Report on Athletics Facilities FinancingThrough December 31, 2012IntroductionOver the course of the past six months we have been engaged in a significant revision of the financing plan for the Simpson Center for Student-Athlete High Performance and the renovated California Memorial Stadium. The challenge was as complex as the goal is simple: Ensure we have a strong, responsive and reliable financial foundation for the facilities that will secure Intercollegiate Athletics' long-term ability to meet debt and principal obligations without drawing on central campus funds. While we cannot provide absolute certainty with respect to the future, we are pleased to announce that as a result of revisions and additions to the plan, we are now in a much better position to meet that goal. At the same time, however, experience indicates that uncertainty is unavoidable with respect to capital projects where both expenses and revenues must be projected over a 40-year time frame. Our crystal ball is no better than anyone else's. Thus, there is no doubt that some of what is written below will prove to be inaccurate. So, we must and will continue to constantly monitor data, forecasts and assumptions, tap into the right expertise and remain constantly ready to adapt as best we can. Such is the nature of the enterprise. BackgroundBefore we go in to the details of the revisions, a bit of background is necessary. Most capital projects, whether in the private or public sector, are financed by long term debt. That is, the total amount of debt owed does not fall due in any one year. While one can express the total of the future debt service payments in terms of its current "net present value," the owner of the building only has to meet the debt service falling due in any given year to remain current. That is why most of us buy houses using long-term mortgages offset by expected future earnings. Consequently, when thinking about the financial feasibility of a particular capital project one should focus on the probability of meeting the debt service falling due each year, not the total outstanding. When we talk about this sort of financial planning we often refer to a "financial model." Financial modeling is an approach that allows one to explore different outcomes within a well-defined interconnected framework that incorporates, among other things, projected revenues, costs and rates of returns on investments. The model allows decision-makers to examine a wide variety of scenarios to test the strength of a financial plan by plugging in different values for a wide range of variables. In this case we have good information on our annual future costs in terms of debt service and principal repayment. The new athletic facilities were financed using philanthropy received before construction and fixed-rate 30-, 40- and 100-year debt issued at historically low interest rates. Both the long maturity and low interest rates help to lower the debt payments due in any one year. We have issued $276m in long-term debt for Memorial Stadium and $124m for the Simpson Center and there is approximately $45m that remains to be issued. On the 30- and 40-year debt, interest-only payments are due until 2032, 2033 or 2038 depending on the bond issuances, at which point we will begin to pay down the principal. The 100-year debt will be paid off with a single payment in the last year. For modeling purposes we have assumed that the unissued debt is financed on the same terms as the existing 40-year debt. The long maturity structure of the debt affords us time to respond if we perceive a problem in the future in terms of how we raise revenue to meet our obligations - hence the need to be vigilant and adapt. With predictable annual costs, we are well-positioned to anticipate if the resources available to Intercollegiate Athletics are likely to fall short of need in the years ahead. And that is where the additional revenues incorporated into the model come into play. It is misleading to look at one side of the ledger (costs) without simultaneously looking at the other side of the ledger (revenues). Before it was revised, the original financial model for the new athletics facilities relied on only three sources of revenue: philanthropy, naming rights, and the Endowment Seating Program (ESP), with the last source accounting for the bulk of anticipated revenue. ESP is based on selling long-terms rights to premium seats at three different service levels, with escalating amounts of philanthropy built into the price. Buyers can opt to pay in full upfront or pay over time; a decision that is documented through a signed pledge agreement. If, for whatever the reason, a buyer stops payments, the seat returns to the available inventory to be re-sold. Under both the original and revised financial plan, revenue raised through ESP sales, philanthropy, naming rights and other sources is deposited into investment accounts. These investment accounts are conservatively invested, generating additional revenue along the way. This, in turn, means that our financial model must also incorporate a range of possible future annual returns on investment so we can assess the model's strength under a variety of scenarios. For the past year, we have posted on our website, on a quarterly basis, all of the financial information we have on total revenue received, seats sold, naming rights, and philanthropy. The first table below shows where we are, as of 12/31/12, in terms of ESP seat sales relative to the goals in the original financial model. The second table shows the original financial model with a range of possible scenarios and outcomes. Table 1: Summary of ESP Seats Secured through 12/31/12
*Based upon upfront price (a majority of the completed pledge agreements to date provide for payment over time). Table 2: Summary of Original Model Scenarios
