Friday, October 19, 2007

Step to the back of the class

What the Yankees did yesterday, offering Joe Torre an incentive-laden, one-year deal that represented a pay cut was classless. Torre has taken the Yankees to 12 straight post-seasons, won four world-series, and turned what was once known as the Bronx Zoo into one of the most respected clubhouses in MLB. Sure, all of that was possible in large part because of the extravagant payroll the Yankees have maintained. But New York has always been a large market team, but they haven't always had the reputation for class to force Jason Giambi or Johnny Damon to get a hair cut. Joe Torre brought them that.

If the geniuses in Yankee management came to the conclusion that Torre's time had come, then they should have found a way to show him the door with some semblance of the class that Torre showed in 12 seasons at the helm. Alas, these are the same geniuses that brought you Jason Giambi for seven years and $120M (he's owed $21M next year, plus a $5M buyout of his $22M option for '09). Johnny Damon for four years and $52M was another brain fart these experts had.

Torre was good enough to manage these overpaid, over-the-hill former stars to the playoffs. He had enough clout and respect to convince two of the baseball's truly free spirits to clean up when they arrive. He even managed to wring consider value out of their diminishing skills. However, he won't be around when they finish their contracts. Good luck to the next guy. If he lacks Torre's clout, he may need to borrow Torre's scissors. I seriously doubt we'll see a return of Cave Men to NBC for the 2008 season, but he may be out in left field as the class exits the Bronx.

Monday, October 15, 2007

Lovie-Turner Overdrive

Ok, it's not exactly sports business but hey, I'm a Bear fan and I can't take it anymore. How in the world an NFL offensive coordinator can do some of the stuff that Ron Turner does and keep his job amazes me.

Case in point, late 2nd quarter, Bears are attempting to mount a late drive to take the lead prior to half time. They get stuck in a fourth and short, inches really. Now, I give Lovie credit for showing some stones and going for it in this situation. This is where Ron Turner lost what little respect he had from me. The Bears line up in a spread, 3-wide formation with a fullback only in the backfield. Now, anyone who's watched the Bears play in the last 50 years knows they're not throwing the ball, so the spread doesn't fool anybody. But to then line up without a legitimate RB in the backfield is inexcusable. There was no doubt in anyone's mind that a QB sneak was coming. Now why not put Benson in the backfield, even as an ace back? Make a DT or LB at least consider that a handoff might be coming. As it turns out, a huge second effort by Griese got the first down despite the play being stuffed. Of course, he immediately fumbled before being taken down, ending the drive.

DRIVING ME CRAZY!!!!!

Wednesday, September 26, 2007

Sick of the BTN & Comcast crying

Is anyone else out there sick of listening to the Big Ten Network and Comcast whine? I mean, both sides are making persuasive arguments, but I'm done caring. I'm honestly to the point where I change the radio or TV station just avoid listening to their ads.

I mean seriously, what other industry actually subjects the general public to their private contract negotiations. These ads are worse than political spots.

I urge you to stop listening or taking any action based on these ads.

Comcast, you're right, the BTN is being ridiculous, insisting that it be on basic cable and charging outrageous amounts for mediocre content. If you don't think it's worth it for your customers, then don't sign up.

BTN, if you're business model depends on the deal terms you're demanding, maybe you should re-evaluate your business model. Quite frankly, I find the pursuit of a TV network to border on anti-trust violations. You're an academic and athletic league, why do you need your own network. If there was truly a demand for Big Ten gymnastics, wouldn't some other commercial outlet already be pursuing these rights? Since their not, should you really be charging more than any other cable outlet?

Like I said, these are all valid points. NOW STOP ADVERTISING THEM! Get in a room and figure it out. Or don't, just stop subjecting me to your perfectly unreasonable private dispute.

Tuesday, September 25, 2007

OUCH!

