Silver Cable Chain

NBA Lockout Continues, after Mediation

09.02.12

 So if you lost $300 million last year, and you don’t want to just break even, you want to make money to pay David Stern, Adam Silver and the rest of the league offices, you add $300 million to $1. 72 billion, and add a couple points of profit, 1% of $4 billion is $40 million, so let’s make 2% more, $80 million.  So, under the owners assumption (and my assumption of their assumption), there will be $4 billion again next year and they need $2. 1 billion to make any money, so they require, and can’t sell to the other owners that aren’t at the negotiating table, they would need to walk away from these negotiations, in the new collective baragining agreement with 52.  The assumption is that $4 billion, which is what they made last year, will be there every year going forward.  The owners have been spinning out this $300 million number as far as “losses” for last season as a whole, with only 9 teams making any money at all or some odd ridiculous thing. You can talk about Bird rights, MLE’s, Luxury Caps, Hard Cap, Soft Cap, all the rest of the ways the money is handed out to the players.

Source: Roberto Gato