Tag:SuperSonics
Posted on: February 25, 2012 8:56 pm
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Stern anoints Silver as successor

ORLANDO, Fla. – David Stern proclaimed Saturday night what has long been assumed but never confirmed: He will recommend deputy commissioner Adam Silver to succeed him as commissioner when he retires.

“One of the things that a good CEO does -- and I try to be a good CEO -- is provide his board with a spectacular choice for his successor,” Stern said during his annual All-Star news conference. “And I have done that. And that's Adam.”

Stern, 69, reiterated what he said after the collective bargaining agreement saving a 66-game season after a 149-day lockout was finalized: He will not be commissioner when both sides have the opportunity to opt out of the deal in 2017. Beyond that, he placed no timetable on his departure, but said he would have the discussion with owners “very soon.”

Silver has been deputy commissioner and chief operating office since 2006 after serving for more than eight years as president and COO of NBA Entertainment. He has played a key role in negotiating the league’s last two broadcast rights agreements and the last four collective bargaining agreements with the National Basketball Players Association – and also created NBA China as a stand-alone entity. Silver, who also played a key role in delivering the league’s public message to the media during the lockout, was asked during Stern’s news conference how prepared he is for the job. He smiled and slid the microphone in front of Stern.

“He’s a first-rate, top-of-the-class executive,” Stern said.

Stern's recommendation of Silver would have to be approved by the league's Board of Governors.

Among the other news Stern made Saturday night:

• Negotiations in Orlando involving the league, city of Sacramento and the Maloof family on achieving a funding plan for a new arena before a March 1 deadline has “several remaining points that may or not be bridged,” Stern said. The talks will continue Sunday, and Stern said the issue is coming up with additional funding necessary to pay for the project. “Life is a negotiation,” he said. “… It’s getting there, but it’s just not there yet. And we’re looking for other ways, imaginative ways, to bridge the gap.”

• He confirmed that there is a leading candidate to purchase the New Orleans Hornets and that the league is “optimistic that we will make a deal” in the next “week or 10 days.” There is a second group that is “in sort of second place,” Stern said, “waiting to see how we do with group one.” Both groups would keep the team in New Orleans, where the city is continuing to negotiate an arena lease extension upon which the ownership deal is contingent.

• Stern confirmed that he has spoken with Seattle investor Chris Hansen, who is spearheading support for an arena to attract a team and replace the Supersonics, who moved to Oklahoma City in 2008. “It sounded OK to us,” Stern said of Hansen’s plan. “Go for it. That’s all.” But Stern acknowledged that the plan would require that “we have a team that we could put there.” As arena funding talks with Sacramento and the Malodors continue, one might view Stern’s enthusiasm about the prospect of a return to Seattle as a leverage point in that negotiation.

• Stern alluded to increased attendance, TV ratings and sales, but didn’t give specifics. National Basketball Players Association executive director Billy Hunter said earlier in the day that Stern has told him attendance and merchandise sales are up, and that Silver told him in a recent meeting that league revenues are expected to increase more than pre-lockout projections. “Everything is good,” Stern said.

• Asked whether the NBA would consider aiding teams that lose superstars to free agency, such as host city Orlando is facing with Dwight Howard, Stern said, and “No. Why should we? … We have a system that has a draft that basically tells a player where he’s going to play in this league when he’s drafted, and a further system that has a huge advantage to the team that has him. Our players could play for seven years for a team they didn’t choose. And we think that’s a system, but not a prison. ... I'm sure Dwight will make a good and wise decision for him."

• Stern shot down the notion of adding expansion teams in North America (as if there aren’t too many teams already). But he wouldn’t rule out overseas expansion in the next 10 years, deferring the topic to silver, who said, “We’ll see.”

• Stern took issue when asked to evaluate his decision, when acting in his capacity as the owner of the Hornets, to disallow the trade that would’ve sent Chris Paul to the Lakers. “There’s no superstar that gets traded in this league unless the owner says, ‘Go ahead with it.’ And in the case of New Orleans, the representative of the owner said, ‘That’s not a trade we’re going to make.’” “But that representative was you?” Stern was asked. “Correct,” he said. “And was that the right move to make?” “Buy a ticket and see,” Stern said. “We’ll see how it works out.”

