ECW Boss Heyman Over Comes ‘Extreme’ Financial Woes

Last weekend, the future of Extreme Championship Wrestling appeared to be bleak. Several paychecks issued to wrestler's bounced, a certain sign of financial hardship. Paul Heyman, owner of ECW, assured his talent that they would be fully compensated, admitting he needed a little time, and perhaps an outside investor.

When Heyman decided to air events on a pay-per-view basis, the company had to target a wrestling audience outside the northeast. Television time is costly in many markets, and the promotion ante ups about $250,000 per pay-view-view. The revenue generated from the broadcasts takes up to a year before it is received.

ECW is currently expected to receive over a million dollars from pay-per-view buys, but because Viewer's Choice, ECW's pay-per-view distributor, still does not know the exact number of buys, they are holding up payment to the promotion.

The company's financial future has brightened in recent days as underwriting for upcoming pay-per-views from the Buena Vista Entertainment Company, a Disney subsidiary, has ensured that the "Living Dangerously" pay-per-view from Asbury Park, New Jersey will indeed be able to run as scheduled.

ECW’s hardcore product must be considered risqué at best by Disney standards, however, Disney has several subsidiaries that produce more controversial entertainment.

Reports are that Paul Heyman has told his wrestlers that the company is now out of financial hardship, but it was very close to going under. Heyman received a $750,000 loan/advance from Quanton Financing on February 20th, based on unpaid pay-per-view revenue.

The advance saved many wrestlers from jumping ship, especially the international talent base. However, at press time, several pay-per-view bonuses still went unpaid.

Buena Vista opted to co-promote the ECW pay-per-view instead of an outright investment in the company. Buena Vista will advance production costs for the pay-per-view, and will be spending approximately $100,000 in marketing for future pay-per-views. Buena Vista will receive a share of any increase in buy rates.

This maneuver allows ECW to increase its pay-per-view budget, allowing the company to acquire better pyro and special effects and television equipment, to produce a more professional product.

Despite the recent financial problems, wrestlers Taz, Tommy Dreamer, Bubba Ray Dudley, and Shane Douglas had no problems in cashing recent paychecks and received bonuses for their appearances at recent pay-per-views. The group is known as the inner group within the company that for the most part has Paul Heyman's ear when he is seeking advice.

On a few side notes, Joey Styles announced on the ECW Hotline that an ECW video game is scheduled to be released in late 1999 or early 2000.

H&S Media in suburban Chicago will launch the official ECW MAGAZINE in April. ECW Magazine will be published every other month in conjunction with ECW pay-per-views.

H&S Media will also be launching World of Wrestling (WOW) in March 1999; a monthly magazine covering all wrestling promotions similar to Kappa Publishing’s Pro Wrestling Illustrated family of magazines.

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