Stratus Media Group, Inc.

Industry Overview

The $213 billion spent in sports marketing within the Company’s targeted sectors of business is split as follows:

Sponsorships $6.40 billion (3.3%)

Represents money spent on sponsorship of leagues, teams, broadcasts and events
(Sources: IEG Sponsorship Report, Street & Smith’s SportsBusiness Journal. League Report)

Spending $26.17 billion (13.4%)

This includes: Ticket sales: $11.74 billion
Concessions, parking, on-site merchandise sales: $10.70 billion
Premium seating revenue: $3.73 billion
(Sources: U.S. Securities and Exchange Commission filings, Street & Smith’s SportsBusiness Journal research).

Endorsements $897.0 million

Endorsement value of the top 75 athletes, coaches and sports personalities: $598.0 million, which is two-thirds of all endorsements.
(Sources: Street & Smith’s SportsBusiness Journal research, industry analysts)

Media Broadcast Rights $6.99 billion (3.6%)

Big Four leagues plus
NASCAR: $5.29 billion
Colleges: $1.06 billion
Other: $640.0 million
(Sources: Street & Smith’s SportsBusiness Journal research, Gould Media Services, The Veronis Suhler Industry Report)

Professional Services $15.25 billion (7.8%)

Facility and event management: $6.75 billion
Financial, legal and insurance services: $5.81 billion
Marketing and consulting: $2.30 billion
Athlete representation: $385.0 million

(SOURCES: STREET & SMITH’S SPORTS BUSINESS)

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