Andrew wrote:nixluva wrote:I read that MSG had made something 450 mil the previous year.
Careful how you state this. MSG (the company) had revenue of about 435 million. The profit was actually 32 million.
I understand, but isn't it in their interests to find a way to understate the actual profit? This is where all the accounting tricks can come in. Besides, i'm sure with a team valued as highly as the Knicks that they have tremendous borrowing power too. Tons of cash flow is possible even if you list a loss. When it comes to big business I know they have tons of advantages in terms of how they represent their finances. Players don't have the same tricks. What they get paid is it and they have to safeguard that money cuz their career may not last. These owners have other income and I just don't believe them. There are always eager buyers out there for NBA teams and if the investment was as bad as the owners are trying to make it seem that wouldn't be the case.
Seems to me there some kind of mismanagement going on if this league had such a good year in terms of attendance and viewership. If owners had their accountants do the math during the last CBA negotiations why would they agree to such a split of the money if it wasn't possible for them to earn a profit? Something just doesn't make sense. Would you agree to a deal that assured that you couldn't make a profit or even break even? Remember now that these are BUSINESS MEN!!! This is their specialty not the players. Every time they negotiate the players are on the owners turf.
8/12/2011 4:53 PM