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 06:01 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 06:18 PM (#4311821)
Whoa, calm down Rockefeller.
   2. The Yankee Clapper Posted: November 28, 2012 at 06:45 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 07:07 PM (#4311857)
spend $25-$30 million in amateur bonuses.

How? On who? Once or twice, maybe, but not every year.
   4. andrewberg Posted: November 28, 2012 at 07:53 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 08:12 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. clowns to the left of me; STEAGLES to the right Posted: November 28, 2012 at 09:47 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 09:49 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 10:25 PM (#4312001)
BREAKING NEWS: Royals sign amateur free agent "Davíd Vidrio". Estimated bonus: $25-$30 million.
   9. Squash Posted: November 28, 2012 at 10:35 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 11:12 PM (#4312033)
Glass willing to spend more than $70 million on Royals’ payroll


Translation: Glass to start drawing a salary.
   11. SM Posted: November 29, 2012 at 12:42 AM (#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 01:18 AM (#4312098)
It's amazing how none of these teams manage to make a profit.
   13. Bhaakon Posted: November 29, 2012 at 01:24 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 01:45 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 08:34 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 09:58 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 10:03 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 02:53 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

BBTF Partner

Support BBTF

donate

Thanks to
Darren
for his generous support.

Bookmarks

You must be logged in to view your Bookmarks.

Hot Topics

NewsblogOMNICHATTER 7-28
(60 - 10:33pm, Jul 28)
Last: Walks Clog Up the Bases

NewsblogPrimer Dugout (and link of the day) 7-28-2014
(48 - 10:19pm, Jul 28)
Last: Eric J can SABER all he wants to

NewsblogFormer OF Jason Lane takes loss in first start
(20 - 10:14pm, Jul 28)
Last: Random Transaction Generator

NewsblogOT: Monthly NBA Thread- July 2014
(998 - 10:03pm, Jul 28)
Last: clowns to the left of me; STEAGLES to the right

Newsblog2014 Prospect Watch | MLB.com: UPDATED
(18 - 10:01pm, Jul 28)
Last: DKDC

NewsblogBarney + cash to Dodgers for PTBNL
(2 - 9:50pm, Jul 28)
Last: Joyful Calculus Instructor

NewsblogOTP - July 2014: Republicans Lose To Democrats For Sixth Straight Year In Congressional Baseball Game
(3440 - 9:40pm, Jul 28)
Last: They paved Misirlou, put up a parking lot

NewsblogDmitri Young explains his amazing weight loss
(31 - 9:30pm, Jul 28)
Last: They paved Misirlou, put up a parking lot

NewsblogESPN: Yankee Fan Returns Lost Red Sox World Series Ring
(23 - 9:09pm, Jul 28)
Last: tshipman

NewsblogDodgers and Diamondbacks Triple-A teams involved in wild brawl
(25 - 7:47pm, Jul 28)
Last: Bhaakon

NewsblogOT: The Soccer Thread July, 2014
(461 - 7:45pm, Jul 28)
Last: TFTIO can't talk like this -- he's so sorry.

NewsblogGossage on Bonds, McGwire Hall hopes: ‘Are you f–king kidding?’
(126 - 7:44pm, Jul 28)
Last: Jolly Old St. Nick Still Gags in October

Hall of MeritMost Meritorious Player: 1957 Discussion
(4 - 7:44pm, Jul 28)
Last: toratoratora

NewsblogHall of Fame Announces Changes to Voting Process for Recently Retired Players, Effective Immediately
(98 - 7:20pm, Jul 28)
Last: Gonfalon Bubble

NewsblogFull Count » Mike Carp explains why he requested a trade from Red Sox
(35 - 7:20pm, Jul 28)
Last: Joe Bivens, Minor Genius

Page rendered in 0.2607 seconds
52 querie(s) executed