• Asked about reports that shoe companies are trying to steer their star clients to bigger markets – a reference to Adidas’ relationship with Howard – Silver said the league does not have jurisdiction over shoe companies. “But we have looked into it, and we have been assured by the two major shoe companies in the league that the incentives they build into contracts are based on winning as opposed to market size,” Silver said.

• On Jeremy Lin, the Taiwanese-American whose sudden emergence with the Knicks has spawned intense global interest, Stern said, “I just think it’s the universal story of the underdog stepping forward.”
Posted on: February 19, 2012 6:54 pm
 

Cuban would support Seattle return

NEW YORK -- Mark Cuban always holds court with the media when his Mavericks make their annual visit to Madison Square Garden. On Sunday, he said he'd support Seattle's efforts to return to the NBA.

"As long as it’s not an expansion team, yes," Cuban said. "... I voted against the move because I thought it was wrong to leave Seattle. I’d be all for a team going back to Seattle. But it would have to be a team that moves. I’d be against any type of expansion."

Plans for a $490 million arena aimed at attracting an NBA and NHL team to Seattle were unveiled this week, with a $290 million commitment from investors led by Seattle native and hedge-fund manager Chris Hansen. The balance of the funds would come from tax revenues generated by the building and rent paid by the teams, according to the plan.

But with the NBA already in a state of overexpansion, the irony for Seattle is that its path back to the NBA would have to entail doing what Oklahoma City did to Seattle in 2008: luring a team from somewhere else. The likely suspects are Sacramento and New Orleans, where both NBA teams are facing uncertain arena situations.

"Teams go in cycles," Cuban said. "When you're at the top of the cycle, like Sacramento when they were winning, they were selling out every game and it was one of the hardest places to play. But it’s really how the market supports the team when you suck."

A vote by the Sacramento City Council is expected by the end of the month on a funding plan for a new downtown arena for the Kings. Sources say the NBA has narrowed its list of potential buyers for the league-owned Hornets to a handful of groups -- possibly two -- that would keep the team in Louisiana. The announcement of a purchase agreement could come soon after All-Star weekend, pending the resolution of talks between the league, Gov. Bobby Jindal's office and the Louisiana legislature on a new arena lease.

"We continue to work with the Hornets to reach a long-term leasing agreement," Frank Collins, Jindal's press secretary, said in a statement provided to CBSSports.com.

Cuban also weighed in on the new collective bargaining agreement, which he helped negotiate as a member of the owners' labor relations committee. Asked when it will be known whether the owners got a good deal or a bad deal, Cuban said, "We'll find out over the next three or four years. We’ll see what happens when we have a chance to opt out of it in six years.

Asked what criteria should be used to evaluate the new CBA, Cuban said, "Are all the teams making money? ... If all the teams have a chance to compete, then you have a better chance of making money. If you have a better chance of retaining your star players, you have a better chance of making money. So they all go hand in hand."
Posted on: April 15, 2011 6:21 pm
Edited on: April 15, 2011 6:58 pm
 

Anaheim Royals? Not so fast

NEW YORK -- NBA commissioner David Stern on Friday dismissed the last-ditch candidacy of Ron Burkle to purchase the Kings and keep them in Sacramento, and the league’s board of governors voted to extend the Maloof family’s deadline to apply for relocation to Anaheim until May 2. 

In calling the Burkle plan "not a high priority," Stern at the same time praised Sacramento Mayor Kevin Johnson’s presentation, in which he promised millions of dollars in new sponsorships and funding for a new downtown arena. But after a decade of failed efforts to get the Kings a new building in northern California, Stern expressed skepticism about last-ditch efforts to keep the team there. 

"In light of the history in Sacramento, that's usually an eye-roller," Stern said in a news conference after the end-of-season Board of Governors meeting. "We don't know if that's real or a pie in the sky. We don't know whether we can find that out in a couple of weeks, but we are going to knock ourselves out to do it."

