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 PM: If 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?
Nationals outfielder Bryce Harper is at least three years away from free agency, but people are already contemplating just how large a contract the phenom will be able to negotiate, especially after taking home the National League Most Valuable Player Award for his performance this past season.
When the likes of David Price and Zack Greinke are signing for over $200 million at the age of 30 or older, it stands to reason that Harper could draw more as a 26-year-old if he can maintain MVP-esque levels of production over the next several seasons. $400 million might not be enough for Harper, though, as MLB.com’s Jamal Collier reports. He said, “Don’t sell me short,” which is a fantastic response.
During the 2015 season, Harper led the majors with a .460 on-base percentage and a .649 slugging percentage while leading the National League with 42 home runs and 118 runs scored. He also knocked in 99 runs for good measure. Harper and Ted Williams are the only hitters in baseball history to put up an adjusted OPS of 195 or better (100 is average) at the age of 22 or younger.
Per Eric Stephen of SB Nation’s True Blue LA, the Dodgers announced that pitching prospect Frankie Montas will be out two to four months after undergoing rib resection surgery to remove his right first rib.
The Dodgers acquired Montas from the White Sox in a three-team trade in December 2015 that also involved the Reds. The 22-year-old made his big league debut with the Pale Hose last season, allowing eight runs on 14 hits and nine walks with 20 strikeouts in 15 innings across two starts. Montas had spent the majority of his season at Double-A Birmingham, where he posted a 2.97 ERA with 108 strikeouts and 48 walks in 112 innings.
MLB.com rated Montas as the 95th-best prospect in baseball, slipping a few spots from last year’s pre-season ranking of 91.
The Brewers’ rebuild continues, as the club announced on Twitter the trade of outfielder Khris Davis to the Athletics in exchange for catcher Jacob Nottingham and pitcher Bubba Derby. MLB.com’s Jane Lee reports that the A’s have designated pitcher Sean Nolin for assignment to create room on the 40-man roster for Davis.
Davis, 28, was the Brewers’ most valuable remaining trade chip. He blasted 27 home runs while hitting .247/.323/.505 in 440 plate appearances this past season in Milwaukee. Adding to his value, Davis won’t become eligible for arbitration until after the 2016 season and can’t become a free agent until after the 2019 season. In Oakland, Davis will give the Athletics more reliability as Coco Crisp was injured for most of last season and is now 36 years old. Though he doesn’t have much of a career platoon split, Davis split time in left field with the left-handed-hitting Gerardo Parra last season. It’s unclear if the A’s will utilize him in a platoon as well.
With Davis out of the picture, Domingo Santana is a leading candidate to start in left field for the Brewers, GM David Stearns said, per Tom Haudricourt of the Milwaukee Journal Sentinel.
Nottingham, 20, started the 2015 season in the Astros’ system but went to the Athletics in the Scott Kazmir deal. He hit an aggregate .316/.372/.505 at Single-A, showing plenty of promise early in his professional career. With catcher Jonathan Lucroy on his way out of Milwaukee, the Brewers are hoping Nottingham can be their next permanent backstop.
Derby, 21, made his professional debut last season after the Athletics drafted him in the sixth round. Across 37 1/3 innings, he yielded seven runs (five earned) on 24 hits and 10 walks with 47 strikeouts. He’s obviously a few years away from the majors, but the Brewers are looking for high upside.
Ken Rosenthal of FOX Sports reports that the Yankees and closer Aroldis Chapman have avoided arbitration, settling on an $11.325 million salary for the 2016 season. It is the lefty’s third and final year of arbitration eligibility.
Chapman had filed for $13 million while the Yankees countered at $9 million, so he gets slightly more than the midpoint between the two submitted figures.
With the Reds this past season, Chapman posted a 1.63 ERA with 33 saves and a 116/33 K/BB ratio over 66 1/3 innings. The Reds have opted to rebuild, so they traded him to the Yankees this offseason in exchange for four minor leaguers. Chapman, who turns 28 at the end of February, will make for a fearsome 1-2-3 punch in the back of the Yankees’ bullpen along with Andrew Miller and Dellin Betances.