If you assume a large portion of those sponsorships - say $2.7 million - were the ones WVU is retaining and subtract that amount, the average revenue over the last four years comes to roughly $3.8 million.
If you subtract additional expenses for the former Mountaineer Sports Network - pegged at about $750,000 in a report to WVU's Board of Governors in 2009 - one could conclude WVU was making somewhere around $3.1 million to $3.2 million in profit from its multimedia rights in recent years.
From that, WVU would appear to be coming out at least $1 million ahead next year. But the 12-year deal also gives WVU some benefits that are more intangible.
First, staff time formerly devoted to managing MSN, negotiating with additional sponsors and raising money can now be focused on other endeavors.
More importantly, the guaranteed revenue from IMG will give the WVU athletic department some degree of financial certainty (and insulation from another downturn in the economy) going forward.
That means the next time WVU wants to raise capital for some type of expansion or improvement project - say, the Jared K. Hunt Luxury Lounge at Milan Puskar Stadium - it can pull out its IMG contract, show underwriters a guaranteed revenue source over the next 12 years, and likely secure better financing terms for that project.
Contact business editor Jared Hunt at jared.h...@dailymail.com or 304-348-4836.