Q4 2023 Liberty Media Corp Earnings Call - Q&A

February 28, 2024

[music].

Operator: Subs by www.zeoranger.co.uk Greetings and welcome to the Liberty Media Corporation and Atlanta Brave Holdings 2023 year-end earnings call. At this time, all participants are in a listen-only mode.

Ben Swinburne: Tonight's same.

Yeah.

Brian Wendling: Greetings and welcome to the Liberty Media Corporation and Atlanta Braves Holdings 2023 Year-End Earnings Call. At this time, all participants are in a listen-only mode. A brief question-and-answer session will follow the formal presentation. If anyone should require operator assistance during the conference, please press star zero on your telephone keypad. As a reminder, this conference is being recorded. It is now my pleasure to introduce your host, Shane Kleinstein, Senior Vice President of Investor Relations. Thank you, Shane. You may begin.

Speaker Change: Greetings and welcome to the Liberty Media Corporation, and Atlanta Braves, holding 2023 at year end earnings call.

At this time all participants are in a listen only mode. A brief question and answer session will follow the formal presentation. If anyone should require operator assistance. During the conference. Please press star zero on your telephone keypad. As a reminder, this conference is being recorded it is now my pleasure to introduce your host Shane cleansing senior Vice President of Investor Relations.

Operator: A brief question and answer session will follow the formal presentation. If anyone should require operator assistance during the conference, please press star zero on your telephone keypad. As a reminder, this conference is being recorded. It is now my pleasure to introduce your host, Shane Kleinstein, Senior Vice President of Investor Relief. Thank you, Shane.

Shane: Sharon you may begin.

Shane Kleinstein: You may begin. Thank you. Good morning.

Renee Wilm: Thank you. Good morning. Before we begin, we'd like to remind everyone that this call includes certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Actual events or results could differ materially due to a number of risks and uncertainties, including those mentioned in the most recent Form 10-K filed by Liberty Media and Atlanta Braves Holdings with the SEC. These forward-looking statements speak only as of the date of this call, and Liberty Media and Atlanta Braves Holdings expressly disclaim any obligation or undertaking to disseminate any updates or revisions to any forward-looking statement contained herein to reflect any change in Liberty Media or Atlanta Braves Holdings' expectations with regard thereto, or any change in events, conditions, or circumstances on which any such statement is based.

Shane Kleinstein: Thank you. Good morning. Before we begin, we'd like to remind everyone that this call includes certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Actual events or results could differ materially due to a number of risks and uncertainties, including those mentioned in the most recent Form 10-K filed by Liberty Media and Atlanta Braves Holdings with the SEC. These forward-looking statements speak only as of the date of this call, and Liberty Media and Atlanta Braves Holdings expressly disclaim any obligation or undertaking to disseminate any updates or revisions to any forward-looking statement contained herein to reflect any change in Liberty Media or Atlanta Braves Holdings' expectations with regard thereto, or any change in events, conditions, or circumstances on which any such statement is based.

Shane Cleansing: Thank you and good morning, before we begin we'd like to remind everyone that this call includes certain forward looking statements within the meaning of the private Securities Litigation Reform Act of 1995.

Shane Kleinstein: Before we begin, we'd like to remind everyone that this call includes certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. However, actual events or results could differ materially due to a number of risks and uncertainties, including those mentioned in the most recent Form 10-K filed by Liberty Media and Atlanta Breeze Holdings with the SEC. These forward-looking statements speak only as of the date of this call, and Liberty Media and Atlanta Braves Holdings expressly disclaim any obligation or undertaking to disseminate any updates or revisions to any forward-looking statement contained herein to reflect any change in Liberty Media' or Atlanta Braves Holdings' expectations with regard thereto, or any change in events, conditions, or circumstances on which any such statement is based.

Shane: Actual events or results could differ materially due to a number of risks and uncertainties, including those mentioned in our most recent form Form 10-K, followed by Liberty Media and Atlanta Braves holdings with the SEC.

Shane: These forward looking statements speak only as of the date of this call and Liberty Media and Atlanta Braves Holdings expressly disclaim any obligation or undertaking to disseminate any updates or revisions to any forward looking statement contained herein to reflect any change in liberty media or Atlanta Braves holdings expectations with regard there to or any change in events conditions or circumstances.

Shane: Stances on which any such statement is based.

Renee Wilm: On today's call, we will discuss certain non-GAAP financial measures for Liberty Media, SiriusXM, and Atlanta Braves Holdings, including adjusted OIBDA and adjusted EBITDA. The required definitions and reconciliations for Liberty Media, SiriusXM, and Atlanta Braves Holdings Schedules I through III can be found at the end of the earnings press releases issued today, which are available on Liberty Media and Atlanta Braves Holdings websites. Now I'd like to turn the call over to Greg Maffei, Liberty's President and CEO.

Shane Kleinstein: On today's call, we will discuss certain non-GAAP financial measures for Liberty Media, SiriusXM, and Atlanta Braves Holdings, including adjusted OIBDA and adjusted EBITDA. The required definitions and reconciliations for Liberty Media, SiriusXM, and Atlanta Braves Holdings Schedules I through III can be found at the end of the earnings press releases issued today, which are available on Liberty Media and Atlanta Braves Holdings websites. Now I'd like to turn the call over to Greg Maffei, Liberty's President and CEO.

Shane Kleinstein: On today's call, we will discuss certain non-GAAP financial measures for Liberty Media, Sirius XM, and Atlanta Braves Holdings, including adjusted OIBA and adjusted EBITDA. The required definitions and reconciliations for Liberty Media, Sirius XM, and Atlanta Braves Holdings, Schedules 1 through 3, can be found at the end of the earnings press releases issued today, which are available on Liberty Media and Atlanta Bra Now I would like to turn the call over to Greg Maffei, Liberty's President and CEO. Thank you, Shane, and good morning to all.

Shane: On today's call, we will discuss certain non-GAAP financial measures for Liberty media, Siriusxm, and Atlanta Braves holdings, including adjusted OIBDA and adjusted EBITDA, the required definitions and reconciliations for Liberty media, Siriusxm and Atlanta Braves Holdings schedules one through three can be found at the end of the earnings press releases issued today, which are available on Liberty media and.

Shane: The brands Holdings' website, now I would like to turn the call over to Greg Maffei, Liberty's President and CEO.

Greg Maffei: Thank you, Shane, and good morning to all. Today, speaking in the call, we will also have Formula One's President and CEO, Stefano Domenicali, and Liberty's Chief Accounting and Principal Financial Officer, Brian Wendling. Also, during the Q&A, we will answer any questions related to Atlanta Braves Holdings, and Braves' management will be available too. So let me begin with Liberty SiriusXM. The LSXM Sirius transaction is on schedule. We filed the preliminary proxy on January 30th, rather. We still expect to close by early Q3, and the NAV discount, which was about 42% prior to announcement, is now closed to about 25% as we had hoped, and we expect it will continue to close. Looking at SiriusXM itself, the strong operating and financial performance that it had in 2023 showed the durability of the business.

Gregory B. Maffei: Shayne and good morning to all.

Gregory B. Maffei: Today speaking on the call, we will also have Formula One's President and CEO, Stefano Domenicali, and Liberty's Chief Accounting and Principal Financial Officer, Brian Wendling. Also, during the Q&A, we will answer any questions related to Atlanta Braves Holdings, and Braves Management will be available. So let me begin with Liberty Siri SXM. The LSXM Siri transaction is on schedule. We filed the preliminary proxy on... January 1st, or rather January 30th.

Gregory B. Maffei: Today speaking on the call. We will also have formula one's president and CEO Stefano Domenicali.

Shane: And Liberty's, Chief accounting and principal financial Officer, Brian Wendling.

Speaker Change: Also during the Q&A, we will answer any questions related to Atlanta Braves holdings, and brace management will be available too.

Speaker Change: So let me begin with Liberty Sirius XM.

Speaker Change: Elisa Siri transaction is on schedule.

Speaker Change: We filed the preliminary proxy.

Speaker Change: The first.

Speaker Change: January 30th Robyn, we still expect to close by early Q3.

Gregory B. Maffei: We still expect to close by early Q3. And the NAV discount, which was about 42% prior to the announcement, is now closed to about 25%, as we had hoped, and we expect it will continue to grow. Looking at SiriusXM itself, the strong operating and financial performance that it had in 2023 showed the durability of the business; self-payment ads were up in the second half, as expected, boosted by streaming. The strong margins and free cash flow generation remained, largely through cost discipline.

Speaker Change: And the NAV discount, which was about 42% prior to announcement is now close to about 25% as we had hoped.

Speaker Change: And we expect it will continue to close I'm looking at Sirius XM itself.

Speaker Change: The strong operating and financial performance that it had in 2023 showed the durability of the business.

Greg Maffei: Self-pay net adds were up in the second half as expected, boosted by streaming. The strong margins and free cash flow generation remained largely through cost discipline. Importantly, they rebuilt their tech stack and relaunched their app in the fourth quarter, and we're beginning to show positive early results from that with better personalization, promising engagement, and improved service quality. We believe these initiatives, as well as the incremental content they added, will continue to drive long-term growth. Looking at the 2024 priorities at the business, first, increasing 360L adoption and boosting conversion and retention, continuing to deliver engaging content. Recently, they signed the quite popular SmartLess podcast with Jason Bateman, Will Arnett, and Sean Hayes. We do expect self-pay net add improvement throughout the year, and there is a focus on maintaining stable EBITDA margins and free cash flow.

Speaker Change: Self pay net adds were.

Speaker Change: In the second half as expected boosted by streaming the strong margins and free cash flow generation remained largely through cost discipline.

Gregory B. Maffei: Importantly, they rebuilt their tech stack and relaunched their app in the fourth quarter, and we're beginning to show positive early results from that with better personalization, promising engagement, and improved service quality. We believe these initiatives, as well as the incremental content they add, will continue to drive long-term growth. Looking at the 2024 priorities of the business, First, increasing 360L adoption and boosting conversion and retention, and continuing to deliver engaging content. Recently, they signed the quite popular Smart List podcast with Jason Bateman, Will Arnett, and Sean Hayes.

Speaker Change: Importantly, they rebuilt their tech stack and relaunched their app in the fourth quarter and we're beginning to show positive early results from that with better personalization promising engagement and improved service quality. We believe these initiatives as well as the incremental content. They added will continue to drive long term growth.

Speaker Change: At the 2024 priorities of the business.

Speaker Change: First increasing 360, how adoption and boosting conversion and retention continuing to deliver engaging content recently, they signed quite popular smartwatch podcast with Jason Bateman will Arnett and Shawn Hayes.

Gregory B. Maffei: We do expect self-pay net ad improvement throughout the year, and there is a focus on maintaining stable, inhibitive margins and free cash. I look forward to remaining involved personally in the next evolution of the business as chairman and a shareholder. Turning to Formula One Group, 2023 was an amazing year at F1. We saw double-digit growth across all revenue streams and adjusted OIBA to up 22%.

Speaker Change: We do expect self pay net adds improvement throughout the year.

Speaker Change: And there was a focus on maintaining stable EBITDA margins and free cash flow.

Greg Maffei: I look forward to remaining involved personally in the next evolution of the business as chairman and a shareholder. Turning to Formula One Group, it was an amazing 2023 at F1. We saw double-digit growth across all revenue streams and adjusted OIBDA up 22%. We see a strong commercial start to the season, four race promotion renewals including Silverstone, a ten-year deal with venue upgrades in our important heritage market, and a new race in Madrid beginning in 2026, which will be a partial street race with convenient fan access. We do see continued growth in fandom. Recently, this week, F1 joined Threads, and 2.8 million followers were on board at the platform after half a day of use.

Speaker Change: I look forward to remaining involved personally in the next evolution of the business as chairman and a shareholder.

Speaker Change: Turning to Formula One group.

Speaker Change: <unk> 2023, and a half one.

Speaker Change: We saw double digit growth across all revenue streams and adjusted OIBDA up 22%.

Gregory B. Maffei: We see a strong commercial start to the season, four race promotion renewals, including Silverstone, a 10-year deal with venue upgrades in our important heritage market, and a new race in Madrid beginning in 2026, which will be a partial street race with convenient fan access. We do see continued growth in FANDA. Recently, this week, F1 joined Thread. 2.8 million followers were on board the platform after half a day. We closed the Quint acquisition in January, and as we previously noted, there are growing partnership opportunities from Quint with F1, LBGP, and other sports properties, including the Kentucky Derby and the NBA All-Star Game. Let me turn to Vegas for a minute.

Speaker Change: We see a strong commercial start to the season for race promotion renewals, including Silverstone, a 10 year deal with venue upgrades.

Speaker Change: Heritage market.

Speaker Change: And a new race in Madrid, beginning in 2026, which will be a partial street race when convenient fan access.

Speaker Change: We do see continued growth in sandals.

Speaker Change: Recently this week F. One joined threat and $2 8 million followers were on board at the platform after half a day of use.

Greg Maffei: We closed the Quint acquisition in January, as we previously noted, and that growing partnership opportunities from Quint with F1, LBGP, and other sports properties, including the Kentucky Derby and the NBA All-Star Game. Let me turn to a minute to Vegas. It was an incredible race. We were fortunate to have such a great outcome with a record 181 overtakes, and the podium came down to the final lap. It was a great result for Formula One. It created new commercial opportunities and generated fantastic global buzz. A high percentage of the first-time F1 attendees and massive audiences tuned into this race. It drew marquee brands to F1, for example, American Express, T-Mobile, Moët Hennessy, Google, and we think these brands, and the marquee aspects of joining Vegas, will continue to help us in 2024 and beyond. It was also hugely successful for the local community.

Speaker Change: We closed the quaint acquisition in January as we previously noted.

Speaker Change: That growing partnership opportunities for Quint with F. One L. B G P and other sports properties, including the Kentucky Derby and the NBA All Star game, let.

Speaker Change: Let me turn for a minute to Vegas.

Gregory B. Maffei: It was an incredible race. We were fortunate to have such a great outcome with a record 181 overtakes; the podium came down to the final lap. It was a great result for Formula One; it created new commercial opportunities and generated fantastic global buzz. A high percentage of the first-time F1 attendees and massive audiences tuned in to this race. It drew marquee brands to F1, for example, American Express, T-Mobile, Mot Hennessy, and Google. And we think these brands and the marquee aspects of joining Vegas will continue to help us in 2024 and beyond. It was also hugely successful for the local community. The total economic impact of the race was estimated at $1.2 billion.

Speaker Change: It was an incredible race, we were fortunate to have such a great outcome with a record of 181 overtakes.

Speaker Change: Podium came down to the final lap. It was a great result for Formula one and created new commercial opportunities and generated fantastic Global bus.

Speaker Change: A high percentage of first time F. One attendees and massive audiences tuned into this race.

Speaker Change: It drew marquee brands to have one for example, American Express T mobile Moet Hennessy, Google and we think these brands and the marquee aspects of joining Vegas will continue to help us in 'twenty 'twenty four and beyond.

Speaker Change: It was also hugely successful the local community to total economic impact of the race was estimated at $1 $2 billion and the average visitor spent three six times, what a typical visitor spend for a non F. One of them.

Greg Maffei: The total economic impact of the race was estimated at $1.2 billion, and the average visitor spent 3.6 times what a typical visitor spends for a non-F1 event. We look forward to building on the success of LBGP in 2024. For example, we're going to increase the GA and expand the product offerings at various price points. We're going to optimize the cost structure. The year-round commercialization efforts at Grand Prix Plaza are developing, but we will expect only a modest contribution from those in 2024. Corporate events at that site kicked off around the Super Bowl this year. In summary, the Vegas race exceeded our expectations on many levels, even though year-one costs came in higher than we had anticipated. We do not intend to disclose race specifics on this race consistent with our practice across all races.

Gregory B. Maffei: And the average visitor spent 3.6 times what a typical visitor spends for a non-F1 event. We look forward to building on the success of LBGP in 2024. For example, we're going to increase the GA and expand the product offerings at various price points.

Speaker Change: We look forward to building on the success of Adobe GP in 2024 for example, we're going to increase the G eight and expand the product offerings at various price points, we're going to optimize the cost structure.

Gregory B. Maffei: We're going to optimize the cost structure. The year-round commercialization efforts at Grand Prix Plaza are in development, but we will expect only a modest contribution from them in 2024. Corporate events at that site kicked off around the Super Bowl this year. In summary, the Vegas Reefs exceeded our expectations on many levels, even though year one costs came in higher than we had anticipated. We do not intend to disclose race-specific information on this race, consistent with our practice across all races.

Speaker Change: The year round commercial.

Speaker Change: Commercialization efforts at Grand Prix Plaza are developing but we will expect only a modest contribution from those in 2024.

Speaker Change: Corporate events at that site kicked off around the Super Bowl this year.

Speaker Change: In summary, the Vegas rates exceeded our expectations on many levels, even though year one costs came in higher than we had anticipated we do not intend to close disclose race specifics on this race consistent with our practice across all races.

Greg Maffei: I would note that we are kicking off the F1 season with testing in Bahrain, which occurred, and look forward to the first race in Bahrain this weekend. Turning to Live Nation, 2023 was the biggest year ever, where there were all-time highs for attendance, ticket sales, and sponsorship. Concert attendance grew 20% with 145 million fans. Global demand for concerts continues to grow. The top 50 tours did 50% more international acts in 2023. We have an incredible pipeline for 2024 with no sign of consumer slowdown. We're seeing strong demand across all price points. For example, large venue shows are up double digits, and 65% of full-year large venue shows are already booked versus only 50% last year at this time. The number of shows at amphitheaters and other operated venues will also increase in 2024. Let me turn to the Braves.

Gregory B. Maffei: I would note that we are kicking off the F1 season with testing in Bahrain, which has already happened, and look forward to the first race in Bahrain this weekend. Turning to Live Nation, 2023 was the biggest year ever, where there were all-time highs for attendance, ticket sales, and sponsorship. Concert attendance grew 20% with 145 million fans. Global demand for concerts continues to grow.

