Sale of Cubs May Be Completed Before End of Civilization
Some more news has trickled out on the impending sale of the Cubs and Sam Zell is hinting that the Ricketts may not be the new owner afterall (emphasis added).
"These are very difficult times. These are difficult
times to arrange financing," Zell said in an interview, adding that if
the Ricketts deal falls through, he is confident the media
company--which filed for Chapter 11 bankruptcy protection in
December--will find another buyer for the ballclub.
"We’ve made it very public that the Cubs don’t fit into the long
term picture of the Tribune," he said. "So if the Ricketts deal doesn’t
get done, I’m sure there will be other ones."
Sure, a lot of people have $900M or so lying around to spend on the Cubs as evidenced by the three legitimate bids Zell actually received. Of those three bids, Ricketts was supposedly not the highest but offered the most money up front, so if financing is the issue, a deal that would require even more to be financed is probably not going to have much more luck than the Ricketts are having now.
Of course...financing really isn't the issue it appears. According to this story dated May 19th, the Ricketts already secured a little over $850M of that $900M original bid; $403M from the sale of stock in Ameritrade and another $450M secured in bank loans (Clarification: Technically $753M is secured with a $100M coming from a private placement by Barclays which we do not know the status of, although the Ricketts claim they can cover it if it falls through). There was that story of Ricketts looking for 10 or so investors at $25M a pop, including celebrities like John Cusack, Bill Murray and Jim Belushi, but that round of financing was supposedly not critical to get the deal done according to "sources". Crain's Chicago Business also echoes that the financing is already in place and explains the real delay.
Thomas Ricketts, who is leading his family’s bid for Tribune Co.’s Cubs, has lined up financing for the deal, but a dispute over price is delaying the transaction.
The Ricketts family, whose original bid was close to $900 million, now
believes the real price should be closer to $850 million, a source
said. The sides disagree over the value of the team’s multiyear
contract to broadcast games on Tribune’s WGN network.
At issue is about $40 million to $50 million — roughly 6% of the
original bid, which also includes Wrigley Field and a 25% stake in
regional cable channel Comcast Sports.
So the Ricketts are either short $50M in financing and trying to talk Zell down or they really are unhappy with the broadcast rights. I'm going with option B here. It appears the Tribune made sweetheart deals with WGN radio and television to broadcast the Cubs games at below fair market value for a contract up to 10 years sometime last fall. Ricketts isn't buying any stake of WGN, but is supposedly getting a 25% stake in the Comcast sports channel that already broadcasts about 80 games a year. So naturally, if he owns the cable company he'd like more games to go on there or be sure he's getting paid the appropriate amount in any licensing deal to WGN.
So don't believe the Zell lies, the money is there for Ricketts, Zell just isn't liking the terms.
Hat tip to waxpaperbeercup that has been all over the sale process, also check out Mark Cuban's blog on why he bowed out and wasn't going to pay anything near the $1 billion asking price at this time. End of the world coming Decemeber 21st, 2012...John Cusack (Cub fan) is starring. Coincidence? I think not.
Oh what do you know, Cubster? Go back to your day job.
--- Ducks, puts on Cardinals cap, runs.
Russell had a severe hamstring last year while with the A's system, forcing him to miss the first half of 2014. I've even wondered if his injury last year was a component of Billy Beane putting him on the trade market. He was quoted saying that last year's injury was a 10 out of 10 when it happened. Last night he said his hamstring soreness was a 1/1.5 out of 10. Hamstring injuries are tricky though, so I'd expect the medical team to be overly cautious here.
...I want to reinforce the observation that there was no sea of red in the crowd. The usual Cardinal fans roaming the stadium were few and far between.
Also, almost every 2 strike pitch brought the fans to their feet. Good for those in knee rehab.
"1st team hit hit 6HR in a game in the postseason." rises above obvious...i checked it with the official fact-finding commission of Douche, Douche, and Douchestein. they agreed with you, but they're a bunch of f'n douches so who cares?
btw, the cubs are 2-1 in the post-season series.
I should be able to watch the game on the NFL replay app, whatever that thing is called. I've got it on my iPad. This is the first year I haven't forced myself to somehow watch every game - no I take that back, last year was - in quite some time. Last year was so unbearable, no pun intended.
You make some good points about Cutler, and I was a holdout defender of Cutler for a long time. I gave up on him a bit after one too many dumb interceptions, but last year doesn't count. Trestman was the worst coach in Bears history.
Nice little reportage there!. I think you're older than me. Considerably older. Maybe several generations. Working out is so essential, especially as age kicks in, isn't it? I still lift weights, and so I'm confident that when I get to be at the hip breaking age, mine won't be a statistic. But I have a ways to go for that to be a concern.
What was impressive to me is that the Cubs won despite poor base running, several defensive miscues, Russell leaving due to injury, Arrieta having an off game and getting knocked out early, and Rondon giving up 2 runs in the 9th. If they can win a game like that...
I was there too. The crowd was absolutely electric. People were standing for every big and semi-big moment, from the first inning on. It felt incredibly strange and exhilarating to see the Cubs (the Chicago bleepin' Cubs!) score playoff insurance runs on the Cardinals. What a game. One to remember.
14 in attendance. What's the record for attendance in the fall? I guess I should ask what the record attendance listed is in one of your recaps.
I was there too, with my grown son. This is my miracle year-- I rose to the top of the season ticket list after eight years, completely unexpectedly, and my wonderful wife agreed to put the ticket fee on the emergency credit card. The whole point of course was that the Cubs were going to be good this year, and then for a while, so to get season tickets with the guaranteed shot at the postseason was incredible timing. We got to the remote lot at 4:10 after stopping at Nhu Lan for our usual banh mi sandwiches, only to find the lot full, way earlier than normal.
Wrigley was electric tonite
Not many card fans
Video board was great, they played "there goes my hero" by foos over ryno highlights before he came out. Spectacular
Good times hopefully they win tomorrow but think Lester will beat poopy pants on Wednesday.
Happy 4th anniversary of Theo's signing
Go Cubs !
Yeah. "Goodbye!" is a lame HR call.
I miss Len and JD -- although, driving home from a friend's, WBBM played all 6 HR calls in a row -- and Len got to call the Bryant/Rizzo back-to-back. Very fun.
Lackey has been a beast against us. His stats on 3 days rest, however, not as nice. There is plenty of hope.
And, no dreadlocks grown yet.
Captain Obvious Strikes Again!!!