Baseball for the Thinking Fan

Login | Register | Feedback

btf_logo
You are here > Home > Baseball Newsstand > Baseball Primer Newsblog > Discussion
Baseball Primer Newsblog
— The Best News Links from the Baseball Newsstand

Wednesday, November 28, 2012

Glass willing to spend more than $70 million on Royals’ payroll

Glass also disputed the notion, generally based on industry estimates by Forbes magazine, that he has pocketed more than $100 million in operating profit since purchasing the club in 2000 from the estate of Ewing Kauffman.

“From the time we’ve owned the team until now,” Glass said, “accumulatively we’ve done no better than break even. We’ve actually subsidized it slightly during that period of time.

“Look, you might have a $65-to-$70 million payroll, but then you go out and spend $25-$30 million in amateur bonuses. Everyone says, ‘Well, your payroll is less than some of the other teams,’ but those other teams were spending less than $10 million in amateur bonuses.

Ummm, no.

RoyalsRetro (AG#1F) Posted: November 28, 2012 at 05:01 PM | 18 comment(s) Login to Bookmark
  Tags: amateur draft, david glass, royals

Reader Comments and Retorts

Go to end of page

Statements posted here are those of our readers and do not represent the BaseballThinkFactory. Names are provided by the poster and are not verified. We ask that posters follow our submission policy. Please report any inappropriate comments.

   1. Magnum RA Posted: November 28, 2012 at 05:18 PM (#4311821)
Whoa, calm down Rockefeller.
   2. The Yankee Clapper Posted: November 28, 2012 at 05:45 PM (#4311840)
“From the time we’ve owned the team until now,” Glass said, “accumulatively we’ve done no better than break even. We’ve actually subsidized it slightly during that period of time.

That might be technically true, but I suspect that it counts Glass' huge salary (and that of many family members, too) as an expense rather than a profit distribution.
   3. Walt Davis Posted: November 28, 2012 at 06:07 PM (#4311857)
spend $25-$30 million in amateur bonuses.

How? On who? Once or twice, maybe, but not every year.
   4. aberg Posted: November 28, 2012 at 06:53 PM (#4311896)
How? On who? Once or twice, maybe, but not every year.


Also far less likely than in previous years. I think the Twins spent the most on the draft this year at around $11m (could be off by some there). With restrictions on international bonuses now, it's hard to imagine any team spending more than $15m in bonuses in one year and staying within the rules. He is either unaware of the rule changes or being very misleading.
   5. Bob Tufts Posted: November 28, 2012 at 07:12 PM (#4311915)
Yeah, Glass is having real financial difficulties. Per Cot's:

David Glass purchased the Royals for $96M in 2000. Forbes magazine valued the club at $354M in March, 2012.


Cash poor and asset rich? Not necessarily. Forbes also claims the team has had positive operating income for the last nine seasons.


   6. no STIGGLES...no STIGGLES......you're the STIGGLES Posted: November 28, 2012 at 08:47 PM (#4311982)
That might be technically true, but I suspect that it counts Glass' huge salary (and that of many family members, too) as an expense rather than a profit distribution.
you should also factor in the fact that, because they own their own regional sports network, they can funnel revenues from their team to their wallets through their RSN.


also, iirc, aren't teams guaranteed something like 100 million in centralized revenue due to national TV contracts, MLBAM, and revenue sharing? and that's before they even play a game.
   7. HowardMegdal Posted: November 28, 2012 at 08:49 PM (#4311983)
So, about the bonuses. Royals spent $24 million, COMBINED, 2008-10. And now they're severely restricted by the new CBA. So... not so much.
   8. spycake Posted: November 28, 2012 at 09:25 PM (#4312001)
BREAKING NEWS: Royals sign amateur free agent "Davíd Vidrio". Estimated bonus: $25-$30 million.
   9. Squash Posted: November 28, 2012 at 09:35 PM (#4312004)
I sometimes wonder if they really do think we're just all a bunch of idiots, or if they're so surrounded by the echo chamber that they really do believe what they say. A combination of both, I suspect.
   10. Bhaakon Posted: November 28, 2012 at 10:12 PM (#4312033)
Glass willing to spend more than $70 million on Royals’ payroll


Translation: Glass to start drawing a salary.
   11. SM Posted: November 28, 2012 at 11:42 PM (#4312081)
In Glass' defence, he's not saying they did that. He's saying they "might" have done that.
   12. charityslave is thinking about baseball Posted: November 29, 2012 at 12:18 AM (#4312098)
It's amazing how none of these teams manage to make a profit.
   13. Bhaakon Posted: November 29, 2012 at 12:24 AM (#4312100)

It's amazing how none of these teams manage to make a profit.


