UPDATE: Astros deny Forbes report about team’s profit

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UPDATE: According to the Houston Chronicle, the Astros have issued the following statement denying the report from Forbes about the team’s record profit:

As MLB will confirm, the information reported in the Forbes article relating to the Astros’ revenues, the Astros’ media rights fee from CSN Houston, and CSN Houston’s per subscriber rate are all significantly inaccurate. As a result, the conclusion about the Astros’ operational profit is significantly inaccurate.

The Astros will continue to operate the team in a fiscally responsible manner that will make the City of Houston proud. We are very excited about our accomplishments and we remain steadfast in our commitment to this rebuilding process. We have established a basis of young talent on our MLB roster that will continue to improve. And our minor league system is now one of the best in MLB. As our young prospects develop, we will move them up to the Major League roster and increase our payroll to a level that will allow the Astros to compete for World Championships. The success of CSN Houston is a vital piece of that process and we continue to work toward establishing full distribution.

3:30 p.m. ET: Get a big TV contract while you’re slashing payroll in a monster rebuild that is past the “ugh, we can’t look” stage and into the “hey, moral victories are great!” stage and you’re gonna be profitable. But this is kinda nuts. From Forbes:

The Astros are on pace to rake in an estimated $99 million in operating income this season. That is nearly as much as the estimated operating income of the previous six World Series championship teams — combined.

I imagine some people will have a problem with this, arguing that Houston should up its payroll more, but really, I’m not sure why they should. They’re not a couple of highly-priced players away from contention. Why throw $20-30 million in the toilet unless it will do something meaningful on the field? They’re going to finish 30-40 games out of first place. Should they try to finish 20 games out? Will that really make fans any happier? Indeed, given the kinds of players that money would likely bring in — veterans who have used up their last chances to play for a winner — it would probably be more depressing than what the Astros have now. At least young unknowns can serve as a canvass on which fans can paint their hopes and dreams, even if that kind of painting tends to be somewhat unrealistic.

The Astros wouldn’t have such a low payroll now if their previous ownership hadn’t put off the hard work of rebuilding for so long. But this is where they are. If they are still cutting payroll and raking in profits when some additional expenditures could reasonably mean the difference between being in or out of the playoffs, fine, let’s go after them then.

RHP Fairbanks, Rays agree to 3-year, $12 million contract

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Dave Nelson/USA TODAY Sports
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ST. PETERSBURG, Fla. — Reliever Pete Fairbanks and the Tampa Bay Rays avoided arbitration when they agreed Friday to a three-year, $12 million contract that could be worth up to $24.6 million over four seasons.

The deal includes salaries of $3,666,666 this year and $3,666,667 in each of the next two seasons. The Rays have a $7 million option for 2026 with a $1 million buyout.

His 2024 and 2025 salaries could increase by $300,000 each based on games finished in the previous season: $150,000 each for 35 and 40.

Tampa Bay’s option price could increase by up to $6 million, including $4 million for appearances: $1 million each for 60 and 70 in 2025; $500,000 for 125 from 2023-25 and $1 million each for 135, 150 and 165 from 2023-25. The option price could increase by $2 million for games finished in 2025: $500,000 each for 25, 30, 35 and 40.

Fairbanks also has a $500,000 award bonus for winning the Hoffman/Rivera reliever of the year award and $200,000 for finishing second or third.

The 29-year-old right-hander is 11-10 with a 2.98 ERA and 15 saves in 111 appearances, with all but two of the outings coming out of the bullpen since being acquired by the Rays from the Texas Rangers in July 2019.

Fairbanks was 0-0 with a 1.13 ERA in 24 appearances last year after beginning the season on the 60-day injured list with a right lat strain.

Fairbanks made his 2022 debut on July 17 and tied for the team lead with eight saves despite being sidelined more than three months. In addition, he is 0-0 with a 3.60 ERA in 12 career postseason appearances, all with Tampa Bay.

He had asked for a raise from $714,400 to $1.9 million when proposed arbitration salaries were exchanged Jan. 13, and the Rays had offered for $1.5 million.

Fairbanks’ agreement was announced two days after left-hander Jeffrey Springs agreed to a $31 million, four-year contract with Tampa Bay that could be worth $65.75 million over five seasons.

Tampa Bay remains scheduled for hearings with right-handers Jason Adam and Ryan Thompson, left-hander Colin Poche, third baseman Yandy Diaz and outfielder Harold Ramirez.