“We’re not going to lose any money,” Stern said. “I’m not going to be commissioner of a league that is comfortable [losing money]. Because I don’t have a group of owners who find it acceptable for me to have that conversation with them.
“You don’t have $4 billion worth of revenue and pay out over $2 billion in salary and benefits to lose money. It’s something that we have sort of gotten used to as the revenues have gone up … but the world has changed about the prospect for all franchises, the world has changed for a lot of reasons – and economically – and now people who make investments in buildings and things expect not to lose money.”
Nobody, not even the players, thinks the owners should have to lose money. But the issue is more complex — the league said before that 22 teams will lose a combined $300 million this year. But, the 8 teams making money have almost no revenue sharing. Put simply, the Lakers are about to make nearly $200 million a year in local television revenue and the Kings make $11 million and the Lakers do not have to share currently. It’s not a simple matter of just controlling costs.
But the owners have gone through a recession and seen revenues dip. More importantly, the value of franchises has dipped. Ten years ago you could count on the value of the franchise going up to cover any losses. (Think of it this way: If you bought a franchise for $100 million, lost $5 million a year for 10 years, then sold the team for $200 million, you would have made $50 million and those losses were really just an investment. Those days of the franchise value bailing owners out on paper are gone.)
The owners want fundamental changes to the system and Stern is clearly standing his ground. The players are pretty good with the system as is and are not moving right now either.
So, we are headed for a lockout. Enjoy these playoffs.
Kevin Love drips snot all over his face, maybe into his mouth (video)
NEW YORK (AP) — Derrick Rose is missing the New York Knicks’ game against Cleveland because of lower back pain.
Rose left the Knicks’ victory over Miami on Tuesday in the third quarter with back spasms. Coach Jeff Hornacek says Rose still felt sore on Wednesday when he came in and met with team doctors, so they sent him for an MRI exam to make sure there was no structural damage.
Rose is averaging 16.7 points and this is the first game he’s missed this season.
Matt Barnes and DeMarcus Cousins have just been SUED over the nightclub brawl at Avenue in NYC this week … with the alleged victims claiming they were brutalized by the NBA stars.
According to the lawsuit filed in NYC, Jasmine Besiso and Myrone Powell claim they were innocently hanging out when Barnes approached Jasmine and began to choke her.
In the suit, Powell says he saw the attack and tried to intervene but that’s when Cousins stepped in and punched him in the face.
At that point, Barnes allegedly released Jasmine’s neck and elbowed her in the face — knocking her unconscious. Myrone claims he was taken to the ground and Barnes and Cousins proceeded to kick and punch him in the head and body.
A rep for the alleged victims calls the incident a “vicious and unprovoked attack” And says Cousins’ initial blow was a “blindside punch.”
The rep also says the two were transported by ambulance to a nearby hospital where they were treated for “serious injuries.”
It’s important to remember there’s no burden of proof for filing a lawsuit. This is not an indication of Barnes’ and Cousins’ liability or guilt. As of last update, police are still investigating, and Barnes’ attorney has said his client was cooperating.