Revising the financial modelSo, what led us to embark on a re-evaluation of the original financial model? First and foremost, it is our assessment there is an increasing probability that we will not reach the original fund raising/ESP sales targets by the anticipated date of June 2013. If we did not take corrective steps, this could result in a cash flow problem in future years. Given how different variables are interconnected this is best explained by looking at different "scenarios." Table 2 above does this by showing a range of possible outcomes, with scenario 1 representing the "best" outcome and scenario 5 the "worst." Thus, what the old model was telling us was that if we were in scenario 5 (i.e. we sold 76% of the ESP seats relative to goal, philanthropy was $20m over the next 10 years, and the return on the investments averaged 6%) then IA could not meet its debt related financial obligation from this source in 2038. Even though ESP sales have reached a value of over $150 million to date and new philanthropy is running ahead of projections, the tempo of sales and rate of return on investments have not kept pace with the original projections. Whether the sales figures are due to the economic recession, the football team's challenging season, or other factors is unclear. And, obviously, the return on the investment cannot be viewed over such a short period. However, what is clear is that the original model is over reliant on ESP seat sales. For that reason, it seemed prudent to develop a much more diversified financial model that was less susceptible to the vagaries of economic conditions and team performance. New strategy, new tactics, new sources of revenueThe new financing plan reflects the work Intercollegiate Athletics has done over the past year on developing a more diversified and robust approach to revenue generation. This work was undertaken in close consultation with both potential partners and our stakeholders, and is based on relevant market research. While the same three revenue sources remain important, we have fundamentally revised our approach to enable us to reach a wider group of buyers and add new revenue sources. Our first steps, in the fall of 2012, were designed to strengthen and expand the ESP program. Whereas in the past ESP had been handled solely by Intercollegiate Athletics' Development Office, they have now been joined by a dedicated sales staff that is focused on expanding our outreach beyond donors to a corporate market with significant potential. The corporate strategy for premium seating relies on offering to corporations and specific groups associated with the university shorter, two-year contracts for seat "bundles." While rental of the facilities was always envisioned, we have taken additional steps to enhance this source of revenue. Due to budget constraints, some of the space in the new facilities was left unfinished and is now being repurposed and improved as space available for lease or rent to third parties. We already have use agreements with a number of campus-based units, and welcome not only the new revenue, but also the increased usage of the buildings by a broader range of our campus community. In addition to these long-term use agreements, Intercollegiate Athletics will continue its successful efforts to rent space in the new facilities for events held by the university, corporations and individuals. Based on our experience to date, we are projecting a steady increase in this source of revenue. In terms of other commercial revenue, we are incorporating a new, professionalized outreach to the corporate sector. Intercollegiate Athletics is already in the process of reviewing opportunities with a number of interested parties. One of the benefits of working with the corporate sector on other commercial revenue is that commercial agreements are usually time-bound, creating opportunities to re-sell these opportunities in the future. The New ModelWhile adding new sources of revenue and implementing a new approach to sales is clearly beneficial, it would all be for naught if we are failing to model outcomes correctly. For that reason we have been working closely with Professors Stanton, Wallace and Fuchs from the Haas School of Business, who all have a very high degree of experience and expertise in financial modeling. Initially we wanted to have them simply validate the original financial model, which they did. However, as it became clear that we needed to rewrite the model to capture the more diversified approach to revenue generation and the inherent uncertainty around both revenues and returns, we asked them to increase their involvement and help us build a new financial model from the ground up. We are very thankful to them for doing so. Obviously, the assumptions remain our responsibility, as does the implementation of the plan. At the same time, we believe that their independent analysis will help ensure we are being realistic with respect to our assumptions, projections and forecasts. We will also continue to be fully transparent through comprehensive quarterly reports on the Cal Athletics website. Lastly, we have continued to work with Professor Calvin Moore, who has been involved in the estimation of the financial outlook from the beginning of the project several years ago, and Professor Alex Bell, who has kindly agreed to be our liaison to the wider faculty audience. They have both been very generous with their time and unstinting in sharing their insights and questions. The result of everything described above is captured in the graph provided below. In contrast to the old approach, which showed there was a risk that Intercollegiate Athletics could face financing difficulties under some scenarios in the 2030's, the new approach indicates that the department will be able to meet its financial obligations under a range of scenarios. For example, under the new base case, which assumes that the invested funds have an annual return of 6%, the financial projections show a modest surplus, where available funds exceed obligations every year until the debt and principal is paid off. Best Case Scenario
Note: In 2053, Cal will still have $75M in bonds outstanding, which are due to be paid in 2112. if we choose to pay off this debt, the balance in the investment fund would decline from $400M to $325M under the base case scenario. But, we did more than examine the model under a single, base case scenario. Using input and guidance from the aforementioned faculty, we tested the model against other plausible, but more challenging scenarios that, for example, incorporated lower rates of return on investments. As the table below indicates, under these more pessimistic scenarios Intercollegiate Athletics will be able to meet its financial obligations under most circumstances. For example, even if we pay-off the $75m in outstanding bonds in 2053, which is not a requirement, we would face a deficit only under the 4% scenario, a rate well below historical averages.
