Serie A clubs reach deal on sharing TV income

The 20 clubs of Italy’s top football division, Lega Serie A, yesterday reached an outline agreement on the system for sharing income from the sale of media rights for the period 2012-13 to 2014-15.

For the first of the three seasons, 2012-13, the same criteria that were used in the last two-year cycle, from 2010-11 to 2011-12, will be used, with the exception that €30 million ($38.1 million) will be set aside as a parachute payment for the three clubs relegated to Serie B, up from the current maximum of €22 million.

In the following two seasons, the additional income from the increase in the annual value of the rights will be used to provide an extra merit award for clubs finishing in the top 10 positions.

Total media-rights income for 2012-2013 is €966 million, rising to €1.006 billion in 2014-15. The income to divide between the Serie A clubs, after solidarity payments to lower leagues and performance fees to the league’s media-rights adviser, the Infront Sport & Media agency, will be €840 million this season. Serie A president Maurizio Beretta said that this would increase by €17 million next season and a further €24 million the season after.

The new agreement is set to be confirmed at a league assembly on November 19. However, not all clubs were in favour of the proposal. Chievo called for an increase in the proportion of income which is divided equally from the current 40 per cent and a complete reassessment of all the other criteria. Two alternative proposals were also discussed but not accepted by the majority, one by Udinese and the other by the six biggest clubs – Juventus, Inter Milan, AC Milan, Roma, Lazio and Napoli.

According to an analysis by the Il Sole 24 Ore newspaper, the proposal would provide a revenue breakdown for this season as follows:

Juventus €100 million

Inter Milan €90 million

AC Milan €90 million

Napoli €65 million

Roma €65 million

Lazio €50 million

Fiorentina €45 million

Udinese €40 million

Palermo €40 million

Sampdoria €37 million

Genoa €35 million

Bologna €35 million

Cagliari €35 million

Atalanta €35 million

Catania €35 million

Torino €34 million

Parma €32 million

Chievo €29 million

Siena €27 million

Pescara €24 million

Under the current system, in line with the principles established in the ‘Melandri Law’ of 2008, 40 per cent of media-rights income is divided equally, 30 per cent on supporter base (split 25 per cent on number of fans according to survey research and five per cent on population) and 30 per cent on sporting results (split five per cent on the most recent season, 15 per cent on the performance over the previous five seasons, and 10 per cent since the league was founded in the 1946-47 season).