Higher income in the UEFA Champions League

Copyright © 2000 UEFA

It can already be confirmed that the amounts available for 
distribution of the marketing revenue from the 2000/01 UEFA Champions 
League will be higher than last season when it was 853 million Swiss 
francs. Although exact amounts cannot be anticipated at this stage, it 
can be confirmed that the budgeted income for the coming season will 
be higher than the revenue obtained in the 1999/2000 season. Details 
of the distribution pattern, considering the fixed amounts and the 
market pool, will be examined by the Club Competitions Committee, 
which will make a proposal to the UEFA Executive Committee. A final 
decision will then be taken by the Executive Committee in December 
2000 / January 2001, once details of the contracts are known.

Financial memorandum concerning the 2000/01 UEFA Champions League

Gross income (as at 1 July 2000)
According to the regulations, 75% of the total revenue generated by 
the contracts concluded by UEFA up to CHF 800 million will go to the 
clubs, while 25% will be reserved for European football and remain 
with UEFA to cover organisational and administrative costs, as well as 
to make solidarity payments to associations, clubs and leagues. 
The regulations also specify that for any revenue in excess of CHF 800 
million, 82% will go to the participating clubs and 18% to UEFA for 
European football. As a starting basis, the gross amount available in 
the UEFA Champions League Pool for 2000/01 will be at least the 
same as for the season 1999/2000, ie. CHF 853 million.
Based on the amount of CHF 853 million, CHF 643 million will go the 
clubs (including CHF 32 million (5%) for the professional leagues of 
the participating associations) and CHF 210 million to UEFA for 
European football.
 
Share for European football
The total revenue of CHF 242 million (CHF 210 million plus CHF 32 
million for the professional leagues of the participating 
associations) will be distributed as follows:
1. Solidarity payments to European football (CHF 116 million)
 • Each of the 51 UEFA member associations will receive CHF 300,000. 
 (CHF 200,000 will be available at the end of August on the written 
 request of the association)
 • Between CHF 10 and 18 million will be distributed among the 
 European football leagues not represented in the UEFA 
 Champions League. This money will be distributed via the national 
 associations and is intended for the youth development programmes of 
 those clubs which did not compete either in the UEFA Champions League 
 or in the UEFA Cup.
 • Each club which participates in the 2000/01 UEFA Champions League 
 or UEFA Cup will receive CHF 80,000 per round a) if they do not 
 qualify for the UEFA Champions League group-match stage, and/or b) 
 they are eliminated in the second round or earlier in the UEFA Cup.
 • Each domestic champion club which fails to reach the group stage in 
 the UEFA Champions League will receive, in addition, a bonus of CHF 
 150,000.
 • CHF 32 million will be distributed among the European football 
 leagues represented in the UEFA Champions League. This money will be 
 distributed via the national associations and is intended for the 
 youth development programmes of those leagues and their clubs.
 In total, CHF 116 million will be allocated as solidarity 
 contributions to European associations, leagues and clubs.
2. Running costs of the UEFA Champions League (CHF 96 million)
 • The competition's operational costs.
3. UEFA's income (CHF 30 million)
 • This income will cover UEFA's expenditure in terms of 
 administrative costs, refereeing, youth competitions, development 
 programmes and other statutory tasks.

Share for the 32 clubs participating in the UEFA Champions League
The net amount of CHF 611 million (CHF 643 million in revenue less CHF 
32 million for the professional leagues of the participating 
associations) available to the clubs will be split into a fixed amount 
of CHF 332 million (starting bonuses, performance bonuses, match 
bonuses) and a flexible amount of CHF 279 million (market pool).
1. Fixed amount (CHF 332 million)
 • Each of the 32 clubs involved in the first group stage will receive 
 a starting bonus of CHF 1.5 million.
 • In addition, they will receive a match bonus of CHF 500,000 per 
 match. This bonus also applies to the second group stage.
 • On top of this, there will be performance bonuses: CHF 500,000 for 
 a win and CHF 250,000 for a draw in the group stages. The eight 
 quarter-finalists will receive CHF 4 million each and the four semi-
 finalists CHF 5 million each. The UEFA Champions League winners will 
 receive CHF 10 million and the runners-up CHF 6 million.
This means that a total minimum amount of CHF 4.5 million per club is 
guaranteed for the first group stage. A club can be allocated, at 
best, up to CHF 32.5 million, not counting the market pool share and 
gate receipts.
2. Market pool (CHF 279 million)
The remaining balance of CHF 279 million will be distributed according 
to the proportional value of each TV market represented by the clubs 
taking part in the UEFA Champions League, and be split among the 
number of teams (4, 3, 2 or 1) participating from a given association.
 • Half of the amount representing the value of each market will be 
 split among clubs, based on their performance in the previous 
 domestic league championship. The following split among the teams 
 from a given association would apply:

