MASN dispute update

[atomic]

3 hours ago, OsFanSinceThe80s said:

Or sell to Fox Sports and maybe the Orioles would finally offer in market streaming. 

Fox sports was sold to Disney but they were forced to divest RSNs.  They sold to Sinclair today.

[OsFanSinceThe80s]

 

Just now, atomic said:

Fox sports was sold to Disney but they were forced to divest RSNs.  They sold to Sinclair today.

Big news. I didn’t hear about it yet, I’ll need to read up later.

[TonySoprano]

23 minutes ago, OsFanSinceThe80s said:

Difficulty: the Orioles have to score 5 runs or more.

Used to be 5 or more AND win.   They dropped the latter requirement last year.

[atomic]

https://www.baltimoresun.com/business/bs-md-orioles-nationals-masn-20190416-story.html

[atomic]

I am guessing Orioles appeal this again.  As same decision from MLB as last time. 

[Frobby]

Could be a good result for the Orioles.   It looks like they used the Bortz formula but applied it to the actual revenues from 2012-16, as opposed to the conservative projected revenues that were used in the 2012 arbitration.    If so, setting the precedent that the Bortz formula is to be used will be very beneficial for the Orioles in the subsequent reset periods.    

[VaBird1]

Just trying to clarify for me...  Isn't MASN owned by the Nationals and the owners of the Orioles (not the Orioles).  Also, doesn't this mean 60-70 million of additional money coming to Orioles for the same time period?

[weams]

14 minutes ago, VaBird1 said:

Just trying to clarify for me...  Isn't MASN owned by the Nationals and the owners of the Orioles (not the Orioles).  Also, doesn't this mean 60-70 million of additional money coming to Orioles for the same time period?

I would not think so. This was all a Nationals issue. The Orioles never joined them in these processes. 

[eddie83]

7 hours ago, Frobby said:

Could be a good result for the Orioles.   It looks like they used the Bortz formula but applied it to the actual revenues from 2012-16, as opposed to the conservative projected revenues that were used in the 2012 arbitration.    If so, setting the precedent that the Bortz formula is to be used will be very beneficial for the Orioles in the subsequent reset periods.    

Was waiting for your analysis. I was thinking this was a good result all things considered for Orioles as well. 

[Going Underground]

This was interesting. I have heard the Orioles want some new terms of the lease. We have seen this before based on how long it took for the Orioles to find a spring training home. Plus how they messed up getting a minor league team in Harrisburg. 

 

The MASN dispute has implications beyond the network and the team.

“As this dispute enters its sixth year, the issue of MASN TV rights is of great concern to me for its potential negative impact on the Orioles, the City of Baltimore, and the State of Maryland,” Gov. Larry Hogan wrote to Rob Manfred, the baseball commissioner, in a letter Aug. 31 obtained by The Baltimore Sun.

Hogan’s letter referenced the lease with the state for Oriole Park at Camden Yards that expires in 2021.

 

“It is clear to me that serious discussions of a new lease, or an extension of the current lease, will remain at an impasse until this matter is resolved,” the governor wrote.

There was no immediate comment from Major League Baseball on Hogan’s letter or the arbitration decision.

 

https://www.baltimoresun.com/business/bs-md-orioles-nationals-masn-20190416-story.html

 

https://www.baltimoresun.com/news/bs-xpm-2005-07-01-0507010025-story.html

 

 

[mdbdotcom]

55 minutes ago, weams said:

I would not think so. This was all a Nationals issue. The Orioles never joined them in these processes. 

Doesn't the deal stipulate that  both teams get the same amount in rights fees? The difference is how the profits are split.

[Going Underground]

6 minutes ago, mdbdotcom said:

Doesn't the deal stipulate that  both teams get the same amount in rights fees? The difference is how the profits are split.

This article from years back tries to explain some things but it is complicated. 

First, a caveat: It’s nearly impossible to separate the Orioles from the Mid-Atlantic Sports Network (MASN) and either from Peter Angelos on the financial side. This is particularly true when relying on media reports to inform an article. While Peter Angelos is the primary owner of both the Orioles and MASN, he would be required to sell MASN if he were to sell the Orioles. Profit from MASN is said to go “to the Orioles,” but whether that means some team financial executive or Peter Angelos is incredibly difficult to determine. And I don’t mean to push that responsibility to other members of the media that have covered this opaque topic; instead, even with full access to the Orioles’ financials, I’m almost positive that the wires cross in an infinite and deliberate number of ways in order to shield those with a financial stake in the organization. When I know where money is going, I’ll try to be as clear as possible to give you the best picture of the Orioles’ financials.

 

 

Both the Nationals and the Orioles received $31M in broadcast rights fees in 2013, with that number projected to increase as the Nationals push for a split more in line with their market share. It’s also likely that MASN revenues were higher in 2013 as well. The Nationals are pushing for a lot more in broadcast rights fees, and the Orioles have countered with an offer to raise broadcast rights fees to $35M a year.

Many feel that the Orioles are shorted by MASN ownership (which also happens to be Orioles ownership) in being paid just $31M annually in broadcast rights fees. The Nationals have the same complaint, including from their ownership, and honestly, they probably have a bigger complaint: Washington, DC is a 5.5-million-person metropolitan area compared to Baltimore’s 2.75 million residents, plus whatever shared broadcast area there is to give the unaffiliated in North Carolina the opportunity to watch the Nationals. It only makes sense that a bigger metropolitan area would bring in more advertising revenue and therefore worth more in broadcast rights fees.

 

https://www.baltimoresportsandlife.com/ownership-economics/

[Dr. Unk]

A lawyer on the Bruce Cunningham show just said that Vegas has made a strong offer to the O's.  Hope that goes nowhere.

[accinfo]

1 hour ago, Dr. Unk said:

A lawyer on the Bruce Cunningham show just said that Vegas has made a strong offer to the O's.  Hope that goes nowhere.

I heard that today.  He said that he heard through a good source that they offered 3 billion to buy and move the Orioles to Las Vegas.  He seemed to indicate that it was something MLB supported.  I am not sure if that has to do with their disdain for the Angelo's family because of this on going dispute and they want to get ownership away from anyone in the Angelo's family.  I have a hard time believing they would favor moving the Orioles over Tampa Bay are Oakland who don't have newer stadium's.  Are those markets more valuable to MLB then Baltimore?  If they really feel fans here can be lumped into the Washington market they are wrong.  Sure as baseball would become a memory here in Baltimore younger fans in the area will gravitate to the Nationals if they are the only thing on TV but to me they will always be separate markets.  I am not going to over react to this but as much as I love baseball this would finish me as a baseball fan. 

[OsFanSinceThe80s]

40 minutes ago, accinfo said:

I heard that today.  He said that he heard through a good source that they offered 3 billion to buy and move the Orioles to Las Vegas.  He seemed to indicate that it was something MLB supported.  I am not sure if that has to do with their disdain for the Angelo's family because of this on going dispute and they want to get ownership away from anyone in the Angelo's family.  I have a hard time believing they would favor moving the Orioles over Tampa Bay are Oakland who don't have newer stadium's.  Are those markets more valuable to MLB then Baltimore?  If they really feel fans here can be lumped into the Washington market they are wrong.  Sure as baseball would become a memory here in Baltimore younger fans in the area will gravitate to the Nationals if they are the only thing on TV but to me they will always be separate markets.  I am not going to over react to this but as much as I love baseball this would finish me as a baseball fan. 

I know, I’d be done as a baseball fan. I can’t see MLB letting Camden Yards stay empty.