Features
Aeg Scores Five-Year L.A. Deal
AEG has secured a five-year contract to operate the Los Angeles Convention Center.
The deal, which includes an annual base fee of $175,000, has potential to double should AEG hit certain booking and revenue targets for the Convention Center.
The contract also apparently includes changes to city codes that will allow AEG to receive advance payments, ink licensing deals and control an operating account without prior approval from city officials.
The company nearly lost the contract earlier this year when its application to be facility manager was deemed nonresponsive for failing to provide corporate tax returns and three years’ worth of balance sheets and other paperwork.
It got a second shot after city officials voted unanimously to solicit a new round of bids.