Attanasio: Melvin still looking

[bjkrautk]

Mark Belling just mentioned this on his show, and I don't see it on the J-S Brewers' blog. (It's in the J-S NewsWatch)

 

Mark Attanasio shared his views as both owner and fan this afternoon, after a speech to the Rotary Club of Milwaukee.

 

"It's not like Doug (general manager Doug Melvin) is packing up the tent and is just going to watch baseball for the rest of the summer," Attanasio said. "He's looking at other things we can do.

 

"You can always use extra pitching; I'm sure he's looking at the bullpen. You could use another left-handed bat. One of the challenges: You got 25 roster spots and then you'd have to move somebody out. Right now, those 25 spots are filled with pretty good guys."

 

The move for Sabathia will add $5 million to the Brewers' payroll for the 2008 season, bringing it to roughly $90 million and likely resulting in a loss on the business ledger.

Interesting reading. For the record, I'm guessing that's an 'accounting' loss for the season (after things like debt service).

[rluzinski]

I think it's a bunch of bologna that that the Brewers will lose money this year. It's an easy thing for Mark A. to claim when he doesn't have to prove it.

[And That]

I think it's a bunch of bologna that that the Brewers will lose money this year.

The proof of that might be in the, uh, bologna, if the Brewers go out and take on even more salary this year, say Maddux and the $5 mil he's owed over the rest of the season. I have no doubt they're making less money than they did last year at this point in time however.

[kramnoj]

I think it's a bunch of bologna that that the Brewers will lose money this year. It's an easy thing for Mark A. to claim when he doesn't have to prove it.

 

Mark seems like a guy who enjoys owning a team, rooting or the team and promoting the product. I'd be fairly surprised that he could have spent $90 million while turning a profit last year and chose not to.

[dadofandrew]

$90M is a lot of cash. Mark has admitted making money every year since he's bought the team, so I have little reason to doubt him.

[mkm13]

Mark does not need the money. All he should want it to do is cash flow. This investment is better than most as it is fun as well. The appreciation on owning the brewers makes it more than worth it financially.

[PeaveyFury]

It's an easy thing for Mark A. to claim when he doesn't have to prove it.

 

Doesn't Forbes release each team's profitability each year?

[davego]

maybe Gabe Gross is available. Seriously LH bat that could help in the OF would be very nice.

[mothershipconnection]

The big thing is the long term value of the team. If you have a winner with a packed stadium, your team is worth a heck of a lot more than a crap team you could buy from a used car salesman that had a nice stadium and good farm system as its only redeeming qualities.

[LouisEly]

I find it hard to believe that if CC helped get the Brewers to the playoffs that the additional home game revenue would more than pay for the $5M that he is taking on. By my estimates, the tickets alone for one home playoff game (ticket prices for playoff games would probably be double what they are regular season) would amount to at least $1.5M (say a $40 average ticket price x 40,000 tickets = $1.6M). Then add in parking, concessions, souveniers... revenue would have to be at least $2M per home playoff game. Plus whatever share of TV revenue they would get. I hardly think that they will lose money on the deal if they make the playoffs.

[ELCABALLO45]

a lefty bat who can play outfield?

 

Barry Lamar Bonds

[kramnoj]

LouisEly, the Brewers don't get to keep all ticket revenue in the postseason. If you would like the details the following article does a good job of looking at who gets the playoff revenue: http://www.boston.com/sports/baseball/redsox/articles/2007/10/04/playoffs_not_ticket_to_riches/ The Tigers and Cards from 2006 got less than $7 million each in revenue for going to the WS.

[dadofandrew]

The playoffs are when MLB makes their money, they do get a lot of the cash.

[T B0NE 10]

dumb question: but IF we make the playoffs do Brian and Bill and FSN Wisconsin still cover the games or do we have FOX doing the games

[crewcrazy]

I believe all LDS games are broadcast by TBS. LCS games will either be covered by TBS or FOX, depending on the year. I believe this year FOX has the NL and TBS has the AL.

