SBD/15/Leagues Governing Bodies

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  • ARENA FOOTBALL HEADING SOUTH OF THE BORDER?

         New Tampa Bay Storm owner Peter Kern held his first news
    conference as owner yesterday.  He said he was in the process of
    selling the AFL's Ft. Worth Calvary to Don Logan, a promoter
    based in Mexico City.  The league's expansion and relocation
    committee next week is expected to discuss the sale and Logan's
    intention to move the team to Mexico  (Chris Marti, TAMPA
    TRIBUNE, 9/15).
    

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  • CLINTON, CONGRESS PROMISE TO RE-EXAMINE ANTITRUST EXEMPTION

         President Clinton said that baseball's antitrust exemption
    should be re-examined: "I don't see how we can avoid a serious
    examination of it" (Paul Richter, L.A. TIMES, 9/15).  But
    Congressional action remained in limbo following the block of
    Senator Howard Metzenbaum's (D-OH) bill Tuesday.  Metzenbaum said
    he would reintroduce the bill early next week and indicated that
    he "had enough support" to pass the legislation (N.Y. TIMES,
    9/15).
         HOUSE ACTION:  On the House side, House Judiciary Chairman
    Rep. Jack Brooks (D-TX) will hold oversight on the antitrust
    exemption September 22.  Brooks said that the shutdown of the
    game "has moved the issue of baseball antitrust exemption to the
    congressional-policy radar screen as never before" (Alex Truex,
    HOUSTON CHRONICLE, 9/15).  Acting Commissioner Bud Selig plans to
    testify at the hearings (USA TODAY, 9/15).
         OUTLOOK:  MLBPA Exec Dir Donald Fehr:  "[MLB] is the only
    unregulated monopoly of its size in the country" ("SportsCenter,"
    9/14).  Dave Anderson writes that by "undermining the public's
    trust in a World Series, the 28 major league club owners have
    also undermined their antitrust exemption" (N.Y. TIMES, 9/15).
    But ESPN'S Peter Gammons warned that action is unlikely: "The
    owners have a lot of friends in high places" ("SportsCenter,"
    9/14).
    

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  • SANDERS SIGNS WITH 49ERS AMID SALARY CAP COMPLAINTS

         49ers officials "may have to answer plenty of questions"
    from the NFL's Management Council once the league starts
    reviewing details of Deion Sander's one-year, $1.25M contract.
    League officials said yesterday that they anticipate several
    teams to request that the contract be scrutinized for any "under-
    the-table" deals made to circumvent the salary cap.  Falcons
    president Taylor Smith questioned the deal and said "bitterly"
    that the Falcons had offered Sanders more than double the 49ers
    bid.  Dolphins GM Eddie Jones: "Let's just say they have been
    very, very resourceful" (Len Pasquarelli, ATLANTA CONSTITUTION,
    9/15).  49ers President Carmen Policy added that the questions of
    other teams over the validity of the contract "concerns me"
    (Clark Judge, SAN JOSE MERCURY NEWS, 9/15).
    

    Print | Tags: Atlanta Falcons, Leagues and Governing Bodies, Miami Dolphins, NFL, San Francisco 49ers
  • THE DAY BASEBALL DIED: NEWS FROM 22 BASEBALL MARKETS

