Interesting read from Fortune Magazine.  A little dated though.


Copyright 1999 Time Inc. 
                   Fortune 

                   December 20, 1999 

                   SECTION: FEATURES/TEXAS LONGHORNS; Pg. 160 

                   LENGTH: 4639 words 

                   HEADLINE: How One College Program Runs The Business; 
                   INSIDE LONGHORN INC. 

                   BYLINE: Roy S. Johnson, Research Associate Mary Danehy 

                   BODY: 


                   Tom Hicks was beside himself. He couldn't sit in one 
place. And 
                   he couldn't stand. He couldn't even bear to watch at 
times, but 
                   the buoyant CEO and chairman of Hicks Muse Tate & Furst, 
the 
                   giant buyout firm, also couldn't afford to turn away, 
because 
                   this deal could go either way. I'm not talking about the 
                   company's pending $ 200 million bet on an Internet outfit 
called 
                   Teligent. That's pocket change to a business managing more 
than 
                   $ 11 billion in assets. This was really big. This was 
Saturday 
                   afternoons in the fall. This was perky cheerleaders flying 
                   through the air, and high-stepping marching bands. This 
was 
                   college football. This was Texas. 

                   On this autumn Saturday afternoon in Austin, the 
University of 
                   Texas Longhorns led powerful Nebraska with only a few 
minutes on 
                   the clock at Darrell K Royal-Texas Memorial Stadium, the 
team's 
                   newly renovated home. A win would be huge. The 
Cornhuskers, 
                   perennial national title contenders, were big-bully 
conference 
                   rivals and ranked third in the nation, while the young 
Longhorns 
                   were like clumsy calves still finding their legs under 
                   second-year coach Mack Brown. Hicks is a proud and 
generous alum 
                   (Texas Exes, they're called), and he's deep into this Hook 
'em 
                   Horns thing. Two years ago he flew athletic director 
DeLoss 
                   Dodds to North Carolina on his private plane to woo Brown 
to 
                   Austin personally, and he regularly counsels the coach on 
                   management matters. He also advised Dodds about pricing, 
                   financing, and amenities when Texas built 66 posh private 
suites 
                   at the stadium before last season. In October he hosted a 
                   charity golf tournament in Dallas during the raucous 
                   Texas-Oklahoma weekend to benefit the school's sports 
programs. 
                   He owns the Texas Rangers baseball team and the NHL Dallas 
                   Stars, but Tom Hicks loves the Texas Longhorns. 

                   So it's understandable that he was a bit on edge at the 
Nebraska 
                   game, hosting a couple of dozen friends, relatives, and 
business 
                   associates in one of the glitzy new suites high above the 
field 
                   at the Nebraska game. Wearing a Longhorn burnt-orange 
shirt and 
                   surrounded by enough ice-cream bars and shrimp to satisfy 
an 
                   offensive line, Hicks was anxious and animated. "Hey," he 
yelled, 
                   "ain't this something?" 

                   It sure is. The University of Texas athletic program is at 
a 
                   pretty intriguing place in college sports. With a surging 
young 
                   football team at its core, it is one of the most 
successful 
                   college athletic programs in the country, and I'm not just 
                   talking about wins and losses. This is a 
multimillion-dollar 
                   enterprise that operates more like a solid business than a 
                   renegade campus outfit. College sports has been a 
big-ticket 
                   dance for some time now, and this program is much like 
others at 
                   the top-tier universities, but there are a couple of 
exceptions: 
                   The folks making the moves in Austin function more like 
CEOs than 
                   like traditional athletic directors and coaches, and 
they're 
                   making it work. 

                   To determine how they do it, I went back to school this 
fall and 
                   asked to take a close look at the books. What I found was 
an 
                   operation that balances the athletic department's 
educational 
                   responsibilities with fiscal discipline at a time when the 
costs 
                   of running a big-time athletic program are surging and 
most 
                   college athletic programs are in the red. I found a place 
where 
                   football pays the bills. That was no surprise, but this 
was: 
                   Among the beneficiaries of big-time football is a women's 
sports 
                   program that could be a model for gender equity. 

