Presented by: Proposed Sports and Event Complex in Coeur d ...

Estimated Financial Results
The total revenues and expenses estimated in this section are summarized in the following
exhibit.
Estimated Annual Financial Operations
Proposed Coeur d'Alene Event Facility
(2008 Dollars)
Base High
Revenues
Rent $259,000 $345,000
Food and Beverage 225,000 294,000
Parking 117,000 152,000
Advertising 90,000 113,000
Merchandise 25,000 33,000
Other 100,000 125,000
Total Revenues $816,000 $1,062,000
Expenses
Salaries & wages $550,000 $605,000
Utilities 200,000 220,000
Repairs & maintenance 50,000 55,000
Materials & Supplies 30,000 33,000
Insurance 50,000 50,000
General & administrative 100,000 110,000
Management Fee 75,000 75,000
Total Expenses $1,055,000 $1,148,000
Net Profit (Loss) ($239,000) ($86,000)
Capital Repairs
Net Profit (Loss)
125,000 125,000
Including Capital Repairs ($364,000) ($211,000)
Note: The base scenario represents the event and attendance levels estimated
to be sustainable in a typical year of operations. The high scenario
represents a “best case” year in which the facility is successful in attracting
stronger event and attendance levels.
As shown in the exhibit, it is estimated that operations of the proposed facility could result in a
negative net cash flow of approximately $364,000 under the base scenario or $211,000 under the
high scenario. It should be noted that the financial estimates presented herein do not include
potential debt service payments related to the funding of the project. Additional discussion of
potential project funding can be found in Chapter VII.
In order to put these estimated financial results in perspective, the following exhibit compares
the annual revenues, expenses and net losses incurred by four comparable facilities. In order to
provide direct comparisons, capital repairs expenses have been excluded from the Coeur d’Alene
facility estimates, as capital repairs expenses were not included in the operating expense
information provided by the comparable facilities.
Feasibility Analysis of a New Sports and Event Complex in Coeur d’Alene
Financial Analysis
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