Zell to Purchase Tribune Co., Sell Cubs

[daske17]

I would think that in either case (owner that is interested in baseball and wants to win, or an owner that wants to make money) keeping the Cubs on national tv would be a priority.

 

As long as WGN doesn't charge high fees I belive the Cubs will stay on for at least as much as they are on now. The question will be how much will WGN charge the new owner. When the Cubs were owned by the Wrigley family the cable industry was just getting started. Things are a lot different now. I do think Cub fans around the country should be prepared to have to pay to watch them when they are not on ESPN.

 

Tribune, which owns the Chicago Tribune, the Los Angeles Times, WGN-Ch. 9, WGN-AM 720 and other media properties, has long-term contracts in place for Cubs programming on WGN television and radio, as well as with Comcast SportsNet Chicago, which Tribune helped launch in 2004.

 

It looks like we're okay for the forseeable future. Also, I don't see any reason why the team would jump off WGN. There are no local stations that could come close to making an offer to air the games. It isn't how much WGN is charging in fees because the ad revenue alone is worth it.

 

In terms of the Superstation, TBS has shown that airing local market games can still happen in spite of the rise of the Internet, MLB.tv and DirecTV.

[98navigator]

Here's the Tribune press release (pdf) on the planned sale of the Cubs.

 

Of note is that they also plan to sell their 25% stake in Comcast SportsNet Chicago. The TV deals could get interesting. Assuming they wouldn't just be selling it to the new owner of the Cubs, of course.

 

The concerning part is he doesn't plan to sell WGN TV or radio with the team!

[vance_the_cubs_fan]

Please let Cuban buy the Cubs. He's always said if they were put up for sale, he'd be interested.

 

This formula looks good to me. Mavs win NBA championship. Cuban moves on to his next challenge of owning theChicago Cubs.

[C.C.]

Please let Cuban buy the Cubs. He's always said if they were put up for sale, he'd be interested.

 

This formula looks good to me. Mavs win NBA championship. Cuban moves on to his next challenge of owning theChicago Cubs.

 

As long as he's highest bidder there is a great chance.

[Banedon]

Please let Cuban buy the Cubs. He's always said if they were put up for sale, he'd be interested.

 

This formula looks good to me. Mavs win NBA championship. Cuban moves on to his next challenge of owning theChicago Cubs.

 

I'm gonna keep an eye on blogmaverick.com all day today. I would hope he'd at least comment on the Tribune sale if nothing else.

[C.C.]

Please let Cuban buy the Cubs. He's always said if they were put up for sale, he'd be interested.

 

This formula looks good to me. Mavs win NBA championship. Cuban moves on to his next challenge of owning theChicago Cubs.

 

I'm gonna keep an eye on blogmaverick.com all day today. I would hope he'd at least comment on the Tribune sale if nothing else.

 

I have been doing just that all morning.

[98navigator]

This makes retaining Hendry look even dumber. He's been allowed to make huge financial committments that will require a huge payroll to contend for the next few years, meanwhile the Tribune was for sale. We have no idea what the new owner will do to the payroll. This is yet another reason why the Cubs should have used 2007 for rebuilding. Considering all the circumstances I find it almost impossible to imagine a more inappropriate time to attempt an overnight worst-to-first turnaround.

 

I don't think it makes Hendry look dumber. I think the Tribune told Hendry they were opening the purse strings because they knew if Hendry spent a bunch of money this year he would raise the value of the Cubs. I read somewhere that after this offseason the Cubs value has gone up to around $600 million.

 

I read in Crain's Chicago Business that Zell is using $300M of his own resources in this Trib deal (the rest is heavily financed). As a result, he will be looking to get upwards of $800M for the deal... He's going to have to throw in the media arm as well for that price unless he can get a bidding war started OR if they win the WS.

 

Hmmmm, actually, I wonder if they Cubs would be as valuable to a new owner if they had just won versus being on the cusp? No doubt, the new owner wants to take credit for turning around the franchise...

[Brian]

Please let Cuban buy the Cubs. He's always said if they were put up for sale, he'd be interested.

 

This formula looks good to me. Mavs win NBA championship. Cuban moves on to his next challenge of owning theChicago Cubs.

 

Bill Murray (+ other investors) sounds like an interesting potential buyer as well. Cuban has experience in sports, but having a livelong Cubs fan own would be nice too.

[Banedon]

An interesting side note:

 

Tribune did not say if it intended to sell Wrigley Field, the Cubs' home since 1916. "At this point only the sale of the team has been announced," a company spokesman said.

 

Think another owner would consider leaving Wrigley?

Edited April 2, 2007 by Banedon

[rocket]

Please let Cuban buy the Cubs. He's always said if they were put up for sale, he'd be interested.

 

This formula looks good to me. Mavs win NBA championship. Cuban moves on to his next challenge of owning theChicago Cubs.

 

Bill Murray (+ other investors) sounds like an interesting potential buyer as well. Cuban has experience in sports, but having a livelong Cubs fan own would be nice too.

 

no way, i love bill murray so much. him as the owner gives the potential for me hating his guts.

[brinoch]

I'm pretty sure that no one will buy the Cubs if they cannot also buy Wrigley. Also, I imagine MLB will want Wrigley to be sold along with the Cubs.

[98navigator]

White Sox games were more popular than Cubs telecasts last season (for the first time in over 20 years); the net effect is that during the 2007 season, WGN can make more advertising dollars for Sox broadcasts.

 

Do you have any support for that assertion?

 

With that in mind, I am merely bringing up the potential negatives that could arise.

