Both Citigroup and the New York Mets yesterday insisted that their $400 million stadium-naming-rights deal is still on, while the team’s owners blasted opponents of the plan, saying other banks getting government money have similar deals.
“It’s only fair to look at the others that are receiving TARP money that have other naming-rights deals around the country,” said Mets owner Jeff Wilpon, referring to the government’s Troubled Asset Relief Program. “Citi should not be singled out, and I think they’re unfairly singled out right now.”
Citigroup negotiated the 20-year deal to name the team’s new stadium Citi Field in 2006, two years before the bank’s stunning collapse led to it receiving $45 billion from Uncle Sam.
But Wilpon said he counted 44 other companies that have applied for funds that also have naming-rights deals.
“Why is it just Citi?” he said. “Why isn’t everybody going after them [the other banks]? If we’re concerned, all those other companies should be concerned, too.”
Bank of America, which also has received $45 billion in federal rescue money, pays a reported $7 million a year for Bank of America Stadium, home of the NFL’s Carolina Panthers. They are also in negotiations for a $20 million marketing agreement with the New York Yankees that wouldn’t include stadium-naming rights.
M&T Bank, whose name is on the Baltimore Ravens’ stadium, took $600 million from the government fund.
But Citi is taking the brunt of the criticism from members of Congress who argue the stadium deal should be scotched now that the bank is on the public dole.
“Citi should be called out for trying to steal home here,” said Rep. Dennis Kucinich (D-Ohio), who co-wrote a letter with Rep. Ted Poe (R-Texas) to the Treasury secretary blasting the deal. “They are acting as though there is no need for restraint in this market. I don’t think they can afford to be indifferent to this issue.” He defended his focus on Citi, saying, “Taxpayers deserve to know how the TARP funds are being used.”
In a statement, Citi insisted, “No TARP capital will be used for Citi Field or for marketing purposes.”
Both the team and the bank were forced to issue statements reaffirming the arrangement after a news report said bank officials were exploring the possibility of dropping out of the deal.
Wilpon’s comments came after both the bank and the team were forced to publicly state the deal was still on following a report that Citi was exploring the possibilities of dropping out of the arrangement.