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THE PLAYERS CHAMPIONSHIP

May 9, 2017

Jay Monahan

Ponte Vedra Beach, Florida

LAURA SCHROEDER: Good morning. Welcome to the 2017 PLAYERS Championship. Thank you to all the media who have come from all over the world to join us this week. We're pleased to have Commissioner Jay Monahan here at the start of a very busy and very exciting tournament week. But it's already been a busy and exciting morning. So I'll turn it over to Jay to make some remarks about the season as a whole but also about the news that we shared this morning on CNBC.

JAY MONAHAN: Good morning, everyone, and welcome officially to the 2017 PLAYERS. As Laura mentioned, the week is off to a great start indeed with this morning's announcement of a 10-year extension of the FedExCup. As you've heard me say, FedEx is part of the foundation of our TOUR and our organization. We have been in business together for over 30 years and obviously launched the Cup, announced it in 2005, launched it in 2007, and to know that it's secured through 2027 is a special day and a great statement about our players and a great statement about our TOUR, and I would just invite you to look at the way they responded on Twitter this morning and their comments through the years, and as you'll hear throughout the next couple of days, it's a special day.

We're also past the halfway point in our season, and we are excited about how the season is developing. We've got 29 of the Top-30 players in the world playing on the PGA TOUR from nine different countries. We now have 88 members representing 23 countries, 12 winners under the age of 30. Last year at this point we had -- at the end of the season we had 14 winners under the age of 30. That average age continues to come down, and the three wins by Dustin and two by Hideki and Justin Thomas I think have created a lot of excitement, and you saw the excitement and energy that Brian Harman exuded this Sunday when he won. Special times.

Also an exciting week ahead. We really have been looking forward to this week. We do each year, but I think there's been a special anticipation with the changes that have been made both on and off the golf course. Off the golf course you see the changes that were made to the front entranceway and to our VIP entryway here, the Davis Love Gate, and then going back to 2014 we spent a lot of time looking at everything on our golf course, and our team, I think, did a wonderful job led by our golf course properties team, resurfacing all of our greens to TifEagle; making an esthetic change between holes 6 and 7, which I think really opens up that part of the golf course; hole No. 12 turning into a risk/reward drivable par-4; and then elevating our overall practice grounds. So very proud of where we are and really excited to hear how players respond to it, and also, Jared Rice is in the back, he is our tournament director, executive director this week, this is his first year, and his team has done a fantastic job. We'll see record growth this year, with double-digit revenue growth. 55 percent of our fan base will come from outside this area.

I was involved in running this tournament back in 2009 and 2010. The numbers doubled essentially in that time frame, which is very impressive. Last year we generated eight and a half million dollars for charities through this tournament. We think on the early returns that will continue to grow, and really everything that we do here is for our fans and for our players. We're really trying to enhance every facet of this event. For us it's our showcase of excellence, and we're excited to welcome the world's best players here to compete with the deepest field in golf on the Stadium Course, which we consider to be a shrine to our fans, and obviously continue this rich history that we have here.

And I want to emphasize a thank-you to the 800 plus credentialed media that will be here with us this week. The relationship we share with you is very important to us, and I look forward to doing the best job I can answering any questions you might have today.

LAURA SCHROEDER: Questions?

Q. What's your definition of the status of this tournament and the place it has in among golf tournaments in the world?
JAY MONAHAN: My definition really goes back to what I just mentioned, which is for us, it's our showcase of excellence. We continue to do everything we can to enhance every facet of this event. And we do that so that you all and our fans can talk about its significance. All we can do is control everything that we have here on property, and we're very proud of how this event evolves, and really that question is a question for our players and for the media, but this is one of the greatest championships in the world, and we're excited about how far we have come and candidly the continued growth that we expect to deliver through it.

Q. You just mentioned about changes such as 6 and 7 and 12, brand new, driving range, or there's a virtual reality for the 17th hole for the fans. Are they your ideas, and also, what's the reason behind those new changes?
JAY MONAHAN: We have a great team here at the PGA TOUR and we have invested significantly. I'll talk first about virtual reality, across all of our media platforms. And we continue to challenge ourselves and they continue to challenge us to innovate and to create products and create access to content that fans really want to consume. I think that's representative of it on 17, and the early responses to that have been very positive.

Then again, like any organization, it's all about team, and there were a lot of people around the table back in 2014 when candidly we had some challenging playing conditions coming into the week, and we identified at that point in time a process that we were going to go through, and a long story short, it started with the conditioning of our greens and resurfacing, and it led to imagining what could this property be. We have made this initial step, we'll continue to look at that, but that's how we approach it as a team.