         ATLANTA:  The Braves may have less trouble promoting
    themselves for '95 than some other teams:  "They have a season-
    ticket base of 30,000 and typically get a 90 percent-plus renewal
    rate" (Rosenberg, ATLANTA CONSTITUTION, 9/15).    BALTIMORE:
    Orioles Owner Peter Angelos refused to sign the resolution backed
    by 26 of the 28 owners (The Reds' Marge Schott also abstained).
    Instead, Angelos "called for a cease-fire to the name-calling and
    finger-pointing," in particular the sections that criticized the
    players for not bargaining in good faith.  Angelos said the
    rehtoric "served no constructive purpose" and "were absolutely
    inappropriate in light of what the announcement was dealing
    with."  Angelos, who is not on the PRC or Executive Council,
    intends to get more involved in negotiations (Tom Keegan,
    Baltimore SUN, 9/15).  Whether Angelos "is on board probably
    doesn't matter.  The owners are expected to declare an impasse in
    November and try to weather a legal onslaught by the union"
    (Peter Schmuck, Baltimore SUN, 9/15).  Angelos, on his call with
    Schott:  "She said, 'If you're not going to sign it, I'm not
    going to sign it.'  I said, 'Hallelujah, I've got one soldier.
    All we need is 19 more'" (Mark Maske, WASHINGTON POST, 9/15).
    Ken Rosenthal called it a "badge of honor" that Angelos refused
    to sign (Baltimore SUN, 9/15).
         BOSTON:  Michael Gee writes, "In the short-term, the owners
    have sabotaged their primary profit source of the past 20 years -
    - the explosive growth in the value of a big league franchise.
    ... If the capital of the average franchise goes down 25 percent,
    the owners will lose $700 million.  It'd take more than a
    decade's worth of the owner's salary cap plan to save them that
    much dough"  (BOSTON HERALD, 9/15).  Dan Shaughnessy: "Major
    League Baseball, for the moment, is dead" (BOSTON GLOBE, 9/15).
         CHICAGO:  The Cubs and White Sox will lose an estimated
    $48.7M combined.  John Skorburg, chief economist for the
    Chicagoland Chamber of Commerce, calculated that the final tab
    for the city will be $387.5M (Dan Bickley, CHICAGO SUN-TIMES,
    9/15).  Bob Verdi writes, "What exactly will be the 'cost
    certainty' of this exercise in petulance if fans decided they've
    had it right up to here with baseball?" (CHICAGO TRIBUNE, 9/15).
    White Sox Owner Jerry Reinsdorf made no public comments,
    releasing this statement:  "It is difficult to find words to
    express my regret that the remainder of the 1994 season had to be
    canceled due to the players' strike.  It's really a shame" (Paul
    Sullivan, CHICAGO TRIBUNE, 9/15).  In Washington, Reinsdorf
    critic Tom Boswell writes, "Here lies the man who sacrificed
    baseball to settle a schoolyard grudge" (WASHINGTON POST, 9/15).
         CINCINNATI:  Reds Owner Marge Schott said the owners'
    decision to cancel the rest of the season "was so unappealing, in
    the end she couldn't be part of it."  Schott:  "I'm behind the
    owners in wanting to do something with (the salary structure of)
    baseball, but this is a tradition we're breaking.  It (signing
    the resolution) wouldn't make any difference" (CINCINNATI
    ENQUIRER, 9/15).  Reds GM Jim Bowden called the potential $10M
    loss to the club "financially devastating" (CINCINNATI ENQUIRER,
    9/15).
         CLEVELAND:  Bill Livingston of the CLEVELAND PLAIN DEALER,
    on Indians fans: "These people have lived and mostly died with
    this team for a very long time and now there is not going to be
    any reward" ("SportsCenter," ESPN, 9/14).
         DENVER:  Rockies Owner Jerry McMorris noted the
    "possibility" that a "couple of teams" might not survive (Jerry
    Crasnick, DENVER POST, 9/15).  McMorris said there would be no
    "wholesale" front-office layoffs, with the construction of the
    new Coors Field a "major part of the equation" (Crasnick, DENVER
    POST, 9/15).  Tomorrow, the Rockies will announce their refund
    policy -- and also that they are raising ticket prices.
    McMorris:  "We're going to try to be square with everybody"
    (DENVER POST, 9/15).
         DETROIT:  Mitch Albom:  "Do they know what they've done?"
    (DETROIT FREE PRESS, 9/15).
         HOUSTON:  Alan Truex writes, "How do they sell season
    tickets, advertising, television and radio rights for a sport
    that is in total disarray?" (HOUSTON CHRONICLE, 9/15).
         LOS ANGELES:  Dodgers Owner Peter O'Malley was "unhappy"
    that he was excluded from negotiations, according to sources.
    O'Malley, from Ireland where he is promoting little league and
    amateur baseball:  "I said, and was quoted several times as
    saying, now is the time to show that flexibility.  But [both
    sides] never did" (Maryann Hudson, L.A. TIMES, 9/15).  Mike
    Downey:  "The World Series is just like the World Cup, a
    scoreless tie" (L.A. TIMES, 9/15).
         MIAMI:  Ed Pope writes, "Listen!  Those are champagne
    glasses clinking now at 410 Park Ave., the National Football
    League Headquarters in New York" (MIAMI HERALD, 9/15).
         MILWAUKEE:  Brewers manager Phil Garner, who was throwing
    batting practice to his son when he heard the news:  "It made me
    so mad I tried to bean my own son" (Tom Haudricourt, MILWAUKEE
    SENTINEL, 9/15).
         MINNESOTA:  Twins Owner Carl Pohlad "said the loss of
    television revenues will cause some small-market teams to take
    out loans to keep them afloat during the winter.  Also, despite
