ginseng pulver kaufen voltaren preisvergleich midamor online apotheke test serpina preisvergleich viagra pillen bestellen noroxin online apotheke yokebe zyprexa rezeptfrei suprax rabatt online bestellen havana club billig kaufen sinequan pille danach trimox bestellen yasmin online apotheke in germany bupropion sr rezeptfrei to take tadapox pille online vasotec generika kaufen billig seroquel indikation pixel verkaufen millionär dramamine rezeptfrei schweiz aciclovir oogzalf kopen levitra kaufen billig kosten v gel quantum micro levitra generika ohne zollprobleme zoloft price uk augmentin rezeptfrei insektenstich beconase aq verkauf dosage flexisyn rabatt online shop kaufen plaquenil wirkstoff levitra kaufen in der schweiz aceon online apotheke günstig seroquel durchschnittliche kosten plendil online apotheke holland voltaren forte preis kosten cialis jetzt styplon rezeptfrei wo saw palmetto verkauf wirkung billig dostinex nebenwirkungen lexapro generika rezeptfrei kaufen fml forte eye drops combivent rezeptfrei günstig rogaine 5 medikamente minoxidil kosten atorlip 20 in india kaufen cephalexin nebenwirkungen topamax online bestellen cheap aldactone online bestellen nederland ginseng rabatt online order imitrex online bestellen xxl benicar rezeptfrei apotheke dulcolax online apotheke drops buy kaufen yasmin duftöl lipitor price pakistan diarex online bestellen xxl danazol online apotheke günstig dianabol günstig bestellen kaufen billig meclizine deutschland mircette generika liste endep online apotheke johanniskraut baclofen rezeptfrei in spanien lasix rabatt online cheap aldactone preisvergleich yokebe billig anacin india torsemide rabatt online youtube saw palmetto verkauf yan etkileri styplon rezeptfrei günstig rabatt trileptal uses aciclovir online bestellen vergleich medikamentenspiegel bupropion kosten lithium calcium carbonate preis rock diclofenac preisvergleich usa rabatt periactin otc kamagra tabletten erfahrung billig lady era gaga es hermafrodita orlistat online apotheke in uk amoxicillin online bestellen uk next day delivery aldara online bestellen for sale glycomet online bestellen xenos depakote rezeptfrei viagra singulair medikament kleinkinder bupropion sr preis you high ditropan generika nitrofurantoin ratiopharm pille kaufen crestor brahmi online bestellen hair oil temovate rezeptfrei insektenstich zyban durchschnittliche kosten qm carafate generika viagra kosten saw palmetto wirkung tulsi rabatt online juice gyne lotrimin preis while pregnant cafergot generika türkei big appeal medikamente red heart calcium carbonate verkauf zahnpasta acivir online bestellen deutschland coumadin generika indien kaufen billig forzest kaufen zanaflex rezeptfrei niederlande aciphex retail price viagra rezeptfrei schweiz prinivil pille qlaira liv 52 bestellen kupic alli preise apotheke diclofenac online apotheke purchase tulasi online bestellen video songs kaufen gyne lotrimin pregnancy safe bactrim medikamente liste tinidazole preis usa aceton kaufen dm unisom generika suche bupropion sr pille side effects kosten vytorin clomid rezeptfrei usa prednisone online apotheke a prescription malegra generika türkei kosten liv 52 review brahmi rezeptfrei frankreich citalopram rabatt online cheap amitriptyline creme bestellen zocor durchschnittliche kosten kosten lithium ionen akku ayurslim generika indien claritin pille kosten lasix schwangerschaft septilin rabatt online himalaya temovate rezeptfrei wo aldara durchschnittliche kosten lebensmittel danazol online apotheke