if GTAA raise tix prices .....

law_bee

law_bee

Dodd-Like
Joined
Nov 25, 2001
Messages
6,402
they say there is a good chance that GTAA will significantly raise tix prices. If they do then they should go ahead have the "re-seating," so those of us that continue to purchase our seats get to move to better locations.
 
I may be wrong but I don't think the tix prices

are directly being raised. Instead they will attach a PSL to each seat you purchase for season tickets. Same result as a price increase but I think you get the tax deduction on the PSL which you wouldn't get on a straight up ticket price increase. Someone who knows more about taxes may be able to correct me if I'm wrong.

In any event, I'd be curious to see if they implement it this year or wait and see if he can get a better season next year to use as the catalyst. Many have said that he was extremely unhappy with how the season ended because it hurt his ability to launch this program successfully.
 
law_bee said:
they say there is a good chance that GTAA will significantly raise tix prices. If they do then they should go ahead have the "re-seating," so those of us that continue to purchase our seats get to move to better locations.
Click to expand...

If they are going to raise ticket prices I hope to God that they finally adopt a tiered pricing structure to fill up the stadium. To expect someone to pay the same price for a seat in the upper deck corners of the endzone as the guy sitting on the 50 yard line is ludicrous. Yes, it rewards the big contributor, but it alienates non-contributors and walk up fans. Season tickets between the 30's should be say $50 per game while those in the nose bleeds should be $20.

There are economics to consider here. You just can't jack up the ticket prices to increase revenue. You need to consider the law of supply and demand. Increasing ticket prices dramatically could actually reduce revenue. No player wants to play in front of 1/2 full stadiums.
 
Re: I may be wrong but I don't think the tix prices

GTPilot said:
are directly being raised. Instead they will attach a PSL to each seat you purchase for season tickets. Same result as a price increase but I think you get the tax deduction on the PSL which you wouldn't get on a straight up ticket price increase. Someone who knows more about taxes may be able to correct me if I'm wrong.

In any event, I'd be curious to see if they implement it this year or wait and see if he can get a better season next year to use as the catalyst. Many have said that he was extremely unhappy with how the season ended because it hurt his ability to launch this program successfully.
Click to expand...

Whats a PSL?
 
If today was the deadline to buy tickets, I would bet that total ticket expense would drop to $0 for many.
 
Not sure how valid this information is. However, we were told last year that the "Contribution & Ticket Price" would remain the same through the 2007 season. Time will tell.
 
As an 18 year season ticket holder who drives from east of Raleigh to games 3 to 5 times each year, if they attach an expensive PSL fee to give a lifetime right to buy a seat - I'm done. It is supply and demand - if you have more seats in your stadium than season ticket holders, the incentive to buy the PSL is not there.

Of course, they understand supply and demand at GTAA. That is why they will declare a smaller portion of the stadium available to season ticket holders to force the PSL's. Then they will be pleased to see 20,000 Dawg, Tiger, Hokie, or Seminole fans in our stadium rather than loyal Tech alums and fans.
 
77GTFan said:
As an 18 year season ticket holder who drives from east of Raleigh to games 3 to 5 times each year, if they attach an expensive PSL fee to give a lifetime right to buy a seat - I'm done. It is supply and demand - if you have more seats in your stadium than season ticket holders, the incentive to buy the PSL is not there.

Of course, they understand supply and demand at GTAA. That is why they will declare a smaller portion of the stadium available to season ticket holders to force the PSL's. Then they will be pleased to see 20,000 Dawg, Tiger, Hokie, or Seminole fans in our stadium rather than loyal Tech alums and fans.
Click to expand...
Sorry- Its a done deal. But what else can they do? They cant get in donations because of Braine now Gailey. And Wayne Clough has no clue what the Total Person Concept is really about because his support has been nil.
 
Hi folks. First time poster. I found you while trying to keep up with Chan-o-rama.

I sat through DRad's PSL pitch during lunch last week. After listening to him, it's very obvious why Gailey's job search played out like it did. It's clear many of you aren't clear on the GTAA financial situation. The capital campaign for the stadiums failed and left us with a $200MM+ debt that has an annual interest of $8MM+. Dave Braine screwed us.

Anyways, as for the NEW GTAA/A-T under our new AD, here's the deal (and if anyone didn't see it coming when he was hired, you really weren't paying attention):

PSLs kick in this year, likely $500 per seat for West Stands between the 40s, $375 out to about the 20s and the East Stands, $200 or so elsewhere. That covers the best 18,700 seats of the stadium. Club seats basically already have a $600/$400 PSL and won't change. There is a similar graduated plan for AMC.

All of this is 80% tax deductible. It also replaces the 'level giving' A-T donation program. The PSLs will still generate A-T fund points for parking, seat upgrades, postseason, etc. Anyone still giving to A-T will receive double points, but PSL points are expected to be the norm.

Ticket prices will remain market competitive.

