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SBJ Unpacks: Coronavirus -- MLB, NBA Return Plans Still In Flux


Did anyone ever believe in a smooth MLB restart given the divide between the union and owners? Both sides are negotiating a deal to salvage an 82-game season to be played in front of no fans at the start. Talks continue as players and management battle over salaries and COVID-19 safety protocols.

Both sides face the prospect of financial devastation from a canceled season, so it seems compromise eventually will prevail. But major obstacles remain and a history of distrust between the union and club owners can’t help.

--- John Lombardo

 

WHAT'S NEXT FOR MLBPA?

  • Now that the MLBPA has left no doubt about its displeasure with MLB's economic plan, what's the union's next move? SBJ's Eric Prisbell reports the union believes the league slow-walked negotiations by waiting two weeks before presenting a plan. MLB believes it was forced to formulate a new plan after the union quickly nixed the floated revenue-sharing structure.

  • If the union does offer a complete counterproposal, two elements may be introduced into the negotiations: lengthening the season and/or deferring a portion of player salaries with interest to 2021 or beyond. There are complications with both.

  • If players are to be paid for each game, the union could propose that the regular season include more than the proposed 82 games. But that wouldn't address MLB's claim that some teams are assured to be worse financially if they play games in empty ballparks versus not playing games at all, or MLB's claim about losing more than $600,000 on average for each game played in a shortened season.

  • The other issue is how to fit extra games in. On the front end, it's already becoming a challenge to start the season around July 4, much less earlier. And MLB already harbors concerns about staging the postseason as late as October, much less pushing it back later, because of the risk that a second wave of the virus could deny the league some $1 billion in revenue from an expanded playoff structure.

  • As for deferring a portion of player salaries, even if some sort of sliding compensation scale is used, the union does view deferrals as an intriguing compromise option and the most likely one to be broached. But MLB believes such an option is not feasible because the economic crisis in 2021 is not expected to be markedly better. Could deferring a portion of salaries beyond 2021 be an option? It's unclear if the union would be on board.

 

 

FINALIZED NBA RETURN PLAN NOT LIKELY BY FRIDAY

  • As Friday's NBA Board of Governors conference call meeting nears, there is a greater focus over restart specifics, but clarity may not come by the end of the work week, according to sources cited by SBJ's John Lombardo

  • While the NBA has confirmed that they are in discussions with Disney, the league continues to discuss format scenarios while crafting safety protocols. One source said that while the board call comes as part of a regular two-week discussions schedule, it will narrowly focus on particulars of the restart, including format.

  • Late this afternoon, ESPN cited sources saying the league and NBPA are "progressing on a plan that would allow for a limited number of family members to join the players for the season's resumption inside an Orlando bubble environment." This report comes after traction on the NBA's plan "waned over the last several days," as not every team is "motivated" to be in Orlando, according to ESPN's Adrian Wojnarowski.

  • Meanwhile, the NBA may not be the only game in town if the league restarts this summer. New reports now say MLS is considering using the ESPN Wide World of Sports complex for a shorter return tournament, setting up Orlando as a hub for major U.S. sports leagues as they resume play. Disney CEO Bob Chapek on CNBC today also threw his support behind both leagues' return in the city.



EA SPORTS SEES BIG INCREASE IN TV EXPOSURE FOR ITS TITLES

  • A quick pivot by EA Sports during the pandemic delivered the publisher more linear TV time in April than in all of 2019 combined, according to SBJ’s Adam Stern. EA had plans for 2020 to expand its live esports presence for titles such as Madden, FIFA and Apex Legends, but coronavirus put the brakes on much of that. But with networks like ESPN needing fresh content to fill programming hours, EA moved fast to make online competitions available for those highly-visible networks.

  • Todd Sitrin, Senior VP & GM of EA’s competitive gaming division, told SBJ, “All traditional sports shut down and are still shut down, which meant gaping holes in certain broadcasters’ schedules. ... Millions of people been exposed to esports in this time period.” Sitrin: “This is going to have resonated with a lot of them.”

