2012 PEBA financial and performance-based adjustments
Posted: Wed Sep 15, 2010 10:47 pm
Each year, shortly after the conclusion of the playoffs, a handful of adjustments will be made to select teams' Fan Interest, Fan Loyalty and/or Market Size. These adjustments are related either to a sustained lack of profitability (for Fan Interest) or to teams' performance in a variety of sectors over a range of time (for Fan Loyalty and Market Size). The time has come to announce the 2012 end-of-season adjustments. You will see these adjustments reflected after our next sim. We'll begin with Fan Interest penalties for sustained unprofitability.
Sustained Unprofitability Fan Interest penalties
League rules require teams to make strides towards profitability. There are two circumstances which can trigger financial-related Fan Interest penalties:
Teams are evaluated in a number of different areas related to on-the-field performance, including (but not limited to) won-lost record, attendance, revenue and expenses. All evaluative criteria are examined over a one, three and six-year period, with greatest weight placed on three-year performance. Team data is entered into a custom formula that generates a percent chance for Fan Loyalty and Market Size gain/loss for each team. While many teams will have only a chance to gain or lose ground, some teams may have a chance for both, while others may have no chance to change whatsoever.
Once the percentages are generated, a roll is made against the gain/loss chances for each team; one roll each for Fan Loyalty and Market Size. A "failed" roll is one that is within the percentage chance for loss, while a "passed" roll is one that is within the percentage chance for gain. Whenever a roll fails or passes, there will be a one-level adjustment down/up in the applicable area for that team. Because Fan Loyalty and Market Size each get their own roll, it is possible for a team to experience a drop in one area and a gain in another.
The system is designed to produce a relatively small number of changes per year (in fact, it may produce no changes in some years). There is also protection built-in against rapid changes. A minimum of two years must pass between fan loyalty changes, and a minimum of three years must pass between market size changes. Finally, winning the Planetary Extreme Championship grants you exemption from Fan Loyalty/Market Size drops for the next three years.
In 2012, the following teams experienced performance-based Fan Loyalty/Market Size adjustments:
Sustained Unprofitability Fan Interest penalties
League rules require teams to make strides towards profitability. There are two circumstances which can trigger financial-related Fan Interest penalties:
- Losses beyond -$25,000,000 are erased upon the end of a season, but there is a penalty to fan interest for every $2.5M below -$25M a team ends a season with.
- The first time a team ends a season in the red, the team goes "on watch". Until the team finishes a season in the black, the team will suffer a fan interest penalty at the conclusion of every subsequent year in which it:
- Remains in the red, AND;
- Fails to make progress towards break-even cash on hand.
- Kalamazoo
- Palm Springs
- San Antonio
- Canton
- Connecticut
- Duluth
- New Jersey
- New Orleans
- Tempe
Teams are evaluated in a number of different areas related to on-the-field performance, including (but not limited to) won-lost record, attendance, revenue and expenses. All evaluative criteria are examined over a one, three and six-year period, with greatest weight placed on three-year performance. Team data is entered into a custom formula that generates a percent chance for Fan Loyalty and Market Size gain/loss for each team. While many teams will have only a chance to gain or lose ground, some teams may have a chance for both, while others may have no chance to change whatsoever.
Once the percentages are generated, a roll is made against the gain/loss chances for each team; one roll each for Fan Loyalty and Market Size. A "failed" roll is one that is within the percentage chance for loss, while a "passed" roll is one that is within the percentage chance for gain. Whenever a roll fails or passes, there will be a one-level adjustment down/up in the applicable area for that team. Because Fan Loyalty and Market Size each get their own roll, it is possible for a team to experience a drop in one area and a gain in another.
The system is designed to produce a relatively small number of changes per year (in fact, it may produce no changes in some years). There is also protection built-in against rapid changes. A minimum of two years must pass between fan loyalty changes, and a minimum of three years must pass between market size changes. Finally, winning the Planetary Extreme Championship grants you exemption from Fan Loyalty/Market Size drops for the next three years.
In 2012, the following teams experienced performance-based Fan Loyalty/Market Size adjustments:
- Bakersfield: Market Size INCREASES to "ASTRONOMICAL"
- New Jersey: Fan Loyalty DROPS to "Very Good"
- New Jersey: Market Size INCREASES to "Very Big"
- Yuma: Fan Loyalty DROPS to "Above Average"
:eek: Not sure whether to be happy or sad. A bigger market should help me in the long run make more money. But sucks to lose some loyalty since I am not "winning" yet my attendance will be more chaotic I guess now. 
