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Leagues and Governing Bodies

MLB EXECS SPEAK ON BOTH SIDES OF POSSIBLE CONSOLIDATION

          Talk of MLB shutting down some of its small-market
     franchises continued to be in the news after MLB tabled the
     sale of the A's and Royals at its league meetings in
     Cooperstown, NY last week.  Owners also decided to delay any
     vote on the possible sale of the Expos.  Below is a sampling
     of what some team executives are saying on consolidation: 
          A SPLIT DOWN THE MIDDLE? Marlins Owner John Henry:
     "There's been a lot of talk about contraction.  I can't
     imagine [MLB buying back franchises] would actually happen,
     but you could make an argument for it.  I don't think it's a
     good idea.  If you had adequate revenue sharing, like the
     NFL and NBA, you wouldn't have these problems...  Baseball
     is in trouble.  But other than the competitive imbalance,
     baseball has never been better" (Ft. Lauderdale SUN-
     SENTINEL, 9/19).  Padres President Larry Lucchino:
     "Consolidation to 28 teams has been a topic of debate.  The
     general theory is that teams do best where they have a
     strong regional base, but there are not more than 30-32
     regions nationwide. ... The fact is we've got a number of
     troubled franchises.  When McDonald's has a troubled
     franchise, they take 'em back and either keep them
     internally or move them" (N.Y. DAILY NEWS, 9/19).  Giants
     Managing General Partner Peter Magowan, on disbanding two
     teams: "I think there's a better chance of that than
     expansion in the next five years" (S.J. MERCURY NEWS, 9/21).
          ON THE BLOCK: Anaheim Sports President Tony Tavares, on
     Disney possibly selling the Angels: "This is no joke.  This
     is no kidding.  It's time to get serious [about cost
     containment]. ... [Disney execs] are struggling to hear why
     all this works for them.  If there's an endgame here,
     something that's a real plus, obviously they wouldn't
     consider selling.  But if they don't see that huge plus,
     then at the right price with the right buyer, they might be
     interested" (SPORTSBUSINESS JOURNAL, 9/20 issue). 
     Meanwhile, Disney's sale talk with a group led by
     Broadcast.com Founder Henry Nicholas III has "slowed," and
     some wonder if the group is "getting cold feet" (Bernard
     Wolfson, O.C. REGISTER, 9/18).  Royals CEO David Glass: "If
     there's a message I can send out, it's that this notion that
     Kansas City will lose its baseball is completely false.  It
     is the absolute furthest thing from the truth that there is. 
     That story that's been out there about baseball killing off
     certain teams has absolutely no support from the owners. 
     It's utterly ridiculous" (K.C. STAR, 9/19).       
          TAKING CONTROL: In N.Y., Murray Chass noted that 17
     teams have changed hands in the '90s.  MLB Commissioner Bud
     Selig: "Do I find the turnover distressing?  Yes I do. 
     We're desperately trying to find solutions that will stop
     all this buying and selling of franchises. ... The game's
     economics have made the sale of clubs extremely difficult. 
     Quite candidly, the smaller the market, the more difficult
     they are" (N.Y. TIMES, 9/19). In N.Y., Harvey Araton wrote
     that MLB is "going to need visionary leadership if it
     expects to help these small-market teams.  From Selig, it
     can expect the small-minded logic from a small-market owner"
     (N.Y. TIMES, 9/19).   On ESPN.com, Bob Klapisch wrote that
     Selig "has turned into a modern-day dictator. ... In fact,
     Selig has completely changed leadership tactics now that
     he's become the full-time commissioner -- an evolution for
     which baseball should be thankful" (ESPN.com, 9/20).   

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