MLB profits discussion

[Lipman 1]

Dodgers sign Shelby Miller, terms not announced.

And this news also came out tonight on Twitter:

"Disney this month has paid MLB $900 million for the remaining 15% of BAMTech it didn't already own following a series of prior deals. So when your favorite team cries poor this winter, keep in mind they're each due another $30 million windfall from this."

A few years ago Disney paid MLB enough for BAMTech that each team got a check for 50 million dollars.

No team is losing money friends...none.

[Nellie Fox]

Disney this month has paid MLB $900 million for the remaining 15% of BAMTech it didn't already own following a series of prior deals.

Am I supposed to know what BAMTech is? I got a vague idea by a search; does this mean MLBTV will go to ESPN+ like NHLTV did? If so, yay!

No team is losing money friends...none.

So? Are they supposed to?

[Bobby Thigpen]

Ya, I don't know why people think owners shouldn't make any money.

[Lipman 1]

Am I supposed to know what BAMTech is? I got a vague idea by a search; does this mean MLBTV will go to ESPN+ like NHLTV did? If so, yay!

So? Are they supposed to?

They absolutely are entitled to a profit but they also serve as a public trust in many cases getting tax payer money (like JR) for stadiums and sweetheart deals. Like the Tweet said the next time an owner cries poor or has self imposed payroll limitations they are lying through their teeth.

If they are going to get said advantages from tax payers those folks are also entitled to get something in return...a competitive team. TLR told me the same thing when I interviewed him, that all fans have a right to expect their team to be able to compete and play in October.

[Lipman 1]

Ya, I don't know why people think owners shouldn't make any money.

They should make a profit but when that turns to greed and impacts the chances of a team to compete that's where I draw the line and you should too.

[Dumpjerry]

They absolutely are entitled to a profit but they also serve as a public trust in many cases getting tax payer money (like JR) for stadiums and sweetheart deals. Like the Tweet said the next time an owner cries poor or has self imposed payroll limitations they are lying through their teeth.

If they are going to get said advantages from tax payers those folks are also entitled to get something in return...a competitive team. TLR told me the same thing when I interviewed him, that all fans have a right to expect their team to be able to compete and play in October.

All American corporations receive "tax payer money" when they file their annual tax returns and claim deductions, exemptions, etc. Are all corporations a "public trust?" Of course not.

Professional sports teams are not a public trust. They are not serving a function to society that is typically a governemental operation. They do, however, employ people who pay taxes, some of those people pay tax bills that can choke a horse becsause their incomes are eight figures.

[Chez]

They absolutely are entitled to a profit but they also serve as a public trust in many cases getting tax payer money (like JR) for stadiums and sweetheart deals. Like the Tweet said the next time an owner cries poor or has self imposed payroll limitations they are lying through their teeth.

If they are going to get said advantages from tax payers those folks are also entitled to get something in return...a competitive team. TLR told me the same thing when I interviewed him, that all fans have a right to expect their team to be able to compete and play in October.

I don't agree with the "public trust" argument, but I whole-heartedly agree that owning a baseball team is an extraordinarily lucrative business investment. And, along those lines, it pisses me off more every year that I hear Rick Hahn suggest that his hands are tied by the budget he is given. I'm not suggesting that ownership should spend recklessly, but the idea that the Sox can't go after a premier free agent because of some nebulous budget restriction is ludicrous.

[Frater Perdurabo]

I do agree with Lip on the “public trust” argument, not only because Reinsdorf and his partners are profiting handsomely from the largesse of local taxpayers, but also because Major League Baseball benefits from Congress continuing to provide the anti-trust exemption which allow MLB owners to operate as a legal monopoly (or more accurately a cartel).

All evidence suggests that JR is great to his employees and to charity, but he doesn’t care about the fans.

If the owner who benefits from me as a taxpayer and a customer doesn’t care about me as a fan, and moreover actively undermines the team’s ability to compete with his meddling, why should I feel any loyalty to him as an owner?

I recognize that voters and their elected representatives have delegated certain privileges to JR to enrich himself at our expense.

In other words, in this relationship we’re the host, and JR (and other owners) are the parasite.

[Frater Perdurabo]

By the way, I’m not giving management a pass. I just realize that management exists precisely to shield ownership from having to experience direct criticism.

So that’s why I really don’t spend a lot of energy criticizing KW or Hahn, when the nucleus of what hamstrings the Sox is their owner. And because it’s in poor taste to look forward to the exact event that would trigger an ownership change in this case, there’s no sense in saying anything more about it.

And so that’s why instead of reciting the same history and regurgitating the same tired talking points about ownership - even through they are true - I prefer to talk about roster construction and on-field strategic and tactical decision making and execution.

[Chez]

By the way, I’m not giving management a pass. I just realize that management exists precisely to shield ownership from having to experience direct criticism.

So that’s why I really don’t spend a lot of energy criticizing KW or Hahn, when the nucleus of what hamstrings the Sox is their owner. And because it’s in poor taste to look forward to the exact event that would trigger an ownership change in this case, there’s no sense in saying anything more about it.

And so that’s why instead of reciting the same history and regurgitating the same tired talking points about ownership - even through they are true - I prefer to talk about roster construction and on-field strategic and tactical decision making and execution.

I feel the same way. though I don't agree that "ownership doesn't care about the fans." They held the line on ticket prices for many years, they regularly offer discounted tickets, they encourage tailgating (which most clubs do not) and allow fans to bring food and drink from the outside into the ballpark.

[Lipman 1]

Here is the story on the sale:

https://awfulannouncing.com/disney/disney-has-bought-out-mlbs-last-stake-in-disney-streaming-for-900-million.html

And this quote may be interesting to some:

"What that day made me realize is that owning a baseball team is a public trust. Owners are merely the stewards of the team's legacy and, like the players, are here for a relatively short time." (direct quote) - Eddie Einhorn Vice Chairman, Chicago White Sox

From Sox historian Rich Lindberg's book "Total White Sox" Pg. IX

[notjimrose]

Something to remember next time your favorite owner or GM cries poor this winter: jersey advertising patches are coming in 2023.

[HomeFish]

https://www.theringer.com/sports/2022/11/28/23472636/sports-team-franchise-valuation-sale-prices

[Nellie Fox]

...the next time an owner cries poor or has self imposed payroll limitations they are lying through their teeth.

If they are going to get said advantages from tax payers those folks are also entitled to get something in return...a competitive team. TLR told me the same thing when I interviewed him, that all fans have a right to expect their team to be able to compete and play in October.

This makes zero sense. Who is supposed to decide the team's budget? The players? Of course it's "self-imposed."

And you're aware that it's impossible for all teams to "play in October," right? The reality of being a sports fan means you're going to be frustrated and disappointed far more often than not.

[Dumpjerry]

Here is the story on the sale:

https://awfulannouncing.com/disney/disney-has-bought-out-mlbs-last-stake-in-disney-streaming-for-900-million.html

And this quote may be interesting to some:

"What that day made me realize is that owning a baseball team is a public trust. Owners are merely the stewards of the team's legacy and, like the players, are here for a relatively short time." (direct quote) - Eddie Einhorn Vice Chairman, Chicago White Sox

From Sox historian Rich Lindberg's book "Total White Sox" Pg. IX

As we can clearly see from the full context of Einhorn's comment, the public trust has zero to with taxpayer assistance or any other financial considerations. It is a historical trust that has nothing to do with revenues or expenses.