2 INTRODUCTION

Federazione Italiana Giuoco Calcio (FIGC), Arel (Agenzia di Ricerche e Legislazione) and PwC are Thanks to the elaboration of data extracted from FIGC’s “Stadia Database” project, the proud to present this third consecutive edition of ReportCalcio Abstract, published in English. aforementioned section provides a complete overview of the main features, services, security and quality level offered by the stadiums of the Italian professional leagues as well as an This abstract intends to summarise, in a brief but comprehensive way, the main figures and trends explanation of the increasing trend of attendances. included in the unabridged version, edited in Italian, of ReportCalcio, the annual publication which began in 2011 and has reached, with this 2015 edition, its fifth issue. With more than 200 pages, its Section 8 focuses on governance models in the Italian professional football system and section main purpose is to provide an as complete as possible reference for those who are interested in 9, divulged for the first time with the 2015 edition, includes an in-depth analysis of the economic analysing and understanding the economic, social and managerial aspects of the football system. benefit for the city of Turin and the local economy generated by hosting the 2013-2014 UEFA Europa League Final. Such analysis allows us to assess the magnitude and the potential ReportCalcio 2015 comprises nine sections: the first one, census of Italian Football, highlights upsides that may be derived from organising main international events. This perspective is the main trends concerning clubs, teams, registered players, competitions and a plethora of particularly crucial for our country, which is going to host in the next two years several relevant other indicators. Section 2 illustrates the sportive, media and commercial profile of the Italian sporting events (i.e. male and female UEFA Champions League Final in 2016, UEFA European National Teams, with a specific focus given to the remarkable growth in the use of official FIGC Championship in 2020). digital channels during the 2014 FIFA World Cup and to the outstanding triumph achieved by the Futsal National Team, who won the 2014 UEFA FUTSAL European Championship. The third The picture emerging from ReportCalcio 2015 clearly shows the current status of Italian Football section presents amateur and youth football, and includes an in-depth analysis of the fiscal at both local and international level. Despite the economic crisis, the football system confirms contribution of Serie D, the major amateur football championship in Italy. a significant economic growth as well as an extraordinary social relevance, and its critical role as a springboard to the economic expansion of our country. Section 4 provides a complete and broad examination of the financial sphere, highlighting the increasingly strategic relevance of the economic dimension of professional football. The fifth section Looking at the path that the current figures seem to outline, we hope that the future editions of analyses the significant tax and social security contributions the Italian professional football has ReportCalcio will show a football system continuously strengthening its social dimension and contributed to the State income, confirming the main role played by the football industry in Italy. its ability to balance sporting results with economic and financial performances, in a fair play perspective. The sixth section provides an international benchmarking analysis of the Italian football system in Europe and worldwide, while section 7 sheds light on one of the most crucial aspects of our football system: the infrastructural profile. Italian Football Association

3 FOREWORD

Enrico Letta Carlo Tavecchio Emanuele Grasso AREL Italian Football Association PwC

With more than one million players, almost 241,000 managers, This 2015 edition represents the fifth ReportCalcio released. The One of the most important theories J.M.Keynes (1883-1946) more than 34,000 referees and 23,000 coaches, the world of report was born with the objective of providing a comprehensive was credited with demonstrated that an economy may reach football goes beyond the popularity among supporters and overview of the key figures regarding the size and structure of equilibrium, even if it corresponds to underemployment. Today deserves attention also from a social and economic standpoint. the Italian football system. Throughout the years ReportCalcio there is no better definition for the Italian professional football has been progressively enriched with additional information in system. Over the last years, many European countries have levered order to provide an as complete as possible reference for all on the strong attractiveness of this sporting phenomenon in the stakeholders of our country’s football system. Following a resizing in the period 2011 – 2013, driven by wage order to enhance their influence in the world. In this respect, decreases of 3% over the two seasons, the system has not Italy seems to still have significant room for growth. AREL ReportCalcio is grounded on some fundamental pillars: first shown any positive trends in terms of economic or financial has always considered it crucial to work towards further of all, it derives from the construction and elaboration of a performance. Since 2009, the annual growth rate in revenues internationalization of our system and exploiting the significant database which encompasses all of the key dimensions – has not exceeded 2%, unlike our major European competitors. economic growth opportunities embedded in the world of sportive, social, economic, organizational, infrastructure – of football. Given the recurring episodes of violence, eradicating the phenomenon; secondly, it is created with the objective Financial tensions are due to continued net losses and a lower such phenomenon from stadiums represents a necessary to represent an official and documented reference point for propensity of stakeholders to adequately recapitalise the condition in order to exploit such growth opportunities. anyone interested in knowing, studying and analyzing the clubs. In addition, the system uses techniques of anticipating profile of the Italian Football System; in addition, it enhances expected cash flows, generating a mismatch between economic We want this fifth edition of ReportCalcio to represent a further transparency, providing evidence of both positive and negative items and monetary flows which further threatens financial opportunity to reflect on the need for a radical renewal of aspects characterizing the Italian Football industry. equilibrium. Sporting performances seen in recent seasons are the industry. Making people keen to go to the stadium once the natural result of the above. more, creating modern infrastructure and sustaining the All stakeholders involved need to be aware of the importance growth of young talents are essential steps in rebuilding the achieved by football from an economic and social standpoint. In This current situation, characterized by slow revenue growth competitiveness of a football system that a few years ago used this respect, ReportCalcio aims to be a support and represents and financial distress, can only be overcome if the main to dominate the worldwide scene. Special thanks to PwC and an independent, high quality reference point. Hence it is stakeholders produce a strategic plan focused on the short- FIGC for their invaluable cooperation. Through this joint work an unique and fundamental tool to help direct football to a medium term. We believe that this plan has to be grounded on we re-launch our belief that change is possible as well as sustainable growth path, with a long-term management vision the enhancement of the youth sector, to which our Company necessary. that our system can no longer do without. dedicates this edition of ReportCalcio.

4 EXECUTIVE SUMMARY

FULL TRANSLATION FROM REPORTCALCIO 2015

5 HIGHLIGHTS

Census of Italian Football

Football represents the most practiced and followed sport in Italy, counting 1,372,137 members registered to Federazione Italiana Giuoco Calcio (FIGC). Registered members include 1,073,286 players, 23,474 coaches, 34,381 referees and 240,996 managers. During the season 2013-2014, almost 600,000 official matches have been played in the 12,131 Italian football pitches.

National Football Teams

In 2013-2014 Italian National Teams played 171 matches, recording 86 victories, 39 draws and 46 losses. The National Futsal Team won the European title. From a media point of view, the three matches played by the National A Team during the 2014 FIFA World Cup produced an average TV audience of almost 15 million viewers.

Amateur and youth football

Amateur and youth football represents the primary Italian sport movement, counting 13,541 clubs, 61,827 teams and 1,060,224 enrolled players (one per every 56 inhabitants). Its significant economic impact is demonstrated, for example, by the fiscal contribution of Serie D which totalled 4.2€ million in 2012.

Economic profile of professional football

In the 2013-2014 season, professional football showed substantial economic stability: total revenues €2,727 million (+1.2%), costs €2,994 million (+0.8%), net loss €317 million (+1.9%). Revenues continue to primarily depend on broadcasting rights and profits on the disposal of players. Financial vulnerability increased: debts amount to €3,686 million (+8.3%) and net equity is equal to €273 million (-6.7%).

6 Executive Summary 7 million) was 2.6 % was derived directly from from directly % was derived 6.5 % million spectators (+6% compared (+6% compared million spectators 8.2 3.1 % from betting on football. From betting on football. From % from 3.5 million) billion, an million, of which 72% (€1 million, of which 72% 2.6 0.8 7.5 23 8 million, of which 1,0 International benchmarking International %) in 2013 with a net loss of € net loss %) in 2013 with a 6.4 billion). Total stadium attendance in Europe equalled equalled in Europe attendance stadium billion). Total 1.7 million) and by the production of the event (€ of the event the production million) and by 1.2 Governance models in professional football models in professional Governance billion) and 2011 (-€ billion) and 2011 1.1 million), media (€ The legacy of the 2013-2014 UEFA Europa League Final Europa UEFA of the 2013-2014 The legacy Tax and social security contribution of professional football of professional contribution security social and Tax Stadiums, spectators and security Stadiums, spectators 8.7 In 2013-2014, the overall attendance to professional football in Italy was equal to 1 was equal to football in Italy professional to attendance the overall In 2013-2014, of age in Serie A. an average 50% only season). Stadia have The stadium capacity utilisation exceeds the previous to quality. terms of services, sustainability and infrastructure in significant deficiencies and have about 60 years In 2012, was contribution tax and social security € the overall 1 with the remaining A, (Serie system Pro), and Lega Serie B the professional was €6 billion. almost of the sector contribution 2012,2006 to direct the total The UEFA Europa League Final produced a gross economic impact of €1 a gross Final produced League Europa The UEFA by spectators generated The spending was Area. Metropolitan Turin and the surrounding for the benefit of the city of (€ % in Lega Pro Second Division. During the period 2011-2014, shareholders made capital injections shareholders During the period 2011-2014, Second Division. Pro % in Lega 2.3 million spectators. Only 15% of clubs own their stadium. 15% of clubs Only million spectators. 0.6 The ownership structure is highly concentrated: the stake held by the controlling shareholder declines from 8 declines from shareholder the controlling by held the stake concentrated: is highly structure The ownership 6 in Serie A to in the period under review. evidenced than €1 trend more billion, with a downward totalling The turnover of the Top 54 European Divisions reached €15 Divisions reached billion (+ 54 European of the Top The turnover (-€ 2012 to compared improvement 10 CENSUS OF ITALIAN FOOTBALL

Football remains the most followed and practiced sport in Italy, Analysing the number of coaches, the total figure of 80,594 FIGC registered members 2013-2014 with many relevant indicators confirming such a statement, is split between 23,474 registered members and 57,120 led by the number of members enrolled in FIGC - Federazione qualified members not registered to any club. The figure Italiana Giuoco Calcio (Italian Football Association) - which has grown constantly throughout the past years: from 2003- 240,996 amounted to 1,372,137 in 2013-2014, including more than one 2004 to 2013-2014 the average annual increase has been 34,381 Players million players, almost 241,000 managers, more than 34,000 4%. The trend is mainly driven by the growth in qualified 23,474 referees and 23,000 registered coaches. but not registered members, whose weight on total number Coaches of coaches increased from 59.8% in 2003-2004 to 70.9% in 1,372,137 Referees Amongst registered athletes of the 45 Italian Sport 2013-2014. Managers Associations affiliated to the Italian Olympic Committee

(CONI), around one out of every four comes from FIGC. The The total number of members enrolled to the Italian Referees’ 1,073,286 aggregate figure of enrolled players in 2013-2014 is 1,073,286, Association is 34,381, 46% of whom are less than 24 years old. of which 62% (666,506) belong to SGS (Settore Giovanile e There are a total 1,693 female referees, a figure that positions Scolastico - Youth and School Sector), 37% (393,718) were Italy in second place in Europe, preceded only by Germany. 79+1+218A amateurs and 1% (13,062) professionals. The regions with the Teams 2013-2014 highest number of registered members are Lombardia (more The strength of football as a vehicle of social integration is than 188,000), Veneto (109,547), Lazio (96,760) and Toscana demonstrated by the number of foreign players and referees 468 (81,856). At national level there is one registered player for in Italy. Amongst players, there are 53,805 foreign registered

each 56 inhabitants. members (of which 70% related to the Youth and School 15,521 Sector). The figure has grown on average by 5% every year As far as clubs are concerned, in 2013-2014 there were a total in the past five years. Approximately 10,000 foreign players Professional 13,652, of which 10,316 were amateur, 3,225 belonged to the under 18 years old registered for the first time in 2013-2014, of 62,295 Amateur Youth and School Sector and 111 were professional. There which circa 50% come from Albania, Romania and Morocco. Youth and School Sector were a total 62,295 teams, most of which (46,306) belong With regards to referees, there are 1,932 foreign registered to the Youth and School Sector. Despite the magnitude of the members (almost 6% of total), of which 55% come from figures a trend of slight decline is highlighted: the number of Europe and a further 31% from Africa. 46,306 clubs has decreased on average by 1.8% in the past five years while the number of teams has dropped by 2.8%. Further, with regard to the Youth and School Sector, as at 30 June 2014 the total number of registered members 1+2574A Youth activity 2013-2014 The total number of football pitches was 12,131, of which 58% aged between 5 and 16 years old was 666,506. The figure are concentrated in 6 regions: Lombardia (1,980), Veneto increases to 824,238 when registered young amateurs, young 190,162 200,000 50% (1,424), Emilia-Romagna (1,071), Piemonte-Valle d’Aosta professionals and players belonging to Juniores category are 145,509 136,376 (916), Lazio and Toscana (848 in both regions). In line with the included. This results in almost 20% of the male population 111,712 112,588

average of the past 4 years, official matches totalled 6,159 73, aged between 5 and 16 years old being registered to a football 25% % 22% 23% of which 592,356 were amateur and 3,817 professional. Also club, increasing to almost 25% for the population aged 19% Youth players Youth in this context, Lombardia is ranked first at regional level between 11-12 years old. 13% 0 10% (108,636), followed by Veneto (65,901), Toscana (61,084) and 5-7 8-10 11-12 13-14 15-16 Piemonte-Valle d’Aosta (43,305). years old years old years old years old years old

Percentage on Italian Male football players enrolled population, by age group

8 Executive Summary 9

% Average share Average % 25% 0.0 0.0 8 Defeats Draws Victories 2014 37.8% 9,119,868 39 86 46 171 Average share Average 13-14 % 2013 31.0% 23% 7,612,271 22% 55 96 34 185 12-13 16% 2012 44.9% 11,235,736 32 56 88 8% 176 11-12 6% 5% 4% 4% 4% 4% 3% Average audience Average 2011 0% 26.0% * 75 26 49 150 10-11 6,952,338 UK USA UAE Italy Brazil France Mexico Canada PRETAG 0 Germany

00 0

Other nations audience Average 200 Matches 0,0 Comparison of average TV audience and share for for TV and share audience Comparison of average the National A Team * PRETAG: PUMA’s organisation that manages all the company’s stores in Europe stores all the company’s that manages organisation PUMA’s * PRETAG: National Teams official matches National Teams Top 10 markets merchandising: FIGC-PUMA official in 2014 0 2,0 1 million 9.3 billion, registering a TV exposure a TV exposure billion, registering million, with circa 60 circa with million, 2.2 2.8 million (a share of 38%). Considering of 38%). million (a share million unique daily users. users. million unique daily 9.1 3.7 million), which was mainly due to the results due million), which was the results mainly to 1.2 reference market in 2014, registering 22% in 2014, of net sales. market registering reference Despite a negative sporting result, Italy’s participation in the participation Italy’s result, sporting Despitenegative a in the use growth a remarkable Cup generated World 2014 FIFA channels of FIGC: for instance, the number of official digital by during the competition increased of fans on Facebook exceeding 23%, almost and views content of events represent to continue National football matches In 2014, market. television significance in the Italian great had an the National A Team in by competed the 13 matches of audience average recorded than that lower is only this figure the past four years, in 2012 (1 Championship in Ukraine European obtained in the UEFA (sum audience the cumulative to With regards and Poland. program single that watched any worldwide of TV viewers the 2014 the National A Team), regarding containing images to almost is equal figure National Under 21 matches) (also including for FIGC sponsors of almost 10% compared increase an hours, 278 exceeding 2013. to identifies a profile of the commercial analysis Finally, in example, of internationalisation: for significant degree USA is the primary merchandising, of official FIGC-PUMA terms the National Team against England, Costa Rica and Uruguay, Uruguay, and Rica Costa England, against Team National the represented and Argentina, between Germany and the final in 2014. in Italy watched TVthe 4 most events

4.9 00 per 0,0

9% of the seating capacity), while 9% of the seating capacity), while 7.2 00 people attended the 3 matches played played the 3 matches attended 00 people 0,0 NATIONAL FOOTBALL TEAMS FOOTBALL NATIONAL match, or an average 9 or an average match, was 1 TV for each match equal to audience the average by played of 68%. The 3 matches with a share million people, The FIFA Wold Cup in Brazil was the most important event in was event important most the Brazil in Cup Wold FIFA The 2014. Almost 12 (just the Italian National Team by than 4 less participating (with an average age of 28 years old, higher than old, of 28 years age participating (with an average the most of the 11 participants) and also included 3 out only its national championship (13 out of 14). from players In 2014, Italy won the UEFA Futsal European Championship, European Futsal In 2014, won the UEFA Italy The team, second time in its history. for the in Antwerp, held wasMenichelli, youngest the of one Roberto by managed overseas in 11 different countries, with Argentina (3 players) countries, with Argentina in 11 different overseas being the most represented. and AS Roma (29). Classifying the called-up players by region region by (29). players AS Roma and called-up Classifying the Lazio by followed 75 players with is first of birth, Lombardia born were (51) and Campania (37). players 15 called-up Overall, within the 8 Men’s National 11-a-side Teams (from (from Teams National 11-a-side within the 8 Men’s Overall, most The called-up. were 15),Under players to 348 Team A (31) Inter FC Milan (38 AC players), were clubs represented drawing 18 and losing 20. The 3 Women’s National Teams (A, National Teams The 3 Women’s 20. 18 and losing drawing with 17 wins, 9 matches, 39 17) played Under 19 and Under and 13 losses. draws The National A Team played 13 games, collecting 3 wins, 6 collecting 13 games, played A Team The National teams from 11-a-side the Men’s while and 4 losses, draws half (38), winning games, 76 Under 15 played Under 21 to In the 2013-2014 season the Italian National Teams played a played season National Teams the Italian In the 2013-2014 46 losses. and draws 39 86 wins, 171total recording matches, FIGC registered members 2013-2014 members FIGC registered AMATEUR AND YOUTH FOOTBALL

