1 00:00:00,280 --> 00:00:03,760 Speaker 1: This is the business of sports. Should Major League Baseball 2 00:00:04,000 --> 00:00:06,840 Speaker 1: shorten up the season? How do we present football to 3 00:00:06,920 --> 00:00:08,920 Speaker 1: the audience of the future. I don't think that most 4 00:00:08,920 --> 00:00:12,040 Speaker 1: players understand the power that they have. Michael. The future 5 00:00:12,080 --> 00:00:15,920 Speaker 1: of IndyCar racing is looking bright. Scott Sashnik very basic 6 00:00:15,960 --> 00:00:18,799 Speaker 1: math here, more bidders means more money. Evan Nobody Williams. 7 00:00:18,960 --> 00:00:22,079 Speaker 1: The team value has essentially quadruples. And the leaders in 8 00:00:22,120 --> 00:00:25,480 Speaker 1: the sports industry. Time to bring in our guest, al Stinnbrunner, 9 00:00:25,600 --> 00:00:29,320 Speaker 1: National Hockey League Commissioner Gary Bettman, Atlanta Braves President Derek Schiller, 10 00:00:29,400 --> 00:00:34,640 Speaker 1: Patriots President Jonathan Kraft. Bloomberg Business of Sports from Bloomberg Radio. Hello, 11 00:00:34,640 --> 00:00:37,640 Speaker 1: I'm Michael barn I'm Evan Novie Williams, and I'm Scott Sashnik. 12 00:00:37,680 --> 00:00:39,760 Speaker 1: Over the next hour, we will explore the big money 13 00:00:39,760 --> 00:00:41,440 Speaker 1: issues in the world of sports and talk to some 14 00:00:41,479 --> 00:00:44,400 Speaker 1: of the biggest players in the industry. And I'm Scottshnik. 15 00:00:44,560 --> 00:00:47,519 Speaker 1: Every week at this time, plus Mondays and Wednesdays, we 16 00:00:47,600 --> 00:00:50,159 Speaker 1: explore the big money issues in the world of sports. 17 00:00:50,200 --> 00:00:52,839 Speaker 1: This week we bring you our interview with Sal Galatyo Too, 18 00:00:53,080 --> 00:00:56,080 Speaker 1: founder of Galatioto Sports Partners, and that's in a few minutes. 19 00:00:56,120 --> 00:00:57,960 Speaker 1: But first let's look at some of the top stories 20 00:00:58,000 --> 00:00:59,280 Speaker 1: of the week. And we got to start with the 21 00:00:59,320 --> 00:01:03,560 Speaker 1: story about the Houston Astros controversy. No, I'm not talking 22 00:01:03,600 --> 00:01:06,640 Speaker 1: about what they did on the field. I'm talking about 23 00:01:07,040 --> 00:01:12,240 Speaker 1: what uh an employee supposedly higher up said to a 24 00:01:12,360 --> 00:01:17,480 Speaker 1: group of female reporters. Uh. And it just sparked a 25 00:01:17,480 --> 00:01:21,320 Speaker 1: whole wide controversy to work now, Uh, Rob Manfrey is 26 00:01:21,360 --> 00:01:24,800 Speaker 1: looking into it. Yeah, Baseball's definitely look into what the 27 00:01:25,720 --> 00:01:30,680 Speaker 1: assistant general manager said. He was he was vociferously supporting 28 00:01:30,800 --> 00:01:33,880 Speaker 1: Roberto Assuna, who had been, of course accused of domestic 29 00:01:33,920 --> 00:01:36,360 Speaker 1: violence in Toronto. That's why they got him. He was 30 00:01:36,360 --> 00:01:38,640 Speaker 1: looked at the time as a distressed asset to use 31 00:01:38,680 --> 00:01:41,320 Speaker 1: the finance parlance, because you know, Toronto just wanted to 32 00:01:41,319 --> 00:01:45,640 Speaker 1: get rid of them. Um. And it seems van that 33 00:01:45,880 --> 00:01:48,320 Speaker 1: a certain female reporter she every time he came in 34 00:01:48,360 --> 00:01:52,040 Speaker 1: a game, she would tweet the dovest domestic violence hotline number, 35 00:01:52,200 --> 00:01:55,920 Speaker 1: and the the employee had taken issue with that. And 36 00:01:55,960 --> 00:02:00,360 Speaker 1: then now he just chose this celebratory time to just yelled, 37 00:02:00,520 --> 00:02:02,760 Speaker 1: I'm so glad we got him, So glad we got him, 38 00:02:03,040 --> 00:02:06,920 Speaker 1: but in their direction, specifically seemingly targeting. Yeah, I think 39 00:02:06,960 --> 00:02:09,760 Speaker 1: that's the critical point. He was spociferously talking about how 40 00:02:09,800 --> 00:02:14,720 Speaker 1: glad they were to have Heberto Suo, but he did 41 00:02:14,800 --> 00:02:17,520 Speaker 1: not have a good game. Yeah, but saying it directly 42 00:02:17,560 --> 00:02:20,680 Speaker 1: to a group of female reporters, and especially if that 43 00:02:20,760 --> 00:02:22,519 Speaker 1: is true that one of them is is one of 44 00:02:22,560 --> 00:02:24,840 Speaker 1: the people who have been more outspoken about the fact that, 45 00:02:25,120 --> 00:02:27,440 Speaker 1: you know, the Astros were willing to trade for a 46 00:02:27,480 --> 00:02:31,919 Speaker 1: guy who had this kind of ugly allegation. Um, there's 47 00:02:31,919 --> 00:02:34,640 Speaker 1: two folds here. Personally, I think this guy should be fired. 48 00:02:34,720 --> 00:02:36,320 Speaker 1: I think you should have been fired immediately. But but 49 00:02:36,320 --> 00:02:39,679 Speaker 1: but more than that, I'm totally confused by the way 50 00:02:39,720 --> 00:02:42,200 Speaker 1: the Astros have responded to this, Right, I mean, there 51 00:02:42,200 --> 00:02:45,040 Speaker 1: are other journalists besides the s I writer, the woman 52 00:02:45,040 --> 00:02:48,679 Speaker 1: who wrote this, who can back up witness She read 53 00:02:48,760 --> 00:02:52,040 Speaker 1: a piece about it. Yeah, they asked the team for comment, 54 00:02:52,080 --> 00:02:54,600 Speaker 1: they didn't chose. The piece was published, and they came 55 00:02:54,639 --> 00:02:59,400 Speaker 1: out afterward and said that she essentially and she was 56 00:02:59,400 --> 00:03:01,239 Speaker 1: trying to make the story. And then a number of 57 00:03:01,280 --> 00:03:03,079 Speaker 1: other journalists have said I was in the room, I 58 00:03:03,480 --> 00:03:06,520 Speaker 1: witnessed this happening, and then you know, a day later, 59 00:03:06,639 --> 00:03:09,639 Speaker 1: the Astros issued another round of not even really apost 60 00:03:10,440 --> 00:03:14,200 Speaker 1: but yeah the word if, essentially saying that that it 61 00:03:14,240 --> 00:03:17,119 Speaker 1: was all misinterpreted, which again, you know, given the eye 62 00:03:17,120 --> 00:03:19,600 Speaker 1: witness accounts, doesn't seem like that if I'm wrong it 63 00:03:19,680 --> 00:03:21,600 Speaker 1: And we've seen this a million times in pro sports, 64 00:03:21,600 --> 00:03:23,440 Speaker 1: and I think we've seen this with quality of teams 65 00:03:23,480 --> 00:03:28,000 Speaker 1: and up and down. It starts at the top. Yeah, right, 66 00:03:28,320 --> 00:03:32,000 Speaker 1: if the owner had something he wanted to say or 67 00:03:32,120 --> 00:03:37,560 Speaker 1: she wanted to say, let's have it. Yeah. And Jim Crane, 68 00:03:37,560 --> 00:03:38,960 Speaker 1: who has been on this show before, the owner of 69 00:03:38,960 --> 00:03:41,120 Speaker 1: the Astros, you know, he he has weighed in and 70 00:03:41,160 --> 00:03:44,280 Speaker 1: it was it was fairly it was fairly tepid as well, right, Yeah, 71 00:03:44,520 --> 00:03:47,880 Speaker 1: and it doesn't lun know, the GM was very temper well. 72 00:03:48,000 --> 00:03:50,840 Speaker 1: Just keep in mind too, not only did he say 73 00:03:50,880 --> 00:03:54,160 Speaker 1: it to the group of female reporters, he said it 74 00:03:54,880 --> 00:03:59,920 Speaker 1: with maybe an expletive or two that yeah there. Yeah. 75 00:04:00,120 --> 00:04:03,080 Speaker 1: And and to me, the problematic part of this is that, 76 00:04:03,320 --> 00:04:05,880 Speaker 1: you know, we can debate whether or not a guy 77 00:04:05,920 --> 00:04:08,280 Speaker 1: like Roberto Osino should be allowed to play in the league. 78 00:04:08,320 --> 00:04:10,400 Speaker 1: I personally think that you know, that's that's fine. Right. 79 00:04:10,400 --> 00:04:12,680 Speaker 1: I mean you you you can have a second chance 80 00:04:12,680 --> 00:04:14,520 Speaker 1: and a lot of different jobs. It's it's okay for 81 00:04:14,600 --> 00:04:17,039 Speaker 1: the astros to want to trade and acquire him, but 82 00:04:17,160 --> 00:04:19,120 Speaker 1: in doing that, you have to accept that there is 83 00:04:19,160 --> 00:04:22,120 Speaker 1: going to be a conversation around what you're doing and 84 00:04:22,480 --> 00:04:24,760 Speaker 1: what he did and how that kind of works with 85 00:04:24,800 --> 00:04:26,760 Speaker 1: your team. And it just seems as though in in 86 00:04:26,880 --> 00:04:31,000 Speaker 1: taunting women who have tried to have that conversation, this 87 00:04:31,160 --> 00:04:35,240 Speaker 1: assistant GM is essentially making light of the accusations against 88 00:04:35,240 --> 00:04:36,960 Speaker 1: seems to be a lot of female fans in the crowd. 89 00:04:38,720 --> 00:04:41,000 Speaker 1: Vote you vote with your wallet, right, It's right, right. 