Speaker Change: I would note that the kit, we are kicking off the F. One season with testing in Bahrain, which occurred and look forward to the first race in Bahrain. This weekend.

Speaker Change: Turning to live nation.

Speaker Change: 2023 was the biggest year ever.

Speaker Change: They were all time highs for attendance ticket sales and sponsorship.

Speaker Change: Attendance grew 20% with 145 million fans.

Speaker Change: Mobile demand for concerts continues to grow the top 50 towards do 50% more international acts in 2023.

Gregory B. Maffei: The top 50 tours did 50% more international acts in 2023. We have an incredible pipeline for 2024 with no sign of a consumer slowdown. We're seeing strong demand across all price ranges. For example, large venue shows are up double digits, and 65% of full-year large venue shows are already booked versus only 50% last year at this time. The number of shows at amphitheaters and other operated venues will also increase in 2020. Let me turn to the Braves.

Speaker Change: We have an incredible pipeline for 2024 with no sign of consumer slowdown, we're seeing strong demand across all price points.

Speaker Change: For example, large venue shows were up double digits and 65% full year large venue shows are already booked versus only 50%.

Speaker Change: Last year at this time.

Speaker Change: The number of shows at amphitheaters and other operated venues will also increase in 2024.

Speaker Change: Let me turn to the Braves, obviously, there was incredible team performance in 2023, so much to highlight I don't want.

Greg Maffei: Obviously, there was incredible team performance in 2023. So much to highlight. I'd note one, the 947 runs scored was the first in MLB, and it tied an MLB home run record as well for the team. The Braves also experienced great financial growth for the year. Baseball revenue was up 9%. We've seen continued success results in higher payments under MLB's revenue sharing plan, so that is the one negative about our continued revenue growth. I'd also note the Battery revenue was up 10%, and adjusted OIBDA was up 11%. We clearly benefit from the strengths of the Braves' territory. In a recent study by YouGov, the Braves had 8.4 million fans in the South region, number one in MLB, and over 65% of all other local sports teams' fans support the Braves, which is the highest crossover of any fandom in Atlanta.

Gregory B. Maffei: Obviously, there was an incredible team performance in 2023. So much to highlight. I'd note one, the 947 runs scored was the first in MLB, and it tied an MLB home run record as well. The Braves also experienced great financial growth for the year. Baseball revenue was up 9%. We've seen continued success result in higher payments under MLB's revenue-sharing plan, so that is the one negative about our continued revenue growth. But I'd also note the battery revenue was up 10%, and not just at OY, but it was up 11%. We clearly benefit from the strengths of the Braves territory in a recent study by YouGov. The Braves have 8.4 million fans in the South region, number one in MLB, and over 65% of all other local sports team fans support the Braves, which is the highest crossover of any fandom in Atlanta.

Speaker Change: The 947 runs scored was the first and MLB and entitled MLP Homerun record as well for the team.

Speaker Change: The Braves also experienced great financial growth for the year baseball revenue was up 9%.

Speaker Change: We see continued success, resulting in higher payments under Mlps revenue sharing plans. So that is the one negative about our continued revenue growth.

Speaker Change: But I'd also note the battery revenue was up 10% and adjusted OIBDA was up 11%.

Speaker Change: We clearly benefit from the strength of the Braves territory.

Speaker Change: In a recent study by you Gov.

Speaker Change: The Braves had $8 4 million fans in the South region number one and MLB.

Speaker Change: And over 65% of all other local sports teams fan support the Braves, which is the highest crossover of any banjo in Atlanta.

Greg Maffei: We've seen encouraging early-season trades, including for seven-time All-Star Chris Sale and outfielder Jarred Kelenic. We are well-positioned for future commercial and on-field success. For example, 2024 season tickets are already sold out, and there is a 16,000-person waitlist. We are looking forward with bated breath to the home opener against the D-backs on 5 April 2024. And with that, let me turn it over to Brian for more on our financial results.

Gregory B. Maffei: We've seen encouraging early-season trades, including for seven-time All-Star Chris Sill and outfielder Jared Kalenick. We are well positioned for future commercial and on-field success. For example, 2024 season tickets are already sold out, and there is a 16,000-person wait. We are looking forward with bated breath to the home opener against the D-backs on April 5th. And with that, I will turn it over to Brian for more on our finances. Thank you, Greg, and good morning, everyone.

Speaker Change: We've seen encouraging early season trades, including for.

Speaker Change: For seven time all-star Crisil and outfielder Jared Kalinic, we are well positioned for future commercial and unfilled success.

Speaker Change: For example, 2020 for season tickets already sold out and there is a 16000 person waitlist.

Speaker Change: We are looking forward with bated breath to the home opener against the D backs on April 5th.

Speaker Change: And with that let me turn it over to Brian for more on our financial results.

Brian Wendling: Thank you, Greg, and good morning, everyone. At year-end, Liberty SiriusXM Group had attributed cash, liquid investments, and monetizable public holdings of $90 million. This excludes $216 million of cash held directly at SiriusXM. During the quarter, Liberty SiriusXM repaid the remaining $199 million outstanding principal of its 1.375 basket convertible notes using cash on hand. Also, during Q4, Liberty SiriusXM paid down $80 million under the margin loan, $61 million of which was from the monetization of its 1.8 million batter K-shares. At quarter-end, there's $1.1 billion of undrawn margin loan capacity at the parent level related to our SiriusXM margin loan. As of 27 February, the value of our SiriusXM stock was $15 billion. We have $1.3 billion in principal amount of debt against these holdings. Total Liberty SiriusXM Group attributed principal amount of debt is $11.1 billion, which includes $9.3 billion of debt held directly at SiriusXM.

Brian J. Wendling: You, Greg and good morning, everyone at year end Liberty Siriusxm group had attributed cash liquid investments and monetize public holdings of $90 million.

Brian J. Wendling: At year-end, Liberty Sirius XM Group had cash, liquid investments, and monetizable public holdings of $9 billion. This excludes $216 million of cash held directly at stake. During the quarter, Liberty Sirius XM repaid the remaining $199 million outstanding principal of its 1.375 basket convertible notes using cash on hand. Also, during Q4, Liberty Sirius XM paid down $80 million under the Margin loans, $61 million of which was from the monetization of its $1.5 billion loan.

Brian J. Wendling: This excludes $216 million of cash held directly at Sirius XM.

Brian J. Wendling: During the quarter Liberty Sirius XM repaid the remaining 199 million outstanding principal of its one 375 basket convertible notes using cash on hand also during Q4 Liberty Sirius XM paid down $80 million under the margin loan 61 million of which was from the monetization of its one point.

Brian J. Wendling: $8 million better case shares.

Brian J. Wendling: $8 million better cashier. At quarter end, there was $1.1 billion of undrawn margin loan capacity at the parent level related to our SiriusXM margin loan. As of February 27th, the value of our SiriusXM stock was $15 billion, and we had $1.3 billion in principal amount of debt against these wholesalers. The total Liberty Sirius XM Group attributed principal amount of debt is $11.1 billion, which includes $9.3 billion of debt held directly at Sirius XM.

Brian J. Wendling: Quarter end, there was $1 1 billion of Undrawn margin loan capacity at the parent level related to our <unk>.

Brian J. Wendling: Sirius XM margin level.

Brian J. Wendling: As of February 27th the value of our Sirius XM stock was $10 15 billion.

Brian J. Wendling: We have $1 3 billion in principal amount of debt against these holdings total Liberty Sirius XM group attributed principal amount of debt is $11 1 billion, which includes $9 3 billion of debt held directly at Sirius XM.

Brian Wendling: Turning to the Formula One Group, at quarter-end, Formula One Group had attributed cash and liquid investments of $1.4 billion, which includes $1 billion of cash held directly at Formula One. Note the Quint acquisition closed in January, which will be a use of Formula One Group cash. Total Formula One Group attributed principal amount of debt was $2.9 billion, which includes $2.5 billion of debt at Formula One, leaving $533 million at the corporate level. F1's $500 million revolver remains undrawn, and leverage at the end of the year was 1.9x. As we've said in the past, the F1 business is best analyzed on an annual basis, so we'll only be speaking to full-year results. Total revenue grew 25% in 2023 with double-digit growth across all primary revenue streams.

Brian J. Wendling: Turning to the Formula One Group, at quarter end, Formula One Group had attributed cash and liquid investment, which includes $1 billion of cash held directly. Note the Quinn Acquisition closed in January, which will be a use of FOG cash. The total Formula 1 group attributed principal amount of debt was $2.9 billion, which includes $2.5 billion of debt at Formula 1, leaving $500 billion, and F-1's $500 million revolver remains undrawn, and leverage at the end of the year was $1.5. As we've said in the past, the F1 business is best analyzed on an annual basis, so we'll only be speaking to full-year results.

Brian J. Wendling: Turning to the Formula One group at quarter end Formula One group had attributed cash and liquid investments of $1 4 billion, which includes <unk>.

Brian J. Wendling: 1 billion of cash held directly at Formula One now with the Quin acquisition closed in January which will be a use of formula One group cash.

Brian J. Wendling: Total Formula One group attributed principal amount of debt was $2 9 billion, which includes $2 5 billion of debt at Formula one, leaving $533 million at the corporate level.

Brian J. Wendling: N F. One $500 million revolver remains undrawn and leverage at the end of the year was one nine times.

Brian J. Wendling: As we've said in the past they have one business is best annualized on an annual basis. So we'll only be speaking to full year results.

Brian J. Wendling: Total revenue grew 25% in 2023, with double-digit growth across all primary revenues. Year-over-year revenue increases include the significant revenue generation from self-promoting the Las Vegas Grand Prix, including ticketing revenue, which is included in race promotion, sponsorship revenue, which is recognized accordingly, and hospitality and experience income, which is included in other F1 revenues. Race promotion revenue also benefited from the mix of events held compared to 2022, with two additional flyaway races this year with Qatar and Las Vegas versus Imola and France in the prior year. And sponsorship and media rights revenue grew due to increased fees under new and renewed contracts with Marshall.

Brian J. Wendling: Total revenue grew 25% in 2023 with double digit growth across all primary revenue streams year over year revenue increases include the significant revenue generation from self promoting the Las Vegas Grand Prix, including ticketing revenue, which is included in race promotion sponsorship revenue, which is recognized accordingly.

Brian Wendling: Year-over-year revenue increases include the significant revenue generation from self-promoting the Las Vegas Grand Prix, including ticketing revenue, which is included in race promotion, sponsorship revenue, which is recognized accordingly, and hospitality and experience income, which is included in other F1 revenue. Race promotion revenue also benefited from the mix of events held compared to 2022, with 2 additional flyaway races this year with Qatar and Las Vegas versus Imola and France in the prior year. Sponsorship and media rights revenue grew due to increased fees under new and renewed commercial agreements. Other F1 revenue grew 42% or $196 million, driven by hospitality and experiences, largely attributed to the Las Vegas Grand Prix, as well as growth in the Paddock Club at other events, partially offset by reduced freight income due to easing of freight cost inflation.

Brian J. Wendling: And hospitality and experienced income.

Brian J. Wendling: Included in other F. One revenue rates.

Brian J. Wendling: <unk> promotion revenue also benefited from the mix of events held compared to 2022 with two additional flyway races. This year with Qatar and Las Vegas.

Brian J. Wendling: Versus MLR in France in the prior year and sponsorship and media rights revenue grew due to increased fees under new and renewed commercial agreements.

Brian J. Wendling: Other F. One revenue grew 42% or $196 million driven by hospitality and experiences largely attributed to the Las Vegas Grand Prix as well as growth in the Paddock club and other events, partially offset by reduced freight income due to easing of freight cost inflation.

Brian J. Wendling: Other F-1 revenue grew 42%, or $196 million, driven by hospitality and experiences, largely attributed to the Las Vegas event, as well as growth in the paddock club and other events, partially offset by reduced freight income due to the easing of freight cost inflation. Team payments as a percent of pre-team adjusted OIVD as reported were 63% in 2023, down from 66% in 2018. Other costs of F1 revenue increased from 23% of total revenue the previous year to 32% of total revenue, primarily driven by promoting, organizing, and delivering, as well as increased costs of servicing. All right.

Brian Wendling: Team payments as a percent of pre-team adjusted OIBDA, as reported, was 63% in 2023, down from 66% in 2022. Other costs of F1 revenue increased from 23% of total revenue in the prior year to 32% of total revenue this year, primarily driven by promoting, organizing, and delivering the Las Vegas Grand Prix, as well as increased costs of servicing additional hospitality offerings. SG&A at 7% of total revenue was in line with historic averages. Corporate and other adjusted OIBDA was a loss of $39 million in 2023, which includes the $15 million of revenue for use of the pit building during the Las Vegas race weekend. Formula One incurs a fixed monthly rent payment that approximates depreciation, plus a variable rent component during the race weekend.

Brian J. Wendling: Same payments as a percent of pre team adjusted OIBDA as reported was 63% in 2023 down from 66% in 2022.

Brian J. Wendling: Other costs of F. One revenue increased from 23% of total revenue in the prior year to 32% of total revenue. This year, primarily driven by promoting organizing and delivering the Las Vegas Grand Prix as well as increased cost servicing additional hospitality offerings.

Brian J. Wendling: SG&A at 7% of total revenue was in line with historic averages.

Brian J. Wendling: SG&A at 7% of total revenue was in line with historic averages. Corporate and other adjusted OIVD was a loss of $39 million in 2023, which includes the $15 million of revenue for use of the Pitt Building during the Las Vegas race weekend. Formula One incurs a fixed monthly rent payment that approximates depreciation, plus a variable rent component during the race week. Note that the fixed rent payment in 2023 reflects only a portion of the years the building wasn't occupied until closer to the race. Corporate level expense at Formula One Group was also elevated due to the split off and reclassification. 2024, Formula One Group, corporate, and other. Quinn Acquisition that closed in January as well as for a full year. Looking to 2024, F1 will host 24 races with the return of China and Imola compared to 2020.

Brian J. Wendling: Corporate and other adjusted OIBDA was a loss of $39 million in 2023, which includes the $15 million of revenue for use of the pit building during the Las Vegas race weekend Formula one incurs a fixed monthly rent payment that approximates depreciation plus a variable rent component during the race weekend.

Brian Wendling: Note that the fixed rent payment in 2023 reflects only a portion of the years the building wasn't occupied until closer to the race weekend. Corporate level expense at Formula One Group was also elevated due to the split-off and reclassification costs. In 2024, Formula One Group corporate and other adjusted OIBDA will benefit from the Quint acquisition that closed in January, as well as a full year of the rent payments. Looking to 2024, F1 will host 24 races with the return of China and Imola compared to 22 races in this past year. Quickly looking at a few cash items, F1 estimates its cash tax rate in 2024 to be a high single-digit % of F1 adjusted OIBDA, increasing towards low double digits in future years as a result of the UK tax rate increase.

Brian J. Wendling: Note that the fixed rent payment in 2023 reflects only a portion of the year as the building wasn't occupied until closer to the race weekend Corp.

Brian J. Wendling: Corporate level expense at Formula One group was also elevated due to the split off and reclassification costs in 2020 for Formula One group corporate and other adjusted OIBDA will benefit from the <unk> acquisition that closed in January as well as a full year of the rent payments.

Brian J. Wendling: Looking to 2024 F. One will those 24 races, with a return of China, and MLR compared to 22 races. In this past year.

Brian J. Wendling: Quickly looking at a few cash items, F-1 estimates its cash tax rate in 2024 to be a high single-digit percent of F-1 adjusted OIVD, increasing towards low double digits in future years as a result of F-1. Total CapEx incurred at the Formula One Group in 2023 was $426 million, approximately $390 million of which related to the development of LVAC. The majority of which was incurred at the Liberty Live!

Brian J. Wendling: Quickly looking at a few cash items F. One estimated cash tax rate and 24 to be a high single digit percent of F. One adjusted OIBDA, increasing towards low double digits in future years as a result of the U K tax rate increase.

Brian Wendling: Total CapEx incurred at the Formula One Group in 2023 was $426 million, approximately $390 million of which related to the development of LBGP, with the majority incurred at the Formula One Group corporate level. At the Liberty Live Group, there's attributed cash, liquid investments, and monetizable public holdings of $418 million, which includes ETF assets. There's $400 million of undrawn margin loan capacity related to our Live Nation margin loan. As of 27 February, the value of the Live Nation stock was $6.5 billion. We have $1.2 billion in principal amount of debt against these holdings. Liberty and our consolidated subsidiaries are in compliance with their debt covenants at quarter-end. Then quickly looking at the Braves, the Braves business is also best analyzed on an annual basis due to fluctuations in game count.

Brian J. Wendling: Capex incurred at the Formula One group in 2023 was 420 $26 million, approximately 390 million of which related to the development of a L. B G. P. <unk> with the majority of incurred at the Formula One group corporate level.

Brian J. Wendling: At the Liberty Life group Theres attributed cash liquid investments and monetize it with public holdings of $418 million, which includes ETF assets.

Brian J. Wendling: Group, there's attributed cash, liquid investments, and monetizable... $15 million, which includes ETF assets. There's $400 million of undrawn margin loan capacity related to our Live Nation business. And as of February 27th, the value of the Live Nation stock was $6.4 billion. We have $1.2 billion in principal amount of debt. Liberty and our consolidated subsidiaries are in compliance with their debt covenants at quarter end. And then quickly looking at the Bra

Brian J. Wendling: There's $400 million of Undrawn margin loan capacity related to our live nation marches on.

Brian J. Wendling: And as of February 27th the value of the live nation stock was $6 5 billion.

Brian J. Wendling: We have $1 2 billion in principal amount of debt against these holdings.

Brian J. Wendling: Liberty and our consolidated subsidiaries are in compliance with our debt covenants at quarter end and then quickly looking at the Braves. The brake business is also best analyzed on an annual basis due to fluctuations in game count.