If you haven't already seen it, check out Bud Black taking down Milton Bradley: http://youtube.com/watch?v=Iutmc9zR5x4

Bradley went down with a torn ACL, and the Padres playoff and World Series dreams may not be far behind. What a terrible situation. I'm sure many lawyers out there will be in a hurry to blame Bud Black or the umpire Mike Winters who certainly seemed to instigate things. Still, at the end of the day, the blame should fall on Milton himself, who allowed a cocky umpire to show him up.

On the flip side, I hope MLB deals harshly with an umpire that became part of the show. Umpires are like offensive lineman, doing their best when you don't hear about them.

Friday, May 4, 2007

Derby Picks/Analysis

I've been doing Derby picks with decidedly mixed results for the past several years. This year, however will be the first online. So please excuse the brief departure from the topics of Sports Business and related for a little pony picking.

Race Summary
The Kentucky Derby is always difficult to pick. Aside from dealing with an unheard of 20 horse field, the Derby requires the handicapper to assess 3-year old horses, often just a handful of races into their careers. Add to that the uncertain reaction of these young animals to the roaring crowd, track which few have ever seen, and the general luck of racing and handicapping the Derby is revealed as the greatest of challenges.

The weather in Louisville could be a big part of the story this year. It rained for most of the day Friday and the track was in less than perfect shape. Chances of rain are good again on Derby Day. For the purposes of this report, we're going to assume that the track will be wet, throwing in yet another wild card. Wet tracks tend to take a little more energy out of horses, meaning that stretch runners get a little more consideration from this handicapper.

The other big story is always the pace. A lightning fast pace can set up a big stretch run. A more moderate pace will favor those up near the front. This year's Derby lacks the bullet-speed front-runners of the past few years. That said, a big field, and mud flying everywhere usually pushes a few horses to the front. I'm counting on a talented horse coming from off the pace.

Horse By Horse
I'll roll through the entrants one at a time in order of post position and then give my picks at the end.

Sedgefield 1 (50-1) - He won an allowance race before finishing 2nd in two starts (one on the turf). He's really bred as a turf horse and has run 5 of 8 career races on that surface. The speed numbers say he can't hang with this crew, but at 50-1, with that turf breeding, I like the longshot to be in the picture late in this one.

Curlin 2 (7-2) - No horse that didn't race as a 2-year old has won the Derby since 1882. That said, Curlin 3-3 lifetime, including 2 graded stakes wins and the best Beyer figure (122 in the Arkansas Derby) in the field. The inside post may force him to make a run for the front and I think we may have seen this horse's best. Though he's as talented as any horse in the field, I'm staying away at the short price.

Zanjero 3 (30-1) - He's finished 3rd in his last three starts, including a 4 horse photo in the Blue Grass where he was nipped by Dominican and Street Sense. He'll be flying late but will need a lot of things to fall his way to end up in front of the 5 horses in this field that have beaten him in his last 4 races.

Storm in May 4 (30-1) - He's been in the money in 12 of 13 lifetime starts. He's also run well in 3 turf starts since December. While his 2nd place finish (by 10 1/2 to Curlin) in the Arkansas is only mildly impressive, I like the late running style at the classic mile and a quarter distance and the turf pedigree. The rain makes this long shot worth considering.

Imawildandcrazyguy 5 (50-1) - Hasn't won this year so I won't even mention he's a stretch runner that could be moving late. Stay away.

Cowtown Cat 6 (20-1)
- Impressively won the Illinois Derby, but really hasn't faced anybody. The slow pace in Illinois set up the impressive ride. The Cat won't be so lucky in Kentucky.

Street Sense 7 (4-1) - He won the Breeder's Cup Juveneile. I'm not a believer in the Juvey jinx and his 3 110+ Beyer figures are impressive. You can't question his quality as he's been in the think of the biggest of Derby preps. I think the weather works against one of the early favorites who's price is likely to rise as the rain falls.

Hard Spun 8 (15-1) - He's won 5 of 6 career starts but hasn't raced since the LanesEnd six weeks ago. The layoff and lack of top notch competition tells me he's got too much to overcome.