Amateur and youth football is still the primary Italian sport The widespread popularity of football is confirmed by the ratio Amateur clubs movement. During the 2013-2014 season, there were 13,541 clubs of players/population: in Italy there is one registered amateur 14,558 14,526 14,332 and sport associations (a slight decrease of 1.9% compared to player of FIGC for every 56 inhabitants. In some regions (such 15,000 13,797 13,541 2,916 3,057 3,072 the previous season). 76% (10,316) of the total are amateurs, with as Marche, Molise and Umbria) the ratio decreases to one 3,095 3,225 the remaining 24% (3,225) being part of the Youth and School player for every 40 inhabitants. In terms of official matches Clubs Sector activity. The amateur and youth movement is significant in played, in 2013-2014 there were a total 592,356, in line with 11,642 11,469 11,260 10,702 10,316 all Italian regions: in absolute terms the first region is Lombardia, the average of previous years. with 1,678 clubs, followed by Campania (1,438), Lazio (1,208) and 10,000 Veneto (1,031). In terms of population, in Italy there is an amateur For the first time in 2015, ReportCalcio includes data 09-10 10-11 11-12 12-13 13-14 or youth football club for every 4,408 inhabitants. Analysing the regarding the fiscal contribution of Serie D, which is the National Amateur Youth and School Sector Activity single regions, the figure ranges from 1,731 inhabitants for each main Italian amateur championship. During the 2012 tax League Activity club in Molise to 6,017 in Piemonte. year (corresponding to the 2012-2013 Sport Season), out of 165 clubs participating in Serie D, 75 submitted the “Modello Amateurs teams The total number of teams increased by 3.5% in 2013-2014 to Unico” form for non commercial entities, 51 the “Modello 61,827 (from 59,735 in 2012-2013), mainly due to an increase Unico” for association of persons, and 39 did not submit 80,000 71,219 69,874 69,424 61,827 in Youth and School Sector clubs (from 44,077 to 46,306), any “Modello Unico” form. On the contrary, all the subjects 59,735 although the amateur sector registered a slight decline (from submitted the “770” form related to remunerations. 54,199 52,267 53,304 46,306

15,658 to 15,521). With regard to the regional distribution of Teams 44,077 teams, the first region is again Lombardia (9,509), followed The total fiscal contribution was €4.2 million, of which 81% 17,157 17,020 16,570 by Emilia-Romagna (6,226), Veneto (6,178) and Lazio (5,278). related to VAT (€3.4 million), 13% to withholding tax on wages 14,000 15,658 15,521 (€0.5 million) along with modest contributions from Ires 09-10 10-11 11-12 12-13 13-14

The number of registered players continues to decrease, with (Corporate income Tax - 4%) and Irap (Regional Tax - 2%). National Amateur Youth and School a total of 1,060,224 in 2013-2014 (-2.3% compared to 2012- Analysing the contributions by geographic region, the first League Activity Sector Activity 2013), of which 37% (393,718) refer to the amateur sector ranked region is the North-East, with a total contribution and 63% (666,506) participated in Youth and School Sector exceeding €1.8 million, followed by the North-West (€0.9 activities. million) and Centre (€0.8 million). Amateur registered players

1,200,000 1,094,003 1,136,960 1,103,553 1,085,543 1,060,224

619,510 670,589 658,900 670,205

Players 666,506

474,493 466,371 444,653 400,000 415,338 393,718 09-10 10-11 11-12 12-13 13-14

National Amateur Youth and School League Activity Sector Activity

10

Executive Summary 11 Penalisation points Penalisation 4.1 7.4 6.9 9 2 13-14 86 -31 2,9 2,7 100 0 13-14 3,6 9 28 1.6 5.8 7 1.2 13-14 7 9 02 12-13 -31 2,9 2,6 12-13 3,4 10 Cost of production 24 8 12-13 8.3 0.4 7.8 1 6 36 11-12 -38 3,0 UEFA Licenses non granted Licenses non UEFA 2,6 11-12 3,4 11 94 Net result 11-12 14 5.7 2.4 0.4 Penalisation points Penalisation 8 9 89 10-11 -43 2,4 2,8 10-11 7 3,1 10-11 21 5.9 Value of production Value 7.3 0 97 5 Clubs not admitted Clubs -34 09-10 2,838.3 2,5 2,7 09-10 8 09-10 0 0 00

00 0

-450 25

4,0 million € 7,0 Clubs € million € Value, cost of production and net result 2009-2014 result and net cost of production Value, Clubs not admitted and UEFA Licenses not granted and UEFA not admitted Clubs Debt level 2009-2014 Debt level season. However, the financial dimension generates concern, generates dimension the financial season. However, dueof capitalisation the absence primarily to injections by net equity decreased seasons. Total previous to compared €273.4 to €293.1 by is offset from million. This reduction 6.7%, some of the Serie B and injections into the impact of capital Total drop. 22.1% a registered A Serie while clubs, Pro Lega €4,056.8 €4,336.8to from increase, 6.9% a registered assets 6.3%. to 7.2% as well, from decreased ratio million. The Equity of debt (+5% for Serie A, for Serie growth +40% The parallel it makes available) completely not are data Pro Lega while B, and, in ordinary business a sustainable have to difficult more In 2013- the business continuity. cases, endangers the worst to teams 17 and B on Serie inflicted were points penalty 11 2014 of financial and economic violations. teams because Pro Lega (the number of Pro Lega and two in One team in Serie B for not admitted 60) were 69 to from participants dropped 9 of the only granted championship and UEFA the 2014-2015 of 92 a total the last 10 years, Licenses. Over 21 requested for a professional not been admitted have clubs professional championship. As underlined by the data presented (which we highlight is we highlight (which data presented the by As underlined overall the sample) to the analysed by changes influenced football system professional situation of the whole economic with the previous in comparison stable is substantially

with the situation in Serie A being slightly improved. with the situation in Serie A being slightly million). After the last two seasons,million). After during and which a 10% was the observed, net result in the negative 20% improvement €311.2 million.to €316.9 rose from deficit aggregate 2013-2014 Pro, Lega and B Serie to attributable fully is increase 1.9% This the operating costs, although this was not enough to avoid an avoid to this was not enough costs, although the operating in due loss the 4.6% increase to in the net aggregate increase €636.6 to €608.6 from and amortisation (that rose depreciation clubs envisaged last season has not yet been established. last season has not yet envisaged clubs in the growth overtook of production in the value The growth Lega Pro in 2013-2014 amounted to €2,994.1 to amounted million, 0.8% 2013-2014 in Pro Lega of a new dawn shift towards The possible than 2012-2013. more of football management prudent economic and financial more However, the drop in the cost of production registered for the for registered in the cost of production the drop However, the €3 billion yearcontinued. Although time last has not first been season has not quite in the 2011-2012 registered value for Serie A, cost of production the total reached, B and Serie increase throughout the last 5 years is 2.1%, a reduction with a reduction is 2.1%, the last 5 years throughout increase periods. 5-year the two previous to respect 5 years upward trend, despite the general economic situation the general despite trend, upward 5 years to was 1.2% value in compared increase The country. the of average The million. €2,727.4 reaching year, previous the The aggregate value of production of Italian professional professional of Italian of production value The aggregate season, last the confirming 2013-2014 the in increased football ECONOMIC PROFILE OF PROFESSIONAL FOOTBALL PROFESSIONAL OF PROFILE ECONOMIC COSTS AND REVENUES OF PROFESSIONAL FOOTBALL

In 2013-2014, the average loss for a Serie A club is €9.3 million, Profits on the disposal of players decreased by 1.5%, from Average net result by competition 2009-2014 the first time in four years that it has been less than €10 million. €536.4 million in 2012-2013 to € 528.2 million in the current

The figure represents an improvement of 7.9% compared to year. These profits continue have a significant incidence (18.2) (13.8) (9.0) (16.9) (16.7) 0 (41.2) the previous season, when the average negative net result was (19%) on the aggregate value of production. The problem (50.8) (44.1) (31.2) (40.2) (56.1) (61.0) €10.1 million. However, in Serie B the situation worsens, with however, is that depreciation and amortisation registered (82.6) (72.5) (74.4) the average loss of €3 million per club in 2012-2013 increasing parallel growth of 4.6%, increasing from €608.6 to €636.6 (202.2)

€ million (185.5) to €3.9 million. The total value of production for the current million. (195.7) (299.9) (281.0) season has increased by 10.9%, from €261 million in 2012-2013 (350) to €289 million. The sample analysed this year excludes 3 out With regards to other revenues, the income from gate receipts 09-10 10-11 11-12 12-13 13-14 the 22 clubs participating to the tournament for whom the remains stable although sponsorship and commercial st nd financial statements were not available. activities show a decrease (again due to a significant decline Serie A Serie B Lega Pro 1 Div. Lega Pro 2 Div. in Serie B). However, solidarities and other income, which It must be highlighted that unavailable financial statements include extraordinary operations, keep on growing. Breakdown of sources of income 2009-2014 in the analysed samples of Serie B and Lega Pro relate to Solidarities clubs that for different reasons (not enrolled or not admitted The cost of production composition remains substantially 100% 4% 4% 4% 4% 4% to the subsequent tournament) were not required to present unchanged. Employee cost are equal to €1,456.3 million, a 11% 10% 9% 8% 8% Gate receipt the financial documentation for the seasons analysed, or slight increase of 0.1% compared to the previous season, 11% 13% 15% 16% 17%

clubs that did not submit them in time for data processing. with their incidence on total costs of production remaining Other income In addition, it should be noted that Lega Pro data refers stable at 49%. Service costs show an increase while lease 15% 16% 15% 14% 14% % to the last season under the old format of two different costs have decreased significantly. Other operating costs Commercial and 18% 18% 20% 19% sponsorship income championships each with First and Second Divisions, before (which include co-ownership costs for the disposal of football 20% Profit on disposal the unification occurred during the 2014-2015 season. players that were still in force during the 2013-2014 season) of players 41% 39% 37% 38% 37% remain constant at €356.1 million. 20% Broadcasting Revenues from broadcasting rights are still the main 09-10 10-11 11-12 12-13 13-14 rights income contributor to the value of production of Italian Football, At the same time, the level of debt in Italian professional representing 37% of total. This however, is a decrease of 2% football worsens. Total debt is alarmingly close to €4 billion, compared to the previous season, due to a significant drop rising from €3,402 million to €3,686 million, an increase of Breakdown of costs 2009-2014 for Serie B clubs (from €49.2 million to €28.9 million). 7.9% in the year. 100% 3% 3% 4% 4% 3% 13% 15% 15% 15% 15% Lease costs

18% Service costs 20% 20% 20% 21% Depreciations and % 15% 12% 11% 12% 12% amortisations

Other costs 51% 50% 50% 49% 49% Employee costs 30% 09-10 10-11 11-12 12-13 13-14

12 Executive Summary 13

Net Net equity equity -€ 1.3 m -€ 1.6 m -€ 1.6 +€ 1.0 m +€ 1.0 -€ 16.5 m

Net Net result result -€ 4.3 m +€ 2.0 m -€ 28.6 m -€ 28.6 +€ 20.2 m

Cost of Cost of +€ 2.4 m -€ 11.0 m -€ 11.0 +€ 12.1 m +€ 12.1 +€ 20.1 m +€ 20.1 production production

Value of Value Value of Value -€ 27.1 m -€ 27.1 production production -€ 19.4 m +€ 50.1 m +€ 50.1 +€ 22.0 m a team which enters the UEFA Champions League improves improves League Champions UEFA the which enters team a result the while €20.2year, million in the first an average by €28.6 an average by qualify decreases of a team that fails to million. compared to the €20.5 million registered one year ago), and ago), one year the €20.5 to million registered compared of €2 (€1.3 million net result in the average an improvement million in 2014). for clubs million on average €6.7 by costs increase Employee million for €5.6 by decrease they Serie A while to promoted deal to with the impact have which often clubs, relegated perspective, a financial From contracts. player of long-term €16.5 by increase clubs million on average, debts of promoted €12.7 an average by decrease clubs of relegated those while in both cases, confirming a trend million. Net equity decreases and success. which is independent of sporting performance of clubs of production in the value increase The average having (after Champions League qualifying for the UEFA season) in the preceding League Europe in the UEFA competed of average an from increases figure The grow. to continues year. in the current million €50.1 to €39.3 one year ago million €11 to €7.3 (from increase smaller costs show a Employee in the UEFA The impact of participation million on average). (showing unchanged substantially remains League Europe increases of production the value decrease): a slight only by improves and the net result €19.6 million on average by impact of non-participation in million. The negative €3.6 of The net result stable. competitions also remains European On the other side of things, promotion to Serie A has provided A has provided Serie to promotion side of things, On the other of €22 of production in the value million increase an average (€21 in the years million in 2014), five in the past an increase of €12.1cost of production million (a significant decrease

87.1% drop in income from broadcasting rights. Solidarities, broadcasting in income from drop 87.1% on increased the “parachute”, which in some cases include €2.9 by million per club. average decreased by €11 by million in 2014).decreased million (€11.6 result The net €4.3 by worsens million (€4.2 average on prior the in million an from results production of value the in reduction The year). 2013 season (Palermo, Pescara and Siena). The average The average and Siena). Pescara 2013 season (Palermo, €19.4 by decreased of production value million compared production of cost The €15.6million to year. prior the in impact of relegation to Serie B for the first year. However, However, year. first Serie B for the to impact of relegation as worsened have years for the past five figures average 2014, those published in ReportCalcio to duecompared also in the 2012- relegated teams the specifics of the three to “other revenues”. “other economic the negative reduces payment The “parachute” partly due to the fact that it has changed throughout the throughout duepartly the fact that it has changed to classify the fact that some clubs in particular to but years, within it recognize other clubs while it within “solidarities” to relegation from Serie A to Serie B, it has once more not B, it has once more Serie Serie A to from relegation to weight of the “parachute” the exact compute to been possible This is clubs. relegated Serie A to by guaranteed payment In order to avoid distortions caused by the different features features the different by caused distortions avoid to In order clubs the of etc.) (historiclevels, attendance success, to relate presented the figures years, the throughout involved regards With years (2009-2014). five of the past the average clubs. Participation in European competitions has the most the has competitions European in Participation clubs. Champions League. significant impact, in particular the UEFA not sufficient in order to improve their financial and economic financial and economic their improve to order in not sufficient significant a have and relegations situation. Promotions of single policies and perspectives impact on management Sporting success positively impacts the income statement the income statement impacts positively Sporting success such success is often although clubs, professional of Italian ECONOMIC AND FINANCIAL IMPACT OF SPORTING PERFORMANCES SPORTING OF IMPACT FINANCIAL AND ECONOMIC SERIE A KEY RESULTS

Against a stagnant backdrop of the value of production of Serie players) and to reduce costs related to registered personnel. Value and cost of production 2009-2014 A, a positive highlight is the reduction of the total net loss of the 20 teams for the third year running. In 2013-2014, the loss This is even more important due to the tough financial situation 5,000 2,472.5 2,438.4 2,376.0 decreased by 8.3% compared to 2012-2013 (from €202 million and to the lack of liquidity highlighted by specific indicators. 2,306.3 to €186 million). Comparing the current year net loss to the The ratio between financial debt and total debt increased from 2,268.8 peak in the 2010-2011 season of €300 million, the improvement €947.1 million to €1,129.3 million (+19.2%). Financial debts

€ million 2,307.6 2,298.8 2,145.9 is equal to 38%. However, the picture with regards to debts is represent 37% of the total (32% one year ago). Social security 2,097.3 2,031.2 more negative, with the total €3,093.3 million (5% more than and tax liabilities (+4.4%) and related party liabilities (+7.5%) 1,500 the previous season) exceeding €3 billion for the first time. increased as well, confirming shareholders’ preference for 09-10 10-11 11-12 12-13 13-14

loans over recapitalisations. Value of production Cost of production After 2 years of growth, the value of production of Serie A decreased slightly (-0.4%), dropping from €2,307.6 million The increase in loans and the reduction in recapitalisations to €2,298.8 million. Consequently, the average value per club are the main reasons behind the drop in Serie A clubs net decreased from €115.4 million to €114.9 million. However, the equity, that has decreased to €197.9 million (an average of Net result 2009-2014 cost of production also decreased, by 1.4%, a higher reduction €9.8 million per club), 22.1% less than the previous year. than that witnessed for the value of production. It is worth Compared to 2008, net equity has almost halved (-48.6%). 0 noting a slight drop in employee costs (-0.5%), confirming the As a result, the Equity ratio (ratio between net equity and total clubs growing attention to this area, but also the interruption assets) dropped from 7.2% in the previous year to 5.5%. of EBITDA growth. Following growth rates in excess of 30% for (185.5) € million (195.7) the previous two seasons, the current season value rose only by A possible liquidity crisis is signalled by the level of debt (that (202.2) 4.2%, from €381 million to €397 million. With amortisation and quantifies the proportion of third party capital used to finance (299.9) (281.0) depreciation stable at around 22% of total cost of production, the business), which grew from 92.8% to 94.5%, and by the (300) it is evident that in order to enhance sustainability clubs need liquidity ratio (calculated by dividing the sum of receivables, 09-10 10-11 11-12 12-13 13-14 to work on strategies to differentiate their income (currently cash and cash equivalents by the total assets) that decreased dependent on broadcasting rights and profits on disposal of from 15.7% to 14.9%, the lowest level in the last five years.