90 00:04:41,279 --> 00:04:45,640 Speaker 1: Let's move on to espn uh is about to get 91 00:04:45,680 --> 00:04:50,360 Speaker 1: somebody brand new. House of Highlights founder Omar Roger. Yeah, 92 00:04:50,400 --> 00:04:53,840 Speaker 1: this is the espn ification of going young. I think that, 93 00:04:54,600 --> 00:04:55,880 Speaker 1: you know, it's sort of like, if we're not really 94 00:04:55,880 --> 00:04:57,880 Speaker 1: sure how to do it, we go take from the outside. 95 00:04:57,880 --> 00:05:01,800 Speaker 1: And Evan has written a piece about Bleacher Report and 96 00:05:01,920 --> 00:05:04,080 Speaker 1: House of Highlights recently sold. Let him get into it. 97 00:05:04,120 --> 00:05:05,760 Speaker 1: But what I know about this, and I'm not a 98 00:05:05,760 --> 00:05:07,480 Speaker 1: House of Highlights fan like you and I are out 99 00:05:07,480 --> 00:05:11,000 Speaker 1: of the demo, but I know this. The kids love it. Yeah, 100 00:05:11,040 --> 00:05:12,400 Speaker 1: I think there's a lot of people who haven't heard 101 00:05:12,440 --> 00:05:13,840 Speaker 1: of House of Highlights, and the ones who have are 102 00:05:13,839 --> 00:05:17,200 Speaker 1: probably young or they have young children. But what Omar Bill, 103 00:05:17,279 --> 00:05:19,760 Speaker 1: He's twenty five years old. He started House of Highlights, 104 00:05:19,800 --> 00:05:22,400 Speaker 1: which he is an Instagram account that was primarily just 105 00:05:22,480 --> 00:05:25,000 Speaker 1: basketball at the start, but is now all sorts of 106 00:05:25,080 --> 00:05:27,880 Speaker 1: highlights from professional sports all the way down to user 107 00:05:27,960 --> 00:05:30,839 Speaker 1: generated backyard. Recognizing that a lot of kids are younger 108 00:05:30,839 --> 00:05:32,359 Speaker 1: folks don't want to watch the whole game. They just 109 00:05:32,360 --> 00:05:34,520 Speaker 1: show me what I need to see exactly, and oftentimes 110 00:05:34,640 --> 00:05:37,320 Speaker 1: kids don't even care about the final score. Who wanted 111 00:05:37,400 --> 00:05:39,600 Speaker 1: that there's some funny thing that j R. Smith does 112 00:05:39,640 --> 00:05:42,280 Speaker 1: in the second quarter of a game, and that's what 113 00:05:42,320 --> 00:05:44,320 Speaker 1: they want to see it. And he recognized that and 114 00:05:44,360 --> 00:05:45,800 Speaker 1: just to give you, I mean, some numbers to put 115 00:05:45,839 --> 00:05:48,400 Speaker 1: it in context. So Bleacher Report bought House of Highlights, 116 00:05:48,400 --> 00:05:51,680 Speaker 1: which Omar started. House of Highlights on Instagram has fourteen 117 00:05:51,920 --> 00:05:55,320 Speaker 1: and a half million followers. That's more than ESPN has 118 00:05:55,400 --> 00:05:59,160 Speaker 1: on on Instagram. So I imagine. And Howard Mittman, who 119 00:05:59,200 --> 00:06:01,200 Speaker 1: is the CEO of Bleach Reporter, and he talked about 120 00:06:01,200 --> 00:06:03,200 Speaker 1: this on the show a couple of months ago. I 121 00:06:03,200 --> 00:06:05,320 Speaker 1: imagine the folks at ESPN, we're saying, we're getting our 122 00:06:05,400 --> 00:06:08,560 Speaker 1: lunch money taken in this specific demographic. It's a valuable one. 123 00:06:09,080 --> 00:06:11,760 Speaker 1: Why don't we poast the guy who did it? What 124 00:06:11,839 --> 00:06:14,240 Speaker 1: I don't understand is, all right, once the model has 125 00:06:14,279 --> 00:06:17,320 Speaker 1: been created, like do you need that guy? I mean, 126 00:06:17,880 --> 00:06:21,040 Speaker 1: ESPN can't figure out a way to mimic House of 127 00:06:21,120 --> 00:06:24,159 Speaker 1: High But but he has already built that brand, so 128 00:06:24,720 --> 00:06:31,160 Speaker 1: he's not bringing get that part, but he is associated 129 00:06:31,200 --> 00:06:35,440 Speaker 1: with that brand, So you're bringing that guy. But I 130 00:06:35,520 --> 00:06:38,359 Speaker 1: just maybe it's it's just the cost of doing business. 131 00:06:38,400 --> 00:06:40,640 Speaker 1: They see it as just a small investment in getting 132 00:06:40,760 --> 00:06:43,920 Speaker 1: his audience. It just seems like if ESPN had seen, hey, 133 00:06:43,960 --> 00:06:46,440 Speaker 1: this is working, or any other media outlet, it should 134 00:06:46,480 --> 00:06:49,240 Speaker 1: be fairly easy to recreate this content. And you can 135 00:06:49,279 --> 00:06:52,240 Speaker 1: think of point to another company we've talked about before, Overtime, 136 00:06:52,360 --> 00:06:55,600 Speaker 1: as a company that is essentially recreating that. Their business 137 00:06:55,640 --> 00:06:57,440 Speaker 1: model is a little different, but they are recreating that 138 00:06:57,480 --> 00:06:59,240 Speaker 1: in some ways. One thing I will say about Omar 139 00:06:59,320 --> 00:07:02,479 Speaker 1: is that he as a personality is also tremendously popular. 140 00:07:02,839 --> 00:07:06,200 Speaker 1: So I think ESPN, whatever they're going to do with him, 141 00:07:06,240 --> 00:07:09,000 Speaker 1: just having his face out there as the host or 142 00:07:09,040 --> 00:07:11,120 Speaker 1: just to do live appearances, etcetera. I think that's going 143 00:07:11,160 --> 00:07:13,840 Speaker 1: to bring them some credibility right now. Shows me, by 144 00:07:13,840 --> 00:07:16,239 Speaker 1: the way, however, on the on the bigger macro level, 145 00:07:16,800 --> 00:07:21,680 Speaker 1: how important the NBA and basketball is to I mean, 146 00:07:21,720 --> 00:07:23,880 Speaker 1: already know the NFL is important. Everybody has to get it. 147 00:07:24,200 --> 00:07:26,600 Speaker 1: But it does show the investment they're making in their 148 00:07:26,640 --> 00:07:29,040 Speaker 1: in their studio shows and their shoulder programming and Adrian 149 00:07:29,040 --> 00:07:32,000 Speaker 1: Motionnarsky and now this it shows you just how important 150 00:07:32,000 --> 00:07:34,760 Speaker 1: the NBA is too, all facets of what ESPN is 151 00:07:34,760 --> 00:07:38,440 Speaker 1: trying to do. By the way, let's move on to closing. 152 00:07:38,560 --> 00:07:42,480 Speaker 1: Hedge Fund makes its way onto the show. Jeff Finnick, 153 00:07:42,560 --> 00:07:44,400 Speaker 1: what has happened? Yeah, did Jeff Nick call you asking 154 00:07:44,440 --> 00:07:49,320 Speaker 1: for money? He didn't call in. I got to hear 155 00:07:49,360 --> 00:07:51,280 Speaker 1: this story. What happened? Well, I mean, we're doing this 156 00:07:51,280 --> 00:07:53,920 Speaker 1: because Jeff Nnick owns the Tampa Bay Lightning, right, But 157 00:07:54,120 --> 00:07:57,280 Speaker 1: his day job, you know he I guess it varies, 158 00:07:57,320 --> 00:07:59,080 Speaker 1: but one of them is hedge fund manager. He's been 159 00:07:59,080 --> 00:08:01,280 Speaker 1: in and out of that business for a while, but 160 00:08:01,360 --> 00:08:04,240 Speaker 1: he was starting a new hedge fund and he sent 161 00:08:04,320 --> 00:08:07,200 Speaker 1: a note to clients saying I'm kind of return all 162 00:08:07,240 --> 00:08:10,800 Speaker 1: your money because simply raising money these days is just 163 00:08:10,960 --> 00:08:14,120 Speaker 1: too hard. He's not able to raise the cash he 164 00:08:14,120 --> 00:08:15,960 Speaker 1: thought to be able to get. Yeah, so Jeff kind 165 00:08:16,000 --> 00:08:19,240 Speaker 1: of became famous for running fidelities Magellan fund um and 166 00:08:19,280 --> 00:08:21,600 Speaker 1: he announced, I believe earlier this year in January, that 167 00:08:21,680 --> 00:08:24,080 Speaker 1: he was starting a new fund on his own um 168 00:08:24,320 --> 00:08:26,800 Speaker 1: and I from what people have reported, his target was, 169 00:08:26,840 --> 00:08:28,720 Speaker 1: you know, to three billion dollars. He ended up only 170 00:08:28,720 --> 00:08:32,760 Speaker 1: getting five million. The returns weren't that bad, four eight 171 00:08:32,840 --> 00:08:34,800 Speaker 1: percent for the first half of the year or so, 172 00:08:34,920 --> 00:08:37,679 Speaker 1: which is which is pretty good. But I think the 173 00:08:37,720 --> 00:08:39,560 Speaker 1: way the way he looked at it, if he didn't 174 00:08:39,559 --> 00:08:42,439 Speaker 1: have a big enough upfront capital, it just wasn't worth it. 175 00:08:42,880 --> 00:08:45,280 Speaker 1: And you know, nine or ten months after he announced 176 00:08:45,280 --> 00:08:46,920 Speaker 1: he was doing it, he announced that he's shuddering it. 177 00:08:46,920 --> 00:08:49,880 Speaker 1: It's just rare that I hate. I've never heard who were, 178 00:08:49,880 --> 00:08:52,400 Speaker 1: at least in a long time of a hedge fund 179 00:08:52,400 --> 00:08:55,680 Speaker 1: manager saying, you know, it's been real and the money 180 00:08:55,720 --> 00:08:57,920 Speaker 1: has returned all the time. And this has been obviously, 181 00:08:58,000 --> 00:09:02,320 Speaker 1: but not not in this short way. It certainly also 182 00:09:02,400 --> 00:09:06,200 Speaker 1: doesn't seem like Jeff needs the money, so you know, 183 00:09:06,320 --> 00:09:08,079 Speaker 1: for him, you know, he gave it a shot. It 184 00:09:08,120 --> 00:09:10,520 Speaker 1: didn't work out in the way that he maybe wanted 185 00:09:10,559 --> 00:09:12,680 Speaker 1: it to. Let's tuck some hockey. He wants more time. 186 00:09:12,720 --> 00:09:14,160 Speaker 1: He had a team last year that was the most 187 00:09:14,200 --> 00:09:17,080 Speaker 1: exciting in the NHL, had one of the best season points, 188 00:09:17,240 --> 00:09:19,080 Speaker 1: gets bounced in the first round. So maybe now he 189 00:09:19,120 --> 00:09:22,880 Speaker 1: just wants to focus on Tyler Johnson Andrey Vassilevski, Victor 190 00:09:23,000 --> 00:09:25,480 Speaker 1: Hedman and the boys. Steven Stamkos, who, by the way, 191 00:09:26,080 --> 00:09:29,480 Speaker 1: Edben is a dead ringer for Steven Stamkos. If if 192 00:09:29,480 --> 00:09:31,680 Speaker 1: you guys you know, if they have been asked to 193 00:09:31,720 --> 00:09:35,200 Speaker 1: sign autographs as Steven. If you don't know what Evan 194 00:09:35,240 --> 00:09:36,600 Speaker 1: looks like, you've never been on the web, just go 195 00:09:36,640 --> 00:09:39,720 Speaker 1: around and check out Eben Novi Williams and Steven Stamkos 196 00:09:39,760 --> 00:09:42,080 Speaker 1: put him side by side. Stamkos is his older brother. 