wien amitriptyline rezeptfrei apotheke bupropion sr bestellen user reviews lasuna generika indien potenzmittel imuran online bestellen nederland kaufen yasmin zimmerpflanze allopurinol 100 mg preis femara online bestellen buy kaufen billig tenormin prednisone online apotheke purchase rogaine 5 medikamente vs liquid bupropion sr medikamente weight loss kosten epivir hbv tablets billig lady era spencer benicar online bestellen buy dutas generika preisvergleich albendazole rabatt online pharmacy prednisone online bestellen uk aldara online bestellen europe acivir online bestellen bupropion sr bestellen quitting astelin preisvergleich yokebe endep online apotheke auf rechnung kaufen billig finasterid preis rabatt minocin work billig reminyl bupropion sr medikamente by mylan kosten liv 52 contraindicatii nimotop online apotheke holland benzac generika liste arcoxia online apotheke bestellen entocort online apotheke deutschland pamelor pille preis vantin online bestellen ikea billig levitra cabgolin online apotheke wien kaufen billig diclofenac tabletten deltasone online apotheke test apcalis rezeptfrei online tofranil durchschnittliche kosten implantat seroquel durchschnittliche kosten prolong 50 imitrex rabatt online spray keflex online apotheke epocrates zyban preise 100 st dapoxetine rezeptfrei italien baclofen medikamente provera rabatt online comtrade generika von arimidex ranitidine online kopen orlistat generika preisvergleich tulasi rezeptfrei online depakote rezeptfrei schweiz lariam rezeptfrei kaufen npxl pille qlaira cholestoplex online bestellen xxl billig lipitor nebenwirkungen beeinflusst arcoxia die pille precose generika zulassung viramune medikamente periactin online apotheke bestellen kosten v gel from himalaya billig baclofen medikament serevent online apotheke test bupropion sr bestellen weight loss beconase aqueous preisvergleich nasal spray dosage augmentin online apotheke kaufen beconase aqueous preisvergleich ears augmentin online apotheke holland billig prednisone medikament bupron sr generika indien reisen kosten saw palmetto libido ginseng kaufen in der schweiz kosten kwh lithium actonel generika schweiz brahmi rezeptfrei deutschland confido rezeptfrei insektenstich vermox forte kaufen astelin online apotheke test kaufen lariam in ghana xalatan rezeptfrei bestellen clonidin generika bentley pille kaufen gyne lotrimin third trimester billig celadrin erfahrungen kaufen minocin recept tegretol online apotheke holland citalopram nebenwirkungen sexualität dilantin online apotheke niederlande topamax rezeptfrei deutschland rabatt kytril vidal premarin generika zoll kaufen billig trileptal nebenwirkungen aricept verkauf prograf verkauf bupron sr online apotheke testsieger clomid online bestellen got pregnant protonix kaufen ranitidin generika nimotop online apotheke juvalis ranitidine pille preis geriforte rezeptfrei wo stromectol online bestellen nederland glucophage price south africa billig cymbalta interaktionen albendazol rabatt online apotheke calcium carbonate verkauf reaction famvir preisvergleich mg billig rogaine 5 price erexor rezeptfrei test glucovance rabatt online youtube billig celebrex kaufen rizact generika apotheke metformin durchschnittliche kosten billig zofran im fluoxetine rabatt online youtube penegra rabatt online shop kosten cialis preis strattera price egypt zanaflex generika rezeptfrei coreg preis qm zofran rezeptfrei usa danazol generika apotheke minocycline online bestellen pharmacy erfahrung kamagra online apotheke finax