Must-click link: how team owners are allowed to lie about their financial losses


This is a basketball item in its genesis, dealing with the New Jersey Nets’ financial documents and inspired by the NBA lockout, but it is relevant for baseball and all other sports as well.

Over at Deadspin, Tommy Craggs, using some older Nets docs, explains how team owners are allowed to list player salaries on their balance sheets twice, thereby dramatically inflating their on-paper financial losses. The little trick — thanks to a specious tax loophole argued for and obtained by Bill Veeck back in the day — allows them to cry poor when it’s time to do battle with the players’ unions at collective bargaining agreement time.

Well, the players unions know about this little tax loophole too, so it’s more about crying poor to the gullible media and gullible fans, but you get the idea.

The specifics here are quite instructive, but even if you don’t care about Craggs’ use of the specifics Nets’ documents, you should at least read the piece to understand that this sort of manipulation of the facts on the ground is a trick that sports owners have been using for years, be it in labor talks, threats to move or contract teams or in their efforts to obtain new stadiums and/or other incentives from local governments and tax payers.

You shouldn’t take anyone’s word about anything when money is involved, but boy howdy, be extra, extra dubious of anything the owner of a sports team tells you when he has his hand out.

Madison Bumgarner diagnosed with fractured left hand

Getty Images

Giants ace left-hander Madison Bumgarner sustained a displaced fracture of the fifth metacarpal of his left hand on Friday. He’ll undergo surgery on Saturday to insert pins in his pinky knuckle, a procedure that could require a four- to six-week recovery period before he’s cleared to throw again. According to ESPN’s Buster Olney, Bumgarner’s total recovery time is expected to take 6-8 weeks. In a best-case scenario, the lefty said he should be able to pitch again before the All-Star break, but given the amount of time and care it’ll take for him to shoulder a full workload, it’s unclear whether he’ll be able to do so.

Bumgarner suffered the fracture during the third inning of Friday’s Cactus League game against the Royals. Whit Merrifield returned a line drive up the middle and the ball deflected off the top of Bumgarner’s pitching hand before bouncing into the infield. He chased after the ball but was unable to pick it up, and was immediately visited by manager Bruce Bochy and a team trainer before exiting the game.

The 28-year-old southpaw was gearing up for a massive comeback after losing significant playing time with an injury in 2017. During his tumultuous run with the Giants last year, he missed nearly three months on the disabled list after spraining his shoulder and bruising his ribs in a dirt bike accident. He finished the season with a 4-9 record in 17 starts and a 3.32 ERA (his first 3.00+ ERA since 2012), 1.6 BB/9 and 8.2 SO/9 over 111 innings. Without him, the Giants suffered as well; by season’s end, their pitching staff ranked seventh-worst in the National League with a cumulative 4.58 ERA and 10.1 fWAR.

This is the second massive injury the Giants’ rotation has sustained this week after right-hander Jeff Samardzija was diagnosed with a strained pectoral muscle on Thursday. “Horrible news for us,” Bochy told reporters after Friday’s game. “That’s all you can say about it. There’s nothing you can do but push on.”