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Message: [QUOTE="nzm136, post: 3498082, member: 2531"] Not running deficit is bad business for 2 reasons: 1. Athletic departments are used like PR departments, and there is a customer long term value, such that the cost to attract customers manifests immediately, even though the benefit often appears over many years. 2. Scholarships are included in the cost. The marginal cost to add an extra student isn’t the cost of tuition, even though athletic dept books are dinged with that cost. in short, with the exception of departments which are insanely profitable and out of areas to spend money with good returns on investment, having an AD that breaks even (sand subsidies from the school) is a sign of terrible management. EDIT: The above is also reinforced when you account for soft benefits (academic recruiting, engagement, etc). [/QUOTE]