The Top 10 Reasons CBS is Back for March Madness
Sunday is the NCAA tournament bracket selection show on CBS (ticker: CBS). So, with March Madness in the air, I thought I would take a page out of David Letterman’s book and highlight a CBS Top Ten for you:
10) CBS owns the rights to March Madnes. CBS has a $6 Billion, 11-year rights deal with the NCAA for the Tourney, with 3 years and $2.1 Billion remaining. CBS pays the NCAA a licensing fee of roughly $610 million.
9) New mobile products for the NCAA March Madness Championship are rolling out so you can have the tourney at your fingertips.
8) Leno’s return to late night television was too late! David Letterman’s ‘Late Show’ earned $271 Million Ad Dollars in ’09 vs. ‘The Tonight Show’ earning $175.9 Million Ad Dollars in ’09.
7) According to Ad Age, from Sept. 21st ’09 to Feb. 14th ’10, Letterman’s audience was 4.2 million viewers vs. ‘The Tonight Show’ total audience of 2.92 million viewers during a longer period from June 1st ’09 to Jan 24th ’10.
6) CBS’s total advertising revenues tied to the tourney are roughly $600 million — third to just the World Series and the Super Bowl.
5) According to WPP-owned Kantar Media, CBS’s online March Madness revenue totaled 5% of the overall $600 million plus ad revenue pie last year, up from 3.5% the year before and expected to edge even higher this year.
4) Fun fact: office pool betting tallied across the U.S. reaches over $3 billion for the NCAA tournament this year, with the online CBS tourney brackets being utilized the most of any online options.
3) Tiger Woods is planning his return to Golf later this month in preparation for the 2nd most-watched sports event of the year, the Masters, aired by CBS in April.
2) Insider Sumner Redstone owns over a half million shares of stock in CBS, now more shares than Viacom (ticker: VIA-B) (see my other Haute Investing Article). link to this http://www.hauteliving.com/blog/viacom-kicks-off-the-new-decade-with-viable-strength/
1) CBS’s stock is up 375% from its March ’09 low a year ago.
In the words of Dickie V, CBS and March Madness are “awesome baby!”
Disclosure: No positions in the companies mentioned.