197 00:09:42,120 --> 00:09:45,360 Speaker 1: I think Stamp looks like me. He's older. He's old him, 198 00:09:45,679 --> 00:09:47,920 Speaker 1: Oh for sure, isn't I don't know, Yeah, he's definitely older. 199 00:09:48,240 --> 00:09:51,400 Speaker 1: I'd be shocked if over there, I forget I used 200 00:09:51,400 --> 00:09:52,640 Speaker 1: to think of he was young. You're not young, and 201 00:09:52,960 --> 00:09:56,200 Speaker 1: I'm not. Stephen sam KOs is younger than me. Really, 202 00:09:56,360 --> 00:09:58,280 Speaker 1: he's my younger brother. Oh my god, how old the stamp? 203 00:09:59,280 --> 00:10:01,280 Speaker 1: I thought he was like, so you are starting through. 204 00:10:06,880 --> 00:10:09,479 Speaker 1: Now let's get to this week's interview with Sal Galatyoto, 205 00:10:09,559 --> 00:10:13,280 Speaker 1: founder of Galatyoto Sports Partners. And before that, by the way, 206 00:10:13,320 --> 00:10:17,040 Speaker 1: Sal Ryan Lehman Brothers Sports Advisory business, one of the 207 00:10:17,040 --> 00:10:19,440 Speaker 1: big bankers out there, does a lot of the biggest deals. Sal, 208 00:10:19,600 --> 00:10:21,720 Speaker 1: thanks for coming in today. Oh it's a pleasure. I 209 00:10:21,760 --> 00:10:23,600 Speaker 1: love dealing with you guys. You guys are the best. 210 00:10:23,640 --> 00:10:27,000 Speaker 1: Well you realize the listeners have to thank you. Michael. 211 00:10:27,000 --> 00:10:29,640 Speaker 1: Do you remember our pilot episode when we had the 212 00:10:29,720 --> 00:10:32,560 Speaker 1: idea to do this? It was Sal and David Stern 213 00:10:33,120 --> 00:10:34,920 Speaker 1: and they must have liked what they heard, the bosses, 214 00:10:34,920 --> 00:10:36,280 Speaker 1: because here we are, I don't know how how many 215 00:10:36,360 --> 00:10:38,439 Speaker 1: years later, still doing it. Wow, that's an s a 216 00:10:38,520 --> 00:10:40,840 Speaker 1: T question, right, which one of these two people don't belong? 217 00:10:42,240 --> 00:10:46,760 Speaker 1: That would be me. Let's let's get to what's in 218 00:10:46,800 --> 00:10:49,280 Speaker 1: the news, because you're gonna tell me you can't talk 219 00:10:49,280 --> 00:10:51,920 Speaker 1: about it, but let's do it anyway. Because we reported 220 00:10:52,000 --> 00:10:55,360 Speaker 1: last week that you are starting a five hundred million 221 00:10:55,400 --> 00:10:58,640 Speaker 1: dollar fund, and this comes in response to baseball changing 222 00:10:58,679 --> 00:11:02,920 Speaker 1: its ownership rule allowing for investment funds to buy into teams. 223 00:11:03,360 --> 00:11:06,880 Speaker 1: So I hear you're you are starting a fund. You 224 00:11:07,000 --> 00:11:09,880 Speaker 1: got a hundred investors million dollar minimums oud. What can 225 00:11:09,880 --> 00:11:12,080 Speaker 1: you tell me about this? You're killing me. I can't 226 00:11:12,080 --> 00:11:16,160 Speaker 1: tell anything. So we'll move on to the next that 227 00:11:16,320 --> 00:11:18,720 Speaker 1: we have to ask. But we do have to ask. 228 00:11:19,320 --> 00:11:22,839 Speaker 1: Let's talk about limited partnerships in general. Though you did 229 00:11:22,920 --> 00:11:25,640 Speaker 1: help sell some for the Dodgers. I am writing a 230 00:11:25,679 --> 00:11:28,880 Speaker 1: lot about something that doesn't usually get a lot of tension, 231 00:11:29,080 --> 00:11:32,880 Speaker 1: and that is LP stakes in sports franchises. Why do 232 00:11:33,000 --> 00:11:35,720 Speaker 1: folks take it? And is there a liquidity problem these days? 233 00:11:35,720 --> 00:11:38,520 Speaker 1: Trying to get out now? People do it for a 234 00:11:38,520 --> 00:11:41,319 Speaker 1: whole bunch of reasons. Look, there aren't a lot of 235 00:11:41,320 --> 00:11:44,200 Speaker 1: control sales going on right now. I mean they haven't 236 00:11:44,240 --> 00:11:46,760 Speaker 1: been for a while. Um, So it's a way to 237 00:11:46,760 --> 00:11:50,200 Speaker 1: get into the business. People. Look, it's the only business 238 00:11:50,240 --> 00:11:52,400 Speaker 1: in the world that has its own section in the 239 00:11:52,440 --> 00:11:56,520 Speaker 1: newspaper every day. Right. People love certain franchises they want 240 00:11:56,520 --> 00:11:59,319 Speaker 1: to get in. The Economics of sports in general have 241 00:11:59,440 --> 00:12:04,240 Speaker 1: improved tremendously over god years ago. When I started this business, 242 00:12:04,559 --> 00:12:06,960 Speaker 1: most of these teams lost money and they were mom 243 00:12:07,000 --> 00:12:10,160 Speaker 1: and pop businesses. Think about it, What did George Steinberger 244 00:12:10,280 --> 00:12:13,200 Speaker 1: pay for the Yankees? Nothing? Right? And now it's a 245 00:12:13,280 --> 00:12:17,160 Speaker 1: multi billion dollar enterprise. So across the board, people love 246 00:12:17,200 --> 00:12:22,320 Speaker 1: the investment and you're seeing more of it because there's 247 00:12:22,320 --> 00:12:24,719 Speaker 1: a real demand for this stuff. As the banker who 248 00:12:24,720 --> 00:12:27,760 Speaker 1: advises on the buying and selling, you have to look at, 249 00:12:27,800 --> 00:12:30,440 Speaker 1: obviously all the revenue streams and what affects the valuation 250 00:12:30,520 --> 00:12:33,560 Speaker 1: of these teams. Do you point to the media as 251 00:12:33,640 --> 00:12:36,040 Speaker 1: the main driver? And it must be hard to value 252 00:12:36,040 --> 00:12:38,480 Speaker 1: with going forward because my Lord of changes so quickly, 253 00:12:38,520 --> 00:12:40,440 Speaker 1: who knows what what the landscape is gonna be? Like? 254 00:12:40,880 --> 00:12:43,720 Speaker 1: Media is a key driver. It's not the only driver, 255 00:12:43,760 --> 00:12:47,839 Speaker 1: but it's a key driver because as technology continues to improve. Right, 256 00:12:48,960 --> 00:12:53,120 Speaker 1: if you're an advertiser, you can you can record your 257 00:12:53,160 --> 00:12:55,760 Speaker 1: favorite show, edit out all the commercials, watch it anytime 258 00:12:55,760 --> 00:12:57,720 Speaker 1: you want. You know what you can't do that with 259 00:12:58,240 --> 00:13:02,040 Speaker 1: is sports. People watch it live like six or whatever 260 00:13:02,040 --> 00:13:04,439 Speaker 1: it is. Watch it live. If you notice scored of 261 00:13:04,800 --> 00:13:07,240 Speaker 1: the jet game from last night, are you gonna watch it? 262 00:13:08,120 --> 00:13:10,520 Speaker 1: You may not have watched it to begin with, but 263 00:13:11,559 --> 00:13:14,360 Speaker 1: you certainly wouldn't watch it again after you neew the score, right, 264 00:13:14,640 --> 00:13:17,720 Speaker 1: So the value to an advertiser is very high, and 265 00:13:17,800 --> 00:13:20,640 Speaker 1: there are very few are the types of media content 266 00:13:20,840 --> 00:13:23,160 Speaker 1: maybe the news, breaking new stuff like that that people 267 00:13:23,200 --> 00:13:26,400 Speaker 1: watch as it occurs. Well, that's the entire new Fox strategy, 268 00:13:26,640 --> 00:13:30,360 Speaker 1: live news and sports. That's it, right, and and that's 269 00:13:30,360 --> 00:13:32,839 Speaker 1: a driver. Right. So that's a key I think what 270 00:13:32,960 --> 00:13:35,240 Speaker 1: you're starting to you see more and more of, and 271 00:13:35,440 --> 00:13:38,240 Speaker 1: especially as they begin to legalize it across the country's gaming. 