Debt level 2009-2014

3,100 3,093 2,947 2,659 2,892 2,332 € million

0 09-10 10-11 11-12 12-13 13-14

14 Executive Summary 15

7.7 3.2 45 13-14 44 Lease costs Service costs Other costs and Depreciations amortisations costs Employee Solidarities Other income Gate receipt on disposal Profit of players and Commercial income sponsorship Broadcasting rights income 7.8 5.8 12-13 46 45 1% 3% 8% 11% 13% 15% 15% 19% 22% 43% 49% 13-14 13-14 Amortisation of players’ rights Amortisationof players’ 7.9 7.8 2% 8% 4% 12% 12% 15% 14% 22% 43% 20% 48% 11-12 42 42 12-13 12-13 1% 9% 4% 11% 16% 14% 10% 22% 43% 20% 50% 11-12 11-12 5.3 6.9 10-11 35 40 1% 9% 4% 11% 21% 16% 18% 14% 10% 50% 46% 10-11 10-11 1.9 3.3 Profit on disposal of players Profit 39 38 09-10 1% 3% 7% 11%

51% 12% 15% 15% 19% 18% 48%

09-10 09-10

0% million € 0%

% % 500 200 Profit on players’ disposal & amortisation 2009-2014 disposal on players’ Profit Breakdown of sources of income 2009-2014 of sources Breakdown of costs 2009-2014 Breakdown 100% 100% Although gate receipts increased by 1.4% to a total €192.3 a total to 1.4% by increased receipts gate Although behind the other main significantly million, this remains that than the €200 and also less million level leagues European the in the past decade. Interestingly, exceeded wasconstantly Cups for European due sales of tickets to is entirely increase in no substantial changes are there though even matches, or the performances of the Italian the number of participants season. the 2012-2013 teams from driven is production of cost total in the reduction The i) two cost items of the following the decrease by primarily the costs of to assets, which refers of third-party the lease €23 €48 to million) from (which decreased players loaned costs of the stadia; and ii)and the lease other operating on the disposal of capital losses costs, which include €42 million). €67 million to from (which decreased players which that the costs of services, It is also highlighted 5.7%. by increased agents, players’ commissions to include costs the incidence of employee years, time in five the first For costs related 58%. The total 60%, to below drops on revenues €1,102.5 from 1.6%, by and coaches decreased players to of increasing the trend €1,085million to million. However, (administrative employees non-registered costs regarding staff) managerial and €91.2to million from rising continues, €102.7 million. However, income from other commercial activities (including other commercial from income However, a significant suffered others) licensing and merchandising, of 9.8%. decrease

increased by 7.2%. by increased exceeded the levels of the 2011-2012 season, €344.2 totalling 2011-2012 of the the levels exceeded sponsorships from revenues total million. In particular, official sponsors from generated those while 7.9%, by grew While waiting for the inception of new contracts, the value of the value waiting for the inception of new contracts, While million. However, at €987 rights is unchanged broadcasting and sponsorship in income from was a slight increase there a stagnant year, activities, which after other commercial from loans and co-participations net of losses, costs of loans loans costs of net of losses, and co-participations loans from and co-participation expenses. year ago. The net result of the acquisition and disposaland acquisition the of of result net The ago. year of 8% million, an increase for €439 positive remains players player from season. The net result the previous to compared revenues disposal, on profits of sum the by defined is trading to €443.2 million, while players’ amortisation increased (from (from amortisation increased €443.2to players’ million, while in a negative million), resulting €455.8 €457.7 million to of €14.5total €12 positive to million one million, compared profit on the disposal of players, which decreased from 20% to 20% from which decreased on the disposal of players, profit season. for the 2013-2014 of production value 19% of total million €467.8 from decreased on the disposal of players Profit represent 43% of the total value of production, sponsorship and sponsorship of production, value of the total 43% represent only receipts income 15%, and gate activities other commercial of expense at the 13% 12% to from 8%. Other income increased unchanged, not only in absolute terms, but also regarding the also regarding but terms, absolute in only not unchanged, of the three percentage The source. incidence of each revenue rights broadcasting from the same: revenues remains main items Entering into the analysis of the income statement of Serie A,the income statement of the analysis into Entering substantially remains of production value the total we see that COSTS AND REVENUES OF SERIE A SERIE OF REVENUES AND COSTS ECONOMIC PROFILE OF SERIE B

In Serie B, an improvement in clubs’ operating results was relegated clubs and other types of funding support provided Average value and cost of production 2009-2014 recorded including, for the first time in 5 years, a positive by the league). EBITDA (€4 million). However, the aggregate net result has 50 21.1 worsened, with a loss of €74 million comparing to €61 million Revenues from broadcasting rights have suffered an abrupt 19.0 19.1 18.5 for the previous season. A significant driver of this is a 62.8% setback, reducing by 41.3% to a total €28.9 million, less than 16.2

increase in depreciation and amortisation, mainly due to the the €30.2 million generated by sponsorship and commercial 17.5 15.2 relegation of a team (Palermo), usually a member of Serie activities, which in turn suffered a decrease of 33%. These two € million 14.3 13.0 15.2 A, which brought a total value of players not typical for the items reflect an adverse trend that is not recorded in other championship. championships. 0 09-10 10-11 11-12 12-13 13-14 It should be noted that the analysis on the economic and Following a season of significant reductions, employee costs Value of production Cost of production financial profile of Serie B is based on a sample of 19 out of have grown again, from €8.1 to €8.6 million on average per club the 22 clubs’ registered to the championship. Therefore, it is (+6.2%). Thanks to the increase in revenues, the incidence of necessary to analyse the average data per club. The average employee costs decreased from 85% to 80%, although this Average net result 2009-2014 value of the production rises from €13.0 to €15.2 million per remains a level that is difficult to sustain. club (+16.9%), returning to the level of two years ago. 0 The financial situation appears increasingly difficult, with The cost of production rises from €16.2 million to €19 million the total average level of debt per club rising by 40% in on average per club (+17.2%), remaining under the value of the year, from €17.5 to €24.5 million. A significant increase

two years ago. The net result is negative for €3.9 million on in commercial payables, from €2.6 to €7 million on average -2.5 average per club, compared to €-3.0 million in the prior year per club (+165% in one year), also highlights an increasingly € million -3.0 -3.3 (-28.5%). Obviously, the results are affected by promotions serious liquidity situation. There was also an increase in -3.9 -4.1 and relegations that bring clubs into Serie B with higher or financial liabilities, from €4.9 to €5.6 million on average per (90) lower revenues and costs. club (+14%), and tax liabilities, from €3.9 to €4.5 million per 09-10 10-11 11-12 12-13 13-14 club (+15%). Analysing the revenue breakdown, it should be noted that the operating income represents a low percentage of total income The average net equity value reaches the same level of two Average debt level 2009-2014 (gate receipts 6%, sponsorship and commercial income 10% years ago (€3.1 million per club), while the liquidity ratio

and broadcasting rights 10%). The main components are (dividing the sum of receivables and cash and cash equivalents 30 profits on the disposal of players (29%, increasing by 24%) by the total assets) is still decreasing (from 20% to 12%). The 24.5

along with 23% from solidarities (the “parachute” payment for debt to equity ratio also worsens, increasing from 10.8 to 8.6. 19.5 20.3 17.9 17.5 € million

0 09-10 10-11 11-12 12-13 13-14

16 Executive Summary 17 13-14 13-14 2,186 1,549 12-13 12-13 Div. Div. 1,638 2,255 nd nd 93) 1,9 Div. 13-14 (697) ( (1,296) nd 11-12 11-12 1,912 1,593 10-11 10-11 1,261 1,579 Lega Pro 2 Pro Lega Lega Pro 2 Pro Lega 97) 12-13 1,7 (684) Lega Pro 2 Pro Lega (1,113) ( 1,814 1,305 09-10 09-10 94) 11-12 13-14 13-14 3,291 1,7 4,561 (324) ( (1,471) 12-13 12-13 Div. 4,187 3,025 Div. Div. st st st 06) 11-12 11-12 10-11 1,8 (385) 2,925 4,340 (1,521) ( Lega Pro 1 Pro Lega 10-11 10-11 2,541 4,194 Lega Pro 1 Pro Lega Lega Pro 1 Pro Lega 35) (519) 2,3 09-10 2,724 09-10 09-10 4,429 (1,816) ( 0 0 0

00 00

€ thousand € € thousand € € thousand € 00) Average net result 2009-2014 result net Average Average value of production 2009-2014 of production value Average 2009-2014 cost of production Average 6,0 4,0 3,0 ( incidence of debts on total assets decreases from 86% to 86% to from assets decreases incidence of debts on total Second 86% in the 92% to from Division and in the First 81% Division. Interestingly, the average operating costs also decreased in costs also decreased operating the average Interestingly, net in the negative Division, with the 16.5% increase the First impacted being heavily (€1.3result average) on per club million and amortisation (from in depreciation increase the 64.1% by million per club). €0.4 €0.6 to incidence of employee the by signal is provided A positive in which decreases of production value costs on the total and 75% to 78% Division (from and Second both the First incidence is however, Such 77% 65% respectively). to from balance sheet equilibrium. ensure to high in order still too also is costs employee in reduction a Division, Second the In €1.3 from terms: €1.2 in absolute to noted on million per club of 3%. a decrease average, equity net Average improves. The financial situation of clubs of two years the level up to increases Division clubs of First registered €91,000 to drop the dramatic after (€439,000) ago year season. net equity position The five in the 2012-2013 result an average in the Second Division, to also improves last €54,000 to registered compared €103,000of club, per year. The also improves. Pro in Lega The financial stability of clubs In the Second Division, the average value of production of production value average Division, the In the Second €1.5 to 5.4% by €1.6 the (from decreased while million), €2.3(from 3% only by decreased cost of production average €2.2to million)

of production increased by 8.9% (from €4.2 8.9% (from by increased of production million). €4.6 to net loss has hence worsened by 16.3% (from €0.9 to €1.0 to €0.9 (from 16.3% by has hence worsened net loss of production value Division, the average million). In the First € 3.3 to the cost €3.0 million), while 8.8% (from by increased 6.8% in the year, from an average € 2.4 an average €2.5 to from million per in the year, 6.8% 8.2%, by increased the cost of production However, club. this, the average €3.3 €3.5 to Following from million per club. result, it is therefore most useful to consider average values values consider average most useful to it is therefore result, per club. by has increased Pro in Lega of production value The average 31 out of 33. However, only 24 out of the 36 sets of financial 24 out of the 36 only 31 out of 33. However, Second Division are the to belonging for clubs statements As a D. Serie to in relegations due the increase to available the lack of relegation to the Second Division (following the the Second Division to the lack of relegation number of financial statements in a record resulted reform) Division: the First to participating clubs by being presented volatile over the years since clubs relegated to Serie D, or that Serie D, to relegated since clubs the years over volatile are reasons, other or bankruptcy of because the affiliation lost year, This their financial statements. present to not required The data regarding the financial and economic profile of Lega Lega of the financial and economic profile The data regarding statements the number of financial by impacted remains Pro the data is As a consequence, and analysed. presented with only one “Serie C” in three divisions was implemented, divisions was implemented, C” in three one “Serie with only and “C2” when the “C1” how it was until 1978, to returning introduced. championships were in which Lega Pro was divided into two Divisions (First and Divisions (First two was into divided Pro in which Lega championships. Second), eachwhich had two different of a new format season (2014-2015) the current Starting from The sample of financial statements analysed relates to the to relates analysed statements financial of sample The final of the results season (2013-2014) financial and economic ECONOMIC PROFILE OF LEGA PRO LEGA OF PROFILE ECONOMIC TAX AND SOCIAL SECURITY CONTRIBUTION OF PROFESSIONAL FOOTBALL

Since 2008, professional football has contributed more than (it has been dropping since 2009), from 11,245 to 9,940. On Sources of tax and social security contribution by type €1 billion per year of social security and tax contributions the contrary, the number of employees with high wage levels to the State income. In 2012, the total amount was €1,023 (€35,000 and above) increased: for instance, the number of 1,200.0 1,033.5 1,029.4 1,069.8 1,033.7 1,022.9 925.8 166.1 million, 1% less than 2011 and 4.4% less than the peak of employees with earnings of at least €200,000 increased to 864.5 176.7 155.1 142.1 138.4 141.6 €1,070 million in 2010. The overall amount can be split into 990, up from 850 in 2006. 171.7 two components, 86.5% relating to direct social security and 903.7 891.6 € million 856.8 874.3 884.6 tax contributions from the professional system (Serie A, Serie Focusing on the sport betting industry that could be analised 692.9 784.3 B and Lega Pro), with the remaining 13.5% coming from the until 2014, football is still the most important sector, 0.0 betting on football. In the last 7 years (2006-2012), the total representing 81.3% of total income (€3.6 billion), followed by 2006 2007 2008 2009 2010 2011 2012

amount of direct social security and tax contributions were tennis (11.3%) and basketball (4.3%). More detailed analysis of Professional football Bets on football games around €6 billion, 77.3% of which was from Serie A. the events highlights that the highest amount of bets are placed on Serie A matches, around €703 million, generating €26.4 In 2012, the largest component is withholding taxes on million of total taxes. This is followed by the FIFA World Cup, wages (€525 million, 59.3% of the total value), followed by Serie B championship and the UEFA Champions League. Tax and social security contributions of professional VAT (€210.8 million, 6.2% more than 2011), Enpals - Social football – Total aggregated 2006-2012 security contributions (€99.5 million, +7.7%), Irap - Regional Comparing the main international fiscal regimes, there are Tax (€41.6 million) and Ires - Corporate income Tax (€7.9 some significant differences that affect the competitiveness 2.0% million, 51.2% down on the 2011 value). of the different football systems. For instance, the maximum 5.1%

tax rate on personal income ranges from 75% in France (for 15.6% Focusing on employee income, the 2012 aggregate value is salaries in excess of €1 million) to 0% in Qatar, which does Serie A around €1,293 million, of which €1,068 million comes from not tax any personal wage (Russia, Brazil and Turkey are other € 5.9 Serie B Serie A. Segmenting the overall data by level of wage, it can be nations with more privileged situations), with Italy being billion Lega Pro 1st Div. seen that the number of taxpaying employees has decreased considered at an intermediate level. Lega Pro 2nd Div.

77.3%

Maximum tax rate on personal income as at 31/12/14

80% 75% 53% 52% 52% 47.5%46% 45% 45% 42% 40% 39.6% 35% 27.5% %

Tax rate Tax 13%

0% 0% Italy Brazil Spain Qatar Russia Turkey France Greece Greece Portugal Australia Germany South Africa Netherlands United States United United Kingdom United

18

Executive Summary 19 % 65 FRA Football 0% -14% 87 5.8 NHL 1 Hockey 2013 % 5.0 1 5.3 -0.8 2013 - 88 ITA ITA Football 5.2 1 2012 % Total costs Total 4.1 1 92 -1.1 NBA 7.8 2012 - Basket Net result/revenues 4.8 93 ESP 1 % 2011 Football 3.2 1 2.7 -1.7 2011 -1 116 GER Football 4.4 1 % 2010 2.8 Total revenues Total 1 2.7 -1.6 158 ENG 2010 -1 Football Net result 2.9 MLB 1 178 % Baseball 1.7 2009 1 -1.2 0.2 2009 -1 NFL 216 football American

Comparison with North American sport – Average – Average Comparison with North American sport club by revenues Aggregated revenues and costs comparison of European comparison of European and costs revenues Aggregated clubs Division Top Top of European comparison net result Aggregated Division clubs 0.0 0.0

0 2

€ million € € billion € € billion € 2.0 0.0 - 250 of which has been stable since 2007. of which has been stable country:to country in from different is structure revenues The 59% income, of the total rights represent broadcasting Italy England (45%), (48%) and Spain (49%), France than in more of just 31% weigh they where than in Germany more and a lot weighting a strong by is characterised total. German football income (41%), and commercial advertising of sponsorship, and (21%) (30%),England in than Italy more (24%), Spain of matchday percentage (20%). has the lowest Italy France in England and 21% the income, just 10% of total, far from and Spain. in Germany 23% remains in 2013 main expenditure costs, the to With regards average on billion), which represent (€9.6 wages employee large some however, are There revenues. total of 64% 77%, Germany in it’s Turkey the countries: in across differences with along the middle in with 67% 52%, Italy is ranked while that Spain and also be noted should It England and France. €109.5 (respectively net result positive a achieved Germany million and €52.4 of €186.3m the loss while million), is in Italy England (€-353.3 million). by only exceeded Analysing the revenue profile, broadcasting rights (€5.9 rights broadcasting profile, revenue the Analysing 39%, representing of the total the main component billion) are commercial (24%), and advertising sponsorships by followed (17%), the latter (20%)and other incomes receipts and gate

exceeding the growth of costs (+2.4% and +3.9%). the growth exceeding that for revenues. This trend turned around in 2011, with in 2011, turned around This trend that for revenues. in almost the same proportion and costs growing revenues was reversed trend the 2013 and 2012 in while 3%), (about and +6.4%) significantly (+7.1% in revenues with the increase profile, although the result remains a loss of €0.8 billion (in loss of €0.8 remains a result the although profile, billion). It is billion and in 2011 it was €1.7 2012 it was €1.1 than of costs was greater growth the that until 2010, noted (+4.2%) and Turkey (+4.1%). (+4.2%) and Turkey the economic improved revenues in total In 2013, the growth compared to a 2.2% GDP growth rate). Italy experienced a experienced a 2.2% to Italy compared rate). GDP growth growth a GDP (against rate growth revenues 3.9% average Spain England (+5.7%), by also exceeded of 0.2%), a rate rate the major countries. From 2010 to 2013, the countries with 2013, the countries 2010 to From the major countries. (+16.2%, Russia are rates growth revenue the highest average (+8.2%, Germany rate), GDP growth a 4.6% to compared (+6.8%, and France rate) a +3.8% GDP growth to compared Although there are some national differences, football system system football differences, national some are there Although in all GDP growth wasoverall higher than increase revenue increased by 6.4%, reaching €15 6.4%, reaching by 2008- billion. In the period increased in the while was 5.7%, growth revenue annual 2013, average at just 1%. grew economy same period the European European football has not been affected by global economic by global been affected football has not European 54 Divisions the Top of revenues the combined crisis: in 2013, INTERNATIONAL BENCHMARKING INTERNATIONAL INTERNATIONAL BENCHMARKING

By analysing the capital structure of the Top Division European The scenario described before is due more to the inadequacy Average attendance per match – Worldwide Top clubs, a gradual improvement can be seen: in 2013 net equity of the services and the quality of the infrastructure of the Divisions 2013-2014 covers 18.9% of total assets, more than double the 9.2% seen in Italian stadiums than the average access price. In Italy, the

2010. The impact of debt on revenues is reduced, with the ratio €21.6 stadium average admission price is far lower than that 50,000 43,499 between revenues and liabilities (without net equity) rising from recorded in England (€48.4), Spain (€39.7) and Germany 36,670 26,955 67% in 2010 to 76.1% in 2013. For the first time, ReportCalcio (€36.6). At the same time it is interesting to calculate the 23,011 22,939 20,953 20,599 19,504 18,743 2015 analyses the balance sheets of the clubs participating in ratio between the value of average ticket price and the daily 18,571 Spectators Spectators the Top 10 European Divisions; with regards to the debt level, it average wage for each country (Indexuva©2013). Using this is mainly concentrated in 3 countries: England (€4.3 billion), Italy ratio, the scenario presented is widely different: in Spain the 0 Italy Spain

(€3.3 billion) and Spain (€3 billion), followed by some distance by result is 65.3%, England 60.4%, Germany 50.8%, Italy 38.5% China France Mexico England Germany

Germany (€1.5 billion), Portugal (€1.2 billion), Turkey, Russia and and in France 31.4%. Argentina Netherlands France (all €1 billion). States United Regarding the ownership of the stadia in the Top 54 In terms of stadium attendances in national league matches, European Divisions, 62% are owned by the public sector, during 2013-2014, Germany has the highest global average, 23% by the clubs or related companies and 15% by a third Stadium ownership - Aggregated data from 54 Top with 43,499 spectators per game. It is followed by England party. The direct or indirect ownership of the football club, Divisions 2014 (36,670), Spain (26,955) and Italy (23,011). The first non- in particular, is an issue concentrated in some countries, European championship is the Mexican Top Division, with 22,939 primarily Scotland (92% of the cases), England (90%) and spectators, while the top 10 is completed by France (20,953), Spain (55%). 8% Argentina (20,599), Netherlands (19,504), USA (18,743) and 15% China (18,571). Finally, the demographic census of the European Top Divisions Municipal/State ownership Other parties ownership in 2013-2014 highlights the already known critical situation 698 clubs 62% Focusing the analysis on the Top 5 European leagues, we see of Italian football: Serie A is ranked in first place in Europe examined Club’s direct ownership that in the last 6 years in Germany and England the average for the average age of players (27.3 years old, against 25.6 in 15% Associate/parent company ownership attendance has slightly risen (respectively +2.2% and +2.9%), Germany), in third place for the percentage of foreign players while the number has remained stable in France, whilst a (54.1%, behind only Cyprus and England, while Spain and decline has been recorded in Spain (-4.7%) and Italy (-6.9%). Germany are around 40%) and last place for the amount of Also considering the attendance for domestic and European youth players coming from their own club (only 8.4%, against cups, the average stadium capacity utilisation is equal to 23.6% in France, for example). 90% in England and Germany, 68% in Spain and France and European Top Divisions - Average age of football players only 56% for Italy, with a total 8 million unsold tickets.