If we are in the upper end of the range of outcomes we will retire the debt early and use that debt capacity for other campus-wide priorities. If we are at the low end of the range of outcomes, IA will adopt new revenue measures to protect campus. However, these positive outcomes are likely only if we remain vigilant in terms of monitoring actual outcomes and adapting to new opportunities and/or challenges. We are committed to do exactly that and will not lose sight of the fact that reality will, in one way or another, certainly differ from these projections. AppendixBond Cash Flows
Debt Assumption Notes: 1) In 2053, Cal will still have $75M in bonds outstanding, which are due to be paid back in 2112. 2) There is approximately $45M in debt that remains to be issued. For modeling purposes, we assume this will be issued as 40 year debt, with 20 year delayed amortization at 4%. Cash Received Summary
**Annual ESP payments are due on April 1st. Endowment Seating Program Quarterly ReportsThe Endowment Seating Program (ESP) is an innovative program designed to provide Intercollegiate Athletics with the resources necessary to build and sustain its teams. The program includes just over 3,000 seats (or less than five percent of the stadium capacity) at California Memorial Stadium, and its participants receive long-term, all-encompassing access to selected seats, along with tickets, parking and benefits associated with the various ESP club levels. The following are quarterly financial statements on the progress of the ESP program to date that are meant to ensure transparency and support clear communications on ESP sales progress. Summary of ESP Seats Secured
|
| Field Club Seats | Stadium Club Seats | Univ. Club Seats | Total FY 13 | |
| Total Seat Inventory for Sale* | 1,426 | 1,051 | 425 | 2,902 |
Seats Sold to Date |
1,067 | 688 | 103 | 1,858 |
| Seat Sales in Progress | 4 | 2 | 4 | 10 |
| Percent of Goal - Number of Seats Sold |
75% | 65% | 24% | 64% |
| Percent of Goal - Number of Seats Sold and Sales in Progress |
75% | 66% | 25% | 64% |
| Total Dollar Value of Seat Inventory for Sale* |
$84 million | $126 million | $63 million | $273 million |
| Dollar Value of Seats Sold** | $56.7 million | $71.3 million | $21.6 million | $150.1 million |
| Percent of Goal - Dollar Value of Seats Sold |
68% | 56% | 34% | 55% |
| Cash Received Summary | |
| FY 10 ESP Revenue | $14,367,534 |
| FY 11 ESP Revenue | $13,461,021 |
| FY 12 ESP Revenue | $12,910,763 |
| FY 12 Naming Rights Revenue | $714,286 |
| FY 13 ESP Revenue | $1,346,922 |
| FY 13 ESP "Perk Sales" Revenue | $236,600 |
| Total Cash Received through September 30, 2012 | $43,037,126 |
The 2013 fiscal year first-quarter report for the Endowment Seating Program (ESP) shows 1,858 seats sold as of September 30, 2012, with an additional 10 seat pledges in progress. This is an increase of 113 seats from last quarter, which includes 26 new seat sales and 87 seats that have moved from previously being "in progress" to now being officially sold.
Two additional ESP-related sources of revenue have been added to the "Cash Received Summary" table above - naming rights revenue and "perk sales" revenue. Both will be explained in further detail below. Total cash received is $43,037,126.
As explained in the June 2012 posting above, Cal Athletics has secured $15 million in pledge commitments associated with naming rights in the new California Memorial Stadium. In the spirit of full transparency, this revenue category as been added to the quarterly reporting and will be updated regularly to reflect pledge payments made and the corresponding impact on overall cash received for ESP.
