Friday, April 01, 2005

Crummy deal

No, I'm not talking about any trade that Bowden may or may not have in the works. I'm talking about the television deal that gives Angelos a 90% share in the joint network with the Nationals. The Nationals get money, but the market price will be set every 3 years by comparing to other markets. This seriously limits the earning power of the team in the long-term, in all probability. It's difficult to believe that, without controlling their own ship, they're going to maximize what they're going to get out of this, particularly when they have no negotiating leverage. If the amounts handed down from up on high aren't near what they should be, and we're less competitive than we should be as a result, there is likely to be little recourse.

I find this personally disheartening, but I'll spare you a longer rant.

4 Comments:

At 7:09 AM, Blogger Don Wood Files said...

Excellent site. I have subscribed to you on Bloglines and check it daily. Keep up ther good work!

Don
http://www.dw-links.blogspot.com

 
At 11:01 AM, Blogger Sam said...

Sunny Boswell seems to think it's not as bad as all that, but I hadn't had my coffee when I read the column. I do agree that a long term guaranteed revenue stream is a valuable thing (though usually not as valuable as actual ownership of an appreciating asset), but I can't really tell if that is what this is for the Nats.

John -- have you gotten your tix yet?

 
At 2:17 PM, Blogger tmk67 said...

The only good thing about this deal is the guaranteed revenue stream for the Nats with no risk, as Boswell points out.

Key is that the Nats get a check from Angelos's network of $21M for each next five years, guaranteed. What we need to have happen is for this network to fail in that time period so that Angelos decides it is more of an albatross than a business opportunity. I expect that in the next five years, we will hear Angelos begin to complain about that rights fee and the new owners will be left to sort it out.

 
At 4:59 PM, Anonymous Anonymous said...

Well, 28 days later I think we all know how crummy this MASN deal is, no matter what Boz had to say about it a month ago. Fact is, the MASN deal is hampering the process of finding a new owner.

If this annoys you as much as it annoys me, you might want to help the folks who are trying to organize a petition to Congress on MLB's anti-trust immunity. You can find it at:

www.hoperamsay.com/nationals/getinvolved.htm

 

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