Q. Some early talk on 12 is that it might be tilted more toward risk than reward. What are you hearing?
JAY MONAHAN: Yeah, I think I'm hearing exactly what I wanted to hear, what is everybody talking about what it is, whether it's risk, whether it's reward, how they're going to play it. We have seen a lot of the local guys playing it different ways in the months coming into it and trying to assess how they're going to play it. To me that's really the expectation of what we would create here, which is for there to be a lot of dialog and discourse and strategy around how to play the hole. I think that will continue all the way through the week, and we'll look how it performs, but I think it's a great change and it's at a point in the golf course where you're going to see a lot of excitement, particularly as we come down to the end of the PLAYERS Championship.

Q. Could you ever foresee a day where this was a Major Championship? Would you want it to be a Major Championship, or is it better outside of that group?
JAY MONAHAN: I just think that, again, it's not our position to define what a -- what is a Major Championship or to define what this event is. To us, we're just -- our focus is making it the best championship it can possibly be, the best championship in the world, and how people assess it, how the media assess it, how our players, what their perspective on it, that's part of the public discourse. But we think that we're going to compete like heck to continue to do everything we can to raise the profile of this great championship.

Q. But would you ever have any ambition of it changing status?
JAY MONAHAN: I think this championship's in a great place, and I think if that's where -- if that's how it's described and it is being described as that by some today, whether it's the media or players, that's something we're very comfortable with because we think that description is bee fitting of the work that's been done over 40 plus years to build this championship. And it's the PLAYERS Championship. They come here, it's their tournament and it's unique and different and they're obviously playing the same course year in and year out. This course is phenomenal in terms of the way it's democratic and it really defines the best playing, the best player at that point in time, and hence the great list of champions we have.

Q. You talk about enhancing the event. How would this event be enhanced if you moved it back to March?
JAY MONAHAN: Well, it's in May, and right now we don't have any plans on moving it back to March. That's certainly been part of the consideration set. But until we make a decision or at the point in time we make a decision to make any change, I would be happy to answer that question and answer that question directly, but right now we're focused on making THE PLAYERS the best it can possibly be in May.

Q. It's been a narrative for a few years now that the game of golf is getting harder for people to pick up, people complaining more about longer rounds, the younger generation not picking it up as much as usual. How concerned are you about where golf will be, not necessarily the TOUR itself, but the game itself, 20 years from now?
JAY MONAHAN: Well, there's clearly a lot of discussion about the health of the game. I'm just going to share with you my perspective, and it comes off of the data that was just released by the National Golf Foundation. And there are 23.8 million participants - I'm going to speak just to the U.S. - and that number is down slightly year over year. The slight decline is the removal of fringe golfers, those that play once or twice a year. What we have seen is for the first time engaged and committed golfers rise above 20 million. So in terms of the number and the percentage, that's the highest they have ever been. You see two and a half million players enter the game this past year. That's the highest number on record, including exceeding the 2.4 million in 2000 when Tiger was at the top of his game.

We have 2.9 million juniors; that's up 25 percent since 2011. You look at underneath that number, in 1995, 17 percent of those juniors were female. Now that's 33 percent. So you are seeing growth at the junior level.

Then you look at other ways of engaging the game, I think there's 20 million participants now that are going to Topgolf, driving range simulators. 8.2 million of them haven't played on a golf course. And then 12.8 million are saying that they're somewhat or very interested. So to me those are positive trend lines, and if you look at what's coming behind it, and we have a big role in that, you get young relatable international players that I think will drive interest, and it's our job to make certain that for the younger generation we're telling that story, getting that content to them, and as an important industry partner, we're working with our industry partners on all of the initiatives to make sure that young people understand that the greatness of this game, the values of the game and trying to keep them on the continuum of playing it early and through their lives.

So a long way of saying that, I get the fact that there's a lot of discussion on the health, and some of it is negative, but I think there are some really positive trend and story lines underneath it, and we're going to make sure we're doing everything in our part to grow the game.

Q. Right now the TOUR season ends a week before Thanksgiving and then we kick up again in January. Do you think that's a long enough break for the players and the fans, and is it of any interest to you to make that break longer?
JAY MONAHAN: Well, I think that's a fair question and it's one that certainly gets a lot of discussion. But I think if you go back to the advent of the FedExCup and the impact it's had on our season, and in particular the way that it's elevated all tournaments across our schedule and we have a relevance and a prominence over the course of the year, there are a lot of positives to that. I know in our discussions with FedEx, having that continuity of the world's best players playing over the course of the year is positive. But we certainly look at -- you take the comment that you just made and you got to look at what is the best product for our fans, and that's something we're intensely focused on. So those are the kind of things that we'll look at on a long-term basis.

I think it's fair to question that 46 or 47 weeks is a long season. But at this point we really don't have any intention on changing it in the short-term.