28.00 27.32 26.78 26.70 26.70 26.39 25.92 25.63 25.57 24.98 24.54 Avg. age (years) age Avg. 23.00 Italy Spain Russia Turkey France Portugal Scotland Germany Netherlands United Kingdom United 20 Executive Summary 21

Division Division nd st Division Division Serie A Serie B Pro Lega 1 Pro Lega 2 nd st Serie A Serie B Pro Lega 1 Pro Lega 2 Before 1949 Before 1950-1989 1990-today Not available 19% 33% 23% 58% 13-14 3.1 1.2 8.7 2.6 0.5 1 13-14 6% 17% 37% Division 40% nd Lega Pro Lega 2.3 1.3 2.3 8.6 2 0.4 1 12-13 12-13 12% 23% 28% 56% 3.2 1.3 2.9 0.6 8.4 12% 1 42% 45% 11-12 Division st Lega Pro Pro Lega 1 1.5 3.4 8.9 0.5 2.4 11-12 14% 1 32% 55% 26% 10-11 9% 41% 50% Serie B 4.1 1.7 0.7 2.6 9.2 1 09-10 59% 26% 30% 20% 10-11 31% 19% 50% 4.1 1.4 2.6 0.8 9.4 Serie A

1

08-09

% 0% % 0% 80% Opening year of professional football’s stadiums, by stadiums, by football’s of professional Opening year cluster Comparison of aggregated number of spectators in number of spectators of aggregated Comparison football professional Average utilisation of stadium capacity utilisation Average

100% 4.5 Spectators (million) Spectators 0.0 1 significantly worsen spectator visibility. In 25% of Serie A In 25% of Serie visibility. spectator worsen significantly activities, cannot be used for other stadia, the infrastructure and 68% in Serie Pro in Lega 51% that rises up to a percentage B. A one stadium in 4 has no store the facilities, in Serie Regarding between ranges and this indicator activities, for commercial are There leagues. professional for the other 60% 50% and Stadia of sustainability. terms in also significant deficiencies few: very one out of are energy of renewable using sources 16 in Serie A, 3 out of 22 Pro. in Serie B and 2 out of 57 in Lega of improvement trend evident is an there security, Regarding the season 2013-2014 although the last 10 years, over the season to compared a slight deterioration indicates far less injured, 59 with people matches were there before: but 2009-2010, in 81 the and 2004-2005 in 209 the then The same the 43 in 2012-2013. to compared increasing slightly and arrested reported for the number of people exists trend the from which increased and 105 respectively), (1,003 number that the noted be it should Finally, season 2011-2012. the highest number 206,998, totalled employed of stewards season, where of 2010-2011 with the exception recorded, ever 211,846. were there while the average percentage of covered seats stadia in the of covered percentage the average while Serie A, in B in Serie 40% to only decreasing 70% exceeds used 40% of the stadia Approximately Pro. Lega and 37% in which tracks, contain athletics leagues in the professional

Serie A stadiums is 61 years, and is only slightly lower in the in lower slightly and is only is 61 years, Serie A stadiums one is only there In 2013-2014 leagues. other professional Stadium), Juventus (the a club owned by stadium directly are old and underdeveloped, both in terms of infrastructure of infrastructure both in terms and underdeveloped, old are and services offered. of age the average the Stadia Database study, to According only in Serie A (where it reaches 58%), falling to 33% in Serie B 33% falling to 58%), it reaches A (where in Serie only These and Second Divison. First Pro and 19% in Lega and 23% to the fact that Italian stadia connected directly are figures Despite this slight improvement, the situation remains the situation remains Despite this slight improvement, 50% stadium capacity utilization exceeds critical: the average rising too; for example, the average attendance for the 6 attendance the average for example, rising too; was 33,408, of an increase of the National A Team matches 2012-2013. to compared 34.7% from 4,848 2,240 to from 5,504, to 1,935 from (First Pro for Lega Division). 864 (Second to 707 Division) and from are the other Italian competitions regarding The numbers aggregate exceeded 14.1 million) has ended. In terms of million) has ended. In terms 14.1 exceeded aggregate a recorded leagues all the professional attendance, average 22,591 from A Serie for increase: slight B Serie for 23,011, to was 13.1 million, an increase of 6% compared to the previous the previous to of 6% compared million, an increase was 13.1 which was constant trend the negative season. As a result, season (during since the 2009-2010 total that year the During the 2013-2014 season the total number of spectators of spectators season number the total 2013-2014 During the championships the professional in matches attended who have STADIUMS, SPECTATORS AND SECURITYAND SPECTATORS STADIUMS, GOVERNANCE MODELS IN PROFESSIONAL FOOTBALL

There is traditionally a high concentration within the Serie B (€76 million) and 29% Lega Pro (€63.8 million). Average percentage of main shareholder’s ownership 2013-2014 ownership structure of professional football clubs. This trend

is confirmed again in 2013-2014: in 75% of cases (82 clubs out With regards to analysis on the length of the chain of control, it 100% 88.2% of the 110 analysed) a single shareholder holds over 50% of can be observed that it is shorter inside the lower professional 79.4% 74.7% the ownership; this is extended to all 20 clubs in Serie A, 16 divisions: in Lega Pro, control of 41 clubs out of 68 (equal to 62.3% (out of 22) in Serie B and 2/3 of the clubs analysed in Lega Pro 60%) is directly connected to individuals, while in 12 cases (46 clubs out of 68). (18%) the owner exercises the control through at least 2 corporate levels. The situation is completely the opposite in % The average percentage holding of the main shareholder goes Serie A, where in 13 clubs out of 20 (65%) the owner exercises from 88.2% in Serie A to 79.4% in Serie B, decreasing further the control through at least 2 corporate levels, and in no cases to 74.7% in the First Division and 62.3% in the Second Division it is direct. In between lies Serie B, where in 8 clubs (36%) the 0% of Lega Pro. individual exercises control directly, 9 clubs (41%) are owned Serie A Serie B Lega Pro Lega Pro by a holding and in 5 clubs (23%) the chain of control has at 1st Div. 2nd Div. The main shareholder, in 50% of the cases, is an Italian legal least 2 levels. entity, in 44% an Italian individual and in 7 cases out of 110 (6%) a foreign legal entity. The picture differs significantly With regards to the governance organisational structure, 28 Comparison of recapitalisations – professional clubs 2013-2014 between the different professional leagues: the presence of clubs out of the 110 analysed have a traditional system of individual, in particular, is mainly concentrated in Lega Pro management and control with one single director, whereas (40 clubs of 68), in Serie B this is the case for 8 out of 22 clubs there are 2 to 4 directors in 39 cases, 5 to 10 in 38 clubs and 490.0 460.8 327.8 and in Serie A the control belongs only to legal persons (17 more than 10 in 5 clubs. In Serie A, in particular, the majority 9.6 14.2 33.3 51.6 Serie A Italians and 3 foreign). As for the number of shareholders, in of the clubs (15 out of 20) have at least 5 directors, while in 51.7 40.7 221.9 16.5 Serie B 20 clubs out of 110 (3 in Serie A, 5 in Serie B, and 12 in Lega Serie B and in Lega Pro in the majority of the cases there is 47.3 st

€ million Lega Pro 1 Div. Pro) there is only one shareholder, whereas in the rest of the either only one, or a maximum of 4. 366.2 221.1 76.0

nd cases multiples shareholders are observed. 82.2 Lega Pro 2 Div. Accounting control, in Serie A, is carried out for 15 out of 20 0 For the first time in ReportCalcio, an analysis of capital clubs by external statutory auditors or audit firms, for 4 clubs 11-12 12-13 13-14 injections made by shareholders of clubs participating to it is done by the statutory auditors and for one club by a single the professional leagues (in 2013-2014) is included. The total professional. In Serie B, there are only 5 cases where there is amount of contributions from shareholders totalled €221.9 an audit firm or auditor, while in 17 clubs the audit is carried Average number of members of the Board of Directors million, a significant decrease over the three year period by the statutory auditors. In Lega Pro, only 2 clubs out of 68

8.0 7.5 7.2 analysed (in 2011-2012 it was at €460.8 million). 37% of the rely on external audit firms or auditors, while in 20 cases there 7.1 6.4 recapitalisations relate to Serie A clubs (€82.2 million), 34% is a single professional. Serie A 4.9 4.8 4.1 4.0 4.0 4.0 Serie B 3.7 3.7 3.7 3.4 3.3 3.2 Lega Pro 1st Div.

Lega Pro 2nd Div.

Average number of directors Average 0.0 10-11 11-12 12-13 13-14

22 Executive Summary 23 00 Event Event 2,6 production Europe Asia South America Africa America North and Central Oceania Net direct impact Net direct not beneficial Other expenses of Turin Area the Metropolitan to 38 1,2 Media 49% 1% 79 (72%) € 12.6 m 4% € 17.5 52 million countries 8,7 represented 8% m Spectators 27% 4.9 (28%) € 11%

0 00 thousand € Net direct economic impact Net direct Continents of origin of audience at the stadium at the of origin of audience Continents economic impact direct Gross 0,0 1 decided to stay in Turin or in its Metropolitan Area, 10% in Area, in its Metropolitan or in Turin stay decided to and 10% region in the provinces different in 3% the province, accommodation types of The most selected outside Piemonte. by followed sold), nights total 19,000 with (63%, hotels were apartments (8%). and rental (14%) Bed & Breakfasts economic impact that the gross it is estimated In summary, final was League €17.5 Europe UEFA the 2013-2014 by generated the net benefit (€12.6million. Of this, 72% million) represents The industries area. most were the that benefited for the local (€2.6 (€5.4Accommodation million), Beverage & Food million), Shopping (€1.2 (€0.5 million) and Transports million), Leisure the by was generated (€0.2 the expenditure million). Overall, million), the media (€1.2 theby million) and (€8.7 spectators outside the (€2.6 of the event million). Expenditure production €4.9 totalled the total million, 28% of Area Metropolitan Turin (almost €3 ticketing UEFA amount. The main components were (€1.3 tickets million) and corporate million). went shopping, 23% went into clubs and 14% visited museums museums visited and 14% clubs went into 23% went shopping, shows. other cultural or attended 77%accommodation, of location the for As supporters of

in Turin for more than 1 day, 60% visited the city centre, 25% the city centre, 60% visited than 1 day, for more in Turin were visiting Turin for the first time. This important sport time. This important for the first visiting Turin were was produced and city the for showcase significant a event stayed of the spectators tourism. 44% of influx a remarkable Asia, 11% from South America and 13% from other continents. from South America and 13% from Asia, 11% 85% Turin, in resident on those not the analysis Focussing (Spain 33.1% and Portugal 32.6% of the audience), other other 32.6% of the audience), and Portugal (Spain 33.1% (5%). (19.8%) and Germany Italy from mainly were spectators 27% from Europe, came from 49% of the stadium audience The UEFA Europa League final, held on 14 May 2014 between 2014 between on 14 May final, held League Europa The UEFA 79 different from and S.L. FC spectators Sevilla Benfica, drew of the teams involved the nationality to countries. In addition significant example of the potential impact that an important impact that an important of the potential example significant and the generated of tourism such as this has in terms match economy. local at the international level is attested to by the fact that UEFA UEFA the fact that by to is attested level at the international as the host for the in Turin Stadium” the “Juventus selected a represents also final.event League This Europa 2013-2014 For the first time, ReportCalcio contains a section dedicated a section dedicated contains ReportCalcio time, the first For of Italian football calibre big event. The perceived a single to THE LEGACY OF THE 2013-2014 UEFA EUROPA LEAGUE FINAL LEAGUE EUROPA UEFA 2013-2014 OF THE LEGACY THE HIGHLIGHTS

CENSUS OF ITALIAN FOOTBALL

NATIONAL FOOTBALL TEAMS

AMATEUR AND YOUTH FOOTBALL

ECONOMIC PROFILE OF PROFESSIONAL FOOTBALL

TAX AND SOCIAL SECURITY CONTRIBUTION OF PROFESSIONAL FOOTBALL

INTERNATIONAL BENCHMARKING

STADIUMS, SPECTATORS AND SECURITY

GOVERNANCE MODELS IN PROFESSIONAL FOOTBALL

THE LEGACY OF THE 2013-2014 UEFA EUROPA LEAGUE FINAL

24 Executive Summary 25 CENSUS OF ITALIAN FOOTBALL

FIGC’s figures

2009-2010 2010-2011 2011-2012 2012-2013 2013-2014 CAGR 2009-2014 1,372,137 Clubs 14,690 14,653 14,451 13,908 13,652 -1.8% The aggregate amount of FIGC’s registered members, including 1,073,286 players, 23,474 coaches and other Professionals 132 127 119 111 111 -4.2% technical staff, 34,381 referees and 240,996 managers Amateurs 11,642 11,469 11,260 10,702 10,316 -3.0% Youth and School Sector 2,916 3,057 3,072 3,095 3,225 +2.5% Teams 69,908 71,689 70,329 60,210 62,295 -2.8% Professionals 484 470 455 475 468 -0.8% 1 out of 4 athletes Amateurs 17,157 17,020 16,570 15,658 15,521 -2.5% 25% of the total amount of registered athletes among Youth and School Sector 52,267 54,199 53,304 44,077 46,306 -3.0% the 45 Italian Sport Associations (FSN) affiliated to the Registered players 1,108,479 1,151,437 1,117,447 1,098,450 1,073,286 -0.8% Italian Olympic Committee (CONI) comes from the Professional Activity 14,476 14,477 13,894 12,907 13,062 -2.5% Italian FA, while 23% is the overall incidence related Professionals 3,517 3,329 3,240 2,951 2,930 -4.5% to the number of registered clubs among all FSN Young Professionals 10,959 11,148 10,654 9,956 10,132 -1.9% Amateur Activity 474,493 466,371 444,653 415,338 393,718 -4.6% Youth and School Sector 619,510 670,589 658,900 670,205 666,506 +1.8% 19 out of 20 Registered FIGC Staff 23,857 24,060 22,057 22,137 23,474 -0.4% The number of Italian regions where football is Coaches 22,310 22,476 20,445 20,510 21,792 -0.6% the sport with most registered players and with Athletic Trainers 263 244 289 327 340 +6.6% the highest number of clubs on the territory (Valle Doctors 577 627 573 579 543 -1.5% d’Aosta is the only exception) Health Professionals 707 713 750 721 799 +3.1% Referees 33,040 34,728 34,267 34,409 34,381 +1.0% National Technical Bodies 1,978 1,899 1,918 1,874 1,870 -1.4% 666,506 Regional and Sectional 31,062 32,829 32,349 32,535 32,511 +1.1% The amount of young players participating in Youth Technical Bodies and School Sector activities. Considering youth Managers 108,732 132,163 185,396 207,410 240,996 +22.0% activity, Italy is the fourth football movement in TOTAL registered members 1,274,108 1,342,388 1,359,167 1,362,406 1,372,137 +1.9% Europe, trailing only Germany, France and England

The significant increase of the number of “managers” is due to the implementation (since July 1, 2012) of the Decree related to Mandatory Insurance for all sport amateurs (dated November 3, 2010). The Decree has led to a higher number of so called “officials” (team and referee liaison officers, officials operating as partial umpires and substituting coaches in all situations provided for by law), in any case not related to other administrative roles such as “executives” and “sport management collaborators”.

