METS MAY PAY FOR CITI SLUMP
EDGY ABOUT $400M DEAL
By KATE SHEEHY
Last updated: 6:21 am
November 22, 2008
Posted: 4:44 am
November 22, 2008
The Mets better not get too attached to the name Citi Field.
Team officials are said to be increasingly nervous as struggling Citigroup's stock continues to plummet - and potentially endangers their $20 million-a-year naming-rights deal for the new $850 million stadium.
Mets rep Jay Horwitz yesterday insisted, "There is no change in regard to Citi's commitment to the new ballpark."
But David Howard, the team's vice president of business affairs and main spokesman on the deal, for the first time deflected all questions back to Citigroup.
And the future doesn't look good for the financial giant.
Citigroup's stock woes are making it ripe for a takeover, and Goldman Sachs, Morgan Stanley, HSBC and State Street Bank are already being talked about as potential buyers or merger partners.
The onetime banking titan closed at $3.77 yesterday, down 89 percent in the past year.
Despite its failing stock, Citigroup insists it will honor its record-shattering agreement to pay $20 million a year for 20 years for the honor of calling the ballpark Citi Field, where signs have already been made touting the name.
"We remain committed to the relationship to the Mets. They are an important part of our marketing priorities," said Citigroup spokesman Steve Silverman.
But if Citigroup is bought out, at least the stadium name would presumably change. Still, mega-bucks would in all likelihood be shelled out by the new company for the naming rights because of the prestige and recognition that such a high-profile stadium will bring, experts said.
Think "Goldman Sachs Diamond," "Morgan Stanley Stadium" or "HSBC Field."
And renaming is not necessarily a bad thing, the experts said.
"Most stadiums and arenas have been through more than one name. That's not at all unusual," said Neil deMause, co-author of "Field of Schemes: How the Great Stadium Swindle Turns Public Money Into Private Profit."
For example, the up state home of the Buf falo Sabres switched names to reflect a change of corporate ownership. When the 21,000-seat arena was constructed in 1996, it was named after Marine Midland Bank.
Two years later, Marine Midland's corporate parent, HSBC, decided to rebrand, and the Sabres now play in HSBC Arena.
On the West Coast since 2006 the San Francisco Giants have played in AT&T Park. For years the ballpark was named after Pacific Bell, but that company was swallowed by SBC Telcom.
Then in 2005 SBC took over AT&T and adopted its corporate name and changed the name of stadium yet again.
ksheehy@nypost.com
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