The Rangers file for bankruptcy

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We’re still light on the details (Maury has the press release and some analysis), but the Texas Rangers filed for Chapter 11 bankruptcy this morning. It was a voluntary filing that is being characterized as a “prepackaged” bankruptcy proceeding, which means that all the terms of the bankruptcy are agreed
to before filing, which can result in a shorter turnaround time.  The team is characterizing it as a necessary step to allow Hicks Sports Group to sell the team to Chuck Greenberg and Nolan Ryan. The target date according to the filing: “midsummer.” You may recall that the Cubs did something like this prior to their sale to the Ricketteseseses.

This just came down so the details are still a bit sketchy, but something that sticks out to me is that the creditors of Hicks Sports Group — the ones who have been causing all the problems — aren’t part of the filing. If that’s the case, how could they have agreed to the terms of the “prepackaging?” Moreover, the verbiage in the press release says that the deal will provide “for all Rangers creditors to be paid in full.”  That can’t be technically right, because if there is enough money in the sale to fully satisfy all outstanding debts, the bankruptcy filing — which basically says that part X owes creditors more money than it has — would be tossed out, right?  This deal can’t be a “paid in full” thing. It has to be a “we’ve been paid enough to be happy” thing.

Another possibility — a pretty good one actually — is that there is separate deal in place between Hicks Sports Group and the creditors to settle the outside debt on some sort of payment plan or something else, but to do it outside the framework of the Rangers sale.*  If that were the case it would not necessarily have to be a part of this bankruptcy case. We just don’t know, however, based merely on the terms of the bankruptcy filing.  I will say that it would be pretty reckless for the team to file like this without any creditor signoff, official or otherwise, because it would invite the sort of proceeding — creditors going deep into the Rangers’ business — that they had been threatening to do back when they were at each others’ throats.

The primary upshot: there has to more going on here than meets the press release, probably in the form of some backroom dealing that will (a) keep the dirty financial laundry of the Rangers, Hicks and Major League Baseball out of bankruptcy court discovery proceedings but (b) makes the creditors happy. Otherwise, there’s no point to this filing.

Secondary upshot: if this is going down as the Rangers say it is, the team will be out of ownership limbo within a couple of months and, hopefully, able to resume normal operations, sign draft picks and add payroll in a way that a team in their competitive position should.

More on this, obviously, as the story develops.

*I’m aware that most of the debt at issue is not technically owed by the Rangers — it’s owed by Hicks Sports Group, thereby meaning that the big creditors like Monarch Alternative Captial couldn’t really go after the Rangers. But that’s kind of beside the point. All along these creditors have been making noises about dragging the team itself into bankruptcy if they weren’t paid, and it the suggestion has been strong that they would try to advance legal theories — however novel — that would allow them to encumber the team in order to get the money they are owed by Hicks.  For MLB and the Rangers to make this filing today, they have to think that such a move is not a threat.  This underscores my belief that some sort of side deal between Hicks and the creditors has to have taken place.

Casey McGehee signs one-year deal with Yomiuri Giants

DETROIT, MI - AUGUST 19: Casey McGehee #31 of the Detroit Tigers singles in the fourth inning of the game against the Boston Red Sox on August 19, 2016 at Comerica Park in Detroit, Michigan. (Photo by Leon Halip/Getty Images)
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Former Tigers infielder Casey McGehee has reportedly signed a one-year deal with the Yomiuri Giants of Nippon Professional Baseball, according to FOX Sports’ Ken Rosenthal.

It’s the fourth move the corner infielder has made in the last two seasons after seeing short-term stints with the Marlins, Giants and Tigers. He signed a minor league deal with the Tigers prior to the 2016 season, providing the club with some infield depth behind 24-year-old Nick Castellanos. When Castellanos hit the disabled list in August with a broken hand, McGehee was recalled from Triple-A Toledo for a 30-game stint and slashed .228/.260/.239 with one extra-base hit in 96 PA. His career batting line (.258/.317/.384 over eight seasons) isn’t too shabby, but his age and a long history of knee injuries puts a damper on his potential.

McGehee last appeared in the NPB circuit in 2013, when he signed a one-year, $1.5 million deal with the Tohoku Rakuten Golden Eagles. He spent the bulk of his season at the hot corner, batting an impressive .292/.396/.515 with 28 homers in 590 PA and appearing in the Eagles’ first and only championship run to date.

The deal comes with a club option for 2018, Rosenthal reports, though no figure has been specified.

Report: Dodgers could pursue three-year deal with Rich Hill

LOS ANGELES, CA - OCTOBER 18:  Rich Hill #44 of the Los Angeles Dodgers pitches in the first inning against the Chicago Cubs in game three of the National League Championship Series at Dodger Stadium on October 18, 2016 in Los Angeles, California.  (Photo by Harry How/Getty Images)
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Free agent left-hander Rich Hill is rumored to be entertaining a three-year, $40+ million offer from the Dodgers, reports Peter Gammons. The Boston Globe’s Nick Cafardo corroborated the report, adding that Hill could receive somewhere between $46 and $48 million from his former team.

Hill, 36, pitched to a 2.12 ERA and 3.91 FIP in back-to-back stints with the Athletics and Dodgers in 2016. While a chronic case of blisters on his pitching hand limited the frequency of his starts, he still figures to be one of the most productive and noteworthy starting pitchers on the market this winter.

The Orioles, Yankees, Red Sox, Rangers and Astros have all been mentioned as potential suitors for the left-hander’s services, though Orioles’ GM Dan Duquette said the club has yet to make a play for Hill and ESPN’s Jim Bowden pointed out that the Red Sox are less involved in trade talks than other interested parties.