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The new most fantastic name in the universe: Bank of Montreal Stadium

http://www.thestar.com/NASApp/cs/ContentServer?pagename=thestar/Layout/Article_Type1&c=Article&cid=1156974612483&call_pageid=968350072197&col=969048863851

BMO buys stadium naming rights

Pays MLSE for soccer exposure Announcement is

pending: Sources

Aug. 31, 2006. 01:00 AM

RICK WESTHEAD

BUSINESS REPORTER

Maple Leafs Sports & Entertainment, the privately held sports concern that owns hockey's Maple Leafs and basketball's Raptors, has agreed to sell naming rights to its new soccer stadium in downtown Toronto to the Bank of Montreal.

Two sources familiar with the agreement told the Toronto Star that the pact with BMO is expected to be announced in September.

The contract is said to be worth as much as $27 million over 10 years, in line with what many sports industry officials expected.

Maple Leaf Sports obtained the corporate naming rights to the city's new downtown soccer stadium from a consortium of public-sector partners after it agreed to pay $10 million over 20 years for the right to sell naming rights and other sponsorships for the facility, currently under construction at Exhibition Place.

Besides selling the title sponsorship to the new 20,000-seat stadium, where Major League Soccer's Toronto FC will play its home games, MLSE also has the right to keep any revenue collected from associate sponsors. Those contracts, with the likes of car companies and brewers, are likely to be worth at least $250,000 a year, industry sources said.

Signing a stadium naming rights agreement is no guarantee a company will reap long-term rewards.

Stadium naming is a comparatively new way for team owners to generate more money.

Some of the biggest such deals were signed in 1999 and 2000 when Reliant Energy agreed to pay $320 million (U.S.) over 32 years for the right to name the stadium where the National Football League's Houston Texans play.

And to be sure, there have been instances where naming rights agreements have ended in public embarrassment.

In 2002, for instance, baseball's Houston Astros paid $2.1 million to reacquire the naming rights for the former Enron Field after the Houston-based energy company became embroiled in scandal.

While one veteran sports marketer said the stadium's proximity to the Gardiner Expressway made it a coveted property, others were more skeptical about BMO's ability to use the stadium to bolster revenue.

"You've got 250,000 cars going by at rush hour twice a day but you could also have just bought a billboard next to the highway," said Keith McIntyre, a Toronto sports marketer.

Maple Leaf Sports spokesperson Rajani Kamath said he had no comment. "Nothing's been finalized. We aren't ready to announce anything yet."

BMO spokesperson Ralph Marranca wouldn't comment "on rumour or speculation." The new $62.5 million soccer stadium will be owned by the city. The federal government will contribute $27 million while the province has made an $8 million pledge.

Toronto has agreed to provide land worth $10 million and $9.8 million in cash and MLSE has been responsible for contributing and raising $18 million.

MLSE also stands to generate revenue from the sale of luxury-suite tickets — there are plans to build at least 10 private boxes — as well as income from tickets, parking and concessions.

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BEAM OH PARK. OH,OH, way to easy for clever journalists. Stade Montreal in beautiful Toronto.

Coulda been worse Preperation H Pitch or Viagra Field.

EHHHHH, there's already a Royal Bank Arena in Raleigh North Carolina and there was a Toronto-Dominion Centre in Boston. They just use RBC or TD something and it's not Nova Scotia Centre in Ottawa it's Scotiabank.

So we'll just get used to hearing "Live from BEAM OH Park".....

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Labatt's having a Brazilian owner would have been interesting. Could have been called the Brahma Corral. That would have fit with the Ex. Theme too. Then it's probably not a good idea to name it after a beer brand given the short life span of some beers.

quote:Originally posted by Cheeta

I think I'll just keep calling it New Ex if that's okay with everyone.

(Personaly, I was pulling for Sleeman's Stadium but alas, I suppose they were to busy counting all that Japanese money).

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quote:Originally posted by Jarrek

So CIBC is a major CSA sponsor and now BMO will have its name in the stadium as well. Interesting.

