Dodgers Takeover Links: Saturday
MLB took control of the Dodgers' financial operations on Wednesday, and a trustee should be appointed any day now. Yesterday we learned that the baseball operations department "will continue to work under the same guidelines and budget," and that MLB assumed control of the team in part because other owners "fear the devaluation of their own franchises." Here are today's links, with the latest at the top…
- Recently appointed Dodgers VP Steve Soboroff is used to fighting uphill battles, writes Robin Abcarian of the Los Angeles Times.
- GM Ned Colletti said he doesn't have any new information about the league's seizure of the club, tweets Dylan Hernandez of the Los Angeles Times.
- Troy Renck of The Denver Post reports that going forward, the Dodgers will have to get league approval to make roster moves, add payroll, etc. The team isn't paralyzed, but the commissioner's office will be "calling the shots" once Bud Selig puts someone in charge. It will follow the same blueprint as the Rangers last year (three Twitter links).
- Dodgers owner Frank McCourt will still lose the team if he files for bankruptcy according to ESPN The Magazine's Molly Knight (Twitter link). It would, however, "gum up" Selig's immediate takeover plans since McCourt will argue that any moves approved by an MLB official could negatively impact the value of the franchise before a sale.
- Former Dodgers first baseman Steve Garvey has teamed with billionaire business magnate Ron Burkle in an investment group that would like to buy the team, reports Bill Shaikin of The Los Angeles Times. Burkle owns a share of the NHL's Pittsburgh Penguins, and he's also pursued ownership of the Pittsburgh Pirates and Washington Nationals in recent years.
- Steve Dilbeck of The Los Angeles Times adds that Garvey's interest in buying the team is curious because he has a sketchy financial past and also because he is currently employed by McCourt as a member of his marketing and communications department. Plus the team isn't for sale, at least not yet.
- In his Insider-only blog post, ESPN's Buster Olney says that many people in the game expect Dennis Gilbert to wind up as part of the group that eventually owns the Dodgers. Gilbert, a former agent, made a play for the Rangers last year.
- When asked about his supervisor until MLB announces its representative to lead the team, GM Ned Colletti told the AP (via Philly.com) that he "still [reports] to Frank."
Dodgers Takeover Links: Friday
MLB took over the Dodgers' financial operations on Wednesday, and a trustee should be appointed any day now. Yesterday owners of other teams such as Mark Attanasio, Lew Wolff, and Tom Werner denied interest in buying the Dodgers, though ESPN's Buster Olney passes along the opinion of a longtime executive who feels an interested team owner would keep such intentions secret until the last possible moment. Today's links, with the latest to be added at the top:
- "Business as usual" is the operative phrase being thrown around Dodger Stadium, writes SI.com's Tom Verducci. He looks at how the takeover could impact the team's on-field product with regards to the draft, midseason trades, contract extensions, and more.
- In a free article at Baseball Prospectus, Steve Goldman examines the first time MLB took over the Dodgers, back in 1929.
- Lots of good reading on this topic from ESPN's Jayson Stark today. He found one sports attorney who thinks McCourt at least has a shot in a lawsuit against MLB, since MLB does not appear to treat its troubled franchises the same. Also, Stark feels the pressure will be on for the Dodgers' next owner to crank payroll up to the $150MM range.
- The team's baseball operations department "will continue to work under the same guidelines and budget," Dylan Hernandez of the L.A. Times learned from GM Ned Colletti (Twitter link).
- Commissioner Bud Selig seized control of the Dodgers partly because the other owners "fear the devaluation of their own franchises" from Frank McCourt's actions, reports Yahoo's Tim Brown. In particular, the other owners do not want to see McCourt undersell the Dodgers' valuable TV rights. Brown's sources believe Selig felt secure in his legal standing before making the decision to take over the Dodgers.
- Fox loaned McCourt $30MM to make April payroll partially because Time Warner was "ready and willing to assist him with his financial problems," reports Diane Pucin of the L.A. Times. Fox, of course, has a tentative agreement worth $3 billion over 20 years for the team's TV rights, which has not been approved by Selig.
Dodgers Takeover Links: Thursday
Yesterday MLB made a move to wrest ownership of the Dodgers from Frank McCourt, taking over financial operations for the club. Ramona Shelburne of ESPN Los Angeles wrote, "Never in the modern history of professional sports has there been such a hostile takeover." The decision was an accumulation of all of McCourt's missteps, writes Yahoo's Tim Brown. The takeover is a hot topic today, so we'll be adding the latest links in the top bullets.
- Bud Selig said the Dodgers' ownership problems are "not similar" to the Mets' financial situation, reports John Cherwa of the Los Angeles Times. Selig made a slight comparison between Major League Baseball's takeover of the Dodgers and when the league stepped in to handle the Rangers' sale last year.
- History isn't on McCourt's side, as the courts have traditionally upheld the commissioner's jurisdiction over the sport, reports Victoria Kim, Chris Goffard and Dan Weikel for the L.A. Times.
- Brewers owner Mark Attanasio "dismissed…completely" any interest in buying the Dodgers, tweets Tom Haudricourt of the Milwaukee Journal Sentinel.