                   In fact, at the University of Texas, the football 
Longhorns are 
                   Grade A cash cows. Athletics officials credit the team 
with 
                   generating a staggering 80% of the department's $ 45.3 
million 
                   from revenues in 1999. That's $ 36 million from tickets, 
                   individual donations, rights fees, sponsorships, hot dogs, 
beer, 
                   and other sources. 

                   The athletic department operates much like a 
self-contained 
                   corporation, separate and apart from the rest of the 
university. 
                   It has its core business (football); various auxiliary 
operations 
                   (other men's and women's teams); numerous revenue streams; 
                   traditional corporate functions such as finance, 
marketing, 
                   public relations, and HR (you know it as recruiting); and 
even 
                   sophisticated satellite offices--dozens of alumni chapters 
                   nationwide, through which athletics targets some 400,000 
Texas 
                   Exes for private gifts. Got shareholders? You bet. More 
than 
                   80,000 of them meet in the stadium in Austin on Saturdays 
in the 
                   fall, and they grade every move Mack Brown makes. Think 
chasing 
                   quarterly expectations is brutal? Try putting the success 
of your 
                   company in the hands of a bunch of 18- to 22-year-olds. 
Hate 
                   talking to analysts? Try answering Buck from Muleshoe, 
Texas, on 
                   a weekly call-in talk show after losing a 23-point lead in 
the 
                   fourth quarter. 

                   Of course, the whole thing is complicated by the fact that 
while 
                   a major-college athletic program must be managed with the 
                   diligence of a public company, athletic directors don't 
have the 
                   luxury of shutting down unprofitable businesses--at most 
schools 
                   that would be every sport save football and men's 
basketball. And 
                   those well-paid football coaches, quite simply, must win. 
"If we 
                   were a business, we wouldn't have any sport but football, 
and we 
                   would generate a heck of a profit," says Dodds, who is 
among the 
                   nation's most respected athletic directors. "But we're not 
about 
                   that. We take the money we generate from football and use 
it to 
                   provide opportunities for other kids. Then we try to 
balance what 
                   we want to accomplish inside the institution with what 
folks 
                   outside the institution want us to do. It's a hard thing 
to do." 

                   For more than a quarter-century, one of the most difficult 
                   challenges for college sports has been finding a place for 
women. 
                   You've probably heard of Title IX, the historic clause in 
the 
                   Education Amendments Act of 1972 that turned college 
sports on 
                   its ear by requiring athletic programs to offer equality 
for 
                   women in participation, scholarship allocation, 
recruitment 
                   spending, and coaching resources. The requirement forced 
athletic 
                   departments to essentially double their operations, which 
helped 
                   spark the overall growth in college sports. So whatever 
you think 
                   about the emphasis on college football, hey, it pays for 
women's 
                   soccer, okay? 

                   The Texas athletic department's budget is among the 
largest in 
                   the nation--$ 41.2 million for fiscal 1999, which ended in 
                   August. Only four universities had fatter sports wallets 
that 
                   year: Wisconsin ($ 41.4 million), Tennessee ($ 45 
million), 
                   Michigan ($ 47.6 million), and Ohio State, No. 1 by far 
with a 
                   whopping $ 64.9 million athletics budget. (If you think 
those who 
                   spend the most win, forget it: OSU is the only school of 
the 
                   group not ranked in the latest Top 25 AP football poll.) 

                   How does UT get to its number? For starters, ticket sales 
and 
                   game guarantees (payments to UT by a host school when the 
                   Longhorns play on the road) generated $ 10.1 million in 
revenue 
                   last year. That category was exceeded only by private 
gifts, 
                   which totaled an impressive $ 21 million. Other 
significant 
                   income categories included suite-lease revenue ($ 3.2 
million), 
                   television money ($ 3.9 million), payment for the team's 
Cotton 
                   Bowl appearance ($ 866,842), optional student fees ($ 
570,000), 
                   sponsorships and advertising ($ 400,000), licensing 
revenue 
                   ($ 300,000), and concessions ($ 750,000). All told, the 
department 
                   generated $ 45.4 million in 1999. 

