Per USA Today, the Rangers new 20 year deal with Fox Sports Southwest is going to make $3 billion for the team. In other words, $150 million a year for the next two decades!
As Bob Nightengale puts it in that link:
Yes, that’s $150 million a year before even playing a game, plenty enough to re-sign ace Cliff Lee, bring in free-agent outfielder Carl Crawford, or whoever else they wish.
In comparison, the Dodgers make about $45 million a year off their TV deal with Fox.
So in one season, the Rangers will be making more than the Dodgers do in three! This is some of the best news ever. I’m just so unbelievably happy right now. $150 million straight up before the games even start, every year. This team has been so horrifically cash strapped for the last few years, and now that appears to be mostly over.
Everything appears to be coming together to make the Rangers a success for the near and distant future. Finally an encouraging owner is in place, the fabled farm system has come together to produce — be it through trade or growth — a playoff team, and now as those young players only improve and ownership has its chance to implement its plans, the team has a new source of outrageous funds to help build the roster and maintain the stars for the next couple of decades. And with more success will come even more of the fans in the massive DFW market (which I’m sure is what Fox is thinking here), meaning even more money down the road.
The reality of being a Texas Rangers fan is looking better and better all the time. Finally!
Updates after the jump.
There are some questions as to whether the numbers are quite right. Multiple attempts to get Chuck Greenberg to respond have gone unreturned, and some have said that the figures could be off – possibly wildly.
But, given the leveraging power of the moment, the extension figure is possible. According to Nightengale, the deal was brokered shortly after the Rangers were auctioned off to the Greenberg-Nolan Ryan group. During the auction process, News Corp (FOX) considered bidding for the club over concerns of a RSN being created by Mark Cuban.
Sounds as though it's hard to believe and perhaps wrong, but not entirely out of the realm of reality given the situation. He says he'll have more at FanGraphs tomorrow.
Am hearing Rangers TV deal with FSN is more like $1.5-1.6 billion, but could also include some up-front money to drive higher.
That still comes out to $75-80 million a year, which is disappointing from earlier reports but still absolutely incredible and would still help launch the Rangers back in to the big market club territory. Perhaps the incentives Grant talks about are what Nightengale thought were guaranteed?