In addition, two new ESP-related sales options - "perk sales" and "corporate bundles" - are now being offered for the first time through a three-person premium sales team hired in mid-September. The sales representatives will focus on outreach for generating new, traditional seat sales, as well as on securing commitments for these innovative alternatives.
The ESP perk sales initiative is a unique program developed with multiple purposes in mind - rewarding current ESP participants, increasing interest and awareness of ESP amenities with first-hand experience, and leveraging available seating inventory to drive revenue.
The ESP perk program allows current ESP participants the opportunity to buy either full-season or single-game packages at their club level or below. Enrolled ESP customers are Cal Athletics' best ambassadors of the program, so the opportunity to invite friends or colleagues on a full-season or single-game basis is a prime source for referrals and prospective customers given these guests will now have the opportunity to experience the multiple benefits of the club levels for themselves.
By utilizing available inventory, therefore incurring minimal costs to execute, the ESP perk program yielded an additional $236,600 in revenue through the end of September. The ESP perk program may or may not continue in future football seasons depending on availability of seating inventory.
The corporate bundle strategy is aimed at generating interest in the traditional ESP seats by offering a short-term agreement on a customized number of University Club seats. Furthermore, these agreements are only available on a short-term basis (currently two years - football season 2013 and 2014), enabling Cal Athletics the flexibility to return these seats to the traditional inventory as demand increases, given the public has now had the opportunity to experience the newly renovated California Memorial Stadium for the first time in a game setting.
Three corporations have already committed to the program, reserving a total 20 seats for the 2013 and 2014 football seasons. The revenue associated with the corporate bundles will be reported after it is realized to avoid any misinterpretation of the cash received figures above.
The newly-formed premium sales team will continue to promote traditional seat sales as well as seating upgrades from existing ESP participants while leveraging the innovative corporate bundle packages.
| Field Club Seats | Stadium Club Seats | Univ. Club Seats | Total FY 12 | |
| Total Seat Inventory for Sale* | 1,411 | 1,042 | 425 | 2,878 |
Seats Sold to Date |
1,015 | 623 | 107 | 1,745 |
| Seat Sales in Progress | 59 | 72 | 0 | 131 |
| Percent of Goal - Number of Seats Sold |
72% | 60% | 25% | 61% |
| Percent of Goal - Number of Seats Sold and Sales in Progress |
76% | 67% | 25% | 65% |
| Total Dollar Value of Seat Inventory for Sale* |
$88,000,000 | $126,000,000 | $58,000,000 | $272,000,000 |
| Dollar Value of Seats Sold** | $53,950,000 | $64,150,000 | $22,450,000 | $140,550,000 |
| Percent of Goal - Dollar Value of Seats Sold |
61% | 51% | 39% | 52% |
| Cash Received Summary | |
| FY 10 | $14,367,534 |
| FY 11 | $13,461,021 |
| FY 12 | $12,910,763 |
| Total Cash Received through June 30, 2012 | $40,739,318 |
The fourth-quarter report for the Endowment Seating Program (ESP) shows 1,745 seats sold as of June 30, 2012, with an additional 131 seat pledges in progress. Between the close of the fiscal year and the posting of this report on Sept. 10, 2012, 71 of those 131 seats have been finalized, while 28 of the remaining 60 seats in progress belong to one account that is modifying its contract by one seat. Total cash received is $40,739,318, an increase of $5.5 million since the end of the third quarter on March 31, 2012. For the entire fiscal year, 201 new seats were sold within the ESP sections, and more than 15 accounts chose to upgrade their seats to a higher club level, resulting in a corresponding increase in commitment to the program.
In addition, Intercollegiate Athletics (IA) recently secured $15 million in donations related to naming rights. The Lisa and Douglas Goldman Plaza is named in recognition of a $10 million gift from the San Francisco philanthropists, and the Peter E. Haas Press Box is named in honor of a $5 million anonymous contribution. Additional philanthropy is anticipated to be raised to fund IA over the next 10 years and is an important component of the financial model. Members of the Haas School of Business faculty are evaluating the overall financial model for Vice Chancellor John Wilton, and those results will be posted on CalBears.com when they are available.