                   The athletic department's expenses totaled $ 50.1 million. 
That 
                   included scholarships valued at $ 2.8 million for 226 men 
and 186 
                   women, administrative costs ($ 1.4 million) for about 230 
                   employees, and equipment purchases ($ 2.4 million). The 
costs of 
                   running individual teams ranged from $ 7.5 million for 
football to 
                   $ 370,000 for tennis. 

                   What caused the shortfall? The final bills for a two-year, 
$ 93 
                   million capital improvement effort. Remarkably, the 
athletic 
                   department completed the project without a penny from the 
                   university's academic funds. It raised more than $ 31 
million in 
                   private donations in just over two years. The department 
also 
                   took out $ 48 million in bonds (serviced now by lease and 
ticket 
                   revenues). The bill was closed with $ 14 million from the 
                   university's Parking and Traffic division to fund a 
parking 
                   garage. So what can you get for $ 93 million? Take a 
stroll down 
                   East Campus Drive near the stadium, and you'll pass the 
spiffy 
                   new $ 28 million Mike A. Myers Stadium and Soccer Field. 
One block 
                   over is maybe the nicest football practice facility in the 
                   country, the newly renovated Denius Athletic Fields ($ 2.5 
                   million). It was subsidized by 82-year-old World War II 
veteran 
                   Frank A. Denius, a longtime fan who has attended practices 
most 
                   every day for as long as anyone can remember. 

                   Beyond the 66 suites at Royal-Memorial stadium, UT added 
nearly 
                   7,000 new seats, renovated major sections on both sides of 
the 
                   76-year-old facility, and lowered the field three feet. 
Why lower 
                   the field, you ask? I did too. Better sightlines, of 
course. The 
                   stadium renovations cost $ 55 million--$ 3.2 million to 
lower the 
                   field alone! The department also spruced up its main 
offices, now 
                   known as the Moncrief-Neuhaus Complex. (If you've got an 
extra 
                   million, you can get your name slapped on just about 
anything.) 
                   The place is Four Seasons plush. There's an impressive 
academic 
                   support center stocked with computers, a hangar-sized 
weight room 
                   that could inspire a couch potato, and an over-the-top 
football 
                   locker room any NFL team would envy--custom-carved 
benches, 
                   original art, and lockers the size of small Manhattan 
apartments. 
                   Mack Brown's spacious office, with a picture window 
overlooking 
                   the stadium field, is trimmed in warm cherrywood and 
decorated 
                   with mementos and collectibles, including a case of 
watches 
                   commemorating universities and bowl games where he has 
coached 
                   during his 24-year career. Photos from the Longhorn 
archives line 
                   the hallways, and display cases in the lobby house the 
school's 
                   three national championship trophies (1963, '69, and '70) 
and the 
                   1977 Heisman Trophy, won by the man who is still the most 
                   powerful and exciting running back in college football 
history, 
                   former Longhorn Earl Campbell. Check out the intricate, 
                   hand-carved leather saddles in the cavernous players' 
lounge. 
                   Yep, you can sit on the saddles and watch games. 

                   If it all seems impossibly lavish, there are reasons. The 
stadium 
                   upgrade generates new revenue, and the school had to build 
new 
                   facilities for its women's programs under requirements 
outlined 
                   in Title IX. But perhaps the most vital reason is 
recruiting. "We 
                   had to stay sexy and attractive to the kids," says Ed 
Goble, UT's 
                   vice president of business affairs. "You've got to provide 
an 
                   enhanced experience on campus to compete for the best 
kids." 

