NFL PRESENTATION

Sheet1

Jaguars NFL

CAPITAL BUDGET

Projected Capital Funding Sources

Main Sponsorships 315,000,000

City of Birmingham Loan 100,000,000

Jaguars Initial Investment 35,000,000

Community Sponsors 25,000,000

Parking Garage Revenue Bond 15,000,000

Total Capital Funding 475,000,000

Projected Capital Expenditures

Year 0 Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10

Stadium (10 Year Life) (295,000,000)

Parking Garage (10 Year Life) (20,000,000)

Incremental Cash Flow (315,000,000) 68,800,000 10,060,000 55,360,000 105,190,000 160,000,000 201,080,000 195,380,000 212,140,000 221,340,000 196,520,000

Culmulative Cash Flow (315,000,000) (246,200,000) (236,140,000) (180,780,000) (75,590,000) 84,410,000 285,490,000 480,870,000 693,010,000 914,350,000 1,110,870,000

Present Value Interest Factor 0.9346 0.8734 0.8163 0.7629 0.713 0.6663 0.6227 0.582 0.5439 0.5083

Discounted Cash Flow (315,000,000) 64,300,480 8,786,404 45,190,368 80,249,451 114,080,000 133,979,604 121,663,126 123,465,480 120,386,826 99,891,116

Culmulative Cash Flow (315,000,000) (250,699,520) (241,913,116) (196,722,748) (116,473,297) (2,393,297) 131,586,307 253,249,433 376,714,913 497,101,739 596,992,855

Cost of Capital 15.00%

Payback Period 6.80

Discounted Payback Period 8.4

Net Present Value $269,751,327.31

Internal Rate of Return 15.2%

TEN YEARS FINANCIAL PROJECTION

year 1 2 3 4 5 6 7 8 9 10

revenue ‘millions’ 511.88 453.06 498.36 548.19 603 644.08 638.38 655.14 664.34 639.52

Variable cost $102.38 $90.61 $99.67 $109.64 $120.60 $193.22 $127.68 $131.03 $132.87 $127.90

fixed cost $400.00 $200.00 $200.00 $200.00 $200.00 $200.00 $200.00 $200.00 $200.00 $200.00

depreciation $80.00 $80.00 $80.00 $80.00 $80.00 $80.00 $80.00 $80.00 $80.00 $80.00

EBIT -$70.50 $82.45 $118.69 $158.55 $202.40 $170.86 $230.70 $244.11 $251.47 $231.62

tax at 21% -$14.80 $17.31 $24.92 $33.30 $42.50 $35.88 $48.45 $51.26 $52.81 $48.64

PROFIT AFTER TAX -$55.69 $65.13 $93.76 $125.26 $159.90 $134.98 $182.26 $192.85 $198.66 $182.98

ADD DEPRECIATION $80.00 $80.00 $80.00 $80.00 $80.00 $80.00 $80.00 $80.00 $80.00 $80.00

CASHFLOWS $24.31 $145.13 $173.76 $205.26 $239.90 $214.98 $262.26 $272.85 $278.66 $262.98

Narrartive: Jacksonville Jaguars Revenue for 2019 was $443 according to statista.com, gain in revenue from the renovation of the new stadium compared to maintaining the status quo was used to project incremental cash flow for year 1-10.
Average Renovation Cost for NFL Stadium was $266 million according to the National Sports Institute of Marquette University School(NSLI). Birminham is a low-sized city coupled with 12 year inflation factor hence $295 million was derivied as appropriate.

Gough C.(2020) Revenue of the Jacksonville Jaguars2001-2019. Statista. Retrieved from: https://www.statista.com/statistics/195269/revenue-of-the-jacksonville-jaguars-since-2006/

Reider N.(2009) An Analysis of Sports Facility Costs and Development from 1989-2009. NSLI. Retrieved from: https://law.marquette.edu/assets/sports-law/pdf/sports-facility-reports/v10-sports-facility-costs.pdf

Capital Structure

Main Sponsorships City of Birmingham Loan Jaguars Initial Investment Community Sponsors Parking Garage Revenue Bond 315000000 100000000 35000000 25000000 15000000