Later, on a pre-playoff conference call with national media, Stern described Johnson’s presentation as "persuasive," and said the relocation deadline was extended so owners would have more time to evaluate both the Anaheim relocation plan and Sacramento’s save-the-Kings proposal. Stern said a presentation by the Maloofs and Anaheim city officials was made "in good faith," but left owners with an incomplete understanding of issues such as funding, TV rights, desired arena improvements and "what would be an appropriate relocation fee."

"It just seemed to be a good idea to put it off for a couple of weeks," Stern said. 

If the Maloofs follow through with their application to relocate to Anaheim, Stern said the board would then evaluate whether the market can support a third team. Two board members told CBSSports.com that owners have yet to take a tally of whether the Maloofs have the required 16 votes to approve the relocation. One owner noted that if the vote is close, it will call into question the fact that the league will be casting the vote for New Orleans, which is now owned and operated by the other 29 owners. 

Sources also told CBSSports.com there’s a feeling among representatives of at least one team that more consideration be given to moving the Kings to Kansas City, given the franchise’s roots are there and the city’s arena is more NBA-ready than Anaheim’s Honda Center. "Interesting position," said one team representative. The issue of Kansas City, however, was not formally raised during the two-day meeting. 

"I think they’re planning on looking more closely at the Sacramento situation before a final decision is made," the team rep said. 

One of the owners told CBSSports.com that he detected a "bias" against relocation among members of the executive committee, which consists of representatives from all 30 teams. "I don’t think anybody likes to see teams moving," the owner said. 

But this sentiment was not evident in the selection of Thunder owner Clay Bennett to chair the relocation committee. Bennett’s appointment was quickly panned for several hours online by those pointing out the apparent conflict on Bennett’s resume -- given that he moved the SuperSonics from Seattle to Oklahoma City, creating a public relations nightmare for the NBA. Stern, of course, rejected such a notion while praising Bennett for his "yeoman’s work" on various committees. 

"I don’t think there’s any conflict at all," Stern said. "What would the conflict be? … Maybe Sacramento will think the same thing you do, which I don’t, that he favors movement. In this case, he favors what’s best for the league."

Some other news items from Stern’s pre-playoff media tour with deputy commissioner Adam Silver on Friday: 

• On the issue of Kobe Bryant’s gay slur costing him a $100,000 fine, Stern said there were no plans to come up with a list of words players would be forbidden to utter on the court. "Our rules are what they are, and for the most part, our players conduct themselves in the manner we’d like them to conduct themselves," Stern said. "Kobe apologized for his insensitive remarks. I think he understood it. He was severely penalized, and we’re ready to move on."

• The sale agreement transferring ownership of the Pistons from the Davidson family to Tom Gores’ Platinum Equity group has been signed, and Stern said the deal will close no later than June 30. Gores and Karen Davidson have assured Stern it will be done by the end of May. Owners were impressed with Gores, whom Stern referred to as "really gung-ho to make this thing into a winner and a community asset."

• Owners had what Stern described as "a very energetic discussion" about resuming play promptly after timeouts and possibly reducing the number of timeouts. 

• Despite the threat of a lockout, Stern said season ticket sales for next season are "ahead of last year’s pace." But Stern noted the money will have to be returned to customers, with interest, in the event of a work stoppage. 

• In response to a question about the roughly one-third of NHL teams that lost less money by not playing during hockey’s 2004-05 lockout, Silver said, "We do have teams that are in that situation. I won't say the precise number, but there are several that will do better financially if we’re not playing. Having said that, it’s absolutely our goal to get a deal. And even those teams that would do better by not playing, I’m sure they would prefer to be playing and build their business. There’s no doubt that as a business, we’d do enormous damage to ourselves by not playing."

Posted on: December 6, 2010 7:42 pm
 

Hornets officially on life support in New Orleans

If any entrepreneurs out there are in the market for a failing business that is going to shut down operations in a few months for a work stoppage, David Stern would like you to come forward with your best offer.

And if you'd like to keep the business in New Orleans, where things were so bad the previous owners ran out of money and credit operating it, all the better.