Brian Wendling: Baseball revenue increased 9% in 2023, primarily due to increased ticket demand and attendance, leading to a 14% growth in baseball event revenue and 8% growth in retail and licensing revenue. Other baseball revenue declined primarily due to fewer concerts held compared to the prior year. The Battery had another great year, with mixed-use revenue increasing 10%. Total adjusted OIBDA decreased for the year, primarily due to increased player payroll expense as Braves management continues to invest in its on-field success, including a number of trades and accelerated player signings in December of 2023. Adjusted OIBDA for the mixed-use development increased 11% in 2023. Just a reminder that SG&A was elevated for the full year due to the split-off costs. We would anticipate a $10 to 15 million annual run rate for corporate overhead at the Atlanta Braves Holdings.

Brian J. Wendling: The Braves business is also best analyzed on an annual basis due to fluctuation. Baseball revenue increased 9% in 2023, primarily due to increased ticket demand, leading to a 14% growth in baseball event revenue and 8% growth in retail. Other baseball revenue declined primarily due to fewer concerts held compared to the prior year.

Brian J. Wendling: Baseball revenue increased 9% in 2023, primarily due to increased ticket demand and attendance leading to a 14% growth in baseball that revenue and 8% growth in retail and licensing revenue.

Brian J. Wendling: Other baseball revenue declined primarily due to fewer concerts held compared to the prior year.

Brian J. Wendling: <unk> had another great year with mixed use revenue increasing 10%.

Brian J. Wendling: Total adjusted OIBDA decreased for the year, primarily due to.

Brian J. Wendling: Increased player payroll expense as braised management continues to invest in its on field success, including a number of trades and accelerated player signings in December of 2023.

Brian J. Wendling: The battery had another great year with mixed-use revenue increasing 10%. Total adjusted oil debt decreased for the year primarily due to increased player payroll expense as Braze Management continues to invest in its on-field success, including a number of trades and accelerated player signings. Adjusted OIBD for the mixed-use development increased 11% in 2020. And just a reminder that SG&A was elevated for the full year due to the split-off costs. We would anticipate a $10 to $15 million annual run rate for corporate overhead. With that, I'll turn it over to Stefano to discuss Formula 1. Thanks, Brian.

Brian J. Wendling: Adjusted OIBDA for the mixed use development increased 11% in 2023.

Brian J. Wendling: Just a reminder, that SG&A was elevated for the full year due to the split off costs, we would anticipate a $10 million to $15 million.

Brian J. Wendling: Annual run rate for corporate overhead at the Atlanta Braves Holdings.

Brian Wendling: With that, I'll turn it over to Stefano to discuss Formula One.

Brian J. Wendling: With that I'll turn it over to Stefano to discuss Formula one.

Renee Wilm: Thanks, Brian. The 2023 season delivered incredible racing and record financial results. On the track, we want to recognize Max Verstappen and Red Bull once again on their superb performance. The rest of the grid battled until the end. The race for second in the Constructors' Championship came down to the final lap of the season between Mercedes and Ferrari. McLaren and Aston Martin battled for fourth, with McLaren intensifying the competition after a solid mid-season upgrade. Oscar Piastri had a stellar rookie season, securing 97 points, including two podiums and a Sprint Race victory. Albon fans had much to cheer about as he scored points in a number of races in 2023, helping Williams finish seventh, showing good progress under James Vowles' leadership. Across the entire 2023 season, six teams were represented on the podium, a reflection of the talent up and down the grid.

Stefano Domenicali: Thanks, Brian. The 2023 season delivered incredible racing and record financial results. On the track, we want to recognize Max Verstappen and Red Bull once again on their superb performance. The rest of the grid battled until the end. The race for second in the Constructors' Championship came down to the final lap of the season between Mercedes and Ferrari. McLaren and Aston Martin battled for fourth, with McLaren intensifying the competition after a solid mid-season upgrade. Oscar Piastri had a stellar rookie season, securing 97 points, including two podiums and a Sprint Race victory. Albon fans had much to cheer about as he scored points in a number of races in 2023, helping Williams finish seventh, showing good progress under James Vowles' leadership. Across the entire 2023 season, six teams were represented on the podium, a reflection of the talent up and down the grid.

Stefano Domenicali: Thanks, Brian.

Stefano Domenicali: So it doesn't take you three season delivers incredible racing our record financial results.

Stefano Domenicali: The 2023 season delivered incredible racing and record financial results. On the track, we want to recognize Max Verstappen and Red Bull once again for their superb performance. The rest of the group battled until the end.

Stefano Domenicali: On the track, we want to recognize and that's supposed to happen.

Stefano Domenicali: And once again on this before.

Stefano Domenicali: The rest of the Greek baffled until the end.

Stefano Domenicali: The race for second in the Constructors' Championship came down to the final lap of the season between Mercedes-Benz and Ferrari. McLaren and Aston Martin battled for fourth, with McLaren intensifying the competition after a solid mid-season performance. Oscar Piastri had a stellar rookie season, securing 97 points, including two podiums and a sprint race win.

Stefano Domenicali: So at least for this cycle in the construct of churn came.

Stefano Domenicali: It came down to define the lap of the season between the savings and Sarawak.

Stefano Domenicali: Mclaren Aston Martin.

Stefano Domenicali: Full force with Mclaren intensify the competition after a solid mid season that great.

Stefano Domenicali: I was kept yesterday at a stellar rukia season, securing 97 points included two programs in the spring to basically.

Stefano Domenicali: And album fans have much to cheer about as he scored points in a number of races in 2023, helping Williams finish seventh, showing good progress under James Dowles later that season. Across the entire 2023 season, six teams were represented on the podium, a reflection of the talent up and down. The new regulations are increasingly benefiting competition across the field, and we believe this will continue in 2024 as the benefits of the cost cap and the technical regulations continue to mature. Financially, the business generated record revenue and adjusted OEB debt for the All-Primary Revenue Stream Group, benefiting from new and renewed commercial agreements. Furthermore, our Paddle Club had an incredibly strong year, with hospitality and experiences revenue growing nearly 100% year-on-year. This was driven by the expansive suite of hospitality and experience offerings at the Las Vegas Grand Prix as well as growth in our core Paddle Club product, with the Paddle Club selling-out at 10 of 19 events. Towards the end of the season, we had the spectacular Inagola-Las Vegas round.

Stefano Domenicali: Album fence as much to cheer about as these core points and the number of races. In 2063 healthy Williams finished seventh showing good progress on the James <unk> leadership.

Stefano Domenicali: Across the entire so it doesn't it's a season six themes were represented on the board.

Stefano Domenicali: A reflection of the talent up and down.

Renee Wilm: The new regulations are increasingly benefiting competition across the field, and we believe this will continue in 2024 as the benefit of the cost cap and the technical regulation continue to mature. Financially, the business generated record revenue and adjusted OIBDA for the year. All primary revenue stream grew, benefiting from new and renewed commercial agreements. Furthermore, our Paddock Club had an incredibly strong year, with hospitality and experiences revenue growing nearly 100% year-over-year. This was driven by the expansive suite of hospitality and experience offerings at Las Vegas Grand Prix, as well as growth in our core Paddock Club product, with the Paddock Club sell-out at 10 of 19 events. Towards the end of the season, we had the spectacular inaugural Las Vegas Grand Prix. It was a formidable undertake in moving the project from startup planning to race delivery in little more than one year.

Stefano Domenicali: The new regulations are increasingly benefiting competition across the field, and we believe this will continue in 2024 as the benefit of the cost cap and the technical regulation continue to mature. Financially, the business generated record revenue and adjusted OIBDA for the year. All primary revenue stream grew, benefiting from new and renewed commercial agreements. Furthermore, our Paddock Club had an incredibly strong year, with hospitality and experiences revenue growing nearly 100% year-over-year. This was driven by the expansive suite of hospitality and experience offerings at Las Vegas Grand Prix, as well as growth in our core Paddock Club product, with the Paddock Club sell-out at 10 of 19 events. Towards the end of the season, we had the spectacular inaugural Las Vegas Grand Prix. It was a formidable undertake in moving the project from startup planning to race delivery in little more than one year.

Stefano Domenicali: The new regulation.

Stefano Domenicali: But if you think competition across the field and we believe this will continue in 2024.

Stefano Domenicali: <unk> of the cost cap and the technical regulations continue to mature.

Stefano Domenicali: Financially the business generated record revenue and adjusted OIBDA.

Stefano Domenicali: For all.

Stefano Domenicali: Our primary revenue stream grew benefiting from new and renewed commercial agreement.

Stefano Domenicali: Furthermore, our public cloud as an incredibly strong year with hospitality experiences revenue growing nearly 100%.

Stefano Domenicali: <unk> year on year.

Stefano Domenicali: These were driven by the extensive suite of hospitality mosquitoes offerings at Las Vegas lumpy as well as growth in our core public blip with a bubble clips allowed 10 of 19 events too.

Stefano Domenicali: Towards the end of the season, we had this spectacular and I go to the Las Vegas roughly.

Stefano Domenicali: It was a formidable undertaking moving the project from start-up planning to race delivery in little more than one year. We are incredibly proud of the Las Vegas team who worked with multiple stakeholders in the city and within the wider F1 community to deliver an incredible event on and off the track. Total ticket sales were $316,000 for the weekend.

Stefano Domenicali: It was a formidable undertaking moving the project from startup planning to raise delivered in little more than one year, we added reasonably crowd of the Las Vegas team worked with multiple stakeholders in the city.

Renee Wilm: We are incredibly proud of the Las Vegas team who worked with multiple stakeholders in the city and within the wider F1 community to deliver an incredible event on and off the track. Total ticket sales were 316,000 for the weekend. The race was thrilling from start to finish. Charles Leclerc passed at Perez on the last lap to secure his second-place finish. The race generated fan-reaching multi-platform buzz and drew in new viewers who had not engaged all season. The local economic benefit generated by this race is remarkable. Local casino partners had record revenue, with monthly gaming revenue for Clark County at an all-time high for the month of November. Stepping back to the broader calendar, the 2023 season overall delivered another year of record attendance. 6 million total fans attended the race weekend, up 5% compared to the 2022 season.

Stefano Domenicali: We are incredibly proud of the Las Vegas team who worked with multiple stakeholders in the city and within the wider F1 community to deliver an incredible event on and off the track. Total ticket sales were 316,000 for the weekend. The race was thrilling from start to finish. Charles Leclerc passed at Perez on the last lap to secure his second-place finish. The race generated fan-reaching multi-platform buzz and drew in new viewers who had not engaged all season. The local economic benefit generated by this race is remarkable. Local casino partners had record revenue, with monthly gaming revenue for Clark County at an all-time high for the month of November. Stepping back to the broader calendar, the 2023 season overall delivered another year of record attendance. 6 million total fans attended the race weekend, up 5% compared to the 2022 season.

Stefano Domenicali: The wider the F. One community to deliver an incredible event on on and off the track.

Stefano Domenicali: Total ticket sales were 316000 for the weekend.

Stefano Domenicali: The race was trading from the start to the finish. Charlie Clapp passed Paris on the last lap to secure his second place, the race-generated, fan-riching, multi-platform bus and drew in new viewers who hadn't engaged all... The local economic benefit generated by this race is remarkable; local casino partners had record revenue, with monthly gaming revenue for Clark County at an all-time high for the month of November. Tapping back to the broader calendar, the 2023 season overall delivered another year of record attendance. 6 million total fans attended the race weekend, up 5% compared to the 2022 season. 12 races promoted reported a new attendance record, including 480,000 at Silverstone, 445,000 at Melbourne, 405,000 in Mexico, and 308,000 in Belgium. Raise attendance remains strong through the end of the season with record crowds in So Paulo and Abu Dhabi. F1 fans tuned in across... Last season, we worked closely with our media partner and created new tools to estimate digital viewership on platforms and channels not covered by Nielsen. Our findings suggest an additional 29% of voters are not currently covered by traditional measurements globally, representing almost 20 million on average per race week.

Stefano Domenicali: Was trading from the start to finish Charlotte, let pass the status on the lost lots of securing a second place finish.

Stefano Domenicali: <unk> generated funds, reaching multiplatform bus and doing new viewers wasn't engaged old season there.

Stefano Domenicali: The local economic benefit generated by these waste is remarkable local casino partners had to breakout revenue with mostly gaming revenue for Clark County at all time high for the month of November.

Stefano Domenicali: Getting back to the broader calendar 2023 season overall delivered another year of record attendance 6 million total sense attended that as we get up 5% compared to the 2022 seasons.

Renee Wilm: 12 race promoters reported new attendance as record, including 480,000 at Silverstone, 445,000 at Melbourne, 405,000 in Mexico, and 308,000 in Belgium. Race attendance remained strong through the end of the season, with record crowds in São Paulo and Abu Dhabi. F1 fans tuned in across platforms. Last season, we worked closely with our media partner and created new tools to estimate digital viewership on platforms and channels not covered by Nielsen. Our findings suggest an additional 29% of audience are not currently covered by traditional measurement globally, representing almost 20 million on average per race weekend. The share of digital viewership is much higher for markets like the US, where fans rely more on video on demand and streaming platforms to watch races, especially those at less convenient times for live viewing.

Stefano Domenicali: 12 race promoters reported new attendance as record, including 480,000 at Silverstone, 445,000 at Melbourne, 405,000 in Mexico, and 308,000 in Belgium. Race attendance remained strong through the end of the season, with record crowds in São Paulo and Abu Dhabi. F1 fans tuned in across platforms. Last season, we worked closely with our media partner and created new tools to estimate digital viewership on platforms and channels not covered by Nielsen. Our findings suggest an additional 29% of audience are not currently covered by traditional measurement globally, representing almost 20 million on average per race weekend. The share of digital viewership is much higher for markets like the US, where fans rely more on video on demand and streaming platforms to watch races, especially those at less convenient times for live viewing.

Stefano Domenicali: Whoever it is promoted with both the newer tenders as railroads, including 480440 5000, the mobile well under the <unk> 5000 in Mexico and 308000 in Belgium.

Stefano Domenicali: Recent tenders remain strong through the end of the season with record crowds and somehow and Abu Dhabi.

Stefano Domenicali: <unk> Q in the cross platform last season, we worked closely with our media partners and create new tools to estimate these the viewership on platforms and channels not covered by Nielsen I would've finding suggests an additional 29% of orders have not currently covered by traditional measurement globally representing.

Stefano Domenicali: Almost $20 million on average per race weekend. This.

Stefano Domenicali: The share of digital viewership is much higher for markets like the US, where fans rely more on video-on-demand and streaming platforms to watch races, especially those at less convenient times for live viewing. We will keep working with Nielsen this year to incorporate more of these digital audiences into their standard reporting to provide the most accurate picture of our total audience. Looking at broadcast TV, the cumulative TV audience for the 2023 season, excluding digital viewership, was 1.5 billion, and average viewership per race was approximately 70 million. In the U.S., cumulative viewership was up 4% compared to the prior year, setting a new season cumulative TV audience record.

Stefano Domenicali: The share of digital viewership is much higher for markets like the U S.

Stefano Domenicali: Rely more on video on demand as premium class is the worst races, especially those with less convenient times full live viewing we will keep working with Nielsen this year to incorporate more of these digital audiences into their standard reporting to provide the most accurate picture of our total orders.

Renee Wilm: We will keep working with Nielsen this year to incorporate more of these digital audiences into their standard reporting to provide the most accurate picture of our total audience. Looking at broadcast TV, cumulative TV audience for the 2023 season excluding digital viewership was 1.5 billion, and average viewership per race was approximately 70 million. In the US, cumulative viewership was up 4% compared to the prior year, setting a new season cumulative TV audience record. Importantly, viewership among the under-35, and female demographics grew across all of our markets. Our sprint series continued to drive increased engagement throughout the season, which boosted TV audiences and race weekend attendances. For our sponsor, there was an over 50% increase in average brand exposure during the sprint weekends. We look forward to the sixth event in 2024.

Stefano Domenicali: We will keep working with Nielsen this year to incorporate more of these digital audiences into their standard reporting to provide the most accurate picture of our total audience. Looking at broadcast TV, cumulative TV audience for the 2023 season excluding digital viewership was 1.5 billion, and average viewership per race was approximately 70 million. In the US, cumulative viewership was up 4% compared to the prior year, setting a new season cumulative TV audience record. Importantly, viewership among the under-35, and female demographics grew across all of our markets. Our sprint series continued to drive increased engagement throughout the season, which boosted TV audiences and race weekend attendances. For our sponsor, there was an over 50% increase in average brand exposure during the sprint weekends. We look forward to the sixth event in 2024.

Stefano Domenicali: Look at that broke STV cumulative <unk> orders for 2023 season, excluding digital viewership was $1 5 billion and average viewership per race was approximately $70 million.

Stefano Domenicali: In the U S cumulative viewership was up 44% compared to the prior year setting a new season cumulative T V orders record importantly, viewership of moldy under 35, and he made the mobile graphics grew across all of our markets.

Stefano Domenicali: Importantly, viewership among the under 35 and female demographics grew across all of our markets. Additionally, our spring series continued to drive increased engagement throughout the season, which boosted TV audiences and raised weekend attendance. For our sponsor, there was an over 50% increase in average brand exposure during the spring weekend. We look forward to the sixth event in 2024. Formula One was once again the fastest-growing major sports league on social media for the fourth year in a row, with the highest growth rate compared to the 11 other global sports, including NBA, NFL, and Champions League.

Stefano Domenicali: Print Sirius continues to drive increased engagements throughout this season, which boosted television audience as a race weekend look businesses, but our sponsor there was an over 50% decrease in average Brent exposure during the spring because we.

Stefano Domenicali: We look forward to the 60 bed till 2024.

Renee Wilm: Formula One was once again the fastest-growing major sport league on social media for the fourth year in a row, with the highest growth rate compared to the 11 other global sports, including NBA, NFL, and Champions League. We grew to 70.5 million followers on social media, up 17% from the prior year, with continued growth, especially in the US, where social media followers were up 28%. The US continues to make up our largest audience on YouTube and TikTok social platforms. For our F1.com and F1 app platforms, over 100 million unique visitors viewed over 3.1 billion pages, an increase of +10% over 2022. Consumption of highlight videos on our web and app also grew by 35%. We made greater commercial progress in 2023, securing contracts that will underpin our continued future success. As of year-end, we had over $12 billion in future revenue under multi-year contracts.

