Concerned about the potential bankruptcy of the company that owns the local broadcast rights to 14 of the 30 Major League Baseball teams, the league has formed a new economic inquiry committee that will meet at next week’s owners’ meeting. palm beach, florida.
The committee’s existence was revealed to the Associated Press by a person familiar with the plan.
The Committee also MLB club.
Los Angeles Dodgers president Mark Walter and Detroit Tigers president Chris Illich are members of the committee, sources said.
Baseball executives should be prepared in recent weeks if rights payments aren’t made by Diamond Sports Group, a subsidiary of Sinclair Broadcast Group, which operates the network under the Bally Sports name, Sports said. Networks have lost subscribers and revenue due to cord cuts in recent years.
Diamond owns the broadcasting rights to the Arizona Diamondbacks, Atlanta Braves, Cincinnati Reds, Cleveland Guardians, Detroit Tigers, Kansas City Royals, Los Angeles Angels, Miami Marlins, Milwaukee Brewers, Minnesota Twins, St. Louis Cardinals, San Diego Padres and Tampa. I’m here. Bay Rays and Texas Rangers.
Sinclair’s top financial offer, Billy Chambers, began working with MLB this week in a new role as executive vice president of local media.
The Walt Disney Company acquired 21st Century Fox in March 2019, acquiring a regional sports network.
In August, Sinclair announced it had acquired 21 regional sports networks and Fox College Sports from Disney, valuing those assets at $10.6 billion.
At that time, Disney sold its stake acquired from Fox in the Yankees’ YES network to a newly formed group of investors that included Yankee Global Enterprises and Sinclair. Total enterprise value of $3.47 billion.
Sinclair also holds rights to a number of NBA and NHL teams and has joint venture interests in Marquee Sports Network, which broadcasts the Chicago Cubs.
Salaries have risen this offseason following last year’s agreement with the players union on a five-year labor contract. Employment last year he increased 12.6% to $4.56 billion, breaking the previous record set in 2017 and is expected to rise further this year.of New York Now in its third season under owner Steve Cohen, the Mets currently estimate payroll costs at about $370 million. This would break his $291 million record high by the Los Angeles Dodgers in 2015.
MLB’s latest study committee tracks the pair over the past quarter century. One, a joint management union committee that began after the 1990 lockout, recommended in 1992 to abolish salary arbitration and allow players to qualify for free agency after three years instead of six. I rejected the management’s proposal for a salary cap.
The other was a committee held in 1999 and 2000 that recommended increasing the luxury tax rate, sharing 40-50% of regional revenues after the cost of ballparks, and promoting new national broadcasts, licenses, We distributed internet revenues unequally to help low-income clubs reach their goals. Minimum salary.
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https://www.independent.co.uk/news/mlb-ap-new-york-florida-palm-beach-b2275515.html AP Source: MLB Forms Economic Group As Territory Television In Crisis