by Bill Rabinowitz, THE COLUMBUS DISPATCH , The Columbus Dispatch

Now he knows the Dow Jones industrial average represents a number more important than the plus-minus rating on a hockey statistics sheet.

Funny what an economic meltdown can do for perspective.

"I find myself watching the Dow all the time now," Hitchcock said.

People involved in high-level sports tend to have a myopic view of the world. Single-minded focus is what helped them succeed in such a competitive field.

But these days, it's almost impossible for those in the business of sports to separate themselves from the greater world. The faltering economy is beginning to reshape sports, and no one can predict how widespread the fallout will be.

The Destroyers won't play in 2009 because of the Arena Football League's decision to suspend the upcoming season, largely because of the economy. Although no other local entity looks to be on the verge of disappearing, all already have taken steps to deal with the changing landscape. They are cutting or freezing ticket prices, adjusting to having unsold luxury suites and trying to figure out how to cope if the downturn persists.

Even the normally immune Ohio State football program is feeling the effects.

\ Recession-proof no more

Mike Priest, the Blue Jackets president, describes Columbus not as recession-proof, but recession-resistant. With the state government, Ohio State Universtiy and businesses such as Battelle, Priest said, central Ohio usually isn't buffeted by bad economic times as much as other areas.

But the economy has Priest and others in the local sports industry deeply concerned.

"These are truly unprecedented times," Priest said. "I know we're all overusing that phrase, perhaps, but it truly is like nothing else we've ever seen."

Just how bad is it?

Blue Jackets' attendance has fallen by 628 tickets per home game this season, according to ESPN. (The Jackets say attendance is up 576 per game, including complimentary tickets, compared with the first 18 home games of last season.)

Season-ticket renewals for Ohio State men's basketball were down 20 percent.

Ohio State football might be as close to recession-proof as anything in central Ohio, but the Buckeyes have been unable to sell all of their allotment of 17,500 Fiesta Bowl tickets. Seats are now available to the public, which might be a first for an Ohio State trip to a premier bowl game.

"I would say we're a little surprised, yes," said Bill Jones, OSU's assistant athletic director for ticketing. "It's a culmination of things. I think the economy is 60 to 70 percent of it."

\ Retrenchment all over

The entire sports world is feeling the pinch. Nationally, a sports industry that has become used to megaprofits and seemingly infinite growth has been forced to retrench.

The National Basketball Association eliminated about 80 jobs in October. Major League Baseball trimmed about 20 employees from MLB.com. Even the National Football League, regarded as the gold standard of pro leagues, plans to slash 150 jobs after the Super Bowl on Feb. 1.

"I think a lot of the moves are anticipatory," said sports economist Andrew Zimbalist, a professor at Smith College in Northampton, Mass. "They fear serious problems ahead and want to be in position to deal with them and make adjustments gradually and not have to be faced with a calamitous move."

In the National Hockey League, the league has stepped in with the struggling Phoenix Coyotes by advancing the franchise its anticipated share of playoff revenue. In the Women's National Basketball Association, the Houston Comets, once the league's dominant franchise, recently folded. The Professional Golfers' Association of America and the Ladies Professional Golf Association will play a reduced schedule this year. NASCAR is implementing several cost-cutting measures.

"With golf and tennis and auto racing," Zimbalist said, "it's certainly the case that they depend to a much larger extent on corporate sponsorship dollars than the major team sports do, although sponsorships are important in team sports. That makes them more vulnerable."

\ Discounts for fans

Local sports teams are trying to balance doing what's financially responsible while also trying to attract fans who might otherwise shy away from attending games.

The Blue Jackets are promoting a $10-per-week ticket package in hopes of attracting cash-pinched fans. With students on winter break, Ohio State is emphasizing the opportunity to buy lower-level seats for basketball games to spur walk-up sales. The Memorial has decided not to raise ticket prices for next year's golf tournament.

"If there's ever a time when you have to be sensitive to your fans, it has to be now," Priest said. "We believe that people need entertainment probably now as much as ever."

Although the discounts might attract more fans to games, the loss of revenue is significant.

"We're certainly going to feel it," Priest said. "We've already adjusted our projections and know we're not going to hit the revenue marks that we expected. But I don't know of any business right now that is hitting its numbers."

The decreased revenue from declining attendance and discounted tickets is compounded by the reduction in income from corporate support. Much of a team's profit expectations are based on revenue from corporations, such as from naming rights and luxury suites.

Struggling companies increasingly view major sponsorships of sports teams as an unnecessary expense.

"That is, without a doubt, a big concern," Priest said. "We see it across the board. It's taking many more sponsors to try to generate the same dollars."

Fortunately for the Blue Jackets and Ohio State, luxury suites are sold on long-term contracts, so most have not been up for renewal since the economic crisis hit.

"We went through a renewal period two years ago, and a handful were up for renewal this summer," OSU's Jones said. "I think we had a couple that didn't renew. I think we're a little more than 90 percent full, so we're in pretty good shape."

At Huntington Park, new home for the Columbus Clippers, president and general manager Ken Schnacke said three of the 24 luxury suites are completely unsold and a few others are partly sold.

"I don't think that's too bad," he said. "I guess I would have liked for them to be completely gone by the end of (2008), but I don't think that's going to happen."

\ Bowl game tickets available

The downturn has hit Ohio State's football program, although it might take a depression for season tickets to become available.

Ben Jay, senior associate athletic director for finance and operations, said even though concessions remained strong this fall, there was "softness" in football merchandise and program sales.

