FanPost

Front and Center

Mpk_markmurphy_047e_mediumvia 2.bp.blogspot.com


Mark Murphy CEO of the Green Packers is now Front and Center in the NFL and the standard bearer for the Owners in the negotiations on the next Collective Bargaining Agreement. The Reigning Super Bowl Champs and the only publicly owned (therefore reporting the bottomline info) NFL team that reports a profit/loss statement. from wiki

Murphy moved back to Hamilton, New York, to become the athletic director at Colgate University in the late 1980s through until 2003. Murphy then lived in Evanston and served as the athletic director at Northwestern University. On December 3, 2007, he was revealed as the new Green Bay Packers President and CEO. On February 6, 2011, Mark Murphy's Green Bay Packers won Superbowl 45, giving Murphy his second Superbowl victory.

 
He has done an excellent job. He recently resigned Ted Thompson to a new contract. He also extended Mike McCarthy his Super Bowl winning Head Coach

Packers President and CEO Mark Murphy says Friday the organization is thrilled to keep Thompson after working on and reaching an agreement on a new contract in December.

 

Of Green Bay’s 53 active players against Pittsburgh, 49 were acquired by Thompson, including 26 through the draft.

 But, Is the story Mark Murphy is voicing in the media True?

A nice read here

It's a popular refrain from the NFLPA at the moment to decry the fact that the television networks that cover the league have been contracted to pay the NFL even if there is no football played in 2011 because of a lockout, thereby providing a supposed "Lockout Fund" for the league. But what they fail to grasp, or at least acknowledge publicly, is that those same contracts are paying their current salaries. Indeed, they are the reason the NFL exists at all. There's no great conspiracy here - the league runs on television money. Sure, there are more streams of revenue being generated now than ever before but nothing comes even close to the slice of the pie that are the checks being cut by the networks.

Maybe I misunderstand but the networks paid $95 million in 2009 per team.

Murphy said, “Our player costs are growing at twice the rate our revenue is growing.”

The Packers are in many ways a healthy business, the most famous in Green Bay, although not as big as local companies like American Foods Group, Georgia-Pacific or Humana. None of them, of course, gets tens of millions of dollars from network TV deals, as each N.F.L. team does.

The Packers’ reports show that their share of network money rose to $95.8 million last year from $84.2 million in 2005. Their cut of licensing, merchandising and other national revenue leapt to $45.8 million from $14.5 million.

Total Payrolls 2006-2009

2006
Indianapolis Colts $ 131,189,741
Green Bay Packers $ 98,561,315
Kansas City Chiefs $ 81,820,780

2007
Washington Redskins $ 123.389,019
Kansas City Chiefs $ 108,482,459
Green Bay Packers $ 97,653,823

2008
Oakland Raiders $ 152,389,371
Green Bay Packers $ 94,018,300
Kansas City Chiefs $ 83,623,776

2009
New York Giants $ 137,638,866
Green Bay Packers $ 114,597,569
Kansas City Chiefs $ 83,187,156

from USA Today various links

Maybe part of the increased Player costs was the Fact Ted Thompson did such a superb job selecting quality players. That is a part of the business that all franchises wish they could do.

The Packers are without the sort of debt that some teams accumulate from financing stadiums or buying their franchises. The Packers partly financed the renovation of Lambeau Field that concluded in 2003 with proceeds from seat user fees — a form of personal seat licenses — a stock sale and a league loan.

“The average team has debt service of about $20 million a year,” Murphy said.

Michael Ozanian, executive editor of Forbes magazine, which values teams in all major sports, said that the Packers were typical of N.F.L. teams in the level below the richest ones, like the Dallas Cowboys, the Washington Redskins, the New England Patriots and the Giants. Forbes ranked the Packers 14th in value (at $1 billion), 15th in revenue and 27th in operating profit in 2009, far below the Cowboys’ $143.3 million.

Mark Murphy seems to run a prudent operation, I hope the Chiefs do also.

The Packers earn much less than they did four years ago. Their operating profit fell 71 percent from $34.2 million in the year ended March 31, 2007 (which coincides with the start of the current collective-bargaining agreement), to $9.8 million in the year ended last March 31. Revenue rose 18 percent in that period to $257.9 million.

The primary reason for the sharply reduced profit was player costs (salaries and benefits), which swelled in those years to $160.8 million from $110.7 million.

When you get good players and the coaches make em even better, Pay the player! link to nytimes quotes

Maybe Mark Murphy will be a great voice for a reasonable conclusion to a new CBA.

Murphy is proud of the tough stance he and the players took in the 1980s that, he said, helped create a new labor landscape in the NFL that allowed both the players and the owners to make more money.

"I like to look at it: I'm still trying to do what's best for the league," he said. "And I think what's happened is really from '93-on, we've had a bargaining agreement in place that really made the players and owner partners. That was the biggest difference. In the '80s, there was tremendous animosity."

Now, he said, there is much more mutual respect.

But the image of angry fans vilifying him after the 1982 strike rings in his head as a warning for those on both sides of the bargaining table

link

 

We can only hope at this point.

Go Chiefs

This is a FanPost and does not necessarily reflect the views of Arrowhead Pride's writers or editors. It does reflect the views of this particular fan though, which is as important as the views of Arrowhead Pride writers or editors.

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