Friday, May 10, 2013

A little fact checking

I've read some of the recent reports by our intrepid local reporters and some national ones.  And I felt the need to comment on some of the "facts" they present to you.

Comment: The Dolphins will lose $41 million this year.
Reality: The Dolphins lowest attendance was in 2009.  Even in that year, according to Forbes, the Dolphins (on the whole) made $232 million because of profit sharing and revenue - and that was after their expenditures.  With all the corporations that have been established, its possible the team itself will show an operating loss.  But that does not mean that "the Dolphins" are losing money, or that Mr. Ross is taking a personal loss on the ownership of the franchise.

Comment: The Dolphins don't intend to purge their payroll, like the Marlins did.
Reality: they can't.  There is a salary cap AND a salary floor.  Right now they reside in the upper part of the range.  But they can't drop too many pieces and go below the floor.

Comment: They might move.  Maybe to LA or even to Palm Beach.
Reality: the Dolphins (see my comment above about the multiple entities) own the stadium.  And there are hundreds of millions of dollars in loan payments that are still outstanding.  The Dolphins are listed as the ones with the debt.  Unless the new city is willing to eat that for them, and essentially they find a way to sell the stadium, this will never happen.

Comment: Now that the stadium deal is done, the new stadium in Santa Clara will get the stadium
Reality: Sorry to break it to you, but that was pretty much a done deal LAST YEAR, before the stadium talk got going.  It was going to take a lot of "lobbying" to get the vote to go another way.

Comment: The NFL brings in new dollars with a SuperBowl
Reality: rough estimates are that 120,000 people may show up in a town that has the big game.  Many of them are the owners, the people they bring, the NFL's contingent, and large corporate sponsors.  What we don't see in the fine print is that they get special rates at the hotels, discounted meals, and the kicker is that they are exempt from paying taxes on most of it.  And add to that the fact that host committee gives them a lot of perks - like great tee times at prime resorts, VIP events at local venues, etc, etc.  All at no cost to these VIPs.  So who pays for that? 
Any guesses?  I'll let you think about that one.

Comment: he said, she said in Tallahassee
Reality: Will Weatherford is a politician.  Steve Ross is a businessman.  They both had their say and now the Dolphins are acting silly in accumulating witnesses to try and muckrake against Weatherford.  This IS politics.  I don't like it, either.  But, move along.

1 comment:

  1. Quite frankly I hope the Dolphins move. Too many fair weather fans where they are. Plus where the stadium now is really a shit hole. I would be happy as long as they stay in Florida, I really don't give two shits about Miami. Every time I go down there for the games, it's filled with douche bag NY'ers. If it can get done (debt and all) I hope that it does, even if they leave Florida, I'll still root for them.

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