                   CEO and COO would be more appropriate titles for Dodds and 
Brown, 
                   the UT athletic director and head football coach. Dodds, a 
                   62-year-old former track coach, got into sports 
administration 
                   because he liked working with coaches. Today he has an 
associate 
                   athletic director who handles those duties. Dodds is too 
busy 
                   closing new sponsorship deals, negotiating Big 12 
Conference 
                   television and radio contracts, glad-handing with 
boosters, 
                   serving on NCAA committees, and promoting his 
self-described 
                   "passion"--a college football championship tournament. 
Dodds 
                   believes critics of a post-season tournament for college 
                   football--the only major sport without a legitimate 
championship 
                   tournament--are, after years of debate, softening. If it 
were to 
                   happen, it would have to be approved within the next 18 
months, 
                   says Dodds, a "window" before negotiations for the next 
round of 
                   network television contracts kick into gear. Dodds thinks 
a 
                   college football championship would generate about $ 2 
million for 
                   each of the 120 or so schools playing Division I-A 
football. "I 
                   think that over a seven-year period a football playoff is 
worth 
                   several billion," he says. 

                   In the grand scheme of the college sports industry, $ 2 
million 
                   may not seem like much, but Dodds knows well that success 
comes 
                   with a price. After last season, when Brown took the 
Longhorns to 
                   a post-season bowl for the first time since 1990, Dodds 
ripped up 
                   the coach's original contract and signed him to a new 
ten-year 
                   deal worth $ 1 million annually. He added an annuity, 
largely 
                   funded by private donors, that will give Brown $ 1 million 
                   annually at age 60 should he remain another four years. 

                   By the way, Brown does earn more than the university 
president, 
                   Dr. Larry R. Faulkner, whose salary is $ 319,400. So does 
                   basketball coach Rick Barnes, who earns $ 750,000. But if 
you're 
                   looking for the sort of acrimony between sports and 
academics 
                   that tears so many schools apart, you won't find much of 
it here. 
                   "I have a lot of respect for Dodds, his inventiveness, and 
his 
                   way of keeping the organization attuned to opportunities," 
says 
                   Faulkner. "I've certainly paid attention to that." 

                   The football coach actually gets to "coach" about as much 
as Bill 
                   Gates gets to play videogames these days. His nine 
assistants 
                   structure and manage practices and deal with most routine 
player 
                   matters. Brown, like any top-level executive, is expected 
to be 
                   the company's outside guy. He's your COO with a whistle. 
Most of 
                   his hours are filled with media obligations (about two 
dozen 
                   television and radio stations and newspapers cover the 
                   Longhorns), fundraising (for the entire university as well 
as the 
                   athletic department), and trying to keep his own 
management team 
                   in place. (After last season, seven of his assistant 
coaches were 
                   offered head coaching jobs elsewhere; Brown kept them all, 
adding 
                   $ 250,000 to the department's payroll. Additionally, five 
coaches 
                   were granted annuities worth $ 50,000 to $ 60,000 at age 
60 if they 
                   hang on with Brown for four more years.) 

                   On occasion, Brown also telephones one of the many 
corporate 
                   executives who are big UT boosters, guys like Hicks and 
San 
                   Antonio car dealer Red McCombs, another alum and the owner 
of the 
                   NFL's Minnesota Vikings. Brown looks to Hicks for 
time-management 
                   advice and insights on coping with pressure. With McCombs 
he 
                   talks talent and tries to absorb some of the owner's 
upbeat 
                   attitude. ("Hey, you're talking to one of only two owners 
who're 
                   going to the Super Bowl," McCombs told Brown after an 
                   early-season Longhorn loss. At the time, the Vikings were 
1-2). 
                   "One of the things that's common in both of them is that 
they're 
                   high energy," says Brown. "They have the ability to dream, 
they 
                   have a lot of imagination, and they don't get down very 
much." In 
                   some areas, though, Brown is on his own. "The difference 
between 
                   their business and ours is that they can hire and fire who 
they 
                   want to," the coach said one October afternoon while 
lounging on 
                   one of the plush leather couches in his office. "In my 
business, 
                   we put our paychecks in the mouths of 18- to 22-year-olds 
we 
                   can't fire. It's like that ugly-baby theory--we can't get 
rid of 
                   them. So we have to hug them and teach them better. 
Another 
                   thing--CEOs don't have to deal with mothers. The major 
difference 
                   for us is the kids." 