- Athletics owner Lew Wolff is also not interested in the Dodgers, reports Shaikin.
- A rival executive doubts McCourt will sue, talking to ESPN's Buster Olney. The owner seems to have little chance at winning and is already short on cash.
- This link is from yesterday, but Jonah Keri's article for FanGraphs on what it was like when MLB owned the Expos is a good read. Meanwhile, Keri's colleague Dave Cameron notes that the Dodgers were already notorious for making payroll-neutral deals, so GM Ned Colletti can probably keep doing that this summer.
- Bill Shaikin of the L.A. Times says Brewers owner Mark Attanasio and White Sox executive Dennis Gilbert are "the two parties most often mentioned as interested buyers," assuming MLB tries to force a sale. Tom Werner, part of Boston's ownership group, is not interested, learned Nick Cafardo of the Boston Globe. Shaikin notes that Selig "has anticipated the possibility of a legal challenge by McCourt, which could delay any ownership change."
- MLB "will now have approval rights over every significant expenditure by the team, including a trade or contract extension," write David Wharton and Bill Shaikin of the L.A. Times. Former Braves and Nationals executive Stan Kasten is a candidate to be Selig's point man in charge of the Dodgers, according to ESPN Los Angeles. John McHale Jr. and Corey Busch are other possibilities.
- Dodgers outfielders Matt Kemp and Andre Ethier reiterated to Dylan Hernandez that they want to remain with the team. Both players are looking at eight-figure arbitration rewards for 2012, after which they can become free agents.
Poll: The Dodgers Under MLB
Earlier today we learned that Major League Baseball has taken over financial operations of the Dodgers’ and will oversee all day-to-day operations. Owner Frank McCourt intends to fight for control of the team, but that may be an unwinnable war. While this is certainly a drastic step on MLB’s part, it’s hardly unprecedented.
MLB oversaw the Rangers’ finances last season, at least before the Chuck Greenburg-Nolan Ryan ownership group took over. Although the team wasn’t exactly given a blank check, they did have the financial flexibility to go out and add players like Jorge Cantu, Cristian Guzman, and Cliff Lee at the trade deadline. The Expos were under MLB’s control a few years before that, but they were under tighter payroll restrictions.
Whether or not the Dodgers have the relative freedom of the 2010 Rangers or the limitations of the 2002-2005 Expos remains to be seen. McCourt’s team has scored the second fewest runs in baseball, so they could clearly stand to add a bat or two at midseason. The question is, will they be able to?
Will MLB give the Dodgers the financial flexibility to make moves in-season?
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No 53% (2,734)
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Yes 47% (2,460)
Total votes: 5,194
MLB To Take Over Dodgers’ Financial Operations
9:16pm: SI.com's Jon Heyman hears that McCourt "intends to fight" MLB for control of the team (on Twitter). It's an uphill battle not just legally, but in the court of public opinion. Legal costs could be another issue for the Dodgers' owner.
3:59pm: Commissioner Bud Selig has announced that MLB will take over the Dodgers' financial operations from Frank McCourt, reports Bill Shaikin of the L.A. Times. Shaikin's colleague Dylan Hernandez adds that Selig "will appoint a representative to oversee all aspects of the business and the day-to-day operations of the Dodgers." Shaikin has the official statement from Selig here. ESPN's Buster Olney calls Selig's takeover "a two-handed shove out the door," and awaits McCourt's legal response.
SI's Jon Heyman wrote earlier today that MLB is "disinclined to grant McCourt's request" for approval of a TV deal with Fox that might have allowed him to retain control of the Dodgers.
Should They Have Been Non-Tendered?
On November 2nd of last year I listed 85 non-tender candidates, most of whom were indeed cut loose. Almost five months have passed since the December non-tender deadline, and I'd like to revisit five of those decisions.
- Kevin Kouzmanoff, tendered a contract by the Athletics. The A's certainly shopped around for third base alternatives after tendering a contract to Kouzmanoff, which ended up being for $4.75MM. So far the third baseman has again been part of the problem, though he's not alone as the team ranks 11th in the AL with 3.63 runs scored per game. There weren't many alternatives for the A's this offseason, but they probably should have saved Kouzmanoff's money for a trade deadline addition. They'll still be able to pursue someone, though.
- James Loney, tendered a contract by the Dodgers. Loney is already on notice with the Dodgers given the arrival of Jerry Sands. Loney settled for a predictable $4.875MM salary for 2011. Sands doesn't actually project to do any better than Loney, but the two are close enough that the Dodgers probably should have traded Loney and used the money elsewhere.
- Russell Martin, non-tendered by the Dodgers. According to Yahoo's Steve Henson, Martin wanted a guaranteed $5.5MM rather than the Dodgers' offer of $4.2MM. GM Ned Colletti made the difficult decision to non-tender Martin, but kept the offer on the table while suggesting a possible super-utility role. Martin ended up taking less guaranteed money to start at catcher for the Yankees, and he's off to a great start. The Dodgers could have forced Martin's hand by tendering a contract and arguing for a pay cut through arbitration. That would have been a risky choice, and Martin's health was a concern at the time, so I can't fault the Dodgers for non-tendering him.
