The NBA Kings announced Friday that the Maloof family
of NM "will assume controlling interest" of Capital Sports &
Entertainment, the company that includes the Kings and Arco
Arena, effective July 1, according to Martin McNeal of the
SACRAMENTO BEE. After the deal was announced, Gavin and Joe
Maloof said that they had "no plans" to move the team from
Sacramento. Current majority Owner Jim Thomas said he will
remain as the company's CEO until July 1 and will work with
the Maloofs "to help ensure a smooth transition." Though no
financial terms of the deal were disclosed, Thomas is
"expected" to retain a small part of the team. The Maloofs
purchased a 25% share of the team in January '98 for
approximately $40M. Thomas said his decision to sell his
stake in the Kings was "influenced" by new business
interests he wants to focus on, as well as the team's
"cloudy position" in the free agent market. Thomas: "[The
free agent situation] had some bearing on it. We have been
talking with some people who wanted to know about what the
future would be like for the team. So once I made the
decision, it made sense to get the Maloofs involved so we
could have a united front" (SACRAMENTO BEE, 1/16).
DOUBTING THOMAS? Thomas, who took control of the Kings
in '92: "I'm glad I had the experience. I'm disappointed
with the level of success. I truly believed and expected
that we would be in the NBA Finals in three to four years.
I had no idea about the salary cap and a lot of other
impeding things" (SACRAMENTO BEE, 1/16).
MALOOFS NOT ALOOF: Gavin Maloof said that his family
"plans to be aggressive in the pursuit of talent." Maloof:
"We're pro-active. We've got money, and we're committed to
putting a better product on the floor" (Martin McNeal,
SACRAMENTO BEE, 1/16). Also in Sacramento, Mark Kreidler
suggested that the Maloofs establish residency in
Sacramento, as Thomas was perceived by the local fans as a
"complete outsider" because he never left L.A. to establish
residence in the city (SACRAMENTO BEE, 1/16).
