FanShot

A&M SECeding doesn't even work out for them financially

2

We already know it would be bad for their football program. Turns out going to the SEC would also require them to essentially take a pay cut. Now I really hope they make the move. "Texas A&M and Team No. 14 are expected to receive a pro rata share equal to what the SEC’s 12 current universities are making: an average of about $18 million in league payouts. (Individual universities can make more money from their separate television deals.) The SEC deal, which ends in 2025, has a few windows when it can be renegotiated but no one from the SEC or the networks expects any radical change. So the notion that Texas A&M will see a significant financial gain by going to the SEC is not true. While the SEC offers more long-term security, the Big 12 could end up with a television deal in four years that surpasses the annual payout of the SEC, according to Joel Lulla, a New York-based lawyer who is the Big 12’s television consultant. Starting next season, A&M is guaranteed $20 million of total revenue from the Big 12. Once the Big 12 negotiates its deal that expires in four years, Texas A&M would be poised to make more money. Texas A&M also has to deal with a potentially significant buyout that will be in the neighborhood of $15 million. "Economically, unless the SEC opens their TV deals to the extent where they make more than a pro rata increase, it makes no sense at all," Lulla said."

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