As part of the Disney Group, ESPN wants to hold additional consultations with the Eredivisie CV about the initially guaranteed offer of around 1.7 billion euros for ten years for the live premier league rights.
ECV director Jan de Jong has explained in a letter to the premier league clubs that the negotiation result is meeting with resistance from the Disney Group . The Americans consider the total financial risk too high and want the agreed profit sharing of 80 percent for ECV/KNVB and 20 percent for disney to adjust.
Ugly line through the bill
This rabbit out of the hat is an ugly line through the account of the Eredivisie CV. Without formal approval from America for the profit sharing and for the financial guarantee, the clubs take a large financial risk if they accept the offer ESPN accept. Initially, ECV director De Jong communicated that there were financial guarantees.
In the presence of Robert Eenhoorn (AZ) and Menno Geelen (Ajax), De Jong will discuss the American offer and the lack of financial guarantees with Eredivisie Media and Marketing (EMM) on Thursday. In a letter to the clubs, De Jong strongly advocates an extra ten years ESPN indicated that he takes into account that the American position will have consequences for the final negotiation result.
The intention is that the clubs will decide on Monday 5 June whether to give the green light to the deal with disney . Depending on Thursday’s consultation – clubs want to shorten the ten-year term to seven years – and feedback of the result to the clubs on Friday, it will be decided whether or not a vote will be taken on Monday on the media deal with the Americans.
Media Consortium
Waiting in the background is a consortium of cable companies with – KPN , VodafoneZiggo , T Mobile and DELTA – anxious about the result. They have offered the Eredivisie clubs to pay 180 million euros annually for a period of seven years with an option for five years. With a financial guarantee.
Incidentally, the cable companies have informed ECV director De Jong that they will with a deal from the ECV disney will ask the Netherlands Authority for the Consumer Market (ACM) to investigate this agreement. According to the four companies, there is no fair and public bidding procedure from the ECV that could have violated the cartel prohibition.
Disney Group (ESPN)
The retreating movement of the Disney Group ( ESPN ) with regard to total financial risk and profit sharing does not come out of the blue. On February 8, the Americans presented worse-than-expected annual results and director Bob Iger announced a major reorganization at the Walt Disney Company . The company will cut 7,000 jobs in the short term and wants to implement cost savings of five billion dollars, with three billion to be cut on the purchase of all kinds of rights.