Baseball does not want you to know about its debt crisis

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There is an in-depth report at Forbes today about the debt crisis facing Major League Baseball that anyone who cares about the business of the game should read.

The story focuses primarily on the well-known financial problems facing the Mets and Dodgers, with a shout-out to the Tom Hicks Rangers, but it suggests that teams taking on too much debt is a widespread problem.  The trick comes via what Forbes says is owners’ circumvention of Major League Baseball’s often-cited, but rarely enforced debt ratio rules. Put your debt in a holding company like Tom Hicks did and, voila, you’re in compliance, even as you are being crushed by debt collectors.

One would think that such a charge would meet with a strong rebuke from Bud Selig, but he leaves that to his number two guy, Rob Manfred. And Manfred’s response is a bit unsettling:

“Nobody outside the game knows what was done or not done with respect to any individual club … I don’t think anyone outside the game is in a position to make a judgment as to how the debt-service rule has been administered.”

Really? No “you’re wrong,” or “baseball ownership is healthy?” Forbes comes to you and says that it’s writing a story about how teams routinely circumvent the debt ceiling rules and are doing so at tremendous risk and peril, and you’re really going with “how would you know?”

Yikes!

Former Yankees prospect Manny Banuelos signs a minor league deal with the Dodgers

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Remember Manny Banuelos? He was once a top pitching prospect for the Yankees and then, apparently disappeared from the face of the earth. Or at least it felt like it. Now he’s in the news, however, as the Dodgers have signed him to a minor league contract.

OK, Banuelos didn’t disappear. He was traded to the Braves in 2015, had a cup of coffee with them, pitching pretty ineffectively in seven big league games, was released by Atlanta in the middle of 2016 and then latched on with the Angels. This past season he posted a 4.93 ERA over 95 innings while being used mostly as a reliever at Triple-A Salt Lake.

Banuelos pitched in the Future’s Game in 2009 and was a star in the Arizona Fall League in 2010. He was a top-50 prospect heading into 2011 before falling to Tommy John surgery in 2012. With Atlanta he suffered some bone spur problems and then some elbow issues that never resulted in surgery but which never subsided enough for him to fulfill his potential either. He suffered injuries. A lot of pitchers do.

It’s unrealistic to think that Banuelos will fulfill the promise he had six years ago, but he’s worth a minor league deal to see if the 26-year-old can at least be a serviceable reliever.