about to cancel my subscription.
We're about to go from food stamps to minimum wage!
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So Vince lost about 400M dollars today
- Thread starter nomoreneveragain
- Start date
We're about to go from food stamps to minimum wage!
Bryan being injured had no bearing on this whatsoever. Like I said previously the interest just isn't what they thought it would be. They overestimated the demand for the network and while Wrestlemania went off without a hitch, the booking since has been subpar.
MenacingMonk
Tranquilo
I see the Network isn't going well. 
trust me breh he's feeling that hit, rich people don't like losing money any less than regular folk.
The Great One
Swag Surfin
If they made 150 from NBCU and are now making 200, and lost 45 million, then they are actually up 5 million lol.
Breh you are being dumb. The combination of Bryan being injured and the QUEEN OF RAW AJ being off TV, WWE has lost like 400 milly.at this having anything to do with Bryan
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mortuus est
Veteran
how did it drop tho?
I know right.....this just shows how valuable Punk really is to the E
True but they are going to end the year with over 50 million dollars in loses because of the Network
Forbes making sure people know Vince ain't billi status anymore WWE CEO Vince McMahon No Longer Billionaire After Losing $350 Million In A Day - Forbes
The Great One
Swag Surfin
They still have hope when it opens up internationally, and when it goes on different platforms this summer.
But yeah, they will still end in a loss.
Yeah international will help but when they count for the 1.4 million break even they just mean domestically. For international the break even is way more. So they going to have to get membership up by like 100%. I don't think they're in any serious trouble but they're not thriving
Time like this we could really use a WCW to light a fire under them lol
CJ
Your objective semi-troll
Investment Firm Buys Stake In WWE, Calls For Board To Replace Executive Management Team - WrestlingInc.com
Lemelson Capital Announces Stake In World Wrestling Entertainment And Calls On Board To Pursue New Management Or Ownership
Marlborough, MA, May 16, 2014 -- Lemelson Capital, LLC, a private investment management firm, today announced that they had taken a stake in shares of World Wrestling Entertainment (WWE) and called on the Board of Directors to replace the executive management team of the company following a period of consistent losses, execution issues and material misstatements.
Despite the stock's roughly 63% correction since Lemelson Capital's original short call less than two months ago (from $30.37 on March 17 to $11.33 as of publication of this release), the firm today also reiterated that fair value of WWE's common stock is between $8.25 and $11.88.
Lemelson Capital's original short thesis can be found here:
"WWE has affirmed that even with one million subscribers for its WWE network, the company stands to lose between $45 million and $52 million in FY 2014, which validates the original short thesis," said Emmanuel Lemelson, Chief Investment Officer of Lemelson Capital Management. "This follows what we believe to be material misrepresentations by the company about both the performance and operating profit model of its WWE network, which the company has wrongly labeled 'a homerun'," said Lemelson.
Lemelson Capital today also called on WWE's Board of Directors to promptly replace the company's executive management team, or explore the sale of the business, and said that such changes are a necessary component of any successful strategy going forward. "For example, promoting the WWE direct network's value to shareholders without a fair and accurate discussion of the implications to a traditional network revenue circumvented management's fiduciary responsibility as stewards of investor's capital, and is part of what has emerged as a pattern over recent years. Further, there are no pending operational developments in the pipeline to offset these significant losses," Lemelson added.
Lemelson Capital and its clients are long shares of WWE.
Lemelson Capital Announces Stake In World Wrestling Entertainment And Calls On Board To Pursue New Management Or Ownership
Marlborough, MA, May 16, 2014 -- Lemelson Capital, LLC, a private investment management firm, today announced that they had taken a stake in shares of World Wrestling Entertainment (WWE) and called on the Board of Directors to replace the executive management team of the company following a period of consistent losses, execution issues and material misstatements.
Despite the stock's roughly 63% correction since Lemelson Capital's original short call less than two months ago (from $30.37 on March 17 to $11.33 as of publication of this release), the firm today also reiterated that fair value of WWE's common stock is between $8.25 and $11.88.
Lemelson Capital's original short thesis can be found here:
"WWE has affirmed that even with one million subscribers for its WWE network, the company stands to lose between $45 million and $52 million in FY 2014, which validates the original short thesis," said Emmanuel Lemelson, Chief Investment Officer of Lemelson Capital Management. "This follows what we believe to be material misrepresentations by the company about both the performance and operating profit model of its WWE network, which the company has wrongly labeled 'a homerun'," said Lemelson.
Lemelson Capital today also called on WWE's Board of Directors to promptly replace the company's executive management team, or explore the sale of the business, and said that such changes are a necessary component of any successful strategy going forward. "For example, promoting the WWE direct network's value to shareholders without a fair and accurate discussion of the implications to a traditional network revenue circumvented management's fiduciary responsibility as stewards of investor's capital, and is part of what has emerged as a pattern over recent years. Further, there are no pending operational developments in the pipeline to offset these significant losses," Lemelson added.
Lemelson Capital and its clients are long shares of WWE.
Kings County
Law III | Law XXV | Law XV
TrueEpic08
Dum Shiny
If I remember correctly, they projected that they should at the very least double their rights fees (which would mean a $280 Million offer) and explicitly compared their fanbase and viewership numbers with NASCAR when they got their $820 Million/year rights fees deal. Of course, the big difference between NASCAR and WWE is that NASCAR secures a lot of legit advertising (which means much more than viewership numbers when calculating rights fees) and WWE doesn't, so for them to compare themselves to NASCAR in any way was patently absurd.
For this reason, the buzz on social media is also basically meaningless. As backwards as people may find this, TV execs don't care that much about social media when calculating rights fees, except when it translates to uptics (or downtics) in traditional metrics: advertising, viewership, etc.
Two things really sunk them here though: the WWE Network and their own massive overvaluation of themselves. Because they made all of these astronomical predictions regarding both the network launch and the rights fees increase (which anyone with half a brain could have seen were ridiculous), they inflated the stock massively, but essentially set themselves for the speculative bubble that they created bursting HARD. They especially fukked up on the rights fees thing, because they (and all the reporters that covered it) acted like they were going to get offers from not just NBC Universal, but A&E, Disney (no, just no), Viacom (when they're already considering dropping TNA), and 21st Century Fox (beyond laughable when they've got UFC locked down...I especially remember having to shout this one down months ago on here) when NOTHING material indicated that any of those companies were in any way interested. But they floated the rumors out there, everyone ran with it because they had some momentum, and look at where we are now. They have no one to blame but themselves for where they ended up.
Interestingly enough, do you know who comes out of this looking the smartest out of anyone? Stephanie McMahon, of all people. Sell 800,000 shares high after you've inflated the stock, make $8.3 Million, get out right before the bubble bursts. It might be the first savvy thing she's ever done in the wrestling business (it's basically illegal insider trading though).
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