verkauf tulasi rezeptfrei viagra cialis kaufen frankreich kosten singulair sache arcoxia online bestellen farmacia cleocin rezeptfrei viagra rabatt trazodone wirkung kosten levitra ungarn lasuna rezeptfrei kaufen singulair online apotheke kaufen zofran rezeptfrei günstig ophthacare pille vergessen lariam durchschnittliche kosten malariaprophylaxe tofranil preisvergleich bupropion sr preis by actavis amitriptyline preisvergleich mg duphalac durchschnittliche kosten führerschein torsemide generika zulassung mycelex-g online bestellen berlin cafergot rabatt online buying epivir hbv bestellen information bupron sr rezeptfrei reviews nasonex rabatt online kaufen voveran rabatt online youtube levitra kaufen austria abana rezeptfrei kaufen tamoxifen kaufen rezeptfrei aciclovir durchschnittliche kosten infusion tadalis generika schweiz rabatt toradol dosing singulair online apotheke buy generic imuran online bestellen buy pristiq generika türkei dulcolax pille preis cafergot rabatt online bestellen inderal online apotheke juvalis kaufen billig voltaren zäpfchen plavix 75 preisvergleich bupropion sr pille for smoking cessation vasotec generika deutschland zaditor online bestellen deutschland dutas generika apotheke kamagra store erfahrung triamterene rabatt online free rabatt accutane erfahrung voltaren schmerzgel preisvergleich versandkostenfrei avana rezeptfrei günstig doxazosin pille qlaira laufen alessi preis zestoretic generika apotheke pletal generika hersteller altace rezeptfrei midamor online apotheke deutschland clarinex preis qm benzac online apotheke ac calcium carbonate preis deutsch indinavir rezeptfrei frankreich maxalt rabatt online generic abana generika indien youtube fluoxetine online apotheke wien billig slimming tea results apcalis online bestellen uk zanaflex medikamente interactions keflex durchschnittliche kosten implantat bupropion sr bestellen xl difference triamcinolone rezeptfrei test vermox e shop xalatan online bestellen apotheke avodart rabatt online pharmacy uk stromectol rabatt online tomorrow kaufen billig clomid rezeptfrei endep online apotheke niederlande grifulvin v medikamente oral suspension kosten clarinex tricor preisvergleich bupropion sr pille lose weight lopid rezeptfrei wo carafate online apotheke yokebe metformin durchschnittliche kosten qm zyrtec rabatt online canada nizoral creme 15 preisvergleich kaufen gyne lotrimin uk olanzapine generika indien youtube actos online apotheke español latino kaufen gyne lotrimin youtube snl viagra pillen amsterdam medikament fluoxetin wirkung roxithromycin online apotheke xanten chloramphenicol preis usa brahmi online bestellen free exelon preis pflaster proscar online apotheke acquistare clomid rezeptfrei viagra omnicef pille vergessen billig provera ach grifulvin v bestellen otc kaufen billig slim tea utrecht zyprexa online bestellen purchase kosten liv 52 jetra clarinex preis mg grifulvin v medikamente uses lotrisone rezeptfrei viagra grifulvin v rezeptfrei ringworm suhagra tablet price valtrex price uk apcalis online bestellen buy serevent online apotheke deutschland preis für xalatan bupropion rezeptfrei insektenstich rogaine 5 generika schaum ginseng kapseln kaufen pletal online apotheke schweiz nolvadex medikamente fucidin pille preis kaufen aspirin in italien dramamine rezeptfrei länder billig bupropion sr and weight loss biaxin preis qm emsam rezeptfrei viramune pille preis bettina was kosten die kondome prednisolone online bestellen wien zoloft rabatt online uk furosemide rezeptfrei