Books show Nets with $44 million loss in 2008-09 season

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Did NBA teams lose money last year? And if so, really how much?

In the absence of the owners and players union sitting down and actually talking, the question of loss has become the talking point of the NBA lockout. There has been plenty of back-and-forth between the NBA and the players union — and we can throw in the New York Times — about this subject.

Darren Rovell at CNBC did something smart — when Bruce Ratner’s Nets Sports & Entertainment LLC owned the Nets, the books were public. Still are. So Rovell went and looked at them and broke down the year before the team was sold to Mikhail Prokhorov.

What he found is that while the reported loss by the team that year was $77 million, wipe out the amortization — which the league says it does not include in it’s loss numbers — and the loss falls to $44 million.

But that’s where the controversy starts on how the owners and players define losses and responsibility for those losses.

I said that there were two other numbers, which could be disputed. Let’s look at those. The first one is depreciation, which in this sense is the allocation of costs distributed over a certain period of time. In this case, the reported depreciation by Nets Sports & Entertainment is $2,041,611.

The players association says that depreciation shouldn’t be included in the losses. The owners say it absolutely should because it does reflect the cost of expenses that could be related to growing revenues. If the players get a certain percentage of revenues, the owners claim they should be responsible for some of the costs to get to those higher revenues.

The other disputed number is interest. The Nets for the 2008-09 season had $13,412,981 in interest. The players association again says that that shouldn’t be included in the losses. With depreciation, the actual loss might not be taken in the year it is credited to. With interest, the ownership is actually writing a check. The players can argue they shouldn’t share in this, but there’s no debate that that is a real loss.

I tend to side with the players on interest — it is not their responsibility if an owner took out loans to buy a team. But for fun, even if you wipe depreciation and interest off the books, the Nets still lose in the neighborhood of $28.5 million. That’s a chunk of change. You can see why an owner would be frustrated.

There needs to be some balance in the system. Should some of that kind of loss be covered by revenue sharing from larger market owners? Yes. Should a reduction in players’ salaries (via a reduced share of basketball related income) be part of it? Yes. But the Nets were bad and played in a bad building, and if an owner loses money because of that I have a hard time thinking the players should cover too much of the losses.

Magic suspended Mohamed Bamba for being late to walk-through

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Seven of the top eight picks in the 2018 NBA draft are scoring double-digit points per game.

The exception: Magic center Mohamed Bamba.

Bamba certainly hasn’t been bad. He’s just acclimating to the NBA at a more common rate than peers like Luka Doncic, Jaren Jackson Jr. and Deandre Ayton. This is an exceptionally good rookie class.

But this won’t help Bamba catch up. He missed Orlando’s 101-76 loss to the Mavericks last night.

Chris Hays of the Orlando Sentinel:

Bamba, who was suspended for a game for being late for the team walk-through at the hotel in Dallas on Monday

“It was a violation of team rules,” Clifford said. “It’s just a one-game thing. Mo will play again on Thursday, but that’s what it was.”

“It’s just bad on my part and I just need to be better … just gotta be on time,” Bamba said. “It’s very difficult because you want to be out there and impact the game in any way possible and hope for a different outcome.”

I doubt Magic coach Steve Clifford suspended Bamba for a single instance of tardiness. This was likely a culmination.

Orlando (12-15) is eighth in the Eastern Conference, in the thick of the playoff race. If the Magic are going to take advantage of the low bar for making the postseason, they need all hands on deck – including Bamba.

Lonzo Ball bypasses open layup for no-look backward bounce pass, leaves Luke Walton staring into abyss (video)

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Lonzo Ball missed a layup early last night. That might have made him overthink later, when he was ahead of the pack on another fastbreak. Instead of shooting the open layup, Ball bounced the ball behind him without looking, leading to a turnover and open Heat 3-pointer.

On the bright side for the Lakers, they still beat Miami.

On the bright side for us, we got this great Luke Walton reaction GIF:

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LeBron James says he was referring to only arena, not consideration of signing with Knicks

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After the Lakers beat the Heat in LeBron James‘ and Dwyane Wade‘s final game together, the stars shared an eyebrow-raising conversation on the court:

  • Wade: “I appreciate you letting it end here. I appreciate you bringing us here today.”
  • LeBron: “It was either here or at the Garden. That’s it. That’s the only places we could end it at, man.”

That prompted immense speculation about whether LeBron considered signing with the Knicks. After all, how else would he and Wade – who said he’d re-sign with Miami or retire – have played at Madison Square Garden?

Michael Duarte of NBC Los Angeles

This was always the most likely explanation. The arenas in Los Angeles in New York are the NBA’s biggest stages, and LeBron has repeatedly stated his affection for Madison Square Garden. He didn’t have to think through all the implications to say those were the only appropriate locations.

But I’m still a little skeptical.

LeBron sure was speaking up for the cameras with Wade. And that was after an on-court conversation with Wade a few years ago blew up into a big deal. LeBron also got reminded just last year, with Lonzo Ball, about how much attention those on-court talks generate.

Plus, ever since Phil Jackson bothered him with his “posse” comment, LeBron has repeatedly gone out of his way to tease the Knicks.

Ultimately, I believe the given explanation that this was just about the arena’s allure and nothing more. An offhand remark needn’t completely follow the logic that either LeBron or Wade must play for the Knicks for them to meet at Madison Square Garden. But I’m not completely sold this wasn’t a passive-aggressive dig at the Knicks.

Kings player after beating Bulls: ‘Uh-oh, another 2 1/2-hour practice for them tomorrow’

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New coach Jim Boylen has ruled the Bulls with an iron fist. His abnormally frequent and lengthy practices nearly inspired a mutiny by his players.

A 108-89 home loss to the Kings last night likely won’t ease attention in Chicago. Especially with the opponent piling on afterward.

Chicago Sun-Times:

The Bulls are the laughingstock of the NBA right now.

Even the Kings – the Kings!are mocking them.