garfield Posted November 12, 2019 Share Posted November 12, 2019 1 hour ago, George Dixon said: why would they sell their only revenue source? 150 (or more) MM's at $4,000 tour fees each, plus the roughly $700m of "unattributed" income (mostly sponsorships and equipment deals) SHOULD be enough to field a competitive show. Just as, oh, Blue Stars, PC, Mandarins, Madison, Phantom... Or, here's another reason: The present value of, say, 10 years' worth of approximately $750m annual profit (2017 numbers) from US Bands is somewhere between $3million to $3.5million at an expected Rate of Return of 7% per year. That would pay off all of Cadets debt (including retirement plan obligations to past employees) and still leave a substantial cushion in the bank. And that deal is especially attractive if the deal allows Cadets to bid on taking over USBands at some point in the future (a 5-year option would make sense). Cadets could use the time to refocus, rebuild, and renew after the calamity of a lifetime and, hopefully, be in a better position to dedicate resources to outside revenue sources. 1 Quote Link to comment Share on other sites More sharing options...
cybersnyder Posted November 12, 2019 Share Posted November 12, 2019 1 hour ago, garfield said: 150 (or more) MM's at $4,000 tour fees each, plus the roughly $700m of "unattributed" income (mostly sponsorships and equipment deals) SHOULD be enough to field a competitive show. Just as, oh, Blue Stars, PC, Mandarins, Madison, Phantom... Or, here's another reason: The present value of, say, 10 years' worth of approximately $750m annual profit (2017 numbers) from US Bands is somewhere between $3million to $3.5million at an expected Rate of Return of 7% per year. That would pay off all of Cadets debt (including retirement plan obligations to past employees) and still leave a substantial cushion in the bank. And that deal is especially attractive if the deal allows Cadets to bid on taking over USBands at some point in the future (a 5-year option would make sense). Cadets could use the time to refocus, rebuild, and renew after the calamity of a lifetime and, hopefully, be in a better position to dedicate resources to outside revenue sources. Who would pay that? Quote Link to comment Share on other sites More sharing options...
Jeff Ream Posted November 12, 2019 Share Posted November 12, 2019 23 minutes ago, cybersnyder said: Who would pay that? well their indoor has not been doing much. mostly percussion if anything now Quote Link to comment Share on other sites More sharing options...
garfield Posted November 13, 2019 Share Posted November 13, 2019 2 hours ago, cybersnyder said: Who would pay that? In fact, my amateur numbers don't include any growth in USBands over the time frame of such a deal. If the circuit/business unit could be cleaned up and improved, could that net increase to a $1mm or more? Maybe a pocket of money who would like to sweeten, improve, make more competitive, a competition circuit in time to flip it back to Cadets at a higher price. What about Stanbury, or Yamaha, or System Blue? Someone who can see the opportunity (if it's there) and the pockets to make it happen. Simple. 🙂 Quote Link to comment Share on other sites More sharing options...
garfield Posted November 13, 2019 Share Posted November 13, 2019 Sorry, George, none of that is related to Cadets 2020. Forgive the hijack... Quote Link to comment Share on other sites More sharing options...
MikeD Posted November 13, 2019 Share Posted November 13, 2019 6 hours ago, JimF-LowBari said: So if schools are in session how the heck do they have a big band show on school day/night. It has happened, not just in Texas. Here in NJ, as far back as the late 60's through the 70's the Herald News Band Festival was held in Clifton NJ on 3 Tuesday evenings in October, with about 15 bands per evening. More recently, we competed during the week when a USBands championship got rained out from the weekend. In that case, some bands did end up dropping out. 1 Quote Link to comment Share on other sites More sharing options...
JimF-LowBari Posted November 13, 2019 Share Posted November 13, 2019 (edited) 1 hour ago, MikeD said: It has happened, not just in Texas. Here in NJ, as far back as the late 60's through the 70's the Herald News Band Festival was held in Clifton NJ on 3 Tuesday evenings in October, with about 15 bands per evening. More recently, we competed during the week when a USBands championship got rained out from the weekend. In that case, some bands did end up dropping out. Probably the only one on DCP with this opinion but scheduling (as opposed to rain out redos) something like this on school nights is a bit much. Figure when the members get home from the show. Know I killed a lot of study time being in pit band for HS musicals practice but at least I could bring my homework with me. Edited November 13, 2019 by JimF-LowBari Quote Link to comment Share on other sites More sharing options...
Ghost Posted November 13, 2019 Share Posted November 13, 2019 7 hours ago, cybersnyder said: Who would pay that? 4 hours ago, garfield said: In fact, my amateur numbers don't include any growth in USBands over the time frame of such a deal. If the circuit/business unit could be cleaned up and improved, could that net increase to a $1mm or more? Maybe a pocket of money who would like to sweeten, improve, make more competitive, a competition circuit in time to flip it back to Cadets at a higher price. What about Stanbury, or Yamaha, or System Blue? Someone who can see the opportunity (if it's there) and the pockets to make it happen. Simple. Supposedly a corps was asked by the Cadets for a loan. This corps said give us USBands and we'll give you half a mil. 1 Quote Link to comment Share on other sites More sharing options...
Jeff Ream Posted November 13, 2019 Share Posted November 13, 2019 12 hours ago, garfield said: Or, perhaps it would take only one. Sell USBands and refocus on the functional center of the YEA! universe. If what you say is true, and no doubt it is, it's reasonable to presume that all of YEA!'s programs suffer from bloat and self-importance without concomitant revenue or operational efficiency. I wouldn't be surprised if the BoD decides it's time to streamline to save the biggest component of the org. renting large NFL stadiums don't help keep costs down, thats for sure. while USBands generates revenue, the costs have to keep profitability lower than it could be. 1 Quote Link to comment Share on other sites More sharing options...
Jeff Ream Posted November 13, 2019 Share Posted November 13, 2019 9 hours ago, MikeD said: I doubt that would be much of a consideration. The students have school most likely. How many local parades are there anymore? Probably a local ceremony, but my guess is very few parades of any size. most schools in PA were in session....elementary on up Quote Link to comment Share on other sites More sharing options...
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