The real eye-opener has been the slow ticket sales for the Fiesta Bowl on Monday against Texas. The last time Ohio State was able to make bowl tickets available to the public was four years ago for the Alamo Bowl in San Antonio after a down season. Jones said approximately 3,000 Fiesta Bowl tickets have not been sold.

If it's any consolation to the athletic department, Ohio State is not alone in having slow bowl sales. Jones said he heard all Big Ten teams were struggling in selling bowl tickets, and reports from Miami say that scalpers are unloading tickets for the Orange Bowl between Cincinnati and Virginia Tech for as little as $1.

\ Pain will be shared

Any dent in revenue from the football program is significant because profits from that sport largely fund an Ohio State athletic department that fields 36 sports, the most of any college in the country.

The athletic department is an auxiliary unit of the university, meaning that it gets no money from tuition or the state and must be financially self-sufficient. With a $115 million annual budget, keeping the coffers full is imperative.

Already, Ohio State is tightening its belt. Capital equipment expenditures have been put on hold, Jay said, and open staff positions that aren't close to being filled won't be, at least temporarily. Coaches and department heads have been asked to eliminate any unnecessary expense.

Ohio State has eliminated nonessential travel and limited staff travel. Some teams used to flying on charter airplanes might have to fly commercial. Some trips that now use commercial flights might be done by bus.

"We are taking careful, proactive planning to be ready for a long-term downturn," Jay said.

At least timing appears to be on the Buckeyes side. After a dozen years of ambitious construction projects, the biggest-ticket item on the current agenda is a $22 million upgrade of the basketball practice facilities.

Jay said he anticipates the project proceeding as planned, but if the department's finances change, so could the project timetable.

"There's always that chance (of delaying) until my development people give a report of how it's looking," he said.

\ Serious community service

Much of the fallout from the recession has been reflected in statistics. But the pain is suffered by people. That is something to which those in the local sports community are sensitive.

The Blue Jackets, for example, always have had a strong community-service presence. Now, they are taking that role even more seriously.

"The players, without flaunting it, have really dug in in some areas of the city, trying to help," Hitchcock said. "There's the obvious charities players work for, but it goes beyond that. Everybody is watching to see where else they can help."

The Blue Jackets have bought Christmas presents for needy families and ill children and donated to food banks and homeless shelters.

Center Michael Peca said the empathy comes naturally because most hockey players have blue-collar backgrounds.

"We all feel for what families are going through because we kind of went through that growing up," he said. "Fortunately, we've been given the gift of playing a game that pays a lot of money. But we realize what the economy has done to a lot of families and communities."

Hitchcock has preached to his players the need these days not to show off their wealth. Bling might as well be a four-letter word.

"Yeah, it's not a good word," Hitchcock said. "Not at all."

\ Bleak future or better?

No one can predict the length or severity of this recession. For those whose responsibilities include budgeting, that can be frustrating.

"It is hard to plan," Jay said. "You can only take the best guess of what your experts are telling you. We're already taking a look at our budget planning for (the 2010 fiscal year). We have already told our coaches not to expect an operating increase in their budgets. We're conservatively planning that way.

"You take that $115 million and it shrinks pretty fast when you look at what you can actually maneuver with. The only wiggle room we have is with about $30 million."

If the recession deepens severely, well, that's not something anyone wants to contemplate.

"We're no different than any other business," Priest said. "That's just the reality. Our economy has always improved, and I believe wholeheartedly it will, ultimately. How long and how sustained this is going to be, I can't tell you. How difficult will it be between now and the time of recovery, I can't tell you.

"All we know is we're doing our best to hunker down and manage in a situation that's unprecedented."

brabinowitz@dispatch.com

Box Story: How Columbus sports teams are weathering the recession \

Ohio State

How it has been affected: Bowl tickets still available to the public, a rarity. Men's basketball season-ticket renewals down 20 percent.

How it is coping: All unnecessary expenditures put on hold.

Reasons for optimism: OSU football still an economic behemoth. Strong start by both men's and women's basketball teams should help walk-up crowds.

Outlook: Buckeyes' status as kings of local sports scene matters, but cuts are unavoidable. \

Blue Jackets

How they have been affected: Attendance is down significantly again this year.

How they are coping: Heavily promoting discounted ticket packages.

Reasons for optimism: Run at playoffs could generate boost at the gate. Salary-cap system means Jackets still can compete with bigger-market teams.

Outlook: Falling out of playoff contention early could really hurt bottom line. \

Clippers

How they have been affected: A few luxury suites not sold. Some sponsorships remain available.

How they are coping: Banking on the fact that new Arena District stadium and new affiliation with Cleveland Indians will create buzz that has been missing for triple-A franchise.

Reasons for optimism: See above, plus reasonable ticket prices.

Outlook: Won't know until April, but signs look favorable. \

Crew

How it has been affected: Too soon to know.

How it has coping: Counting on momentum from MLS championship to carry into 2009.

Reasons for optimism: It's good to be the king. Ticket prices are up but still affordable.

Outlook: Too early to tell, but championships matter. \

Destroyers

How they have been affected: Won't play in 2009 after Arena Football League suspended its season.

How they are coping: Lead partner Jim Renacci is leading the effort to establish a new economic framework for the league.

Reasons for optimism: If Renacci succeeds, league could return with a sustainable business model.

Outlook: Once a niche sport leaves, is it dead? Time will tell. \

The Memorial

How it has been affected: Some patrons have asked to wait until next year to recommit.

How it is coping: Will not raise ticket prices for 2009.

Reasons for optimism: Not as reliant on corporate support (no pro-am, no title sponsor) as most PGA events. It's still the Memorial.

Outlook: Still too early to tell, but prestige of event should help carry it through difficult times.

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