Stefano Domenicali: Formula One was once again the fastest-growing major sport league on social media for the fourth year in a row, with the highest growth rate compared to the 11 other global sports, including NBA, NFL, and Champions League. We grew to 70.5 million followers on social media, up 17% from the prior year, with continued growth, especially in the US, where social media followers were up 28%. The US continues to make up our largest audience on YouTube and TikTok social platforms. For our F1.com and F1 app platforms, over 100 million unique visitors viewed over 3.1 billion pages, an increase of +10% over 2022. Consumption of highlight videos on our web and app also grew by 35%. We made greater commercial progress in 2023, securing contracts that will underpin our continued future success. As of year-end, we had over $12 billion in future revenue under multi-year contracts.

Stefano Domenicali: Furthermore, one was once again, the fastest growing major sport legal social media or the.

Stefano Domenicali: Fourth the eating at all with the highest growth rate compared to the 11th the other global sports, including NBA NFL and Chantilly.

Stefano Domenicali: We grew to 70.5 million followers on social media, up 17% from the prior year. With continued growth, especially in the U.S., where social media followers were up 28%. The U.S. continues to make up our largest owners on YouTube and TikTok Social.

Stefano Domenicali: Grew to 71 5 million followers on social media.

Stefano Domenicali: Up 17% from the prior year with continued growth, especially in the U S with social media followers were up 28%.

Stefano Domenicali: The U S continues to make up of our largest audience on Youtube and those sorts of vessels.

Stefano Domenicali: For our F1.com and F1 app platforms, over 100 million unique visitors viewed over 3.1 billion pages, an increase of plus 10% over 2021. Construction of highlight videos on our web and app also grew by 35%. And we made greater commercial progress in 2023, securing contracts that will underpin our continued future success. As of year-end, we have over $12 billion in future revenue under multi-year contracts. Our momentum continues during the off-season and into 2024.

Stefano Domenicali: What I would add one comment F. One app platforms over 100 million unique visitors viewing over <unk> 1 billion pages. I think these are lost 10% over 2022 conceptual highlight videos or novel Web and App also grew by 35%.

Stefano Domenicali: And we made greater commercial progress in 2023, securing conflicts that will underpin our continued future success.

Stefano Domenicali: As of year end, we had over $12 billion in future revenue under multiyear contracts our momentum continued during the off season and into 2024 hour.

Renee Wilm: Our momentum continued during the off-season and into 2024. On race promotion, we are prioritizing the quality and the value of every race slot, having reached what we believe is a comfortable near-term max of 24 races. Early this month, we announced 10-year extension with Silverstone and look forward to enhancements to the Paddock Club and other physical infrastructure upgrades at the circuit. We are excited to welcome the Madrid Grand Prix under a 10-year agreement in a brand-new circuit, with both street and non-street segments from 2026. The race has plans to invite 110,000 fans initially and has potential to expand to over 140,000 over several years. We also announced 5-year extension for our Japan and Brazil races. With this announcement, we have now finalized all contract negotiations for the 2025 season and will turn our attention to optimize the race calendar for 2026 and beyond.

Stefano Domenicali: Our momentum continued during the off-season and into 2024. On race promotion, we are prioritizing the quality and the value of every race slot, having reached what we believe is a comfortable near-term max of 24 races. Early this month, we announced 10-year extension with Silverstone and look forward to enhancements to the Paddock Club and other physical infrastructure upgrades at the circuit. We are excited to welcome the Madrid Grand Prix under a 10-year agreement in a brand-new circuit, with both street and non-street segments from 2026. The race has plans to invite 110,000 fans initially and has potential to expand to over 140,000 over several years. We also announced 5-year extension for our Japan and Brazil races. With this announcement, we have now finalized all contract negotiations for the 2025 season and will turn our attention to optimize the race calendar for 2026 and beyond.

Stefano Domenicali: On race promotion, we are prioritizing the quality and the value of every race slot, having reached what we believe is a comfortable near-term maximum of 24 races. Early this month, we announced a 10 years extension with Silverstone and look forward to enhancements to the Paddock Lab and other physical infrastructure upgrades at the. We are excited to welcome the Madrid Grand Prix under the 10 Years Agreement in a brand new circuit with both street and non-street segments from 2026. The race has plans to invite 110,000 fans initially and has the potential to expand to over 140,000 over several years.

Stefano Domenicali: Our race promotion, we are prioritizing the quality and the value of every race slots have you reached what we believe is a comfortable near to a Max of 24 races.

Stefano Domenicali: Earlier this month, we announced 10 years extension would Silverstone and look forward with enhancements to the other club and other physical infrastructure upgrades of the circuit. We are excited to welcome them other.

Stefano Domenicali: 10 years agreement in a brand new stupid with both suites that no sweet segments in 2026 that asos plans driven by the 110000 initially and that has potential to expand to over 140000 over several years.

Stefano Domenicali: We also announced a five-year extension for our Japan and Brazil races. With this announcement, we have now finalized all contract negotiations for the 2025 season and will turn our attention to optimizing the risk calendar for 2026 and beyond. Additionally, on MediaRite, we are delighted to have recently secured a long-term pan-regional deal across the MENA region with its biggest sport platform, BEIN Sport.

Stefano Domenicali: Also announced five years are essential for our Japan, and Brazil races, with these announcements we have now finalized the old contract negotiation for the 2025 season, and we've turned our attention to optimize at least calendar for 2026 and beyond.

Renee Wilm: Additionally, on media rights, we are delighted to have recently secured a long-term pan-regional deal across the MENA region, with its biggest sports platform being beIN SPORTS. This is on the heels of over half of those at renewal signed in 2023. F1 continues to benefit from the demand for live global premium content. We are broadcasting in 200 territories and have a well-diversified portfolio of media rights contracts across markets, typically ranging from 3 to 5 years. As we have said, alternative bidders, including digital players, are increasingly showing interest in live sports and increasing competition for scarce media rights. Our F1 TV product has grown significantly since launch, with active F1 TV Pro subscribers growing 37% in 2023 compared to 2022.

Stefano Domenicali: Additionally, on media rights, we are delighted to have recently secured a long-term pan-regional deal across the MENA region, with its biggest sports platform being beIN SPORTS. This is on the heels of over half of those at renewal signed in 2023. F1 continues to benefit from the demand for live global premium content. We are broadcasting in 200 territories and have a well-diversified portfolio of media rights contracts across markets, typically ranging from 3 to 5 years. As we have said, alternative bidders, including digital players, are increasingly showing interest in live sports and increasing competition for scarce media rights. Our F1 TV product has grown significantly since launch, with active F1 TV Pro subscribers growing 37% in 2023 compared to 2022.

Stefano Domenicali: Additionally, our media right. We are delighted to have recently secured a long term part of regional deal that's announced the Mena region with its biggest port platform being support. These is on the heels of over half of those renewals signed in 2023.

Stefano Domenicali: This is on the heels of over half a dozen renewals signed in 2023. F1 continues to benefit from the demand for live global premium content. We are broadcasting in 200 territories and have a well diversified portfolio of media rights contracts across markets, typically ranging from 3 to 5 years. As we have said, alternative bidders, including digital players, are increasingly showing interest in live sport and increasing competition from scarce media rights.

Stefano Domenicali: F. One continues to benefit from the demand pull live global premium coffee.

Stefano Domenicali: We're broke us in 200 territories and have a well diversified portfolio of media rights contracts across markets typically ranging from three to five years.

Stefano Domenicali: We have said alternative bidders included digital players I think visually show an interest in live sports and increasing competition, So Scotts media rights.

Stefano Domenicali: Our F1 TV product has grown significantly since launch, with active F1 TV Pro subscribers growing 37% in 2023 compared to 2021. The product has been boosted by adding more F1 calendars, F1 sprint races, new in-depth shows, all 20 onboard cameras, team radios, and continuously adding live programming around every season plus a revamped mobile-friendly design. We believe it delivers the best-in-class product for fans and is now available in 120 countries. Early this year, we rolled out our price increase across markets for the first time since product launch in 2018 to bring the pricing in line with the market rates for the qualification of the offer. Turning to sponsorship, we are successful in 2023 in growing existing partnerships while securing new brands, including leveraging new assets like Las Vegas and F1 Academy to generate incremental demand. Puma and Tommy Liefrich have recently announced as official partners of F1 Academy and will have a design livery for this season.

Stefano Domenicali: F. One TV product has grown significantly since launch with <unk> TV subscribers growing 37% in 2023 compared to 2022.

Renee Wilm: The product has been boosted by growing in the F1 calendars, F1 sprint races, new in-depth shows, all 20 onboard cameras, team radios, and continuously adding live programming around every season plus a revamped mobile-friendly design. We believe it delivers the best-in-class product for fans and is now available in 120 countries. Early this year, we rolled out our price increase across markets for the first time since product launch in 2018 to bring the pricing in line with the market rates for the qualifying of the offering. Turning to sponsorship, we had a successful 2023 in growing existing partnerships while securing new brands, including leveraging new assets like Las Vegas and F1 Academy to generate incremental demand. Puma and Tommy Hilfiger were recently announced as official partners of F1 Academy, and we left design liberty for this season.

Stefano Domenicali: The product has been boosted by growing in the F1 calendars, F1 sprint races, new in-depth shows, all 20 onboard cameras, team radios, and continuously adding live programming around every season plus a revamped mobile-friendly design. We believe it delivers the best-in-class product for fans and is now available in 120 countries. Early this year, we rolled out our price increase across markets for the first time since product launch in 2018 to bring the pricing in line with the market rates for the qualifying of the offering. Turning to sponsorship, we had a successful 2023 in growing existing partnerships while securing new brands, including leveraging new assets like Las Vegas and F1 Academy to generate incremental demand. Puma and Tommy Hilfiger were recently announced as official partners of F1 Academy, and we left design liberty for this season.

Stefano Domenicali: Product has been boosted by growing in the S. One Columbus and for sprint races, new in depth chose old 'twenty onboard cameras team radios and continuously adding live programming around every season plus have you bumped mobile friendly design, we believe it delivers the best in class product profile.

Stefano Domenicali: And is now available in 20 countries.

Stefano Domenicali: It'll be this year, we had all of our price increase in the cross market for the first time since product launch in 2018 to bring the pricing in line with the market waits for the qualified all the offering.

Stefano Domenicali: Turning to sponsorship we had a successful 2023 and growing the exact existing partnerships, while securing new brands, including leveraging new asset like Las Vegas N F. One academy to generate incremental demand.

Stefano Domenicali: Puma and told me he took the recently announced his official pop. It also have won academy and will have designed liberty for the season and beauty brand like Charlotte Tilbury also became a official father, though that's what I can.

Renee Wilm: Beauty brands like Charlotte Tilbury also became an official partner of F1 Academy, marking their first ever global sport partnership. We also announced an attractive multi-year renewal with our global partner DHL this week. Going forward, we are optimizing our existing inventory to maximize impact, exclusivity, and value for our partners. We are also actively creating new assets to capitalize on our growing demand and sponsor preference for tailored opportunities in live events. There are target verticals where we are underexposed, including financial services and betting, to name a few. Our fan engagement activities off the track continue to gain momentum. F1 Arcade's first location in London recorded 400,000 visitors in its first year, and a second UK location opened in Birmingham. The first US venue will open in Boston and DC this year, with 20 venues targeted over the next 5 years.

Stefano Domenicali: Beauty brands like Charlotte Tilbury also became an official partner of F1 Academy, marking their first ever global sport partnership. We also announced an attractive multi-year renewal with our global partner DHL this week. Going forward, we are optimizing our existing inventory to maximize impact, exclusivity, and value for our partners. We are also actively creating new assets to capitalize on our growing demand and sponsor preference for tailored opportunities in live events. There are target verticals where we are underexposed, including financial services and betting, to name a few. Our fan engagement activities off the track continue to gain momentum. F1 Arcade's first location in London recorded 400,000 visitors in its first year, and a second UK location opened in Birmingham. The first US venue will open in Boston and DC this year, with 20 venues targeted over the next 5 years.

Stefano Domenicali: And beauty brands such as Charlotte Tilbury also became an official partner of F1 Academy, marking their first ever global sport partnership. We also announced an attractive multi-year renewal with our global partner DHL. Going forward, we are optimizing our existing inventory to maximize impact, exclusivity, and value for our partners. We are also actively creating new assets to capitalize on our growing demand and sponsor preference for tailored opportunities in live events. There are target verticals where we are underexposed, including financial services and betting, to name a few. Our fun engagement activities off the track continue to gain momentum. F1 Arcade's first location in London recorded 400,000 visitors in its first year, and a second UK location opened in Birmingham. The first U.S. venue will open in Boston, N.Y.

Stefano Domenicali: <unk> the first E ever global support partnership we also announced today, an attractive multi year renewal with our Google powered with DHL.

Stefano Domenicali: Going forward, we are optimizing all with existing inventory to maximize input exclusivity and value for our partners. We are also actively creating new assets to capitalize our growing demand as both sort of preface for Taylor opportunity in live events.

Stefano Domenicali: There are targets vertical where we are.

Stefano Domenicali: Exposed, including financial services and betting to name a few.

Stefano Domenicali: Our funnel engagement activities off the track.

Stefano Domenicali: <unk> continued to gain momentum F 100 cases per location in London are recorded for hundreds of thousands of digital in this first year and the second UK location opening in Birmingham.

Stefano Domenicali: First U S venue will open in Boston and D. C. This year with 20 by news targeted over the next five years. The athletic exhibition moved from a dream wedding. Welcome 117000 visitors. It's opened its second location, Indiana early this month and will continue touring iconic global seated to inspire the next generation of that.

Stefano Domenicali: this year, with 20 venues targeted over the next five years. The F1 exhibition moved from Madrid, where it welcomed 170,000 visitors. It opened its second location in Vienna early this month and will continue touring iconic global cities to inspire the next generation of F1 drivers. Sustainability remains a large priority for FOMO 1 across our organization, commercial partners, and F-1 pilots. More detail will be provided in the coming weeks detailing our progress towards reaching the sustainability strategy we laid out in 2019. There are a number of sustainability accomplishments to highlight from last year, to name a few. Progress continues to develop over 100% sustainable hybrid fuel that will be introduced in 2026 and will be a drop in fuel usable in road cars without modification, which provides broader global benefits to the automotive industry well beyond the impact of home automation.

Renee Wilm: The F1 Exhibition moved from Madrid, where it welcomed 170,000 visitors. It opened its second location in Vienna early this month and will continue touring iconic global cities to inspire the next generation of F1 fans. Sustainability remains a large priority for Formula One across our organization, commercial partners, and F1 teams. More detail will be provided in the coming weeks detailing our progress towards reaching the sustainability strategy we laid out in 2019. There are a number of sustainability accomplishments to highlight from last year. To name a few, progress continuing to develop over 100% sustainable hybrid fuel that will be introduced in 2026 and will be a drop-in fuel usable in road cars without modification, which provides broader global benefits to the automotive industry well beyond the impact of Formula One.

Stefano Domenicali: The F1 Exhibition moved from Madrid, where it welcomed 170,000 visitors. It opened its second location in Vienna early this month and will continue touring iconic global cities to inspire the next generation of F1 fans. Sustainability remains a large priority for Formula One across our organization, commercial partners, and F1 teams. More detail will be provided in the coming weeks detailing our progress towards reaching the sustainability strategy we laid out in 2019. There are a number of sustainability accomplishments to highlight from last year. To name a few, progress continuing to develop over 100% sustainable hybrid fuel that will be introduced in 2026 and will be a drop-in fuel usable in road cars without modification, which provides broader global benefits to the automotive industry well beyond the impact of Formula One.

Stefano Domenicali: Yes.

Stefano Domenicali: Sustainability remains a large priority for formal one across our organization commercial buffer and therefore more.

Stefano Domenicali: More that they will be provided in the coming weeks detailing our progress towards reaching the sustainability strategy, we laid out in 2019.

Stefano Domenicali: There are a number of sustainability accomplishment to highlight from last year to name a few progress continuing to develop over 100% sustainable library too.

Stefano Domenicali: We'll be introducing doesn't 36 and that will be a drop in fuel usable in Gulf coast without modification, which provides broader global benefits to the automotive industry well beyond they picked up for what they do.

Renee Wilm: The nine European events of the 2023 season used freight transportation by DHL on a new fleet of biofueled trucks, reducing related logistics carbon emissions by 83%. The first cohort of students from F1 engineering scholarships embarked on their first work placement with the F1 teams. We will welcome the third cohort this year. Finally, we launched F1 Academy, the all-female driver category, to develop and prepare young female drivers to progress to higher levels of competition. The second season in 2024 will see F1 Academy race as a support series at seven F1 events. The F1 teams are getting more involved in supporting the series. In 2024, all 10 will have their liveries displayed on one F1 Academy car each and will each nominate one female driver to race in the series. We look forward to beginning our 2024 season next month.

Stefano Domenicali: The nine European events of the 2023 season used freight transportation by DHL on a new fleet of biofueled trucks, reducing related logistics carbon emissions by 83%. The first cohort of students from F1 engineering scholarships embarked on their first work placement with the F1 teams. We will welcome the third cohort this year. Finally, we launched F1 Academy, the all-female driver category, to develop and prepare young female drivers to progress to higher levels of competition. The second season in 2024 will see F1 Academy race as a support series at seven F1 events. The F1 teams are getting more involved in supporting the series. In 2024, all 10 will have their liveries displayed on one F1 Academy car each and will each nominate one female driver to race in the series. We look forward to beginning our 2024 season next month.

Stefano Domenicali: The nine European events of the 2023 season used freight transportation by DHL on a new fleet of bio-fueled trucks, reducing related logistic carbon emissions by 83 percent. The first cohort of students from the F1 Engineering Scholarship embarked on their first world placement with the F1 teams. We will welcome the third cohort this year. Finally, we launched F1 Academy, the all-female driver category to develop and prepare young female drivers to progress to higher levels of competition.