- Bobby Jenks, non-tendered by the White Sox. Non-tendering Jenks was the right move given his $7.5MM salary, and the pitcher understood that decision according to MLB.com's Scott Merkin. However, Jenks and the Sox were not on the same page about the team's desire to retain him and confidence in his abilities, so he signed with Boston. The White Sox lead baseball with six blown saves, but it was still best for them to part ways with Jenks.
- Brandon McCarthy, outrighted by the Rangers in November. If they had retained McCarthy, the Rangers probably would have had to pay him something similar to last year's $1.3MM salary rather than the $1MM he received from the A's. McCarthy has looked good so far, though it's only been three starts. The Rangers are second in the AL in starter ERA without McCarthy. Still, given the strong offseason interest in him I think it would have been best to tender a contract and shop him around.
Dodgers Designate Xavier Paul For Assignment
The Dodgers announced (on Twitter) that they designated Xavier Paul for assignment to create roster space for Jerry Sands.
Paul, 26, appeared in seven games as a corner outfielder and pinch hitter his year, picking up three hits in his 11 trips to the plate. Last year, the 2003 fourth round selection hit .231/.277/.314 in 133 plate appearances and played left and right field.
Sands, 23, has five home runs and a .400/.422/.875 line in the early going at Triple-A. Albuquerque is a good place to hit, but Sands' power should translate to other parks. He hit 35 homers in Double-A and Class A last year, posting a .981 OPS in 590 total plate appearances. He placed sixth on Baseball America's preseason list of top Dodgers prospects because of his "plus power to all fields." He profiles as a solid everyday left fielder or first baseman, according to BA.
Dodgers Could Soon Reach Financial “Tipping Point”
7:41pm: Bill Shaikin of The Los Angeles Times reports that McCourt took a $30MM loan from FOX this week, which will cover the Dodgers' expenses and payroll obligations into next month. Shaikin clarifies (on Twitter) that MLB's approval is not needed for personal loans, which this was.
1:07pm: Although the Dodgers increased payroll from $83MM last season to over $95MM this year, the team still has serious financial concerns as the McCourts continue with their divorce. ESPN's Buster Olney (Insider req'd) hears from a high-ranking executive that the team could soon reach its financial "tipping point," since payroll obligations must be met during the second and fourth weeks of the season.
As if the divorce wasn't enough, owner Frank McCourt was recently sued by the Boston law firm Bingham McCutchen. McCourt had sent representatives to meet with the commissioner's office about a proposed plan that includes a TV deal with FOX (that would advance him $200MM) and would allow him to preserve control of the team, but they're still waiting on a decision. Fellow owners aren't pleased with the situation, reportedly.
This past week was the second full week of the 2011 baseball season.
Olney On The Bullpen Market
Teams like the Yankees and White Sox are already encountering bullpen problems and it won’t be long before other clubs are looking for relief help as well. The Yankees aren’t optimistic about the current relief market, while Chicago’s search for an effective closer has manager Ozzie Guillen dreaming of Bobby Thigpen. As one GM points out to ESPN.com’s Buster Olney, lots of teams will be looking for bullpen help this summer and lots of effective pitchers should eventually become available.
Unless Heath Bell takes a massive discount to stay in San Diego, Olney suggests the Padres will deal him. The White Sox should be considered the early favorites to land Bell, Olney says.
Jonathan Broxton, Francisco Rodriguez and the Blue Jays and Rays relievers could also become available this summer. Jose Valverde will probably stay in Detroit unless the Tigers fall far out of the race, but Michael Wuertz (now on the disabled list) could be on the block even if Oakland contends.
Quick Hits: Zito, Rangers, Morgan, Angels
Links for Thursday night..
- The Giants likely can't get much for Barry Zito and therefore a deal involving him is unlikely, writes MLB.com's Chris Haft.
- Ryan Theriot enjoyed his brief stint with the Dodgers last season, writes Quinn Roberts for MLB.com. After playing 54 games for the club last season, he was shipped to the Cardinals for reliever Blake Hawksworth.
- Despite all of the uncertainty about their rotation heading into this season, it seems like the Rangers pitching is just fine, writes Danny Knobler of CBSSports.com.
- After bouncing around from the Pirates to the Nationals to the Brewers, Nyjer Morgan seems to be carving out a niche for himself in Milwaukee, writes George Von Benko for MLB.com. The Brewers acquired Morgan in exchange for Cutter Dykstra in late March.
- Major League Baseball announced the selection order for the draft (June 6-8) and the Padres own five of the first 58 overall selections, writes Corey Brock of MLB.com. In addition to their own first-rounder, the club has the ninth pick for failing to sign their 2010 first-round pick, pitcher Karsten Whitson. They also have three compensatory picks for Jon Garland (Dodgers), Yorvit Torrealba (Rangers) and Kevin Correia (Pirates).
- The Angels are grateful to have picked up left-handed relievers Hisanori Takahashi and Scott Downs this offseason, writes Mike DiGiovanna of the Los Angeles Times.