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How Much Does A&M Stand To Gain From SEC Move?

This writer gained some new friends in College Station (that's me in the middle of the maroonmayhem.com gang)

Aside from a chance to exit the shadow of the Longhorns, Texas A&M also stands to gain some revenue from its move to the SEC.

For the 2009-2010 school year, A&M received $10.17 million from the Big 12. Included in that figure is $841,381 for bowl game expenses, so A&M’s actual Big 12 share was $9.33. Each member of the SEC that year received $17.42 million.

Texas A&M expected to receive $12.71 million for the 2010-2011 school year, $1.48 million of which was for bowl expense reimbursement. Its $11.23 million Big 12 share (exclusive of bowl money) paled in comparison to the SEC’s $18.33 million per member.

According to A&M’s budget for this school year they expect to receive a conference distribution of around $15.83 million from the Big 12. Reports immediately following the announcement of A&M’s acceptance into the SEC today stated ESPN would be increasing rights fees to allow SEC members to receive at least the same compensation they would have received prior to A&M’s addition. That means A&M will see a minimum bump of $2.5 million, and closer to $3.4 million if the SEC repeats last year’s over 5% increase in overall conference monies to be distributed.

Aside from any conference buyout, A&M may also experience some additional travel costs as they join the SEC. However, don’t expect it to decimate the additional revenue they’ll be receiving. An open records request of Nebraska shows an increase of $1 million in travel costs following the school’s move from the Big 12 to the Big Ten.

In speaking with Aggies during my recent visit to College Station, the real value in this move isn’t in conference distributions, its in the ability to build a national brand for the school. As part of the Big 12, A&M was “one of the Texas schools.” In the SEC, they’ll be the Texas school. There’s a lot to gain from this move if the Aggies capitalize on the opportunity.

Note: I should note that I didn’t compare the estimated revenue members of the Big 12 have been projected to make beginning next season under the new FOX deal. That’s because I firmly believe the SEC will have an improved contract after a fourteenth member is added. I’ll wait until the time comes for a comparison.

About Kristi Dosh

Kristi A. Dosh is the founder of BusinessofCollegeSports.com and has served as a sports business analyst and contributor for outlets such as Forbes, ESPN, SportsBusiness Journal, Bleacher Report, SB Nation and more. She is also the author of a book on the business of college football, Saturday Millionaires. Kristi is a sought-after consultant and speaker on topics related to the business of college sports and a former practicing attorney. Click to learn more
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