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Marino plays conservative with his finances

"We paid about US$1 million for the lot, but it was a great investment. The land is now probably worth about US$4 million." Dan Marino, former quarterback in the NFL PHOTO: NY TIMES

For 15 years, Dan Marino just kept earning more money. Soon after joining the Miami Dolphins in 1983 with a four-year, US$2.1 million contract, he became their star quarterback. By the time he retired after the 1999 season, he was earning US$6 million a year. Now come sthe hard part.

In the interim, the high-school-handsome quarterback with the tousled hair and perfect high-arc passes became one of the most popular players in pro football. His indomitable spirit, which kept him on the field when he was so badly injured that even walking seemed tough, helped make him a legend in South Florida.

Some sports legends make it to both the Hall of Fame and bankruptcy court. But not Dan Marino. In all the years he was mesmerizing fans with his comeback drives, his contracts totaled about US$50 million and he amassed a nest egg that associates now value at US$40 million to US$45 million. Although Marino declined to comment specifically, they say he has about US$23 million in liquid assets, US$15 million in personal real estate and several million dollars in private investments that include a golf course, office buildings and a bank.

He is still a big earner: as a co-host of "Inside the NFL" on HBO and "The NFL Today" on CBS, Marino probably takes home about US$2 million a year. And he continues to earn more than US$1 million a year from endorsements for Nabisco, part of Kraft Foods, as well as AutoNation, the car dealership chain, associates say.

The end of his playing career has already affected how Marino, 41, thinks about money. According to Demoff, two years ago Marino considered moving to a costlier home, with an estimated price of about US$14 million, on Jupiter Island, Florida. Though cost was only one factor, he ultimately decided against it.

Though he has hung onto much of his fortune, Marino does not compare himself with stars like John Elway, once quarterback for the Denver Broncos, who built a series of car dealerships. "John prides himself on being a businessman," Marino said. "I never did."

He can tick off some stocks he owns, but his first interest remains sports and his television programs.

He and his wife have done well in real estate, though, in part because prices in South Florida have risen so sharply. Their sun-washed yellow home, surrounded by bougainvillea, is not their only holding, though it is by far the costliest. One local real-estate agent valued it at US$8 million.

In 1991, they bought land on Jupiter Island, planning one day to build the beach house his wife wanted. "We paid about US$1 million for the lot, but it was a great investment," he said. The land is now probably worth about US$4 million, real-estate agents say. The couple also own a small house elsewhere on Jupiter, valued about US$1.5 million.

Two years ago, the Marinos saw that dream house, and contemplated selling the lot and the two houses they already owned.

But first Marino turned for advice to Demoff, who made a chart detailing how Marino's finances would change if he bought the house. At the time, Marino did not have two television deals, and Demoff concluded that with Marino's future earning power unsure, such a large purchase carried a certain risk.

"Once Dan saw that risk, he said, 'OK, I will do nothing -- I will start worrying more about the future,"' Demoff recalled.

Marino's request for a detailed economic analysis of the move was no surprise to his advisers. "Dan has always been someone who asked: `Am I doing OK?"' Demoff said. "He always worries."

Today about 60 percent of Marino's liquid portfolio is in stocks, and the balance in tax-free bonds. The money is managed by Frankel, who has worked with Marino since 1984. Over the last six years, the equity portfolio has risen 7 percent on an annualized basis, exceeding the S&P 500 by more than 1 percentage point a year.
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