Can Allegiant Airlines Afford Raiders Las Vegas Stadium Naming Rights Deal?

Can Allegiant Airlines Afford Raiders Las Vegas Stadium Naming Rights Deal?

ONN – Can Allegiant Airlines Afford Raiders Las Vegas Stadium Naming Rights Deal?

For the second time this year (the last time, May 9th), the idea that the Las Vegas-based Allegiant Airlines would pay to put its name on the Oakland Raiders Las Vegas Stadium has come up again.

The first time the deal was floated, the news was shot down by Allegiant Airlines itself, explaining that its filing of a legal protection of the name “Allegiant Stadium” was simply for future projects.

More Oakland News: FAQ on The Oakland Bulk Terminal.

At that time, at least one person who was said to have naming rights sales experience, dropped that the asking price was $25 million a year over 20 years.

Now, here comes ESPN basically saying the same news, only that this time, the deal is “near” – with no indication of where it really is. But the question outstanding is this one coming.

Why would Allegiant Airlines, which only has a net income of about $250 million, spend ten percent of that on a stadium naming rights deal that’s a quarter century long?

If one considers that Allegiant Airlines would be in United Airlines and American Airlines marketing territory, then the fact that their net incomes are over $1 billion, making such expenditures a drop in the bucket, has to come into play.

It may be that the news itself was floated to market Allegiant Airlines, and not really to say that a deal was going to get done.

It just doesn’t make sense for Allegiant Airlines.

Allegiant Airlines Stock Down After Naming Rights News

A review of Allegiant Airlines NASDAQ stock reveals that it took a dive to close on Wednesday and after news of the so-called deal talks surfaced. Allegiant Airlines stock was at $149.85, and down 1.41 or .93 percent over the opening bell of that day. With that reaction, it’s hard to see how Allegiant Airlines can justify even being involved in such a deal.

Stay tuned.

Oakland News Now Note: this video-blog post demonstrates the full and live operation of the latest version of an experimental Zennie62Media mobile media video-blogging system network. This is a major part of our new approach to the production of news media. The uploaded video is from a vlogger with the Zennie62 on YouTube Partner Channel, then uploaded to and formatted automatically at the Oakland News Now site and Zennie62-owned social media pages. The overall objective is smartphone-enabled, real-time, on the scene reporting of news, interviews, observations, and happenings anywhere in the World and within seconds and not hours. The secondary objective is faster, and very inexpensive media production and distribution. We have found there is a disconnect between post length and time to product and revenue generated. With this, the problem is far less, though by no means solved. Zennie62Media is constantly working to improve the system network coding and also seek interested content and media technology partners.


Oakland News Now Recent Posts

Oakland News Online Links From Oakland's Only News Aggregator Blog

Oakland News Now Archives

Oakland News Now - SF Bay Area, East Bay, California, World