Aug 8, 2011, 2:07 PM EDT
There are some NBA owners out there willing to scrap the entire upcoming NBA season because they would lose less money that way than they would paying players for a season.
But losing a full season is not good for all the owners. You can add Memphis to that list.
Not because it’s a profitable team in a good market — it’s not — and not because after last year’s playoff run there is a real excitement around the team for next season.
No, it’s about money and how the already strapped city of Memphis could be hurt by an extended lockout. The Associated Press explains.
A fund used to pay off bonds that financed the $250 million FedExForum could be pushed into the red by 2022 if the N.B.A. lockout lasts the entire year, a situation that would force the city of Memphis and Shelby County, Tenn., to pay the shortfall….
With the loss of revenue associated with a lockout, projections show the current surplus of $10.8 million would be gone in time for the senior bonds’ Nov. 1, 2022, payment. It could reach $10.6 million by 2029, or about $600,000 annually for each government.
That’s no problem because cities are so flush with cash right now. Not like they need more police, fire, longer library hours or a host of other things in Memphis.
- Mavericks signing Al-Farouq Aminu to two-year, minimum salary contract 5
- Report: Ballmer’s $2 billion Clippers offer nearly double what Bank of America valued team at 12
- Report: Jameer Nelson near $2.7 million deal to join Dallas Mavericks 13
- Report: Mavericks void Rashard Lewis’ contract after it’s discovered he needs knee surgery 10
- Report: Sixers, Nuggets or Celtics could become third team in Kevin Love trade to Cavaliers 48
- Five biggest surprises from Summer League 13
- Justin Bieber and Kevin Durant share brunch (photo) 22
- Clippers CEO: If Sterling remains owner then Doc Rivers, players, sponsors all ready to bolt 61