengthen the conference.
Rakkasan Dawg
June 4th, 2010
10:46 am
Don’t do it! This will be the moment we’ll all remember the good times before the glutteny of riches destroyed college football. This cash cow is getting bigger and bigger and no one seems to want to put a halt to these absurdities. People should examine the worst aspect of these expansions and play that out. Think about it TX in SEC? How does that fit geographically? College football would be worse off for it. Again we are on a verge of disaster if this expansion goes through.
Dave Dawg
June 4th, 2010
10:49 am
SEC EAST:
Kentucky
Tennessee
Virginia Tech
Georgia
Georgia Tech
Clemson
South Carolina
Florida
SEC WEST
Vanderbilt
Alabama
Auburn
Arkansas
Mississippi
Miss. State
LSU
FSU
In other words, add Va Tech, Ga. Tech and Clemson to the east; move Vandy and add FSU to the west.
FSU: Not only does this expand the league in Florida, but now the state is treated to SEC East and West action.
Virginia Tech: Expands the reach of the league to the DC market and VT is just up I-81 from Knoxville and gives Kentucky another school relatively nearby.
Clemson and Georgia Tech: May not bring much to the table in terms of added reach, but Clemson is too good of a fit to bypass and Tech is in Atlanta and has historical ties to the conference.
Miami: Not a good fit in terms of school support and location – at least four hours south of the closet school. In comparison, VT is a very good fit, not too far from other schools and also opens up a large media (containing die-hard fans of the school).
As for scheduling, the SEC goes to a 9-game conference schedule. This will not add a scheduling burden to UGA, Florida and USC since their in-state rival games will now be a conference games.
Each school play the others within their division, then two against the other division — one permanent rival and one rotating school. This could be the permanent rival set-up:
UGA – Auburn
Alabama – Tennessee
USC – Arkansas
Kentucky – Miss. State
Florida – FSU (UF would have to lose its annual game with LSU to play FSU annually)
LSU – Clemson
Vandy – Georgia Tech (The Vandy-Ole Miss game is now a West divisional game)
Ole Miss – Virginia Tech
This would be a REASONABLE, COMMON SENSE plan for SEC expansion.
Hey Real Old Gold
June 4th, 2010
10:51 am
What are you smoking. You have more titles in SEC than Dawgs. Thats the funniest thing I heard all year. You guys are dillusional
co dawg
June 4th, 2010
10:51 am
couple of thoughts…
why are the tech fans always posting around here? i don’t think that i have ever even looked at the ga tech pages. anyhow, ga tech left the sec and whined all the way out the door. there’s no reason to bring that school back.
and on this expansion thing, the big 10 has failed to put a consistently good product on the field for quite a while. the expansion smacks of desperation. i get the feeling the big 10 wants to simply have their league operate within their bubble AND avoid any moves or congressional influence.
so, the pac 10 already needed to make a move by expanding. will they make a big time move? who knows? doesn’t make much sense. that business model has already failed while the 12 team conferences are succeeding.
leaving texas. texas is clearly the hottest woman dating the weakest guy. and with all the courting, texas is looking around thinking…i can date one or date ‘em all. texas goes independent and reaps huge rewards.
finally, i have said it before…just because your state is below other states does not make you the south. texas…i’m looking at you.
go dawgs!
longDawg
June 4th, 2010
10:53 am
GT is not a charter member of the SEC
PMC
June 4th, 2010
10:53 am
Do they have enough boom in Destin to keep Michael Adams off the beaches?
Dawg5150
June 4th, 2010
10:54 am
To the real old gold. Tech might be a charter member to the SEC, but they do not have more conference championships. Tech has 5 SEC titles to GA’s 12. You can even factor in your 3 ACC titles if you want and “the dawgs” are still ahead.
ATLDawg
June 4th, 2010
10:55 am
Just go to 20 and be done with it. Add Texas, Texas A&M, Oklahoma, and Oklahoma State to the West. Add Florida State, Miami, Clemson, and Georgia Tech to the East.
This would give the SEC about a 75% share in college football.
CrackDaddy
June 4th, 2010
10:55 am
Uga’s athletic dept. has the best business acumen of any dept. on campus. It’s grad business school was nowhere to be found in recent grad school business rankings. Emory and Tech were in top 30 nationally.
Anti-alternative
June 4th, 2010
10:56 am
Dave Dawg, thumbs up! When can you get Slive to sign off and send the invites?
Evansdawg
June 4th, 2010
10:57 am
Austin Texas may be the most ignorant, uninformed person outside of the Obama administration that I have ever seen.
Anti-alternative
June 4th, 2010
10:58 am
longDawg, what? Get on wikipedia right now and correct yourself. Want a surprise? Tulane was a charter member too!
Atticus
June 4th, 2010
11:01 am
GT
Clemson
FSU
Louisville
NavySealDawg
June 4th, 2010
11:03 am
I heard that Georgia Tech was joining the Southern Conf. Still want beat Georgia Southern.
longDawg
June 4th, 2010
11:05 am
anti you are an ignorant $astard they are” former” charter members
concerned fan
June 4th, 2010
11:08 am
This sort of thing would completely destroy college football.
matt
June 4th, 2010
11:09 am
anti-alternative- wikipedia is not recognized as a credible source.
Anti-alternative
June 4th, 2010
11:09 am
“Charter member” is used by people here to mean they were on the original charter. Don’t get angry, your post just looked like you meant that GT was never a member.
Junkyard Dawg
June 4th, 2010
11:09 am
So if we go to 16 teams, are we only going to play 1 game against a team from the other division? Or would we go to a 10 game conference schedule?
My guess is we would move to a 10 game conference schedule.
Otto
June 4th, 2010
11:09 am
What Miami does not have in Die Hard local fans compared to VT it makes up for in National TV draw.
Anti-alternative
June 4th, 2010
11:11 am
matt – sure,you don’t cite it in printed works, but it’s generally trustworthy for history, science, math, etc….things that don’t change
Otto
June 4th, 2010
11:11 am
IMO at 16 teams:
7 in division games
1 game rotated from the other side
1 std yearly game from the other side
longDawg
June 4th, 2010
11:13 am
Anti sorry just picking. had a bad morning went in the restroom at work and found 3 engineers in a tickle pile.
Anti-alternative
June 4th, 2010
11:17 am
Yeah, those are the Clemson engineers…the kind that like it purple.
out of control
June 4th, 2010
11:19 am
so when will these money gobbling super conferences be hit with class action anti trust lawsuits, by all of the schools that are not ‘allowed’ to participate?
BuLLdawg
June 4th, 2010
11:20 am
LMAO at old fart gold. More SEC titles than Georgia. I thought math was a strong thing at tech. LOL!!!