Batter up: Indians score big profit

February 11, 2008
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While it’s still frigid outside, it will be heating up inside the corporate offices at Victory Field today, where the Indianapolis Indians will conduct the franchise’s annual shareholders meeting at 3 p.m. It’s difficult to say how the team will do on the field this season, but Indians executives anticipate a banner year financially.

Team profit grew from $810,000 in 2006 to $1.27 million in 2007. Last year marked the first time in three seasons the club’s profit surpassed $1 million. Fueled by an aggressive marketing campaign, attendance hit its highest mark in six seasons. Ticket sales increased 15 percent, merchandise sales rose 10 percent, and concession sales were up 33 percent.

Walk-up ticket sales were so brisk, the team this off-season spent $250,000 to add three ticket windows to the six existing. Indians board members are expected to give an update on other revenue-driving projects at today’s meeting.

Indians stockholders will be just as eager to hear about the franchise’s most recent stock buyback. Board members agreed in late November to significantly increase their offer in an ongoing stock-buyback effort, from $15,329 to $21,832 per share. Since the team retires shares it buys, shareholders who decide not to sell own a larger slice of the team.

At last count, there were 789 outstanding shares of Indians stock remaining, held by 210 stockholders. That would give the franchise a $17.2 million value. One stockholder estimated the value of the franchise at nearly $24 million.

In this time of economic uncertainty, can the Indians expect to improve on last year’s fiscal performance? And what is the team's true value?
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  • The best sports value in town. Good seats, beer and a hot dog on a summer night.
  • If I remember correctly, there was at least one major concert at Victory Field last summer. Did that concert revenue affect the the earnings?
  • Katie: You are very observant. There was one concert at Victory Field in 2007, and that was one more than was held there in 2006. The concert brought in $48,493 in revenue for the franchise. What's not clear is how much it cost the team to put on the concert. I'll try to check on that.
  • What they need to do instead of adding three more windows for walk up sales, is move the Will Call all the way to the actual most used entrance. I parked at the closest garage (govt center) only to get out and go to the ticket window and have to walk with three of my kids and their gear all the way around the outside of the stadium to wait in line for will call. They should move will call to the gate that has the most foot traffic. The one facing downtown. Other than that, love the betting games inside the field!
  • Nice profit while the team runs off another parent club. Imagine what it could do with some visionary ownership, a solid partnership with a Major League team, and a maximization of the amazing resources the city has given the team. The Indians are going to face some challenges as they lose the Pirates after this season, deal with major construction on new hotels that could impact the ease of access and change the sitelines and wind patterns at the park, and a recession.

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  1. Only half a million TV Viewers? And thats an increase? I knew Indycar was struggling but I didn't know it was that bad. Hell, if NASCAR hits 5 Million viewers everyone starts freaking out saying its going down hill. It has a long way to before Indycar even hits NASCAR's bad days.

  2. IU has been talking that line for years with no real progress even with the last Dean, Dr. Brater. Why will an outsider, Dr. Hess, make a difference? With no proof of additional resources (cash in the bank), and a concrete plan to move an academic model that has been outdated for decades with a faculty complacent with tenure and inertia, I can count on IU to remain the same during the tenure of Dr. Hess. One ought to look to Purdue and Notre Dame for change and innovation. It is just too bad that both of those schools do not have their own medical school. Competition might wake up IU. My guess is, that even with those additions to our State, IU will remain in its own little world squandering our State's tax dollars. Why would any donor want to contribute to IU with its track record? What is its strategy to deal with the physician shortage for our State? New leadership will not be enough for us to expect any change.

  3. How do you think the Bridges got approved? I spent a couple days researching PAC's and individual contributions to some city council members during that time. My printouts were inches thick on the two I concentrated on. Finally gave up. Was disgusted with all the donations, and who they were from. Would have taken me days and days to compile a complete list. Tried to give it to the Star reporter, but he thought it was all just fine. (and apparently he was treated well himself) He ended up being laid off or fired though. And then of course, there was land donated to the dad's club, or city, as a partial payoff. All done in the shining example of "charity." No, none of these contributions are a coincidence.

  4. I agree what kind of help or if any will be there for Dr. Ley's patients. I was a patient myself.

  5. What about the hundreds of patients who sought this doctor for the right reasons, to quit drugs. what option do these patients now have, experience horrible withdrawl or return to heroin?? those are the choices. what about the children of these former addicts who's parent(s) WILL not b able to maintain their job, for @ least 2 weeks.. There needs to b an emergency clinic opened for these patients.

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