Source: FIGC data up to June 30, 2014 26 1 Census of Italian football 27 % % % % % % % % % % % % % % % % 1.3 7.7 2.7 2.7 9.7 3.9 2.8 0.7 1.4 2.3 0.6 0.6 2.8 3.4 0.0 0.0 6 9 % 10 6 73 6,1 3,817 2 592,35 59 73 92 03 74 2013-2014 313 143 915 149 164 637 644 649 799 543 340 2,2 1,7 5,9 3,4 2 1 2 Registered % % % % % % % % % % % % % % % % Professional 33 2.1 1.3 34 3.4 8.9 0.3 4.6 0.5 0.2 0.4 0.9 9.0 0.3 0.0 4.2 4.2 0.0 1 1 4 9 % 5,3 10 3,899 601,4 60 2012-2013 37 17 79 86 05 83 70 24 80 40 04 94 275 739 389 349 5,3 1,0 2,7 9,3 1,6 3,6 2,7 8,2 3,3 1 3,4 0,5 3 7 8 Qualified 4 57 1,8 4,313 567,54 57 2011-2012 Amateur and Youth and School Sector and Youth Amateur 5 96 1,4 4,511 586,98 59 2010-2011 00 00 0,0 0,0

Coaches - Total coach Category First Pro UEFA coach A Second Category UEFA Category Third coach Futsal Director Technical trainer Youth B coach UEFA coach Level First Futsal coach Goalkeeper coach players Youth coach Amateur Doctor professional Health trainer Athletic TOTAL 61 MATCHES 40 Official matches Technical staff 2013-2014 staff Technical

Youth and Youth School Sector Professional Amateur OTN Bodies) (National Technical OTR Bodies) Technical (Regional OTS Bodies) (Sectional Technical 7,836 (23%) (37%) 393,718 86 (5%) 1,870 3,2 (1%) 13,062 (72%) 24,675 7 (62%) 666,506 34,381 1,0

Source: FIGC - LND Source: Registered referees 2013-2014 referees Registered

Registered players 2013-2014 players Registered CENSUS OF ITALIAN FOOTBALL ITALIAN OF CENSUS CENSUS OF ITALIAN FOOTBALL

Regional distribution of registered players 2013-2014 Number of inhabitants per registered football player

Regional Youth and Professional Amateur population/ School Total Population Activity Activity registered players Less than 40 Sector ratio Between 41 and 50 Between 51 and 60 Abruzzo 517 14,702 16,041 31,260 1,312,507 42 More than 60 Basilicata 87 5,810 5,442 11,339 576,194 51

Calabria 492 13,295 18,698 32,485 1,958,238 60

Campania 1,384 24,023 49,754 75,161 5,769,750 77

Emilia Romagna 1,690 29,750 43,295 74,735 4,377,487 59

Friuli V. Giulia 122 10,629 16,692 27,443 1,221,860 45

Lazio 615 34,291 61,854 96,760 5,557,276 57

Liguria 651 9,657 18,051 28,359 1,565,127 55

Lombardia 2,203 65,830 120,245 188,278 9,794,525 52

Marche 176 20,314 23,431 43,921 1,545,155 35

Molise 0 4,588 3,738 8,326 313,341 38

Piemonte 1,017 23,663 48,908 73,588 4,374,052 59

Puglia 496 11,328 35,943 47,767 4,050,803 85

Sardegna 183 15,437 21,165 36,785 1,640,379 45

Sicilia 501 20,226 33,963 54,690 4,999,932 91

Toscana 1,327 26,896 53,633 81,856 3,692,828 45

Trentino - A. Adige 102 12,868 12,718 25,688 1,039,934 40

Umbria 395 9,749 12,700 22,844 886,239 39

Valle d’Aosta 0 923 1,531 2,454 127,844 52

Veneto 1,104 39,739 68,704 109,547 4,881,756 45

TOTAL 13,062 393,718 666,506 1,073,286 59,685,227 56

Source: FIGC - LND 28 1 Census of Italian football 29

5% 4% 8% 6% 0% 0% 4

1.5

9.1 2.5 3.0 9.7 4.9 14 1 2 1 2 1 2 Incidence Oceania

TOTAL 9,793 34

2013-2014:

38 72 82 97 39 59 69 North America 1,6 7,8 4,3 7,5 2,9

4,4 Italian

59 3 58 58 88 88 113

3,5

population 400 2013-2014 Central Central TOTAL America 9,969

2012-2013:

687 12 481 62 76 88 47 09 South 1,7 0,1 6,3 2,5 America 5,5 6,3 11 11 13 19

14 players

69

Registered Registered 673 660 Asia

2012-2013 68 3,1

82 3,2

Africa

14 5,1

94 5,0 Europe 0

00 5-7 years 5-7 years 8-10 years 11-12 years 13-14 years 15-16 TOTAL PLAYERS REGISTERED 6,0

Foreign minors registered for the first time for the Italian FA in time for the Italian for the first registered minors Foreign - Geographical origin 2013-2014 The incidence of the youth male registered football players on the Italian population for age group - Figures updated on June updated - Figures group on the Italian population for age football players registered male The incidence of the youth 2014 30, Male youth football players (5-16 years old) years (5-16 players football youth Male

623

520 TOTAL 513 Young 53,805 2013-2014: Professionals 2013-2014

5-8 years5-8 years 8-10 years 10-12 years 12-14 years 14-16 years 16-19 37,750

35,829 34,809 Youth and Youth 2012-2013 School Sector School Sector

(23%) 192,461

14,712

14,292 14,096 2011-2012 (14%) Amateurs 112,660

(18%) 147,707 720

824,238 684 786 (14%) 118,070 Professionals (17%) 138,725 (14%) 0 114,615 00

40,0 REGISTERED PLAYERS PLAYERS REGISTERED Source: FIGC Source: Registered foreign players foreign Registered

Youth activity by cluster 2013-2014 cluster by activity Youth CENSUS OF ITALIAN FOOTBALL ITALIAN OF CENSUS NATIONAL FOOTBALL TEAMS

National Teams matches 2013-2014

30 26 Total matches 5 171 21 18 5 15 7 13 7 13 MATCHES 11 3 12 10 4 2 4 2 8 4 1 7 3 7 4 5 6 16 2 2 6 1 3 4 3 10 5 2 10 10 6 5 6 6 6 3 2 3 3 2 0 1 2 M-A M-U. 21 M-U. 20 M-U. 19 M-U. 18 M-U. 17 M-U. 16 M-U. 15 W-A W-U. 19 W-U. 17 Futsal A Futsal U. 21 Beach Soccer

Victories Draws Defeats

National Teams 2013-2014 - Men’s 11-a-side National Teams results Women’s National Teams results 2013-2014 Aggregate results 2013-2014

46 24 (27%) (27%) 13 (33%)

171 86 89 41 39 17 matches (50%) matches (46%) matches (44%)

39 24 (23%) (27%) 9 (23%)

Victories Draws Defeats

Source: FIGC - National Teams Area 30

2 National Football Teams 31 Slovenia

5.5

2 Croatia

5.6

2 Netherlands

5.8

2 Italy

28.0 Ukraine 5,000 The Italians who went Antwerp for the to - 2,000tournament for the final solely 90,751 at the attendance Total (20tournament matches)

28.1 Czech Rep. Czech

8.1

2 Spain

8.3

2 Belgium

8.6

2 Russia

8.9

2 Romania

9.0

2 Portugal

0.6

event (+28% from the 2012 from (+28% event edition) 28,557 for attendance Overall of the Italian the matches National Team 26.44 million TV of the audience Total 3 Azerbaijan 1.4 3

5.0 0.0 3 (YEARS) AGE AVERAGE

Average age of the National Teams participating in the 2014 UEFA the 2014 UEFA participating in National Teams of the age Average in Antwerp EURO FUTSAL Slovenia

4 10

55% 93% 95% 26% 86% Portugal

Capacity 5 9

utilisation Croatia 3 11 25 33 52 98 49 EURO in EURO

1,5 3,2

6,8 3,2 3,6 1 2 Rep. Czech 12

Attendance FUTSAL Azerbaijan

2 12 Stadium Netherlands

Players coming from the domestic championship coming from Players

1 Sportpaleis Sportpaleis Sportpaleis 13 Lotto Arena Lotto Arena Lotto 2 - 1 Italy 3 - 1 2 - 3 3 - 4 0 - 7 1 13

Result Belgium

1 13 Romania Match 1 13

Italy - Russia Italy Italy - Croatia Italy Italy - Slovenia Italy Ukraine Portugal - Italy Portugal

Azerbaijan - Italy Azerbaijan 14 Team fixtures at the 2014 UEFA at the 2014 UEFA fixtures Team Spain

14 final Final stage stage Group Group Group Group

Phase

Quarter Quarter Players coming from foreign championships foreign coming from Players Semifinal Russia 14

0 14

08/02/14 06/02/14 02/02/14 04/02/14 29/01/14 Date NUMBER OF CALLED-UP PLAYERS CALLED-UP OF NUMBER Source: Analysis by FIGC - Study and Research Division with data provided by UEFA and FIGC - National Teams Area and FIGC - National Teams UEFA by Division with data provided FIGC - Study and Research by Analysis Source: Composition of the National Teams roster participating in the 2014 participating in the 2014 roster Composition of the National Teams in Antwerp FUTSAL EURO UEFA

National Futsal National Antwerp NATIONAL FOOTBALL TEAMS FOOTBALL NATIONAL NATIONAL FOOTBALL TEAMS

Italian National A Team matches during the FIFA World Cup 2014 119,791 39,930 97.29% 14.9 m 68.36% Total spectators Average attendance per Average utilisation of Average audience per Average share per match (3 matches) match stadium capacity match

Italian National A Team matches during the FIFA World Cup 2014 Average TV audience in Italy - Major Events 2014

18 Date Match Result Scorers City Stadium Attendance Audience Share 16.0 15.9

35' Marchisio (I) 14.0 Arena da 14/06/14 England- Italy 1 - 2 37' Sturridge (E) Manaus 39,800 12,769,859 70.46% 12.8 Amazônia 12.5 50' Balotelli (I)

Arena 20/06/14 Italy - Costa Rica 0 - 1 44' Ruiz (C) Recife 40,285 15,871,643 67.19% Pernambuco MILLION VIEWERS

Arena das 24/06/14 Italy- Uruguay 0 - 1 81' Godín (U) Natal 39,706 16,040,215 67.92% Dunas

TOTAL 119,791 44,681,717

0

AVERAGE 39,930 14,893,906 68.36% FIFA WC 2014 FIFA WC 2014 FIFA WC 2014 FIFA WC 2014 Sanremo Music Italy-Uruguay Italy-Costa Rica Germany-Argentina England-Italy Festival - 64th (24/06/2014) (20/06/2014) (13/07/2014) (14/06/2014) Edition (18/02/2014)

Note: The data relates to the average audience of the Italian National Team matches registered on Source: Analysis by FIGC - Study and Research Division from different sources free-to-air tv 32 2 National Football Teams 33 100% 16% 39% 38% 59% 74% Western Europe Western EEMEA Latin America North America APAC Other official FIGC-PUMA products Other official FIGC-PUMA % 84% 46% 61% 62% 7% PUMA match kit (replica) PUMA match 41% 10% 26% 12% 25% 0 UK USA UAE Italy France Official FIGC-PUMA merchandising: 2014 net sales per product per 2014 net sales Official FIGC-PUMA merchandising: 5 markets type in the top Official FIGC-PUMA merchandising: net sales per geographical per sales net merchandising: FIGC-PUMA Official in 2014 regions 25%

23%

22% 51% 49%

2014

77% 23% 2013

16%

57% 43% 2012

Other official FIGC-PUMA products Other official FIGC-PUMA

67% 33% 2011 Net sales (%)

8%

56% 6% 44% 2010 5%

4% 4% 4% 4%

3% 76%

PUMA match kit (replica) PUMA match 24%

2009

48% 0% 52% 2008 UK

USA UAE Italy Brazil France Mexico Canada

PRETAG* Germany

0% % 80%

PRETAG: PUMA organisation managing all PUMA stores in Europe managing all PUMA stores PUMA organisation PRETAG: NATIONAL FOOTBALL TEAMS FOOTBALL NATIONAL Official FIGC-PUMA merchandising: top 10 markets in 2014 10 markets top merchandising: FIGC-PUMA Official Source: Analysis by FIGC - Study and Research Division based on PUMA figures FIGC - Study and Research by Analysis Source: Official FIGC-PUMA merchandising: net sales per product type per net sales Official FIGC-PUMA merchandising: Other nations AMATEUR AND YOUTH FOOTBALL

Amateur clubs Amateur teams 14,558 14,526 14,332 15,000 13,797 13,541 80,000 69,424 71,219 69,874 2,916 3,057 3,072 61,827 3,095 3,225 59,735

52,267 54,199 53,304 46,306

CLUBS 44,077 TEAMS 11,642 11,469 11,260 10,702 10,316

17,157 17,020 16,570 15,658 15,521 0 0 09-10 10-11 11-12 12-13 13-14 09-10 10-11 11-12 12-13 13-14

Youth and School National Amateur Youth and School National Amateur Sector Activity League Activity Sector Activity League Activity

Amateur registered players Official matches

1,136,960 1,200,000 1,094,003 1,103,553 610,000 1,085,543 1,060,224 601,434

592,356 586,985 619,510 670,589 658,900 670,205 666,506

MATCHES 567,544 REGISTERED PLAYERS

474,493 466,371 444,653 415,338 393,718

0 550,000 09-10 10-11 11-12 12-13 13-14 10-11 11-12 12-13 13-14

Youth and School National Amateur Sector Activity League Activity

Note: The 10,316 National Amateur League clubs refer to the 2013-2014 official activity. In addition, there are 452 clubs involved in recreational and Beach Soccer activity, for a total amount of0,7 1 68 clubs.

Surce: FIGC - LND 34 3 Amateur and youth football 35

84 6,7 96 8 1,3 3,3 Amount € Amount € 9 Withholding taxes on taxes Withholding and assimilated wages income employment tax from Withholding independent contractors, commissions and other earnings Iva due Iva 71 Irap due Frequency 29 (52%) 63 €285,548 Frequency 3,6 0 5,3 Amount € 1 75 50 6,5 4 3,2 Taxable base Taxable Amount 71 2,3 Total € Frequency Frequency € 55 12 4,1 Taxable base Taxable 6 29 0,2 Amount (48%) Frequency € 3 €267,727 Revenues Serie D tax contribution from withholding taxes - Break taxes withholding Serie D tax contribution from 2012 year type - Tax down by 72 Frequency 165 subjects Number of 54 86 32 0,2 4,6 4,4 € 0 165 Amount € 3 € 17 subjects € 14 Number of Ires due Ires 0 13 57 70 Frequency 73 32 59 7,1 8,2 8,8 € 0 Amount € 12 € 53 € 66 Irap - Regional Tax Irap - Regional Iva - Value added Tax added Tax - Value Iva Taxable base Taxable 0 Taxable income and Irap (Regional Tax) distribution among Serie D football clubs - Serie D football clubs distribution among Tax) income and Irap (Regional Taxable 2012 year Tax Taxable income and Iva (Value added Tax) distribution among Serie D football clubs - clubs Serie D football among distribution added Tax) (Value and Iva income Taxable 2012 year Tax 13 57 70 Frequency 31 74 57 5,0 5,0 9 9 9,9 € 0 4,7 Amount 4,8 € 9 € € Losses 5 0 32 37 Ires - Corporate income Tax - Corporate Ires Added Tax Iva - Value Tax - Regional Irap taxes Withholding Frequency 40 73 67 3,7 8,2 2,0 € 0 Amount € 18 € 53 € 72 Earnings 0 15 57 72 41 Frequency 6,1 (4%) 0 €174,686 (81%) 51 75 39 165 € 3,386,784 € 3,386,784 Total subjects Number of 4,2 (13%) € € 553,275 (2%) € 91,396

TOTAL “Mod Unico” form “Mod Unico” for corporations No form “Mod. Unico” form “Mod. Unico” for non commercial entities Submitted form for Submitted tax return Note: During the 2012 tax year (corresponding to the 2012-2013 Sport Season), out of 165 clubs participating in Serie D, 75 submitted the “Modello Unico” form for non commercial entities, 51 the “Modello Unico” for corporations, and 39 did not submit any “Modello “Modello did not submit any and 39 for corporations, Unico” entities, 51 the “Modello form for non commercial Unico” the “Modello submitted 75 in Serie D, participating Sport Season), out of 165 clubs the 2012-2013 to (corresponding During the 2012 tax year Note: base and the subsequent tax due. in the assessment of the taxable consideration into the number of subjects taken to “frequency” refers The word remunerations. to form related the “770” all the subjects submitted form. On the contrary, Unico” MEF - Department by of Finance Division with data provided FIGC - Study and Research by Analysis Source: clubs - Tax year 2012 year - Tax clubs Note: Serie D is the Italian football Top Amateur Division Amateur Serie D is the Italian football Top Note: D football distribution among Serie income Tax) (Corporate income and Ires Taxable

Serie D - Total tax contribution by type - Tax year 2012 year type - Tax by tax contribution - Total Serie D AMATEUR AND YOUTH FOOTBALL FOOTBALL YOUTH AND AMATEUR ECONOMIC PROFILE OF PROFESSIONAL FOOTBALL 2013-2014

SERIE A SERIE B LEGA PRO 1st DIVISION LEGA PRO 2st DIVISION

Sample: 20 of 20 Sample: 19 of 22 Sample: 31 of 33 Sample: 24 of 36

Key figures/Ratios 13-14 Key figures/Ratios 13-14 Key figures/Ratios 13-14 Key figures/Ratios 13-14

Value of production € 2,299 m Value of production € 289 m Value of production € 102 m Value of production € 37 m

Operating costs (€ 1,902 m) Operating costs (€ 285 m) Operating costs (€ 121 m) Operating costs (€ 49 m)

Ebitda € 397 m Ebitda € 4 m Ebitda (€ 19 m) Ebitda (€ 12 m)

Depreciation & Depreciation & Depreciation & Depreciation & (€ 537 m) (€ 77 m) (€ 20 m) (€ 3 m) Amortisation Amortisation Amortisation Amortisation

Ebit (€ 140 m) Ebit (€ 73 m) Ebit (€ 39 m) Ebit (€ 17 m)

Extraordinary & Extraordinary & Extraordinary & Extraordinary & Financial income (€ 11 m) Financial income (€ 5 m) Financial income € 1 m Financial income (€ 1 m) (costs) (costs) (costs) (costs)

Ebt (€ 150 m) Ebt (€ 77 m) Ebt (€ 39 m) Ebt (€ 17 m)

Taxes (€ 35 m) Taxes € 3 m Taxes (€ 1 m) Taxes (€ 0 m)

Net result (€ 186 m) Net result (€ 74 m) Net result (€ 40 m) Net result (€ 17 m)

Players & coaches Players & coaches Players & coaches Players & coaches 58 % 75 % 75 % 79 % wages/Revenues wages/Revenues wages/Revenues wages/Revenues

Net equity/Total Net equity/Total Net equity/Total Net equity/Total 5 % 10 % 11 % 9 % assets assets assets assets

