montestewart wrote:payitforward wrote:I thought about starting a thread on this subject, but didn't get to it.
I wonder what kind of bookkeeping is behind these losses, or if they are real -- which I find hard to believe.
A "loss after sharing" is the worst situation to be in, obviously. I find it hard to imagine this would stand up to scrutiny. But... I could be completely wrong.
Not wasting a lot of time on it but I don't much buy it either. Revenue buried within a Leonsis corporate web of intrigue, perhaps? Or maybe he really is just a lousy business man with much more luck than skill/vision.
The Spurs lose money while the Knicks make money. That should be Exhibit A in league parity discussions (although maybe the Spurs are just good at hiding the profits).
We've discussed at various times how Ted/Monumental have an incentive to show losses as a way of extracting public subsidies, now and in the future. Ideally, he'll want a deal like the Lerners got for a new arena that replaces Capital One.
The whole league has an incentive to show losses so they can claim poverty in the next CBA negotiations.
I think there's good reason to believe that the Wizards are manipulating ticket sales and pricing to lose money on the live gate.
It is funny that the Wizards are in the 7th biggest media market, the value of franchises is exploding, and they are reporting losses.