Pacers extend arena deal

Sports Network

, Last Updated: 11:10 AM ET

INDIANAPOLIS -- The Indiana Pacers and the city of Indianapolis have reportedly reached an agreement that will keep the team in Conseco Fieldhouse for at least three more seasons.

According to the Indianapolis Star, the city will contribute $10 million US annually over the next three years in costs to help the Pacers run the operations of Conseco Fieldhouse and will pay at least $3.5 million for improvements to the building.

The Pacers, in turn, must remain in the city through the 2012-13 season or repay the entire $30 million. The contract with the city and the arena expires in 2019. If the team leaves after the initial three-year period and before 2019, it would also be responsible for paying back the city a portion of the $30 million, plus the estimated $20 million in termination fees called for in the contract.

Pacers owner Herb Simon purchased the team with his late brother, Melvin, in 1983.

The Star said Simon wants a long-term agreement with the city, despite the fact that the team loses an estimated $30 million per year.

Indiana was just 32-50 last season and missed the playoffs for a fourth straight year.


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