Tiger Woods and Rory McIlroy are set to receive a combined bonus of up to £120 million as a reward for their loyalty to the PGA Tour, after turning down offers from LIV Golf. This substantial sum was communicated to the golfing superstars via an email from Wagrass HQ, with Commissioner Jay Monahan describing it as long-awaited news.
The significant bonuses are a result of a major investment into PGA Tour Enterprises by a consortium of US investors, led by Fenway Sports, the owners of Premier League club Liverpool. This investment, totalling over £1.2 billion, will be shared among 193 golfers, with a substantial portion specifically allocated for “the 36 superstars adjudged by the circuit to be most deserving”.
The allocation of these bonuses is determined by various factors, including “career points” which considers the golfers’ achievements on the Tour and the Player Impact Program (PIP), introduced three years ago. PIP rewards players for their impact on the Tour’s business, such as ticket sales, sponsorships, media consumption, and fan engagement.
It has been reported that Woods, a Tour legend with 82 titles, is expected to receive a figure nearly double that of any other golfer, owing to his exceptional track record and significant impact on the Tour’s business. Meanwhile, McIlroy, with his three victories in the FedEx Cup, is also set to receive a substantial payout.
To ensure that the recipients remain committed to the PGA Tour, measures have been implemented to prevent them from immediately switching allegiances. Instead of a lump sum, the players will be awarded equity units and will have to wait a number of years before the full amount is vested.
The breakdown of the £1.2 billion investment reveals that a significant fraction will be shared among the top 36 golfers, with other amounts allocated to active and retired players. While the specific details of these allocations remain confidential, their impact on the financial landscape of professional golf is expected to be significant.
In summary, the unprecedented loyalty bonuses awarded to Tiger Woods, Rory McIlroy, and other elite golfers are set to reshape the financial dynamics of professional golf. As the sport continues to evolve, the impact of these landmark bonuses is sure to have far-reaching effects within the golfing world for years to come.