                   Brown's kids were whooping it up with 80,000-plus Longhorn 
                   faithful on that October afternoon when the pop of the 
final gun 
                   signaled the end of the Nebraska game. Final score: Texas 
24, 
                   Nebraska 20. The victory was a turning point for the young 
                   Longhorns that propelled them to their finest season in 
years. 
                   Going into their last regular-season game against Texas 
A&M, the 
                   Longhorns have their best record (9-2) since winning ten 
games in 
                   1995--albeit one that ended in an atmosphere of tragedy. A 
week 
                   before the game 12 students were killed and 28 injured on 
the A&M 
                   campus while building a huge bonfire structure for a 
pregame 
                   rally. As FORTUNE went to press the game was scheduled to 
be 
                   played. 

                   This year the Longhorns have been ranked as high as sixth 
in the 
                   AP Top 25, their highest perch since 1996. Their reward? A 
                   possible trip to the Tostitos Fiesta Bowl in January, a 
                   prestigious bowl game despite its name. Each team in the 
game 
                   receives $ 1.5 million. To put it another way, the 
Nebraska 
                   victory paid off for the Longhorns like an Internet IPO. 
So 
                   while Dodds appeared calm amid the post-game celebrations, 
he 
                   was actually more relieved than anything. "If you don't 
win, 
                   you're not doing your job," he said. "And you don't 
survive." 

                   There have been times of real doubt in recent years at UT 
                   athletics as the program struggled to find its way back to 
                   football prominence in the '90s. But perhaps the most 
                   significant crisis occurred in 1992, when seven female 
athletes 
                   filed a lawsuit against the university charging that it 
had 
                   failed to comply with Title IX. When the suit was filed, 
about 
                   37% of UT's varsity athletes were women, and female 
athletes 
                   received about $ 1 million in scholarships, well short of 
the 
                   $ 2.8 million awarded to male varsity athletes. Some 
executives 
                   inside the department wanted to fight the charges. Recalls 
Jody 
                   Conradt, UT's women's athletic director and head coach of 
                   women's basketball: "Some folks said, 'Let's have a final 
war 
                   right here on the University of Texas campus, and let's 
just see 
                   who's right!' Thankfully, DeLoss and others said, 'That's 
not 
                   the way. We need to sit down and come up with a solution. 
" Just 
                   three days after negotiations began, the university 
settled, 
                   essentially agreeing to all demands. Today, 43% of the 
                   department's scholarship dollars are spent for female 
athletes, 
                   who represent 43.7% of UT's athletes. 

                   Dodds believes that if the esteemed founders of college 
sports 
                   had not spurned female athletes from the start, then the 
industry 
                   would not have endured the turmoil that ruling ignited. 
                   "Somebody, somewhere, made a big mistake," he says. 
"Somebody, 
                   somewhere, decided women didn't need to be in sports, and 
I don't 
                   know why we weren't smart enough to fix it sooner." 

                   The person most credited with nudging--some say 
shoving--Texas in 
                   the right direction on gender equity is Donna Lopiano, a 
longtime 
                   activist for equity for women in sports and now head of 
the 
                   Women's Sports Foundation. She became women's athletic 
director 
                   at the University of Texas in 1975, the first woman in the 
                   country to hold an AD title at a major university. Like 
many 
                   advocates for gender equity, she felt the university was 
dragging 
                   toward Title IX compliance, but as a university official 
she 
                   could not openly encourage students to challenge the 
university. 
                   Instead she handed out Title IX manuals and complaint 
forms from 
                   boxes she stashed behind her desk like candy at Halloween. 
"Must 
                   have done it hundreds of times, for 17 years," she says, 
laughing 
                   at the memory. "I had boxes of manuals and more boxes to 
replace 
                   them. I couldn't believe it when somebody finally did it." 
By 
                   "it," she means filed suit. 

