Following the footsteps of the Kokatta and the Mohali franchisee, the India Cements owned Chennai franchisee announced marginal profit.
However, this blogger views these reports with skepticism. There were reports that uncomfortable questions were asked by some ICL ( India Cements Limited) board members about Rs.400 crores spent on the Chennai Super Kings franchisee in the first year.
When you compare it with the reported figures of Rs. 360 crores to be spent over a 10 year period, isn't there room for skepticism?
ICL had bid $91 million or about Rs 360 crore for owning the Chennai Super Kings team over a 10-year period. Mr Rakesh Singh, Joint President, (Marketing), India Cements, said
ICL had spent about Rs 70 crore on the whole exercise so far. This
included Rs 36 crore as franchise fee, Rs 24 crore for administration
and players and staff salaries, and another Rs 10 crore for
advertisements and promotions.The revenue came mainly from the central pool (distributed by BCCI/
IPL), sponsors and gate collections. The popularity of the team and the
game itself had seen gate collections at the M.A. Chidambaram stadium
exceed Rs 13 crore.
However, this blogger views these reports with skepticism. There were reports that uncomfortable questions were asked by some ICL ( India Cements Limited) board members about Rs.400 crores spent on the Chennai Super Kings franchisee in the first year.
When you compare it with the reported figures of Rs. 360 crores to be spent over a 10 year period, isn't there room for skepticism?
5 comments:
According to modi only riders made some profit He said I think riders made some profit. The other franchisees will have to face the shareholders and explain to them if they dont make a cut.
Not sure where the link below is getting their figures from - but according to them CSK have a loss.
Profit/Loss
No wonder Mallya was annoyed.
R,
Mohali also made money.
ipl08,
I have linked to Hindu Business Line. It is dependable.
Oh, hoot! Just shows that SRK has the most creative accountants - followed by the Zinta.
They are chappies used to showing profit figures for dud movies, so this is a walk in the park for them!
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