Nov 26, 2011, 12:04 PM EDT
As the talk starts to build of all the little concessions the NBA players got in the last week to make an NBA labor deal happen in time for games on Christmas day, remember this:
The owners won.
In a massive way. This is an Attila the Hun sweeping through Eastern Europe kind of win — devastating and total.
David Stern and the owners came into these NBA labor talks saying they lost more than $300 million last season and $400 million the year before that. By getting the players to agree to what is in practice a 50/50 split of basketball related income (although the deal allows the players to get to 51 percent if revenue increases enough) the owners got the players to essentially accept a 12 percent salary cut that will cover those losses.
This will come to more than $3 billion back in the owners’ pockets if the deal lasts the full 10 years (both sides can opt out of the deal after six years). What’s more, the deal means the players will have shorter contracts with lower raises going forward. Plus, the system now ties the hands of larger market, bigger spending teams helping depress salaries that way.
The owners will tell you they didn’t get everything they wanted, some will vote against this deal. Those guys are fools — they got more than enough to balance their books. Combined with more robust revenue sharing — soon to be triple what it was — small market owners should be able to break even or turn a profit. They should be able to compete (they could before, ask San Antonio and Oklahoma City). If they can’t, well, it’s on them now. It’s not the system.
All that said, the players got enough small victories — and a couple key ones — that this is a deal they can live with.
Early in the lockout, PBT spoke with former NBA players union president Charles Grantham and he said the smartest move the union ever made, the thing they could not give up in these talks, was keeping the salary cap tied to league revenue. Early offers from the owners wanted to detach the two — players salaries would stay flat at about $2 billion a year and all of the money from expected growth in the league (such as a new national television deal coming in 2016) would go straight to the owners pockets.
The players won that fight. They will get a smaller share of that revenue, but as the league’s revenue grows player salaries will go up. Grow the game and grow how much money you make.
The other two hills the players were willing to die on were guaranteed contracts and a hard salary cap. The owners relented on those as well. Yes, the owners now have more ways to get out of bad contracts faster, and yes the new luxury tax rules make it much more costly for high-revenue teams to spend big, but the players won those fights on principle.
There were other small victories, such as getting the threshold to get to the 51 percent of revenue lowered to a makeable goal. The players got the extend-and-trade so their biggest stars can better control their exits from teams. They got a solid mid-level exception for tax paying teams.
That was enough. It needed to be enough because the players were going to start losing more money in salary than they were making back fighting over the scraps of this deal.
But this negotiation was all about the money, and the owners got a lot more of it. They won. The small market owners in particular should now be able to turn a profit. The players got a way to save face at the end but the owner won and won big.
With this caveat…
In 1999, after a lockout that lasted into January, the owners were thought to have won. They got a cap on max salaries, so that there would be no more deals like the one Kevin Garnett and Shaquille O’Neal had gotten. They got a percentage that capped players’ salaries in total at 57 percent. Everyone said the owners won, including the players.
A dozen years later, the owner were crying that the deal was unfair and killing them. You never know how things will play out. And you can bet in 10 years, when this deal formally ends, there will be owners saying what a bad deal this is for them and how it is killing them. Even if the fault is their own management.
May 19, 2013, 6:35 PM EDT
The San Antonio Spurs are never the “it” team. Never the sexy squad with high-flying stars casual fans gravitate toward in the postseason. The collective national will was behind Stephen Curry and Golden State last round. Then a whole lot of prognosticators — very smart, good ones — picked Memphis this round. The Grizzlies were…
May 19, 2013, 5:07 PM EDT
In honor of the way Tony Parker is currently carving up the Grizzlies in Game 1 of the Western Conference Finals, here’s a look at a compilation of his top 10 plays of the 2012-13 regular season. And just think — this doesn’t even include the circus shot he hit over the Warriors, which would…
May 19, 2013, 3:34 PM EDT
Now that the Conference Finals are upon us and there are just four teams left for both local and national media to cover, the amount of focus on each, along with everything that’s said will be magnified exponentially. Our first case study of this postseason comes out of Miami, where reporters talked to Heat players…
May 19, 2013, 2:01 PM EDT
PBT continues profiling likely first-round draft picks in the upcoming NBA Draft. Today we look at a key member of the NCAA title team in Louisville. Rim protection matters. It mattered in college at Louisville and it matters in the NBA. And that is what Gorgui Dieng brings to the NBA — and can bring…
May 19, 2013, 12:30 PM EDT