                   "It took someone to be abrasive, pushy, and all the other 
                   adjectives her friends use for Donna," says Conradt. 
"Donna 
                   scares people. It wouldn't have happened any other way. No 
                   question, she's the most significant individual for what 
we've 
                   been able to achieve in women's athletics." 

                   Today women's athletics at UT has its own corporate 
structure 
                   and hierarchy. It shares resources with the men in many 
areas, 
                   but it has its own management team, led by Conradt, who, 
like 
                   Dodds, reports to university vice president Pat Ohlendorf. 
Only 
                   a handful of Division I programs are similarly structured. 
"I 
                   think young women need to see women as bosses," Conradt 
says. 
                   "If the [men's and women's] departments merged, how would 
women 
                   get the chance to run any of the areas? This way we have 
role 
                   models for student athletes." 

                   The women still have a long way to go before reaching 
parity in 
                   one critical area--fundraising. Last year gifts received 
by 
                   women's sports totaled only $ 250,000. But the women are 
not 
                   without their boosters, Red McCombs being the biggest. Two 
events 
                   led McCombs to an epiphany regarding women's sports. One 
came 
                   during what he described as a "good ol' Bubba" meeting 
about 
                   fundraising a few years back. When he asked the lone woman 
in the 
                   room to name the most generous donors for women's 
athletics, he 
                   recalls, "She looked at me like I was crazy and said, 'Mr. 
                   McCombs, there are none.'" 

                   Soon afterward, McCombs' young granddaughter told him that 
she 
                   could not find a girls' softball team to join. He realized 
that 
                   wasn't going to change as long as the woman in the good 
ol' Bubba 
                   meeting was right. So four years ago he wrote a check for 
$ 3 
                   million to the UT women's athletic program, the largest 
single 
                   gift to women's collegiate sports anyone can recall. 
Earlier this 
                   year the Red and Charline McCombs Softball Stadium opened 
on UT's 
                   campus. 

                   Title IX clearly stoked the growth in college sports 
programs a 
                   quarter-century ago, but where will the money come from to 
                   sustain future growth? There's at least some concern that 
college 
                   sports is already locked squarely in corporate America's 
cross 
                   hairs as the next sports-marketing frontier. For years 
only the 
                   likes of Nike, Reebok, and other sports brands had major 
deals 
                   with college teams. Now high-tech companies like eBay and 
Nextel 
                   are lining up alongside soft-drink, financial-services, 
and 
                   entertainment companies to sell their products and 
services to 
                   your kids. Companies once worried about being called crass 
for 
                   slapping logos on college campuses. Today there is no 
shame. Take 
                   the annual Texas-Oklahoma game, the meeting of two of the 
most 
                   celebrated rivals in college football history. For two 
years now 
                   it has been called the Dr Pepper Red River Shootout, also 
                   sponsored by Southwestern Bell, Mercedes-Benz, Bank of 
America, 
                   Miller Brewing, and the Texas Land & Cattle Co., a local 
                   restaurant chain. It's worth in excess of $ 100,000 to 
each 
                   school. Be very afraid. 

                   For now, corporate deals remain only a minor revenue 
source for 
                   most big colleges. But as TV money and ticket prices peak, 
and 
                   donors get short arms and can't reach their wallets (after 
a 
                   couple of dog seasons, you'll see what I mean), it could 
become 
                   the most vital source of future growth. Texas' new deal 
with 
                   Nike, for instance, provides UT athletics with up to $ 1.8 
million 
                   in Nike gear, along with $ 850,000 in cash annually for 
the next 
                   nine years. That's equal to the largest sponsorship deal 
in 
                   college sports, and more than twice the value of the 
department's 
                   previous contract with Reebok. 

                   While Dodds is mindful of the need to maintain some 
boundaries 
                   against unbridled commercialism, he's more concerned that 
some 
                   major college programs may be forced out of big-time 
football 
                   altogether because they can't keep up with escalating 
costs. 
                   Sometimes the scale of all this makes Dodds wistful. "What 
I'd 
                   like to do is maybe start over with this whole thing," he 
says, 
                   "because it's gotten to the point where you don't control 
it, you 
                   manage it, and it's a challenge." 