Q. Can you just ever see a day where a tournament that performs well in its community and charity and everything else, there's not room for it on the schedule?
JAY MONAHAN: No, I think there will always be room. Using that fact pattern, there will always be room because you're talking about a tournament that's performed very well, that's performed well for us and we have got a strong relationship with, so I could see change in the schedule, but I can't see a removal of a partner from our schedule, because we have a duty and a commitment the to do everything we can to build those partnerships. I don't know, but that would be my response to it; we're certainly not thinking that way.

Q. Could you talk about the FedExCup points scoring, specifically in the wake of the Ian Poulter and the change? I know it's been tweaked over the years, but there still seems like there can be discrepancies between the Money List and points won. Were you guys going to consider taking another look at the points and tweaking it again?
JAY MONAHAN: Well our whole system is based on the FedExCup points and it will continue to be that way. We think that you look at 5X, you look at 4X, you look at the champions that we have presented and the moments and drama underneath it, particularly the last several years, we feel like we have got the Cup in a really good place.

And the situation that you mentioned with Ian, actually it's a byproduct of us moving off of the Money List and focusing entirely on the FedExCup points, and obviously we have addressed that, and that's an issue that won't happen again going forward. But the reality is that no system is perfect, so you are always looking at how it's performing. You're always asking yourself, could it be better, what are the different variations. We have a lot of smart people here that are running the numbers looking at it a bunch of different ways, and we share that information with FedEx, and we're just trying to get to the best possible place and think we're in a good spot now.

Q. Do you have any thoughts on the GolfSixes event on the European Tour last week and whether you could envision anything similar on the PGA TOUR in the future and also is there anything you could tell us about the scale of the 10-year commitment by FedEx?
JAY MONAHAN: Well, I think that the GolfSixes, like the Zurich Classic that preceded it, are examples of leaders in the game and organizations in the game demonstrating a willingness to try new formats and try and build fan bases. We were obviously very busy here this past week with the Wells Fargo and all that we have in preparation for THE PLAYERS Championship, so I only saw pieces of it, but I think it's positive when the game is testing and trying conceptualizing and really thinking about different ways to present our sport. We're certainly challenging ourselves to do so.

We were pleased with the results of the Zurich Classic. In fact, for the last two days out here it's been a point of conversation with every guy that played in it and certainly others that didn't play in it that were really impressed with the results. So I think that that is all positive. Then as it relates to scale, the scale that we have with FedEx is a scale that we share with each other, but we don't talk about publicly. But we're -- this is a partnership that's so important to us and it's going to result in our growth as we go forward. That's certainly what FedEx expects of us, and that's going to benefit our players and all of our tournaments.

Q. Pace of play is something that players, fans, media continue to talk about; would you consider that a priority for your administration and maybe give some examples on how maybe you could think you could speed up play on the PGA TOUR?
JAY MONAHAN: Well I was asked the question about pace of play in January, and I think I gave a poor response, and the actual question was am I going to ask for faster rounds. And that question, no, I am not asking for faster rounds. But that doesn't mean that I and we are not focused on pace of play. It's something that we take very seriously. If you go back over the last couple of years, we have produced our Shot Link dashboard, which our rules officials are accessing, our rules officials can now see how our players are performing relative to time par, how they're performing relative to everybody else out on the golf course, how much time it's taking to execute their shots. We're sharing that information with our players. They're benefiting from that.

And then we're also in the midst of a comprehensive review of all of our pace-of-play policies, and it's something that our player directors and our Player Advisory Council, they're constantly talking to we're constantly talking to them about it. We don't have any specifics at that point other than a commitment to really understand all facets of it and see if there's an opportunity to accelerate pace of play.

But I will say that when you look at the data, which you always have to do when you go back to 2004 to 2009, or to now, excuse me, there's been very little change when you look at it, at the aggregate. I think it's a complicated subject because you're starting to get down to groups and individuals within groups, and I know you've -- you know this the complexity of it well. We have a commitment to see if we can get better there, and when and if we come up with something we'll certainly share it with you, but let's be clear that it's something that has our attention.

Q. Most of the major sports have their own broadcast network. How much do you envision something like that for the PGA TOUR, and if so, what chances do you think the 2027 FedExCup would be on something like the PGA TOUR Network?
JAY MONAHAN: Well I was asked the question about what do I admire, what's one of the things that I admire about the other sports and the stick-and-ball sports, and that's one of the things that I said, the fact that they have their own networks, because that allows them to build their brand day in and day out and to be able to build a profile of their players, build a profile of their events underneath that brand.

We have great partners and a great partner in Golf Channel, NBC and CBS. We're totally focused on doing everything we can to continue to develop and grow and expect to be in partnership with them for a long time to come. As it relates to owning your own network, that's a very complicated subject, and that's not something we're spending a lot of time on. We're focused on right now and building our base and being a great partner to those that we're in business with.

