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Yankees' Business, Baseball Brass Reportedly At Odds Over Strategy For Trade Deadline

There is a "division within the inner ranks" of the Yankees organization as to "whether the team should be buyers or sellers" at the July 31 trade deadline, according to Wallace Matthews of ESPN N.Y. A source said that the "opposing factions are composed of the baseball operations people ... and the business side." The baseball people, led by GM Brian Cashman, believe the team "should sell off its assets and plan for the future," while team Managing General Partner Hal Steinbrenner and President Randy Levine think the team is "still in contention" for the postseason. The Yankees currently are 44-44 and fourth in the AL East (ESPNNY.com, 7/14). In N.Y., Bob Raissman writes the conclusion that the Yankees should sell at the deadline "does not take into account the value of the Yankees brand, the team’s business model and the trickle down effect." Radio partner WFAN-AM "will lose" money on its deal with CBS Radio if Steinbrenner "decides to ostensibly quit on the season." The subsequent losses "could be so large they might force CBS/FAN into cutting costs in other ways -- like more layoffs." In the second year of a 10-year contract where CBS pays the Yankees $16-17M per year, sources are predicting that CBS/WFAN "will lose" $30-50M over the "lifetime of the contract." CBS/WFAN lost $4-6M last season. Raissman: "Will losses for 2016 grow if the Bombers are 'sellers?'" Yankees execs "must also consider" TV partner YES Network. If the Yankees sell with a Wild Card spot still in sight, there "will be a mass exodus of eyeballs from YES." Premature selling would also "not sit well with advertisers who purchase time on YES telecasts and adversely affect the rate Fox could charge those sponsors" for the '17 season. The Yankees also could "take a hit on ticket and concession sales as well as parking revenue" (N.Y. DAILY NEWS, 7/15).

A BAD MIX: SNY's Chris Carlin said business people "should never be making the baseball decisions," as that is a "combination that will always -- always -- lead to disaster.” Carlin: “When you start to make decisions based on getting people in the ballpark for the second-half of the year, you are asking for an absolute debacle” (“Loud Mouths,” SNY, 7/14). The N.Y. Daily News' Frank Isola said Cashman “is right” for wanting to sell assets. However, for Steinbrenner and Levine, it is "all about business." Isola: "It’s mid-July, the last thing they want to do is tell everybody, ‘We’re trading our guys off’” (“PTI,” ESPN, 7/14).

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