Financial debt/Total Financial debt/Total Financial debt/Total Financial debt/Total 37 % 23 % n/a n/a debt debt debt debt

Source: PwC analysis

36 4 COSTS/REVENUES RELATION PER CLUB 2013-2014 (SERIE A,B AND LEGA PRO) Economic profile of professional football

Serie A – Costs/revenues relation per club 2013-2014 Serie B – Costs/revenues relation per club 2013-2014

400 70

200 35 VALUE OF PRODUCTION (€ MILLION) OF PRODUCTION VALUE (€ MILLION) OF PRODUCTION VALUE

0 0 150 300 50 100 COST OF PRODUCTION (€ MILLION) COST OF PRODUCTION (€ MILLION)

Lega Pro 1st Division – Costs/revenues relation per club 2013-2014 Lega Pro 2nd Division– Costs/revenues relation per club 2013-2014

12 4

6 2 VALUE OF PRODUCTION (€ MILLION) OF PRODUCTION VALUE VALUE OF PRODUCTION (€ MILLION) OF PRODUCTION VALUE

0 0 9 18 3.5 7 COST OF PRODUCTION (€ MILLION) COST OF PRODUCTION (€ MILLION)

Clubs registering a net profit Clubs registering a net loss

Note: For the purpose of this analysis, value of production includes all the positive items registered in the clubs’ P&L, whilst cost of production includes all the negative ones Source: PwC analysis 37 AGGREGATED NET RESULT 2013-2014 (SERIE A,B AND LEGA PRO)

Change in net result from 2012-2013 to 2013-2014

INCREASE (DECREASE) IN REVENUES DECREASE (INCREASE) IN COSTS

0

€ MILLION 63 8 0 (1) (2) (28) (311) (12) (15) (317) (21)

(400) 12-13 Net result Gate receipts Commercial & Sponsor Broadcasting Other revenues Lease & Service costs Employee costs Other costs D & A Taxes and other 13-14 Net result

€ 221 € 1,016 € 1,456 € 637 million million million million Aggregated 2013-2014 gate Aggregated 2013-2014 Aggregated 2013-2014 Aggregated 2013- receipts broadcasting revenues employee costs 2014 depreciation and (+0.2%) (-2.0%) (+0.1%) amortisation (+4.6%) Note: ReportCalcio 2015 includes data from the financial statements of 498 clubs, or 83% of all professional clubs, throughout the five year period referring to seasons 2009-2010 / 2013-2014. Financial data not reviewed by ReportCalcio relates to clubs that were not required to submit their financial statements due to exclusion or non-admission to the competitions Source: PwC analysis 38 4 AGGREGATED ECONOMIC RESULTS 2009-2014 (SERIE A,B AND LEGA PRO) Economic profile of professional football +1.3% Aggregated economic results 2009-2014 3,500 Cagr 2009-2014 cost of production 2,838 2,892 3,018 2,972 2,994

2,506 2,486 2,660 2,696 2,727

+2.1% € MILLION Cagr 2009-2014 value of 0 production (347) (430) (388) (311) (317) (1,000) 09-10 10-11 11-12 12-13 13-14

-2.2% Cost of production Value of production Net result Cagr 2009-2014 net loss +7.1% Aggregated net equity and total debt 2009-2014 4,000 Cagr 2009-2014 total debts 3,686 3,436 3,402 3,189 2,797

-9.4% € MILLION Cagr 2009-2014 net equity 406 202 287 293 273 The Cagr (Compound Annual Growth Rate) is the year-over-year 0 growth rate of a value over a specified period of time. 09-10 10-11 11-12 12-13 13-14

Net equity Total debt

Source: PwC analysis 39 THE IMPACT OF SPORTING PERFORMANCE

Average income statement impact per club Number of Gate receipts Broadcasting Solidarities Value of Employee cost Cost of production EBITDA Net result cases production 2009-2014

A Average impact of the 4 + € 5.0m + € 20.2m + € 0.3m + € 50.1m + € 11.0m + € 20.1m + € 36.4m + € 20.2m participation to UEFA Champions League

Avarege impact of the Not B 8 + € 2.5m + € 5.0m + € 1.2m + € 19.6m + € 10.1m + € 18.4m + € 3.8m + € 3.6m participation to UEFA Europa qualified League

C Avarege impact of the promotion 15 + € 1.7m + € 16.5m - € 1.0m + € 22.0m + € 6.7m + € 12.1m + € 3.9m + € 2.0m from Serie B to Serie A

Avarege impact of the promotion D from Lega Pro 1st Div. to Serie B 19 + € 0.3m + € 1.2m + € 1.8m + € 5.1m + € 1.6m + € 3.0m - € 0.0m - € 0.2m

Avarege impact of the promotion E nd st 36 + € 0.6m + € 0.7m - € 0.0m - € 0.2m from Lega Pro 2 Div. to 1 Div.

Average balance sheet impact per club Number of cases Player registrations Co-ownerships Receivables Cash and cash Net equity Total debt 2009-2014 (art. 102 NOIF) equivalents A Average impact of the 4 + € 10.6m + € 0.3m + € 15.1m + € 7.7m + € 1.0m + € 31.5m participation to UEFA Champions League

Avarege impact of the Not B 8 + € 6.7m - € 1.5m + € 7.2m + € 0.9m + € 3.9m + € 3.9m participation to UEFA Europa qualified League

Number of cases 2009-2014 Fixed assets Working capital Net equity Total debt

Avarege impact of the promotion 15 + € 10.2m + € 6.7m - € 1.3m + € 16.5m C from Serie B to Serie A

Avarege impact of the promotion 19 + € 1.9m + € 2.1m + € 0.6m + € 3.5m D from Lega Pro 1st Div. to Serie B

Avarege impact of the promotion 36 + € 0.1m + € 0.3m - € 0.0m + € 0.4m E from Lega Pro 2nd Div. to 1st Div.

Source: PwC analysis 40 4 SERIE A KEY RESULTS Economic profile of professional football

Gate receipts breakdown 2009-2014 Sponsorship revenues breakdown 2013-2014

CAGR 09-14: 250,000 -4.0% €226.7m 14% €208.3m €186.4m €189.7m €192.3m 91,939 81,342 79,569 83,310 83,638 € 223.7 30,039 23% 35,553 22,681 million € THOUSAND 16,100 15,086 63% 104,684 91,437 86,974 90,952 90,084

0 09-10 10-11 11-12 12-13 13-14

National, friendly and youth competitions International competitions Seasonal tickets Official sponsor Technical sponsor Other sponsors

Average profits on disposal of players by cluster 2013-2014 Total employee cost and registered players and coaches wages over revenues 2009-2014

60 70% 69% 69% 68% 43.1 65% 65% 65% 64% 64%

Serie A % average: € MILLION €22.2m 60% 20.6 18.0 58%

11.1 55% 0 09-10 10-11 11-12 12-13 13-14 1°-3° 4°-7° 8°-17° 18°-20° Employee cost over revenues Registered players and coaches wages over revenues

Source: PwC analysis 41 SERIE A KEY RESULTS

Total assets breakdown 2013-2014 Net Equity 2009-2014

400 354.1 1%

€ MILLION 09-10 10-11 11-12 12-13 13-14 CAGR 09-14: -13.5 % 254.1 31% Player registrations 1,062.5 1,023.2 1,198.6 1,105.7 1,121.6 Other fixed assets 681.8 907.9 930.0 968.9 1,1014.3 197.9 40% Current assets 1,103.5 1,121.5 1,305.9 1,045.6 1,442.0 € MILLION 208.4 Other assets 187.9 35.4 36.2 42.4 35.1 150.3 Total assets 3,035.7 3,088.0 3,470.7 3,522.6 3,612.9

28%

0 09-10 10-11 11-12 12-13 13-14

Total liabilities breakdown 2013-2014 Total debt breakdown 2009-2014

3,100 446.2 480.3 5% 5% 533.1 102.4 3% 480.0 95.3 98.3 41.2 663.0 € MILLION 9-10 10-11 11-12 12-13 13-14 683.8 687.7 676.8 561.3 Net equity 354.1 150.3 208.4 254.1 197.9 261.8 158.7 250.7 Provisions and Severance indemnities 134.0 120.1 122.0 121.2 123.8 224.4 242.7 291.4 490.4 € MILLION Debts 2,332.0 2,658.7 2,892.3 2,946.7 3,093.3 489.5 423.7 408.1 Other liabilities 215.6 158.9 248.0 200.6 197.9 232.2 343.1 Total liabilities 3,035.7 3,088.0 3,470.7 3,522.6 3,612.9 1,129.3 86% 928.1 933.3 947.1 619.1 0 09-10 10-11 11-12 12-13 13-14

Tax liabilities/social Financial debt Trade receivables security liabilities Debts towards Inter-company Other debts other football clubs liabilities Source: PwC analysis 42 4 SERIE B KEY RESULTS Economic profile of professional football

Average per club gate receipts breakdown 2009-2014 Average per club sponsorship revenues breakdown 2013-2014

CAGR 09-14: -6.4% 6% 1,400 € 1.1 m € 1.2 m 8% € 0.8 m € 0.8 m € 0.9 m 453 511 311 354 388 € 1.1

€ THOUSAND million 727 669 549 470 417

86% 0 09-10 10-11 11-12 12-13 13-14

National, friendly and youth competitions

Seasonal tickets Official sponsor Technical sponsor Other sponsors

Total debt breakdown 2009-2014 Average per club revenues from broadcasting rights Total employee cost and registered players and coaches wages over revenues 2009-2014 4,000 CAGR 09-14: -2.7% 3,534 95% 89% 2,462 85% 82% 82% 80%

1,833 % 1,698 84% 1,520 81% 77% 76% 75% € THOUSAND

65% 09-10 10-11 11-12 12-13 13-14

0 Employee cost over revenues Registered players and coaches wages over revenues 09-10 10-11 11-12 12-13 13-14

43 TAX AND SOCIAL SECURITY CONTRIBUTION OF PROFESSIONAL FOOTBALL

Comparison by type - Professional football 2006 2007 2008 2009 2010 2011 2012 € 1,023 Iva - Value added Tax 183,384,101 196,814,523 207,776,374 208,285,508 206,293,833 198,477,612 210,787,065 Ires - Corporate million 1,492,599 11,525,944 7,422,423 8,495,824 11,252,599 16,107,375 7,856,181 income Tax Aggregated tax and social Irap - Regional Tax 34,664,426 43,919,930 43,859,629 43,732,026 39,738,046 40,829,526 41,559,812 security contribution of professional football in 2012 Withholding Tax 399,136,527 447,571,551 505,425,472 524,318,578 553,879,364 543,856,113 524,877,353 (-1.0% compared to 2011) Enpals - Social 74,195,779 84,421,864 92,360,517 89,470,737 92,499,798 92,369,728 99,482,066 security contribution TOTAL 692,873,432 784,253,812 856,844,415 874,302,674 903,663,641 891,640,354 884,562,477 51% Betting 171,664,767 141,580,856 176,683,476 155,080,592 166,103,679 142,108,217 138,353,571 Proportion of the contribution

TOTAL 864,538,199 925,834,668 1,033,527,891 1,029,383,266 1,069,767,320 1,033,748,571 1,022,916,048 related to the withholding tax (€ 524.9 million) Data in € Comparison by League - Professional football Professional football - Aggregate 2006-2012

1,000.0 903.7 891.6 884.6 2.0% 856.8 874.3 13.9 18.4 34.2 14.9 18.2 18.6 45.2 42.1 47.6 784.3 48.8 5.1% 20.9 141.1 128.2 118.5 692.9 47.2 116.5 118.8 15.2 15.6% 34.7 116.3

178.2 Serie A € 5.9 Serie B Lega Pro 1st Division Lega Pro 2nd Division € MILLION 672.9 691.9 714.5 706.5 700.2 billion 599.9 464.8 77.3%

0.0 2006 2007 2008 2009 2010 2011 2012

Serie A Serie B Lega Pro 1st Division Lega Pro 2nd Division

Source: Analysis by FIGC - Study and Research Division with data provided by MEF - Department of Finance, Inps former Enpals and ADM 44 5 TAX AND SOCIAL SECURITY CONTRIBUTION OF PROFESSIONAL FOOTBALL Tax and social security contribution of professional football

Italian professional football aggregated data - Tax year 2012 Number of contributors - comparison by League

Average number of 12,000 Taxation classes per earnings Number of contributors per Earnings from employment 11,245 from employment (in euros) contributors 10,226 club 9,763 10,074 9,940 9,369 2,524 Frequency Amount Average 8,887 1,916 1,757 1,721 2,164 up to 5,000 2,069 19 2,047 4,509,806 2,203 1,901 2,189 2,610 2,285 2,232 2,082 between 5,000 and 15,000 2,734 25 2,734 25,113,669 9,186 2,138 1,976 2,177 between 15,000 and 35,000 2,103 19 2,103 47,503,679 22,589 2,218 2,426 2,276 2,251 2,066 between 35,000 and 60,000 896 8 896 40,786,668 45,521 2,457 1,879 NUMBER OF CONTRIBUTORS between 60,000 and 100,000 561 5 561 43,272,375 77,134 3,395 3,893 3,599 3,809 3,886 2,553 3,124 between 100,000 and 200,000 587 5 587 83,325,306 141,951 0 beyond 200,000 990 9 990 1,048,728,625 1,059,322 2006 2007 2008 2009 2010 2011 2012 TOTAL 9,940 90 9,918 1,293,240,128 130,393 Serie A Serie B Lega Pro 1st Division Lega Pro 2nd Division

Note: total amount and average data are expressed in euros. The word “frequency” refers to the number of subjects taken into consideration in the assessment of the taxable base and the subsequent tax due.

Employee’s earnings by geographical area - Tax year Comparison among taxation classes per earnings from employment 2012 Taxation classes per earnings from employments (in euros) 2006 2007 2008 2009 2010 2011 2012

15% up to 5,000 1,968 2,022 2,245 2,783 2,547 2,142 2,069 51% between 5,000 and 15,000 2,608 2,910 2,876 3,380 2,909 2,915 2,734

North-West between 15,000 and 35,000 1,980 2,006 1,992 2,183 2,041 2,121 2,103 € 1.3 North-East 19% Central between 35,000 and 60,000 671 658 705 825 751 841 896 billion South-Islands between 60,000 and 100,000 413 439 492 574 516 554 561 between 100,000 and 200,000 397 435 513 530 496 534 587 15% beyond 200,000 850 899 940 970 966 967 990 TOTAL 8,887 9,369 9,763 11,245 10,226 10,074 9,940

Source: Analysis by FIGC - Study and Research Division with data provided by MEF - Department of Finance 45 TAX AND SOCIAL SECURITY CONTRIBUTION OF PROFESSIONAL FOOTBALL

Net income and fiscal charge from a € 100,000 taxable income Maximum tax rate on earnings of persons, companies and value added

100,000 Net income MAXIMUM EARNING MAXIMUM VALUE MAXIMUM VALUE 00 TAX RATE ON COMPANIES ADDED TAX RATE ADDED TAX RATE 88 28 41 20 88 67 56 03 3,0 80 70 1 2,3 30 20 7,6 4,4 7,0 8,8 2 16

2,3 Fiscal charge 2,4 2 2 2 5,0 2 5,8 6,1 3 France 75% 33% 20% 3 3 9,0 3 0,2 3 3 5,4

4 Portugal 53% 31.50% 23% 4 53% 52% 52% Spain 52% 30% 21% Netherlands 52% 25% 21% 00 € 00 Germany 47.48% 15.80% 21% 12 72 0,0 59 80 7,0 12 33 97 44 Italy 46% 27.50% 22% 8 20 30 10 7,6 70 1,1 5,5 2,3 80 2,9 7 7,5 7 7,6 84 7 4,9 7 Australia 45% 30% 10% 7 4,1 6 3,8 6 6 0,9 6 9,7 6 6

5 UK 45% 23% 20% 4,5 5 Greece 42% 26% 23% South Africa 40% 28% 14% USA 39.60% 35% 8.25% 0 Turkey 35% 20% 18% UK USA Italy Brazil 27.50% 34% 25% Brazil Spain Qatar Russia Turkey France Greece

Portugal Russia 13% 20% 18% Australia Germany

South Africa Qatar 0% 10% 0% Netherlands Net income and fiscal charge from a € 2,000,000 taxable income 75% 0% 2,000,000 Net income 00 27 67 03 80 70 40 98 17 10 17 30 Maximum income tax rate Qatar relieves natural persons 70 0,0 6,9 7,4 1,8 41 5,0 6,6 2,1 1,6 2,2 3,1 Fiscal charge 6,2 26 3,4 54 2 8,4 69 75 79 88 3 on natural persons in France from any tax on wages 91 88 0,6 88 8 92 8 1,0 1,0 1,0

1,1 (for incomes over one million 53% 52% 52% euros) 00 € 00 0,0 73 33 97 20 0 0,0 30 83 02 60 90 4 3,0 2,5 70 3,3 4,9 83 5 8,1 2,0 30 8,3 0 7,7 7,8 1,7 4 1 0 3,7 59 1 1 8 7 6,8 6,5 1,4 1,1 1,5 1,3 1,2 1,2 1,1 1,1 9,3 1,0 97 1,0 96 91 81 13% 35% 0 Income tax rate on natural Maximum income tax rate on UK USA Italy persons (sport professionals) companies in USA (for earnings Brazil Spain Qatar Russia Turkey France Greece Portugal Australia Germany in Russia over 18.3 million dollars) South Africa Netherlands

Note: Data up to December 31, 2014

Source: Analysis by FIGC - Study and Research Division and Sports & Co. Piacenza 46 5 TAX AND SOCIAL SECURITY CONTRIBUTION OF PROFESSIONAL FOOTBALL Tax and social security contribution of professional football

Tax and social security contribution of professional football 2012* 2,000 +28% The growth of tax and social 1,567 security contribution of Italian professional football between 2006 and 2012

885 851

€ MILLION 700 € 1,567 0 Italy England Germany France million *Data refers to the fiscal year 2012 for Italy and the sporting season 2012-2013 for England, Germany and France Tax and social security contribution of professional football in England in 2012- Comparison between tax and social security contribution of professional football 2013