To capitalize on the momentum of the reopening of Memorial Stadium this fall, and because ESP seat sales are lower than targeted, IA has established a new distinct premium sales force under Chief Operating Officer Solly Fulp and Associate Athletic Director for Sales, Marketing and Service Ashwin Puri to conduct sales outreach now that prospects have access to the club levels following construction. The plan includes a corporate bundling strategy for premium seating contracts for local companies and the launch of ESP perk pricing, which offers a very limited number of seats for purchase in the ESP sections at a discount. Orders will be filled on a first-come, first-served basis and are only available to current ESP participants to yield incremental funding for the program.
| Field Club Seats | Stadium Club Seats | Univ. Club Seats | Total FY 12 | |
| Total Seat Inventory | 1,568 | 1,158 | 472 | 3,198 |
Sold to Date |
1,023 | 672 | 101 | 1,796 |
| Percent of Total Inventory Sold |
65% | 58% | 21% | 56% |
| Percent Sold of Goal (90% of Inventory) |
72% | 64% | 24% | 62% |
| Total $ Value of Seat Inventory |
$83,060,000 | $129,450,000 | $96,600,000 | $309,110,000 |
| Value of Sold Seats* | $54,390,000 | $69,800,000 | $21,450,000 | $145,640,000 |
| Percent of Inventory Value Sold (as $) |
65% | 54% | 22% | 47% |
| Percent Sold of Goal | NA | NA | NA | 54% |
| Cash Received Summary | |
| FY 10 | $14,367,534 |
| FY 11 | $13,461,021 |
| FY 12 | $7,461,866 |
| Total Cash Received through March 31, 2012 | $35,290,421 |
The third quarter report for the Endowment Seating Program (ESP) records 1,796 seats sold as of March 31, 2012. This number includes 58 new seats that have been reserved since Jan. 1, 2012. There are 54 seat pledges in progress and we experienced 11 pledge cancellations resulting in the release of 27 seats back in to the bowl for resale. A percentage of seat pledge cancellations will be expected near April on an annual basis due to a number of factors, including but not limited to seat holder financial hardship, family status, death, etc.
Beginning April 2, the Athletic Department began the seat-selection process (reseat) for upcoming football season in California Memorial Stadium. We have experienced an increase in inquiries into the ESP program during this time. We will continue to follow up with season-ticket holders, former season-ticket holders and new prospects to highlight the amenities and program benefits of ESP as we approach the September reopening. This reseat and our ability to begin private tours for potential purchasers in the stadium's ESP sections will greatly assist the sales team in its efforts to demonstrate such highlights as the view, seat comfort, sightlines and more. In addition, the newly reorganized Sales, Marketing and Customer Service team within Intercollegiate Athletics provides additional resources to market and sell ESP seats. Custom events are scheduled throughout the coming months leading up to the reopening and will continue once the club sections are complete in the autumn.
| Field Club Seats | Stadium Club Seats | Univ. Club Seats | Total FY 12 | |
| Total Seat Inventory | 1,568 | 1,158 | 472 | 3,198 |
Sold to Date |
1,015 | 666 | 101 | 1,782 |
| Percent of Total Inventory Sold |
65% | 58% | 21% | 56% |
| Percent Sold of Goal (90% of Inventory) |
72% | 64% | 24% | 62% |
| Total $ Value of Seat Inventory |
$83,060,000 | $129,450,000 | $96,600,000 | $309,110,000 |
| Value of Sold Seats* | $53,920,000 | $69,100,000 | $21,450,000 | $144,470,000 |
| Percent of Inventory Value Sold (as $) |
65% | 53% | 22% | 47% |
| Percent Sold of Goal | NA | NA | NA | 54% |
| Cash Received Summary | |
| FY 10 | $14,367,534 |
| FY 11 | $13,461,021 |
| FY 12 | $3,070,277 |
| Total Cash Received through Dec. 31, 2011 | $30,898,832 |
In the second quarter of Fiscal Year 2012, ESP sales increased to a total of 1,782 seats, which represents 62% of IA's goal for seats sold. Another 58 seats are currently in progress, and new sales continue on a weekly basis.
