NBPA officials "went on the offensive Wednesday, charging the league with distortions and unrealistic demands at the bargaining table," according to Howard Beck of the N.Y. TIMES. In a "hastily called meeting with a handful of reporters, union leaders also disclosed that the NBA is seeking the return of $160 million earned by players in the 2010-11 season -- money that was committed" under the current CBA. That $160M is "part of a withholding account, based on a deduction of 8 percent of players’ earnings; it is a mechanism to ensure that player salaries do not exceed 57 percent of league revenues." NBPA leaders "were angered Tuesday," when NBA Commissioner David Stern "publicly disclosed key elements of the league’s latest proposal after a bargaining session in Manhattan." Stern revealed that the NBA "offered players a minimum of $2 billion a year over the course of a 10-year labor deal and that it was proposing a 'flex cap' instead of a hard salary cap." NBPA Exec Dir Billy Hunter yesterday asserted that the players made $2.17B in salary and benefits during the '10-11 season, so the NBA's offer "represents an immediate $170 million reduction." While Stern said that the salary figure "could rise, based on certain benchmarks," Hunter said that the league's proposal "amounted to a 10-year salary freeze." Hunter also said that it "would result in $8.2 billion less for players over the next 10 years, when compared to earnings expected under the current system." He added, "Their demand is gargantuan, and we just can’t meet it" (N.Y TIMES, 6/23). Stern in a statement later yesterday said, "Players have benefited from the current system more than the teams" (ESPN.com, 6/22).
TWO SIDES TO EVERY STORY: Hunter said he gathered reporters yesterday to "set the record straight." Hunter, along with Lakers G and NBPA President Derek Fisher, explained how union officials "arrived at their offer of a more than $100 million-a-year salary reduction in their five-year proposal, saying it amounts to 57 percent of what Fisher described as the owners’ 'true losses' -- the same share of BRI they currently receive." By the "players’ estimation, the owners’ $300 million annual loss figure is actually less than $200 million when interest expenses are deducted." The NBPA is projecting a 4-5% "annual revenue growth for the league over the next decade" (CBSSSPORTS.com, 6/22). ESPN.com's Chris Sheridan noted NBPA officials yesterday spoke "about how livid they are" with the owners' latest proposal. Fisher said, "To me, it speaks to the arrogance they have in approaching us. Trust and loyalty pretty much go out the window when it comes to business." During the gathering, Hunter said that he "has told team owners in the past that the only way the players would agree to a hard salary cap would be if they were guaranteed 60 to 65 percent of basketball-related income." Yesterday was the "first time Hunter publicly disclosed that he would accept a 'hard' cap under any terms." Sheridan wrote the union's actions "were meant to placate the growing notion that a settlement is near, while also calling attention to the size of the financial concessions the owners are seeking." Fisher: "Guys are in total disbelief and are asking 'Why are we even meeting?'" (ESPN.com, 6/22).