frankreich combivent rabatt online respimat claritin price mercury drug norvasc generika liste elavil bestellen online valtrex brand price rabatt atrovent tropfen renagel online apotheke xanten lamisil pille preis voltaren creme rezeptfrei bactrim generika indien youtube flomax preiser disease an und verkauf venloer strasse atorlip 10 generika indien de 10 septilin generika indien zanaflex generika apotheke diovan online apotheke bestellen rabatt big appeal denied bactroban salbe kaufen premarin online bestellen xxl furosemide online apotheke xanten roxithromycin generika rezeptfrei kaufen lariam nebenwirkungen coumadin rabatt online kaufen neurontin bupropion sr medikamente zyban endep rabatt online esprit billig slim tea vitax cabergoline tablet price zenegra generika suche himcocid generika rezeptfrei benadryl preisvergleich yokebe glucovance rabatt online h&m premarin online bestellen to buy amitriptyline pille preis risperdal spritze preis cleocin rezeptfrei niederlande chloromycetin rezeptfrei online entocort medikament erexin-v online apotheke test kosten nitrofurantoin preis trimox generika indien fml forte pille liquifilm vs amitriptyline rezeptfrei online olanzapine rabatt online uk prazosin online bestellen wien acyclovir online bestellen buy flomax medicine price alavert pille preis vytorin preiser disease yasmin bayer kaufen altace rezeptfrei deutschland grifulvin v durchschnittliche kosten lebensmittel nasonex pille vergessen autokauf rabatt diakonie kosten feldene aleve pills overdose brahmi online bestellen pflanze zebeta rabatt online finast durchschnittliche kosten lasix online apotheke free cardura medikamente liste lasix online apotheke kopen topiramat wirkung pille aldara online bestellen krem minomycin generika indien china preis für arcoxia 90 mg prednisolone online apotheke kaufen kaufen billig sominex temovate generika erfahrungen rabatt vantin allegra rabatt online learning minocin generika tabelle wellbutrin rezeptfrei frankreich billig lady era o rica amitriptyline durchschnittliche kosten lebensmittel plavix n3 preis kosten saw palmetto prostate billig rogaine 5 vs rogaine lady era preis ukmix xeloda 500mg filmtabletten preisvergleich saw palmetto verkauf prostate bupropion sr medikamente vs er etodolac pille billig rogaine 5 beard billig slim tea erfahrungen rabatt cialis yorumları alavert generika indien china serevent generika indien youtube aldara online bestellen satış kaufen billig viagra generika micardis rabatt online rabatt shallaki boswellia lady era preis jane rabatt ralista tab benzac rabatt online buy billig diltiazem er styplon online bestellen xxl bupropion sr preis once a day provera rabatt online vida fucidin pille kaufen gyne lotrimin growth strattera rabatt online apotheke vytorin pille forzest generika apotheke nizoral online apotheke tablets rabatt geriforte dosage bupropion sr medikamente uses ditropan generika kaufen provera rabatt online ordering aspirin plus c billig kaufen aleve rezeptfrei italien kaufen bupropion sr insomnia yougara online apotheke niederlande rabatt geriforte himalaya norfloxacin online apotheke uk erexin-v rabatt online berechnen lasuna generika indien kaufen rabatt benicar kidney actos preis generika von zyprexa cialis kaufen paypal saw palmetto online bestellen test zyvox rezeptfrei frankreich kosten atorlip 20 mg side effects endep online apotheke paypal singulair online apotheke prescription liv 52 bestellen reviews
Home Maury Brown Who's to Blame for Frank McCourt Owning the Dodgers?

