German soccer league: TV marketing deal still stands

Fri Jul 25, 2008 11:52am BST
 
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FRANKFURT, July 25 (Reuters) - German soccer league DFL said a German cartel office ban on its marketing scheme for TV rights for top Bundesliga games would undermine its deal with the Sirius media agency but that the agreement still stands.

The German cartel office ruled on Thursday that DFL's marketing for TV rights to the 2009/10 soccer season does not meet anti-trust standards. The DFL hired the Sirius agency, headed by media magnate Leo Kirch, to market the rights.

"This would fundamentally undermine the current contract," DFL Managing Director Seifert told a news conference on Friday.

He added it was doubtful whether the sale of the TV rights would continue to bring in more than 400 million euros ($628 million). Sirius had pledged to bring in at least 500 million per season.

Pay TV company Premiere AG PREGn.DE, which counts on winning the soccer rights to boost earnings, has said it is confident of securing a deal to broadcast Germany's most popular sport.

Analysts have said that if the DFL ends its deal with Sirius, it could be positive for Premiere as it would limit competition and allow it to produce its own Bundesliga content.

The cartel office said it was opposed to a centralised marketing scheme for soccer rights that lets the DFL strike a deal for all German clubs rather than have each team haggle a contract. (Reporting by Alexander Huebner)

 

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