Texas Tech Board of Regents set to approve Tier 3 Rights for $5 Million per Year guaranteed escalating to $8.5 Million per Year over 10 years

Pursuant to an existing multi-media rights agreement, Learfield is engaged as the media rights and marketing agent for Texas Tech athletics. The current agreement expires June 30, 2019. Informally for many months, and formally since early spring 2017, TTU athletics and Learfield have engaged in negotiations for a replacement multi-media rights agreement. The new agreement would extend from July 1, 2017 through June 30, 2027. The new agreement would continue to allow Learfield to market sponsorship opportunities in certain specified classes of media as well as signage opportunities tied to TTU athletic events and venues. In return for higher compensation levels, the new agreement will add additional marketing opportunities for Learfield.

Under the new agreement, Learfield will guarantee royalties for each athletic year during the term of the contract. The guaranteed royalty fees begin at $5,000,000 for the athletic year 2017-2018 and escalate to $8,500,000 for athletic year 2026-2027. In addition, the new agreement provides certain revenue thresholds that, when reached by Learfield, result in additional royalty payouts which are based on a percentage beginning at 55% for athletic year 2017-2018 and escalating to 61% for athletic year 2026-2027.

The new agreement acknowledges, and excludes, various naming, pouring rights, and institution-wide contracts currently in existence for Texas Tech University.

The new agreement also contains detailed provisions regarding possible contingencies which could affect future operations under the agreement.

/r/CFB Thread Link - texastech.edu