Like Shoot to Thrill - An AC/DC Tribute on Facebook!

An authentic tribute of AC/DC that covers the best of the Bon Scott era and the best of Brian Johnson's material

Who's Online?

We have 1571 guests online

Atom RSS

Who's to Blame for Frank McCourt Owning the Dodgers? PDF Print E-mail
User Rating: / 28
PoorBest 
Written by Maury Brown   
Monday, 01 August 2011 12:03

These were supposed to be the gravy years for Bud Selig. With his contract up for expiration at the end of 2012, the commissioner should have been spending most of his time touting league growth and labor peace.

But instead, Selig is dealing with the mess that Frank McCourt is making of the Dodgers. McCourt has turned into your cousin Eddie. You told him he could stay a while on the couch, and instead, he’s raiding the fridge and talking about you behind your back.

McCourt is Veruca Salt. He’s now stomping his feet saying he wants what’s his, and if he can’t he’s going to make a scene. You can see him holding his breath now.

Where the O’Malley’s build the Dodgers as an edifice to community in Los Angeles; where News Corp. bought them as an edifice to their portfolio, Frank McCourt has built the Dodgers into an edifice of self.

As McCourt has run the value of the club into the ground, been investigated by the California Attorney General for dealings with the Dodgers’ charitable organizations, he’s gotten personal. The most recent is tying amount of salary that the owners set for Bud Selig after growing league revenues from $1.4 billion in 1995 to $7 billion in 2010, to the amount of money that McCourt took from the Dodgers so that he and his former wife Jamie could live an opulent lifestyle.

"The claim that $100 million was taken out of the Dodgers over the course of seven years is patently false," said McCourt in a court filing. "Moreover, even taking the Commissioner's false claim that $100 million was taken out of the Dodgers at face value, it is difficult to understand how the Commissioner can complain about this when he pays himself a salary of approximately $20 million a year -- meaning that he has taken out between $120 million and $140 million from baseball revenues during the same period that he complains about $100 million being taken out by the owner of a team."

The reality, of course, is Selig makes $18.35 million. That amount was set in 2009 after making $17.5 million.

Selig has been lambasted for letting McCourt own the Dodgers in the first place. In Boston, fans have breathed a sigh of relief that he could have nearly owned the Red Sox. The reality is, McCourt lucked out and stumbled into the Dodgers.

Malcolm Glazer, MLB and NFL Rules

Frank McCourt was never supposed to wind up with the Dodgers. Malcolm Glazer was ahead of him. So was former Seattle Mariner owner Jeff Smulyan and Los Angeles developer Alan Casden, who initially had a higher bid than Glazer, were well in front of McCourt. He was a fallback plan, and even then, very nearly didn’t wind up with the club. When News Corp put the Dodgers up for sale, the deal was supposed to go to Malcolm Glazer.

The problem was, Glazer owns the NFL Tampa Bay Buccaneers. That bumped into problems with the NFL.

The NFL has rules stating that if you’re going to purchase a club in another league, you can’t use NFL assets as collateral to get loans to make the purchase. The NFL also requires that you have an independent management team in place for the club outside the NFL. Glazer had been trying since April of 2002 to make both happen, and couldn’t. One idea on the management side was to have his son Ed, who lived in Los Angeles, run the Dodgers. That didn’t fly well with MLB. As one executive put it, they were concerned with Ed’s "management credentials."

"We'd love it to be moving more quickly," a News Corp. executive said to the LA Times regarding the negotiations, "but it's not."

Impatient, News Corp Pushes for McCourt

It didn’t move faster, and News Corp got impatient. Looking to get out from the Dodgers as fast as possible, they looked to Frank McCourt who had missed out on the Red Sox and Angels to complete a sale. The reasons that McCourt missed out on both of those sales had to due as much with how he had money wrapped up as to whether there will better bids available. He would have never been able to pull either of those sales off without other investors. The Dodgers was about being at the right place at the right time for McCourt.

From the get go, there were concerns, namely how McCourt would pay for the Dodgers, but Allen & Co. said not to worry. It was there…. Just not “there”.

If there were a point where MLB could have stepped in and tried to put a foot down, it could have been when they heard McCourt had a liquidity problem – everything was tied up in property – and the purchase would be highly leveraged, so much so that it would be in violation of the league’s debt service rule.

As it does now, the problem for the league is one of stopping sales transactions unless they are exceptionally fragile. With News Corp it was a delicate balancing act. They wanted out, and had been for some time. They were impatient as the Glazer deal had floundered. They were the league’s national broadcast partner through Fox. They were now pushing for McCourt.

Red flags were thrown almost immediately about the sale structure and McCourt was struggling to get the deal done. Talk was that McCourt would get the green light at the owners meetings in November of 2003, but it had to be taken off the agenda because McCourt still has not forwarded most of the paperwork that the commissioner's office needed to review before scheduling a vote.  

Selig kept saying that he trusted Allen & Co. to pull the sale together without any issues. McCourt’s people kept pointing to the protracted sale process between the O’Malley’s and News Corp. Of course the difference there was News Corp had billions to draw from. McCourt had little to none.

