The Federal Trade Commission is expected to recommend that
action be taken against the PGA Tour for "certain restrictive
policies," according to sources close to the investigation. The
4-year-old inquiry by the FTC is coming to an end, "but it is
uncertain whether sanctions will ever come to pass, as the matter
may continue in various stages of department and judicial
processes for a year or more." Since '90, the FTC has been
gathering depositions from players, sponsors, tourney organizers
and TV officials focusing on the competitive effects of the
tour's "conflicting events and television release rules." Should
a complaint be issued by the FTC, several possibilities exist,
"including a negotiated settlement." But if the parties do not
agree, then they may appear before an administrative law judge
(Chuck Stogel, BRANDWEEK, 11/28 issue).
MORE WORLD TOUR REFLECTIONS: In Chicago, Bob Verdi notes
that the proposed World Tour has created "an epidemic of sponsor
shock." He wonders, "if you're a sponsor" and 30-40 of the top
players are not participating in a PGA Tour event, "do you love
golf or leave it? And if corporate angels disappear, the PGA
Tour would be in the throes of nothing less than a depression"
(CHICAGO TRIBUNE, 11/27). NBC Sports Senior VP Jon Miller on the
proposed World Tour that would be televised on Fox: "All the
networks with relationships to the current structure have a lot
to lose. The PGA Tour has been the best run and best managed
sport for individuals" (N.Y. TIMES, 11/25). Larry Dorman notes
that after a week of research, he could not find one ranked
American player "who will stand up" and say that he is prepared
to sign on with the World Tour (N.Y. TIMES, 11/27).
