That contract is insane. I am confused as to how Major League Soccer can even afford to pay it. I don't think any players make even $1 million per year now.
It took some really big dealers to wrap up the $250-million package that will bring soccer star David Beckham to Los Angeles later this year to play for the Galaxy in Major League Soccer.
Key movers in the deal that began to take shape on New Year's Day included AEG President Tim Leiweke, "American Idol" creator Simon Fuller, Creative Arts Agency and executives at German shoe giant Adidas. The supporting cast included MLS owners who recently restructured a salary cap and television networks that are paying millions of dollars for the right to broadcast upcoming MLS games.
Beckham's Galaxy contract is worth about $10 million annually, according to sports, advertising and entertainment industry executives. Beckham, who pitches product for Adidas, Gillette, Motorola and Pepsi-Cola, hopes to earn about $20 million annually from sponsorship deals. Sales of jerseys and other gear could contribute another $10 million, and Beckham reportedly negotiated a profit-sharing plan with the Galaxy and AEG that, depending on the club's finances, could deliver another $10 million annually.
Though AEG couldn't approach Beckham until Jan. 1, the Los Angeles-based sports and entertainment company was able to build upon an existing relationship because Beckham earlier had opened a soccer academy at the Home Depot Center in Carson.
AEG's entertainment division also had done business with 19 Entertainment Inc., a Fuller company that created "American Idol" and had managed the Spice Girls singing group; Beckham's wife, Victoria, is the former Posh Spice.
Leiweke credited CAA partner David "Doc" O'Connor and agent Jeff Frasco for helping to speed the deal along. "Doc, Jeff, Simon and I are all friends," Leiweke said. "This was a huge deal for AEG.... But, if not for them, this deal couldn't get done in 10 days."
Adidas, which outfits MLS teams and Beckham, also was in on the negotiations. The sports marketing giant is betting that the newest MLS star will spark stronger sales in the U.S. AEG also got an assist from other MLS franchise owners who recently agreed to modify a league salary cap so teams could bring in players of Beckham's caliber.
The deal won immediate approval from U.S. television networks that broadcast professional soccer games. In August, ABC/ESPN and Univision signed an eight-year multimedia deal with MLS. ESPN2 will televise 26 regular-season games and three playoff matches. ABC will televise the MLS title game, the season opener and the All-Star game.
Bob Dorfman, executive creative director with San Francisco-based Pickett Advertising, believes advertisers will consider campaigns featuring Beckham and his wife.
"I can easily see a MasterCard spot featuring the Beckhams shopping for furniture to fill their new Hollywood digs," Dorfman said.
good luck to him collecting that(if the MLS is even around in 5 years)
Frankly, I don't understand this celebrity worship at all. Yes I had my favorite teen idols when I was a kid and teenager and there are actors and singers that I like more than others but my life doesn't revolve around their every word and move!