  • Sitrin noted EA is at somewhat of an advantage in publishing games that are based on traditional stick-and-ball sports -- games that are easy to understand for a typical ESPN viewer, as opposed to more complex titles. Sitrin said that EA has also been able to take advantage of many pro athletes being stuck at home. Many of those athletes -- including Travis Kelce, DeAndre Hopkins and Melvin Gordon -- have participated in EA celebrity tournaments.

 

NHL RETURN PLAN OFFERS "GLIMMER OF HOPE"

  • Reactions poured in today to the NHL's official restart plan, with Sportsnet's Chris Johnston writing Commissioner Gary Bettman "offered a glimmer of hope," and that is "not something his North American-based counterparts have yet been able to do." There was a "decidedly optimistic tone to the NHL’s message despite it being delivered without ironclad guarantees, promises or even timelines." 

  • The Boston Globe's Kevin Paul Dupont wrote, "Let’s give NHL owners, and more so the rank and file stick carriers, an A-plus for effort, good intentions, and risk tolerance." In Ottawa, Don Brennan writes NHL fans "should be thankful for what happened" yesterday, as their league "has a plan to play." Brennan: "The NBA doesn’t. Neither does MLB." Not everybody will like the plan, but the league "knew that was going to be the case going in." At least they "came up with something." 

  • SBJ's John Ourand in tonight's SBJ Media newsletter notes the NHL did not offer a lot of details about how its playoff plan will look from a TV perspective, but cites sources that U.S.-based RSNs expect to be able to carry their teams’ first-round playoff games, though those plans still have not been communicated to them.

  • For more on the NHL's plan, see today's issue of SBD

 

WORLD TEAMTENNIS: GREENBRIER SAFEST OPTION FOR TOURNEY

  • World TeamTennis CEO Carlos Silva shared more details about the league’s decision to hold its 18-day competition in July at The Greenbrier resort in West Virginia. Silva said that the WTT considered locations in Las Vegas, California, Texas and Florida, among others, but that The Greenbrier won out, in part because of the enclosed nature of the resort. The ability to host fans was another differentiating factor in The Greenbrier’s favor, an offering that none of the other potential host sites could promise. 

  • Everyone involved with the WTT competition, including 60-plus players and coaches, will stay at the resort, limiting possible virus exposure. Anyone connected with WTT will be tested for COVID-19 upon arrival, then subject to temperature monitoring throughout the subsequent three weeks. The WTT is allowing 20% fan capacity at the resort's 2,500-seat tennis stadium. Families that attend matches can sit together, but other groups of fans will be seated at least six feet away.

     

WORKING FROM HOME WITH ESPN'S MARIA TAYLOR

  • ESPN host Maria Taylor opted to head home to Atlanta rather than stay in her N.Y. apartment during quarantine, just as she was in the process of moving. “I closed on a house in February. … There were some renovations that need to be done and I had already set those wheels in motion, so now I'm kind of living through the renovations,” she said. Taylor has been doing regular Instagram Live videos, especially during the NFL Draft, and has been a part of the “NBA Countdown” stay home editions released on social media every Tuesday and Thursday.

  • Taylor has a big light in her office for any video hits she does from her laptop or iPad. And while there have been no big tech issues for her, she admitted bringing guests in can be a challenge. She said, “We might have very good setups and we might have good Wi-Fi … but the person you're interviewing usually doesn’t and there’s really nothing you can control with that.” Taylor: “You almost during the interview have to be like, ‘hey can you move the phone this way or turn that way?’ And you're like live producing while it's happening.”

  • Taylor has added at least one skill to her repertoire recently. “When I first moved, I actually started painting the room upstairs, so I consider myself a semi-professional painter now,” she said. And besides living in what she calls a “construction zone,” she seems to have found her groove. Taylor: “It’s interesting to just have a routine. I'm so used to being on and off a flight. …  But it definitely took, I would say, like two and a half weeks to feel just comfortable being still, which is not the norm for me.”

