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Thursday, March 01, 2012

Hal Steinbrenner pitching Moneyball in the Bronx?

(Throws throne)

Hal Steinbrenner has shown his father’s willingness to do what it takes to win, but the Yankees’ managing general partner doesn’t believe a $200 million payroll is a necessity to accomplish his team’s goal.

Steinbrenner spoke with reporters Thursday morning at the ballpark that bears his father’s name, stressing his desire to get the Yankees’ payroll down from $210 million to $189 million in the next two years.

“Yes, that $189 (million) is a real number, and we’re going to be shooting for it,” Steinbrenner said. “I think with all the young talent we have coming up, particularly pitching, that’s a realistic goal.”

...Getting the payroll below $189 million in 2014 would reset the rate to 17.5 percent for the Yankees if they exceed the threshold in the future, undoubtedly a key component to Steinbrenner’s plan.

“Luxury tax is an option; it’s a personal option,” Steinbrenner said. “We go into it knowing exactly what we’re doing. Being the only team that does it, I’m just not convinced we need to be as high as we’ve been in the past to field a championship-caliber team.”

...Making money hasn’t been a problem for the Yankees, who bring in plenty of revenue from Yankee Stadium, the YES Network and various other sources, but Steinbrenner believes that putting a winning team on the field doesn’t require breaking the bank.

“I’m a finance geek; I guess I always have been,” Steinbrenner said. “That’s my background; budgets matter and balance sheets matter. I just feel that if you do well on the player development side and you have a good farm system, you don’t need a $220 million payroll. You don’t. You can field every bit as good a team with young talent.”

Repoz Posted: March 01, 2012 at 01:22 PM | 8 comment(s) Login to Bookmark
  Tags: business, history, sabermetrics, yankees

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   1. Bug Selig Posted: March 01, 2012 at 03:49 PM (#4072101)
Can we stop referring to any notion that setting stacks of $100 bills on fire is a bad idea as "Moneyball"?

   2. Something Other Posted: March 01, 2012 at 03:51 PM (#4072104)
@1: are you kidding? This is sportswriting. It's the click-gitter of the decade!

It'll definitely be interesting, to see how the Steingrabbers adjust to not being able to buy any bright bauble that intrigues them. I'm not convinced Cashman is anything more than a mid-tier GM, so even with a $185m payroll the Yankees are going to struggle at times, what with Rodriguez and Teixira's salaries serving as de facto luxury taxes.

Cue YR in 3, 2, 1..
   3. You Know Nothing JT Snow (YR) Posted: March 01, 2012 at 04:06 PM (#4072129)
*enters panting*

What did I miss?
   4. The Yankee Clapper Posted: March 01, 2012 at 04:18 PM (#4072154)
There are a lot of financial incentives for hitting the $189M mark, so I expect it to happen in 2014, accompanied by considerable whining about the Yankees offering insufficient support to their impoverished competitors.
   5. Live and don't learn. That's us. Posted: March 01, 2012 at 04:42 PM (#4072183)
Has the movie changed the public's idea of what the word Moneyball means? When I saw the word used in articles before the movie, it seemed to usually refer to using numbers (especially on base percentage) to evaluate players. In that case, the Yankees were doing Moneyball back before Billy Beane took over for Sandy Alderson. But this article and others I've seen lately seem to use it in terms of winning without money. In which case the Yankees have likely never used Moneyball and certainly never will. (Maybe the Highlanders were cheapskates, I don't know.) Is this shift real or only in my head?
   6. RB in NYC (Now Semi-Retired from BBTF) Posted: March 01, 2012 at 08:02 PM (#4072351)
It'll definitely be interesting, to see how the Steingrabbers adjust to not being able to buy any bright bauble that intrigues them. I'm not convinced Cashman is anything more than a mid-tier GM, so even with a $185m payroll the Yankees are going to struggle at times, what with Rodriguez and Teixira's salaries serving as de facto luxury taxes.
I think you're missing a crucial element of the plan. The idea isn't to drop the payroll permanently to the $185-189 level, as the article says, the idea is to drop it down to that level in 2014, and then they can jack it up and have the same payroll as in previous years but paying less in actual cash.
   7. catomi01 Posted: March 01, 2012 at 09:50 PM (#4072409)
When is the next negotiation round for the CBA? Part of the plan might also hinge on goading MLB to lower the threshold (makes sense in my mind - if MLB get used to collecting X each year, and the yankees drop off the scale for a season, the answer might be pushed by lower tier teams to lower the threshold and expose more of the top 10 to taxes) - might be far fetched and overly complicated thinking on my part - but the yankees have shown that they can survive even when paying the tax...can/will the Red Sox, Phillies, etc. if the limit is closer to 170 M or so? Long term, they might be looking this as a chance to form MLB to transform this from the "Yankees Tax" to something that impacts their traditional direct competitors even more.

Of course, I'm probably vastly over thinking this this, and the Steinbrenner's would just prefer to pocket a few extra million dollars each season.
   8. Something Other Posted: March 02, 2012 at 06:57 AM (#4072567)
@6: Indeed I am. Must be tired.

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