272 00:13:38,760 --> 00:13:43,160 Speaker 1: Gaming really affects what they call fan affinity. It's people 273 00:13:43,280 --> 00:13:46,240 Speaker 1: watching games that they don't even care what the outcome is, 274 00:13:46,280 --> 00:13:49,080 Speaker 1: but they care because they've bet on it, right, And 275 00:13:49,120 --> 00:13:51,600 Speaker 1: that's a tailwind for sports too. I know nobody likes 276 00:13:51,600 --> 00:13:56,560 Speaker 1: to talk about that, but that's coming. So that's that's 277 00:13:56,600 --> 00:14:01,480 Speaker 1: the key driver. Oh I love it, love it. Oh yeah, 278 00:14:01,520 --> 00:14:04,000 Speaker 1: I'm a huge fantasy sports fan. And that goes back 279 00:14:04,000 --> 00:14:07,520 Speaker 1: to what you're saying, just a moment ago. Sports has 280 00:14:07,640 --> 00:14:11,679 Speaker 1: such a small shelf life because it's live and like 281 00:14:11,720 --> 00:14:14,120 Speaker 1: you said, it's like once you know the score. It 282 00:14:14,200 --> 00:14:16,640 Speaker 1: wasn't like the old days where you know, forty years ago, 283 00:14:16,800 --> 00:14:21,840 Speaker 1: don't tell me, you won don't tell me. And my 284 00:14:22,160 --> 00:14:25,080 Speaker 1: father almost blew the whole thing one time when one 285 00:14:25,160 --> 00:14:27,320 Speaker 1: I was I was so anyway an don't mind me, 286 00:14:27,600 --> 00:14:36,560 Speaker 1: but but but today I love him. But then with 287 00:14:36,680 --> 00:14:42,120 Speaker 1: Twitter and everything, it's almost impossible to avoid that. Uh 288 00:14:42,240 --> 00:14:45,360 Speaker 1: what can sports do maybe to try to extend its 289 00:14:45,360 --> 00:14:49,600 Speaker 1: shelf life? Well, look, the beauty of sports is think 290 00:14:49,640 --> 00:14:52,440 Speaker 1: of how the product life cycles of company of companies 291 00:14:52,480 --> 00:14:56,120 Speaker 1: are shrunk. I I teach a class, and I go 292 00:14:56,280 --> 00:15:00,400 Speaker 1: through like when I was a baby banker, the biggest 293 00:15:00,400 --> 00:15:02,480 Speaker 1: companies the United States, and how many of them don't 294 00:15:02,480 --> 00:15:06,840 Speaker 1: exist anymore. Digital equipment, Data General, kodact I mean names 295 00:15:06,840 --> 00:15:09,400 Speaker 1: that you would think would never go away, they went away. 296 00:15:09,600 --> 00:15:12,280 Speaker 1: The shelf life of sports, the product life life cycles 297 00:15:12,400 --> 00:15:15,120 Speaker 1: really long because it doesn't really change that much. It's 298 00:15:15,160 --> 00:15:19,240 Speaker 1: not affected by technology that much. Um. And so you know, 299 00:15:19,960 --> 00:15:23,920 Speaker 1: you've built a fan base that goes back generations to 300 00:15:23,920 --> 00:15:25,760 Speaker 1: watch this stuff. You know, I teach my kids to 301 00:15:25,800 --> 00:15:28,720 Speaker 1: be a fan of the Yankees, I or the Giants 302 00:15:28,800 --> 00:15:31,760 Speaker 1: or whatever, and they teach their children, they teach their children. 303 00:15:31,800 --> 00:15:36,640 Speaker 1: So the fact is that it's a very stable industry 304 00:15:36,840 --> 00:15:39,720 Speaker 1: relative to to the other ones. There are some changes 305 00:15:39,760 --> 00:15:44,000 Speaker 1: made because look, football, it's concussion issues and there are 306 00:15:44,000 --> 00:15:48,120 Speaker 1: some other issues, but um, it's a great business to 307 00:15:48,120 --> 00:15:50,560 Speaker 1: be in. The Other thing I've learned is my first 308 00:15:50,760 --> 00:15:53,680 Speaker 1: entrepreneurial venture was when I was ten years old. I 309 00:15:53,720 --> 00:15:56,720 Speaker 1: was shining shoes. Do you know what My clients wanted 310 00:15:56,760 --> 00:16:01,120 Speaker 1: to talk about? Sports? They beat I'd be shining issues 311 00:16:01,160 --> 00:16:03,320 Speaker 1: and we talked about I started in sixty two, So 312 00:16:03,440 --> 00:16:05,880 Speaker 1: they talked about the new Mets team and how terrible, 313 00:16:05,960 --> 00:16:08,840 Speaker 1: like very well, and they were great. That was something. 314 00:16:10,320 --> 00:16:13,360 Speaker 1: Are you kidding me? The Jay hook and hot Rod kneel. 315 00:16:13,560 --> 00:16:15,960 Speaker 1: I mean to Chu Coleman, give me a break, But 316 00:16:16,000 --> 00:16:18,160 Speaker 1: that's what people talk about. And it's easy to talk 317 00:16:18,160 --> 00:16:21,200 Speaker 1: about sports. It's not controversial. You're talking about anything else, 318 00:16:21,200 --> 00:16:24,400 Speaker 1: you get into an argument. Yeah, that's true, right, unless 319 00:16:24,400 --> 00:16:27,160 Speaker 1: you're talking about the Detroit Lions and the refs. I'm sorry, 320 00:16:28,480 --> 00:16:34,200 Speaker 1: I'm sorry, yeah, but yeah, I mean it's sports is 321 00:16:34,360 --> 00:16:37,320 Speaker 1: a common denominator where everybody can come together. And I 322 00:16:37,320 --> 00:16:40,480 Speaker 1: think that's one of the most important things about what 323 00:16:40,560 --> 00:16:43,360 Speaker 1: you do for a living. That makes it profitable and 324 00:16:43,720 --> 00:16:46,720 Speaker 1: worth while. And I get to deal with some of 325 00:16:46,720 --> 00:16:50,520 Speaker 1: the greatest characters. I mean, I go back in this 326 00:16:50,600 --> 00:16:54,120 Speaker 1: business twenty seven years, so I've done deals with George Steinbrenner. 327 00:16:54,640 --> 00:16:59,760 Speaker 1: George was a pet story, George Steinbrenner story. I mean, 328 00:16:59,760 --> 00:17:02,680 Speaker 1: how many are there? We were selling limited partnerships in 329 00:17:02,720 --> 00:17:04,760 Speaker 1: the Yankees. Those are the same folks that, by the way, 330 00:17:04,800 --> 00:17:07,480 Speaker 1: can't get out to this day. Yeah. Right, and we 331 00:17:07,560 --> 00:17:11,200 Speaker 1: had nineteen I had nineteen parks. You get preferred parking, No, 332 00:17:11,400 --> 00:17:14,520 Speaker 1: preferred seating. No, you get a championship ring if we're 333 00:17:14,560 --> 00:17:18,119 Speaker 1: in the World Series. So all right, George, what do 334 00:17:18,160 --> 00:17:21,200 Speaker 1: you get if you put in million bucks? He said, 335 00:17:21,240 --> 00:17:23,400 Speaker 1: you get the right to buy a seat at Yankee Stadium. 336 00:17:23,520 --> 00:17:26,080 Speaker 1: I said, I have a right to buy. And he 337 00:17:26,119 --> 00:17:27,880 Speaker 1: said to me, if you kni'd do would all hire 338 00:17:28,040 --> 00:17:31,360 Speaker 1: some bleep? Who can I said, no, no, I can 339 00:17:31,400 --> 00:17:33,560 Speaker 1: do it. I can do it. But remember the famous quote, 340 00:17:33,600 --> 00:17:35,840 Speaker 1: there's nothing more limiting than being a limited partner to 341 00:17:35,880 --> 00:17:38,159 Speaker 1: George stein brother, that's true. And I mean they're like 342 00:17:38,400 --> 00:17:41,200 Speaker 1: amazing people, like even you know the guys I pick 343 00:17:41,280 --> 00:17:43,240 Speaker 1: up the phone and talk to. Now. I remember as 344 00:17:43,280 --> 00:17:45,440 Speaker 1: a little kid sitting on a stoop in Brooklyn. Right, 345 00:17:46,560 --> 00:17:49,280 Speaker 1: the Giants run on TV for the championship games, you 346 00:17:49,320 --> 00:17:51,240 Speaker 1: have to listen on the radio. If they played in 347 00:17:51,280 --> 00:17:54,359 Speaker 1: New York right, and I used to listen here about 348 00:17:54,359 --> 00:17:56,879 Speaker 1: Wellington Mara and I got to work at Wellington marraw 349 00:17:56,920 --> 00:17:58,639 Speaker 1: on the building in the meadow Lands. I mean, it 350 00:17:58,720 --> 00:18:01,720 Speaker 1: was like, it's amazing. Some of these people are incredible 351 00:18:02,000 --> 00:18:05,439 Speaker 1: people and incredible characters, so it's fun. We're speaking with 352 00:18:05,480 --> 00:18:08,680 Speaker 1: Sal Galacyoto, founder of Galacioto Sports Partners, and Sal, I 353 00:18:08,760 --> 00:18:10,800 Speaker 1: want to ask you about a sports business story that's 354 00:18:10,800 --> 00:18:12,680 Speaker 1: been in the news a little bit. Some folks may 355 00:18:12,720 --> 00:18:16,360 Speaker 1: know about it, some may not. NBA player Spencer Dinwiddie, 356 00:18:16,359 --> 00:18:18,399 Speaker 1: who plays for the Nets right now, is in the 357 00:18:18,440 --> 00:18:21,840 Speaker 1: process of trying to essentially create a new asset class 358 00:18:22,119 --> 00:18:26,159 Speaker 1: called athletes right and sell steaks in himself or his 359 00:18:26,280 --> 00:18:29,440 Speaker 1: contract UH to two people, essentially a bond right that 360 00:18:29,480 --> 00:18:33,920 Speaker 1: will pay an annualized amount um. The NBA is pushing 361 00:18:33,920 --> 00:18:36,000 Speaker 1: back on it a little bit. There have been attempts 362 00:18:36,040 --> 00:18:38,880 Speaker 1: at this concept in the past of of people investing 363 00:18:38,880 --> 00:18:41,480 Speaker 1: in athletes. This seems a little bit different. Give me 364 00:18:41,520 --> 00:18:44,040 Speaker 1: your thoughts on what you think Spencer is doing and 365 00:18:44,400 --> 00:18:46,920 Speaker 1: if you think there's a future here, look there may be. 366 00:18:47,280 --> 00:18:49,880 Speaker 1: First of all, I have to commend him. He's obviously 367 00:18:49,960 --> 00:18:53,119 Speaker 1: really smart and really creative, and that's good. I like 368 00:18:53,240 --> 00:18:55,760 Speaker 1: those things and people. The problem here, I think the 369 00:18:55,760 --> 00:18:58,800 Speaker 1: major hurdle is one to return rate. You've got to 370 00:18:58,840 --> 00:19:01,280 Speaker 1: look at the risk return to asian and is it right? 