Liquidity 9 (30-1) - He's won just once in 7 career starts and has been beaten by several of the Derby contenders. No clue how he'll due if it's muddy, but I don't see it from this one.

Teuflesberg 10 (30-1) - He's run 15 times, more than any other entrant. He's won of the few speed horses in the race, so expect to hear his name called early. I don't see him holding up for the whole mile and a quarter.

Bwana Bull 11 (50-1) - He's got the breeding and was showing great form before finishing a disappointing 5th to Tiago at Santa Anita. Put up his best Beyer number on an off track so could see some weather money. I think he'll have a nice career but isn't quite ready for this one.

Nobiz Like Shobiz 12 ( 8-1) - He's won 3 of 4 in big preps, beating several of the contenders. He's run 6 straight triple digit beyer ratings. This all points to a solid contender. However, they put the blinkers on last time because he got distracted. I think the Derby Day hype could be more than this talented horse is up for.

Sam P. 13 (20-1) - He's always around the money but hasn't really impressed when faced with top competition. He's probably a little over his head and needs a perfect trip to be in the money.

Scat Daddy 14 (10-1) - He the best of the Florida horses, winning his last two. He's certainly one of the horses to watch and worth including in your exotics. However, I think he lacks the stamina to win if it's wet.

Tiago 15 (15-1) - While he's a popular pick amongst some of the commentators, I think his short, 4-race career isn't enough to sway me. He won impressively in the Santa Anita and has a stretch running style, so he can't be discounted.

Circular Quay 16 (8-1) - He's been off for eight weeks and will be trying to circle the field with his back of the pack style. That's tough to pull off in such a big field so he probably needs a lightning fast pace to have a chance.

Stormello 17 (30-1) - He generally runs near the front but seems to lack the stamina to wire a field like this. The lack of early speed is good. The weather, the field, and the stamina are not.

Any Given Saturday 18 (12-1) - He's a talented horse that was well thought of earlier in the season. He's been steadily declining and would require a huge bounce-back effort here.

Dominican 19 (20-1) - He's been steadily improving with impressive wins in his last two. The pedigree is there as is the late-running style. The only question is the trip from the outside and the weather. One worth watching.

Great Hunter 20 (15-1) - He's a consistent horse, in-the-money 8 of 9 times. He didn't get a clean look in his last, finishing 5th. Forgive that one and he'd be right in with the favorites. I like the price.

The Picks
It's not an easy race to pick with a ton of consistent performers, but here goes. I like Dominican, Great Hunter, Storm in May, and Sedgefield based on the weather and their running style. That said, this might be an even bigger shot in the dark than most Derbies and I'm throwing out there four horses that opened at 20-1, 15-1, 30-1, and 50-1. I guess that's why I'm not a professional handicapper.

I see an exciting race with a moderate pace and a huge pack within striking distance down the stretch. A big pack means that jockey's and luck are key. I'm taking Great Hunter to win it, with Dominican and Sedgefield rounding out the money. These are all long shots so watch the odds and get the most bang for your buck as post time nears. Good luck!

20 - 19 - 1

Tuesday, April 17, 2007

brrrBaseball

Well, if you're a sports talk radio listener as I am, by now you're throughly disgusted with talk of altering the MLB schedule. I know, it sucks that Cleveland had 27 games canceled already and had to travel to scenic Milwaukee to play a series. But let's get real:
1. MLB ain't shortening the schedule. won't happen, not now, not ever
2. Playing all the early games in domes and warm weather isn't feasible or fair. How would Minnesota feel about playing their last 18 on road to balance out their heavy April schedule?
3. Scheduled double-headers don't really draw that well and they cost owners a bunch of money in ticket sales, not to mention taxing ballparks, police, and stadium employees.