1,600

1,552 1,567 1,318 € +301 1,186 1,124 1,055 1,086

874 904 892 885

€ MILLION 851 784 857 million 693 797 666 684 700 719 Increase in absolute figures 550 700 687 of the aggregated level of 570 570 601 622 505 contribution of German 200 professional football between 2006 2006-2007 2007 2007-2008 2008 2008-2009 2009 2009-2010 2010 2010-2011 2011 2011-2012 2012 2012-2013 2006-2007 and 2012-2013

Italy England Germany France

Source: Analysis by FIGC - Study and Research Division from different sources 47 INTERNATIONAL BENCHMARKING

European football Top Division clubs income statement 2006 2007 2008 2009 2010 2011 2012 2013 € 15.0 Broadcasting 2.8 3.5 4.0 4.2 4.5 4.8 5.5 5.9 Annual percentage growth rate +24.7% +13.4% +3.9% +8.6% +6.9% +13.9% +7.3% billion Sponsorship and advertising 2.4 2.7 2.8 3.0 3.2 3.3 3.3 3.6 Total revenues of the 729 clubs Annual percentage growth rate +10.5% +4.7% +5.8% +6.1% +4.2% -0.4% +9.1% participating in the 54 Top Gate receipts 2.1 2.5 2.5 2.5 2.6 2.5 2.5 2.5 Divisions across Europe in 2013

Annual percentage growth rate +19.7% +3.2% -1.2% +3.7% -2.6% -1.5% 0.0% Commercial and other income 1.7 1.9 2.0 2.1 2.5 2.5 2.8 3 64% Annual percentage growth rate +10.8% +5.2% +3.9% +20.3% +0.6% +12.4% +7.1% Incidence of employee costs on Total revenue* 9.0 10.6 11.4 11.7 12.8 13.2 14.1 15.0 total revenues in 2013 (versus Annual percentage growth rate +17.1% +7.4% +3.2% +9.0% +3.0% +7.1% +6.4% 54% in 2006)

Employee costs 4.9 6.2 7.1 7.5 8.2 8.6 9.2 9.6 Annual percentage growth rate +26.7% +14.0% +6.0% +9.0% +5.0% +7.4% +4.3% € -0.8 Net trasfer expenses** 0.5 0.4 0.3 0.5 0.9 0.8 0.6 0.6 Annual percentage growth rate -11.2% -22.7% +35.6% +104.2% -12.4% -26.6% 0.0% billion Other costs*** 3.9 4.5 4.6 5.0 5.3 5.5 5.4 5.6 Total net loss in 2013, a Annual percentage growth rate +17.6% +0.7% +8.9% +6.4% +2.9% -1.1% +3.7% significant improvement if

Total costs 9.2 11.2 12.0 12.9 14.4 14.8 15.2 15.8 compared to 2011 (€ -1.7 billion)

Annual percentage growth rate +20.9% +7.1% +7.9% +11.4% +3.1% +2.4% +3.9% Net result -0.2 -0.6 -0.6 -1.2 -1.6 -1.7 -1.1 -0.8 +5.7% Data in € billion *Revenue consists of all income less the following investing and financing results: profits or income on transfer dealings, gains or income on the sale of other assets, gains or income on the sale of financial Average annual growth of total investments, financial interest, tax income or credits. **This comprises the combination of players’ amortisation and depreciation minus the net balance between profit and losses from players trading revenues in the 2008-2013 ***This comprises other operating costs and non-operating expenses (such as net finance costs, taxes and net gains and losses from sales of assets other than players) timeframe, in comparison with In each financial year, the missing figures of few clubs were estimated based on comparative information related to previous years income statements and in comparison with other clubs of the same country. In 2013, such estimates were made for 27 out of the 729 clubs taking part in the 54 European Top Leagues (those clubs had only 1% incidence of the total amount) the European economy that didn’t exceed +1.0% Source: Analysis by FIGC - Study and Research Division with data provided by UEFA 48 6 International benchmarking 49 4% 31% 34% 30% SCO 10 33 37 27 93 93 47 20 40 40 1,7 1,7 3,3 3,8 7,8 3,2 8,0 9,8 7,9 0,2 8 Other income 5 6 6 0 15 30 96 44 58 15% 16% 26% 43% POR 1,8 2,0 1,7 3,1 € thousand 1,3 5% 21% 53% 22% NED TOTAL REVENUES TOTAL 17 91 55 34 97 24 59 92 9% 05 11% 09 30% 50% TUR 2,8 5,6 2,8 5,3 2,2 8,8 4,6 8,4 8,4 1 0,2 1 3 9 6 2 8 11 6 15 € thousand 3% 51% 10% 36% RUS Average total total Average revenues per club revenues 11% 20% 20% FRA 49% Sponsorship, advertising and commercial advertising Sponsorship,

ITA 21% 10% 10% 59% 5% 5% 5% 4% 4% 9% 15% 10% 36% 20% 5% Gate receipts ESP 23% 24% 48% % on total Average other other Average 14 52 53 22 47 24 87 48 86 5% 543 31% 41% 23% GER revenues per club per club revenues 1,1 3,1 1,7 9,1 2,7 5,2 2,8 6,4 1 4,5 2 € thousand Broadcasting 4% 21% 30% 45% ENG 51% 21% 31% 41% 53% 24% 26% 20% 30% 30%

0% % 100% % on total Incidence of the different sources of revenue - Top 10 Leagues in 2013 10 Leagues in Top - revenue of sources of the different Incidence 17 55 27 34 58 42 79 48 68 69 8,1 7,7 9,5 2,2 7,2 3,0 2,9 0,8 1 4,0 4,9 4 1 2 1 4 3 € thousand % % % % % 9.1 0.1 9.9 4.7 6.4 - + + + + Average sponsorship, advertising sponsorship, Average CAGR and commercial revenues per club revenues and commercial 3% 11% 11% 21% 21% 16% 23% 23% 34% 10% 3.6 5.0 2.5 5.9 3.0 per club 1 % on total 2013 51 Commercial and other incomes Commercial 21 31 13 23 77 36 89 86 03 5,1 1,6 9,2 3,0 1,3 4,4 7,4 3,0 3,6 6,4 3 2 2 € thousand Average gate receipts receipts gate Average 3.3 4.1 2.5 5.5 2.8 1 2012 31% 22% 43% 45% 10% 59% 48% 49% 50% 30% Gate receipts % on total 3.2 3.3 2.5 2.5 4.8 1 2011 75 55 27 42 79 02 20 80 40 60 revenues per club revenues 6,1 1,7 6,1 4,7 3,8 1,7 5,9 1,9 5,4 3 1 8,0 7 3 4 5 Average broadcasting broadcasting Average € thousand 2.8 3.2 2.6 2.5 4.5 1 2010 12 18 18 18 16 16 20 20 20 20 Sponsorship and advertising Sponsorship of clubs Number 1.7 2.1 2.5 3.0 4.2 1 2009

Broadcasting

€ BILLION € POR SCO RUS TUR NED ESP ITA FRA ENG GER 6.0 0.0 1 Note: Total revenues are net of profits and losses from players trading. Other revenues include donations, grants, solidarity payments and other extraordinary revenues. Economic and financial data from the Portuguese League refer to income statement analysis of 10 analysis to income statement refer League Portuguese from the Economic and financial data revenues. extraordinary and other solidarity payments donations, grants, include revenues Other trading. players losses from and net of profits are revenues Total Note: of other 6 clubs. and estimates clubs UEFA by Division with data provided FIGC - Study and Research by Analysis Source: Average and total revenues per club - Top 10 Leagues in 2013 - Top per club revenues and total Average

Comparison of total revenues - Top Division clubs - Top revenues of total Comparison INTERNATIONAL BENCHMARKING INTERNATIONAL INTERNATIONAL BENCHMARKING

Comparison of total costs - Top Division clubs CAGR Comparison between revenues and costs trends - Top Division clubs

16.0 +12% 15.2 15.8 +5.1% +11.4% 14.4 14.8 12.9 5.6 +3.0% +9.0% 5.4 5.5 5.3 +7.9% +7.1% 5.0 0.6 0.6 +6.4% 0.8 +7.0% 0.9

€ BILLION 0.5

VARIATION (%) VARIATION +3.9% 9.6 +3.2% 8.6 9.2 +3.1% +3.0% 8.2 +6.4% +2.4% 7.5

0.0 0% 2009 2010 2011 2012 2013 2009 2010 2011 2012 2013

Employee costs Net transfer expenses Other costs Annual percentage growth for total costs Annual percentage growth for total revenues

Average and total costs per club - Top 10 Leagues in 2013

Number Average employee costs Average operating Average non operating Average net transfer Average total costs per club TOTAL of clubs per club expenses per club expenses per club expenses per club COSTS

Incidence on Incidence on Incidence on Incidence on Incidence on € thousand € thousand € thousand € thousand € thousand € thousand revenues revenues revenues revenues revenues

ENG 20 108,351 68% 41,236 26% 7,237 5% 19,248 12% 176,072 111% 3,521,436 GER 18 59,740 52% 44,260 38% 3,090 3% 5,653 5% 112,744 97% 2,029,387 ESP 20 52,879 57% 27,011 29% 4,443 5% 3,085 3% 87,418 94% 1,748,358 ITA 20 59,078 67% 31,919 36% 2,418 3% 4,394 5% 97,809 111% 1,956,178 FRA 20 44,027 67% 18,443 28% 2,211 3% 1,682 3% 66,362 101% 1,327,244 RUS 16 42,726 71% 13,910 23% 1,050 2% 6,402 11% 64,088 106% 1,025,412 TUR 18 24,741 77% 10,222 32% 2,363 7% 3,795 12% 41,121 128% 740,177 NED 18 15,623 63% 11,106 45% 883 4% -2,356 -10% 25,257 103% 454,619 POR 16 13,311 71% 9,212 49% 3,342 18% -4,874 -26% 20,992 111% 335,875 SCO 12 7,356 57% 4,722 37% 146 1% -45 0% 12,179 95% 146,154

Note: Non operating expenses include net financial expenses, taxes and net gains and losses from sales of assets other than players. Net transfer expenses include players’ amortisation and depreciation minus the net balance between profits and losses from players trading. Economic and financial data from the Portuguese League refer to income statement analysis of 10 clubs and estimates of other 6 clubs.

Source: Analysis by FIGC - Study and Research Division with data provided by UEFA 50 6 International benchmarking 51

11 17 33 73 87 67 80 2.1 6.1 1.2 6.7 9.7 0.7 9.6 8.8 5.0 0.8 638 2 -633 -965 -1 2,9 2,1 9,3 7,6 8,8 5,4 3,8 -11 +4 - -39 -47 -12 - -26 - -23 -94 - 1,5 -1 - Data in € million 2010-2013 Data in € thousand Average net Average result - total - total result Aggregate net Aggregate result per club result 2.1 7.7 4.1 1.4 3.3 9.5 9.3 6.3 2.4 0.0

5 2013 -1 -3 -6 -1 10 31 75 58 -35 43 36 56 -18 86 69 04 06 -16 Total 6,3 4,1 1,3 7,6 3,3 2,0 9,9 net result net result 9,3 9,4 2,4 Aggregate Aggregate -1 -3 5 -1 -6 -18 10 -35 -15 net result 4.1 7.3 2.2 5.8 2.9 4.5 4.4 6.0 4.0 0.0 2 3 2012 -1 -8 -8 -22 -11 -12 -20 net result net result Aggregate Aggregate

12 18 18 18 16 16 20 20 20 20 1.3 6.1 3.7 7.2 7.6 3.3 0.7 8.6 9.4 0.6 - 3 2011 -4 -5 -5 -5 -14 -24 -31 -43 net result net result Aggregate Aggregate Number of Top Division clubs Division Top 5.1 1.8 7.9 9.9 0.5 2.0 2.0 6.4 8.0 4.0 - -9 -7 2010 -7 -3 -8 -6 -10 -24 -50 net result net result Aggregate Aggregate ESP GER SCO NED POR FRA RUS ENG ESP ITA FRA RUS TUR NED POR SCO TUR ITA ENG GER

Aggregate net result comparison - Top 10 Leagues comparison - Top net result Aggregate Average and total net result per club - Top 10 Leagues 2013 10 Leagues - Top per club net result total and Average INCIDENCE ON TOTAL REVENUES TOTAL ON INCIDENCE 1.2 2 ENG 1,5 - 0% -14% 9.7 ITA -94 % 0.8 6.1 5.3 - 2013 - RUS -47 2.1 TUR % -39 1.1 - 7.8 2012 - 6.7 FRA -26 % 0.8 1.7 POR 2.7 - 2011 -23 -1 Net result/revenues ratio Net result/revenues 8.8 ESP -12 % 1.6 2.7 - 9.6 2010 -1 NED -11 Net result 0.7 % SCO -1 1.2 - 0.2 2009 -1 5.0 +4 GER

1.8 00

- 0.0 200

€ MILLION € € BILLION € 1,8 - Source: Analysis by FIGC - Study and Research Division with data provided by UEFA by Division with data provided FIGC - Study and Research by Analysis Source: Comparison of aggregate net result 2010-2013 - Top 10 Leagues - Top 2010-2013 net result Comparison of aggregate

Comparison of aggregate net result - Top Division clubs Division - Top net result of aggregate Comparison INTERNATIONAL BENCHMARKING INTERNATIONAL INTERNATIONAL BENCHMARKING

TOP DIVISION CLUBS 2013-2014 65 million TOTAL

Number of clubs 18 20 20 20 20 98 The overall amount of spectators attending matches of clubs participating in the Top 5 Divisions, with an Number of league matches 307 380 380 380 380 1,827 average capacity utilisation of 75% Average attendance for league matches 43,542 36,670 26,955 23,011 20,953 29,694 Total attendance for league matches 13,367,241 13,934,695 10,242,919 8,744,116 7,962,216 54,251,187 Average capacity 47,499 38,337 38,229 39,665 30,048 38,406 Capacity utilisation (%) 92% 96% 71% 58% 70% 77% 21.3 million Total potential attendance 14,582,225 14,568,041 14,526,944 15,072,776 11,418,126 70,168,112 TOTAL UNSOLD SEATS 1,214,984 633,346 4,284,025 6,328,660 3,455,910 15,916,925 The overall amount of unsold seats, of which 75% related to league matches (15.9 million), 16% Number of national cups matches 20 58 46 32 34 190 related to national cup matches (3.4 million) and Average attendance for national cups matches 37,032 30,152 23,543 15,909 17,418 24,599 9% related to European cups matches (1.9 million) Total attendance for national cups matches 740,638 1,748,821 1,082,964 509,084 592,228 4,673,735 Capacity utilisation (%) 78% 70% 53% 35% 51% 58% Total potential attendance 947,828 2,495,541 2,036,615 1,465,296 1,158,453 8,103,733 92% TOTAL UNSOLD SEATS 207,190 746,720 953,651 956,212 566,225 3,429,998 Number of European cups matches 30 32 43 29 22 156 Average capacity utilisation of English stadiums, for a total number of spectators equal to 17 million Average attendance for European cups matches 46,870 42,363 39,394 33,174 30,654 39,052 Total attendance for European cups matches 1,406,106 1,355,631 1,693,934 962,055 674,397 6,092,123 Capacity utilisation (%) 92% 93% 67% 61% 71% 76% Total potential attendance 1,533,479 1,464,696 2,519,014 1,573,720 954,278 8,045,187 TOTAL UNSOLD SEATS 127,373 109,065 825,080 611,665 279,881 1,953,064 43,457 NUMBER OF TOTAL MATCHES 357 470 469 441 436 2,173 Average attendance per match in German stadiums, TOTAL ATTENDANCE 15,513,985 17,039,147 13,019,817 10,215,255 9,228,841 65,017,045 with an average capacity utilisation equal to 91% AVERAGE ATTENDANCE 43,457 36,254 27,761 23,164 21,167 29,920 CAPACITY UTILISATION (%) 91% 92% 68% 56% 68% 75% TOTAL POTENTIAL ATTENDANCE 17,063,532 18,528,278 19,082,573 18,111,792 13,530,857 86,317,032 TOTAL UNSOLD SEATS 1,549,547 1,489,131 6,062,756 7,896,537 4,302,016 21,299,987 7.9 million The analysis refers to the 2,173 official matches played at the stadiums used in 2013-2014 by football clubs participating in the Top 5 European Leagues: Bundesliga (Germany), Premier League (England), Liga (Spain), Serie A (Italy) e Ligue 1 (France). This comprises the matches played at the domestic league level (including in The overall amount of unsold seats in Italian Germany the playout game), the domestic cups and the UEFA European cups. The figures related to the UEFA European competitions include the Champions League stadiums, with an 11.8% decrease in relation with and the Europa League, while with reference to the data referred to the domestic cups it should be noted that in France and England two different competitions are the 8.9 million accounted in 2012-2013 held: Coupe de France and Coupe de Ligue (France), FA Cup and Football League Cup (England)

Source: Analysis by FIGC - Study and Research Division with data provided by UEFA, Lega Serie A, transfermarkt.it, europeanfootballstatistics.co.uk 52 6 International benchmarking 53 KAZ More than 75% than 75% More of the clubs AZE

ARM GEO RUS 51% - 75% of - 75% 51% the clubs TUR ISR CYP UKR MDA BLR BUL ROU LVA FIN EST 26% - 50% of the clubs LTU GRE MKD SRB ALB SVK HUN POL MNE BIH CRO MLT CZE SMR SWE SVN AUT ITA LIE GER 1% - 25% of 1% the clubs DEN NOR SUI LUX NED BEL FRA AND ENG SCO FRO ESP 0% of the clubs WAL GBZ NIR IRL POR ISL Percentage of clubs with direct or indirect stadium or indirect with direct of clubs Percentage 2013 Divisions Top - 54 European ownership 8% 10% total 62% 95% 56% 67% 88% 30% 45% 90% % on % on 100% 1 2 3 9 12 18 18 14 19 10 106 Total Total clubs 1 1 1 1 5 2 2 3 8 0 24 ownership Other parties 2 2 7 7 8 6 0 17 17 16 82 OTHER PARTIES’ OWNERSHIP PARTIES’ OTHER State State ownership Municipal/State ownership Municipal/State Other parties ownership Club’s direct ownership direct Club’s ownership Associate/parent Municipal/ 5% 0% 13% 10% 33% total 38% 55% 92% 70% 90% 44% % on 56 (8%) 1 2 2 7 8 6 0 11 11 18 66 Total Total clubs 101 (15%) 1 2 2 3 8 4 0 0 0 0 20 parent parent 434 (62%) ownership Associate/ OWNERSHIP 698 club 698 club examined 107 (15%) 1 5 5 2 2 0 0 11 10 10 46 FOOTBALL CLUBS’ DIRECT OR INDIRECT DIRECT OR INDIRECT CLUBS’ FOOTBALL ownership Club’s direct direct Club’s

