# Pegasus Sports status



## Eric_H (Feb 5, 2004)

Saw today that Pegasus/Fly-V was not awarded Continental Pro status and they have a 15 day extension. For a team that was talking game about entering at the Pro Team level it is a little surprising that they are not currently fit for Continental Pro in the UCI's eyes. I seriously hope the management can pull this team off, and that the riders and staff have not been duped. Like the Lux project, it is very strange that a title sponsor has not been announced and I hope the rumours floating that Pegasus lost its title sponsor when AC tested positive are not true.


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## pagey (Oct 30, 2009)

Not sure what AC has to do with the Pegasus team - he was and never will be a member.


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## spade2you (May 12, 2009)

pagey said:


> Not sure what AC has to do with the Pegasus team - he was and never will be a member.


It's not that AC was involved with the team, but gives cycling a bad name collectively from a corporate sponsor perspective.


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## pagey (Oct 30, 2009)

fair call - I think a few teams will struggle for sponsers at the lower levels.


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## spade2you (May 12, 2009)

pagey said:


> fair call - I think a few teams will struggle for sponsers at the lower levels.


Given the tight economy, even some of the higher teams aren't immune. Columbia removed their sponsorship, Milram folded, and Caisse D'Epargne pulled their sponsorship, too. I'm far from an economic expert, but I assume that cycling isn't always the most effective advertising medium.


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## merckxman (Jan 23, 2002)

What Vaughters mentioned recently when talking about GEOX possibly pulling out as a team sponsor: 

........"Imagine you're the VP of marketing in a multi-national company and you get a proposal to sponsor a cycling team. My guess is this proposal would be similar to the ones we at Slipstream Sports are constantly pitching. In this proposal, it's clear that your team will participate in all the top races in the world, a few medium-sized ones in key areas for your company, and, of course, Le Tour. After a look at the demographics cycling fans cover, the total television audiences, the number of countries TV coverage goes to, the total volume of "all in" media coverage, you decide investment makes sense. Your CPT (cost per thousand) for viewership crushes any other sport in efficiency - you'll probably get a raise!"......



spade2you said:


> Given the tight economy, even some of the higher teams aren't immune. Columbia removed their sponsorship, Milram folded, and Caisse D'Epargne pulled their sponsorship, too. I'm far from an economic expert, but I assume that cycling isn't always the most effective advertising medium.


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## spade2you (May 12, 2009)

While cycling is better than other sports, is it really better than other mediums or that effective? I'm sure it's an alright method, but given Columbia pulled out from one of the more successful teams, perhaps they didn't see it helping as much as it should.


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## Lazy Spinner (Aug 30, 2009)

Columbia was only in for two to three seasons by design. Their hope was to raise brand awareness and sales in Europe. It was never a long term proposition.

In Europe, cycling is a great advertising value. It is a major sport that garners a lot of press and European networks show wall-to-wall live coverage of major events. Look at Cofidis during the Tour. They always put someone into a doomed to fail break but that results in four or five hours of solid advertising for the brand. Over the three weeks of the race, they probably garner 40-50 hours of air time. Try buying that 30 seconds at a time! Sponsoring a second rate team for that kind of exposure is a pretty good bargain. The beauty part is that you don't require victories nor do any of your riders get caught up in scandals because they don't have to be good enough to win. You just need one of nine guys to go on a huge flyer each day.

It boils down to what a sponsor thinks is going to drive business. Lots of exposure like Cofidis gets or do consumers get inspired by a Boonen victory to buy QuickStep laminate flooring or take their retirement portfolio to SaxoBank because Cancellara drilled it over the cobbles?


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## Alaska Mike (Sep 28, 2008)

A lot of companies move in and out of sports sponsorship every couple of years, after they feel they have saturated a particular marketplace. Only the true enthusiasts stay in year after year.

To stockholders and employees (average folks), sponsoring a cycling team isn't the same thing as advertising- especially in this economy. Advertising is TV, billboards, and print ads. When times are tough for a company, sponsoring a Pro Team is like having a corporate yacht. In good times you can justify it, and in bad times... well, any CEO that wants to hold onto his job better think of perceptions first, whether true or not.

I think there is value there, especially if the team you sponsor can get into the right races and you're looking for international exposure. It isn't an easy sell, and less so if you fear negative publicity from one of the riders getting popped.

I think Vaughters would be more effective as a salesman if he would shave those sideburns. He reminds me of Harland Williams:


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## LostViking (Jul 18, 2008)

Pity for the Pegasus riders though...well, there's room on Christina Watches Team!


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## Jwiffle (Mar 18, 2005)

Cyclingnews is reporting it is the end of Pegasus Sports:
http://www.cyclingnews.com/news/pegasus-sports-owner-pulls-plug-on-team


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## zoikz (Sep 5, 2003)

I just read that. Holy [email protected]!
It's one thing to fold, but it's another to fold in december and on a dozen pro-tour quality riders. Plus the staff etc... Just a bad, bad thing. I think technically they have to have the salaries in escrow for some period of time.
McEwen, Robbie Hunter, Svein Tuft...
Yipes.