 

Taylor has been doing regular Instagram Live videos from Atlanta, and has been a part of the “NBA Countdown” stay home editions

 

OUTSIDE CONTRIBUTORS: DRAWING UP A NEW PLAYBOOK

  • Tonight's op-ed contribution is from Scout 360 Property Strategy & Analytics' Scott Savran, who writes under the header, "Our New Sponsorship Economy: Will You Innovate, Or Simply Maintain?"

  • "Sponsorship has become more intelligent and buyers and sellers are making more data-informed decisions than ever before. This evolution has been amplified as all parties look to understand the impact this pause will have in the short and long term. A new playbook is needed so properties can accurately value their media, audience and brand impact."

  • To read Savran's contribution, click here.

 

SPEED READS 

  • SBJ's John Ourand has the viewership breakdown for Sunday's "The Match II" audience: TNT with 3.363 million; TBS with 1.365 million; HLN with 650,000; and truTV with 289,000. Ourand: "Given the success, it’s easy to see why all sides would want to put a third event on the calendar. But sources cautioned that 'The Match II' -- coming in the middle of a sports shutdown with a foursome that displayed incredible chemistry -- essentially caught lightning in a bottle." See more in SBJ Media.
  • Baseball America's Kyle Glaser reports as of right now, the Padres are the only MLB team to "commit to paying their minor leaguers through August AND have no furloughs/layoffs for their baseball employees through October." Glaser: "'I'm told GM A.J. Preller was a driving force in making this happen with ownership. He deserves a lot of credit for helping to keep people employed and the minor leaguers paid."
  • English Premier League clubs have "unanimously voted to resume contact training" as "Project Restart" moves to phase two. Players will be able to "train as a group and engage in tackling while minimising unnecessary close contact," a statement said. EPL CEO Richard Masters said last Friday that he was "as confident as we can be" about resuming the season in June.

  • The Grand Slam Tennis Tours MatchPlay 120 Series kicked off this week in several locations across the U.S., one of a handful of no-fan tennis exhibition events that have popped up all over the globe during the pandemic. The series, featuring numerous top-300 ATP and WTA pros, is being streamed for free on Grand Slam Tennis Tours’ website. GST Director of Marketing Kyle Ross, who is running the six-week event from his mother-in law’s house in Rhode Island, caught up with Bret McCormick on the latest SBJ Unpacks podcast.

  

NEWS YOU NEED FROM SPORTS BUSINESS DAILY

  • During this crisis impacting the sports business, we want everyone to be up-to-date on the latest news and information. SBD's "Coronavirus & Sports" section is free, outside the paywall, for the foreseeable future. Below are today's headlines:

    • NHL Offers Hope For Return Of Sports With Official Restart Plan
    • NHLPA Exec Dir Donald Fehr Says Safety Key For League's Return
    • Latest MLB Player Compensation Plan Not Well-Received By Union
    • Some NBA Teams Not Motivated To Be In Orlando For Restart
    • A's Begin To Implement Furloughs Amid MLB's Work Stoppage
    • Brewers Owner Working With State, City On Miller Park Return
    • Sports Union Leaders Talk Resuming Play, Athlete Safety
    • Wizards' John Wall Providing Rent Assistance To DC Families

 

SBJ UNPACKS -- WEATHERING COVID-19

 

  

NOMINATIONS OPEN FOR SBJ GAME CHANGERS!

Online nominations for Game Changers are now open. We’ll be accepting nominations through midnight June 21. The Game Changers event will be Oct. 27-28, and a special section will run in SBJ in the Oct. 19 issue.

 

 

 

Something related to coronavirus and sports business catch your eye? Tell us about it. Reach out to Austin Karp (akarp@sportsbusinessjournal.com) and we'll share the best of it.