In the Bundesliga, the TV billions are being redistributed
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DFL: More equal distribution thanks to Corona
The DFL is taking into account the effects of the corona pandemic in its new distribution key for TV money up to the 2024/25 season. In the coming season, more than half of the money generated will be distributed equally.
Big changes are coming to the Bundesliga. The money from the TV contracts should be distributed more fairly in the short term. DFL boss Seifert only sees the financial storm coming: “Last season was a mild breeze.”
Dhe TV billions will in future be distributed more evenly among the 36 clubs in the Bundesliga and 2nd division. With the new regulation of the distribution key for the around five billion euros in marketing income, the German Football League wants to cushion the effects of the corona pandemic in the next two seasons, said league managing director Christian Seifert on Monday in Frankfurt am Main.
In the two years thereafter, the performance concept, the promotion of young talent and the interest in the respective clubs should be weighted more heavily.
The basis for the distribution from the marketing of national media rights in the 2021/22 to 2024/25 seasons is a new four-pillar model. The category “equal distribution” accounts for 53 percent of the income in the first two years, after that it is still 50 percent.
The performance of the past five seasons is weighted initially at 42 percent, then at 43 percent. According to the DFL, the remainder is made up of the pillars “young talent” and “interest”. The international proceeds will also be distributed according to a new key that aims to end the recent dispute among clubs.
“The spread is guaranteed to decrease nationally and internationally,” said Seifert, but added: “Reducing a spread between Bavaria and Bielefeld by giving Bayern five million less and Bielefeld five million more does not make the championship more exciting. “
“Clubs have done too little at the front of player salaries”
The Bundesliga would face further severe cuts, said Seifert. Including last season, the clubs will lose around two billion in sales by the 2021/22 season: “Last season was at best a mild breeze, but now the storm is coming.”
“Most difficult season” for German football
DFL boss Christian Seifert swears German professional football to an enormously tricky season. “The organization and implementation of this season will be many times more complicated than the end of the last season,” says Seifert. All those involved need a “maximum amount of energy” to cope with the coming season.
He warned the clubs to further reduce player salaries in the Corona crisis. “One or the other club will have to continue working on its cost base. I’ve now seen the balance sheet, “said Seifert:” Some clubs have done too little in terms of player salaries. “
In order to have a better perspective, the DFL is examining the entry of international financial investors. There should be talks from February. “If the clubs should decide to do so, it will not be because you need short-term money now, but because you want to be better positioned for the time after the Covid pandemic,” said Seifert.
The investor question is about the sale of shares in a DFL subsidiary for international marketing. The DFL had already announced that it would prepare information meetings with companies from the private equity sector interested in minority interests.
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