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## beaker (Feb 2, 2005)

*deja vu?*

Wow. I thought it would be hard to beat the Linda McCartney debacle... this ain't gonna be pretty.


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## robdamanii (Feb 13, 2006)

In a way, that's what you get by signing with a team that has no clear sponsors even rumored.


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## awesometown (May 23, 2005)

beaker said:


> Wow. I thought it would be hard to beat the Linda McCartney debacle... this ain't gonna be pretty.


You're forgetting the sony ericcson cycling team debacle.... http://autobus.cyclingnews.com/news.php?id=news/2005/oct05/oct14news2


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## robdamanii (Feb 13, 2006)

The Christina Watches team is supposedly looking for a few riders...


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## Sherpa23 (Nov 5, 2001)

Honestly, I wouldn't believe everything you read about this. If I know Chris White, he is not going to call it until it absolutely happens. I'm not his biggest fan but, quite frankly, it's not over until it's over.


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## roadflip (Apr 16, 2008)

what will happen to scott? will they be sponsoring another team? or is it too late for them to find another team?


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## LostViking (Jul 18, 2008)

I keep reading conflicting stories - one says it's all over and the other says it's not.

My take - when you hear stories like that, it IS all over.


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## Eric_H (Feb 5, 2004)

*Double talk*



LostViking said:


> I keep reading conflicting stories - one says it's all over and the other says it's not.
> 
> My take - when you hear stories like that, it IS all over.


Sadly I tend to agree. I think the statements made by Chris White in the last 24 hours are just to do some damage control in hopes that the Hail Mary bailout arrives. Take this article in VeloNews:

http://velonews.competitor.com/2010/12/news/pegasus-ceo-says-his-horse-still-has-wings_152758

In this article he talks about "some retraction of private equity funds" and goes on to say "It’s not a substantial amount of money … well, it depends how you look at it – but it’s achievable."

However, the article's author (Tan) writes about "the decision made by the unnamed principal sponsor to withdraw their commitment to the team".

So exactly what is it? The principal sponsor or a small amount of money? My guess is that the team lost its main source of money and the project is about to tank. For a cocky guy who has talked with so much confidence and swagger all along, if he had another sponsor even showing interest at this point he would be chirping about it. The fact that he is not chirping, to me that says a lot. In fact, I am starting to wonder if the money was ever there if this guy was gambling all along. I sincerely hope not.

More new info here, including the who and the why of the $$ man:

http://www.velonation.com/News/ID/6...eam-is-exploring-all-avenues-to-continue.aspx

The article writes "However, according to the Herald, the team is currently aiming to raise the cash necessary to raise the bank deposit stipulated by the UCI. If it does achieve that, it will still need to raise more funds; White has said that he is confident that more backers will come on board, either once it gets the Pro Continental licence, or once it begins racing."

Honestly, if the guy can raise the money for the bank deposit this is still a long shot. The bank deposit will guarantee the riders and staff get paid. But if they have a shoestring budget, that's a deal-breaker at this level. Every single race organizer is now looking at this team as a question mark. As the race invites go out, it will be pretty easy to pass on giving Pegasus an invite as most organizers will be questioning if they will be around 3-6 months. I will be bet every rider on the team is calling around or having his agent call around right now. This thing is going down like Linda McCartney, Le Groupement, Sony-Ericsson, and Noble House I am afraid.


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## teoteoteo (Sep 8, 2002)

*Race to the bottom*

When the market is bad there is always someone willing to take less. Quite a few cases of sponsors and presenting sponsors getting deals going with one team and then another one in desperate spot swoops in for 1/2 the price.


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## zoikz (Sep 5, 2003)

Fat lady singing in 3.....2......1.....


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## LostViking (Jul 18, 2008)

skronglite said:


> SAVED
> 
> http://www.skronglite.com/2010/12/continent-on-our-shoulders.html


Funny!


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## 88 rex (Mar 18, 2008)

Saved by a yet to be named American company.


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## 3rensho (Aug 26, 2003)

Rumored to be Scott, no? Sounds like the Scott people are withholding comment pending input from UCI. They must be planning a 'Scott Test Team' for 2011.

Did I tell you guys? I'm starting a ProTour team for 2012. It's going to be the best. Best riders, best sponsors, best backing. Can't name anyone or anything just yet but it's going to be BIG. 
Currently talking to some big hitters in the industry so............get your resumes in to me early. Initial working name is Team Vaporware but we're not married to that.


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## Sherpa23 (Nov 5, 2001)

3rensho said:


> ..get your resumes in to me early. Initial working name is Team Vaporware but we're not married to that.


Hey, I was signed to that team already. It was British and they told me I had to give up meat. If you give me a minute, I'll even find the signed contract around here somewhere...


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## pianopiano (Jun 4, 2005)

3rensho said:


> Did I tell you guys? I'm starting a ProTour team for 2012. It's going to be the best. Best riders, best sponsors, best backing. Can't name anyone or anything just yet but it's going to be BIG.
> Currently talking to some big hitters in the industry so............get your resumes in to me early. Initial working name is Team Vaporware but we're not married to that.