The student government is voting in the next couple weeks to nearly double student fees.

Tech is also kicking in. They will share resources like accounting software. DRad is also converting all GTAA employees to State gov't. employees in another cost saving effort.

And for the kicker...there will not be a reseating. They think they can accommodate anyone that has seat issues (like wanting to move groups back together that were separated by the last reseating) through attrition and hold outs.

One last kicker...there will be a one time opportunity to transfer any of your additional tickets/seats to anyone else you choose at no cost (only available this year). Basically, if you bankroll your groups location and buy all the tickets, you can 'give' the extras to somebody else. Of course, they will be responsible for the PSL on those seats from there on.

Sorry, this is so long. I probably won't be rambling like this too often, but I felt y'all needed to see the train that's headed your way.:wow:
 
Clapper, great first post. Thanks for the info and look forward to seeing more of your posts.
 
Thanks for the informative post Clapper.

Unless you pay the AMT, the tax benefit should take around 15 to 30 percent of the cost off the PSL, depending on your tax bracket.

I also didn't realize the stadium debt has screwed us over that much. The 8 million dollars of interest alone is almost certainly more than the operating cost of the entire football team and eight time the head coach's salary.

Dave Braine was an abomination of a manager who I wouldn't trust with the local Quiktrip, much less the GTAA.
 
*sigh*

gotta pay da bills.......








hmmmmm, lessee.....didn't O'Leary say something like "either expand the stadium, or I'm gone"?? We bend over and let him, uh poke us good and then he leaves anyway, pokin' us once again.
 
I now have a clearer understanding of why we needed a more financially astute AD candidate than Bill Curry.
Thanks to the mismanagement of Braine and Clough, we have a lot more going on than just football issues.
 
[ After listening to him, it's very obvious why Gailey's job search played out like it did.

I am not sure I under stand this quote please explain.
 
FAN OF BOBBY DODD said:
[ After listening to him, it's very obvious why Gailey's job search played out like it did.

I am not sure I under stand this quote please explain.
Click to expand...

Gladly.

Chan can't get fired. We have no money to cover his salary and that of a new coach, but he also understands that there is a significant faction that would rather see him gone AND there is a new AD that not only understands the predicament, but also the fnancial implications.

The best course after teams actually came calling was to put everything behind 'Chan for NFL HC' (Chan haters screwed up here by not telling Wayne Huizenga that Chan was the greatest HC EVAR!!!) while letting everyone know the door remained open (DRad said the same thing happened with Saban @ LSU). If he left we could hire a new coach of the AD's choosing without taking on the responsibilities of paying a fired coach. (That's also why you won't see someone like Coker stepping into the OC role.)

A couple other things that came out:

There is no longer an AD suite. He gave it up to sell it off for the good of the AA. (Made a joke about grazing off the other suites from now on.)

A resolution to the GOL buyout has been made...although it was also done under the previous admin and DRad intends to look forward and not discuss it.
 
but the problem is if we don't sell the PSL's then the stadium is going to be filled w/ other school's fans.

So my 4 tix are going to be $800 + tix cost....


This also points out how laughable hiring a NEW HC would have been. Jimbo, PJ, or etc. are going to demand at least 1.5 mil and it does not seem like we have it.
 
The stadium expansion was only supposed to cost $75M total. Where did the other $125M go? For $200M, we could have darn near rebuilt the entire stadium. By comparison, Minnesota estimated it would cost them $220M to build a 55K seat stadium on campus in Minneapolis. Technology Square only reportedly cost $260M. Something is not adding up here.

Maybe BOR needs to resubmit his resume for OC.
 
Anybody know what "Other" is under revenues in the financials D-Rad sent out? Or why it has dropped off from $2.6M in 2005 to a projected $815K in 2006?

Why has General & Administrative increased from $5.5M in 2004 to $8.1M in 2005? That's almost a 50% increase in 2 years.

Figure out what's going on with those two items and that's your $3.3M deficit.

Link to GTAA Finances
 
JTS said:
The stadium expansion was only supposed to cost $75M total. Where did the other $125M go?Something is not adding up here.
Click to expand...
I didn't explain that part well. The new expansions for football and baseball were in the $100MM range. The $200MM+ was the total debt that has been taken on since even back in the Wardlaw days. The principal is currently down to $100M+, but the debt service is $8MM+.

As for the accounting questions, I think you'll find that they have mostly shifted costs and revenues as DRad's staff uses his methods. The bottom lines don't show tremendous annual swings.

One point in particular that he said he found was that the school used to pick up utilities expenses at our sports venues and offices in the early days. Around the time of our MNC, they came to GTAA and asked them to cover those costs for the year (about $600K). Then, they did the same the next...and the next...until it just shifted to GTAA's books permanantly without even being asked. Those energy costs went up to nearly $1.8MM last year. DRad is trying to get Tech to re-takeover that responsibility as part of the new budget restructuring.
 
You must log in or register to reply here.
Back
Top