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Cost Cutting Measures

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3 hours ago, OriolesMagic83 said:

Was that before or after Peter Angelos took out his ownership fee?

How much are those supposed "fees" and do the other owners agree to that?

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5 hours ago, Going Underground said:

Plus MASN is run separate from the team.Also the Orioles admitted how much they made ar one of the hearing in profit.$50 million alone that year.Also if the Orioles cant survive having a regional network of two teams that the Orioles get at least 77 % of the revenue, they should be sold or move.With the payroll this year and regional and national network contract, they are break even or over even before ticket sales. 

I thought I read something about 80 million from MASN a while back. Even with Davis, Cobb, and Trumbo contracts the Os are making a pretty hefty profit just on the national and MASN deals.

 

So even if the number 0nly 110-120 million in revenue between the 2 deals ...the payroll is only 72 million and certain to ge less next year. A 40 million surplus times 2

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13 hours ago, TonySoprano said:

Now we know the plot of the upcoming 4th Matrix movie.  Thanks

Call it cost saving (that's the blue pill), but it's still about deliberate tanking (the red pill) in order to rebuild the farm system.   We already had the half-measures method from 1998-2011, plugging in holes in a failed attempt to be competitive.

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I looked up payrolls for a post in a forum a few years ago and during that timeframe you mention, the Orioles payroll actually was top 10-12 at least 75% of the time.  Of course, outside of the big spending years for Tejada and others, the team spent a ton of money on average relievers just to say they did something.  Part of this rebuild and what I like is trying to cut as much payroll as possible, and reinvest that money into other departments, as well as banking it for future years when the club is competitive.   

I know Trumbo comes off the books after this season, and they don't have to worry about Cashner's option vesting.  Villar could be out because his arbitration number might go too high.  I wouldnt expect any of that payroll to be replaced.   

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8 hours ago, Frobby said:

Let’s not be overly dramatic.   The award was about $25 mm/yr higher than what the O’s originally proposed.    The difference between the highest payroll in baseball and the lowest is $172 mm.   The $25 mm might move the O’s down a few notches in terms of payroll capacity.    It doesn’t move them off the chart or even put them at the bottom of the chart.   Also remember, if rights fees obligations were $50 mm lower ($25 mm for both teams), the Nats would still be receiving their ownership share of that $50 mm.    So really the impact is $25 mm minus the Nats’ share of $50 mm (which varies by year but is increasing 1% a year.  In 2012-16 this was 13-17%, so call it $7.5 mm/yr.    By 2019 it’s 20%, which would be $10 mm.    Bottom line, the arbitration ruling is unfavorable  compared to what the O’s wanted but nothing remotely resembling a franchise-killer.

Moreover, the O’s have known about the likely outcome since 2012 (when the RSDC reached a tentative decision but didn’t formally issue it), and presumably have been constraining payroll in line with that outcome ever since.    

Also, if MASN actually had other programing besides Orioles and Nationals games that were worth tuning into, that would help make up some of the gap that you mentioned.  I have talked to a few fans about that at the game tonight, and all agreed on it.  No one watches MASN if they aren't watching the Orioles or Nationals. 

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2 minutes ago, ThomasTomasz said:

 I know Trumbo comes off the books after this season, and they don't have to worry about Cashner's option vesting.  Villar could be out because his arbitration number might go too high.  I wouldnt expect any of that payroll to be replaced.   

I kinda said the same thing in another thread. A lot of cost cutting going on. I still think Villar is a good placeholder in the meantime.

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4 hours ago, backwardsk said:

Payroll will be under $60M, excluding unpaid deferrals, right?

$35.1 million tied up in Davis and Cobb.  $60 million sounds about right.  

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7 minutes ago, Il BuonO said:

I kinda said the same thing in another thread. A lot of cost cutting going on. I still think Villar is a good placeholder in the meantime.

