NFLPA Exec Dir DeMaurice Smith Claims Owners Eyeing Lockout

Smith Convinced NFL Team Owners Are Preparing To Not Play Football

NFLPA Exec Dir DeMaurice Smith yesterday said that NFL team owners are "not only girding for a 2011 lockout but intimated they are also intent on breaking the players' resolve," according to Jim Corbett of USA TODAY. Smith said, "The simple fact is they have engaged in a concerted course of conduct where anybody looking at it will see that they have done more to prepare themselves to not play football than to play football." When asked if the "intent of the owners' strategy is designed to break the union," Smith cited the league hiring outside labor counsel Bob Batterman, who advised the NHL during its lockout. Smith: "The first data point, you hire the guy who orchestrated the hockey lockout. ... In 2008, 2009, you negotiate television contracts that pay the teams even if the games aren't played. You negotiate coaches' contracts envisioning a lockout. And you are arguing in front of the Supreme Court that the antitrust laws should no longer apply to you. What does that sound like?" (USA TODAY, 2/4).

TAKING DOLLARS & SENSE: Smith yesterday said players see “monumental growth” on the business side, and they have “seen no evidence that anybody is losing money” under the current CBA. Smith: "Nobody is off 1% of their profits. Look, it's an easy job if someone comes to me and says, 'De, we're off profits, 5%, 6%, 7%, 18%.' It's very difficult to sell to a player in a locker room, 'You have to take a $340,000 pay cut. The owners want a $1(B) raise.'" He added, "So I think the closer we can get to the players understanding whether there is a decrease or a squeeze on the profit side, that makes sense." Smith reiterated he would prefer to have a new CBA in place before the '10 season becomes uncapped in March. Smith: "That has been what has been driving me into the ground to try to get this done." However, he conceded it is "going to be tough" to reach a new CBA in time to avoid a lockout in '11. Smith: "I'm going to make every effort to get this deal done. This game has to continue. It's too important to our fans, too important for the people in our community and too important to the families who rely on football for their jobs" ("Mike & Mike in the Morning," ESPN2, 2/3). But NFL Commissioner Roger Goodell said, "It will work out. Eventually we will have an agreement. It's just a question of when. I look at it as an opportunity. This is a chance for us to structure an agreement that works for the players, works for the owners, and allows the game to continue to grow" (MIAMI HERALD, 2/4).

UNION MAINTAINS IT IS STRONG: Smith and Titans C and NFLPA President Kevin Mawae appeared on Showtime's "Inside The NFL" last night and discussed the labor situation. Showtime's Cris Collinsworth said, ""This thing is probably headed for a lockout ... but if I were an owner and I have the television money locked in and I know I'm going to have a revenue stream that the players won't have, I'm also thinking there's no way in heck these players are going to hold on. They are going to cave." Mawae: "You underestimate the players of today. The players are not going to be broke." He added, "We're looking at other steps to be able to work through a lockout problem. The owners are not going to want to take this into a lockout." Smith earlier in the show mentioned the league wants players to take a 18% pay cut, and Showtime's Michael Lombardi said, "I think you're being really general." Lombardi: "Nobody's going to ask Peyton Manning when his contract comes up to take a 18% decrease, and I think you're unilaterally making that statement. And I'm not sure that's quite where the owners' position is" ("Inside The NFL," Showtime, 2/3).

Bisciotti (l) Says NFL Has No Cash Flow, But Cass (r) Says Ravens Doing Well Comparably

TEAMS LOSING MONEY? Ravens Owner Steve Bisciotti yesterday warned that the NFL and union "could be headed for a 2011 lockout." Bisciotti said the current CBA is a "bad deal for the league." He believes that "increases the odds of a lockout with what he claims are so many cash-strapped teams." Bisciotti: "There's no cash flow. If we don't get this thing back to the point that teams have enough cash flow ... then there's a long-term problem for the league." More Bisciotti: "I've got partners out there right now whose teams are making less than their linebackers. I think we've got an acute problem here with the general profitability of the teams" (N.Y. DAILY NEWS, 2/4). Bisciotti insisted that "many of the 32 NFL teams are struggling" to make a profit. Ravens President Dick Cass said the club is "doing well compared to other teams around the league." But he added, "Just because we're still doing well in revenues, that doesn't mean we're generating a lot of profit" (AP, 2/3).

DOCUMENT SHOWS OWNERS' CASH DROP: BLOOMBERG NEWS' Aaron Kuriloff notes a document prepared by the league for NFLPA officials shows that NFL players received about $2.6B in "salary and benefits from incremental revenue growth under the current labor contract, while owners' cash flow declined" by about $220M. The document claims that the "owners' share of new revenue since" '05 totaled about $1B, while their costs rose to $1.2B. NFL CFO Anthony Noto said that while the league's total revenue rose 8% from '06 to '09 to about $8B, player costs are up 9% and "cash flow is down" about 8%. Noto: "The clubs are being squeezed. I think they will be forced to continue to reduce their investment to try to get to a cash-flow number and a return that they need" (BLOOMBERG NEWS, 2/4).

Stover Hoping League Can Create Unification With Ownership

A PLAYER’S VIEWPOINT: Colts K Matt Stover, who previously was the long-time player rep for the Ravens, weighed in on the CBA negotiations and said, “My concern is the ownership and what they're going to do to each other.” Stover: “They're not together on what's going on right now with regard to upcoming negotiations. I think there are several of them that don't want to share these revenues, and, as a player group, we're going, 'C'mon, guys, don't ruin this good thing. … Let's not get greedy or selfish or however you want to look at it.'” More Stover: “At the same time, I'd put the thumb on certain organizations, too, to make sure that they're responding to the model that they have. I'm hoping as a player … that they do create unification with the ownership first. I think that has to be done so that we can negotiate in good faith, because at this point we can't. We don't know. We're in the dark right now with their books, and we need to know what their issues are." Stover said he believes Smith is “doing a good job” and thinks the union “can work something out.” But he noted, “I believe ownership sees there's value in a lockout, maybe not in a short term but in a long term, if they can get it. We're just going to be smart with how we go about it" (CBSSPORTS.com, 2/3).

RETIRED PLAYERS UPSET: In DC, Mark Maske reported tensions between retired players and the NFLPA "were renewed" yesterday, as NFL Alumni Association Exec Dir George Martin said that he has "made repeated attempts to schedule a meeting with Smith but the two are yet to meet." Martin said that Smith has been "receptive in e-mail exchanges to the possibility of scheduling a face-to-face meeting, but nothing has been arranged." He added, "If an individual as important as the commissioner of the NFL can make the time to sit down and listen to the concerns of retired players, I feel Mr. Smith should as well. ... After such time as 3-1/2 months, it's time for us to sit down and not procrastinate on this issue." He added Goodell has been "more responsive to the concerns expressed by Martin." Smith said of Martin's comments, "He works for the league. I know where George draws his paycheck" (WASHINGTONPOST.com, 2/3).