Baseball does not want you to know about its debt crisis

12 Comments

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!

Michael Kopech has opted out of the 2020 season

Kopech has opted out
Getty Images
Leave a comment

Michael Kopech has opted out of the 2020 season. The White Sox starter informed the team of his decision today, and the team issued a press release to that affect a few minutes ago.

The statement from general manager Rick Hahn. said “we recognize that reaching this decision is incredibly difficult for any competitive athlete, and our organization is understanding and supportive. We will work with Michael to assure his development continues throughout 2020, and we look forward to welcoming him back into our clubhouse for the 2021 season.”

Kopech, 24, has only four big league starts under his belt, all coming in late August and early September of 2018, but after a strong spring training he was likely to make Chicago’s rotation at some point in the 2020 season after sitting out all of 2019 following Tommy John surgery. Kopech was among the players sent to Chicago from the Red Sox in the Chris Sale trade back in December 2016. Others involved in the deal included Yoán Moncada, Victor Diaz, and Luis Alexander Basabe.

Now, however, Kopech has opted out.