Diversification

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I see one our more repsected clubs is forming a liason with a team of rounders players in the US of A.

-- Anonymous, February 07, 2001

Answers

Accoring to Ken's Aunty:

Manchester United are set to consolidate their position as the richest football club in the world by joining forces with American baseball giants New York Yankees.

The biggest joint-marketing deal in the history of sport, potentially worth billions of pounds, is expected to be unveiled on Wednesday in Manhattan.

It is claimed the football and baseball clubs planned to form a superclub.

Shares in Manchester United rocketed instantly, up 20p to 233¾p - an increase of around 9%.

Exchange of merchandising

The club issued a statement to the London Stock Exchange at 0911GMT, noting press coverage and adding it would "announce details of a marketing alliance".

It will enable them to package themselves collectively and sell the rights of their clubs to sponsors and television networks.

There will also be an exchange of merchandising - with the clubs selling each other's souvenirs and kits.

United are already the richest football club in the world, with revenue that dwarfs the rest of the Premiership and major European clubs like Barcelona, Real Madrid and Juventus.

Kenyon spoke recently of United's desire to "break into the US markets" and this deal makes that possible.

Sir Bobby Charlton and United chief executive Peter Kenyon flew to America on Tuesday to clinch the deal.

A news conference is expected to be held on Wednesday at about 1530GMT.

Kenyon was unavailable for comment while YankeeNets chairman Harvey Schiller declined to make a statement.

United - worth as much as £1bn - will join forces with the Yankees and will be able to negotiate television deals from a position of massive strength.

League of their own

While the deal is good news for United it is bound to worry their rivals at home and abroad.

With untold millions pouring into the Old Trafford coffers, it means the club will be able to bid for any of the game's superstars.

Juventus and France World Cup midfielder Zinedine Zidane, who would be worth up to £30m, would automatically come within United's range assuming some of the cash found its way through to the manager.

United are already in a cash league of their own within the Premiership and this deal makes their hand even stronger.

There are comparisons between United, who are chasing their seventh Premiership title in nine years, and the Yankees, who have won three of the last four titles - the World Series - and, in all, a record 26.

United's wealth is far in excess of the Yankees, who are believed to be worth around £400m.

They are, however, the wealthiest baseball team in the United States.

The Yankees wage bill last season was about £60m, with Derek Jeter set to become their highest earner on £12m a year when he signs a new contract currently under agreement.

That dwarfs the pay packet of United skipper Roy Keane, who collects £52,000 a week - £2m-plus a year.

There are comparisons between Jeter and United glamour boy David Beckham. Both move in showbusiness circles and both have high-profile partners.

Beckham's wife Victoria is a member of the Spice Girls and one of the country's leading fashion icons while Jeter's girlfriend is the current Miss Universe.

The company that owns the Yankees, YankeeNets, also controls the New Jersey Devils and the NBA's New Jersey Nets.

-- Anonymous, February 07, 2001


No-one in the USA seems that interested in footy after 30 years of trying; no-one here is OTT over rounders. Can't see how they can help each other.What will they achieve together that they can't do seperately?

Seems like a dangerous game to me. All's well when they're both top of their trees, but in sport that never lasts. Sure, they both have a large group of dedicated supporters, but so what? When one goes tits- up on the field of play, and revenues go down, how will the other feel about supporting the losses?

Curioser & curioser said Alice...

-- Anonymous, February 07, 2001


Could invent a new "World Series of Football" and only invite Man U to play in it

Beckham clearly had the future marketing possibilities in mind (sic) when he named the brat Brooklyn.

-- Anonymous, February 07, 2001


I hear Newton and Heath are likely to be very popular names in the US of A in the near future. Also, the Univeristy of Hicksville is proposing to introduce a new degree course leading to a "Batchelor of Whinging". They've already lined up their honorary professor - allegedly.

-- Anonymous, February 07, 2001

Interesting, remember hearing recently that baseball was losing popularity in the USA, perhaps because of the lack of salary caps for the team as a whole, as in American football when the caps serve as the big balancing factor. Yankees were pointed out as big spenders, when nobody else can afford it.

Time will tell what happens here.

Still can't see the cross-marketing opportunities though. USA is very different, especially in the bleachers.

-- Anonymous, February 07, 2001



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