If you believe the league’s numbers — and we’re still skeptical, to put it kindly — the NBA was a long way from turning a profit, they predicted a $300 million loss last year.
A few months into the new collective bargaining agreement that is far more favorable to the owners (no matter what Mark Cuban thinks), the league has not turned those losses around. At an All-Star Weekend press conference Deputy Commissioner Adam Silver said that the league will not turn a profit this year and may not next year.
It seems odd to say that at a time when NBA television ratings are skyrocketing and attendance is up overall. The players have taken pay cuts to lower costs. So costs are down, the NBA’s popularity is booming and profits are not?
Henry Abbott went into more detail and shows why there is some logic to that at TrueHoop.
The explanation from the league is that the cuts in player costs roughly match the losses from last year. But this year the league says there were an additional $200 million in losses related to the lockout, for instance due to lost ticket revenue and corporate sponsorships that didn’t happen.
More importantly, popularity only equals big changes in revenue over years. The most obvious way that happens is with more lucrative national TV deals, but the old deals are still in place for two more years. High TV ratings have not meant new TV revenues for the league. Corporate sponsorships similarly take time to develop.
Where the popularity will really show is in local television and other media deals, particularly the national broadcast rights which are up in 2016. But the league is right, it’s a year or several years before those eyeballs can be converted to cash. Now, if we’re having this same discussion if five years, if the league can’t turn all those additional eyeballs into profits, then they are doing it wrong.
The Hornets are plenty deep at center with Cody Zeller, Roy Hibbert, Spencer Hawes and Frank Kaminsky.
Just in case…
Charlotte Hornets General Manager Rich Cho announced today that the team has signed center Mike Tobey.
Tobey went undrafted after four seasons at Virginia then played well for the Hornets’ summer-league team. He’s a good offensive rebounder, and he has some touch with the ball. But his lack of length and athleticism really limit him.
There’s an outside chance Tobey competes with Aaron Harrison, whose salary is unguaranteed, for Charlotte’s final regular-season roster spot. Tobey’s standing and the Hornets’ center depth will work against him.
Most likely, this is just a way for Charlotte to stock its new D-League affiliate, the Greensboro Swarm. The Hornets can waive Tobey after training camp and assign his D-League rights to the Swarm. A partial guarantee on his NBA contract would probably entice him to join the D-League rather than play overseas.
Glen Rice Jr. — the No. 35 pick in the 2013 NBA draft — continues his fall.
He spent a couple years with the Wizards, got waived and then was shot and arrested in a single incident.
Now, he faces more charges.
the 25-year-old was arrested for robbery Monday morning in Georgia … less than a year after he was shot in a bizarre gunfight at T.I.’s restaurant.
Here’s what we know … Rice was booked at 6:37 AM this morning for felony robbery, aggravated battery and possession of marijuana. He has since been released from custody.
You thought it was crazy two teams — the Nets with an offer sheet and the Heat matching it — valued Tyler Johnson at $50 million over the next four years?
Check out his reaction.
Manny Navarro of the Miami Herald:
That’s a lot of money for anyone, especially someone who went undrafted just two years ago. But Johnson worked his way up from the D-League and impressed with his athleticism, feel for the game and outside shot.
There’s a school of thought that sometimes players are better off as restricted, rather than unrestricted, free agents. That was probably true for Johnson, whose status led to Brooklyn going over the top on an offer. Add a skyrocketing salary cap, Johnson was in the right place at the right time.
Accompanying their signing of Chris Andersen, the Cavaliers paid Philadelphia to take Sasha Kaun. Cleveland, facing a steep luxury tax, didn’t want to pay both big men. It was cheaper to send the 76ers cash and have them waive Kaun rather than the Cavs doing it themselves.
But perhaps the Cavaliers could’ve just waited out Kaun.
Gary Bedore of the Lawrence Journal-World:
Sasha Kaun, one of only two Kansas University basketball players, along with Hall of Famer Clyde Lovellette, to win an NCAA title (2008), NBA title (2016) and medal in the Olympic Games (2012 bronze), has decided to retire from pro ball at the age of 31.
“I was very blessed and fortunate to play as long as I have. I had a great experience for the (Russian) national team and professionally. Overall, it’s been phenomenal,” Kaun said Saturday in a phone conversation
Kaun said he started thinking seriously about retirement “toward the end of the season. I kind of feel my ankle has been bothering me awhile. With the amount of pain I was going through, I just wanted to be done. It’s something I’ve had all my career,” he added of right ankle problems. “It was definitely getting worse and worse, year by year. Especially coming here (one year in NBA after seven seasons in Moscow) … the intensity of the game I just kind of realized I don’t think I can go and do it any more.
“I said, ‘You know what? I’m not going to be happy playing. I’m not going to be happy not playing. I think it’s a good time to call it quits.’’’
Kaun joined the NBA at age 30 last year — eight years after being the No. 56 pick in the 2008 draft. He played just 95 minutes in 25 games for Cleveland in his rookie and only season.
Perhaps Kaun wouldn’t have retired if he had a roster spot on the defending NBA champions. At minimum, being a free agent made it an easier call.
Kaun was best known professionally for playing for David Blatt both with the Russian national team and the Cavs and not being Kendrick Perkins.