Boise State will get $9 million from Albertsons naming-rights deal

Posted by Chadd Cripe on June 17, 2014 

A rendering of Albertsons Stadium, the new name for Boise State's football stadium. The school will add Albertsons signage before the 2014 football season.

COURTESY BOISE STATE

UPDATE: Boise State President Bob Kustra called the Idaho Statesman on Wednesday morning. He pledged to release the redacted information at Thursday's State Board meeting and expressed disappointment that the information was withheld.

Boise State will receive $9,081,250 from Albertsons deal, or 72.65 percent of the revenue, according to documents obtained by the Idaho Statesman on Wednesday afternoon. Albertsons will pay $12.5 million over the next 15 years for the naming rights to Bronco Stadium. Learfield, which holds the athletic department's marketing rights, will receive the rest.

Original story

Boise State has chosen not to disclose the details of the Albertsons Stadium naming-rights deal — even to the State Board of Education.

The home of Boise State football previously was called Bronco Stadium.

When the deal was announced last month, Boise State said that Albertsons agreed to pay $12.5 million over 15 years and that the revenue would be split 75 percent to the school and 25 percent to Learfield Sports, which owns the Broncos' marketing rights.

But the contract that was distributed to the media did not include a single dollar sign. Instead, it referenced the dollar amounts in a “letter agreement” between Albertsons and Learfield. The school initially denied the Idaho Statesman’s request for that document.

After a public records request, the school provided the document to the Statesman — but blacked out every dollar amount, claiming those details are “trade secrets.”

On Monday, the State Board posted the agenda for this week’s meeting in Idaho Falls. Boise State provided the same limited financial information and contract to the State Board as it did to the media.

The State Board staff concluded, “The net revenue to be paid to BSU under this Agreement (in concert with the Learfield agreement) remains uncertain to staff. This issue along with additional questions about the Agreement remain to be addressed at the Board meeting. Staff reserves judgment pending resolution of these matters.”

The State Board meets Thursday in Idaho Falls.

The State Board documents did indicate that $100,000 of the proceeds will go to the university’s new alumni center.

The Idaho Statesman also requested and received the original agreement between Boise State and Learfield for naming rights, part of the marketing rights deal between the two parties that began in 2010. That document also was heavily redacted.

Learfield has provided Boise State with a naming-rights guarantee — amount redacted — since 2011-12. That means the company paid for a sponsorship that it wasn’t able to sell for three years.

That contract stipulates that Boise State gets an annual guarantee and that Learfield gets the next (amount redacted) from a naming-rights contract. Then Boise State and Learfield split the rest 75/25. So it’s possible that Boise State’s actual take is less than 75 percent.

Also, the payments that Boise State received the past three years from Learfield will be deducted from the school’s Albertsons payout. But once the Learfield deal expires, all of the Albertsons revenue will be split 75/25.

The Learfield contract expires June 30, 2017. Boise State has three additional one-year options.

Here are Boise State’s annual royalty guarantees from Learfield, not including stadium naming rights:

2010-11: $2.135 million
2011-12: $2.26 million
2012-13: $2.335 million
2013-14: $2.41 million
2014-15: $2.485 million
2015-16: $2.56 million
2016-17: $2.635 million
2017-18: $2.71 million*
2018-19: $2.785 million*
2019-20: $2.86 million*
* indicates university-controlled option years

Boise State also receives 50 percent of any revenue above a certain threshold. For 2013-14, that threshold was $4.445 million.

Boise State gets another $500,000 if it exercises all three contract option years. The contract also called for a $1 million capital stipend over the life of the contract to help with facility improvements that enhance sponsorship opportunities, such as the new video board at Bronco Stadium.

The contract also includes $300,000 in annual trade value for office equipment, cell phones and other items and $292,000 in annual trade value for advertising.

You can see some of the redacted documents here.

•••

Tickets are now on sale for each of the Boise State football team’s away games in 2014.

Prices for the opener against Ole Miss on Aug. 28 at the Georgia Dome in Atlanta are $83 lower level (sections 113-125), $94 mezzanine level (sections 228-232) and $109 club level (sections 217-226).

For other games, the prices are:

UConn (Sept. 13): $45.50.
Air Force (Sept. 27): $50.50.
Nevada (Oct. 4): $51.50.
New Mexico (Nov. 8): $23.50.
Wyoming (Nov. 22): $45.50.

All tickets are available here.

For home games, only season tickets are on sale. Individual-game tickets go on sale Aug. 18.

•••

I also recently received the contracts for Boise State’s assistant football coaches. The salaries are roughly the same as I reported in February (the previous numbers were rounded). Each full-time, on-field coach receives a $2,000 bonus for reaching the conference championship game and either a $3,000 bonus for a bowl game or a 5 percent bonus for a College Football Playoff game. They can receive $2,000-$5,000 based on the team’s Academic Progress Rate. They also get the use of a car.

Here are the staff salaries:

Marcel Yates, defensive coordinator: $317,512
Mike Sanford, offensive coordinator, $305,012
Scott Huff, offensive line, $270,005
Kent Riddle, special teams/RBs/associate HC, $250,016
Steve Caldwell, defensive line/assistant HC, $220,002
Andy Avalos, linebackers, $210,018
Junior Adams, wide receivers, $160,015
Julius Brown, defensive backs, $160,015
Eliah Drinkwitz, tight ends, $160,015

Also, Boise State has added a staff member. Darren Uscher is the new football operations coordinator. Brian Wilkinson remains the director of football operations.

Email me at ccripe@idahostatesman.com.

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