Stefano Domenicali: Non European events of the 2023 season used a fleet transportation by DHL on the new fleet of biofuel, the truck reducing related logistic carbon emission by 83%. The first cohort of students from F. One in Geneva scholarship embarked on their first award placement with the F. One things we will work.

Stefano Domenicali: The third cohort this year finally, we launched <unk>, Kevin the old thing they have driver category to develop and prepare young female drivers to progress to higher levels of competition. The second season in 2024, we see F. One Academy race as a support Cds of seven at 40 minutes.

Stefano Domenicali: The second season in 2024 will see F1 Academy race as a support series at seven F1 events. The F1 teams are getting more involved in supporting the series. In 2024, all 10 will have their liveries displayed on one F1 Academy car each and will each nominate one female driver to race in the series.

Stefano Domenicali: One teams are getting more involved in supporting to see this in 2024 old 10 will have that lever is displayed on one F. One academy car each and each nominate that won't be made drive at least in the cities.

Stefano Domenicali: We look forward to beginning our 2024 season next month. The 24-race calendar has greater regionalization and more efficient flows of races, which reduce the distance our freight kits travel globally, in support of our 2030 Net Zero Commitment. China returned to the calendar for the first time since 2019.

Stefano Domenicali: We look forward to beginning to our 2024 season next month.

Renee Wilm: The 2024 race calendar has greater regionalization and more efficient flows of races, which reduce the distance our freight kits travel globally in support of our 2030 net-zero commitment. China returned to the calendar for the first time since 2019. The 6-sprint series will take place in Miami, Austria, Austin, Brazil, Qatar, and China. We made small changes to the format this season, with sprint qualifying on Friday, sprint race followed by race qualifying on Saturday, and the Grand Prix as normal on Sunday. And much to the delight of our fans, this off-season has certainly delivered excitement. Young talent secured seats for years to come, with Charles Leclerc committing to the Scuderia at least through 2025 and Lando Norris remaining in McLaren at least through 2026. Capturing headlines, Lewis Hamilton will leave Mercedes for Ferrari in 2025 after an incredible 2-year, 12 seasons with the Silver Arrows.

Stefano Domenicali: The 2024 race calendar has greater regionalization and more efficient flows of races, which reduce the distance our freight kits travel globally in support of our 2030 net-zero commitment. China returned to the calendar for the first time since 2019. The 6-sprint series will take place in Miami, Austria, Austin, Brazil, Qatar, and China. We made small changes to the format this season, with sprint qualifying on Friday, sprint race followed by race qualifying on Saturday, and the Grand Prix as normal on Sunday. And much to the delight of our fans, this off-season has certainly delivered excitement. Young talent secured seats for years to come, with Charles Leclerc committing to the Scuderia at least through 2025 and Lando Norris remaining in McLaren at least through 2026. Capturing headlines, Lewis Hamilton will leave Mercedes for Ferrari in 2025 after an incredible 2-year, 12 seasons with the Silver Arrows.

Stefano Domenicali: The 24 race calendar has greater digitalization and more efficiently flows of races, which we used the distance our freight keeps travel globally in support of our 2013 net Zero Commission.

Stefano Domenicali: China returned to the calendar for the first time since 2019. This is sprint's Cds will take place in Miami, Austria, Austrian Brazil, Qatar in China.

Stefano Domenicali: The Six Springs Series will take place in Miami, Austria, Austin, Brazil, Qatar, and China. We made small changes to the format this season with Spring Qualifying on Friday, Spring Race followed by Race Qualifying on Saturday, and the Grand Prix as normal on Friday. And much to the delight of our fans, this off-season has certainly delivered excitement. Young talent secured seats for years to come, with Charlotte Clares committing to the Scuderia at least through 2025, and Lando Norris remaining in McLaren at least through 2026. Capturing the headlines, Lewis Hamilton will leave Mercedes for Ferrari in 2025 after an incredible 12 seasons with a silver arrow.

Stefano Domenicali: We made small changes to the form of the seasonal with sprint qualify on Friday Sprint race, followed by re qualified on Saturday and the Grand Prix as normal on something.

Stefano Domenicali: And much to the delight our fans these out season that suddenly the riva of exciting young for led to secured seats for years to come with Charlotte class committing to this good idea at least through 2035 in London, Lloyd's Romanian Macleod at least through 2026 capture the headlines Lewis Hamilton, Let's say this fall.

Stefano Domenicali: Regarding 2025 after an incredible two with 12 seasons with the Silverado and Clos.

Renee Wilm: In closing, I'm incredibly proud of the accomplishments in 2023 and eager to begin our 2024 season. We have a solid financial foundation and an attractive, growing fan base. Our team is focused on deepening this fandom with optimized content and platforms to boost engagement while capturing more fans' data so we can better tailor our commercial outreach. These efforts are spread across protecting our established fans, nurturing newly acquired fans, and growing into new cohorts, especially younger audiences and underserved growth markets like Asia. We will continue to invest in our sport to capitalize on our incredible momentum. Avanti tutta. Full speed ahead. And now I will turn the call back over to Greg. Bye-bye. Ciao.

Stefano Domenicali: In closing, I'm incredibly proud of the accomplishments in 2023 and eager to begin our 2024 season. We have a solid financial foundation and an attractive, growing fan base. Our team is focused on deepening this fandom with optimized content and platforms to boost engagement while capturing more fans' data so we can better tailor our commercial outreach. These efforts are spread across protecting our established fans, nurturing newly acquired fans, and growing into new cohorts, especially younger audiences and underserved growth markets like Asia. We will continue to invest in our sport to capitalize on our incredible momentum. Avanti tutta. Full speed ahead. And now I will turn the call back over to Greg. Bye-bye. Ciao.

Stefano Domenicali: <unk>.

Stefano Domenicali: I'm incredibly proud of the accomplishment in 2023 and eager to begin our 24 season.

Stefano Domenicali: In closing, I'm incredibly proud of the accomplishments in 2023 and eager to begin our 24th season. We have a solid financial foundation and an attractive growing fan base. Our team is focused on deepening this fandom with optimized content and platforms to boost engagements while capturing more fast data so we can better tailor our commercial outcomes. These efforts are spread across protecting our established fans, nurturing newly acquired fans, and growing up into new cohorts, especially younger audiences and underserved growth markets like Asia. We will continue to invest in our sport to capitalize on our incredible momentum. Aval fi tuta.

Stefano Domenicali: We have a solid financial foundation and an attractive growing fan base. Our team is focused on deepening these fun them with optimized content.

Stefano Domenicali: Once to boost engagements, while capturing more fast data. So we can better tailor our commercial outreach. These airports are spread across protecting our establishes fat neutering newly acquired fast and growing into new cohorts, especially younger audiences and underserved growth markets like Asia.

Stefano Domenicali: We'll continue to invest in our sport to capitalize on our incredible momentum.

Stefano Domenicali: To the full speed ahead.

Stefano Domenicali: Full speed ahead. And now, I will turn the call back over to you. Bye-bye. Ciao.

Stefano Domenicali: And now I will turn the call back over to Greg Bye-bye Joe.

Operator: Thank you, Stefano, and thank you, Brian, listening audience. We appreciate your continued interest in Liberty Media and the Atlanta Braves holding. And with that, operator, I'd like to open the line for questions. Thank you. If you'd like to ask a question, please press star 1 on your telephone keypad. The confirmation time will indicate your line is in the question queue.

Shane Kleinstein: Thank you, Stefano, and thank you, Brian. To the listening audience, we appreciate your continued interest in Liberty Media and the Atlanta Braves Holdings. With that, operator, I'd like to open the line for questions.

Greg Maffei: Thank you, Stefano, and thank you, Brian. To the listening audience, we appreciate your continued interest in Liberty Media and the Atlanta Braves Holdings. With that, operator, I'd like to open the line for questions.

Stefano Domenicali: Yeah.

Gregory B. Maffei: Thank you Stefano and thank you Brian.

Gregory B. Maffei: To the listening audience. We appreciate your continued interest in Liberty media and the Atlanta Braves Holdings.

Speaker Change: And with that operator, I'd like to open the line for questions.

Operator: Thank you. If you'd like to ask a question, please press star one on your telephone keypad. The confirmation tone will indicate your line is in the question queue. You may press star two if you'd like to remove your question from the queue. For participants using speaker equipment, it may be necessary to pick up your handset before pressing the star keys. Our first question is from Ben Swinburne with Morgan Stanley. Please proceed with your question.

Speaker Change: Thank you.

Speaker Change: Ask a question. Please press star one on your telephone keypad, a confirmation tone will indicate your line is in the question queue. You May press star two if you'd like to remove your question from the queue for participants using speaker equipment. It may be necessary to pick up your handset before pressing Mr. Keith.

Ben Swinburne: You may press star 2 if you'd like to remove your question. For participants using speaker equipment, it may be necessary to pick up your handset before pressing the start button. Our first question is from Ben Swinburne with Morgan Stanley. Please proceed with your question. Thanks. Good morning and congratulations to Renee and the Las Vegas team on a great race and outcome. I know that was a lot of work. Greg, I had a couple for you and maybe one for Brian if he's willing to entertain them.

Speaker Change: Our first question is from Brett.

Speaker Change: Ben Swinburne with Morgan Stanley. Please proceed with your question.

Ben Swinburne: Thanks. Good morning. And congratulations to Renee and the Las Vegas team on a great race and outcome. I know that was a lot of work. Greg, I had a couple for you and maybe one for Brian if he's willing to entertain it. You mentioned optimizing the cost structure in Las Vegas for year two. I just maybe could spend a minute on what the opportunities are and even if you're willing to tell us where in the P&L that might show up between kind of G&A at F1 versus direct costs. Any thoughts on a new Concorde Agreement? That had been something you guys had talked about trying to execute last year. Just curious if you had any update there.

Ben Swinburne: Thanks, Good morning, and congratulations to Renee and the Las Vegas team on a great race and outcome. You know that was a lot of work Greg I had a couple for you and maybe one for Brian if he's willing to entertain it.

Gregory B. Maffei: You mentioned optimizing the cost structure in Las Vegas for year two. I just maybe could spend a minute on what the opportunities are and, even if you're willing to tell us where in the P&L that might show up between the kind of G&A at F1 versus direct cost. Any thoughts on a new Concord agreement? That had been something you guys had talked about trying to hammer out last year. Just curious if you had any update there. And then, Brian, I didn't know if you had any guidance for us on CapEx at F1 in 24, you know, now that everything is sort of built, but you probably have some maintenance costs on all these new assets. So, that was it.

Speaker Change: You mentioned optimizing the cost structure in Las Vegas for a year or two I, just maybe you could spend a minute on what the opportunities are.

Speaker Change: And even if you're willing to tell us where we are in the P&L that might show up between kind of G&A that F. One versus our direct costs.

Speaker Change: Any thoughts on a new Concord agreement that had been something you guys had talked about trying to execute last year I'm. Just curious if you had any update there and then Brian I didn't know if you had any guidance for us on Capex at F. One in 'twenty four.

Ben Swinburne: And then, Brian, I didn't know if you had any guidance for us on CapEx at F1 in 2024 now that everything is sort of built, but you probably have some maintenance costs on all these new assets. So that was it. Thanks so much.

Speaker Change: Now that everything is sort of built but you probably have some maintenance costs on all of them.

Speaker Change: These new assets so that was it thanks so much.

Brian Wendling: Ben, I'm going to touch on the optimizing the cost structure then let Renee add to it. And on the Concorde Agreement, I'll let Stefano cover where we stand. So on the optimizing the cost structure, look, because we moved with real speed to try and get Las Vegas up in a record time, many things were done to accommodate a great fan experience and make sure we got done on time. And with the benefit of more time, there are many things we can optimize. For example, there is a temporary structure, a bridge that was put over one of the roads that will become it was our cost that will not be reincurred. There was work that was done around ensuring great security. I think we'll learn how to do that in a more cost-effective manner.

Speaker Change: Well, then I'm going to touch on the optimizing the cost structure, then let renee add to it.

Gregory B. Maffei: Thanks. Ben, I'm going to touch on optimizing the cost structure, then let Rene add to it. And on the Concord Agreement, I'll let Stefano cover where we stand. So on the optimizing the cost structure, look, because we moved with real speed to try and get Las Vegas up in record time, many things were done to accommodate a great fan experience and make sure we got it done on time. And with the benefit of more time, there are many things we can optimize. Here, for example, there's a temporary structure or a bridge that was put over one of the roads that will become – but it was at our cost – that will not be reincurred.

Speaker Change: And on the Cochrane agreement I'll, let Stefano cover where we stand so on the optimizing cost structure look because we moved with real speed.

Speaker Change: To try and get.

Speaker Change: Las Vegas up in a record time.

Speaker Change: Many things were done to accommodate a great fan experience and make sure. We got done on time and with the benefit of more time. There are many things we can optimize their for example, there's a temporary structure a bridge that was put over.

Speaker Change: One of the roads that will become but it was our cost that will not be re incurred.

Gregory B. Maffei: There are – there was work that was done around ensuring great security that I think we'll learn how to do that in a more cost-effective manner. But I'll let Rene touch on other items that she thinks we might. Sure. Thanks, Greg. So, to Greg's point, we really did lean in on... We also have the benefit in year two of having a playbook. Again, we had to lean in on fan experience and other events that would allow us to create that inaugural race weekend that we needed for year one. But this year, we are looking very closely at every line item on the budget to see where we can maximize the fan experience and ensure safety, while also looking to really cut back on it. Some of that will be, I think most of that will be direct costs, some of that will be in G&A, but... I would think most of them, yeah, most would be in the operating.

Speaker Change: There are.

Speaker Change: There was work that was done around ensuring a great security that I think will learn how to do that in a more cost effective manner, but I'll, let renee touch on other items, which he thinks we might be able to save a lot.

Brian Wendling: But I'll let Renee touch on other items that she thinks we might be able to save on.

Renee Wilm: Sure. Thanks, Greg. To Greg's point, we really did lean in on transportation planning and security. No one knew just how traffic would flow. We were hoping for the best but planning for the worst. It did turn out to be significantly better than anyone feared. That will hopefully allow us this year to start looking for areas that we can cut back in. We also have the benefit in year two of having a playbook. Again, we had to lean in on fan experience and other events that would allow us to create that inaugural race weekend that we needed for year one. This year, we are looking very closely at every line item on the budget to see where we can maximize the fan experience and ensure safety while also looking to really cut back on some of those costs.

Renee: Sure. Thanks, Greg.

Renee: So to Greg's point, we really did lean in on transportation planning and security no. One knew just how traffic with floor, we were hoping for the best but planning for the worst and it didn't turn out to be significantly better than anyone feared that will hopefully allow us this year to start looking for areas that we can cut back and we also have the benefit in year two of having it.

Speaker Change: Playback them again, we had to lean in on fan experience and other events that would allow us to create that inaugural race weekend that we needed them for year, one but this year. We are looking very closely at every line item on the budget to see where can we maximize the fan experience and ensure safety while also looking for.

Speaker Change: It really cut back on some of those desktop.

Brian Wendling: Some of that will be, I think, most of that will be direct costs. Some of that will be in G&A, but mostly in direct. Do you agree, Brian?

Greg Maffei: Some of that will be, I think, most of that will be direct costs. Some of that will be in G&A, but mostly in direct. Do you agree, Brian?

Speaker Change: Some of that will be I think most of that'll be direct cost some of that will be in G&A, but mostly indirect agree Brian.

Rene: Stefano, do you want to touch on the Cochran Agreement? Yeah, thank you, Greg. Yes, Ben, so we expect to address the renewal of the Concord Agreement with the teams very, very shortly. Our view, which is basically shared with the teams, is that basically the Concord Agreement would not need any substantial changes this time around. So we're going to start very, very soon.

Greg Maffei: I would think most of them, yeah, most would be in the operating costs.

Brian Wendling: I would think most of them, yeah, most would be in the operating costs.

Brian J. Wendling: I would think most of them, yes, most would be in the operating costs yes.

Brian Wendling: Stefano, do you want to touch on the Concorde Agreement?

Greg Maffei: Stefano, do you want to touch on the Concorde Agreement?

Speaker Change: Good afternoon, I wanted to touch on the Cochrane agreement.

Stefano Domenicali: Yep. Thank you, Greg. Yes, Ben. So we expect to address the renewal of the Concorde Agreement with the teams very, very shortly. Our view that is basically shared with the teams is that basically the Concorde Agreement will not need any substantial changes this time around. So we're going to start very, very soon. We had priority to finalize before the end of the season talking about regulation and other stuff with regard to other things that need to be solved before. So now we are getting close to the time where we're going to start this discussion very, very shortly, as I said, Ben.

Brian J. Wendling: Yep. Thank you Greg Yes, Ben So we expect to address the renewal of the concert agreement with the teams very very shortly.

Ben Swinburne: We either our view that these basically shared with the things that basically the Concorde agreement that would need to will not need any substantial changes. This time around so we're going to start very very soon.

Stefano Domenicali: We had priority to finalize before the end of the season talking about, you know, regulation and other stuff with regard to other things that need to be solved before. So now we're getting close to the time where we're going to start this discussion very, very shortly, as I said, Ben. And then lastly, Ben, on the CapEx, we're not going to disclose any specific numbers, but we would expect it to start to trend back to what our... The team might evaluate different opportunities where you could put stuff on the balance sheet versus having it as rentals in OPEX. So those opportunities might arise, but overall, we wouldn't expect it to be overvalued. Thanks so much.

Brian J. Wendling: Priority two finalize before the end of the season talking about regulation and other staff with them with regard to other things that need to be sold before so now we're getting closer to the time, where we've got an established discussion very very shortly as I said.

Shane Kleinstein: Got it. And then lastly, Ben, on the CapEx, we're not going to disclose any specific numbers, but we would expect it to start to trend back to what our normal rate was in the past, specifically on LVGP. The team might evaluate different opportunities where you could put stuff on the balance sheet versus having it as rentals in OpEx. So those opportunities might arise, but overall, we wouldn't expect it to be overly material.

Speaker Change: Got it.

Speaker Change: And then lastly, Ben on the on the Capex.