Now that we've settled that, I want to talk about the genius of Opening Day. April is a miserable month for watching baseball in most cities. It's cold, often rainy/snowy, and the games don't mean as much. Almost every team draws their smallest crowds in the month of April. EXCEPT FOR OPENING DAY. How did MLB ever pull this off? People jam the stands, selling out ballparks that won't be full again for the rest of the year. The Expos routinely sold out Opening Day even in their final years in Montreal. The weather isn't any better, the games often feature errors, short pitching outings, and intolerable conditions. Still, baseball fans come out in droves. There's just something majestic about that first pitch, first hit, first tailgate. Other sports have tried, but no major sport has managed to create such a hoopla around the first of many games. Kudos to you MLB - you've manged to make one of your least desirable products your most in demand. GENIUS

Monday, March 5, 2007

Why Briggs is so mad

Lance Briggs got all fired up today after the reality of the Bears' franchise tag set in. As a franchise player, Briggs is guaranteed a salary equal to the average of the top players at his position. However, that number, over $7 million, pales in comparison to the money he would have made on the free agent market.

First, he's guaranteed just a one-year deal. Nate Clements, a corner who's good but not elite, just received $80 million over 8 years from San Francisco. Now Briggs is probably a better LB than Clements is a corner. However, linebackers generally aren't paid quite what corners are. Still, using that as a measuring stick, it's fair to assume that Briggs could land a deal in the 6 year, $55-$60 million range. That's probably a conservative estimate. As it stands, he'll get one year, $7+ million. That's $48 million worth of anger.

Why did this happen? Well, the cap rose by more than most teams anticipated this year. That means a bunch of teams have more cap space than they though. On top of that, the free agent class is fairly thin. The result is more demand (cap room) and relatively little supply (weak FA class). Even if Briggs plays a year and becomes a free agent (there's no guarantee the Bears wouldn't slap the tag on him again next year), the same market gap might not exist. He might even get hurt or have a down year. He's got good reason to be upset.

Monday, February 5, 2007

Is Briggs the Franchise? It doesn't matter

Few players at the outside linebacker position have been considered THE key to a team. Lawrence Taylor and Derrick Thomas are the exceptions that prove the rule. In general, the outside backers can have huge impacts, but their production tends to be highly related to their ability to fit in a system. Many big name OlBs have struggled to live up to their big free agent contracts (see Wilbur Marshall, Warrick Holdman, Chad Brown, etc.).

That said, the Bears are faced with a chioce on Pro Bowl OLB Lance Briggs, one of only 3 starters without a contract for next year. If he's not re-signed, Briggs will be one of the jewels of what is generally considered a weak free agent crop. He'd likely receive a deal in excess of $50 million. Moreover, the recent significant increase in the salary cap for 2007 means that several teams will have money to burn.

One flaw in the NFL system is the franchise tag. Originally intended to keep teams from losing their signature players, the franchise tag has become a tool with a much larger reach. Why you ask? First, the rule, a team may place its franchise tag on any one player. Once tagged, the player may not become a free agent but is guaranteed a salary equal to the average of the top players at his positions (top 5 in most cases). The catch is that the deal is just a one-year deal. In the Briggs case, that would mean about $7 million next season. But playing LB in the NFL is a risky proposition. While that $50+ million deal wouldn't be entirely guarenteed, at least the signing bonus would be. Taking the $7 million to play next year puts Briggs at risk never seeing his big payday. His only other option would be to sign a long-term deal with the Bears. But Briggs already took a big risking, turning down a ton of money last off-season to play out his contract. Now he could be faced with having to take that same risk again. And the real kicker is that the Bears will be getting him at a relative bargain because there just aren't many marquee linebackers available to push up that average salary.

In short, the Bears would be crazy not to franchise Briggs and they might be almost as crazy to negotiate against an inflated market for his services. In the end, Briggs will be the one taking the biggest risk, and that's why his agent won't be happy if he's tagged.

This process is failing to protect the player and may well be violating the spirit of it's original inclusion in the CBA - keeping those "franchise" guys where they belong.