-------------------------------------------------------------------
                    4 teams      3 teams      2 teams      1 team
---------------   ----------   ----------   ----------   ----------
Champions              40%          45%          55%         100%
Runners-up             30%          35%          45%
No. 3                  15%          20%
No. 4                  15%
-------------------------------------------------------------------

For Spain, since Real Madrid CF did not qualify through its domestic 
league but as UEFA Champions League title- holders, the split among 
the Spanish teams will be as follows:

-------------------------------------------------------------------
                    4 teams  
---------------   ----------
Champions              30% 
Runners-up             25% 
No. 3                  15% 
Real Madrid CF         30%
-------------------------------------------------------------------

 • The other half of the amount representing the value of each market 
 will be paid in proportion to the number of matches played by 
 each team in the 2000/01 UEFA Champions League.

The various amounts distributed club by club via the TV market 
share can only be confirmed once the 32 teams involved in the UEFA 
Champions League have been confirmed, as the markets concerned are not 
yet known at this stage, nor how many teams from a given market will 
be represented. These questions can only be answered when the third 
and last qualifying round is completed on Wednesday, 23 August, two 
days before the draw. UEFA assumes that the five strongest markets 
will receive a share of between CHF 40 and 62 million each, depending 
on the television contracts signed with each market.

The exact amount for each club depends on four factors:
1. How many clubs from a market compete in the UEFA Champions League 
   (for example, two may qualify automatically, and another two via
   the third qualifying round).
2. The league standing of the club in the previous season's domestic 
   championship.
3. Its performance in the UEFA Champions League.
4. The performances of other clubs from the same country in the UEFA 
   Champions League.
Depending on these four factors and on the respective market value of 
its country, a club can be allocated, at best, up to about CHF 30 
million as a market pool share.

Minimum payments to the 32 clubs participating in the UEFA 
Champions League
Payments will be made according to the following schedule:

-----------------------------------------------------------------------
Payment   Type of payment                           Amt per club  TOTAL
--------  --------------------------------------  --------------  -----
06/10/00  starting bonus (1.5m for all 32 teams)          1.5m      48m

          match bonus in first group-match stage
          (0.5m per match - 6 matches per club)             3m      96m

24/11/00  performance bonus in first group stage
          (0.5m per win / 0.25m per draw) 96 x 0.5m    0m - 3m      48m 
          
          50% "market pool" (140 m)
          (fixed percentage based on final
           domestic league ranking)            (market- related)   140m
           
30/03/01  match bonus for second group stage
          (0.5m per match - 6 matches per club)             3m      48m
          
          performance bonus for second group stage
          (0.5m per win / 0.25m per draw) 48 x 0.5m    0m - 3m      24m
          
18/05/01  Quarter-Finals bonus (4m per team)                4m

          Semi-Finals bonus (5m per team)                   5m      52m

08/06/01  Final bonus (10m winners/ 6m runners- up)  6m or 10m      16m

          other 50% "market pool"
          (139m) = remainder                    (market-related)   139m
          
          Total                                      min. 4.5m
          (* = amounts excluding market pool)       max. 32.5m*    611m
-----------------------------------------------------------------------

In the course of the season, UEFA will regularly inform the 
associations, leagues and clubs involved on financial developments 
regarding the 2000/01 UEFA Champions League. Details concerning the 
market pool will be confirmed to each participating club directly
in due course.
Updated financial information will also be available on the official 
UEFA website, www.uefa.com.