Damn! I've just signed a lucrative contract with Christina Watches.


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## Eric_H (Feb 5, 2004)

So far good news for Pegasus riders and staff, though in order to pull this off they had to agree to "temporary salary reductions" to ease the burden of the UCI bank guarantee. I really hope White et al are able to find some additional sponsorship and move this team forward.


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## LostViking (Jul 18, 2008)

I thought "Silly Season" was over?

Team Schleck, Team Saxo 2.0,Team Pro Luxembourg, Team Leopard....
Team Christina Watches
Team Pegasus...no Team Pegasus....Team Pegasus!...team sponsor?


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## pagey (Oct 30, 2009)

Chris White strikes again - never say die!


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## LostViking (Jul 18, 2008)

Wow, glad I was wrong and the Pegs still have a chance to fly.

Wonder if it is Scott, as 3rensho suggests?


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## teoteoteo (Sep 8, 2002)

3rensho said:


> Rumored to be Scott, no? Sounds like the Scott people are withholding comment pending input from UCI. They must be planning a 'Scott Test Team' for 2011.
> 
> Did I tell you guys? I'm starting a ProTour team for 2012. It's going to be the best. Best riders, best sponsors, best backing. Can't name anyone or anything just yet but it's going to be BIG.
> Currently talking to some big hitters in the industry so............get your resumes in to me early. Initial working name is Team Vaporware but we're not married to that.


I'd say there is a good chance with Scott, rumor on the street is that they had a deal in place elsewhere and got stung hard at the last second. Hopefully it ends up being a blessing in disguise for Scott. Happened to Cannondale a couple of years ago with Quick Step, instead they ended up at Liquigas and they went on fire while QS hade a down year.


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## kbwh (May 28, 2010)

*Wucking furries, mate!*

Hot news:

http://www.cyclingnews.com/news/uci-refuses-pegasus-sports-license


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## Eric_H (Feb 5, 2004)

Just read the bad news, this really sucks for the riders and staff. Though maybe this whole house of cards was set to fail from the beginning, who knows? I wonder if at any point Chris White had the money in place or if he was talking game and gambling on bringing on sponsors through "momentum" all along?

I'm sure the bigger name riders will end up on decent teams next year, albeit taking a crap salary. But the lesser names are going to be the ones really screwed.


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## LostViking (Jul 18, 2008)

Er, sad to be right - hope this works out for ALL the riders and they can still get a good ride for 2011.


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## LostViking (Jul 18, 2008)

Tuft to SpiderTech - seems like a good fit.

McEwan will find something soon as well. I'm sure.


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## zoikz (Sep 5, 2003)

Fat lady is now singing.

Pretty much all the teams have already filled their rosters, spent their rider budgets and can't sign additional riders. They are seriously, seriously in a bad way.


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## den bakker (Nov 13, 2004)

zoikz said:


> Fat lady is now singing.
> 
> Pretty much all the teams have already filled their rosters, spent their rider budgets and can't sign additional riders. They are seriously, seriously in a bad way.


saxobank has at least 4 spots available. quickstep is still negotiating, as far as I recall there are other teams not at the maximum number of riders yet, also pro tour teams.


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## LostViking (Jul 18, 2008)

*Good News Indeed!*



den bakker said:


> saxobank has at least 4 spots available. quickstep is still negotiating, as far as I recall there are other teams not at the maximum number of riders yet, also pro tour teams.


That would be good news for those guys, but their bargining position sucks - Saxo and Quickie might get some really good deals!


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## den bakker (Nov 13, 2004)

LostViking said:


> That would be good news for those guys, but their bargining position sucks - Saxo and Quickie might get some really good deals!


ocnsidering quickstep is negotiating with stybar at the $600k level and saxobank has lost 2*schleck and cancellara with only one new guy, I doubt it's money that decides if they sign riders or not.


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## LostViking (Jul 18, 2008)

den bakker said:


> ocnsidering quickstep is negotiating with stybar at the $600k level and saxobank has lost 2*schleck and cancellara with only one new guy, I doubt it's money that decides if they sign riders or not.


Not for Saxo and Quickie - but I suspect some of those riders will ask for less because they really need a top-level ride for 2011, and there aren't many teams to choose from anymore - even if it's just for one season.


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## moabbiker (Sep 11, 2002)

Christina Watches (Rasmussen's new Continental team) is hiring.


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## Eric_H (Feb 5, 2004)

moabbiker said:


> Christina Watches (Rasmussen's new Continental team) is hiring.


Problem is that Christina Watches will only get a Continental licence, and most of the guys who will jump ship from Pegasus are looking for Pro Conti or Pro Team/Tour level schedules.


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## kbwh (May 28, 2010)

Damnation!

sang Bon Scott.
http://www.cyclingnews.com/news/pegasus-licence-denied-because-of-lack-of-financial-guarantees


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