Eli Broad Steps in at the 11th Hour

Along with this, the community started to stir. McCourt had been virtually invisible, not saying anything in the media or otherwise about his plans for the Dodgers. As the exclusivity deadline for McCourt to close the deal approached Los Angeles developer and billionaire philanthropist Eli Broad stepped in.

Broad said he would be a fallback in case McCourt couldn’t make the deal happen. L.A. Mayor James Hahn backed Broad. 

"As to what significance the development with Eli Broad has is a question for News Corp.," then MLB president Bob DuPuy said. "As for baseball, we have no reaction in the sense that News Corp. has asked us to process the McCourt application and that's what we're attempting to do. I think both the buyer and seller want it done and that's what we're trying to do."

News Corp didn’t care about Broad. After all the work they had put in with Glazer and now McCourt, they wanted out. A Fox Group official said to the LA Times that company execs "were not entertaining Broad's offer and were pressing ahead with McCourt.”

MLB could have pushed McCourt to sell assets to allow him to have more cash in the deal, but the league was concerned that if that needed to happen, it could depress the sale price, something the league is always looking to avoid.

"We've been told by Allen & Co. and McCourt that he'd be able to finance the purchase on his own if need be," DuPuy said.

McCourt Lands the Dodgers

In the end, McCourt was approved on Jan. 29 of 2004 as new owner of the Dodgers, but there was a lot of talk amongst Executive and Ownership Committee about the deal. They were nervous about the extent to which McCourt was leveraged.

Here’s how financial structure for McCourt worked out:

In three separate transactions, News Corp loaned McCourt $196 million. The remaining $225 million of the $421 million sale was done through Bank of America.

The Fallout in the Front Office

You’ll likely never get Bud Selig (or any of the owners) on record, but if you could have polled them 6 months after the sale to McCourt, they would have said they had made a mistake. Some of the best front office execs were either fired or left the organization following McCourt’s purchase.

President Bob Graziano, executive vice president of business Kris Rone left over what was deemed philosophical differences with Frank and Jamie McCourt. As noted in the LA Times on March 9, 2004, “sources familiar with the situation said that both questioned the viability of a business plan based on a best-case scenario. If that best case doesn't totally evolve -- and seldom do all of the pieces fall in place in baseball -- Graziano and Rone were concerned, the sources said, about McCourt's long-term operating potential given the level of the debt servicing in his highly leveraged purchase of the club.”

Derrick Hall, Dodger senior vice president also fled. Along the way, there were firings, including GM Dan Evans who was left hanging while whispers of Billy Beane and Paul DePodesta wafted about as replacements.

Who’s to Blame?

The Dodgers are a victim of circumstance. Glazer being unable to get around the NFL’s rules… the issue with Ed Glazer not being a suitable management fit for MLB… News Corp pushing for the sale…. McCourt’s liquidity problem that Allen & Co said would never be an issue. No one thing is the true catalyst. The league was in a no-win situation and are now dealing with Frankruptcy, and I’m sure they hate themselves for it.

One day, Frank McCourt will no longer own the Dodgers. All owners are simply stewards of club ownership. The name and the brand far outlive those that have owned them over the decades. What you hope is that MLB has learned its lesson. If it feels wrong, and the particulars are bad, then if you can’t stop a sale, the least they can do is force partnerships that can take the edges off. Who knows what would have happened if there would have been more of a group partnership as opposed to just Frank and Jamie McCourt pushing for the new Think Blue?


Maury BrownMaury Brown is the Founder and President of the Business of Sports Network, which includes The Biz of Baseball, The Biz of Football, The Biz of Basketball and The Biz of Hockey, and is a contributor to Forbes SportsMoney blog.. He is available as a freelance writer. Brown's full bio is here. He looks forward to your comments via email and can be contacted through the Business of Sports Network (select his name in the dropdown provided).

Follow Maury Brown on Twitter Twitter

Follow The Biz of Baseball on TwitterTwitter

FacebookFollow the Business of Sports Network on Facebook

 
 
Banner

Poll

Should MLB Force Jeffery Loria to Sell the Marlins?