Thursday, February 1, 2007

Lawyers, Bonds, & Money

Yet another twist yesterday in the Barry Bonds contract saga. After the deal was announced, the commissioner's office voided based on some of the language in the deal. Officially, the commissioner's office had a problem with some language relating to personal appearances. The language in Bonds' deal contradicted that in the standard player contract which is included in the basic aggreement between the players union and the league.

This would have been a minor blip on the radar except that the Giants insisted on announcing that the deal also included language regarding cancellation if Bonds is indicted. This wouldn't have been a big deal except that Jeff Boras, Bonds' agent, decided to make a point of saying that the cancellation clause was unenforceable due to langue in the CBA. So what is it? Do contracts with language in violation of the CBA get voided or not?

Moreover, do sports really give a damn about what 3 lawyers think? Just tell of if this clown is going to play for the Giants or not. Let's not let Jeff Boras do his sales pitch for future clients through the media today.

Thursday, January 25, 2007

Ah the silly, silly coaching-go-round

So after the Big Tuna left them high and dry by retiring (Tuna was nice enough to let us know that he's healthy - a real load off my mind), the Cowboys brought in Jason Garrett for an interview. Garrett, the former clipboard holder for Troy Aikman is currently the QB's coach for the Dolphins.

So, why is it that all these guys need to "get permission" before interviewing (Wade Phillips, the other rumor says he hasn't been contacted yet)? Well, assistant coaches, just like head coaches, sign contracts with their teams. In most cases, they're not allowed to coach elsewhere. That's right, if the Dolphins wanted to, they could say 'no' and force Garrett to come back as QB's coach even though he'll likely get offered a promotion by the 'Boys (to O-coordinator).

In practice though, teams will almost always grant permission as long as the opportunity represents a promotion. Not doing so would certainly anger assistants, not to mention making coaching searches next to impossible. So, it's basically understood that you allow permissoin if it's a promotion. In the case of a lateral move, teams can and might say 'no' but they'll usually just force the counterparty to offer compensation in the form of a draft pick. This happens in other sports as well.

One goofy little off-shoot of this practice are titles like "Assistant Head Coach". This role didn't exist 10 years ago. By labeling someone an assistant head coach, you protect them from being hired away unless it's for a head coaching job. Russ Grimm, for example, was the AHC for Pittsburgh even though he functioned mostly as an O-line coach. This kept a competitor from "stealing" Grimm to be a coordinator, which is generally considered to be a step up from the o-line coach. Of course, the Steelers didn't exactly follow up on the implied promise that Grimm would be their head coach, instead hiring Mike Nolan. Grimm has since left to join Arizona's staff as, you guessed it, Assistant Head Coach / Offensive Line Coach.

Wednesday, January 24, 2007

MLB DirecTV

Rumor has it that Major League Baseball and DirecTV are close to a deal that will make DirecTV the exclusive provider of the MLB Season Pass. See http://thesportsbizblog.blogspot.com/2007/01/mlb-joining-nfl-exclusively-on-direct.html
for additional details.

This is not great news for baseball fans. It means that if you want to follow your team live and don't happen to live in its home market, you'll have to get DirecTV or use the subscribe on MLB.com for streaming internet coverage.

The reasons for the deal are clear. MLB is cashing in on this package now, possibly sacrificing total viewers for the cash now. It's hard to argue their business case one way or the other until the figures are in, but it's not hard to see that they're putting money ahead of the fans.

The other party to the deal, DirecTV is placing another bet on content in its race for subscribers with the Dish Network. Each company's valuation has fluctuated with it's ability to sign up new subscribers (not unlike the satellite radio duel). The question is, will the money lost on the rights fees (minus the revenues from selling the package) be offset by these new subscribers. Well that remains to be seen. MLB's online subscription is actually quite good, offering a ton of features like custom highlights and express games (full game in 20 minutes) if you're willing to watch on your computer.

Comcast and the other cable providers are the clear losers if this deal comes off as they lost a potentially valuable add-on sale to their digital cable packages. Maybe at least DirecTV will actually offer every game unlike the Comcast package that liked to randomly omit games.