371 00:19:01,720 --> 00:19:04,679 Speaker 1: I don't know, Yeah, it's kind of. I mean, you 372 00:19:04,680 --> 00:19:08,560 Speaker 1: could buy tenuere treasuries at one point eight today, so 373 00:19:08,800 --> 00:19:12,080 Speaker 1: is that spread enough? Maybe? Maybe not. I think the 374 00:19:12,080 --> 00:19:14,520 Speaker 1: other thing is the league, and the league is saying 375 00:19:14,640 --> 00:19:18,280 Speaker 1: it violates the like the bargaining agreement. Does it doesn't it? 376 00:19:18,840 --> 00:19:21,359 Speaker 1: I don't know. Unless he gets the league on board, 377 00:19:21,440 --> 00:19:23,320 Speaker 1: it's gonna be very difficult to get this done. You're 378 00:19:23,359 --> 00:19:26,040 Speaker 1: actually the perfect person to ask. If I'm Spencer Dinwitty 379 00:19:26,200 --> 00:19:28,439 Speaker 1: and I'm an NBA player with a thirty four million 380 00:19:28,440 --> 00:19:31,560 Speaker 1: dollar contract, and I walk into a bank and ask 381 00:19:31,680 --> 00:19:34,400 Speaker 1: for a loan based on what I have coming in 382 00:19:34,440 --> 00:19:36,919 Speaker 1: on this contract, what what kind of rate would I 383 00:19:36,960 --> 00:19:39,439 Speaker 1: be probably looking? I mean, essentially, this is what he's doing, right, 384 00:19:39,440 --> 00:19:43,160 Speaker 1: He's getting up front money for you know, the contract 385 00:19:43,160 --> 00:19:45,520 Speaker 1: that he has. Yeah, you'd probably. I mean, look, I 386 00:19:45,560 --> 00:19:47,840 Speaker 1: don't do personal loan, so I don't know, but I 387 00:19:47,880 --> 00:19:50,760 Speaker 1: would think that the base rate is lie bar, which 388 00:19:50,800 --> 00:19:52,919 Speaker 1: is what one percent? Right, now let's say it is, 389 00:19:53,240 --> 00:19:55,399 Speaker 1: you'd probably have to pay three or four percent above that, 390 00:19:55,440 --> 00:19:58,760 Speaker 1: which to maybe a five percent rate, right, because there's 391 00:19:58,880 --> 00:20:03,080 Speaker 1: risk something could happen with that contract. It's their exclusion. 392 00:20:03,080 --> 00:20:08,520 Speaker 1: Every clauses in the contract. I mean, work the work stop, 393 00:20:08,520 --> 00:20:11,640 Speaker 1: but you gets suspended, he could who knows what could happen, 394 00:20:11,720 --> 00:20:13,760 Speaker 1: So the bank's gonna charge you with spread, right, that's 395 00:20:13,800 --> 00:20:17,399 Speaker 1: how they make money. I think. I think he's going 396 00:20:17,480 --> 00:20:21,040 Speaker 1: to have an interesting job selling this to investors because 397 00:20:21,040 --> 00:20:23,639 Speaker 1: they're gonna have to be qualified and qualified and a 398 00:20:23,680 --> 00:20:26,040 Speaker 1: minimum investments a hundred fifty grands, so it's not a 399 00:20:26,080 --> 00:20:29,920 Speaker 1: small investment. I don't know, but as you said, it's 400 00:20:29,960 --> 00:20:33,000 Speaker 1: been tried before and it really hasn't been very successful. 401 00:20:33,000 --> 00:20:34,520 Speaker 1: I would love for this to be sort of a 402 00:20:34,560 --> 00:20:36,440 Speaker 1: trend and like didn't what he pay out, what he does, 403 00:20:36,480 --> 00:20:38,480 Speaker 1: gets his guaranteed lumps on payment, and then he goes 404 00:20:38,520 --> 00:20:43,160 Speaker 1: and buys in like you know, Anthony Davis, which players 405 00:20:43,200 --> 00:20:47,760 Speaker 1: are investing in? Which fantasy that could happen? Garry, if 406 00:20:47,800 --> 00:20:50,800 Speaker 1: he gets a cadre of players right together, they could 407 00:20:50,800 --> 00:20:54,040 Speaker 1: trade their future earnings amongst themselves. I mean, it's it's 408 00:20:54,080 --> 00:20:56,159 Speaker 1: really kind of interesting idea. I was gonna ask if 409 00:20:56,200 --> 00:20:58,800 Speaker 1: I'm Joe Tye, owner of the Brooklyn Nets, and my 410 00:20:58,880 --> 00:21:01,119 Speaker 1: investing in Spencer didn't with so that if he blows 411 00:21:01,200 --> 00:21:03,600 Speaker 1: up and he gets a massive contract deal from somewhere else, 412 00:21:03,960 --> 00:21:05,919 Speaker 1: I'm at least sharing in the money that I'm getting 413 00:21:05,920 --> 00:21:08,880 Speaker 1: a hedge. Right in theory, it's a hedge. But would 414 00:21:08,880 --> 00:21:12,160 Speaker 1: the league allow an owner to invest in a whole? 415 00:21:12,840 --> 00:21:15,040 Speaker 1: I was just gonna ask that, because now that becomes 416 00:21:15,040 --> 00:21:18,520 Speaker 1: a conflict of interest, correct, I mean I remember back 417 00:21:18,520 --> 00:21:23,880 Speaker 1: in the day, Well, here I go again. We're going 418 00:21:23,920 --> 00:21:28,200 Speaker 1: back there the dinosaur with the pistons, and you were 419 00:21:28,760 --> 00:21:31,399 Speaker 1: ing that's it. You didn't know, you didn't care about 420 00:21:31,440 --> 00:21:35,520 Speaker 1: the other team. And if someone came into Cobo Arena 421 00:21:35,600 --> 00:21:41,080 Speaker 1: man messing with him arena, look at you. I like that. 422 00:21:41,240 --> 00:21:44,840 Speaker 1: Now it has changed so much, and just what Evan 423 00:21:44,920 --> 00:21:47,200 Speaker 1: and Scott had mentioned, it's like now you're you're talking 424 00:21:47,240 --> 00:21:50,320 Speaker 1: about buying shares and and other players. Maybe an old 425 00:21:50,359 --> 00:21:52,000 Speaker 1: guy like me, I don't understand you ever work with 426 00:21:52,320 --> 00:21:54,480 Speaker 1: makes the amount of money we're talking about now, right, 427 00:21:55,080 --> 00:21:57,480 Speaker 1: for thirteen million dollars when they were playing, Cobo Arena 428 00:21:57,520 --> 00:22:01,600 Speaker 1: could have bought the Pistons. Yeah, it's sticking with the Pistess. 429 00:22:01,640 --> 00:22:04,320 Speaker 1: Ever work with Bill Davidson, Oh yeah, Mr Day. I 430 00:22:04,359 --> 00:22:06,680 Speaker 1: loved Mr Day. He was a wonderful guy. We actually 431 00:22:06,680 --> 00:22:09,239 Speaker 1: sold the Tampa Bay Lightning when he owned it, and 432 00:22:09,320 --> 00:22:11,040 Speaker 1: we did business with the Pistons, who did a lot. 433 00:22:11,119 --> 00:22:13,199 Speaker 1: I used to go to Detroit all the time. I 434 00:22:13,240 --> 00:22:16,080 Speaker 1: loved him. He was a wonderful owner. When you're evaluating 435 00:22:16,480 --> 00:22:20,080 Speaker 1: an opportunity for a prospective buyer, doesn't matter the league, 436 00:22:20,400 --> 00:22:23,520 Speaker 1: think about what Bill Davidson was looking at and think 437 00:22:23,560 --> 00:22:26,040 Speaker 1: about and what he was going to have to pay, 438 00:22:26,160 --> 00:22:28,720 Speaker 1: and then, by the way, what the current folks are 439 00:22:28,720 --> 00:22:31,320 Speaker 1: going to have to pay, and how they evaluate if 440 00:22:31,359 --> 00:22:33,720 Speaker 1: I'm let's say, say David Temper, because that's a recent sale. 441 00:22:34,160 --> 00:22:36,520 Speaker 1: I have to look at real estate. I have to 442 00:22:36,520 --> 00:22:39,200 Speaker 1: look at media, I have to look at gaming. How 443 00:22:39,240 --> 00:22:41,600 Speaker 1: more how much more difficult is it these days to 444 00:22:41,760 --> 00:22:45,840 Speaker 1: sort of look at the opportunities and the r o 445 00:22:46,080 --> 00:22:49,639 Speaker 1: Y for the investment required in Wellington Mara a fairly 446 00:22:49,680 --> 00:22:52,200 Speaker 1: small amount to get in. Oh it's huge. I mean, 447 00:22:52,240 --> 00:22:55,040 Speaker 1: forget all that is absolutely true you said, but just 448 00:22:55,080 --> 00:22:57,000 Speaker 1: think about the size of the check you after write. Now, 449 00:22:57,359 --> 00:23:00,000 Speaker 1: I mean when Mr D bought the Pistons, it probably 450 00:23:00,160 --> 00:23:02,439 Speaker 1: was three percent of his net worth. But now if 451 00:23:02,480 --> 00:23:04,719 Speaker 1: you're going to buy the Pistons, it's a huge slugger 452 00:23:04,800 --> 00:23:06,880 Speaker 1: in networks. So you've got to get it right right, 453 00:23:07,240 --> 00:23:09,320 Speaker 1: you gotta, and you have to understand the market, the 454 00:23:09,320 --> 00:23:13,359 Speaker 1: demographics of the market, your fan base, media. As you said, 455 00:23:13,520 --> 00:23:15,320 Speaker 1: what condition is the building in? Do you need a 456 00:23:15,320 --> 00:23:17,440 Speaker 1: new building? You're gonna need a new building in five years. 