Daniel Snyder

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Daniel Snyder on the sideline‎
For other people named Dan or Daniel Snyder, see Daniel Snyder (disambiguation).

Daniel M. Snyder (born November 23, 1965 in Silver Spring, Maryland) is the current owner of the Washington Redskins American football team, Chairman of the Board of Six Flags Inc., the world's largest amusement park and theme park operator[citation needed], owner of the Johnny Rockets restaurant chain, and primary investor in Red Zebra Broadcasting, which is home to the Redskins Radio Network. Snyder has a net worth of $1.3 billion.

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[edit] Early life

Snyder’s father was a freelance writer who wrote for United Press International and National Geographic[citation needed], and he was raised and schooled mostly in nearby Maryland. Snyder took his first job at B. Dalton Bookseller at the age of 14.

At 17, Snyder experienced his first business failure when he partnered with his father to sell bus-trip packages to Washington Capitals fans to see their hockey team play in Philadelphia.

By age 20, he had dropped out of the University of Maryland, College Park[1] and was running his own business, leasing jets to fly college students to spring break in Fort Lauderdale and the Caribbean. Snyder claims to have cleared US$1 million running the business out of his parents' bedroom with a friend and several telephone lines.[2].

Snyder courted real estate entrepreneur Mortimer Zuckerman—whose US News & World Report was also interested in the college market—and who agreed to finance his push to publish Campus USA, a magazine for college students. Zuckerman and Fred Drasner, co-publisher of Zuckerman's New York Daily News, invested nearly $3 million behind Campus USA. That venture could never generate enough paid advertising and was forced to close after three years.

Despite the collapse of CampusUSA, Snyder began to pursue WallBoards, an advertising venture designed to reach "targeted populations," with the backing of Drasner and Zuckerman.

[edit] Business

In 1988, Snyder and his sister Michelle founded a marketing company, Snyder Communications Inc. (SNC). Their activities were mainly outsourced marketing services, such as direct marketing, database marketing, proprietary product sampling, sponsored information display in prime locations, call centers, and field sales.

In an initial public offering for SNC in September 1996, Daniel Snyder became the youngest ever CEO of a New York Stock Exchange listed company at the age of 32[3].

He expanded the company aggressively through a string of acquisitions, and in April 2000, Snyder Communications was sold to the French advertising and marketing services group Havas in an all-stock transaction valued at in excess of US$2 billion, the largest transaction in the history of the advertising/market industry[citation needed]. Snyder’s personal share of the proceeds was estimated to be US$300 million[4].

[edit] Washington Redskins football team ownership

In May 1999, Snyder purchased the Redskins and Jack Kent Cooke Stadium for $800 million following the death of previous owner Jack Kent Cooke[citation needed]. At the time, it was the most expensive transaction in sporting history[citation needed]. The deal was financed largely through borrowed money, including $340 million borrowed from Société Générale and $155 million debt assumed on the stadium[citation needed]. Annual loan servicing costs are an estimated $50 million[citation needed].

While Snyder has been owner, the Redskins' annual profit has increased nearly $100 million[citation needed]. As of 2007, the Redskins are the second-highest grossing team in the National Football League behind only the Dallas Cowboys, who are, incidentally, the team's biggest on-field rivals[5]. This is in part due to sponsorship arrangements with Anheuser-Busch, Coca-Cola, and Sprint, but mainly due to a $207 million deal with FedEx to gain naming rights to the Redskins' stadium, now named FedExField[6]. Snyder paid attention to revenue generation by adding more suites and club seats, enlarging capacity to a league high 84,000[citation needed], and he sold the club seats that had gone empty under the Cooke family reign[citation needed]. Traffic and parking around the stadium have been improved, and two escalators provide access to the club level.

Snyder currently owns expansion rights to an Arena Football League team for the Washington, D.C. market[7].

[edit] Public backlash against Snyder

Since Snyder bought the Redskins, the team has had a losing record.[8] In October 2009, several articles in Washington area newspapers criticized Snyder, alleging that his managerial style was partly to blame for the Redskins' on-field struggles.[9][10][11] A November 24, 2009 article in the Wall Street Journal also questioned whether Snyder's leadership style had alienated the Redskins fan-base, questioning "Are the Redskins Losing Washington?"[12] The article quotes from a Harris Interactive poll showing that whereas the Redskins in 2003 were the 6th most popular NFL team nationally, by 2009 they had fallen to No. 17.

