$14 Million More in the TRIB's Pocket

[srbin84]

[entirely unfounded conspiracy theory]

 

You know it's interesting. Despite reportedly having said that he would have an interest in the Cubs in the past, there are no references on blogmaverick.com about any interest in either the Cubs or owning a baseball team. You would think if he had an interest, he'd mention it at some point, maybe in passing, unless possibly he was already in some kind of talks??

 

[/entirely unfounded conspiracy theory]

 

He talked about it on ESPN radio.

[CubfaninCA]

Now if the Cubs had Cuban as owner, Giles would probably be patrolling rf. Cuban seems like a guy who looks at the long-term and increasing the value of his team. He doesn't care if he loses $10 million in one year, cause he'll get that money back and thensome later on.

 

I agree with you on wanting Cuban as the owner because he does what it takes to win. However, I don't think winning 10 or so more games a season would really increase the value of the Cubs much more than it is or much more than it would cost to do it. The value of the Cubs is so high because they have a gauranteed profit every year from the ticket sales, etc. If sales are already close to maxed out, where is the potential for more profit by winning and paying to do so on top of that?

 

well, they could asked for more in ticket prices, if they win more. perhaps get a better tv deal. (not sure about this) sell more merchandise. win a few titles and this franchise isn't known as "the loveable losers." that might help increase value some.

 

also, cuban gets more exposure as cub owner, which helps him w/ his movie & tv projects.

Edited May 10, 2006 by CubfaninCA

[Jon]

Now if the Cubs had Cuban as owner, Giles would probably be patrolling rf. Cuban seems like a guy who looks at the long-term and increasing the value of his team. He doesn't care if he loses $10 million in one year, cause he'll get that money back and thensome later on.

 

I agree with you on wanting Cuban as the owner because he does what it takes to win. However, I don't think winning 10 or so more games a season would really increase the value of the Cubs much more than it is or much more than it would cost to do it. The value of the Cubs is so high because they have a gauranteed profit every year from the ticket sales, etc. If sales are already close to maxed out, where is the potential for more profit by winning and paying to do so on top of that?

Average attendance is 38,999 so far this season. It's good, but that leaves an average of 2,119 empty seats per game based on official capacity. Obviously that'll improve over the summer, but September sales could be pretty lackluster if the team doesn't improve.

 

As I mentioned earlier, playoff games could generate a significant amount of more money, especially since playoff game ticket prices are higher than any regular season game.

 

After several years of this, though, demand is going to drop. There is a pretty good reason for whoever owns the team to make sure the team is competitive, especially if they're already spending the money.

[Banedon]

[entirely unfounded conspiracy theory]

 

You know it's interesting. Despite reportedly having said that he would have an interest in the Cubs in the past, there are no references on blogmaverick.com about any interest in either the Cubs or owning a baseball team. You would think if he had an interest, he'd mention it at some point, maybe in passing, unless possibly he was already in some kind of talks??

 

[/entirely unfounded conspiracy theory]

 

He talked about it on ESPN radio.

 

Yeah, that's what I meant by the bolded section. Just was pointing out that his blog doesn't say anything about it. I doubt that really means anything, which is why I surrounded it with my "disclaimer"... :D

[srbin84]

Now if the Cubs had Cuban as owner, Giles would probably be patrolling rf. Cuban seems like a guy who looks at the long-term and increasing the value of his team. He doesn't care if he loses $10 million in one year, cause he'll get that money back and thensome later on.

 

I agree with you on wanting Cuban as the owner because he does what it takes to win. However, I don't think winning 10 or so more games a season would really increase the value of the Cubs much more than it is or much more than it would cost to do it. The value of the Cubs is so high because they have a gauranteed profit every year from the ticket sales, etc. If sales are already close to maxed out, where is the potential for more profit by winning and paying to do so on top of that?

Average attendance is 38,999 so far this season. It's good, but that leaves an average of 2,119 empty seats per game based on official capacity. Obviously that'll improve over the summer, but September sales could be pretty lackluster if the team doesn't improve.

 

As I mentioned earlier, playoff games could generate a significant amount of more money, especially since playoff game ticket prices are higher than any regular season game.

 

After several years of this, though, demand is going to drop. There is a pretty good reason for whoever owns the team to make sure the team is competitive, especially if they're already spending the money.

 

Let's say it goes up in the summer, down in September and ends up about where it is. The revenue from selling those extra 2000 seats a game will fall far short of an extra 10 million spent. Yes, they could make a lot of money in the playoffs, but with making the playoffs consistently being as hard as it is, the more practical choice is to put in no more money than they already are.

[Jon]

Now if the Cubs had Cuban as owner, Giles would probably be patrolling rf. Cuban seems like a guy who looks at the long-term and increasing the value of his team. He doesn't care if he loses $10 million in one year, cause he'll get that money back and thensome later on.

 

I agree with you on wanting Cuban as the owner because he does what it takes to win. However, I don't think winning 10 or so more games a season would really increase the value of the Cubs much more than it is or much more than it would cost to do it. The value of the Cubs is so high because they have a gauranteed profit every year from the ticket sales, etc. If sales are already close to maxed out, where is the potential for more profit by winning and paying to do so on top of that?

Average attendance is 38,999 so far this season. It's good, but that leaves an average of 2,119 empty seats per game based on official capacity. Obviously that'll improve over the summer, but September sales could be pretty lackluster if the team doesn't improve.

 

As I mentioned earlier, playoff games could generate a significant amount of more money, especially since playoff game ticket prices are higher than any regular season game.

 

After several years of this, though, demand is going to drop. There is a pretty good reason for whoever owns the team to make sure the team is competitive, especially if they're already spending the money.