457 00:23:17,600 --> 00:23:19,640 Speaker 1: I've been told a lot of perspective buyers these days 458 00:23:19,640 --> 00:23:23,159 Speaker 1: are looking at opportunities where they can actually do something 459 00:23:23,160 --> 00:23:25,720 Speaker 1: with media and they can do something with real estate. 460 00:23:25,840 --> 00:23:28,280 Speaker 1: They don't want the plug and play because the opportunity 461 00:23:28,320 --> 00:23:30,879 Speaker 1: outside of just the game isn't there for them. That's true. 462 00:23:30,960 --> 00:23:33,000 Speaker 1: I mean, look, if if you're buying a building in 463 00:23:33,000 --> 00:23:35,000 Speaker 1: a place where you can do a lot of really 464 00:23:35,040 --> 00:23:37,960 Speaker 1: good real estate development around the building, yeah, I mean 465 00:23:38,000 --> 00:23:40,640 Speaker 1: that's a plus. If you have a media contract that's 466 00:23:40,680 --> 00:23:43,680 Speaker 1: coming due for renewal, your local media contract, yeah that's 467 00:23:43,680 --> 00:23:48,159 Speaker 1: a plus. If if you have a payroll where you 468 00:23:48,160 --> 00:23:50,640 Speaker 1: have flexibility, where you don't have a lot of long 469 00:23:50,720 --> 00:23:55,000 Speaker 1: term contracts that tie you up forever, Yeah, that's flexibility. 470 00:23:55,080 --> 00:23:57,159 Speaker 1: But there's also downside to that, because if you have 471 00:23:57,160 --> 00:23:59,159 Speaker 1: a really good team and you have players that are 472 00:23:59,200 --> 00:24:02,119 Speaker 1: running off pretty as then you have to either resign them, 473 00:24:02,240 --> 00:24:05,760 Speaker 1: let them walk, and rebuild a team that's harder. So 474 00:24:06,800 --> 00:24:09,320 Speaker 1: they're all kinds of variables here. And we spend I 475 00:24:09,320 --> 00:24:11,920 Speaker 1: can't tell you how much time we spend just crunching 476 00:24:12,040 --> 00:24:15,320 Speaker 1: numbers and and thinking about things about educating would be owners. 477 00:24:15,320 --> 00:24:18,760 Speaker 1: How much time you spend educating them on how how 478 00:24:18,760 --> 00:24:20,679 Speaker 1: difficult it is that it just isn't looking. I mean, 479 00:24:20,760 --> 00:24:22,840 Speaker 1: Dan Snyder said, I can't believe they sold the team 480 00:24:22,840 --> 00:24:25,800 Speaker 1: to a thirty or four year old. You didn't know it. Look, 481 00:24:25,840 --> 00:24:27,880 Speaker 1: it is difficult, but think about who you're dealing with, 482 00:24:27,920 --> 00:24:30,719 Speaker 1: every single person because of the price of these teams, 483 00:24:31,640 --> 00:24:33,840 Speaker 1: it's made a lot of money doing something else, and 484 00:24:33,840 --> 00:24:37,719 Speaker 1: they're all pretty smart, like, yes, it's a completely different business. 485 00:24:37,720 --> 00:24:40,120 Speaker 1: And part of the problem is some of the people 486 00:24:40,119 --> 00:24:43,680 Speaker 1: that come into the business they don't do enough due diligence. 487 00:24:43,720 --> 00:24:45,879 Speaker 1: They they try to do it on their own and 488 00:24:45,920 --> 00:24:50,280 Speaker 1: they miss certain things that are very specific to this business. Right. 489 00:24:50,359 --> 00:24:53,720 Speaker 1: For instance, you're looking at demographics of the Miami market 490 00:24:53,840 --> 00:24:58,199 Speaker 1: and you say to yourself, it's growing, it's good weather, 491 00:24:58,600 --> 00:25:02,919 Speaker 1: there's no taxes in the state to Florida, it's wonderful. Well, okay, 492 00:25:03,000 --> 00:25:06,480 Speaker 1: it depends on the sport you buy, right. Where is 493 00:25:06,480 --> 00:25:10,560 Speaker 1: that when his baseball played? What season it's hot? Right? 494 00:25:10,720 --> 00:25:16,520 Speaker 1: And where is every wealthy person in Miami when it's hot? Right? 495 00:25:16,640 --> 00:25:18,720 Speaker 1: And so if you want to sell all these luxury 496 00:25:18,760 --> 00:25:20,720 Speaker 1: suites and you want to sell club seats and you 497 00:25:20,760 --> 00:25:23,640 Speaker 1: want to charge eight hundred dollars for a ticket, everybody 498 00:25:23,920 --> 00:25:26,320 Speaker 1: paid hundred alls for a ticket is someplace else. So 499 00:25:26,359 --> 00:25:29,119 Speaker 1: do you know why Mickey Harrison did that calculus? And 500 00:25:29,160 --> 00:25:31,760 Speaker 1: he understood that the battle for the entertainment dollar in 501 00:25:31,760 --> 00:25:36,359 Speaker 1: Miami clubs, restaurants, it's tough. He understood that his team 502 00:25:36,400 --> 00:25:38,840 Speaker 1: needed to be more than just good. He needed to 503 00:25:38,840 --> 00:25:41,440 Speaker 1: have sizzle. It had to be a place to be seen. 504 00:25:41,920 --> 00:25:45,200 Speaker 1: That's why he had Shot show up in the tractor trailer. 505 00:25:45,560 --> 00:25:48,000 Speaker 1: That's why he said, I need to put together Chris Bosh, 506 00:25:48,080 --> 00:25:51,200 Speaker 1: Dwayne Wade, and Lebron James because having just a good 507 00:25:51,200 --> 00:25:54,439 Speaker 1: team of of let's just say middle name players, but 508 00:25:54,480 --> 00:25:57,439 Speaker 1: a good winning team is not enough in that market. No, 509 00:25:57,560 --> 00:25:59,880 Speaker 1: it's really tough, and some markets so much more difficult 510 00:25:59,880 --> 00:26:03,200 Speaker 1: than other markets. They just start. Look, if you own 511 00:26:03,240 --> 00:26:05,639 Speaker 1: the Lakers in l A, you own the Lakers, that 512 00:26:05,760 --> 00:26:09,560 Speaker 1: brand is a great brand. In some other markets, the 513 00:26:09,600 --> 00:26:13,360 Speaker 1: demographics is going to work against you because the market shrinking, 514 00:26:13,520 --> 00:26:16,399 Speaker 1: per capita income is shrinking, Companies are leaving. What do 515 00:26:16,440 --> 00:26:17,960 Speaker 1: you do? It doesn't matter how well you run the 516 00:26:18,000 --> 00:26:21,080 Speaker 1: team right. In five years when your local media contract 517 00:26:21,160 --> 00:26:23,280 Speaker 1: comes up, there's just fewer people you're gonna get. It's 518 00:26:23,359 --> 00:26:26,840 Speaker 1: very difficult to move up right thinking, thinking more broadly 519 00:26:27,240 --> 00:26:31,000 Speaker 1: outside of just individual markets, if every major US league 520 00:26:31,040 --> 00:26:34,040 Speaker 1: was was treatable, was it was a publicly owned company, 521 00:26:34,280 --> 00:26:36,760 Speaker 1: where would you be putting your dollars if you had 522 00:26:36,760 --> 00:26:42,919 Speaker 1: to invest in one? Depends on the team generically. I 523 00:26:42,960 --> 00:26:48,400 Speaker 1: mean to me, look, large market, great brands in all sports. 524 00:26:48,960 --> 00:26:52,000 Speaker 1: You look, people say, all right, hockey is the FOURD sport. 525 00:26:52,440 --> 00:26:55,280 Speaker 1: But if you're talking about hockey in Toronto, where am 526 00:26:55,280 --> 00:26:58,200 Speaker 1: I putting my money? Hockey in Montreal? Am I putting 527 00:26:58,200 --> 00:27:00,320 Speaker 1: my money in a baseball team that might move muchro 528 00:27:00,480 --> 00:27:04,280 Speaker 1: might put my money into the Canadians, Okay? Or in 529 00:27:04,400 --> 00:27:08,320 Speaker 1: certain markets certain sports. Everybody says the NFL is a 530 00:27:08,359 --> 00:27:11,560 Speaker 1: top sport in every market, but in some markets it's 531 00:27:11,600 --> 00:27:13,680 Speaker 1: just not. I mean, I would argue when New York 532 00:27:13,680 --> 00:27:16,160 Speaker 1: the Yankees in the top brand right now. And also 533 00:27:16,200 --> 00:27:18,520 Speaker 1: there are places where the demographics are very positive. If 534 00:27:18,560 --> 00:27:20,600 Speaker 1: you might buy the team today, but if the market's 535 00:27:20,640 --> 00:27:23,080 Speaker 1: growing very quickly, you might want to be in that 536 00:27:23,160 --> 00:27:26,480 Speaker 1: market right More specifically, about about leagues as a whole, 537 00:27:27,000 --> 00:27:29,040 Speaker 1: are there any which leagues do you think are just 538 00:27:29,160 --> 00:27:31,200 Speaker 1: on the upswing in terms of what they're doing down 539 00:27:32,040 --> 00:27:35,560 Speaker 1: If you have to, he's putting me in across put me, 540 00:27:35,680 --> 00:27:38,320 Speaker 1: I can't. I'm just curious. I don't view it that way. 541 00:27:38,359 --> 00:27:39,800 Speaker 1: I don't look at it that way. Look, if I 542 00:27:39,800 --> 00:27:43,080 Speaker 1: could buy the Chicago Blackhawks, would I buy them tomorrow? Yeah? 543 00:27:43,440 --> 00:27:46,159 Speaker 1: It's a huge market. They were a great brand, they 544 00:27:46,160 --> 00:27:49,080 Speaker 1: have a great logo, and they're playing a great building. 