After a 3-7 start to the 2009 Washington Redskins season, criticism of Snyder and his general manager [[Vinny Cerrato], who resigned on December 17, 2009, escalated. Fans and football analysts have criticized the revolving-door of Redskins head coaches employed since Snyder bought the team, as well as Snyder and Cerrato's focus on hiring expensive free agents and trading away draft picks for older players instead of recruiting young talent through the NFL draft.[13] Part way through the 2009 season, Snyder banned all signs from FedEx Field, leading to further fan discontentment. [14] Under Snyder the Redskins have also sued season ticket holders who were unable to pay during the 2008-2009 U.S. recession. [15]

Redskins fans have also expressed discontentment about rising ticket and parking prices, and Snyder's policy of charging fans for tailgates in special areas of the stadium lot.[16]

[edit] Six Flags theme park

In August 17, 2005, Red Zone Capital Management, Snyder’s investment vehicle, began a proxy battle to gain control of Six Flags Inc.'s board of directors[citation needed]. On November 22, 2005, Red Zone took over the loss-making amusement park operator which provided for the removal and replacement of three board members by three new directors, including the CEO, chosen by Snyder[citation needed].

Snyder is the Chairman of the Six Flags board. As of year end 2005, Snyder owned 11.7% of Six Flags Inc.[citation needed] Snyder eliminated the popular Mr. Six character from Six Flags commercials[citation needed]. Unfortunately, despite Snyder's efforts to make it profitable, Six Flags filed for chapter 11 bankruptcy on June 13, 2009[17]. All Six Flags locations remain open for business during bankruptcy proceedings.

[edit] Other ventures

According to his 2001 tax returns, .5% of his annual income was generated from a local independent film company specializing in children's cartoons encouraging proper sensitivity towards minorities[citation needed].

In December 2004, the Maryland-National Capital Park and Planning Commission fined Snyder $100 for cutting down more than 130 mature trees near his $10 million Maryland residence above the Chesapeake and Ohio Canal National Historical Park and the Potomac River without first obtaining permission from the Commission, although the National Park Service had signed off on the project. Lenn Harley, a real estate broker who was not involved in Snyder's purchase of the estate but was familiar with the area, estimated that the relatively unobstructed view of the river and its surroundings that resulted from Snyder's clearing could add $500,000 to $1 million to the home's value[18].

In July 2006, Snyder's Red Zebra Broadcasting launched a trio of sports radio stations in his home market of Washington, D.C. known as Triple X ESPN Radio[citation needed]. He also purchased other radio stations in the mid-Atlantic region, and intends to broadcast coverage of Washington Redskins games on all of his stations[citation needed].

In July 2006, Snyder and other investors signed a deal to provide financing to the production company run by Tom Cruise and his partner, Paula Wagner. This came one week after Paramount Pictures severed its ties with Cruise and Wagner[19]. Snyder is credited as an executive producer for the 2008 movie Valkyrie, which stars Cruise.

In February 2007, it was announced that Snyder's Red Zone Capital Management would purchase Johnny Rockets, the 1950s-themed diner chain[20].

On June 19, 2007, Snyder purchased Dick Clark Productions for $175 million[21] .

In October 2007, Snyder confirmed in London that he is "actively looking for the right opportunity" to enter into business in the English Premier League, most likely through the outright purchase of a soccer team. Tottenham Hotspur F.C. of North London is reported to be the most likely team to be bought by Snyder, which is currently on the market for about $900 million (£450 million) [22].

Snyder is the chairman of the board of Ventiv Health[citation needed], and a board member of McLeodUSA[citation needed].

[edit] Personal

Snyder is married to his wife Tanya, with whom he has two daughters and a son. His two daughters and son attend a private school in Bethesda, Maryland called The Harbor School[citation needed].

On May 3, 2008, Snyder announced at the Larry King Cardiac Foundation in Washington, D.C., that Tanya was being treated for breast cancer[23]. She underwent surgery on Friday, May 2, 2008 at Minnesota's Mayo Clinic.