Baseball owners aren't in it for profit; they're in it for the swag.
   14. charityslave is thinking about baseball Posted: November 29, 2012 at 12:45 AM (#4312105)
Baseball owners aren't in it for profit; they're in it for the swag.


It's not the money. It's the stuuufff.
   15. Bhaakon Posted: November 29, 2012 at 07:34 AM (#4312151)
It's not the money. It's the stuuufff.


Owners get to wear a fresh, new, flat brimmed, hologram-stickered hat every day of the year, and in any colors they want, regardless of the team logo. It's the new American dream.
   16. RoyalsRetro (AG#1F) Posted: November 29, 2012 at 08:58 AM (#4312182)
Your money's not here you see...its at Bubba's house, and Moose's house, and Hosmer's house....
   17. HowardMegdal Posted: November 29, 2012 at 09:03 AM (#4312186)
"In Glass' defence, he's not saying they did that. He's saying they "might" have done that."

That ain't much of a defense. They didn't do that. That rules out "might". He's the owner. He knows that.
   18. geonose Posted: November 29, 2012 at 01:53 PM (#4312568)
you should also factor in the fact that, because they own their own regional sports network, they can funnel revenues from their team to their wallets through their RSN.

The Royals got rid of their regional sports network several years ago.

You must be Registered and Logged In to post comments.

 

 

<< Back to main

News

All News | Prime News

Old-School Newsstand


BBTF Partner

Support BBTF

donate

Thanks to
Phil Birnbaum
for his generous support.

Bookmarks

You must be logged in to view your Bookmarks.

Hot Topics

NewsblogIndians receiving perfect set of circumstances to make a run at Edwin Encarnacion - Indians - Ohio
(8 - 10:01pm, Dec 09)
Last: Walt Davis

NewsblogOTP: 5 December 2016: Baseball's New Collective Bargaining Agreement
(1586 - 9:58pm, Dec 09)
Last: David Nieporent (now, with children)

NewsblogWEEI: SOURCES: FORMER RED SOX MANAGER BOBBY VALENTINE BEING CONSIDERED FOR UNITED STATES AMBASSADOR TO JAPAN
(37 - 9:53pm, Dec 09)
Last: You Know Nothing JT Snow (YR)

NewsblogOT: NBA 2016-17 Preseason Thread
(1303 - 9:06pm, Dec 09)
Last: maccoach57

NewsblogRyan Thibs has his 2017 HOF Tracker Up and Running
(108 - 9:05pm, Dec 09)
Last: AROM

Hall of MeritMost Meritorious Player: 1999 Discussion
(7 - 8:58pm, Dec 09)
Last: OCF

NewsblogAstros discuss deal for Jose Quintana, but White Sox want a haul - Houston Chronicle
(18 - 8:47pm, Dec 09)
Last: Brian White

NewsblogWhy the Adam Eaton trade wasn’t a panic move for the Washington Nationals - The Washington Post
(8 - 8:39pm, Dec 09)
Last: the Hugh Jorgan returns

NewsblogPablo Sandoval got 'complacent' with big Red Sox deal
(52 - 8:14pm, Dec 09)
Last: Eddie Hart

NewsblogYankees reportedly to sign Aroldis Chapman | MLB.com
(47 - 7:52pm, Dec 09)
Last: snapper (history's 42nd greatest monster)

NewsblogSandy Alderson OK with Mets leaving winter meetings empty-handed - NY Daily News
(4 - 7:50pm, Dec 09)
Last: Bote Man

NewsblogCardinals near deal with OF Dexter Fowler | MLB.com
(42 - 7:03pm, Dec 09)
Last: cardsfanboy

NewsblogNationals acquire outfielder Adam Eaton | MLB.com
(75 - 7:00pm, Dec 09)
Last: Randomly Fluctuating Defensive Metric

NewsblogBlue Jays trying to balance objective evaluation, subjective exuberance - Sportsnet.ca
(10 - 5:53pm, Dec 09)
Last: Walt Davis

NewsblogThe Aroldis Chapman fallout will be even more interesting than the deal itself | FOX Sports
(7 - 5:26pm, Dec 09)
Last: Dock Ellis on Acid

Page rendered in 0.1982 seconds
47 querie(s) executed