 

If you're implying that Zell might look to ratings in 2006 and decide to cut back on Cubs programming, while increasing White Sox programming, don't you think a man that was able to make billions as an investor is more sophisticated than to base such a decision on ratings for only the last year? Also, doesn't it also assume that you're right about your initial point - that the cost of advertising on White Sox games will be more than the cost of advertising on Cubs' games? I would be quite surprised if that's true.

 

On your first question, it's common knowledge that the Sox beat out the Cubs in radio and TV ratings (2006) for the first time in over 20 years. It really isn't a surprise considering the Cubs won 66 games and the Sox were basking in the glow of a WS.

 

It was published in the Tribune so you may want to search the archives.

 

On your second point, no, my view is that Zell doesn't care about the baseball part of the Tribune (he's admitted as much).

 

My point about the Sox was specific to the poster I was replying to---who implied that WGN must be profiting because they are running Sox games--as if to say there is minimal profit in Sox telecasts. My reply is two fold: because of the recent success of the Sox, WGN can charge more per advertiser in 2007 than they can for Cubs games... Also, the Cubs, Sox, and Bulls will always be shown locally in Chicago because it is a local station (with a national following).

 

You missed the point. Do you have support for your assertion that the cost of advertising on White Sox games will be greater in 2007 than the cost of advertising on Cubs games?

 

I don't think that is true.

 

You missed the point because it is right. You don't have to believe it but the White Sox had higher television and radio ratings than the Cubs in 2006. Look it up. The ad prices are based on ratings which measures the most recent consumer behavior. An argument has already been made in this thread that the Cubs would look to their longer track record of ratings success when attempting to set advertising prices. However, that isn't a guarantee that they have gotten their intial price for this seasons ads.

[vance_the_cubs_fan]

Potential buyers listed on ESPN.com,

 

 

• Jerry Colangelo, former D-Backs, Suns owner

• Mark Cuban, Dallas Mavericks owner

• George Will, national columnist

• Bill Murray, actor

• Don Levin, Chicago Wolves owner (minor-league hockey)

 

Colangelo would have to be considered the front runner. He has the connections and has allies with current owners.

 

Cuban would be my best choice.

 

George Will called TLR a genius which is enough for me not to want him.

[C.C.]

Potential buyers listed on ESPN.com,

 

 

• Jerry Colangelo, former D-Backs, Suns owner

• Mark Cuban, Dallas Mavericks owner

• George Will, national columnist

• Bill Murray, actor

• Don Levin, Chicago Wolves owner (minor-league hockey)

 

Colangelo would have to be considered the front runner. He has the connections and has allies with current owners.

 

Cuban would be my best choice.

 

George Will called TLR a genius which is enough for me not to want him.

 

I only like Cuban off that list.

[CubinNY]

Potential buyers listed on ESPN.com,

 

 

• Jerry Colangelo, former D-Backs, Suns owner

• Mark Cuban, Dallas Mavericks owner

• George Will, national columnist

• Bill Murray, actor

• Don Levin, Chicago Wolves owner (minor-league hockey)

 

Colangelo would have to be considered the front runner. He has the connections and has allies with current owners.

 

Cuban would be my best choice.

 

George Will called TLR a genius which is enough for me not to want him.

Will would have to be the front man, like Bush was when "owned" the Rangers. I don't think he has enough dough.

[98navigator]

Potential buyers listed on ESPN.com,

 

 

• Jerry Colangelo, former D-Backs, Suns owner

• Mark Cuban, Dallas Mavericks owner

• George Will, national columnist

• Bill Murray, actor

• Don Levin, Chicago Wolves owner (minor-league hockey)

 

Colangelo would have to be considered the front runner. He has the connections and has allies with current owners.

 

Cuban would be my best choice.

 

George Will called TLR a genius which is enough for me not to want him.

 

Colangelo is also a big Cubs fan.

[vance_the_cubs_fan]

I'm turning up my efforts to win the lottery so I can get in on this.

[C.C.]

I'm turning up my efforts to win the lottery so I can get in on this.

 

It would take about 3-4 big pot wins to even think about it.

[Brian]

I'm turning up my efforts to win the lottery so I can get in on this.

 

All of NSBB should buy up lotto tickets and hit Vegas (and other Casinos). If a couple of us hit big The Cubs could be the first ever team owned by a message board. Tim = GM?

[DiamondMind]

Is anyone else not intrigued, optomistic, excited......and more just flat out scared by this?

[vance_the_cubs_fan]

I'm turning up my efforts to win the lottery so I can get in on this.

 

It would take about 3-4 big pot wins to even think about it.

 

There was one a few months back that got up to 250 million. Now, that's about a third of what is needed. If I win that one, I figure I could put together a group of investors for the other two-thirds. :lol:

[Brian]

Is anyone else not intrigued, optomistic, excited......and more just flat out scared by this?

 

cautiously optimistic here.

[Flames24Rulz]

Potential buyers listed on ESPN.com,

 

 

• Jerry Colangelo, former D-Backs, Suns owner

• Mark Cuban, Dallas Mavericks owner

• George Will, national columnist

• Bill Murray, actor

• Don Levin, Chicago Wolves owner (minor-league hockey)

 

Colangelo would have to be considered the front runner. He has the connections and has allies with current owners.

 

Cuban would be my best choice.

 

George Will called TLR a genius which is enough for me not to want him.

 

I only like Cuban off that list.

 

I like Colangelo as well, but Cuban would definitely be my #1 option.

[Andy]

Well, this'll be interesting. I don't think I've ever rooted for a team in the process of being sold before.

[DiamondMind]

I just don't see Cuban having more than a fleeting interest in purchasing the Cubs. If I had to place a bet, unfortunately, I believe Colangelo is the obvious front-runner. This is what scares me.