We already knew that media giant News Corp was going to buy a share of the YES Network from Goldman Sachs, but today we got the details, and they’re fairly stunning. News Corp will obtain a 49 percent share of YES Network, with the network’s various investors including the Yankees reducing their ownership share, and News Corp will have the option to increase that share a w hopping 80%, which would presumably entail the Yankees further reducing their stock in the $3.8 billion firm. As part of the transaction, the Yankees have committed to keeping their television broadcasting rights with YES through the 2042 season, with annually increasing payments from YES to the Yankees that will start at $85 million this coming season and reach a staggering $350 million in the final year of the agreement.
Frankly, I find this all pretty hard to process in the moment, so it’s hard to write a “what does it all mean” kind of post at the moment, but the surface level financials are pretty amazing, and it underscores how much money the Yankees’ are really making…that won’t be going into the payroll anytime soon. Now, back to saying nasty things about Jeffrey Loria.