Clear Channel Entertainment holds exclusive rights to book the Sports Arena. Sources say the agreement won't be renewed when it expires in December.
As the largest concert company in the U.S., Clear Channel Entertainment dominates the concert business in most major cities (San Diego is an exception, with the market cornered by House of Blues Concerts).
Clear Channel Communications, meanwhile, is America's largest radio company. It purchased the concert company five years ago, expecting a positive synergy between the two entities. That effect hasn't been realized, and the entire company is up for sale.
Pollstar magazine reports that Clear Channel Communications paid $4.4 billion for the concert company in 2000. Now, according to the magazine, it's worth $1.5 billion. "That means that $3 billion disappeared into thin air," according to Pollstar.
Insiders say the new operators of the Sports Arena will be AEG Live/Goldenvoice, the company that promotes the annual Coachella Music Festival near Palm Springs. AEG is the second-largest concert company in the U.S.
Sports Arena general manager Ernie Hahn was not available for comment.