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By Steve Adams | at
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ilikebaseball 2
Steve Phillips working for the Nats now? These deferrals are just silly, offer what you can pay. But don’t come up with absurd contracts and blame MASN law suit. You don’t see the Cubs and a host of other teams openly complaining and coming up with contracts no one wants to sign, just because their current tv deal is unfavorable. No Class Nats.
Steve Adams
There isn’t a team in baseball in a similar situation to the Nats either. They’re the only club whose tv rights are controlled by a rival team, and they also had the money they we’re budgeting for taken away from them when an arbitration panel overturned a previous ruling. Unexpectedly losing tens of millions of dollars in yearly revenue would be a detriment to any team. To suggest that the Nats are just some team with a poor TV contract is wildly oversimplifying their situation.
bravesfan88
If you want to see a really bad tv deal, look no further than the Braves!!
Now they are stuck in a HORRIBLE monstrosity of a tv deal!!
As far as the deferrals, and the Nats contract offers, only the Natonals TRULY know the reasoning behind their offers. It could have been due to the dispute, or maybe they just wanted to spread put their payroll over the years…Either way, only their Front Office truly knows..
Also, the Nats have to put blame and throw it out there that they tried to seriously pursue some of the top available FA’s, because several of their fans are speculating they didn’t try hard enough and are unhappy with the teams offseason and their lack of luring in top talent.
Moreso, by the TV dispute gaining more attention, the Nationals only gain from that, so I’m sure they are having no qualms throwing that out there, but, I have to say, it truly is a smart and well calculated move by their Front Office and management to continue to keep their dispute in the headlines and to make it widely known what is going on.
natforlife
Atlanta takes in over 50 million a year on their deal. 8th largest TV market. Washington is the 9th largest and receives less than half of what Atlanta gets, without what seems to be a network willing to negotiate a new deal that was supposed to have been done in 2011.
Jeff Todd
Deferrals aren’t silly at all, they are a kind of financial mechanism utilized by all businesses and almost all individuals. (Ever take out student loans to pay for your tuition?) Ideally, you’d be using such a mechanism because it makes financial sense, not because your cash flow is being hindered due to a contract dispute.
As for the notion of “complaining,” I’d say they are 1) fighting an ongoing battle with the Orioles, which is more or less what was contemplated when the agreement was struck (b/c the rights fees were to be renegotiated, and somewhat inevitably ended up being disputed); and 2) pushing back somewhat against the uninformed media narrative that has developed recently.
I’m not going to argue that everything you hear from the Nationals’ perspective is correct, or something, but I just don’t understand why people are unwilling to acknowledge some of the realities here.
chop
There’s a reason they are called Nats. Those contract offers are annoying!
jimmyz
Does anyone know of any specific instances where long term deferrals have had an overwhelming positive impact for an organization and not the player? Handcuffing finances down the line hardly seems constructive when any high quality team can win a World Series by getting hot late. Seems counterintuitive to add to tomorrow’s problems today.
jjdunckley
I guess all deferrals are good in the sense that teams want to win now and it helps with the current situation. As none of can see the future it is hard to say exactly how bad those types of situations will end up. But I will add that I still laugh at the fact that All these years later, the Mets are still paying Bobby Bonilla and he makes more than a lot of their young players each season
Astros2333
I don’t know about you guys but I’m okay with being paid millions of dollars while I’m at home, being retired.
jd396
Okay, Bobby Bonilla
mfm420
what a lot of people don’t realize, there’s another big reason for the nats deferring money: taxes.
washington d.c. has a 9.9 percent income tax on income over $1 million dollars. for taxing purposes, players get taxed based on where they play (off days are counted as team’s home, i.e. d.c. in this case)
meanwhile, on the deferred cash, players only get taxed on federal only, as opposed to federal, local, and state
so unlike kershaws 30 mill a year deal, max will come out ahead in the long run (i’m pretty sure cali has roughly same state income rate as d.c., but kershaw, to my knowledge, has no deferred money
Out of place Met fan
From a business perspective; deferred compensation is akin to an interest free loan. Player is providing the service in the present, at today’s rates, but not paid until a future designated time.