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might think we were not fiscally responsible and that that will provide those fans who want to see football to continue to incline, and I think we will." Gold and Black: Tell us why you think adding somehow we had taken our eye off the ball. We wanted move to the championship level an opportunity to Maryland and Rutgers is good for the Big Ten. Is to be very detailed. We built a base case, after a group show their support by making some fairly nominal it because they are in the Association of American of senior officers at the university and a few trustees increases to assist us with this investment. "The bottom line is we have projected out 10 years Universities, thus recognizing them as top-flight partnered with us to review the revenue and expense assumptions. We wanted to get the assumptions down with the current revenue streams/expenses, and I academic institutions? Burke: "That's a very important point. I think before we crunched the numbers. The base case don't think we were ultra-conservative. We think the if people understand the national importance and showed we could sustain our self-supporting nature base case has about an 85 percent probability of comimpact of the AAU institutions — these are the top over the 10 years, but that it was tight. We updated ing to fruition. We have an upside and downside case, research universities in the country — and Maryland the initial plan this fall and going forward will be able but you better have some (cash) reserves underneath and Rutgers are both in that organization, then add- to look at upside and downside scenarios to see what to balance the peaks and valleys because there will be ing them makes a lot of sense. They are large research it means to our ability to be self-sustaining and yet some over any 10-year period. "At the end of the day, we feel like we have a good institutions, which create new discoveries and syner- compete at the level we want to compete, that is the handle on it but an area of great concern is the flat gies with other Big Ten schools. Their addition also pursuit of championships. growth in the John Purdue Club, as opens up additional locales to well as football attendance. We have to help with student recruitment. get the fans coming back to Ross-Ade, Yes, they are located in two large and Darrell's hiring is one of our counmetropolitan areas, so there are termeasures. We need to work hard to (television) eyeballs, which will make both items, which are upsides to enhance the network. But if peothe plan, happen. ple think all this was being done "There are 15,000 members of solely to enhance the Big Ten the Badger Club (Wisconsin's athNetwork, they are missing a large letic fundraising arm), and we are part of the story. having trouble breaking free of the "We have always tried to 8,500 mark in the John Purdue Club. make sure, as was the case with We have to close that gap by encourPenn State and Nebraska, there's aging everyone to get on board. We a good academic fit. And we have think there are huge opportunities tried to be contiguous in our for performance improvements if we states. From a purely athletic move both of these areas forward, standpoint, I don't think we were and the time to pull together behind eager to consider a future where the ACC controls the entire eastTom Campbell Darrell and all our coaches is now. As ern seaboard, and with the SEC Burke would like nothing better than to start 2013 with a victory in the Heart of Dallas Bowl. He Coach Keady always said, 'Together, we attack.' " dominating its area — some- designated Patrick Higgins (right) as the interim head coach in hopes of delivering an upset win over Oklahoma State. Gold and Black: New president thing is eventually going to hapMitch Daniels has made it clear pen to the Big 12 — the Big Ten "The plan only projects modest increases in tele- about the financial path for athletics, has he not? winds up on an island. Twenty to 30 years from now, Burke: "He has. Mitch has made it very clear that vision revenues and doesn't take into account any somebody might say we fell asleep at the switch. "We are likely to see more consolidation and could potential for renegotiated television agreements later one of his expectations for us is to be self-supporting. end up with five leagues of 16 schools. The timing or in this decade. The money from the Big Ten that is We are one of 22 out of 335 athletic programs that are events that might cause it are unclear. Personally, I in that plan today — that's TV, bowls and everything self-supporting, and all of us should be proud of that thought we would see a pause after the Texas and — is $22.7 million and the NCAA distribution is $3.7 fact and not see it as limiting our pursuit of chamOklahoma situation and Missouri and Texas A&M. Yet million, so our total from these two sources is $26 mil- pionships. After all, last year we won four Big Ten I think once Syracuse and Pitt went to the ACC and lion. These sources will increase over time and those championships for the first time in our history and, Notre Dame made its move, I think we stepped back facts have been incorporated into the plan, but only at quite frankly, we were disappointed because three and said, 'You know what? We can be victims or we a modest level. It is worth noting that over the last five other teams finished second. Think what could have can help craft what the future is going to look like by years, we have seen some erosion in paid attendance happened and what can happen?" Gold and Black: What is your message to Purmaking choices consistent with the basic academic here as well as across the country and recognize that some of the money from these external sources is, in due fans in the new year? and athletic principles of the Big Ten.'" Burke: "I hope all our fans have a wonderful Gold and Black: What does your financial pic- fact, a substitute for ticket revenue. It is not all new ture look like now and what are you looking at money. In fact, our percentage of total revenue from holiday season and get ready to forge forward on all these two sources has grown from 33 to 37 percent, cylinders in 2013 and beyond. down the road? "I continue to find it a privilege to serve this uni Burke: "I think it's worthwhile for our fans to while ticket revenue has fallen from 30 to 24 percent versity and to have had your support during my tenknow that a year ago we suggested to the President over the past five years. "So, even with all those projections and without ure. I pledge my and my team's continued leadership and Board of Trustees that athletics prepare a 10year financial master plan that would look at capital, any renegotiation in the television agreements, and to work with you toward national prominence. Come maintenance, operating funds and scholarships. We the ESPN/ABC agreement expires in 2016-17, we're on and join in. Investing in leaders and winning wanted to do that so we all could see what it would in a break-even situation. Now we have made a sig- championships is what it is all about. It is not easy, take to maintain our ability to be self-supporting and nificant investment in football, with Darrell's hiring but we have built the base upon which we can expect and with the money we have allocated for assistant to do it." j to pursue the 25/85 vision. "We were getting concerned that athletics could coaches, and not all of that was in the base case. "After the first of the year, we will lay out a plan not continue to be self-supporting and somebody 14 • Gold & Black IllustrateD • volume 23, issue 3 GBIprint.com GoldandBlack.com