Annual ESP payments are due on April 1, with a grace period until June. 30. Therefore, the majority of cash received in FY12 for ESP is expected to occur in the fourth quarter.
| Field Club Seats | Stadium Club Seats | Univ. Club Seats | Total FY 12 | |
| Total Seat Inventory | 1,568 | 1,158 | 472 | 3,198 |
Sold to Date |
941 | 607 | 95 | 1,643 |
| Percent of Total Inventory Sold |
60% | 52% | 20% | 51% |
| Percent Sold of Goal (90% of Inventory) |
67% | 59% | 22% | 57% |
| Total $ Value of Seat Inventory |
$83,060,000 | $129,450,000 | $96,600,000 | $309,110,000 |
| Value of Sold Seats* | $49,720,000 | $62,750,000 | $20,100,000 | $132,570,000 |
| Percent of Inventory Value Sold (as $) |
60% | 48% | 21% | 43% |
| Percent Sold of Goal | NA | NA | NA | 54% |
| Cash Received Summary | |
| FY 10 | $14,367,534 |
| FY 11 | $13,461,021 |
| FY 12 | $1,637,722 |
| Total Cash Received through Sept. 30, 2011 | $29,466,277 |
*Based upon upfront price (a majority of the completed pledge agreements to date provide for payment over time)
At end of fiscal year 2011 (June 30, 2011), the number of ESP seats sold was 1,421, with another 336 seats in progress. It is important to note that the Athletic Department's definition of sold is 1) the seat holder is up-to-date in payments; and 2) the seat holder's paperwork is signed and on file in the IA office. If one or both of these items are missing, the seat is not considered sold, but only in progress.
By the end of the first quarter of fiscal year 2012 (Sept. 30, 2011), the number of seats sold had increased to 1,643, with another 123 in progress. During the first quarter, IA collected payments and paperwork for many in progress seats and also reserved a number of seats for new participants in the Endowment Seating Program.
As the down payments are made and paperwork for in progress seats is signed and mailed back by ESP donors, IA's seats sold number will increase. And as new seats are reserved for new customers, the in progress number will increase, as well. Those changes will be reflected in the next quarterly report.
| Field Club Seats | Stadium Club Seats | Univ. Club Seats | Total FY 11 | |
| Total Seat Inventory | 1,568 | 1,158 | 472 | 3,198 |
Sold Seats to Date |
829 | 507 | 85 | 1,421 |
| Percent of Total Inventory Sold |
53% | 44% | 18% | 44% |
| Percent Sold of Goal (90% of Inventory) |
59% | 49% | 20% | 49% |
| Total $ Value of Seat Inventory |
$83,060,000 | $129,450,000 | $96,600,000 | $309,110,000 |
| Value of Sold Seats* | $43,800,000 | $51,725,000 | $17,950,000 | $113,475,000 |
| Percent of Inventory Value Sold (as $) |
53% | 40% | 19% | 37% |
| Percent Sold of Goal | NA | NA | NA | 41% |
| Cash Received Summary | |
| FY 10 | $14,367,534 |
| FY 11 | $13,461,021 |
| Total Cash Received through June 30, 2011 | $27,828,555 |
*Based upon upfront price (a majority of the completed pledge agreements to date provide for payment over time)
As of June 30, 2011, ESP participants had accounted for 1,851 seats, of which 1,421 were secured by signed agreement and the required payments through donor adherence to the established payment schedule.
The 1,421 fully secured seats (pledged and paid to date) accounted for 49.4% percent of IA's seat goal for ESP with more than 12 months to go before the stadium reopens in the fall of 2012.
The reason for the difference between the number of accounted seats and the number of secured seats is that at the close of the fiscal year, not all anticipated pledge payments had been collected for seat agreements signed in FY 2011.
While a 20% deposit was collected from participants at the time of the pledge, in some cases the remaining 80% of the first year's required payment had not yet been received. There were also some patrons who had made their required annual payments in FY 10 but were not current with their FY 11 payments. Additionally, there were some ESP seat holders who were current with their payments but had not submitted all of the signed paperwork. The IA Development Office understands that these sorts of complications are an inherent part of programs that require payments over time and by certain cut-off dates and is in the process of gathering these payments and finalizing outstanding pledge agreements. As a result of efforts over the last six weeks to obtain required paperwork and past due payments, As of August 4, 2011, 1644^ seats have been secured with current payments and signed paperwork, which equates to 57% of the ESP seat goal.
The difference between 1,851 seats accounted for and the 1,644 seats secured is 207 seats. Some of the 207 seats have been previously allocated for athletic department use; the remainder are in suspense until payment is remitted and/or agreements have been executed.
IA will continue to carefully monitor every aspect of this strategically designed program. The department remains confident that ESP will meet its objectives: providing Intercollegiate Athletics with the resources necessary for student athletes to excel in their athletics and academic pursuits.
^1644 excludes any new seats secured in FY12 (since July 1, 2011).