Speaker Change: We're not going to disclose any specific numbers, but we would expect it to start to trend back to what our normal rate was in the past specifically on <unk> the team might evaluate different opportunities where you could.

Ben Swinburne: Put stuff on the balance sheet versus having it as rentals and opex, so those opportunities might arise, but overall, we wouldn't expect it to be overly material.

Ben Swinburne: Thanks so much.

Speaker Change: Thanks, so much.

Operator: Our next question is from Bryan Kraft with Deutsche Bank. Please proceed with your question.

Speaker Change: Our next question is from Bryan Kraft with Deutsche Bank. Please proceed with your question.

Brian J. Wendling: Our next question is from Brian Kraft with Deutsche Bank. Please proceed with your question. Hi, good morning. I had one for Greg, Stefano, and Brian.

Bryan Kraft: Hi. Good morning. I had one for Greg, Stefano, and Brian. Greg, I was wondering if you could walk us through the steps that you still need to take in order to close the spin merge with SiriusXM. Stefano, I was wondering if you could just clarify, will the Madrid Grand Prix bring the race count to 25 in 2026, or will it substitute for Barcelona or another race? And then also, Stefano, if you could just comment, I mean, just qualitatively on the media rights outlook. It seems like 2024 will be a lighter year from a media rights revenue growth standpoint based on the renewal schedule, and then a stronger year in 2025. I just want to see if that was right. And then the last one I had was for Brian.

Bryan Kraft: Hi, good morning.

Bryan Kraft: One for Greg and Stefano and Brian.

Bryan Kraft: Greg, I was wondering if you could walk us through the steps that you still need to take in order to close the spin merge with SiriusXM. Stefano, I was wondering if you could just clarify, will the Madrid Grand Prix bring the race count to 25 in 2026, or will it substitute for Barcelona or another race? And then also, Stefano, if you could just comment, I mean, just qualitatively, on the media rights outlook. It seems like 2024 will be a lighter year from a media rights revenue growth standpoint based on the renewal schedule, and then a stronger year in 2025. I just wanted to see if that was right. And then the last one I had was for Brian.

Bryan Kraft: Greg I was wondering if you could walk us through the steps that you still need to take in order to close the spin merge with Sirius XM.

Bryan Kraft: Stefano I was wondering if you could just clarify.

Bryan Kraft: Well the Madrid Grandpre bring in the race count to 25 in 2026 or a substitute for Barcelona or another race.

Bryan Kraft: And then also as Stefano if you could.

Bryan Kraft: Just comment I mean, just qualitatively on the media rights outlook. It seems like 2024 will be a lighter year from a media rights revenue growth standpoint based on the renewal schedule and then a stronger year in 25 I just wanted to see if that was right and then the last one I had was for Brian.

Bryan Kraft: Brian, I was wondering if you could just help us with some baseline numbers for Quint Events so that we could try to model that correctly, any estimate of revenue and EBITDA from last year, and any color on seasonality. Thanks.

Gregory B. Maffei: Brian, I was wondering if you could just help us with some baseline numbers for quint events so that we could, you know, try to model that correctly. You know, any estimate of revenue in EBITDA from last year and any color on seasonality. Thanks. I'll touch on the first one. We received initial comments from the SEC on the proxy, but I think those were relatively light.

Bryan Kraft: Brian I was wondering if you could just help us with some baseline numbers are quite advanced so that we could try to model that correctly any any estimate of revenue and EBITDA from last year and any color on seasonality. Thanks.

Brian Wendling: So I'll touch on the first one. We received initial comments from the SEC on the proxy. I think those were relatively light. Credit the legal and accounting teams for answering those or having a proxy that was clear and transparent, and we'll be able to answer those relatively quickly. So we'll need to be cleared the final proxy by the SEC before we can go forward with a vote at the Liberty SiriusXM level. We also have a parallel process with the SEC that I think is relatively pro forma. We do not believe that will be the long pole in the tent. So we're still targeting early Q3. Some chance we may be able to get it done quicker, but we're trying to manage your expectations and ours. Next question or next part of the questions.

Brian J. Wendling: So I'll touch on the first one.

Speaker Change: We received initial comments from the SEC on the proxy.

Brian J. Wendling: I think those were relatively light.

Gregory B. Maffei: Credit the legal and accounting teams for answering those, or having a proxy that was clear and transparent, and we'll be able to answer those relatively quickly. So that will need to be cleared, the final proxy by the SEC, before we can go forward with a vote at the Liberty Syria level. We also have a parallel process with the FCC that I think is relatively pro forma. We do not believe that will be the long pole in the tent, so we're still targeting early third quarter.

Brian J. Wendling: Credit the legal and.

Bryan Kraft: Accounting teams for.

Bryan Kraft: Answering those are having a proxy that was clear and transparent and we'll be able to answer those relatively quickly so that will need to be cleared the final proxy by the SEC before we can go more with a vote.

Bryan Kraft: At Liberty Siri level, we also have a parallel process with the FCC that I think is relatively pro forma we do not believe that will be the long pole in the tent. So we are still targeting.

Bryan Kraft: Early third quarter, some chance, we may be able to get it done quicker, but we're trying to manage your expectations and ours.

Gregory B. Maffei: There is a slight chance we may be able to get it done quicker, but we're trying to manage your expectations and ours, question, the next part of the question. It's, I would say, I think I can come in, Greg, to answer Brian's question about Madrid. Madrid 26, and that is a year where there will be a lot of Grand Prix where, mainly, Europe, we have different options that we can take over. Therefore, I think Madrid shows one thing that was very important for us to see that the attention F1 is there also in the old continent, where everyone was thinking, oh, we need to move out of Europe because there's no more interest. Madrid showed the opposite.

Bryan Kraft: Next question with next part of the questions.

Stefano Domenicali: I would say I think I can come in, Greg, to answer Brian to the point on Madrid. Madrid 2026, and that is a year where there will be a lot of Grand Prix where mainly Europe, we have different options that we can take over. Therefore, I think Madrid shows one thing that was very important for us to see that the attention F1 is there also in the old continent where everyone was thinking, "Oh, we need to move out of Europe because there's not anymore the interest." Madrid showed the opposite. I think 2026, you're going to see something interesting. We are discussing with other promoters in Europe to do something that will be announced as soon as we close for sure.

Speaker Change: It's a I would say I think I can come in Greg to answer Brian.

Bryan Kraft: The point of Madrid, Madrid, 26, and that that is a year, where there will be a lot of Grand Prix were mainly euro we have different options there'll be can take over it. Therefore, I think Madrid shows wanted that was very important for us to see that the attention. That's one easy there also.

Bryan Kraft: So in the in the old continent, where everyone was thinking though.

Bryan Kraft: We need to move out to euro because theres not any more theaters, but we show the opposite I think 26, you're going to you're going to see something interesting. We are discussing with other promoters in Europe to do something that would.

Stefano Domenicali: I think you're going to see something interesting. We are discussing with other promoters in Europe to do something that will be announced as soon as we close, for sure. But Madrid will be a big boost because the event will be organized in a place where, as Greg was mentioning at the beginning of his speech, it will be on a sort of track and a place where we'll be around the convention area to allow us to give the opportunity to the fans to live that event in an incredible way. But, of course, so far, the focus in Spain is on Barcelona.

Bryan Kraft: It will be announced as soon as we close for sure, but <unk> will be.

Stefano Domenicali: Madrid will be a big boost because the event will be organized in a place where, as Greg was mentioning at the beginning of his pitch, will be in a sort of track and a place where will be around the convention area to allow to give the opportunity to the fans to lead that event in an incredible way. Of course, so far, the focus in Spain is in Barcelona. There is a big commitment to do a great Grand Prix there in the next couple of years. With regard to the media rights, I would say there are two points that I think that we cannot consider light, the 2024, because we just signed a very important deal we'll be in for the next 10 years. We do believe that also the F1 TV Pro will be going very, very well this year.

Bryan Kraft: A big boost because the event will be organized in a place where as Greg was mentioning.

Bryan Kraft: The beginning of his speech will be in a sort of track and a place where we'll be around the convention area to allow to give the opportunity to the fast to lead that event in an incredible way, but of course, so far just focus in Spain in Barcelona is a big will need them to do a big lumpy there in the next capital needs that we do.

Stefano Domenicali: There is a big commitment to do a great Grand Prix there in the next couple of years. But with regard to the media right, I would say there are two points that I think that we cannot consider light in 2024 because we just signed a very important deal with BN for the next 10 years. And we do believe that also F1 Plus TV will be going very, very well this year. So I think that, for sure, is a year where we're going to see another growth. And of course, we are getting ready for a very important year when, in two years' time, there will be the media deal in the U.S. That will be a very important deal we need to discuss at the right moment, when we believe, where we believe this will be another step in terms of our growth in that sense.

Bryan Kraft: As regards to the media right I would say there are two points that.

Bryan Kraft: I think that we cannot consider light the 2020 full because we just signed a very important deal with Dean.

Bryan Kraft: The next 10 years and we do believe that also the <unk> Tvs were going very very well. This year. So I think that for sure is in the year, whether you're going to see another growth and of course, we are getting ready for a very important year when in the future in two years' time that will be the the media deal in U S that will be a very important.

Stefano Domenicali: I think that for sure is a year where we're going to see another growth. Of course, we are getting ready for a very important year when in the future, in two years' time, there will be the media deal in the US. That will be a very important deal we need to discuss in the right moment where we believe this will be another step in terms of our growth in that landscape.

Bryan Kraft: Deal, we need to discuss in the right moment, where are we going to believe where we believe this will be another step in terms of level of growth in that landscape.

Shane Kleinstein: Yeah. And then Brian, on Quint, we're not going to give the 2024 numbers, but what we would say is that the acquisition should be accretive to the Formula One Group overall. So you can kind of do the math from there. It's not overly material to the Formula One business, but it should be accretive going forward.

Speaker Change: Yes, and then Brian on Quinn, we're not going to give the 2024 numbers, but.

Stefano Domenicali: Yeah, and then, Brian, on Quint, we're not going to give the 2024 numbers, but what we would say is that the acquisition should be accretive to the Formula 1 group overall, so you can kind of do the math from there. It's not overly material to the Formula 1 business, but it should be accretive going forward. Thank you. Maybe just one follow-up question for Greg. Greg, what's the amount of time you need between SEC approval for the proxy and the vote and then the vote and closing the transaction? They...circa two months.

Speaker Change: What we would say is that the acquisition should be accretive to the formula One group overall.

Bryan Kraft: So you can kind of do the math from there it's not overly material to the formula one business, but it should be accretive going forward.

Bryan Kraft: Thank you. Maybe just one follow-up for Greg. Greg, what's the amount of time you need between SEC approval for the proxy and the vote and then the vote and closing the transaction?

Speaker Change: Thank you and then maybe just one follow up for Greg Greg What's the.

Gregory B. Maffei: The amount of time, you need between FCC approval for the proxy to vote the vote and closing the transaction.

Shane Kleinstein: Circa two months.

Greg Maffei: Circa two months.

Gregory B. Maffei: Okay circuit two months.

Bryan Kraft: Okay. Gotcha. Thanks very much. Appreciate it.

Speaker Change: Okay Gotcha.

Gregory B. Maffei: Okay, gotcha. Thanks very much. I appreciate it. Our next question is from David Karnovsky with J.P. Morgan. Please proceed with your question. Thank you.

Speaker Change: Very much appreciate it.

Speaker Change: Okay.

Operator: Our next question is from David Karnovsky with JPMorgan. Please proceed with your question.

Speaker Change: Our next question is from David Karnofsky with J P. Morgan. Please proceed with your question.

David Karnovsky: Hi. Thank you. For Greg and Renee, I think your Vegas hotel partners were consistent in their views on their earnings calls that the race should have a broader appeal and benefit some of the lower end or further properties on the Strip. So, interested in how you're thinking about potentially accommodating that and what it means for the race in terms of ticketing or operational adjustments. And then for Brian, F1 operating leverage for the year was a little better than I think some investors had anticipated. The release you called out a reduction in the team payout percentage as per the 2021 Concorde. Just want to make sure that was the main driver and there weren't kind of any one-time adjustments to consider.

David Karnofsky: Alright, thank you.

David Karnovsky: For Gregory, I think your biggest hotel partners were consistent in their views on their earnings calls, but the race should have a broader appeal and benefit some of the lower end or further properties on the strip. So, interested in how you're thinking about potentially accommodating that and what it means for the race in terms of ticketing or operational adjustments. And then for Brian, F1 operating leverage for the year was a little better than we think some investors had anticipated. You know, the release you called out a reduction in the team payout percentage as per the 2021 Concord. Just want to make sure that was the main driver and there weren't any kind of any one-time adjustments to consider.

David Karnofsky: For Gregory.

David Karnofsky: Thank you Vegas Hotel partners were consistent in their views on their earnings calls that the rates should have a.

David Karnofsky: Broader appeal and benefits some of the lower end or further properties on the strip so.

David Karnofsky: Interested in how youre thinking about potentially accommodating that and what it means for the race in terms of ticketing your operational adjustments and then for Brian.

David Karnofsky: F. One operating leverage for the year was a little better than I think some investors had anticipated.

David Karnofsky: So you called out a reduction in machine payout percentage as per the 'twenty to 'twenty, one Concord, just want to make sure that was the main driver or kind of any one time adjustments to consider.

Shane Kleinstein: I'll let Renee touch on the Vegas partners.

Greg Maffei: I'll let Renee touch on the Vegas partners.

David Karnofsky: I'll, let Renee touch on the Vegas partners.

Gregory B. Maffei: I'll let Renee touch on the Vegas part. Yeah, thanks for the question. So, we will be going on sale pretty soon, and when we go on sale, you'll see that we have a... We are actually creating a brand new general admission-only zone, which will have single-day tickets and will be at the lowest price point that you will have seen for the last year. This is largely driven to accommodate the lower end properties and also to bring downtown.

Renee Wilm: Yeah. Thanks for the question. So we will be going on sale pretty soon. And when we go on sale, you'll see that we have a significantly higher number of general admissions. We are actually creating a brand new general admission-only zone, which will have single-day tickets and will be at the lowest price point that you will have seen for the Las Vegas Grand Prix. This is largely driven to accommodate the lower-end properties and also to bring downtown into the mix. We are also working in partnership with the LVCBA to actually engage downtown, different types of activations, potentially watch parties, but really to spread this benefit of what was an incredible weekend throughout the entirety of the valley.

Renee: Yeah. Thanks for the question. So we will be going on sale pretty soon and when we go on sale Youll see that we have a significantly higher number of general admission, we're actually creating a brand new general admission only zone.

Renee: But you will have the single day tickets and will be at the lowest price point that you've all seen for the Las Vegas Grand Prix. This is largely driven to accommodate the lower end properties and also to bring downtown into the mix. We are also working in partnership with ELV CBA to actually engage downtown.

Rene: We are also working in partnership with the LBCBA to actually engage downtown, different types of activations, potentially watch parties, but really to spread the benefit of what was an incredible weekend throughout the entirety of the Valley. And then on the F1 operating leverage, to your point, it primarily is the team fees. There's lots of ins and outs, but there's no material one-time item.

Renee: Different types of Activations potentially watch parties, but really just spreads as benefit of what was an incredible weekend throughout the entirety of the Bali.

Renee: Okay.

Shane Kleinstein: On the F1 operating leverage, to your point, it primarily is the team fees. There's lots of ins and outs, but there's no material one-time items.

Greg Maffei: On the F1 operating leverage, to your point, it primarily is the team fees. There's lots of ins and outs, but there's no material one-time items.

Renee: And then on the on the F. One operating leverage to your point it primarily as the team fees, there's lots of ins and outs, but theres no material onetime items.

David Karnovsky: Great. Thank you.

Speaker Change: Great. Thank you.

Brian J. Wendling: Great, thank you. Our next question is from David Joyce with Seaport Resource Partners. Please proceed with your question. Thank you. I just wanted to try to get a finer point on the team payments there. Would Quint be excluded from team share payments, or would some of those activities, if one related, be involved? I guess the same would go for any other acquisitions. Would any tuck-ins be outside of the Concord Agreement?

Operator: Our next question is from David Joyce with Seaport Research Partners. Please proceed with your question.

Speaker Change: Our next question is from David Joyce with Seaport Research Partners. Please proceed with your question.

David Joyce: Thank you. I just wanted to try to get a finer point on the team payments there. Would Quint be excluded from team share payments, or would some of those activities, if one related, be involved? I guess the same would go for any other acquisitions. Would any tuck-ins be outside of the Concorde Agreement? And related to that, how are you balancing reinvesting into business versus thinking about capital returns from here? Thanks.

David Joyce: Thank you just wanted to try to get a finer point on the team payments. There would 15 that'd be excluded from teams share payments or would some of those activities if thoroughly if one related.

David Joyce: Be involved.

David Joyce: The same would go for any other acquisitions would with any tuck ins be outside of the Concorde agreement.

David Joyce: And related to that, how are you balancing reinvesting in the business versus thinking about capital returns from here? Thanks. So I think Quint had an arm's length deal in place prior to our purchase of F1, and we would expect that arm's length deal to continue, but the Quint results are part of the F1 tracking stock, not part of F1. And that would likely be the case for any other acquisitions. Can't say absolutely because it would depend on the company, but likely that would be outside the F-1 group or the F-1 operating statement.

Speaker Change: And related to that how are you balancing reinvesting in the business versus thinking about capital returns from here. Thanks.

Brian Wendling: So I think Quint has an arm's-length deal existing prior to our purchase with F1, and we would expect that arm's-length deal to continue, but the Quint results are part of the F1 tracking stock, not part of F1. That would likely be the case for any other acquisitions. Can't say absolutely because it would depend on the company, but likely that would be outside the F1 group or the F1 operating statement shared with the teams. We continue to weigh opportunities like Vegas. Obviously, we look at lots of sporting properties. We think we have something to bring to the sporting world based on what we have been able to achieve at F1. We think there are some things that we could bring forward to other sports properties, but we're judicious in that, and people approach us because of those skills.

