Ticket renewals decline

The depth of the recession's impact upon Clemson and South Carolina athletics is becoming clearer following deadlines for football season ticket renewals.

At Clemson, renewals are down five percent, a decline blamed solely on the economic slump. Attrition at South Carolina stands at 11 percent, though USC attributes part of the decline to its new seating plan.

Renewals are the key predictor for economic revenues, according to Katie Hill, the Clemson athletic department's chief financial officer.

"It's most important, most telling," Hill said of season ticket renewals. "You apply that percentage as an indicator for everything else."

Clemson's latest projections have athletics losing $1.1 million in the 2008-09 fiscal year and $2 million in 2009-10.

At South Carolina, the economic slump came as USC instituted a new seating plan in August, which it hoped would raise $7.6 million through fees to retain previous seats.

USC's head of development, Bryan Risner, said it is too early to know the total decline.

"We have seen a drop in Gamecock Club members," Risner said, "partially due to the economy, partially due to the new seat donation program.

"We expected, going into it, about a 10-12 percent attrition rate. That was before anything occurred with the economy. We went into it with that expectation."

The deadlines for South Carolina season ticket renewals were May 15 and May 22. Risner said about 6,000 season tickets remain from the base 57,000 (11.4 percent).

To counter the projected losses, Risner said the Gamecock Club is asking members to join just to donate and not necessarily purchase tickets. The Gamecock Club has added 900 new members.

It is not just renewals that are down. At Clemson, corporate sponsorships could be down perhaps half a million dollars, and Clemson president James Barker also increased contributions from auxiliary departments — which includes athletics — to seven percent, pushing athletic contributions from $1.5 to $2.7 million.

Further expenses could be added in July, when scholarship costs are calculated.

Still, Clemson athletic director Terry Don Phillips believes financial damage has been contained within the athletic department.

"I'm hoping it doesn't get beyond five percent," Phillips said. "I think our renewals are good, especially talking to other programs. I'm very encouraged where we stand."

Phillips said IPTAY donations will also be down roughly five percent.

To cover the losses, Clemson has a substantial $9.2 million reserve fund.

Hill's concern is that the recession lasts longer or slices deeper than expected and exhausts the fund. Hill anticipates the fund diminishing to $6 million by the summer of 2010.

If the fund evaporates, the athletic department will likely then cut its largest expense: payroll.

At South Carolina, the Gamecocks are attempting to implement a new seat program, conduct a capital campaign and lure major gifts. "And then the economy takes its worst turn in, oh, about 70 years," Risner said. "This has been the most challenging time, probably, in the history of our development operation at South Carolina."