Report: the Dodgers got a sweetheart deal limiting their revenue sharing liability

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UPDATE:  It seems this was not really news, despite Bloomberg’s reporting it as such.  Bill Shaikin of the Los Angeles Times reported this back in May.  We missed it then.  Apologies to the Times.

5:40 PMIf this report from John Helyar of Bloomberg is true, whoa, MLB is going to have A LOT of explaining to do to, well, every team that is not the Los Angeles Dodgers:

The Los Angeles Dodgers have shot out of bankruptcy and into the ranks of baseball’s biggest spenders, fueled partly by a secret agreement between former owner Frank McCourt and Major League Baseball that may limit the revenue the team is obliged to share with less prosperous clubs.

A settlement ending their 2011 battle in U.S. Bankruptcy Court gives the Dodgers’ new owners a chance to cap income subject to revenue-sharing from a proposed regional sports network at about $84 million a year, according to five people familiar with the confidential “special terms.”

The upshot: the Dodgers — based on assumptions about what their new TV deal will bring them — will be able to hold on to some $141 million a year that they would otherwise have to share with other clubs in the league. That’s because their new deal will bring in far, far more than $84 million a year. Indeed, its estimated that it’ll bring in $175 million to $225 million a year over the 20- year contract.

This would help in part to explain the massive sales price of the team, as the biggest financial hurdle a large market/revenue team faces is its revenue sharing obligations.

Major League Baseball Executive Vice President Rob Manfred pushes back against this, saying that the revenue sharing figures will be based on the actual TV revenue the Dodgers receive.  Which … seems like a direct contradiction of the whole story.  So, I’m not sure what’s going on here.  Bloomberg is obviously reporting, based on several sources, that there is a deal to cap revenue-sharing eligible TV money. Manfred’s words suggests that’s not the case.

Any help here, anyone?

Phillies sign Henderson Alvarez to a minor league deal

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Jon Heyman of FanRag Sports reports that the Phillies signed pitcher Henderson Alvarez to a minor league deal. If he is added to the major league roster, he’ll earn $750,000 prorated.

Alvarez is still only 27 years old but hasn’t pitched in the majors since 2015 due to shoulder issues. He signed with the Long Island Ducks last month, making seven starts and posting a 3.94 ERA with a 13/14 K/BB ratio in 32 innings.

The Phillies learned that Vince Velasquez will undergo season-ending surgery and also placed Zach Eflin on the 10-day disabled list, so the club is just looking for pitching depth to help take them through the end of the season. Any innings that Alvarez is able to handle will be considered a bonus.

David Wright is going to play in a real game tonight

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Mets third baseman David Wright will begin a minor league rehab assignment Tuesday with High-A St. Lucie. He’ll be the DH.

Wright has been sidelined since May of 2016, first with a cervical disc herniation and, more recently, a shoulder impingement. He has appeared in just 75 games since his last full season in 2014. Wright is under contract through 2020 and is owed $47 million after this year. For now insurance is picking up a large portion of that.

It’s possible he’ll make a return to the Mets before the season out as the competitive portion of their year is basically over and giving him a chance to see big league pitching before he begins what one hopes is a normal offseason might be a good confidence boost. What meaningful role he ever plays in the big leagues again, however, is decidedly up in the air.