    word from several sources that he has tried in earnest to sell
    the Twins lately, Pohlad said he isn't interested in selling.
    That's not surprising, since it would be nearly impossible to
    sell a small-market team that is losing money during a player's
    strike" (Jim Souhan, Minneapolis STAR TRIBUNE, 9/15).  The Twins
    plan to lay off about 30 of their 51 full-time front office
    employees, perhaps by October 12.  The layoffs are expected to
    save the club about $75,000 a month (STAR TRIBUNE, 9/15).
         MONTREAL:  "Already operating on a line of credit he secured
    in July," Expos Owner Claude Brochu said that the cancellation of
    the season has left the team looking at a  $20M loss.  Brochu:
    "We have no intention of simply absorbing these losses.  We'll
    make them back through our payroll and we may have to look at
    other things as well -- things of a capital nature."  Brochu
    wouldn't say if that meant additions to the ownership group or
    asking the present owners to pay more (Jeff Blair, MONTREAL
    GAZETTE, 9/15).
         NEW YORK:  Yankees Owner George Steinbrenner:  "I'm worried
    about us playing by opening day in 1995" (Jack Curry, N.Y. TIMES,
    9/15).  Murray Chass:  "The prevailing view is that the dispute
    will become nastier before it ends, whenever that may be" (N.Y.
    TIMES, 9/15).  Mets Secretary/General Counsel David Howard said
    the team has laid off or terminated about 40 employees "and more
    cutbacks could be on the way" (Anthony Gargano, N.Y. POST, 9/15).
    Mets GM Joe McIlvaine spoke on behalf of GMs expressed
    frustration about being "in the dark":  "I have no idea what I'm
    supposed to do" (Bill Madden, N.Y. DAILY NEWS, 9/15).
         OAKLAND:  A's Owner Walter Haas released a short statement:
    "Our hope is that the loss of the season will now provide the
    catalyst for Major League Baseball to put an end to the acrimony,
    and to restructure itself in a way that secures the game's
    rightful place as the National Pastime" (THE DAILY, 9/14).  For
    more on how the cancellation of the season affects the A's
    impending sale, see story num. 99.
         PHILADELPHIA:  Phillies Pres. Bill Giles:  "I don't look at
    it as who's going to crack first. ... We were willing to (adjust)
    the maximum salary limit -- and we're still willing to" (Sam
    Carchidi, PHILA. INQUIRER, 9/15).  Giles, on what it would take
    to end the deadlock:  "Well, I would hope that enough players
    would say that 'Beisbol has been berry, berry good to me'" (John
    Smallwood, PHILA. DAILY NEWS, 9/15).  Frank Dolson:  "No, they
    haven't killed baseball, only big-league baseball" (PHILA.
    INQUIRER, 9/15).  Bill Conlin compares owners to Benedict Arnold
    and John Wilkes Booth "and all the villains who robbed Americans
    of something precious":  "If clothes make a statement, major
    league baseball now wears a black salary cap to go with the Black
    Sox of 1919" (PHILA. DAILY NEWS, 9/15).
         ST. LOUIS:  Cardinals labor consultant Stuart Meyer:  "We
    don't care if it's a salary cap or not.  But it has to be
    something ... to bring the $15 million payroll closer to the $50
    million payroll."  Cards GM Del Maxvill called for some signs
    from management:  "Right now, nobody knows how much big-league
    time a player has. ... Let's try to have a little bit of order"
    (ST. LOUIS POST-DISPATCH, 9/15).
         SAN FRANCISCO:  Giants Owner Peter Magowan acknowledged that
    replacement players were a "possibility" if the strike continues
    into spring training.  Magowan will cut the player payroll by $5M
    to $35M -- with several free agents not returning (Mark Gonzales,
    SAN JOSE MERCURY NEWS, 9/15).  Magowan described himself as "not
    a hard-liner in this exercise," but Ann Killion notes that his
    comments were "full with anti-player rhetoric."  In addition, the
    Giants, who want a new downtown stadium, "will be forced to take
    [their] plan to the public, a public left with a sour taste that
    may linger into the next century" (MERCURY NEWS, 9/15).
    SEATTLE:  Mariners CEO John Ellis "agreed with the decision to
    end the season, though he will be forced to lay off several full-
    time employees and the franchise stand to lose nearly $6 million
    in postseason revenue.  But Ellis said the short-term loss would
    be a long-term gain if the owners can gain control over player
    salaries."  Ellis:  "If that happens, then this is certainly
    worth it for the Mariners" (Jim Street, SEATTLE POST-
    INTELLIGENCER, 9/15).
         TEXAS:  The city of Arlington will forfeit $42M from games
    lost at The Ballpark and tax revenues will be short $150,000
    (Richard Alm, DALLAS MORNING NEWS, 9/15).
         TORONTO:  Blue Jays Owner Paul Beeston:  "Maybe there should
    have been (other proposals) and maybe there should not have been.
    But they [the MLBPA] didn't come back with anything meaningful.
    ... I don't think it necessarily has to be a salary cap.  I
    believe there could be another mechanism" (Bill Lankhof, TORONTO
    SUN, 9/15).  Tim Harper writes Beeston "might have been a
    reluctant participant in the burial, but he was a partner
    nonetheless."  Labatt President George Taylor strongly favored
    finding a settlement, but Beeston stuck with the owners.  Beeston
    said the Blue Jays were responsible for the "majority" of the
    brewery's $16M loss (TORONTO STAR, 9/15).
    