545 00:27:49,720 --> 00:27:52,119 Speaker 1: If you ask me about another hockey team in another market, 546 00:27:52,160 --> 00:27:55,000 Speaker 1: I might say I'd want to buy something else. It 547 00:27:55,000 --> 00:27:57,880 Speaker 1: it depends where you are. People may say by the South, 548 00:27:58,000 --> 00:28:01,040 Speaker 1: come on, but you know what, there's something to it. 549 00:28:01,160 --> 00:28:03,640 Speaker 1: My son, as you know, big hockey player. Yeah. Here 550 00:28:03,640 --> 00:28:05,520 Speaker 1: in New York we go watch the Devil's We've taken 551 00:28:05,520 --> 00:28:07,560 Speaker 1: a Mason Square Garden. I grew up an Islanders fan, 552 00:28:07,600 --> 00:28:09,080 Speaker 1: so I tried to get him into the Islanders. You know, 553 00:28:09,240 --> 00:28:13,280 Speaker 1: I picked the black Hawks. The logo. They loved the uniform. 554 00:28:13,480 --> 00:28:15,520 Speaker 1: How many colleges does it have? More college than any 555 00:28:15,680 --> 00:28:20,360 Speaker 1: any other logo? And right red And I'm serious, that 556 00:28:20,400 --> 00:28:24,240 Speaker 1: makes a difference. It's name recognition, right your draw fans, 557 00:28:24,400 --> 00:28:27,080 Speaker 1: it's the history of the team. It depends where you are. 558 00:28:27,640 --> 00:28:31,280 Speaker 1: Look the year George steinburn about the Yankees. Take a 559 00:28:31,280 --> 00:28:33,840 Speaker 1: guess at how many fans the year before the Yankees 560 00:28:33,920 --> 00:28:36,920 Speaker 1: drove in New York, the biggest market in the United States. Oh, 561 00:28:36,920 --> 00:28:39,320 Speaker 1: we're talking about the Greg Nettle years. It was probably 562 00:28:39,320 --> 00:28:43,880 Speaker 1: a smaller, real small, nine thousand people. So you look 563 00:28:43,920 --> 00:28:45,800 Speaker 1: at that team and say it plays in an old 564 00:28:45,840 --> 00:28:50,040 Speaker 1: building in the South Bronx, and nobody goes right. But 565 00:28:50,080 --> 00:28:53,000 Speaker 1: you know what, George understood the value of the Yankee brand. 566 00:28:53,880 --> 00:28:56,719 Speaker 1: If he could rebuild that team, people would come. And 567 00:28:56,760 --> 00:29:00,240 Speaker 1: the building was just as bad. It was was in 568 00:29:00,280 --> 00:29:03,200 Speaker 1: the same neighborhood. And you know what, you got Reggie Jackson, 569 00:29:03,200 --> 00:29:05,880 Speaker 1: you got cat fish Hunter and the place was fault. 570 00:29:05,960 --> 00:29:08,959 Speaker 1: Speaking of players, what happens when an owner has a 571 00:29:08,960 --> 00:29:15,480 Speaker 1: problem child Antonio Brown. What I mean this went from 572 00:29:15,600 --> 00:29:19,320 Speaker 1: the course you from the Steelers, then to the Raiders, 573 00:29:19,680 --> 00:29:22,400 Speaker 1: then to the New England Patriots, and then you shoot 574 00:29:22,440 --> 00:29:24,920 Speaker 1: off a note. It's like, what are you doing? Is? 575 00:29:25,040 --> 00:29:27,200 Speaker 1: How much does that cost the owner? When you have 576 00:29:27,280 --> 00:29:30,120 Speaker 1: somebody like that, it hurts. It hurts because it hurts 577 00:29:30,120 --> 00:29:33,760 Speaker 1: the team's performance, right, it hurts the brand. And then 578 00:29:33,800 --> 00:29:36,400 Speaker 1: the fan base doesn't care what the players doing as 579 00:29:36,400 --> 00:29:39,120 Speaker 1: long as the players catching touchdown passes, and they're gonna 580 00:29:39,120 --> 00:29:42,280 Speaker 1: get mad at you. But at some point, look, we're 581 00:29:42,320 --> 00:29:44,520 Speaker 1: not in the clubhouse. We don't know it affects the team. 582 00:29:44,600 --> 00:29:46,880 Speaker 1: We don't know how it affects the coaching staff. You know, 583 00:29:47,400 --> 00:29:50,120 Speaker 1: So the owner and the general manager is gonna make 584 00:29:50,120 --> 00:29:52,280 Speaker 1: the decision that's best for the team at that time. 585 00:29:52,320 --> 00:29:54,760 Speaker 1: It may not be in the long run, right, I 586 00:29:54,760 --> 00:29:58,120 Speaker 1: mean Antonio Brown, he's a wonderful talent. I mean, he's 587 00:29:58,160 --> 00:30:00,840 Speaker 1: tremendous talent, but just doesn't seem to be able to 588 00:30:00,880 --> 00:30:02,360 Speaker 1: fit in a lot of you gotta wonder what's going 589 00:30:02,400 --> 00:30:04,720 Speaker 1: on your core business. To Peter Nordstrom told me, and 590 00:30:04,720 --> 00:30:06,600 Speaker 1: remember his dad when they own the Seahawks, way back 591 00:30:06,600 --> 00:30:09,960 Speaker 1: when his dad told me if he ever traded away 592 00:30:10,560 --> 00:30:13,800 Speaker 1: a fan favorite or whatever, that they would get cut 593 00:30:13,880 --> 00:30:17,680 Speaker 1: up Nordstrom credit cards in the mail as protests. Oh yeah, 594 00:30:17,680 --> 00:30:20,320 Speaker 1: I gotta be careful. Oh yeah, look forget about the 595 00:30:20,360 --> 00:30:22,680 Speaker 1: United States, think about it. What it's like in Europe. 596 00:30:23,080 --> 00:30:26,320 Speaker 1: The fans are insane. I mean here, people cut up 597 00:30:26,360 --> 00:30:28,880 Speaker 1: your credit cards. Stand. They're trying to kill you. You know, 598 00:30:31,960 --> 00:30:36,640 Speaker 1: because because sports, sports is something that people get so 599 00:30:36,720 --> 00:30:40,880 Speaker 1: attached to the team that the team belongs to them, right. 600 00:30:40,920 --> 00:30:43,120 Speaker 1: It's almost like the owner kind of owns the team 601 00:30:43,360 --> 00:30:46,040 Speaker 1: and supposed to take care of it, but it's your team, right. 602 00:30:46,280 --> 00:30:48,920 Speaker 1: One of the bigger sports business stories of the past 603 00:30:48,960 --> 00:30:51,480 Speaker 1: few weeks, obviously, what happened with the NBA in China. 604 00:30:51,880 --> 00:30:55,080 Speaker 1: I'm curious as you you know, you evaluate, you know, 605 00:30:55,160 --> 00:30:57,080 Speaker 1: franchises all the time. Do you think that that what's 606 00:30:57,080 --> 00:30:58,880 Speaker 1: happened over the past couple of weeks the NBA in 607 00:30:58,960 --> 00:31:01,520 Speaker 1: China has a mati real impact on the value of 608 00:31:02,120 --> 00:31:05,520 Speaker 1: NBA franchises. Wow, that's a that's really a good question. 609 00:31:06,480 --> 00:31:09,080 Speaker 1: I don't think so right now. I think because there 610 00:31:09,120 --> 00:31:12,120 Speaker 1: are so few of them and they're scarce, and people 611 00:31:12,240 --> 00:31:15,760 Speaker 1: really would love to own one. I don't think so. 612 00:31:15,800 --> 00:31:17,920 Speaker 1: I think there are a lot more bidders than there 613 00:31:17,960 --> 00:31:21,760 Speaker 1: are teams that will become available over the long run. 614 00:31:21,840 --> 00:31:24,040 Speaker 1: The NBA has got to do something because China is 615 00:31:24,080 --> 00:31:27,440 Speaker 1: the second biggest market. Let's be honest. But I mean, 616 00:31:27,880 --> 00:31:32,120 Speaker 1: the league's in a tough spot here. But what about 617 00:31:32,120 --> 00:31:34,560 Speaker 1: for the Rockets specifically, just so for two point two 618 00:31:34,600 --> 00:31:37,320 Speaker 1: billion dollars and Tilman for Tita part of that valuation 619 00:31:37,360 --> 00:31:41,200 Speaker 1: obviously the team's tremendous popularity in China. To do the 620 00:31:41,320 --> 00:31:44,400 Speaker 1: Rockets themselves take a valuation hit, do you think? I 621 00:31:44,400 --> 00:31:46,520 Speaker 1: don't think so, because it's the league in general. League 622 00:31:46,520 --> 00:31:50,280 Speaker 1: revenues offshore a divided up amongst the teams. So yes, 623 00:31:50,400 --> 00:31:53,160 Speaker 1: the Rockets were the most popular team in China, but 624 00:31:53,240 --> 00:31:55,680 Speaker 1: I don't think economically it's going to a direct impact 625 00:31:55,920 --> 00:31:59,440 Speaker 1: on them anymore than it is on the league in general. Um. 626 00:31:59,480 --> 00:32:02,040 Speaker 1: But it's a spot they gotta figure out, you know. 627 00:32:02,120 --> 00:32:05,360 Speaker 1: I mean, this is not an easy thing, and it 628 00:32:05,400 --> 00:32:08,120 Speaker 1: depends on what happens in Hong Kong. So it's all 629 00:32:08,160 --> 00:32:10,120 Speaker 1: going on, by the way, as part of this bigger 630 00:32:10,160 --> 00:32:13,200 Speaker 1: trade discussion between the countries. Nothing operates in the vacuum, 631 00:32:13,320 --> 00:32:16,479 Speaker 1: correct and and the Chinese government is going to do 632 00:32:16,640 --> 00:32:19,160 Speaker 1: what's best for the Chinese government. They think what's best 633 00:32:19,200 --> 00:32:23,080 Speaker 1: for them. And you know, if I'm Adam Silver, I'm 634 00:32:23,160 --> 00:32:24,920 Speaker 1: I'm kind of scratching my head right now. I mean, 635 00:32:24,960 --> 00:32:26,920 Speaker 1: I think he's doing the best job he possibly can. 636 00:32:26,960 --> 00:32:28,400 Speaker 1: I have a huge amount of respect for him, but 637 00:32:28,400 --> 00:32:30,640 Speaker 1: it's a tough spot to be in very similar heads. 