You figure that Richie Martin is spending the year in AAA, and that leaves Villar as the only person with SS experience (not counting Peterson, I think he's out.)  Alberto hasn't played SS with us, but I believe I read where he has had innings there with other teams.  So he's a potential backup.  Villar is making $4.82 million this season, and I've heard potentially $7 million or more for next year.  They could sign Jordy Mercer or Freddy Galvas at this year's value slightly over $5 million.  Or Jose Iglesias, making $2.5 million this year, or Adeiny Hechavarria making $1 million.  All options except Mercer would be an upgrade defensively over Villar at SS.  

I would say keep Villar as I agree with you.  But I'm not the one making the decision, and I could easily see a glove-first option being brought in as a low value FA signing or via trade. 

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1 minute ago, ThomasTomasz said:

You figure that Richie Martin is spending the year in AAA, and that leaves Villar as the only person with SS experience (not counting Peterson, I think he's out.)  Alberto hasn't played SS with us, but I believe I read where he has had innings there with other teams.  So he's a potential backup.  Villar is making $4.82 million this season, and I've heard potentially $7 million or more for next year.  They could sign Jordy Mercer or Freddy Galvas at this year's value slightly over $5 million.  Or Jose Iglesias, making $2.5 million this year, or Adeiny Hechavarria making $1 million.  All options except Mercer would be an upgrade defensively over Villar at SS.  

I would say keep Villar as I agree with you.  But I'm not the one making the decision, and I could easily see a glove-first option being brought in as a low value FA signing or via trade. 

Well, if Iglesias is available again I’d jump on it. I wanted him this year and they could have had him cheap. Galvis could be an option, but I’ll pass on the others. If they offered Villar $10-12 mil over two years I wouldn’t hate it. He has a certain skill set that fits for this team. 

Yeah, Elias is reorganizing the scouting department, but I’m not sure that same philosophy is all encompassing for every area of the organization. Then again....

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1 minute ago, Il BuonO said:

Well, if Iglesias is available again I’d jump on it. I wanted him this year and they could have had him cheap. Galvis could be an option, but I’ll pass on the others. If they offered Villar $10-12 mil over two years I wouldn’t hate it. He has a certain skill set that fits for this team. 

Yeah, Elias is reorganizing the scouting department, but I’m not sure that same philosophy is all encompassing for every area of the organization. Then again....

I expect sweeping changes through the minor league system after their seasons wrap up.  Elias was hired late and is behind the 8-ball first, and second, you can't get rid of everyone, and they've all had a year to adapt to new bosses and new systems.  I'm excited for the changes that lay ahead because, like the scouting department, they are past due.  

I agree on offering that to Villar, or going for Iglesias.  

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Just now, ThomasTomasz said:

I expect sweeping changes through the minor league system after their seasons wrap up.  Elias was hired late and is behind the 8-ball first, and second, you can't get rid of everyone, and they've all had a year to adapt to new bosses and new systems.  I'm excited for the changes that lay ahead because, like the scouting department, they are past due.  

I agree on offering that to Villar, or going for Iglesias.  

Yes, and by this season’s end I’ll bet he has a pretty good idea of who’s staying and who he’s going to get to fill out the ranks, if he doesn’t already.

Definitely exciting to see a plan being executed, even in the early stages.

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Plus when the Expos were moving to Baltimore, MLB agreed to this for  lost attendance ,etc . Not sure if they agreed to do this after Angelos  would and if he sold the team. Have not seen a definitive article either way.

Montreal Expos to Washington, DC. Angelos is guaranteed $130 million in yearly revenue, and is assured of $360 million should he sell the Orioles, in agreement to allow the Expos to move to Washington

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2 minutes ago, Going Underground said:

Plus when the Expos were moving to Baltimore, MLB agreed to this for  lost attendance ,etc . Not sure if they agreed to do this after Angelos  would and if he sold the team. Have not seen a definitive article either way.

Montreal Expos to Washington, DC. Angelos is guaranteed $130 million in yearly revenue, and is assured of $360 million should he sell the Orioles, in agreement to allow the Expos to move to Washington

Welp, the team, with MASN is valued at over 1B so I'm guessing MLB isn't sweating the 360M.  I don't have figures on hand but I'm guessing the O's could have zero fans in the stands next year and would still exceed 130M in revenue.

The game has grown a lot since that deal was made.

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