[ktown21]

A little off topice, but still regarding Attanasio. I sat in Sec. 115 today row 21. Had the pleasure to see him today at the game; he couldn't go up a row without being thanked/complemented for CC and how the Crew is doing. I was one of the fans who clapped for him as he walked up and on his way over he padded me on the shoulder and said thanks. Just thought I'd share this little bit with you guys. Classy owner who took his time walking up the aisle to sign autographs and shake hands. He's on Cloud 9 too.

[pitchleague]

dumb question: but IF we make the playoffs do Brian and Bill and FSN Wisconsin still cover the games or do we have FOX doing the games

I know they used to do this back in the 80s and prior (before Cable for the most part), but not in today's age.

However, Bob and Jim would still be on the radio, as XM broadcasts the national feed and both the home and road radio feeds during every post-season game.

 

[Tailgat0r76]

a lefty bat who can play outfield?

 

Barry Lamar Bonds

And he'll play for free!

 

[Ennder]

I wouldn't trade my jock strap for Greg Maddux at this point, he is useless outside of that park.

[danzig6767]

I think it's a bunch of bologna that that the Brewers will lose money this year. It's an easy thing for Mark A. to claim when he doesn't have to prove it.

I also strongly question that the Brewers would lose money this year, even if we miss the playoffs. While i obviously don't have access to their financial books, i'd bet that any technical loss reported, it would include paying another sizable chunk on the debt. Money is rolling into the franchise in large amounts and has been the last few years. So Attanasio can yearly take millions out and pay down debt from the operating profits and thus claim less "profit" each year. Then eventually Attanasio will have either paid off all or most of his debt, it's not really the teams debt because he is the team, and at whatever point he sells the team, Mark pockets way more cash given there is little or no debt left.

BTW, i don't care he's been making lots of cash off the team, i'm very glad he's the owner and he has every right to make money. I do think though he likes to downplay the amount of money he has made since buying the team.

 

[naivin]

I think it's a bunch of bologna that that the Brewers will lose money this year. It's an easy thing for Mark A. to claim when he doesn't have to prove it.

 

If the Sabathia trade proved anything, its that the Seligs are gone. I have no reason not to take him on his workd on this - whether he is talking straight total revenues minus total expenses or something else, whatever the actual meaning of that may be, I assume there is some truth to it.

[kramnoj]

I also strongly question that the Brewers would lose money this year, even if we miss the playoffs.

 

Do you have a real basis to question him? This is the guy that gave Brewers fans a free game. I'm not aware of any other owner that has done that. I think a lot of people would be surprised at how much teams spend in non-player expenses.

[igor67]

What is likely is that based on an initial budget projection the Brewers are going well over what they could "safely" spend. I doubt they built their budget on assuming nearly 3 million in attendance. My guess would be that they probably projected a pretty comparable attendance figure to last year, assuming that an upside risk would give them some other options. They certainly couldn't budget revenue from a possible playoff birth. Even using that 7 million figure if the Brewers only play one playoff series that's still an extra 2 million in revenue, plus at least a comparable amount from increased regular season attendance.

All of that though is a footnote to the real benefits. The data has consistently shown that a first time playoff birth has only a modest affect on that season, but gives a huge boost to the next years attendance figures (exempting the Marlins who twice completely trashed that fan interest with firesales). Now given how much the Brewers numbers have gone up already they might not see as big a spike as other teams have, but they do have a marketing opportunity with Brett's retirement to capture a bigger share of the state's attention, which can certainly increase merchandising. I think the real deep, hidden benefit though is building that interest for 2012 when the Brewers can finally renegotiate the worst TV deal in MLB.

[Patrick425]

but they do have a marketing opportunity with Brett's retirement to capture a bigger share of the state's attention

Brett's retirement..yeah right. I suppose you're going to tell me that Elvis is dead too..right?

[moofnelson]

I think it's a bunch of bologna that that the Brewers will lose money this year. It's an easy thing for Mark A. to claim when he doesn't have to prove it.

 

He's just laying down groundwork for ticket/food increases for next year.