Not all that uncommon. Similar to Molson having the pouring and signage rights at the ACC during Labatt Hockey Night in Canada.

I'm whelmed (somewhere between over and underwhelmed). The naming rights were going to be sold and to have a blue-chip company on board helps. Whether it has Montreal in the name or not doesn't really matter to me... it's not like any other name was going to have any reference to Toronto in it. It could have been a lot worse. Cheetah Stadium, presented by Steelback, for example.

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quote:Originally posted by Jarrek

So CIBC is a major CSA sponsor and now BMO will have its name in the stadium as well. Interesting.

First thing I thought of. I think, actually, this is the other shoe dropping on the bringing in of MLSE to get this stadium done.

When you combine the capital contribution of $17 mil that MLSE made with the $10 mil they paid for naming rights it all adds up to $27 mil. So, essentially, with this deal MLSE will recover all of their stadium capital over a ten year period making the stadium deal a no risk venture for them (in addition they will continue to retain any smaller sponsorship deals and collect a management fee for the running the stadium). So it is a really good deal for MLSE.

Unfortunately, I think this will come at the expense of the CSA and, ultimately, soccer in Canada. You can bet any amount you like on the fact that BMO will need and get exclusivity at the stadium. They will be the only bank/financial institution that will be allowed to advertise at the stadium and any financial services (bank machines and the like) will be theirs. With the CSA guaranteeing the majority of their games be played at the new stadium that will create a problem for their biggest corporate sponsor....CIBC. Not sure how long that deal has to run but I would think that CIBC will be asking the CSA to look for a new sponsor as it is highly unlikely they will be able to advertise at the stadium.....so there is little/no value for them in continuing as CSA sponsor.

All those BMO adds at the stadium will make them look like the official bank of soccer in Canada....and none of the money they will pay will actually go to soccer in Canada!

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quote:Originally posted by TOareaFan

All those BMO adds at the stadium will make them look like the official bank of soccer in Canada....and none of the money they will pay will actually go to soccer in Canada!

Right, because Toronto isn't in Canada correct......?

Without being able to recoup their investment MLSE wouln't be involved and we wouldn't have a stadium, wouldn't have an MLS team and probably wouldn't have the WYC either. So CSA gets CIBC's money and it entices MLSE in to get the stadium built and an MLS team landed to boot. Sounds like a pretty good deal for the CSA and Canadian soccer. Who cares if theres two banks involved, the promise of naming-rights money is what got MLSE involved, so BMO money has indirectly contibuted to the advancement of soccer here.

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quote:Originally posted by marktci

How about "BMO Coliseum" or the "BMOC" or just "the Big Man" for short.

Can't call it the Coliseum, since the Ricoh Coliseum is right next door.

But BMO Park is not too bad; anything that keeps "Montreal" out of the name is OK.

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quote:Originally posted by Gian-Luca

Just going to be odd that Bank of Montreal Stadium will be in Toronto. That should keep the tourists guessing!

Bank of Montreal has been calling themselves BMO for years now, in a similar way that Royal Bank of Canada is RBC, and Toronto-Dominion is TD.

The Canadian banks have spread out internationally, so none of them (except Scotiabank) go by their original 'regional' names any more.

The Vault (I named it first, bettermirror ;)) will officially be known as "BMO ________ (Stadium, Park, Field, etc)", in the same vein as there is an RBC Center in Raleigh, NC, TD Waterhouse Center in Orlando, and TD BankNorth Garden in Boston.

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quote:Originally posted by Richard

BMO Park - has a kind of ring to it - perhaps the ring of cash registers :-)

I know you're being funny, but the first thing that came to my mind is that our friends McCowan and Perkins are going to come up with some sort of stupidity about the money issue and how the evil robber barons at MLSEL are screwing the innocent tax-payers of Canada again.

As for the name, BMO calls it self by the letters, just like RBC and TD. It's going to be "Bee-mo" or "bee em oo" stadium/park/whatever, not "Bank of Montreal Stadium".

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