 

Let's say it goes up in the summer, down in September and ends up about where it is. The revenue from selling those extra 2000 seats a game will fall far short of an extra 10 million spent. Yes, they could make a lot of money in the playoffs, but with making the playoffs consistently being as hard as it is, the more practical choice is to put in no more money than they already are.

Oh, didn't realize you were referring to that $10 million.

[srbin84]

I was serious though about when I asked if anyone knew how much they paid to get the Expos. Saying they have an extra 14 mil in their pockets is like selling a car and saying you have an extra whatever the amount is in your pocket. You still payed for it in the first place.

[Jon]

I was serious though about when I asked if anyone knew how much they paid to get the Expos. Saying they have an extra 14 mil in their pockets is like selling a car and saying you have an extra whatever the amount is in your pocket. You still payed for it in the first place.

The only information I could find is that the other 29 teams are getting approximately $11 million from the sale minus various operating costs and debts from the team's time in Montreal. There aren't many articles on the money right now and I haven't seen anything about that.

[CubbieRich]

I did get some partial information on the Cubs 2006 Revenues from the 'secret squirrel'. I'm no accountant from Kellogg, preferring morality and Medill instead. Here is what he gave me. But he warns that the Cubs do not report concession sales, luxury box sales. The Cubs ticket pricing has 16 different levels for 31-Regular Games, 44-Prime Games and 6-Value Games. He used a $35 per game average, but thinks that is very conservative.

 

Ticket Sales(3.1 million) $108.5(est.)

Rooftop Owners-17% $ 5.0(est.)

WGN, WGN-TV, Comcast(2005) $24.5

Fox TV-National($450) $12-14(est.)

ESPN TV-National($295) $9.25

ESPN New Media-internet $3.0

MLB-apparel, internet $5.0

XM Radio $2.0

ESPN Radio $1.0

Corp. Sponsors-John M. Smithe

AB, Sears, Exelon, McDonalds

Sears, MasterCard $5.0

Inside Wrigley Ads $5.0

Bud Light Bleachers $1.0

Sale of Washington Nationals $14.0

 

TOTAL $190.25

[Jon]

That sounds about right. Forbes had them at $179 million last year after revenue sharing and payroll taxes.

[Transmogrified Tiger]

Now if the Cubs had Cuban as owner, Giles would probably be patrolling rf. Cuban seems like a guy who looks at the long-term and increasing the value of his team. He doesn't care if he loses $10 million in one year, cause he'll get that money back and thensome later on.

 

Haven't you previously been one of the people that argued that Giles was a pipedream because he wasn't leaving San Diego?

[BigbadB]

Concessions has to be a ridiculous profit. a $.20 hot dog sells for what? $3.50?

[anemic offense]

Concessions has to be a ridiculous profit. a $.20 hot dog sells for what? $3.50?

 

I think you're a little low.

[anemic offense]

I'm all for a sale as long as the Cubs aren't bought by the Wirtz family. They're a disgrace to owners, the NHL, and the city of Chicago.

[jjgman21]

I was serious though about when I asked if anyone knew how much they paid to get the Expos. Saying they have an extra 14 mil in their pockets is like selling a car and saying you have an extra whatever the amount is in your pocket. You still payed for it in the first place.

 

not sure on the answer. what I am sure of is it would be very difficult to find the figure because it was tied up with Henry taking over the RedSox, while selling the Marlins to Loria, while MLB was bailing Loria out of Montreal.

 

they had to be the least valuable franchise in baseball at that time, yet when someone recently posted an article from one of the financial rags, I think Forbes, about the most valuable baseball franchises, the Nats were magically ranked in the top five.

[Jon]

I was serious though about when I asked if anyone knew how much they paid to get the Expos. Saying they have an extra 14 mil in their pockets is like selling a car and saying you have an extra whatever the amount is in your pocket. You still payed for it in the first place.

 

not sure on the answer. what I am sure of is it would be very difficult to find the figure because it was tied up with Henry taking over the RedSox, while selling the Marlins to Loria, while MLB was bailing Loria out of Montreal.

 

they had to be the least valuable franchise in baseball at that time, yet when someone recently posted an article from one of the financial rags, I think Forbes, about the most valuable baseball franchises, the Nats were magically ranked in the top five.

#6 between the Cubs and the Cardinals in 2005. They were dead last in 2003.

[Twiggy]

PLEASE let it be Mark Cuban. PLEASE!

 

exactly what I was thinking. He shows emotion for his nba team. Cubs need some someone exciting and hopefully that will transfer on down to the team.

[CubfaninCA]

Now if the Cubs had Cuban as owner, Giles would probably be patrolling rf. Cuban seems like a guy who looks at the long-term and increasing the value of his team. He doesn't care if he loses $10 million in one year, cause he'll get that money back and thensome later on.

 

Haven't you previously been one of the people that argued that Giles was a pipedream because he wasn't leaving San Diego?

 

yes, and part of my argument was based on who currently owns the cubs. cuban would overpay and make BBB proud. :)

[jjgman21]

I was serious though about when I asked if anyone knew how much they paid to get the Expos. Saying they have an extra 14 mil in their pockets is like selling a car and saying you have an extra whatever the amount is in your pocket. You still payed for it in the first place.

 

not sure on the answer. what I am sure of is it would be very difficult to find the figure because it was tied up with Henry taking over the RedSox, while selling the Marlins to Loria, while MLB was bailing Loria out of Montreal.

 

they had to be the least valuable franchise in baseball at that time, yet when someone recently posted an article from one of the financial rags, I think Forbes, about the most valuable baseball franchises, the Nats were magically ranked in the top five.

#6 between the Cubs and the Cardinals in 2005. They were dead last in 2003.

 

*sniff* *sniff*

 

dems some tasty smellin books they be cookin.