MLB CONFIDENTIAL: The Financial Documents Baseball Doesn't Want You To See

[techs]

http://deadspin.com/5615096/mlb-con...oesnt-want-you-to-see-part-1?skyline=true&s=i

http://deadspin.com/5619509/mlb-confidential-part-2-seattle-mariners?skyline=true&s=i

http://deadspin.com/5619951/mlb-confidential-part-3-texas-rangers?skyline=true&s=i

Short version. The Milwaukee Brewers made a profit of 29.4 million dollars last year. AFTER they gave exhorbitant salaries to the owners family who masquerade as qualified employees.

The owners of the Milwaukee Brewers paid about 12 million dollars for the team in 1970. They sold the team in 2005 for 180 million dollars. The team is now worth 331 million.

So the guys who paid 12 million dollars made 168 million from 1970 to 2005. And the team was sold to new owners in 2005 and the new owners have made 131 million dollars in the last 5 years, in team value. While pocketing a profit on top of that of 29.4 million last year alone.


How can the people of Milwaukee continue to support the Brewers? These are staggering numbers for a team that doesn't even try to make the playoffs.
I'm not against profits, but when you are raking in the dough, you should not complain that other teams like the Yankees have a higher payroll. BTW the Yankees have made almost no money since Steinbrenner bought the team. The Steinbrenner family profit is the huge rise in the team value.



So basically, it's another stfu for the crybabies who say teams like the Yankees are buying pennants. Its teams like the Brewers who are giving pennants away.



/rant

 

[ProfJohn]

The worse part is how the teams lie to cities in order to get them to build them stadiums.

There is a controversy now in Miami over the Marlins lying about how much money they make.

 

[Greenman]

Professional sports is about money. Nothing else matters, nothing else enters the equation. I don't understand how you think there could be anything else involved. They will charge whatever the fans will pay. Most people are stupid enough to pay a lot.

 

[BoberFett]

The worse part is how the teams lie to cities in order to get them to build them stadiums.

There is a controversy now in Miami over the Marlins lying about how much money they make.

This is what pisses me off the most. We've got rich owners paying rich children to throw a ball around, but between all those rich people they can't pony up enough cash to build their own stadiums. They give a sob story about how the team will leave if they don't get their free stadium to the tune of several hundred million dollars and the city and/or state give in and raise taxes. Why the fuck should I care if they leave?

Beyond that, I don't understand this team loyalty that pro sports fans have. The team you cheer for has nothing to do with you. Very few of the players are likely even from the area the team claims is home. The owners may or may not live there either, but even if they do it's not like they're going to ever invite you over for a beer to watch the game. And then when they threaten to move, all they're doing is saying that they don't care about you the local fan at all, all they care about is your wallet. Why does anybody give a shit about a particular team? While I personally don't pay attention to pro sports I can understand people following it as a whole, but those who are rabid fans of their particular team make no sense at all.

It's all another scam to remove money from me whether I choose to support their business or not. It's one of the reasons I moved out of Minneapolis and into the suburbs. Fuck that city and their taxes to build the Twins a new stadium.

 

[JS80]

This is what pisses me off the most. We've got rich owners paying rich children to throw a ball around, but between all those rich people they can't pony up enough cash to build their own stadiums. They give a sob story about how the team will leave if they don't get their free stadium to the tune of several hundred million dollars and the city and/or state give in and raise taxes. Why the fuck should I care if they leave?

Beyond that, I don't understand this team loyalty that pro sports fans have. The team you cheer for has nothing to do with you. Very few of the players are likely even from the area the team claims is home. The owners may or may not live there either, but even if they do it's not like they're going to ever invite you over for a beer to watch the game. And then when they threaten to move, all they're doing is saying that they don't care about you the local fan at all, all they care about is your wallet. Why does anybody give a shit about a particular team? While I personally don't pay attention to pro sports I can understand people following it as a whole, but those who are rabid fans of their particular team make no sense at all.

It's all another scam to remove money from me whether I choose to support their business or not. It's one of the reasons I moved out of Minneapolis and into the suburbs. Fuck that city and their taxes to build the Twins a new stadium.

what started off with a jealous of successful investors rant looks like the thread can be saved

 

[slayer202]

whats with your crazy sports posts? the brewers could spend ALL of that profit and still not contend. they'd go from 15th highest payroll to the 10th. meh

 

[DrPizza]

BTW the Yankees have made almost no money since Steinbrenner bought the team. The Steinbrenner family profit is the huge rise in the team value.

So, the Yankees are spending all that other money on what would otherwise be additional profit, but the Brewers don't have that additional money, since their "profit" was also the huge rise in the team value - rising 161 million in 35 years.

 

[darkswordsman17]

What pisses me off is that fans complain about the owners and players being all about the money and yet they'll keep ponying up for merchandise and tickets and shit like the the DirecTV deal and Madden. If you have such a problem with their focus on money then stop fucking giving them money.

 

[SludgeFactory]

BTW the Yankees have made almost no money since Steinbrenner bought the team. The Steinbrenner family profit is the huge rise in the team value.

That's ridiculous. *All* these guys are lying about how much money their teams make, hiding it via accounting tricks and side corporations. It's in their best interest to.

Why give the Yankees a pass? You believe the crap financials they release to the press/public? It's just the other 29 clubs that are lying? LOL

 

[CycloWizard]

This is what pisses me off the most. We've got rich owners paying rich children to throw a ball around, but between all those rich people they can't pony up enough cash to build their own stadiums. They give a sob story about how the team will leave if they don't get their free stadium to the tune of several hundred million dollars and the city and/or state give in and raise taxes. Why the fuck should I care if they leave?