638 00:32:30,680 --> 00:32:34,120 Speaker 1: Even though this isn't television. It's true, it isn't television, 639 00:32:34,200 --> 00:32:44,920 Speaker 1: but we let me put it that way. Thanks killing me. 640 00:32:45,840 --> 00:32:48,640 Speaker 1: Thank you so much. That was fun. See, you don't 641 00:32:48,640 --> 00:32:52,080 Speaker 1: why I love a guy like self because he's old 642 00:32:52,160 --> 00:32:54,000 Speaker 1: like me. I was gonna say, he knows the people 643 00:32:54,000 --> 00:32:58,080 Speaker 1: you reference. Yes, when I when I referenced Cobo cominually 644 00:32:58,080 --> 00:33:01,479 Speaker 1: exactly where I was going with that. And see, you 645 00:33:01,520 --> 00:33:05,360 Speaker 1: need that history, uh, and you need that experience. Sometimes 646 00:33:05,360 --> 00:33:09,200 Speaker 1: there's a whole plethora out there of people that can 647 00:33:09,320 --> 00:33:12,160 Speaker 1: use that experience that Cell has and that's great. Yeah, 648 00:33:12,440 --> 00:33:14,640 Speaker 1: well yeah, I mean this maybe is gonna takeaway from 649 00:33:14,640 --> 00:33:16,320 Speaker 1: sal but maybe it's a good lesson. And you just 650 00:33:16,400 --> 00:33:19,600 Speaker 1: pointed out it is valuable obviously to know the history. 651 00:33:19,640 --> 00:33:22,360 Speaker 1: And I see it all the time in sports business. Folks, 652 00:33:22,360 --> 00:33:25,080 Speaker 1: who haven't covered it that long, and uh, you know, 653 00:33:25,120 --> 00:33:27,800 Speaker 1: they'll make a point and they don't really remember things 654 00:33:27,880 --> 00:33:31,600 Speaker 1: that happened, or previous work stoppages, or how we got here, 655 00:33:31,600 --> 00:33:34,840 Speaker 1: things that have been done and personalities. It is very 656 00:33:34,960 --> 00:33:39,080 Speaker 1: helpful to will be able to look back to understand 657 00:33:39,120 --> 00:33:42,320 Speaker 1: not only why things are happening now, but what might 658 00:33:42,400 --> 00:33:44,600 Speaker 1: happen down the road. I was a little surprised to 659 00:33:44,600 --> 00:33:46,640 Speaker 1: hear him say that he didn't think the Houston Rockets 660 00:33:46,640 --> 00:33:48,880 Speaker 1: were gonna feel any financial fall out of what happened 661 00:33:49,120 --> 00:33:51,480 Speaker 1: uh in China over the past couple of weeks. But 662 00:33:51,560 --> 00:33:53,719 Speaker 1: more broadly, you know, I like when these guys come 663 00:33:53,760 --> 00:33:56,160 Speaker 1: on and talk about you know, a perspective or away. 664 00:33:56,160 --> 00:33:58,200 Speaker 1: They see things that I think most people would be 665 00:33:58,200 --> 00:34:00,360 Speaker 1: surprised by. And he gave a great exam pole of 666 00:34:00,360 --> 00:34:03,600 Speaker 1: thinking about the Miami market for professional sports, right. And 667 00:34:03,680 --> 00:34:05,800 Speaker 1: I think a lot of people think of Miami big, 668 00:34:05,880 --> 00:34:10,839 Speaker 1: Hispanic population, wealthy population, good weather, and they think that, oh, 669 00:34:10,920 --> 00:34:13,600 Speaker 1: if I was starting a sports teams there, baseball seems 670 00:34:13,600 --> 00:34:16,200 Speaker 1: like a good one, right, huge spinding population. But as 671 00:34:16,200 --> 00:34:18,600 Speaker 1: he said, you know, people leave Miami a lot during 672 00:34:18,600 --> 00:34:21,680 Speaker 1: the summer um and that's born out. The Marlins haven't 673 00:34:21,680 --> 00:34:23,560 Speaker 1: been very good and they haven't drawn very well. It 674 00:34:23,600 --> 00:34:25,840 Speaker 1: makes me think about the MLS team that's that's launching. 675 00:34:25,840 --> 00:34:28,239 Speaker 1: There another team that's going to be playing all the 676 00:34:28,280 --> 00:34:31,120 Speaker 1: way through the summer, and a sport again soccer that 677 00:34:31,160 --> 00:34:33,200 Speaker 1: you would think would be very successful in Miami. But 678 00:34:33,239 --> 00:34:35,200 Speaker 1: that goes to what I was talking about about understanding, 679 00:34:35,200 --> 00:34:38,520 Speaker 1: Like maybe if you'd had conversations with Mickey Harrison and 680 00:34:38,640 --> 00:34:42,000 Speaker 1: understanding you know why he got checked, why he needed Lebron. 681 00:34:42,160 --> 00:34:44,319 Speaker 1: It's really not enough, as we said with Sound, it's 682 00:34:44,360 --> 00:34:46,200 Speaker 1: not enough just to have a good team. You have 683 00:34:46,360 --> 00:34:48,239 Speaker 1: to be an event in Miami to get people out 684 00:34:48,239 --> 00:34:50,279 Speaker 1: of the clubs, the restaurants, the beach, whatever. And the 685 00:34:50,360 --> 00:34:53,120 Speaker 1: league may not be as important as people think. It's 686 00:34:53,160 --> 00:34:55,840 Speaker 1: more specifically kind of the marriage of the sport in 687 00:34:55,880 --> 00:35:01,239 Speaker 1: the market. Better to been number one than number five. 688 00:35:01,280 --> 00:35:02,880 Speaker 1: I'll wear a number because of Mike. We have a 689 00:35:02,960 --> 00:35:04,880 Speaker 1: chance to go for three in a row, numbers at 690 00:35:04,880 --> 00:35:06,920 Speaker 1: a good time. When I first started wearing the number, 691 00:35:07,040 --> 00:35:10,560 Speaker 1: I would just happy in Floomberg Business of Sports the 692 00:35:10,680 --> 00:35:12,799 Speaker 1: number of the week. Time now for the number of 693 00:35:12,800 --> 00:35:15,439 Speaker 1: the week, and like sometimes on the Old Game Show 694 00:35:15,480 --> 00:35:18,919 Speaker 1: to tell the truth, Scott, you have to disqualify yourself. Well, 695 00:35:18,960 --> 00:35:21,319 Speaker 1: people know that we sometimes disgust these but I saw 696 00:35:21,400 --> 00:35:23,239 Speaker 1: this and I was like, hey, bar shout a little email. 697 00:35:23,320 --> 00:35:25,160 Speaker 1: This may be a good number of the week. This 698 00:35:25,239 --> 00:35:29,080 Speaker 1: is a great one. So stamp Coastes, isn't it alone? 699 00:35:29,640 --> 00:35:36,200 Speaker 1: So this is for you. Uh. The women's professional golfer 700 00:35:36,280 --> 00:35:43,920 Speaker 1: back at it again with her dye stroke penalties. I do. 701 00:35:44,040 --> 00:35:46,239 Speaker 1: I have no idea. I'll give you a hint. It's 702 00:35:46,320 --> 00:35:53,080 Speaker 1: something that started earlier this week. That's seventy amount of 703 00:35:53,080 --> 00:35:56,799 Speaker 1: money mattress mass and millions. Has something to do with 704 00:35:57,040 --> 00:36:02,480 Speaker 1: the six, the sick, the North, with the North. Oh, 705 00:36:02,600 --> 00:36:05,640 Speaker 1: there's six, the seventy four years since the Canadian hockey 706 00:36:05,680 --> 00:36:08,040 Speaker 1: team has has made the playoffs. I don't know. Alright, 707 00:36:08,120 --> 00:36:12,800 Speaker 1: just tell him, all right, the rep he's talking about 708 00:36:12,840 --> 00:36:15,439 Speaker 1: the six the arena on the front of the ring 709 00:36:15,960 --> 00:36:20,400 Speaker 1: and there are six round diamonds representing the six rich 710 00:36:20,560 --> 00:36:25,720 Speaker 1: rap and Raptors. Global Ambassador Drake popularized as another reference 711 00:36:25,760 --> 00:36:28,840 Speaker 1: for the city of Toronto. What we're getting at seventy 712 00:36:28,920 --> 00:36:32,799 Speaker 1: four diamonds in the championship rings? How much is it? 713 00:36:33,120 --> 00:36:35,759 Speaker 1: The ring? Did you see it? I saw it. Yeah, 714 00:36:35,840 --> 00:36:38,680 Speaker 1: it is. You need to put that thing on three fingers. Yeah, 715 00:36:38,680 --> 00:36:47,360 Speaker 1: the arms race in championships and this thing is huge, amazing. 716 00:36:47,560 --> 00:36:50,719 Speaker 1: Oh man, you hand with full to the table. But 717 00:36:50,719 --> 00:36:53,640 Speaker 1: it's pretty. It's a nice looking right, It's worth a lot. 718 00:36:54,280 --> 00:36:56,960 Speaker 1: You've been listening to the Bloomberg Business of Sports. I 719 00:36:56,960 --> 00:37:01,560 Speaker 1: don't have ring outside of my wedding band. Yes, Titanium, Yes, yes, 720 00:37:02,040 --> 00:37:04,520 Speaker 1: we're here each and every week at the same time, 721 00:37:04,800 --> 00:37:08,080 Speaker 1: bless online. Wherever you get your podcasts. You can catch 722 00:37:08,160 --> 00:37:11,080 Speaker 1: those Mondays, Wednesdays and Thursdays on Michael Bar on Twitter 723 00:37:11,080 --> 00:37:13,640 Speaker 1: at Big Bar Sports. I'm Evan Novie Williams at Novie 724 00:37:13,800 --> 00:37:16,640 Speaker 1: Underscore Williams, and I'm Scott Sahnik. You could follow me 725 00:37:16,680 --> 00:37:19,440 Speaker 1: on Twitter at Sashnik. Thank you very much for joining us. 726 00:37:19,480 --> 00:37:22,040 Speaker 1: Please pin in next week when we speak with the 727 00:37:22,080 --> 00:37:26,000 Speaker 1: CEO of the New York Roadrunners, Michael Coparasso. You're listening 728 00:37:26,080 --> 00:37:29,240 Speaker 1: to Bloomberg Business of Sports Bloomberg Radio around the world.