TUR TOTAL ITA FRA GER NED RUS ENG POR ESP SCO Data from the Portuguese Top Division refer to a representative sample of 10 clubs out of the 16 participating in the league. sample of 10 clubs a representative to Division refer Top the Portuguese Data from UEFA by Division with data provided FIGC - Study and Research by Analysis Source: Stadium ownership - Aggregate data from 54 Top Divisions 2013 54 Top data from - Aggregate Stadium ownership

Stadium ownership - Top 10 Divisions 2013 10 Divisions - Top ownership Stadium INTERNATIONAL BENCHMARKING INTERNATIONAL STADIUMS, SPECTATORS AND SECURITY

Number of stadiums per division and ownership Stadiums average age

40 64 35 61 33 2 60

22 58 54 16 1 31 2 AVERAGE AGE (YEARS) AGE AVERAGE NUMBER OF STADIUMS 13

0 50 Serie A Serie B Lega Pro Lega Pro Serie A Serie B Lega Pro Lega Pro 1st Division 2nd Division 1st Division 2nd Division

Other Club’s ownership Public ownership

Average utilisation of stadium capacity

60% 59% 58% 39,665 16,531 55% 56% Serie A stadiums average Serie B stadiums average capacity capacity

% 33% 30% 32% 28% 26% 26% 23% 23%

9,583 4,466 20% 14% 19% 12% Lega Pro 1st Div. stadiums Lega Pro 2nd Div. stadiums 10% average capacity average capacity 2010-2011 2011-2012 2012-2013 2013-2014

Serie A Serie B Lega Pro Lega Pro 1st Division 2nd Division

Source: FIGC Stadia Database, Lega Serie A, Lega Serie B, Lega Pro and public data 54 7 Stadiums, spectators and security 55 n/a 1 (2%) 4 (6%) 10 (15%) 9 (13%) 17 (25%) 6 (9%) 25 (37%) Lega Pro Pro Lega No (57%)38 (51%) 34 55 (82%) 8 (12%) (55%)37 31 (46%) 59 (88%) 63% 5 Lega Pro Lega (7%) 67 stadiums 5 (7%) 31 1 (47%) (2%) Yes 28 (41%) 29 (43%) 2 (3%) 50 (75%) 13 (19%) 30 (45%) 8 (12%) 37% n/a n/a 1 (5%) 2 (9%) 2 (9%) 1 (5%) Serie B No 13 (59%) 15 (68%) 19 (86%) 5 (23%) 15 (68%) 13 (59%) 18 (82%) 60% 8 None of them (36%) Yes 9 (41%) 6 (27%) 3 (14%) 15 (68%) 5 (23%) 8 (36%) 4 (18%) 40% Serie B 22 stadiums Commercial areas only areas Commercial n/a 1 (6%) 1 (6%) 1 (6%) 2 (12%) 2 (13%) 14 (64%) Serie A Food courts only Food No 10 (63%) 4 (25%) 14 (88%) 4 (25%) 2 (12%) 4 (25%) 16 (100%) 28% 12 (75%) 10 (62%) 72% Yes 6 (37%) 11 (69%) 1 (6%) 11 (69%) Both of them 9 (56%) 1 Serie A (6%) 16 stadiums 6 (38%)

Sale points existence for commercial activities for commercial points existence Sale Artificial turf seats (%) Covered Projects for waste sorting for waste Projects existence Skybox Athletic track existence track Athletic other than football use of the stadium Alternative energy of renewable Stadium using sources Source: FIGC Stadia Database Source: Food courts and commercial areas existence within the hospitality area existence areas courts and commercial Food

Serie A, in 2013-2014 stadiums Pro Serie B and Lega STADIUMS, SPECTATORS AND SECURITYAND SPECTATORS STADIUMS, STADIUMS, SPECTATORS AND SECURITY

Spectators per competition - Matches played in Italy 2013-2014 Average spectators per match - % variation from 2012-2013

Average per +40.0% COMPETITION N° of matches Total spectators +34.7% match +33.3% +32.4% +22.6% +22.2% National A Team 6 200,447 33,408 +15.8% +13.5% Under 21 National Team 3 10,400 3,467 +1.9% Serie A 380 8,744,116 23,011

% 0.0% Champions League 11 550,901 50,082 Europa League 18 411,154 22,842 -19.4% Supercoppa Italiana 1 56,404 56,404 -28.5% Serie B 472 2,597,914 5,504 -40.0% Div. Div. st nd Serie B Coppa Italia 79 623,413 7,891 Serie A

st

Lega Pro 1 Div. 532 1,191,820 2,240 Coppa Italia Europa League Europa Lega Pro 1 Pro Lega Lega Pro 2 Pro Lega Lega Pro 2nd Div. 624 539,205 864 National A Team Champions League Supercoppa Italiana Supercoppa Under 21 National Team

Serie A, Serie B and Lega Pro - Aggregated spectators Serie A - Spectators comparison

14,500,000 9,600,000 9,392,600 14,131,648 14,075,926 9,167,870 13,382,257 8,945,763 13,164,671 13,073,055 8,744,116 8,584,596 12,328,100 SPECTATORS SPECTATORS 8,362,025

11,000,000 7,800,000 08-09 09-10 10-11 11-12 12-13 13-14 08-09 09-10 10-11 11-12 12-13 13-14

Source: Analysis by FIGC - Study and Research Division with data provided by Lega Serie A, Lega Serie B, Lega Pro, transfermarkt.it 56 7 Stadiums, spectators and security 57 40 864 2,2 13-14 25 20 05 1,8 1,0 9,2 9 3 13-14 53 1,1 1,7 35 89 1,9 707 40 49 12-13 9,2 4,4 5,2 2 7 12-13 44 1,0 1,4 39 85 33 52 8,9 1,7 2,0 700 2,8 8 11-12 6 Second Division 11-12 Second Division 57 1,2 1,8 52 67 85 63 3,4 0,9 7,4 9 4 10-11 709 54 2,3 1,4 10-11 2,0 First Division First First Division First 60 35 25 8,5 0,4 1,9 7 94 5 67 09-10 1,6 885 2,8 2,3 09-10 79 57 22 5,7 20 9,1 4,8 7 5 77 1,3 08-09 865 2,3 2,1

0 0 08-09

00 00

SPECTATORS SPECTATORS 3,5 0,0 0 2,5 Lega Pro - Average spectators comparison per match spectators - Average Pro Lega Lega Pro - Spectators comparison - Spectators Pro Lega 11 04 14 3,0 13-14 74 2 5,5 40 2,1 7,9 7 5,7 9 13-14 12 2,4 2,5 91 48 15 75 2,5 40 12-13 3,1 9,0 4,8 2 0 6 5,8 12-13 6 2,2 2,2 61 18 05 43 57 1,2 0,8 3 9,6 11-12 2,0 4 11-12 6,2 10 2,8 2 Serie B Playoff and Playout Playoff 2,9 42 46 96 6,8 41 5,5 97 9 8,6 9 Serie A 9 10-11 2,2 3,5 10-11 5,0 2 2,3 Regular Season Regular 96 07 89 2,2 7,5 5 5,3 5 10 09-10 26 2,4 42 2,5 4,1 09-10 5,4 2 69 79 90 7,1 4,1 17 0 6,9 98 8 7 2,5 08-09 4,7 2,5 5,4 2

0 0

08-09 00 00

SPECTATORS SPECTATORS 0,0 0,0 3 0

3,0 Source: Analysis by FIGC - Study and Research Division with data provided by Lega Serie A, Lega by Pro Serie B, and Lega Division with data provided FIGC - Study and Research by Analysis Source: Serie A and Serie B - Average spectators comparison per match spectators Serie A and Serie B - Average

Serie B - Spectators comparison Spectators Serie B - STADIUMS, SPECTATORS AND SECURITYAND SPECTATORS STADIUMS, GOVERNANCE MODELS IN PROFESSIONAL FOOTBALL

Individual and legal entities

2 1 1 3 (9%) (3%) (3%) (15%) 8 15 10 (36%) (47%) (28%)

Individual Serie A Serie B Lega Pro 1st Div. Lega Pro 2nd Div. Italian legal entry 20 clubs 22 clubs 32 clubs 36 clubs Foreign legal entity 16 25 (50%) (69%)

17 12 (85%) (55%)

Number of shareholders Types of control

Lega Pro 2nd Div. 5 31 Lega Pro 2nd Div. 20 10 3 2 1 Number of clubs with a 1 shareholder >50% sole shareholder 2 shareholders >50% Number of clubs with a 3 or 4 shareholders >50% plurality of shareholders 5 or more shareholders >50% nd nd Lega Pro 1 Div. 7 25 Lega Pro 1 Div. 26 1 5 n/a n/a

Serie B 5 16 1 Serie B 16 5 1

Serie A 3 17 Serie A 20

0 40 0 40 Number of clubs Number of clubs

Source: Analysis by FIGC - Study and Research Division Figures updated on 30 june 2014 58 8 Governance models in professional football 59 7.3 3.8 6.5 2.2 1 4 6 8 2013-2014 2013-2014 Second Division 1.1 1.6 5.9 4.2 5 1 6 22 2012-2013 2012-2013 First Division First 6.2 2.9 3.3 9.6 4 3 36 2011-2012 2011-2012

0.0 0.0 0.0 0.0

10 MILLION € 40 € MILLION € Recapitalisations comparison - Clubs participating in Serie A 2013-2014 in Serie participating - Clubs comparison Recapitalisations Recapitalisations comparison - Clubs participating in Lega Pro 2013-2014 Pro participating in Lega comparison - Clubs Recapitalisations m m m m m 2.2 9.6 Total 0.3 0.5 8.4 1 € 4 € 13 1,0 € 16 € 66 € 6.0 7 2013-2014 m m m m m 7.3 2.2 1.9 6.5 6.0 € 1 € 4 € 8 € 7 € 22 2013-2014 m m m m m 0.7 1.1 1.6 0.7 4.2 7.8 4 € 5 € 1 € 4 2012-2013 € 22 € 32 2012-2013 m m m m m 1.7 3.3 6.2 9.6 0.8 € € 5 € 3 € 36 2011-2012 € 46 1.7 5 2011-2012

0.0 0.0 Division

Division

10 nd

st TOTAL MILLION € Lega Pro Pro Lega 2 Lega Pro Pro Lega 1 Serie A Serie B Note: Data refer to recapitalisation trends among shareholders of football clubs participating in professional leagues in the 2013-2014 sporting season. The analysis was conducted on clubs’ financial statements. In relation with Lega Pro data, in few cases it was not Pro relation with Lega was conducted In financial statements. sporting season. on clubs’ The analysis in the 2013-2014 leagues participating in professional clubs of football shareholders among trends recapitalisation to Data refer Note: not admitted). and/or registered reasons (not sporting season for various for the current submit their financial statements not supposed to necessary the that were documentation: in particular for the clubs collect to possible Division FIGC - Study and Research by Analysis Source: Recapitalisations comparison - Clubs participating in Serie B 2013-2014 comparison - Clubs Recapitalisations

Recapitalisations comparison - 2013-2014 professional clubs clubs professional - 2013-2014 comparison Recapitalisations total GOVERNANCE MODELS IN PROFESSIONAL FOOTBALL PROFESSIONAL IN MODELS GOVERNANCE THE LEGACY OF THE 2013-2014 UEFA EUROPA LEAGUE FINAL

Spectators of the stadium - Public allocations Nationality of origin

Country Benfica sector Sevilla sector General public Total

Spain 0.1% 97.6% 2.3% 33.1% Portugal 97.4% 0.1% 2.5% 32.6%

Benfica Italy 0.3% 0.7% 99.0% 19.8% Germany 0.7% 1.8% 97.5% 5.0% UK 1.8% 1.4% 96.8% 1.0% Sevilla Austria 0.0% 0.8% 99.2% 0.9% France 6.7% 9.3% 84.0% 0.9% Netherlands 0.3% 0.0% 98.6% 0.8% General public Switzerland 3.7% 1.8% 94.5% 0.8% Belgium 3.7% 5.0% 91.3% 0.6%

Target groups Malta 0.0% 0.0% 100.0% 0.4% Poland 2.3% 2.3% 95.5% 0.3% Israel 0.0% 3.1% 96.9% 0.3% Russia 0.0% 0.0% 100.0% 0.2% Other nationalities 3.4%

Juventus Stadium TOTAL 100.0%

Continents of origin Age groups 1 (1%) 35.0% 32.2% 3 30.4% 40,000 6 (4%) Europe (8%)

Spectators at the Juventus Asia Stadium (of which 89% 9 (11%) 18.7% men and 11% women) 79 South America

39 % (49%) represented Africa

countries North and Central 8.5% America 21 3.0% 3.9% Oceania 2.7% (27%) 0.6% 0.0% 20 20-29 30-39 40-49 50-59 60-69 70 No years years answer old or old or less more 60 Source: Analysis by Fondazione Fitzcarraldo 9 The legacy of the 2013-2014 UEFA Europa League final 61 71 2,9 00 3,0 00 2,6 Event production Event 00 1,3 € THOUSAND 38 1,2 Media 210 110 125 92 65 0 52 8,7 Public Airplanes Press box work box Press Stadium branding Gate receipts (UEFA) Gate receipts 0

00 Corporate tickets value tickets Corporate € THOUSAND € choreography Ceremony Other expenses not beneficial to the Metropolitan Area of Turin of Area to the Metropolitan not beneficial Other expenses Net direct economic impact economic Net direct 0,0 1 Malpensa/Levaldigi airports Malpensa/Levaldigi 535 535 Leisure 10 10 1,2 1,2 Data in € thousand Shopping 227 227 Transports 79 39 360 Metropolitan Area of Area Metropolitan Turin Net direct impact Net direct not Other expenses to the beneficial 2,2 2,6 Food & Food Beverage 01 79 878 4,5 5,3 Accommodation m 52 38 90 00 2.6 Total 1,2 (72%) 8,7 2,5 €1 2,6 1 € 17.5 million

m 4.9

(28%) € production TOTAL Media Event Public Public In the definition of the economic dimension related to the spectators’ expenses occurred for the UEFA Europa League final, only the spectators that brought an additional economic value were considered (23,109 people in total coming from outside the total coming in people considered (23,109 were an additional economic value brought that the spectators final, League only Europa for the UEFA expenses occurred to the spectators’ related In the definition of the economic dimension fans. 1,039 a significant of over sample distributed data of the interview was the outcome The presented public figures. the total from excluded were public sector 5,000 empty seats within the general Furthermore, of Turin). Area Metropolitan Fitzcarraldo Fondazione by Analysis Source: Detailed net direct economic impact economic net direct Detailed

Gross direct economic impact economic direct Gross THE LEGACY OF THE 2013-2014 UEFA EUROPA LEAGUE FINAL LEAGUE EUROPA UEFA 2013-2014 OF THE LEGACY THE THE LEGACY OF THE 2013-2014 UEFA EUROPA LEAGUE FINAL

Direct economic impact deriving from the public Direct economic impact deriving from the media Food & Total Accommodation Transports Shopping Leisure Beverage €360,000 General public 1,357 574 423 42 219 99 (29%) 1,200 Supporters Media operators involved 2,049 866 639 64 330 150 Sevilla FC in filming. In average, they Supporters 1,925 814 600 60 310 141 € 1,238,400 stayed in town for 6 days: SL Benfica they spent daily € 120 each for West sector 2,154 1,316 435 43 258 102 Accomodation and € 50 each (foreign fans) for Food & Beverages West sector 930 182 18 94 43 (Italian fans) 1,267 €878,400 (71%) TOTAL 8,752 4,501 2,279 227 1,210 535

Accommodation Food & Beverage Data in € thousands

Direct economic impact deriving from the event production Main Event organisation

€62,257 (2%) Catering 260,000 €274,700 Turin airport 250,000 (11%) €800,000 (31%) Accommodation 228,000 Security 150,000 Promotion Equipment/entertainment of catering halls LOC (Local Organising 140,000 € 2,600,457 Commitee) Fee Partner promotion 100,000 Organisation Main event Stadium branding 90,000

Related Events Wiring and Internet 80,000 Other 165,000 €1,463,500 (56%) 0 € 300,000

Source: Analysis by Fondazione Fitzcarraldo 62 CREDITS

REPORTCALCIO 2015

Project authors and executives: Niccolò Donna , FIGC - Study and Research Division, and PwC for financial topics Coordination and editing FIGC: Niccolò Donna, Alessandro Mosca, Gianluca Famigli Coordination and editing PwC: Giorgio Bonfanti, Giampaolo Panetta, Gabriele Picuti, Chiara Valzano Verbal oversight: Gianfranco Teotino Text overview: Marta Tamburrelli Graphic elaboration: blossoming.it The following offices and departments of the Italian Football Association participated in the creation of the document: National Teams Area, Professional Football Financial Control Commitee (Co.Vi.So.C.), National Coordination of Safety and Security Delegates, TV Broadcasting Rights, UEFA Club Licensing and Financial Fair Play, Marketing, General Secretariat, IT Systems, Press Office, Insitutional and External Relations, Registration Office, Vivo Azzurro Special thanks for their collaboration to: Lega Serie A Lega Serie B Lega Italiana Calcio Professionistico National Amateur League Italian Referees’ Association Italian Players’ Union Italian Coaches’ Union Technical Sector Youth and School Sector Special thanks as well to: FIFA UEFA CIES ECA Ministero dell’Interno Ministero dell’Economia e delle Finanze Osservatorio Nazionale sulle Manifestazioni Sportive Inps (gestione ex Enpals) Agenzia delle Dogane e dei Monopoli RCS Sport Repucom Fondazione Fitzcarraldo Professor Adriano Benazzi Dr. Gianfranco Serioli Professor Ennio Lugli Professor Luigi Marchini Photo credits: FIGC photografich database, LND photografic database, Getty Images

63