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Yes, you have to recoup the costs of camera gear, and yes, it's rediculously expensive, but when you're looking at 6 professional photographers taking in excess of 4k shots each, of over 3k participants, then charging $6.50 for a 3x5 print (and $3 for every one after that) or $16 for a single high-res image on disc... Assuming that only half of the participants decided to purchase a single 3x5.
that's still $9,750. This isn't, of course, counting the photos professional groups like the sponsors will be purchasing.
Kitsune, $10,000 may seem like a lot of money for one afternoon's work, but that may be deceiving. There is more to it than that. A typical freelance photog does not do this every weekend. The rest of the month may be spent processing, organizing, mailing, web mastering, accounting etc. often in excess of the typical 40-hour week. If they do this once a month, that is a yearly net income of $120,000. Wow, cool.