Beyond that, I don't understand this team loyalty that pro sports fans have. The team you cheer for has nothing to do with you. Very few of the players are likely even from the area the team claims is home. The owners may or may not live there either, but even if they do it's not like they're going to ever invite you over for a beer to watch the game. And then when they threaten to move, all they're doing is saying that they don't care about you the local fan at all, all they care about is your wallet. Why does anybody give a shit about a particular team? While I personally don't pay attention to pro sports I can understand people following it as a whole, but those who are rabid fans of their particular team make no sense at all.

It's all another scam to remove money from me whether I choose to support their business or not. It's one of the reasons I moved out of Minneapolis and into the suburbs. Fuck that city and their taxes to build the Twins a new stadium.

Sounds like it's time for you to become a St. Louis Cardinals fan. They own their own land and built their own stadium.

 

[techs]

Sounds like it's time for you to become a St. Louis Cardinals fan. They own their own land and built their own stadium.

Plus they brew their own beer.:thumbsup:

 

[BoberFett]

Sounds like it's time for you to become a St. Louis Cardinals fan. They own their own land and built their own stadium.

Baseball is a shitty sport so I'll never be a fan of any team, but kudos to them for at least not being taxpayer raping douchebags.

 

[dfuze]

Professional sports is about money. Nothing else matters, nothing else enters the equation. I don't understand how you think there could be anything else involved. They will charge whatever the fans will pay. Most people are stupid enough to pay a lot.

Exactly. I took a sports economic class last summer and part of it went over how the Phillies charge X dollars for seats but don't fill the stadium, but will keep the tickets at this price because they make more money than if they drop the price and sold out the stadium every game. Sure, every team would love to win the WS, but the teams are businesses and more interested in making their profit than putting the best team on the field to win it all.

 

[mwtgg]

Exactly. I took a sports economic class last summer and part of it went over how the Phillies charge X dollars for seats but don't fill the stadium, but will keep the tickets at this price because they make more money than if they drop the price and sold out the stadium every game. Sure, every team would love to win the WS, but the teams are businesses and more interested in making their profit than putting the best team on the field to win it all.

They don't?

 

[theeedude]

That's not even the worst part, which is that baseball is incredibly boring.

 

[MrMatt]

So the guys who paid 12 million dollars made 168 million from 1970 to 2005. And the team was sold to new owners in 2005 and the new owners have made 131 million dollars in the last 5 years, in team value. While pocketing a profit on top of that of 29.4 million last year alone.

You did your math wrong. It would be 151 million

 

[CPA]

http://deadspin.com/5615096/mlb-con...oesnt-want-you-to-see-part-1?skyline=true&s=i
I'm not against profits,



/rant

lololololololololololololol infinity

 

[techs]

You did your math wrong. It would be 151 million

Math Nazis

 

[LegendKiller]

what started off with a jealous of successful investors rant looks like the thread can be saved

Please, these "investors" use accounting gimmickry to buy off state legislators and taxpayers, claiming that they don't "make" money. They do this through depreciation of salaries in shorter periods, and higher amounts, than will ever get paid. They also pay themselves massive amounts money, all to create a loss. These "losses" are then used as examples of how states need to kick in hundreds of millions of dollars to build them stadiums, else they leave. They are also the reason for ticket prices to keep skyrocketing.

 

[dfuze]

They don't?

Just looked into it and guess the book was written before their sellout streak began (guessing the author probably chose the Phillies because he's from the area). But the principal still stands, that teams would rather make the money by not selling out than lowering the ticket price and selling out every game.

 

[mwtgg]

Just looked into it and guess the book was written before their sellout streak began (guessing the author probably chose the Phillies because he's from the area). But the principal still stands, that teams would rather make the money by not selling out than lowering the ticket price and selling out every game.

I think the Phillies have proven that they're willing to spend the money to field a team that will win. Back in the day, the tickets could have been free and the stadium would still be barren. They were absolutely dreadful until the mid 2000s.

I was in Atlanta last summer and it's absolutely shocking how empty the stadium was. My ticket cost $8. That's cheaper than a movie and cheaper than most minor league games. This year, the Braves lead the NL East and they absolutely struggle to sell out non weekend games.

 

[Vette73]

The worse part is how the teams lie to cities in order to get them to build them stadiums.

There is a controversy now in Miami over the Marlins lying about how much money they make.

Ha... I came in just to post this.


Piss's me off when owners cry poor to get tax payer money to build them a stadium.

 

[Slew Foot]

Please, these "investors" use accounting gimmickry to buy off state legislators and taxpayers, claiming that they don't "make" money. They do this through depreciation of salaries in shorter periods, and higher amounts, than will ever get paid. They also pay themselves massive amounts money, all to create a loss. These "losses" are then used as examples of how states need to kick in hundreds of millions of dollars to build them stadiums, else they leave. They are also the reason for ticket prices to keep skyrocketing.

And yet, people keep buying them. People keep complaining about player salaries and $10 beers but as long as they keep buying them, the people will keep selling them.

 

[JS80]

Please, these "investors" use accounting gimmickry to buy off state legislators and taxpayers, claiming that they don't "make" money. They do this through depreciation of salaries in shorter periods, and higher amounts, than will ever get paid. They also pay themselves massive amounts money, all to create a loss. These "losses" are then used as examples of how states need to kick in hundreds of millions of dollars to build them stadiums, else they leave. They are also the reason for ticket prices to keep skyrocketing.

You're preaching to the choir. Let's discuss this tomfoolery vs techs anti-people making money rant.

As for the Yankees, I don't doubt the Yankees team loses money, but the YES network is making hand over fist. I'd love to see the entire P&L.

 

[LegendKiller]

And yet, people keep buying them. People keep complaining about player salaries and $10 beers but as long as they keep buying them, the people will keep selling them.

Might be a little different if they knew the truth. Then again, probably not.