    Print | Tags: Atlanta Braves, Baltimore Orioles, Chicago Cubs, Chicago White Sox, Cincinnati Reds, Cleveland Indians, Colorado Rockies, ESPN, Labatt Brewing, Leagues and Governing Bodies, Los Angeles Dodgers, Milwaukee Brewers, Minnesota Twins, New York Mets, New York Yankees, News Corp./Fox, Oakland Athletics, Philadelphia Phillies, Seattle Mariners, Time Warner, Toronto Blue Jays, Walt Disney, YankeeNets
  • THE DAY BASEBALL DIED: ROUND-UP OF TV COVERAGE

         ESPN'S PETER GAMMONS: "If the players association is right
    and the whole idea has been to try to bust the union, then this
    will be a war that will go right into June or July and the answer
    will only be the last man standing.  But maybe they will realize
    that some of those ideas that have been floating around the last
    few days.  Maybe they can forget some of their bitterness, and
    start to negotiate and can decide that a deal in November is
    better than a deal in July.  I think there will be some push to
    get this over by the end of December" ("SportsCenter," 9/14).
         ANDREW ZIMBALIST, author of "Baseball and Billons":   "It
    looked like the owners were up to some dirty business and that is
    the way it turned out.  The greatest likelihood is we might see
    Double A players and Single A players opening up the season, with
    the major league owners trying to induce major league players,
    one by one, to cross the picket line and bust the union ("Market
    Wrap," CNBC, 9/14).      ESPN'S CHARLEY STEINER: "It was like a
    long suffering old friend, who you knew was going to die.  There
    was sadness in the passing, but there was also a sense of relief
    as the fat lady has sung on this Kevorkianesque baseball season"
    ("SportsCenter," 9/14).
         TOMMY LASORDA:  "I think this thing will be settled before
    spring training is over" ("GMA," ABC, 9/15).
         CECIL FIELDER: "The owners were trying to get something from
    us, and we weren't going to give it to them, so it was going to
    come to this anyway" ("SportsCenter," ESPN, 9/14).
         AGENT TOM REICH:  "We will have the World Series of legal
    confrontations instead, which is sickening.  There will be enough
    paper flying around here to float to Cuba on.  The players are
    the strongest union I have ever seen and I don't think they will
    cross any lines, but time will tell" ("SportsCenter," ESPN,
    9/14).
         MARVIN MILLER, Former Exec. Dir. of MLBPA: "The owners now
    have to sell season tickets holders for a non-existent next year,
    and they have to sell advertising time to the very people whose
    contracts they just broke.  This is a salesman's nightmare. It
    will surprise no one if some players break the line, but they
    aren't going to get a majority and that means they are not going
    to get an agreement" ("SportsCenter," ESPN, 9/14).
         ESPN's BOB LEY: "Privately, union leaders are concerned
    about their rank and file unity in this first baseball nuclear
    winter" ("SportsCenter," 9/14).
         PAUL BROWN, FINANCIAL WORLD Managing Editor:  "I think one
    of the pressures that will get this thing settled is pressures
    from the bank, from television, from the stadium.  In a funny
    way, this situation may actually help a team in trouble. Their
    value may go up. ("SportsCenter," 9/14).
         BRANDON STEINER, of Steiner Sports Marketing: "The player's
    money is still coming in.  The companies that these guys signed
    with are the losers" ("SportsCenter," 9/14).
         BOB COSTAS:  "The owners have done a terrible job making
    their case to the public and the press, but the owners can always
    tap into a certain reservoir of sympathy" ("Charlie Rose Show,"
    9/14).
         CNN'S MARK MORGAN: "It is safe to say that when baseball
    does return, it will be vastly different than when it was last
    played" ("SportsTonight," 9/14).
    

