Event will lose money this year
source: paddocktalk.com The Edmonton Sun had an interesting article on the financial details of Champ Car's Edmonton Grand Prix. Even with the great fan turnout, the event will likely lose money this year. Why? Start-up, and one-time costs are huge in getting an event like this off the ground. Here's some details: 1. 43,200 grandstand seats cost $40 per seat to put up. That's over $1.7 million. 2. The suites sold out months in advance. 3. The overall budget was $15 million. The investors started the week $4.5 short. 4. The investors don't expect to make a profit this year, but should clear 90% of the expenses. 5. Promoters spent $3.5 million on paving, concrete, and tire barriers. 6. West Edmonton Mall paid $400,000 for the one-year title sponsorship. Promoters hope that number reaches over $1 million next year. Total sponsorship for the event was $1.8 million. Promoters believe they can raise nearly $5 million next year.
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