J.R. Smith had an incredible regular season for the Knicks, and was every bit deserving of the Sixth Man of the Year honor he was given for that performance. He also was brutal in the postseason, struggling to find his shot ever since he was suspended for Game 4 in the first round of the…
May 19, 2013, 11:00 AM EDT
This video was recently released by the folks that run the website for LeBron James, and it gives us a glimpse into the types of motivational words and teachings that young NBA prospects received from James and Chris Paul five years ago. The highlights come from a 2008 summer camp that took place before the…
May 19, 2013, 9:30 AM EDT
One of the more popular cries from the Thunder fan base after the dismal all-around postseason performance of Kendrick Perkins was that the team should rid themselves of his contract (two more seasons at nearly $19 million total) by using the amnesty provision on him this summer. In the new collective bargaining agreement, teams have…
May 19, 2013, 8:00 AM EDT
SEASON RECORDS Memphis: 56-26, fifth seed in the West San Antonio: 58-24, second seed in the West PLAYOFF RECORDS Memphis: Beat the Clippers 4-2 in the first round. Beat the Thunder 4-1 in the second round. San Antonio: Beat the Lakers 4-0 in the first round. Beat the Warriors 4-2 in the second round. SEASON…
May 19, 2013, 12:01 AM EDT
The Pacers sent all five members of the starting lineup to the podium for the postgame press conference following their 106-99 Game 6 win over the Knicks, which goes a long way in telling the story of how they were able to advance to the Eastern Conference Finals. The team defensive effort that Indiana exhibits…
May 18, 2013, 11:12 PM EDT
WIth the Pacers’ win over the Knicks in Game 6 on Saturday in the books, the schedule for the Eastern Conference Finals is now set. Miami will host Indiana beginning on Wednesday, May 22, and all games will be televised nationally on TNT with a start time of 8:30 p.m. Eastern. Game 1 – Wed …
May 18, 2013, 10:52 PM EDT
Midway through the fourth quarter of Game 6 and with the Knicks surging and clinging to a two-point advantage, Carmelo Anthony drove baseline and elevated, almost certainly expecting to finish this dunk over Roy Hibbert to further extend his team’s lead. Hibbert got there first, however, and met Anthony at the rim for this monster…
May 18, 2013, 8:29 PM EDT
Nate Robinson wasn’t only the Bulls’ main scoring punch during the playoffs, he symbolized the team’s heart, as well. Robinson put in many memorable performances during his injury-ravaged team’s run into the second round, including leading Chicago to a thrilling triple-overtime win over the Nets in the fourth game of that series, and helping to…
May 18, 2013, 7:01 PM EDT
By winning Game 5 against the Pacers, the Knicks have turned their series. After it seemed Indiana had a decided advantage, each remaining game is basically a tossup. Both teams could make arguments for why they have the upper hand in Game 6 tonight: In the Pacers’ favor: The Knicks are 0-4 at Indiana this…
May 18, 2013, 6:31 PM EDT
UPDATE: 6:28 p.m. ET: George Hill has been cleared to play in Game 6, the Pacers announced. Here’s the official release: “Over the last two days under the care of the Indiana Pacers’ medical staff, George Hill has participated in each step of the NBA’s Return-to-Participation Exertion Protocol as part of the NBA’s Concussion Policy.…
Dennis Schroeder bows out of combine in Chicago, plans on skipping Eurocamp due to likely draft promise
May 18, 2013, 5:30 PM EDT
Dennis Schroeder is an international prospect from Germany that has been rapidly moving up draft boards. The 19-year old point guard is listed at 6’2″ with a 6’7.25″ wingspan, and the speed and flair with which he plays is already eliciting comparisons to Rajon Rondo in terms of ability, body type, and style. Schroeder was…
May 18, 2013, 4:07 PM EDT
For months, Duke coach Mike Krzyzewski has maintained he’s done as Team USA’s basketball coach. But he might be having a change of heart. Pete Thamel of Sports Illustrated: Duke Coach Mike Krzyzewski acknowledged in a phone interview Saturday that he’s in discussions to return as head coach of USA Basketball through the 2016 Olympics.…
May 18, 2013, 4:00 PM EDT
Damian Lillard is getting special edition shoes from adidas to honor his Rookie of the Year campaign with the Blazers. As with all commemorative releases, it’s the small design details that make them something worth coveting. From the official release: “The shoe’s sockliners feature Damian’s Twitter handle, an Oakland satellite print and “9800s” to represent…
May 18, 2013, 2:30 PM EDT
Toronto has until Monday to decide the fate of Bryan Colangelo as GM and the guy steering the Raptors ship — do they pick up his option for next season or release him? It looks more and more like the new management of Maple Leaf Sports and Entertainment — which owns the Raptors — wants…
May 18, 2013, 11:30 AM EDT
Predrag Danilovic, the Serbian guard (often called Sasha) who played for the Heat and Mavericks back in the 1990s, is in serious condition after being stabbed in a bar fight back in his native country, reports the Associated Press. Police say Danilovic was hurt during a brawl early Saturday in a cafe in a residential…
May 18, 2013, 10:50 AM EDT
The Charlotte Bobcats are about to go away — and the Charlotte Hornets are coming back. Fans in Charlotte have clamored for the change, particularly since the Tom Benson, the new owner in New Orleans, pushed for a name change from Hornets to the more locally popular Pelicans. It’s going to happen, reports CBSSports.com’s Will…
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