No more Heinz Field?
Sure sounds like it, based on a report Monday from the industry trade Sports & Business Journal, citing multiple sources that Kraft Heinz isn't likely to renew its naming rights deal with the Steelers when it expires in 2021. The deal came with the opening of the stadium in 2001 at a total cost of $57 million, a figure derived from the food giant's iconic promotion of having 57 varieties.
When the deal was signed, the H.J. Heinz Co. was a Pittsburgh institution with a singular headquarters Downtown. In 2015, two years after being bought by equity firms, it was merged with Kraft of Chicago and renamed Kraft Heinz. The company insists it maintains headquarters in both cities, but emphasis has shifted in recent years toward Chicago.
That's one reason a renewal is unlikely. The other is the price tag.
The Steelers collect $2.85 million annually on the current deal, and they're known to be seeking something in the $10 million range, as other NFL teams are getting. With the Heinz name fading in the Kraft Heinz picture -- although it's still globally known for its ketchup brand -- the urgency to push it, particularly in Pittsburgh, isn't seen as worth that level of investment.
Michael Mullen, a Kraft Heinz spokesman, told SJB they're in talks with the Steelers and open to a new agreement: “Kraft Heinz and the Pittsburgh Steelers have enjoyed a long and beneficial relationship over the past 18 years. Both organizations are committed to the partnership for at least the next two seasons, and we look forward to ongoing discussions related to the future.”
Meanwhile, across the lot, PNC Bank and the Pirates have their 20-year, $30 million naming rights agreement expiring at the same time. They, too, have been in talks.
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