>>18731257They clearly have a clause that they are last money in, first money out. WBD pays AEW for the TV show, then recoup their costs first. The first $150 million in revenue AEW generates goes right back to WBD. It is why the idea Meltzer pushes that AEW is profitable is a joke, because none of that TV money is actually going to AEW.
Assuming WBD owns 10% of AEW, without the recouped cost clause, WBD would need AEW to have a revenue of $1.5 BILLION before they could make money on AEW.
WBD is not offering the TV contract they did unless it was a clever way to get tax breaks. This is the company that made movies they never intended to release JUST to get tax breaks.
This is also why WBD has been able to strong arm Tony at every turn along the way, because they know Tony doesn't care about making a profit, so they can use his autistic ass to their advantage.
It is why they made Tony Cancel his Youtube shows, it is why they made Tony create Rampage, and then Collision. It is why they made Tony agree to put his PPVs on Max cheaper than everywhere else.
AEW PPVs sold on Max already means they are clearing $10.00 less. Add to Max getting 25% of the revenue from PPVs sold on Max, in addition to getting 10% of whatever is left over. Now instead of AEW getting 65% of $50.00, Youtube or Amazon getting 25%, and WBD getting 10%, AEW is getting 65% of $40.00, while WBD gets 35% of $40.00.
AEW now gets $26.00 from PPVs sold on Max instead of $32.50 from PPVs sold on youtube or Amazon. Max on the other hand goes from getting $5.00 from PPVs sold on youtube or amazon, to getting $14.00 per PPV sold on Max.
AEW gets less, while WBD gets more. That is how every single deal between AEW/WBD is structured, because otherwise WBD would not be airing the trash AEW puts out on their platforms.