David Joyce: So I think quint has an arm's length deal existing prior to our purchase with F. One and we would expect that arms like deal to continue but the results are part of the one <unk>.

David Joyce: Racking stock not part of that one.

David Joyce: And that would likely be the case for any other acquisitions cant say, absolutely because it would depend on the company, but likely that would be outside the U F. One group or the F. One operating statement and shared with the teams.

Gregory B. Maffei: You know, we continue to weigh opportunities like Vegas. Obviously, we look at lots of sporting properties. We think we have something to bring to the sporting world based on what we have been able to achieve at F1. And we think there are some things that we could bring forward to other sports properties. But we're judicious in that.

David Joyce: <unk>.

David Joyce: We continue to weigh opportunities like Vegas, obviously, we look at we look at lots of sporting properties. We think we have something to bring to the sporting world based on what we have been able to achieve it F. One and we think there are some things that we can bring forward to other sports properties, but we're judicious in that.

Derek: And people approach us because of those. Certainly, looking at continued share repurchase is an alternative as well, and we weigh third-party alternatives that might arise with that. Thanks. And on the Braves, if we could just get an update on where that process is with the bankruptcy courts and the RSNs, please. Derek, do you want to touch on that?

David Joyce: And.

David Joyce: And people approach us because of those skills.

Brian Wendling: Certainly, looking at continued share repurchase is an alternative as well. We weigh third-party alternatives that might arise with that.

David Joyce: Certainly looking at continued share repurchase as an alternative as well and we way.

David Joyce: Third party alternatives that we might arrive that might arise with that.

David Joyce: Thanks. If I could add one on the Braves, if we could just get an update, please, on where the process is with the bankruptcy courts on the RSNs. Thanks.

Speaker Change: Thanks, and if I could add one on the Braves, if we could just get an update please on where that the processes with the.

Speaker Change: With the bankruptcy court something or a sense. Thanks.

David Joyce: Yeah.

Shane Kleinstein: Derek, do you want to touch on that?

David Joyce: Derek do you want to touch on that.

Derek Schiller: Sure. Thanks for your question. We're watching that closely, and what we see is the bankruptcy presentation that was made is still being followed. Diamond Sports seems to have a plan for emerging from bankruptcy, as you've probably read. We're watching and seeing that just like you are. For our purposes, we're still getting full payment and operating the agreement as normal. So at this point in time, nothing's deviating from that. We don't expect that, especially as they've laid out per their plan.

Derek: Sure. Thanks for your question.

Derek: Sure, thanks for your question. We're watching that closely, and what we see is that the bankruptcy presentation that was made is still being followed. Diamond Sports seems to have a plan for emerging from bankruptcy, as you've probably read. We're watching and seeing that just like you are.

Derek: We're watching that closely and what we see as the bankruptcy.

Derek: Presentation that was made is still being followed diamond sports seems to have a plan for emerging from bankruptcy as you've probably read.

Speaker Change: We're watching and seeing that just like you are.

Derek: For our purposes, we're still getting full payment and operating the agreement as normal. So at this point in time, nothing's deviating from that. We don't expect that, especially as they've laid out in their plan. All right. Thank you very much.

Speaker Change: For our purposes, we're still getting full payment.

Derek: Operating the agreement.

Derek: As normal so at this point in time, nothing is deviating from that and we don't expect that.

Derek: Especially as they've laid out for their plant.

David Joyce: All right. Thank you very much.

Speaker Change: Alright, Thank you very much.

Speaker Change: Yeah.

Operator: Our next question is from Barton Crockett with Rosenblatt Securities. Please proceed with your question.

Speaker Change: Our next question is from our in Crockett with Rosenblatt Securities. Please proceed with your question.

Barton Crockett: Our next question is from Barton Crockett with Rosenblatt Securities. Please proceed with your question. Okay, thank you for taking the question. I'm just wondering about the EBITDA growth year-over-year. I understand you're not going to break out Vegas in any specificity, but is there any comment you can make on whether or not Vegas provided any material impact on that EBITDA change? Did it, you know, up or down, or had no impact?

Barton Crockett: Okay. Thank you for taking the question. I'm just wondering on the EBITDA growth year-over-year. I understand you're not going to break out Vegas in any specificity, but is there any comment you can make on whether or not Vegas provided any material impact on that EBITDA change? Did it up down, or was it no impact? Because that was very big kind of year-over-year growth, and that was a new race that was obviously meaningful. So that's one. And then secondarily, following up on the Braves' kind of questioning, I was wondering if you could comment on some of the discussion that Major League Baseball is interested potentially in rolling up local team rights for its own kind of streaming service and that that could potentially be a roadblock or something to be resolved as you go through this Diamond restructuring.

Crockett: Okay. Thank you for taking the question.

Crockett: I'm just wondering on the EBITDA growth year over year.

Crockett: I understand you're not going to break out Vegas in any specificity.

Crockett: Is there any comment you can make on whether or not Vegas.

Crockett: <unk> provided any material impact on that EBITDA change did it.

Crockett: Up down or was it no impact.

Speaker Change: Thanks that was very big kind of year over year growth and that was a new race.

Gregory B. Maffei: because that was a very big area of growth and that was a new race that was obviously meaningful. So that's one. Secondarily, following up on the Braves kind of questioning, I was wondering if you could comment on some of the discussion that Major League Baseball is interested potentially in rolling up sports local team rights for its own kind of streaming service. And that could, you know, potentially, be a roadblock or, you know, something to be resolved as you go through this diamond restructuring. So if you could talk about the kind of your views, your support for that idea.

Crockett: It is obviously meaningful so that's one and then.

Crockett: Secondarily on the.

Crockett: Following up on the Braves kind of questioning.

Crockett: I was wondering if you could comment on some of the discussion that major League baseball is interested.

Crockett: Actually rolling up.

Crockett: It's local team rights or some kind of streaming service.

Crockett: And if that could potentially.

Crockett: Be a roadblock or something to be resolved as you go through this diamond restructuring. So you could talk about kind of your views your support for that idea. Thank you.

Barton Crockett: So, if you could talk about kind of your views, your support for that idea. Thank you.

Brian Wendling: So touching on LVGP, I can say that LVGP was a positive contributor to F1's earnings for 2023. With the cost optimization measures we've discussed and, frankly, improved interest in the race and improved potential price points, I think we will see a greater contribution in 2024. I think that's where we'll leave that. On MLB, I think I'm reluctant to comment. You've seen some of the public actions that MLB was against some of the Diamond proposed restructurings. Other than that, I think we'd leave it alone. Other than Derek, if you want to add anything.

Crockett: So touching on L. B G. P. I can say that Lvg V. G. P was a positive concho contributor to <unk> earnings for 2023, and with the cost optimization measures, we have discussed and frankly you know.

Gregory B. Maffei: So touching on LVGP, I can say that LVGP was a positive contributor to funds earnings in 2023. And with the cost optimization, the measures we've discussed, and, frankly, you know, improved interest in the raise and improved potential price points, I think we will see a greater contribution in 2024. I think that's where we'll leave that. On MLB, I think I'm reluctant to comment. You've seen some of the public actions that MLB has taken against some of the diamond's proposed restructurings, but other than that, I think we'd leave it alone. Other than Derek, if you want to add anything.

Crockett: Improved interest rates and improved potential price points I think we will see a greater contribution in 2024, I think that's where.

Crockett: I will leave that on.

Crockett: L. B I think I'm reluctant to comment you've seen some of the public actions that MLP has was against some of the diamond proposed restructurings, but other than that I think.

Speaker Change: We leave it alone other than Derek if you want to add anything.

Derek Schiller: No. The only other thing I might say, just point of clarification if you're not aware, the current agreement with Diamond does not include streaming rights. So those streaming rights continue to be held at the league level. That's not necessarily the case for all teams, but in our case, it is. And so we're obviously deferential to what the league is going to do as a whole. But right now, our streaming remains at the league-wide level.

Derek: No. The only other thing I might say just point of clarification, if youre not aware.

Derek: Now the only other thing I might say, just a point of clarification if you're not aware, the current agreement with Diamond does not include streaming rights, so those streaming rights continue to be held at the league level. That's not necessarily the case for all teams, but in our case, it is, and so we're obviously deferential to what the league is going to do as a whole, but right now, our streaming remains at the league-wide level. Okay, great. Thank you. Our next question is from Stephen Lazik with Goldman Sachs. Please proceed with your question. Thanks, Good morning.

Derek: The current agreement with Diamond does not include streaming rights. So those streaming rights continue to be held at the league level, that's not necessarily the case for all teams, but in our case it is and so.

Derek: We're obviously differential to what the league is going to do as a whole but.

Speaker Change: Now our streaming remains at the league wide level.

Barton Crockett: Okay. Great. Thank you.

Speaker Change: Okay, great. Thank you.

Shane Kleinstein: Thank you.

Speaker Change: Thank you.

Operator: Our next question is from Stephen Laszczyk with Goldman Sachs. Please proceed with your question.

Speaker Change: Our next question is from Stephen <unk> with Goldman Sachs. Please proceed with your question.

Barton Crockett: Thanks. Good morning. Two on Formula One, maybe for both Greg and Stefano. First on Paddock, could you maybe talk a little bit about where you see opportunity to grow hospitality revenues in 2024? I'm curious what any of the pricing increase front we're at for Paddock. It's been a pretty nice tailwind over the last few years. And then are there any areas across the slate in particular where you think there's opportunity to grow capacity? And then secondly, on sponsorship, nice growth in 2023. Could you maybe just talk a little bit more about the opportunity in 2024? How much room do you feel like there still is to increase inventory without diluting the existing sponsorship value add? Stefano, I think you mentioned creating some new assets. Be curious if you could talk a little bit more about that and what verticals remain large opportunities. Thank you.

Stephen Laszczyk: Thanks. Good morning. Two on Formula One, maybe for both Greg and Stefano. First on Paddock, could you maybe talk a little bit about where you see opportunity to grow hospitality revenues in 2024? I'm curious what any of the pricing increase front we're at for Paddock. It's been a pretty nice tailwind over the last few years. And then are there any areas across the slate in particular where you think there's opportunity to grow capacity? And then secondly, on sponsorship, nice growth in 2023. Could you maybe just talk a little bit more about the opportunity in 2024? How much room do you feel like there still is to increase inventory without diluting the existing sponsorship value add? Stefano, I think you mentioned creating some new assets. Be curious if you could talk a little bit more about that and what verticals remain large opportunities. Thank you.

Stephen: Thanks, Good morning, two one formula one maybe for both Greg and Stefano first one Patrick could you maybe talk a little bit about where you see opportunity to grow hospitality revenues in 'twenty four I'm curious what inning of the pricing.

Stephen Lazik: Two on Formula One, maybe for both Greg and Stefano. First on Patek, could you maybe talk a little bit about where you see opportunity to grow hospitality revenues in 24? I'm curious about what on the pricing increase front we're at for Patek. It's been a pretty nice tailwind over the last few years.

Stephen: Increased front and where we're at for panic, it's been a pretty nice tailwind over the last few years and then are there any areas across the slate in particular, where do you think there's opportunity to grow capacity.

Stefano Domenicali: And then, are there any areas across the slate in particular where you think there's opportunity to grow capacity? And then, secondly, on sponsorship, nice growth in 23. Could you maybe just talk a little bit more about the opportunity in 24? How much room do you feel like there still is to increase inventory without diluting the existing sponsorship value add? Stefano, I think you mentioned creating some new assets.

Stephen: And then secondly on sponsorship nice growth in 'twenty three could you maybe just talk a little bit more about the opportunity in 24, how much room do you feel like there still is.

Stephen: Increased inventory without diluting the existing sponsorship.

Stephen: Value add Stefan I think you mentioned, creating some new assets be curious if you talk a little bit more about that and what verticals remain large opportunities. Thank you.

Stefano Domenicali: I would be curious if you could talk a little bit more about that and what verticals remain large opportunities. Thank you. Stefano, do you want to start with hospitality? Yes.

Shane Kleinstein: Stefano, do you want to start on hospitality?

Speaker Change: Definitely do you want to start on hospitality.

Barton Crockett: Yep.

Stefano Domenicali: Yep.

Stefano Domenicali: Yep. Thank you, Greg. Thank you, Stephen. I think that what has been amazing in the last couple of years is the fact that our offer in terms of Paddock Club has been always appreciated by our customer. We did some adjustment on pricing, not everywhere, because of course, we understand that of course, the prices are very important and very sensitive things to do or to apply. And therefore, I think that what we have done this year, that is basically already confirming an incredible request from our partners, teams, and guests, is try to maximize eventual potential of growth in area that there is still availability of space. And the other thing that we are doing is to see if there is another kind of offer that we can put together.

Stefano Domenicali: Yeah, thank you, Greg. Thank you, Stephen. I think that what has been amazing in the last couple of years is that our offer in terms of Padaplab has always been appreciated by our customers. We did some adjustments on pricing, not everywhere, because, of course, we understand that, of course, prices are very important and very sensitive things to do or to apply. And therefore, I think that what we have done this year, which is basically already confirming an incredible demand from our partners and teams and guests, is try to maximize the eventual potential of growth in the area where there is still availability of space. And the other thing that we are doing is to see if there is another kind of offer that we can put together. Of course, the fact that now we are together with Quint, we can exploit the maximum opportunity to make sure that the paddle cable experience can grow also in the area of entertainment, because that's another place where we are exploiting in a different way the racing we can offer our fans.

Speaker Change: Yes. Thank you Greg Thank you Steven I think that.

Speaker Change: What that's been amazing these in the last couple of years, but the fact that the our offer in term of pattern play that's been always appreciated by the customer we did some adjustments on pricing not everywhere because of course, we understand that Oh of course, the prices are very important medicines since it seems to do at <unk>.

Speaker Change: Apply and the forward I think thats, what we have done this year that is basically already confirming an incredible request from our partners and teams and guests is try to maximize the eventual potential of growth and added that there is availability of space and the other thing that.

Speaker Change: We are doing these proceeds there is another kind of offer that we can put together of course. The fact that now we have together with quint begun to exploit the maximum opportunity to make sure that that dip.

Stefano Domenicali: Of course, the fact that now we are together with Quint, we're going to exploit the maximum opportunity to make sure that the Paddock Club experience can grow also in the area of entertainment because that's another place where we are exploiting in a different way the racing we can experience for our fans. With regard to the sponsorship, I think that what we have seen the last couple of years has been an incredible growth in terms of quality and in terms of quantity of our partners. That means that we need to keep having the right attention to what is kind of revenue stream. But that means that also we need to be ready to increase our possibility to having the right offer in terms of new opportunity.

Speaker Change: <unk> can grow also in data of entertainment.

Speaker Change: That's another place where we have a exploit in a different way. The reason we can experience for our fans and with regard to the sponsorship I think thats. What we have seen the last couple of years has been an incredible growth in terms of quality and in terms of quantity of our partners that means that we need to keep.

Stefano Domenicali: And with regard to sponsorship, I think that what we have seen in the last couple of years has been an incredible growth in terms of quality and in terms of quantity of our partners. That means that we need to keep having the right attention toward this kind of revenue stream, but that also means that we need to be ready to increase our possibility of having the right offer in terms of new opportunities. I think that one that is pretty clear that we are able to optimize, and we did so already last year, in a way, was the digital possibility to differentiate this different option for our partners from area to area.

Speaker Change: Having the right attention towards these kind of revenue stream, but that means that also we need to be ready to increase our possibilities to having the right.

Speaker Change: Offer into in terms of new opportunities I think that the one that is pretty clear that we are able to optimize that we've done already last year and in a way has been the digital.

Stefano Domenicali: I think that one that is pretty clear that we are able to optimize and we have done already last year in a way has been the digital possibility to differentiate from area to area these different options for our partners. On the other side, of course, there are two main areas where we believe there is potential to do, but we need to have the right competencies, and we need to find the right partners, consider the complexity. That is one area that is the gambling. And the other area is on the financial services that has been already taking a big step last year with Amex. But I think there is huge opportunity that we can take into the future. And that's really where I believe in all terms that the potential to even grow is still there and will be there.

Speaker Change: Possibilities to differentiate from.

Speaker Change: <unk> to add add these are deferred.

Speaker Change: The option for our partners and on the other side of course, there are two main added whether that we believed that has potential to do both we need to have the right competences and we need to find the right partners consider the complexity that these one out of this the gambling.

Stefano Domenicali: On the other hand, of course, there are two main areas where we believe there is potential to do so, but we need the right competences, and we need to find the right partners considering the complexities. That is one area, gambling, and the other area is financial services, which took a big step last year with Amex, but I think there is a huge opportunity that we can take into the future. And that is really where I believe in the long term that the potential to even grow is still there and will be there. I got it.

Speaker Change: And that the other areas on the financial services.

Speaker Change: It's been already taking a big step last year with Amex, but I think that is huge opportunity that we can take into the future and thats really where I believe in the old term that that the potential to even growth is still there and it will be and will be there.

Stefano Domenicali: Thank you. Thank you. Our next question is from Peter Cipino with Wolf Research. Please proceed with your question. Hi, good morning.

Barton Crockett: Got it. Thank you.

Speaker Change: Got it thank you.

Operator: Thank you. Our next question is from Peter Supino with Wolfe Research. Please proceed with your question.

Speaker Change: Thank you. Our next question is from Peter Zaffino with Wolfe Research. Please proceed with your question.

David Joyce: Hi. Good morning. One for Stefano and one for Greg. Stefano, if you wouldn't mind, with Silverstone, Madrid, São Paulo, and Suzuka all signed in the last quarter, I guess we have seen contracts locked in for 5 or 10 years in some cases. So how should we be thinking about the trade-offs in terms of contract duration, escalators, step-ups for promotion rights like this? Curious about the pros and cons and how we can think about that for modeling. And then, Greg, if you could please comment on the bigger picture for sports rights. It's become very controversial, this topic that was once only driven by optimists. And if you could let us know how you see sports rights values playing out over the next several years given the puts and takes of linear and streaming. Thank you.

