The former publisher of Sports Illustrated said Thursday that it will discontinue the print edition of the famous magazine after reports surfaced that the company that owns the license is leaning toward licensing it to a rival. The Post reported that he had threatened her.
Arena Group, which was stripped of its license by Authentic Brands in January for refusing to make quarterly payments of $3.75 million, has held a meeting with already reeling staff and told them the May issue will be their last, according to multiple sources. sources told the Post.
The move comes as Manoj Bhargava, the founder of 5 Hour Energy and Arena’s largest shareholder, is agreeing to the remaining three years of his original 10-year, $150 million contract with Authentic owner Jamie Salter. This was done amid calls for renegotiation.
Arena has threatened to fire all of SI’s staff if the license is not returned, and is seeking a $45 million termination fee.
“Manoj says if you don’t give it to us, we will ruin you,” said a source close to the situation. “I think Manoj knows they are not licensed.”
Salter seems unfazed by Bhargava’s sword-like talk of ceasing publication of a magazine that has been on newsstands for 70 years.
“Authentic will guarantee the print publication,” a source close to Salter told the Post.
Arena has been publishing a magazine and SI website while pursuing a new deal with Authentic.
Mr Bhargava’s ultimatum came after Mr Salter indicated he was willing to hand over the license to Minute Media, which publishes The Players Tribune. According to Front Office Sports.
The deal will reportedly separate the famous “Swimsuit” issue from the rest of the publication.
Salter is expected to make a final decision by the end of this month, the paper said.
SI publishes 12 annual issues and several commemorative issues and had approximately 65,000 subscribers in 2023, according to The Alliance for Audited Media.
In its heyday, the sports journalism gem had a circulation of about 3 million copies per week.