                   Nevertheless: Texas is banking on being a leader in 
e-commerce 
                   for college sports. Sales through its nascent Website are 
almost 
                   nil. But with nearly a half-million Texas Exes out 
here--and 
                   Longhorn football on a roll--the upside is vast. Hook 'em, 
iHorns? 

                   On that Saturday afternoon in the fall when the Longhorns 
grew 
                   up against Nebraska, an elderly fan in dark glasses sat 
quietly 
                   on the front row of a luxury box at the stadium named in 
his 
                   honor. Darrell Royal is still greeted as "Coach Royal" 
around 
                   Austin. He's in awe of his surroundings, amazed that the 
program 
                   he helped build has become a multimillion-dollar 
operation. He 
                   never had to raise funds as a coach, never had to do 
anything 
                   but coach--and, well, fix the place up a bit. "When I 
first got 
                   here in 1954, there was a broken-down old shack in the end 
                   zone," he says. "Caretaker lived there. It took a few 
years, but 
                   we finally got it torn down." He laughed at another 
                   recollection: He couldn't understand why fans refused to 
sit in 
                   an upper section of the stadium until he ventured up and 
                   realized that there were no bathrooms up there. 

                   Coach Royal doesn't much bother Dodds with advice anymore, 
though 
                   he did mention one thing a while back: "I told him, 
'Nothing 
                   makes Texans as happy as winning, and it's happy folks 
that 
                   give.'" Like any good executive, Dodds listened well. 

                   BOX STORY: 

                   University of Texas Athletics Dept. Revenue 1998-99 
                   $ 45.4 million 

                   FOOTBALL revenue 
                   $ 36.1 million 

                   Donations $ 17.5 million 
                   Tickets $ 10.1 
                   TV (Big 12 and NCAA) $ 3.9 
                   Marketing/advertising $ 1.4 
                   Stadium suites $ 0.8 
                   Concessions $ 0.8 
                   Student fees $ 0.4 
                   Other income $ 1.2 

                   NONFOOTBALL revenue 
                   $ 9.3 million 

                   Basketball $ 6.0 
                   Baseball $ 1.4 
                   Other sports $ 1.9 

                   SOURCE: UNIV. OF TEXAS 

                   BOX STORY: 

                   BIG SPENDERS 

                   Budget College Athletics budget AP Top 25 
                   rank in millions football rank 

                   1 Ohio State $ 64.9 - 
                   2 Michigan $ 47.6 10 
                   3 Tennessee $ 45.0 6 
                   4 Wisconsin $ 41.4 4 
                   5 Texas $ 41.2 7 
                   6 Florida $ 39.4 5 
                   7 Kentucky $ 36.5 - 
                   8 Nebraska $ 36.0 3 
                   9 Alabama $ 33.4 8 
                   10 Auburn $ 33.2 - 
                   11 UCLA $ 33.0 - 
                   12 LSU $ 32.0 - 
                   13 Florida State $ 31.0 1 
                   14 Notre Dame $ 30.4 - 
                   15 South Carolina $ 30.1 - 
                   16 Iowa $ 30.0 - 
                   17 Illinois $ 28.3 - 
                   18 Texas A&M $ 27.6 24 
                   19 Clemson $ 27.1 - 
                   20 USC $ 26.7 - 
                   21 Georgia $ 26.5 16 
                   22 Arizona State $ 26.5 - 
                   23 Oklahoma $ 25.3 - 
                   24 Arizona $ 25.0 - 
                   25 Arkansas $ 24.2 17 
                   26 West Virginia $ 23.0 - 
                   27 Kansas $ 22.7 - 
                   28 Georgia Tech $ 21.6 20 
                   29 Virginia Tech $ 20.1 2 

                   As of Nov. 21, 1999. 
                   FORTUNE TABLE/SOURCE UNIV. OF TEXAS