    Print | Tags: ABC, ESPN, Leagues and Governing Bodies, Time Warner, Walt Disney
  • THE DAY BASEBALL DIED: TBN HOPES TO FIGHT ON

         It will "business as it was at ABC and NBC now that the
    baseball season has been canceled."  Both nets, which were
    without baseball the last four years anyway, "will simply revert
    to regular prime-time programming to fill the baseball void."  In
    forming The Baseball Network, ABC would have televised the first
    round of the playoffs and the World Series and NBC would have
    televised the two LCS.  "The financial impact on both networks
    will be minimal."  No one would say so, "but the resumption of
    the season probably would not have been welcome."  ABC's prime-
    time has been gaining on CBS in the ratings and NBC is coming off
    a good ratings week (Larry Stewart, L.A. TIMES, 9/15).  TV sports
    experts estimated that MLB lost about $100M in TV revenues by its
    decision to cancel the season (Lee Winfrey, PHILA. INQUIRER,
    9/15).  TBN will lose about $24M from unplayed regular season
    games (N.Y. TIMES, 9/15).
         ADVERTISERS:  Major sponsors "are searching for alternative
    programming for their" ads.  The problem is, "there aren't many
    good alternatives.  Thanks to a boom in new products and a
    rebound in ad spending, the broadcast networks have already sold
    most of the choice slots" on many of the hit shows.  GM, Texaco,
    Gatorade, Anheuser-Busch and MCI all had planned to advertise
    "heavily during the post-season" (Kevin Goldman, WALL STREET
    JOURNAL, 9/15).  Louis Schultz of Lintas Media: "The longer the
    strike continues, the more difficult it will be for baseball to
    sell its product to advertisers next year, because they are going
    to be wary of the product" ("World News Tonight," ABC, 9/14).
         WHAT ABOUT '95?  TBN spokesperson Ray Stallone "brushed off
    suggestions that he was using his cellular phone from a building
    ledge": "We have sales people in negotiations for 1995 as we
    speak" (Michael Hiestand, USA TODAY, 9/15).
         NEW LEAGUE:  A network such as Fox or CBS "could serve as a
    catalyst to form a new league, though sources close to Fox
    management say it is leery of doing anything that would
    jeopardize its future attempts to make a deal" with MLB (Alan
    Truex, HOUSTON CHRONICLE, 9/15).  Former MLBPA Exec Dir Dick
    Moss, the main proponent of a new league, said the "goal is to
    field teams by April."  He claims he's talked to investors about
    putting teams in eight to 12 cities" (Colin Miner, N.Y. POST,
    9/15).  Moss, taking a shot at Bud Selig:  "I think as you see
    baseball reoragnized, Milwaukee will be left out" (Tom
    Haudricourt, MILWAUKEE SENTINEL, 9/15).
         HOW'D WE GET HERE?  John Helyar examines "how fear and
    loathing produced the standoff that wrecked the baseball season"
    (WALL STREET JOURNAL, 9/15).
         DOES ANYBODY CARE?  From the ESPN/Chilton Sports Poll: "The
    1994 baseball season is now officially over. Do you care?"  Yes
    60%; No  40% ("SportsCenter," 9/14).
    

    Print | Tags: ABC, Anheuser Busch, CBS, ESPN, Leagues and Governing Bodies, MLB, NBC, News Corp./Fox, Viacom, Walt Disney
  • WOULD THE NHL REALLY GO THROUGH LOCKOUT NOW?

         ESPN's Keith Olberman: "Our sources tell us the latest
    target date for the lockout is after the first week of the
    season, on or about October 7th.  There is a bargaining session
    set for Friday in New York" ("SportsCenter," 9/14).  NHL players
    will be taking a set of proposals for a new collective bargaining
    agreement.  The league wants to link revenues and salaries with
    "some form of revenue-sharing."  Players want "nothing to do with
    anything they say limits salaries."  NHL Commissioner Gary
    Bettman has proposed a number of concepts, including a pyramid
    payroll structure that would "slot salaries according to
    percentages of team revenue" (Alan Adams, CANADIAN PRESS/OTTAWA
    CITIZEN, 9/15).     FOX IMPACT:  NHLPA Exec Dir Bob Goodenow said
    the Fox TV deal will have "some impact" on negotiations, "but to
    what degree I don't know" (CP/OTTAWA CITIZEN, 9/15).
    

    Print | Tags: ESPN, Leagues and Governing Bodies, News Corp./Fox, NHL, Walt Disney
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