NBA releases books showing $1.85 billion loss over six years

10 Comments

The league office has been working hard in recent days to make its case that the NBA owners are losing money. Big money.

They have now released some audited net income numbers — money left after all the costs are put out — to Forbes in an effort to make a more definitive case.

The following numbers are audited figures. If the projected figures are correct, the NBA will have lost $1.845 billion over the last 6 years, not turned a profit, as reported (in the New York Times).

Those numbers show a handful of teams — the Lakers, Bulls and Knicks for example — turning profits while a majority of teams lose money. The largest league loss was for $370 million in the 2008-09 season, while last season was $300 million. The players union disputes those numbers still, we need to add.

We also need to remind you that the players are a fixed cost for the league — the players get 57 percent of the gross basketball related income that the league takes in. Every year. That may be a high percentage (although not wildly out of line with the NFL an MLB) but it is a known number. What are driving losses for the owners is a rise in non-player expenses (that is supposed to be up 43 percent in the last five years).

Forbes also talks about a fix, which involves compromise.

For the NBA to get on any form of solid footing, there is going to have to be significant concessions by both the players and owners. When you see a trend of well over half your clubs running at a loss, there’s a problem that needs addressing.

With local television rights deals driving the economic disparity, the NBA owners are going to need to look at MLB’s revenue-sharing model closely.

In terms of the players, some ability to allow competitive balance has to come into play. Since owner can’t seem to self-regulate like Major League Baseball, then some adjustment of the cap has to be considered – other methods to allow cost certainty.

Compromise is the only way a deal is going to get done. But until there is real pressure — until the threat of lost revenue from games and lost paychecks gets closer — there is not motive to compromise. So we sit and watch two sides with their heels dug in for a summer lockout. And we hope when time for a compromise does come around, both sides are willing to do it.

Mike Budenholzer no fan of Drake’s free run on Toronto sideline

Getty Images
4 Comments

Drake is the Mayor of Toronto.

Actually, he does fewer drugs than some former mayors of Toronto, and Drake was not elected, but he’s The Mayor in any meaningful way. The man can do whatever he wants.

Such as walk up and down the sidelines of a Raptors game with impunity, and give Nick Nurse a massage during the game.

Bucks coach Mike Budenholzer has much bigger things to worry about — such as were Eric Bledsoe misplaced his shot — but somehow during his conference call with the media on Wednesday, before a critical Game 5, Drake was the topic of discussion. Budenholzer is not a fan of Drake getting to patrol the sidelines. Via ESPN:

“I will say, again, I see [Drake talking to Raptors] in some timeouts, but I don’t know of any person that’s attending the game that isn’t a participant in the game a coach,  I’m sorry, a player or a coach, that has access to the court. I don’t know how much he’s on the court. It sounds like you guys are saying it’s more than I realize. There’s certainly no place for fans and, you know, whatever it is exactly that Drake is for the Toronto Raptors. You know, to be on the court, there’s boundaries and lines for a reason, and like I said, the league is usually pretty good at being on top of stuff like that.”

My guess is the league (and maybe the referees before Game 6 in Toronto) will reach out to Drake and tell him he can’t go Joe Biden on a coach during the game, and to stay near his seat. This is precisely the kind of distraction from the game that fans love to talk about and annoys the league office, which wants the focus on the court.

Personally, the more personality around the game, the better. It’s entertainment people, enjoy the show.

Knicks president Mills says Porzingis threatened to return to Europe if not traded in seven days

Getty Images
4 Comments

If you thought the Knicks thrashing or Kristaps Porzingis on his way out the door was over, well, you haven’t been paying attention to the Knicks.

Team president Steve Mills was at a Knicks fan forum on Wednesday and was asked about the Kristaps Porzingis trade and dropped this bomb: Porzingis gave the Knicks the ultimatum of “trade me or I’m going back to Europe.”

“When he walked into our office, my office, and Scott [Perry, Knicks GM] was sitting there with me, and point blank said to us, ‘I don’t want to be here, I’m not going to re-sign with the Knicks, and I’ll give you seven days to try and trade me or I’m going back to Europe.'”

To be clear, Porzingis had to mean going back to Europe to work out and hang out, he could not have played professionally this season. European clubs honor commitments to NBA contracts — they will not sign and play a guy under an NBA contract — the same way the NBA does with European clubs (as well as China and all FIBA leagues).

Saying he wasn’t going to re-sign makes things clear, it’s one of the reasons the NBA touted the “super-max” contract extensions because teams would find out earlier about player intentions. The Europe part, he could have signed there this summer, but the most a European team would pay him would still be eight figures below his NBA contract (the top Europeans players make less than $3 million annually). Porzingis would not leave that money on the table.

