REPORT: Vince McMahon Set To Lose $375 Million On XFL In First 3 Seasons
The XFL is just a few days from beginning and the league is alreadt taking a major loss that is going to be spread out oer the next few years.
As noted by Dave Meltzer on Wrestling Observer Radio, Vince McMahon is expected to lose nearly $400 million by bringing back the football league.
Meltzer notes that McMahon is well aware of how much he is going to lose, but he also has a plan to make it all back.
“Vince has earmarked $300 million and that’s going to get them through 2.5 seasons and he’ll put up more later,” said Dave Meltzer. “The way this whole thing is structured is Vince is probably going to lose about $375 million over the next 3 years on this league and he will and he knows and that’s what he’s going to do.”
“Then at the end of those 3 years, the idea is he’ll be able to get television deals that will total over $125 million a year which would cover his losses and then he’s okay. There’s a lot of factors involved in that and again, the ratings are one of them. If these stations feel that it’s valuable enough to pay that much, it’s not as long a shot as everyone thinks.”
Back in 2018, ESPN’s Darren Rovell noted that Vince McMahon is prepared to spend as much as $500 million on the league.
“People were focused on the $100 million, but the truth is that doesn’t even get us to the 20-yard line,” league CEO and commissioner Oliver Luck told ESPN.
“There are very few participants who underwrite for this market anymore and it is obviously costly,” he continued.
The XFL kicks off its 2020 season on Saturday when the Seattle Dragons take on the DC Defenders, some 19 years after the conclusion of the XFL’s first season in 2001.