Peter Zaffino: Hi, Good morning, one first a final one for Greg Stephano, if you wouldn't mind with Silverstone and Madrid in Sao Paulo in Suzuka all signs.

Peter Cipino: One for Stefano and one for Greg. Stefano, if you wouldn't mind, with Silverstone and Madrid and San Paolo and Suzuka all signed in the last quarter, I guess we have seen contracts locked in for five or 10 years in some cases. How should we be thinking about the trade-offs in terms of contract duration, escalators, and step-ups for promotion rights like this? Curious about the pros and cons and how we can think about that for modeling.

Peter Zaffino: Last quarter, I guess, we have seen contracts locked in for five or 10 years.

Peter Zaffino: Some cases, so how should we be thinking about the trade offs in terms of contract duration escalators step ups for promotion rights like this I'm curious about the pros and cons and how we can think about that for modeling and then Greg If you could please comment on the.

Stefano Domenicali: And then, Greg, if you could please comment on the bigger picture for sports rights. It's become very controversial, this topic that was once only driven by optimists. And if you could let us know how you see sports rights values playing out over the next several years, given the puts and takes of linear and streaming. Thank you. Well, Peter, thank you.

Gregory B. Maffei: Bigger picture for sports rights, it's become very controversial this topic that was once.

Gregory B. Maffei: Only driven by Optimists.

Greg: And if you could let us know how you see sports rights audience, playing out over the next several years given the puts and takes of linear and streaming. Thank you.

Stefano Domenicali: Well, Peter, thank you. With regard to the first question, I think as always, when we take the decision with regard to the renewal, there are a lot of elements that we need to consider. First of all, of course, the financial aspect is relevant, no doubt, and the fact that we are able to stabilize with certain promoters, which we believe represent an incredible opportunity in terms of our stability on this market, is a relevant element to consider. The fact that you have seen in the last couple of years that we were able to ratify incredible agreements with certain promoters means that there is, from one side, of course, a very interesting financial package, but on the other side, an incredible opportunity to develop our business in other areas that are on top of the one that is related to the promotional fee.

Gregory B. Maffei: Well Peter Thank you for the with regards to the first question I think is always well.

Gregory B. Maffei: With regard to the first question, I think, as always, when we take decisions with regard to renewal, there are a lot of elements that we need to consider. First of all, the financial aspect is relevant, no doubt, and the fact that we are able to stabilize with certain promoters, which we believe represent an incredible opportunity in terms of our stability on this market, is a relevant element to consider. The fact that, in the last couple of years, we have been able to ratify incredible agreements with certain promoters means that there is, from one side, of course, a very interesting financial package, but on the other side, an incredible opportunity to develop our business in other areas that are on top of the one that is related to the promotional fee. And that's really our approach.

Speaker Change: We take the decision with regard to the renewal.

Peter Zaffino: Local vendors so that we need to consider first of all of course, the financial expertise relevant no doubt and and the fact that we are able to stabilize with sort of promoter, which we believe will represent an incredible opportunities in terms of our stability on this market. These are relevant.

Speaker Change: Element to consider.

Speaker Change: The fact that you have seen in the last couple of years that we were able to ratify and credible.

Speaker Change: The agreement with certain promoted MS. Bad Daddy's from one side of course that are very interesting financial package, but on the other side that incredible opportunities to develop our business in that are added on top of the one that is related to the promotional fee and thats really our our approach. It is clear that the E U.

Stefano Domenicali: That's really our approach. It is clear that if you see the development of our regionalization of the calendar, we are moved out from being European-centric to a very worldwide basic development that needs to be kept into the future. I just want to confirm the fact that we believe 24 races is the right number. I think that we're going to play in the right way. I was mentioning just briefly before on the fact that we have certain opportunities that we want to bring into the market in the next couple of years starting from 2026 onwards.

Gregory B. Maffei: It is clear that, if you see the development of our regionalization of the calendar, we have moved out from being European-centric to a very worldwide basic development that needs to be kept into the future. I just want to confirm the fact that we believe 24 races is the right number, and I think that we're going to play in the right way. I was mentioning just briefly before the fact that we have certain opportunities we want to bring to the market in the next couple of years, starting from 2026 onwards. So if I could just add to what Stefano said, look, you weigh...

Speaker Change: See the development of our original Ization of the calendar, we have moved out from being that European centric to a very worldwide basic development that needs to be kept into the future.

Speaker Change: Just want to confirm the fact that we believe 24 races is there a number and I think that we got that play in the right way I was mentioning just briefly before on the fact that we have certain opportunities you want to bring into the market in the next couple of years.

Speaker Change: In sum 2026 onwards.

Shane Kleinstein: So I could just add on what Stefano said. Look, you weigh, I think it's not unlike your sports rights question, which I'll get to in a sec. You weigh what's the appeal of the venue and what are the economic opportunities for us. And in general, if you see us cut a very long deal, you must think we think it's a pretty good opportunity, both on the fan basis and on the economic basis. You see a shorter-term deal, that's open to question. And so we weigh all of those. On the sports rights, clearly, the world has gotten more muddled, as you suggested. In general, more people bidding. That's a positive. Also, more sports. That may be a challenge. And then the issue of fragmentation and trying to find where your sport is for your fans and making it easy.

Speaker Change: So I could just add on what Stefano said look the way I think it's.

Gregory B. Maffei: Not unlike their sports rights questions, which I'll get to in a sec, you weigh up... What's the appeal of the venue? And what are the economic opportunities for us?

Speaker Change: Not unlike the sports rights question, which I'll get to in a SEC your way.

Speaker Change: What's the appeal of the venue.

Speaker Change: And what are the economic opportunities for us.

Gregory B. Maffei: And in general, if you see us cut a very long deal, you must think we think it's a pretty good opportunity, both on the fan basis and on the economic basis. You see a shorter-term deal, that's open to question. And so we weigh all of those. On sports rights. Clearly, the world has gotten more muddled, as you suggested.

Speaker Change: In general if you see us cut a very long deal you must think if we think it's a pretty good opportunity both on a fad basis and on the economic basis, you see a shorter term deal that's open to questions and so we weigh all of those on the sports rights.

Speaker Change: But look the world has gotten more muddled as you suggested.

Speaker Change: In general.

Gregory B. Maffei: In general, more people bidding, that's positive. Also, more sports, that may be a challenge, and then there is the issue of fragmentation and trying to find where your sport is for your fans and making it easy. You know, we are always looking, particularly given our big sponsorship business, at the tradeoff between reach and what we get paid. So, lots of factors there. Overall, on whether you're positive or negative, I would note I feel very positive about the sports properties we're involved with. Why?

Speaker Change: More people bidding that's a positive.

Speaker Change: Also more sports that may be a challenge.

Speaker Change: And then the issue of fragmentation and trying to find where you're sport is for your fans and making it easy we are always looking particularly given our big sponsorship business on the trade off between reach and what we get paid.

Shane Kleinstein: We are always looking, particularly given our big sponsorship business, on the trade-off between reach and what we get paid. So lots of factors there. Overall, on whether you're positive or negative, I would note I feel very positive about the sports properties we're involved with. Why? Both have incredible fan demand, have high ratings relative to what they get paid, both have a passionate fan base, as I suggested. Look at the ratings for where the Braves are. Look at who is watching F1 and where they're willing to get up and watch it early in the morning. Both of them are not hugely monetized relative to what some of their peers are monetized. And I think if you look at sports rights in general, you've seen renewals on properties that did not necessarily have massive growth, and still get more money.

Speaker Change: So lots of factors there overall on whether you are positive or negative I would note I feel very positive about the sports properties were involved with why both have incredible fan demand have high ratings relative to what they get paid both have a passionate fan base as I suggested.

Gregory B. Maffei: Both have incredible fan demand, and have high ratings relative to what they get paid. Both have passionate fan bases, as I suggested. Look at the ratings for where the Braves are. Look at who is watching F1 and where they're willing to get up and watch it early in the morning. Both of them are not hugely monetized relative to what some of their peers are monetized.

Speaker Change: Look at the ratings for where the Braves are look at who is watching F. One and where they wanted to get up and watch it early in the morning.

Speaker Change: Both of them both of them are not hugely monetize relative to what some of their peers are monetized.

Gregory B. Maffei: And I think if you look at sports rights in general, you've seen renewals on properties that did not necessarily have massive growth and still get more money. So I remain, in general, bullish on sports rights given the multiplicity of buyers and, in particular, bullish on the sports rights where the properties are involved. That's a great answer. Thank you. And if I could pile on with one since my esteemed colleagues seem to be comfortable doing the same.

Speaker Change: And I think if you look at sports market in general you've seen renewals on properties that did not necessarily have massive growth.

Speaker Change: They'll get more money.

Shane Kleinstein: So I remain, in general, bullish on sports rights given the multiplicity of buyers and, in particular, bullish on the sports rights for the properties we're involved in.

Speaker Change: I remain in general bullish on sports rights, given the multiplicity of buyers and in particular bullish on the sports rights of the properties were involved in.

David Joyce: That's a great answer. Thank you. And if I could pile on with one since my esteemed colleagues seem to be comfortable doing the same, I wanted to ask you on the US media rights for F1, the ESPN renewal. It's generally understood that ESPN doesn't earn much advertising revenue on that contract. And so how do you think about the case for them paying more?

Speaker Change: That's great answer thank you and if I could pile on with one since my esteemed colleagues seem to be comfortable doing the same I wanted to ask you on.

Gregory B. Maffei: I wanted to ask you about the US media rights for F1, the ESPN renewal. It's well, it's generally understood that ESPN doesn't earn much advertising revenue on that contract. And so how do you think about the case for them paying more? I think the case, you know, and obviously I have a little bit of a bias for this, is pretty easy.

Speaker Change: The U S media rights for F. One the ESPN renewal, it's well, it's generally understood that ESPN doesn't earn much advertising revenue on that contract and so how do you think about the case for them pay more.

Shane Kleinstein: I think the case, and obviously, I have a little bit of bias for this. I think the case is pretty easy. You've got one of the cases where you have massive growth in fan interest, and we can show statistically how much our fan interest has grown across all sorts of platforms. We have a very desirable upscale audience. We have a younger audience. A lot of factors that they would like to bring to the party. ESPN or anybody else, not to limit it to that. So I think there are a lot of reasons why we can make the case that our media rights in the US are more valuable, and there will be likely a multiplicity of players, and we will likely get a better number.

Speaker Change: I think the case.

Speaker Change: Obviously I have a little bit of bias for this I think the case is pretty easy you've got one of those cases, where you have massive growth in fan interest and we can show statistically how much our fan interest has grown across all sorts of platforms. We have a very desirable upscale audience, we have a younger audience.

Gregory B. Maffei: We've got one of the cases where you have massive growth in fan interest, and we can show statistically how much our fan interest has grown across all sorts of platforms. We have a very desirable upscale audience. We have a younger audience. There are a lot of factors that they would like to bring to the party, ESPN or anybody else, not to limit it to that. So I think there are a lot of reasons why we can make the case that our media rights in the U.S. are more valuable, and there will likely be a multiplicity of players, and we will likely get a better number. Thank you all.

Speaker Change: A lot of factors that they would like to bring to the party ESPN or anybody else not to not to.

Speaker Change: Limited to that so I think there are a lot of reasons why we can make the case that our media rights in the U S are more valuable and there will be likely a multiplicity of players and we will likely get a better number.

David Joyce: Thanks, you all.

Speaker Change: Thank you all.

Speaker Change: Okay.

Operator: Thank you. Our last question is from Jeffrey Wlodarczak with Pivotal Research Group. Please proceed with your question.

Speaker Change: Thank you.

Speaker Change: Our last question is from Jeffrey <unk> with pivotal Research group. Please proceed with your question.

Jeffrey Woodzisak: Thank you. Our last question is from Jeffrey Woodzisak with Pivotal Research Group. Please proceed with your question. Good morning, guys.

Derek Schiller: Good morning, guys. I had a follow-up on Vegas. Do you anticipate, after your Vegas experience, taking a promoter role in more races, I guess, post 2025? And then specifically on your decision not to let in another team, I assume you need a new, I guess, could you provide color on that? And then do you need a new Concorde Agreement to raise the entry fee to make more teams more palatable for the existing teams? Thanks.

Jeffrey: Good morning, guys I had a follow up on Vegas do you anticipate after your banks experienced taking a promoter role and more races, I guess post 'twenty five.

Gregory B. Maffei: I had a follow-up on Vegas. Do you anticipate after your Vegas experience taking a promoter role in more races, I guess post-25, and then specifically on your decision not to let the 11th team? I assume you need a new, I guess you could provide color on that, and then do you need a new Concord agreement to raise the accuracy to make more teams more palatable for the existing teams? Thanks. Thanks, Jeff. I'll cut to the chase on the first part about promotion or co-promoting or what else. You'll see my answer.

Jeffrey: And then specifically on your decision not to let in the lab team.

Jeffrey: I assume you need a new coffee I guess can you provide color on that and then do you need a new Concorde agreement to raise the accuracy to make a more teams more palatable for these essent James Thanks.

Shane Kleinstein: Thanks, Jeff. I'll touch on the first part about promotion or co-promoting or when you'll see my answer. And then, Stefano, maybe you will comment on the 11th team.

James: Thanks, Jeff I'll I'll touch on the first part about.

Speaker Change: Promotion or co promoting or you'll see my answer and then Stefan maybe you will comment on the 11th team.

Stefano Domenicali: And then, Stefano, maybe you will comment on the 11th, on promotion. Look, I think we went in and promoted Vegas for a variety of reasons. We thought it was a unique opportunity to promote the sport. In fact, it was a unique economic opportunity. We thought we would learn a lot about being a promoter and make us more credible with other promoters. I do not know that there are many opportunities out there like Vegas where we're going to say we absolutely want to go. There may be opportunities in the future where we can partner with promoters. Some promoters are short on capital.

Derek Schiller: Yep.

Shane Kleinstein: So on promotion, look, I think we went in and promoted Vegas for a variety of reasons. We thought it was a unique opportunity to promote the sport. We thought it was a unique economic opportunity. We thought we would learn a lot about being a promoter and make us more credible with other promoters. I do not know that there are many opportunities out there like Vegas where we're going to say, "We absolutely want to do this." There may be opportunities in the future where we can partner with promoters. Some promoters are short on capital. Some promoters are short on some skills, and there are things that we could bring to the table. But in many cases, our promoters bring local knowledge, local contacts, local strengths that are very valuable. And we wouldn't necessarily be able to supplant those.

Stefan: Yeah go on.

Stefan: On promotion look I think we went in and promoted Vegas for a variety of reasons. We thought it was a unique opportunity to promote the sport. We thought it was a unique economic opportunity. We thought we would learn a lot about being a promoter and make us more credible with other promoters.

Stefan: I do not know that there are many opportunities out there like Vegas, where we're gonna say, we absolutely want to do this.

Stefan: There may be opportunities in the future, where we can partner with promoters. Some promoters are short on capital. Some promoters are short on some skills and there are things that we could bring to the table, but in many cases, our promoters bring local knowledge local contacts local strengths.

Gregory B. Maffei: Some promoters are short of some skills, and there are things that we could bring to the table. But in many cases, our promoters bring local knowledge, local contacts, and local strengths that are very valuable, and we wouldn't necessarily be able to supplant those.

Stefan: That are very valuable and we.

Stefan: Wouldn't necessarily be able to supplant those so in some way to think about enhancing that and working together I think that's the more likely path in thinking we're going to become a promoter of a bunch of races.

Shane Kleinstein: So in some way, to think about enhancing that and working together, I think that's the more likely path than thinking we're going to become a promoter of a bunch of races.

Stefano Domenicali: So in some ways, to think about enhancing that and working together, I think that's the more likely path to thinking we're going to become a promoter of a bunch of races. And yeah, Jeffrey, with regard to the second question, I think for sure it is a point related to the Concord Agreement. It is a point of, you know, joint work that has to be done between the FIA and FOM in regard to the different kinds of evaluation that we need to do. So, with regard to what has happened, I think that the process has been followed, and we presented the result in the right way. For the future, it's a matter of discussion, of course, with the teams, with the right commercial and technical proposition that will be discussed accordingly this year.

Stefano Domenicali: Yeah, Jeff, with regard to the second question, 11th team, for sure, is a point related to the Concorde Agreement, but it is a point of a joint work that has to be done between the FIA and FOM in regard to the different kind of evaluation that we need to do. So I think that with regard to what has happened, I think that the process has been followed, and we presented the result in the right way. For the future, it is a matter of discussion, of course, with the teams, with the right commercial and technical proposition that will be discussed accordingly within this year.

Speaker Change: And yes, Jeff with regard to the second question <unk> for short is ease of bond related to the comfort agreement. There is a point of you know John.

Stefan: Joint work that has to be done between the FAA and that's when we go out to the different the kind of evaluation that we need to do so I think that with regard to what does happen I think that the person has been follow it in the end that we presented the results in the right way for the future is a matter of discussion of course with the teams with the right commercial.

Stefan: And second global position that will be discussed accordingly in within this year.

Derek Schiller: Thank you.

Speaker Change: Thank you.

Jeffrey Woodzisak: Thank you. All right, thank you. I believe that was our last question. Thank you again to the listening audience for both your interest in Liberty Media and The Braves. We look forward to speaking with you again next quarter, if not sooner. This concludes today's conference. You may disconnect your lines at this time. Thank you for your participation.

Shane Kleinstein: All right. Thank you. I believe that was our last question. Thank you again to the listening audience for both your interest in Liberty Media and the Braves. We look forward to speaking with you again next quarter, if not sooner.

Speaker Change: Alright. Thank you I believe that was our last question. Thank.

Speaker Change: Thank you again to the listening audience for both your interest in Liberty media and the Braves are we look forward to speaking with you again next quarter if not sooner.

Stefan: Yes.

Ben Swinburne: Okay.

Operator: This concludes today's conference. You may disconnect your lines at this time. Thank you for your participation.

Speaker Change: This concludes today's conference you may disconnect your lines at this time. Thank you for your participation.

Q4 2023 Liberty Media Corp Earnings Call - Q&A

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