The University of Arkansas stands to lose potentially millions of dollars related to athletic event cancellations prompted by the coronavirus, Athletic Director Hunter Yurachek told UA System trustees Wednesday.
At the same time, the university plans to refund its season-ticket holders for the spring sports events have been cancelled, a cost of $1.75 million.
Yurachek won’t know for a few weeks just how much revenue will be lost from diminished Southeastern Conference distributions, he said, but right now schools are looking at losing $2 million to $3 million each.
Prior to cancellations, Yurachek expected about $45 million from the SEC.
The university will break even on refunds and possible repayment of sponsorships when factoring in less money spent traveling and conducting other activities, Yurachek said. But it will have a deficit overall because of the loss of SEC funds.
“So we’re looking at deficit as we close out this fiscal year,” Yurachek said. “It would be hard not to have a deficit.”
You don’t want to be Jed Clampett when the oil flow starts drying up, that’s for sure.