[edit] References

  1. ^ http://espn.go.com/talent/danpatrick/s/snyder.html
  2. ^ Nariyawala, Mehul (2004-10-28). "EVC Lines Up Dan Snyder as Luncheon Keynote for November 12 Conference [Dan Snyder - From a College Dropout to Billionaire Owner of Washington Redskins]". Chicago Business. http://www.chibus.com/media/storage/paper408/news/2004/10/28/GsbNews/Evc-Lines.Up.Dan.Snyder.As.Luncheon.Keynote.For.November.12.Conference-785894.shtml?norewrite200607250248&sourcedomain=www.chibus.com. 
  3. ^ Muoio, Anna (1997-06). "The Secrets of Their Success - and Yours". Fast Company. http://www.fastcompany.com/magazine/09/one.html. 
  4. ^ Einstein, David (2000-09-08). "The Greening Of The Redskins". Forbes. http://www.forbes.com/2000/09/08/mu1.html. 
  5. ^ Ozanian, Michael K. (2007-09-13). "How 'Bout Them Cowboys?". Forbes. http://www.forbes.com/business/2007/09/13/dallas-cowboys-stadium-biz-07nfl_cx_mo_0913nflintro.html. 
  6. ^ "NFL Team Valuations - #2: Washington Redskins". Forbes. 2007-09-13. http://www.forbes.com/lists/2007/30/biz_07nfl_Washington-Redskins_300925.html. 
  7. ^ McCarthy, Michael (2006-12-19). "ESPN buys stake in Arena Football". USA Today. http://www.usatoday.com/sports/football/2006-12-19-espn-afl_x.htm. 
  8. ^ Albergotti, Reed (2009-11-24). "Are the Redskins Losing Washington". The Wall Street Journal. http://online.wsj.com/article/SB10001424052748704779704574553660931611086.html?mod=WSJ_hpp_MIDDLENexttoWhatsNewsThird. 
  9. ^ Wilbon, Michael (2009-10-13). "Snyder Must Lead Redskins By Getting Out of the Way". The Washington Post. http://www.washingtonpost.com/wp-dyn/content/article/2009/10/13/AR2009101303177.html. 
  10. ^ Jenkins, Sally (2009-10-09). "In Unstable Condition". The Washington Post. http://www.washingtonpost.com/wp-dyn/content/article/2009/10/09/AR2009100903201.html. 
  11. ^ Daly, Dan (2009-10-12). "Problems with Redskins' O-line start at top". The Washington Times. http://www.washingtontimes.com/news/2009/oct/12/dan-daly-problems-with-redskins-o-line-start-at-to/. 
  12. ^ Albergotti, Reed (2009-11-24). "Are the Redskins Losing Washington". The Wall Street Journal. http://online.wsj.com/article/SB10001424052748704779704574553660931611086.html?mod=WSJ_hpp_MIDDLENexttoWhatsNewsThird. 
  13. ^ Albergotti, Reed (2009-11-24). "Are the Redskins Losing Washington". The Wall Street Journal. http://online.wsj.com/article/SB10001424052748704779704574553660931611086.html?mod=WSJ_hpp_MIDDLENexttoWhatsNewsThird. 
  14. ^ Steinberg, Dan (2009-10-27). "Redskins ban signs at FedEx Field". The Washington Post. http://voices.washingtonpost.com/dcsportsbog/2009/10/signs_banned_at_fedex_field.html. 
  15. ^ http://www.washingtonpost.com/wp-dyn/content/article/2009/09/02/AR2009090203887.html?hpid=topnews&sid=ST2009090104025
  16. ^ Leahy, Sean (2009-10-29). "Redskins fans aim vitriol at Daniel Snyder as team's heavy-handed tactics questioned". USA Today. 
  17. ^ "Deep in Debt, Six Flags Is Bankrupt". The New York Times. 2009-06-14. http://www.nytimes.com/2009/06/14/business/14sixflags.html?hpw. 
  18. ^ Craig, Tim (2005-03-16). "Park Service Could Profit From Allowing Snyder To Clear His Land". The Washington Post. p. A01. 
  19. ^ [|Adler, Neil] (2006-08-28). "Dan Snyder accepts latest mission: Tom Cruise". The Washington Business Journal. http://washington.bizjournals.com/washington/stories/2006/08/28/daily20.html. 
  20. ^ Sorkin, Andrew Ross (2007-02-09). "Footballs, Funhouses and Fries". The New York Times. http://www.nytimes.com/2007/02/09/business/09deal.html?th&emc=th. 
  21. ^ Lieberman, David (June 19, 2007). "Dan Snyder buys Dick Clark's TV, music company". USA Today. http://www.usatoday.com/money/media/2007-06-19-redzone-dick-clark_N.htm. Retrieved 2009-09-07. 
  22. ^ "Is Redskins chief on trail of Spurs?". The Daily Mail. 2007-10-27. http://www.dailymail.co.uk/pages/live/articles/columnists/columnists.html?in_article_id=490008&in_page_id=1951. 
  23. ^ "Tanya Snyder Battles Breast Cancer". The Washington Post. 2008-05-05. p. C03. 

[edit] External links

[edit] See also

v • d • e
Current owners of the National Football League (as of 2009)
   
v • d • e
Boston Braves/Boston Redskins/Washington Redskins owners
George Preston Marshall • Jack Kent Cooke • Estate of Jack Kent Cooke • Daniel Snyder
Preceded by
Estate of Jack Kent Cooke		 Washington Redskins Owner
1999-present		 Succeeded by
current owner
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