Walt Disney Co. has "approached Orange County
technology billionaire" Henry Nicholas III about making a
"major investment" in its Anaheim pro sports teams,
according to "highly placed business sources" cited by
Reckard & Huffstutter of the L.A. TIMES. Against a
"background of shareholder discontent with Disney's
declining performance, the discussions are the first sign
that a possible sale" of the Angels and Mighty Ducks "has
moved beyond internal debate and into the realm of deal
making." Sources said that Disney "used an intermediary to
discuss the matter with Nicholas." Reckard & Huffstutter:
"It couldn't be determined if Disney has approached other
potential buyers about acquiring or investing in its sports
teams. It also was unclear what amount of money or level of
ownership Disney was seeking from Nicholas. But sources
said Disney wants the teams to stay in Orange County, and
would probably demand a promise from potential buyers not to
move them." Nicholas is CEO & co-Founder of Broadcom, a
"booming" Irvine company that makes computer chips for high-
speed communication systems. Observers feel that a sale of
the teams would "signal" to Disney shareholders that company
Chair Michael Eisner "is serious about overhauling the
company." Corporate directors "worry that sports has been
an unnecessary distraction for Eisner. But in the end, say
sources, the decision to sell the teams will probably be
entirely Eisner's call" (L.A. TIMES, 8/13).
ONE WAY OR ANOTHER: In Orange County, Jeff Miller wrote
that the Walt Disney Co. "has to say something definitive"
regarding the sale of the Angels and Ducks, and "the sooner
the better." Miller: "If they're committed to the Angels
and the Ducks, fine. If they aren't, no problem. Just tell
us, that's all" (ORANGE COUNTY REGISTER, 8/12).
WHY WAS COVERAGE ABSENT ON ESPN? In Riverside, Evan
Tuchinsky notes that Fox Sports News' "Primetime" gave news
of the a potential Disney sale "play" on Monday and Tuesday.
But ESPN's "SportsCenter" had no mention of the potential
sale. Tuchinsky: "A conspiracy of silence?" ESPN
spokesperson Dave Nagle said, "I don't know it's far enough
along" to be considered more than speculation. Nagle: "If a
story in a local newspaper says the Phillies or Tampa Bay
Buccaneers were going to be sold and the team wasn't moving,
it's not necessarily going to get on our air." Tuchinsky:
"ESPN certainly does not shy away from anticipatory stories.
... Draw your own conclusions" (PRESS-ENTERPRISE, 8/13).