Oh, did we mention? Bidding starts at $300 million.

The future of the NBA in New Orleans, one of America's finest and star-crossed sports destinations, took a definite turn toward life support Monday when Stern announced that the league is stepping in to save the Hornets from themselves. The question now is: Who, if anyone, will come forward with the deep pockets and patience to keep the team in Louisiana?

The best way to answer that question is to ask yourself: If you had $300 million, is that how you would spend it?

Despite Stern's insistence Monday that the league stepping in to buy 100 percent of the Hornets from owners George Shinn and Gary Chouest was "the best opportunity for the franchise to remain in New Orleans for the long term," it's hard to see how the NBA gets from here to there.

"This was the most stabilizing force for the team in New Orleans that we could come up with," Stern said Monday.

In other words, this was the best of all available options -- especially if you consider that this was the only option.

Despite a compelling team with marketable superstar in Chris Paul who has orchestrated the best start in franchise history, the Hornets remain among the worst teams in the NBA in attendance. In fact, they are seriously in danger of triggering a clause that would allow the team to break its lease with the state if they fail to average 14,214 fans per game until Jan. 31. Even if that happens, a prospective buyer who wants to move the team presumably would still be faced with a relocation fee. That means the owner of the team -- the 29 other NBA teams -- would theoretically get less money in a sale to someone who wants to move it to Kansas City than from someone who wants to keep it in New Orleans.

But that's short-term math. And the long-term interests of the NBA are now more involved in the sale of the Hornets than ever before. Regardless of what changes are made to the league's revenue-sharing scheme in conjunction with a new collective bargaining agreement, it clearly is in nobody's interests to operate a team in a market where it is doomed to lose money forever.

That means there are three choices: 1) find someone (or a group of investors) in New Orleans who have so much money that they don't care about losing millions annually on a basketball team; 2) find international investors who, a la Mikhail Prokhorov, are willing to pay a premium for a piece of the American basketball business; or 3) find someone capable of moving the team somewhere else.

Option 2 would be fine, except remember: Prokhorov's purchase of the Nets was contingent on the move to Brooklyn being finalized. The Russian billionaire wanted no part of owning a team in East Rutherford or Newark. Though Stern said the protracted talks between Shinn and Chouest meant the Hornets were never thoroughly shopped to other potential owners in New Orleans, it tests the limits of credulity that another suitable New Orleans buyer is out there somewhere.

This point is proved by Stern's own statement Monday that it was "possible, if not likely" that the Hornets would've been sold to an owner who would've relocated them if not for the NBA stepping in. The test of the league's staying power in New Orleans begins in about a week, when the Board of Governors is expected to approve the NBA's bailout by an overwhelming margin.

"We're not in any hurry," Stern said.

Despite reports to the contrary, Stern said Chouest never raised the specter of a lockout among the reasons he decided not to go forward with purchasing Shinn's remaining 65 percent of the team. At this point, it hardly matters. The Hornets are the NBA's problem now, and Stern said it's likely that a sale won't be completed until a new CBA and revenue-sharing model are implemented.

In the meantime, everyone involved has good intentions and it's commendable to give this franchise the liquidity it needs to operate in New Orleans at least for the rest of this season. If a long-term solution can be achieved that keeps the team in Louisiana, that would be ideal. Then again, it would've been ideal to keep the SuperSonics in Seattle, too.

For a lesson in how money trumps idealism, look no farther than the Sonics' move from Seattle to Oklahoma City. According to NBA turnstile data, the Sonics brought in $457,863 in gate receipts per game in their last season in Seattle. In 2008-09, the Thunder's first year in Oklahoma City, that figure ballooned to $1,122,109. Since then, with support from the Oklahoma City business community and the inventive front-office maneuverings of GM Sam Presti, the Thunder have established themselves as a model organization -- thriving both on and off the court in a small market.

Here's hoping that two years from now, the same can be said for the Hornets. But it's difficult to see how the NBA gets from here to there in New Orleans.
 
 
 
 
The views expressed in this blog are solely those of the author and do not reflect the views of CBS Sports or CBSSports.com