Q. So pretty low chance in 2027?
JAY MONAHAN: In 2027? The follow-up question?

Q. I asked if the FedExCup in 2027, what chance do you think it would be on something like the PGA TOUR Network?
JAY MONAHAN: I think that the FedExCup will be -- it's hard to predict the future, and I'm getting into hypotheticals, that's not something I'm particularly good at, so the FedExCup is going to be what it is today, which is our season-long -- the program that stitches our entire season together and is a great accomplishment for our players. How is that for not answering your question?

Q. That's pretty good. (Laughter.)
Given the government crackdown or anti-golf feeling in China, is there any kind of update? What's the status of PGA TOUR China in the future.

JAY MONAHAN: I think right now it's uncertain. We are making plans to launch and to have a season mid to late summer, but like I said, there is some uncertainty. So there's a good chance that it won't happen this year and that we may take a year off. There's also a good chance that it will happen. There's a fair amount of relationship complexity that we're dealing with and so and that's the basis for it. It's really -- it is less to do with the government and any government crackdown, it's more to do with having the right partners, the right structure in place, and making certain that we're all on the same page.

Q. Why not have more transparency with fines and suspension?
JAY MONAHAN: Well, we think that our -- we think that our policies, and then go back, we talked about this in the past, I think, that as it relates to disclosures, the system that we have has worked very well for us. We consider our members to be family matters. And we certainly have disclosed issues around performance-enhancing drugs, but conduct-related issues, and we have, I think we have been blessed to not have a significant number of conduct-related issues, you can deal with these matters in-house and we do. And I think the ultimate deciding factor for us is that our system works. But we're aware of the discussion, we take very seriously any discussion that ties back to the integrity of our organization and the sport, and we're taking a look at that and we'll continue to make sure that we're really understanding what's in the best interests, what's being talked about and look at it from the perspective of what's in the best interests of our players.

Q. If I could ask a follow, the status quo creates a scenario where a player can say he is injured and miss a tournament or miss time and there's going to be speculation; is that really why he is out or is he suspended. Are you comfortable with that? Is that fair to the family members that are coming under suspicion?
JAY MONAHAN: I understand the point you're making or the question you're asking, but again, we're, I would say that we're very comfortable with the system as it exists today and the question is do your systems and do your policies act as a deterrent, and ours do. So, I'm very comfortable with the way we operate, but again, this is a -- you got to take a long view on everything and always look at ways to get better, and that's what we'll do across our entire business.

Q. Speaking of ways to get better, do you have long-term goals set up in your mind for the PGA TOUR and for the various other tours that you manage? For the PGA TOUR Champions, for Web.com, you've got a lot of things you're taking care of.
JAY MONAHAN: Yeah, well, you know, it all starts with people, and so for me in the short-term it's all about listening to our players, listening to our partners, understanding the heartbeat of our organization, and in the short-term our goal really for this year in its simplest form is to make Mr. Palmer proud, and on a long-term basis it's to continue to grow the playing and financial opportunities for our members across all of our tours, but as importantly to continue to make an impact. This game does incredible things, and our organization does incredible things for charity. 165 million raised for charity last year, $3 billion in economic impact. To act with a purpose and make a difference in lives through our players and our tournaments and to continue to grow on that front, when you do that, everything else, I steadfastly believe, will grow off of it.

Q. I know you have been working at the TOUR for several years and you transitioned into this job for a little while here, but four, five months in, any surprises at this point for you? Any things that you weren't used to or maybe that you've already had to change your mind about or how you might approach your job or your days or whatever?
JAY MONAHAN: No, I just -- I'm not going to have a great answer for you there. I've been asked that question a few times. I think the greatest surprise I would say is that transitioning into this role, and you look at the scale and the impact of our organization, I've never really thought about the responsibility -- I've always thought about the responsibility but then when you get there and you see the way that every action that we take as an organization impacts others, it's incredibly fulfilling. And so to me that's really -- that's been a continuum, but I would say over the particularly the last couple of months, there's -- my awareness levels on that front have never been higher.

Q. Could you talk about the status of both Puerto Rico and any possibilities about Doral?
JAY MONAHAN: Puerto Rico, we recently signed a two-year extension, so that will continue. So we're secured through 2019. I'm sorry, the follow-up question on Doral.

Q. Doral, just if there's anything with Doral at all.
JAY MONAHAN: Anything?

Q. Going on with Doral.
JAY MONAHAN: Well, at this point in time, no, because we are -- right now you look across our schedule and we have got a complete schedule. We don't have openings on our schedule. But I think the basis for your question, we have a commitment to continue to talk to the Trump organization and we're doing that, and like I said and like Tim said in the past, I think that if the situation presents itself, Miami's an important market, and we had a 53-year history there, and that's something we're going to continue to look at.

LAURA SCHROEDER: Commissioner, thank you very much for your time, good luck this week. Thank you.

JAY MONAHAN: Thanks, everyone.

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