For the Knicks brass, speaking in front of Knicks fans, this was the chance to make themselves look good — “see, we already had a good trade in place” — and thrash the guy they had been selling as the franchise savior a year before. It’s all about perception.

The Knicks have a lot of cap space this summer and their perception as a front office will hinge on what they do — or do not do — with it.

Porzingis landed in a good spot with Luka Doncic in Dallas, and the Mavericks will give Porzingis a max contract. Then it’s on him to earn it.

New Suns coach Monty Williams: ‘I’m here at the right time, and I’m here with the right people’

AP Photo/Matt York
4 Comments

PHOENIX (AP) The Phoenix Suns have gone through coaches like tear-away racing visors, the count up to five in five years.

The instability has hurt them on the court, the run of playoff-less appearances stretching to nine straight seasons with this year’s 19-63 finish.

Monty Williams, the man GM James Jones hired to coach the Suns, hopes to change the trend.

“Continuity, having a staff here for a while and putting in a system that the players can rely upon, but ultimately it will come down to James, myself and the players pushing this thing forward,” Williams said during his introductory news conference Tuesday. “The players are going to have to embrace a level of work and commitment that it takes to be a champion.”

Williams was hired on May 3 to replace Igor Kokoskov, who was fired after one season in the desert.

Williams’s arrival in Phoenix was delayed while he finished out the playoffs as an assistant to Philadelphia coach Brett Brown. The 76ers were eliminated from the playoffs last week by Toronto on Kawhi Leonard‘s hang-on-the-rim buzzer-beater in Game 7 of the Eastern Conference semifinals.

Williams’ name had been linked to numerous head coaching jobs, including the Lakers, but he wound up in the Valley of the Sun after multiple discussions with Suns owner Robert Sarver.

“In my conversations with Mr. Sarver, I saw someone who didn’t duck the tough questions,” Williams said. “We both had tough questions for each other and in this day and age where people throw each other under the bus, make excuses, blame, I didn’t see that. I saw a man who really wants to bring success to this city and I mean that with all of my heart or I wouldn’t have come here.”

Williams had a previous stint as an NBA head coach, leading New Orleans from 2010-15. A year after he was fired, Williams’ wife, Ingrid, was killed in a car crash.

He didn’t know if he wanted to get back into coaching after her death, but was pushed by his kids to return to coaching the sport he loves.

“When everything happened to my family, my focus was just take care of my children,” said Williams, who has remarried. “That led me to believe I might not ever be able to coach again, and I was cool with that. But they weren’t. And to have your children want you to go back to doing what you love to do gave me even more confidence, more strength. Hopefully that translates and the players can pick up on that.”

The Suns have been known as a dysfunctional franchise, but were lauded for landing Williams, a well-respected, well-rounded coach.

Williams played nine NBA seasons with New York, San Antonio, Denver, Orlando and Philadelphia. He’s been a head coach, an assistant and spent two years in San Antonio’s front office.

“His experience in all facets of basketball as a coach, player development on the offensive side of the ball and the defensive side of the ball, in the front office gives him a unique perspective that I think is well suited for our franchise,” Jones said.

In the Suns, Williams takes over a young team with two star-quality players at its core: Devin Booker and Deandre Ayton.

Booker has developed into one of the NBA’s best scorers, leading the Suns with 26.6 points per game. He had five 40-point games the final month of the season, including 50 and 59 in consecutive games.

Ayton was the No. 1 overall pick in last year’s NBA draft and didn’t disappoint, shooting 59% while averaging 16.3 points and 10.3 rebounds.

Phoenix should add to its talent base with the sixth overall pick in this year’s draft.

“There’s so much room to grow,” Williams said. “I think we have a young team that’s learning how to win and they will and I have to do my job. I have to enhance the strengths but be honest about our weaknesses and get the players to consider a new way of doing some things. I think I’m here at the right time and I’m here with the right people.”

Hornets’ Miles Bridges on All-Rookie: ‘I didn’t get snubbed. I played like a— all year’

Streeter Lecka/Getty Images
Leave a comment

The NBA released its All-Rookie teams yesterday. Hornets forward Miles Bridges missed out, getting only one first-team vote and four second-team votes.

Bridges:

I love this attitude. Bridges didn’t deserve to make it. It’s silly to for anyone, including him, to pretend otherwise.

He’s obviously being too hard on himself. He had an OK rookie year. It just wasn’t one of the NBA’s 10 best this season.

Players often hold inflated opinions of themselves. That might help them succeed in a high-pressure job, and that’s obviously their priority. To be clear: I’m not criticizing them for adopting an approach that helped them reach this high level. But it leaves them as lousy analysts of their own performance.

Bridges doesn’t have that problem. It’s easy to see how this will drive him to improve.

His humility won’t work for everyone. But it works for him, and it’s a refreshing change of pace.