By factoring in a 5 percent increase in ad rates over the period, the company said the potential value of the proposal would increase to $81.6 million.
Those projections were not included in the bid package the company submitted to WVU. A West Virginia Radio official said that was because WVU already knew the value of its MSN contracts, and could therefore do the calculations internally.
Company officials maintain their proposal, while still less than the guaranteed $78.3 million offered by IMG during the first round of bidding, was still competitive given all the intangible opportunities the company could bring to the table.
"The sums were not guaranteed but were certainly within the expected revenue potential," the company said in its statement Friday.
"Additionally, by partnering with WVRC, WVU could have insured that ALL dollars generated by the 3rd Tier rights of West Virginia University would have stayed in the state of West Virginia," the company said.
West Virginia Radio's current estimate concerning the value of the existing MSN contracts is slightly higher than what was detailed in the university's original request for proposal.
The university estimated last year its existing MSN contracts were valued at $5.3 million. Using that estimate, the overall value of the West Virginia Radio bid would decline to $58.7 million in revenue, plus an additional $5 million in promotional advertising.
Regardless of these potential revenue projections, IMG remains the one company willing to guarantee the most revenue through both rounds of the bid process.
Those guarantees remained a key factor in the evaluation of the proposals. Guarantees protected the university from potential revenue swings caused by economic conditions or other factors that could affect advertising and licensing rates.
IMG vice president Andrew Giangola said the company did not believe WVU was looking for revenue projections when it issued its request for proposals.
"IMG was asked to submit a proposal. We took that to mean guarantees, not projections," Giangola said. "We made a clear and substantial bid, which was chosen as the best."
While its final contract with WVU guarantees the university will receive a minimum of $86.5 million over the next 12 years, there are several other factors that can raise the overall value of the contract.
WVU has opted to retain some of its existing advertising, sponsorship and licensing agreements, including those with United Bank, Nike, Coca-Cola, Bank of America, WVU Hospitals and Chesapeake Energy.
Those agreements could net the university in excess of $1 million in additional revenue each year.
Additionally, WVU will receive money through a revenue-sharing agreement with IMG. Once annual revenue crosses a certain point each year — starting at $6 million the first year — WVU gets to keep a 30 percent portion of that additional revenue.
IMG said adding in those factors would significantly increase the overall value of their proposal.
"Beyond our guarantees, projecting the full value of our contribution to WVU over these next 12 years would be substantially in excess of $100 million, perhaps even priceless," Giangola said.
Like West Virginia Radio, the company is also providing free promotional advertising for the university across its radio affiliate network.
Each of the 40 affiliates currently signed to the Mountaineer Sports Network from IMG will provide at least 40 30-second promotional spots each week promoting the university.
While Giangola did not specify exactly how much those radio spots were worth, he said the advertising "represents extraordinary value for WVU."
Contact writer Jared Hunt at busin...@dailymail.com or 304-348-4836.