Dodgers sold to Magic Johnson's group for 2B

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Dodgers sold to Magic Johnson's group for 2B

From Comcast SportsNet
NEW YORK (AP) -- One Los Angeles institution is buying another. A group that includes former Lakers star Magic Johnson and longtime baseball executive Stan Kasten agreed Tuesday night to buy the Dodgers from Frank McCourt for a record 2 billion. The price would shatter the mark for a sports franchise. Stephen Ross paid 1.1 billion for the NFL's Miami Dolphins in 2009, and in England, Malcolm Glazer and his family took over the Manchester United soccer club in 2005 in a deal then valued at 1.47 billion. Mark Walter, chief executive officer of the financial services firm Guggenheim Partners, would become the controlling owner. The deal, revealed about five hours after Major League Baseball owners approved three finalists for an intended auction, is one of several steps toward a sale of the team by the end of April. It is subject to approval in federal bankruptcy court. "I am thrilled to be part of the historic Dodger franchise and intend to build on the fantastic foundation laid by Frank McCourt as we drive the Dodgers back to the front page of the sports section in our wonderful community of Los Angeles," Johnson said in a statement. As part of the agreement, the Dodgers said McCourt and "certain affiliates of the purchasers" would acquire the land surrounding Dodger Stadium, including its parking lots, for 150 million. "If they invested that much money, I'm sure they'll invest to get us a winner," said Tommy Lasorda, the Dodgers' retired Hall of Fame manager. "I wish them all the luck, and I admire them. I know both of them. I know Magic from the day he came into Los Angeles as a basketball player for the Lakers." The acquiring group, called Guggenheim Baseball Management, has several other investors, among them Mandalay Entertainment chief executive Peter Guber, Guggenheim Partners president Todd Boehly and Bobby Patton, who operates oil and gas properties among his investments. Kasten is the former president of the Atlanta Braves and Washington Nationals. "I am truly honored to have partnered with such talented individuals and to be associated with the Dodgers organization," said Walter. "We look forward to building upon the legacy of the Dodgers and providing long-term stability to one of the most revered franchises in baseball." The 52-year-old Johnson played 13 seasons for the Los Angeles Lakers, winning five NBA championships and three MVP awards in a Hall of Fame career. He retired from the NBA in 1991 after being diagnosed with HIV, the virus that causes AIDS. He briefly came out of retirement during the 1995-96 season and had a short stint coaching the Lakers. Since leaving basketball, he has been very successful in business, investing in movie theaters, a production company and restaurants. He has also been an activist in the fight against HIV. "I'm upset he didn't cut me in," current Lakers star Kobe Bryant said. "I'm going to have to talk to him about that." McCourt paid 430 million in 2004 to buy the team, Dodger Stadium and 250 acres of land that include the parking lots, from the Fox division of Rupert Murdoch's News Corp., a sale that left the team with about 50 million in cash at the time. The team's debt stood at 579 million as of January, according to a court filing, so McCourt stands to make hundreds of millions of dollars even after a 131 million divorce payment to former wife Jamie, taxes and legal and banking fees. Kasten is expected to wind up as the team's top day-to-day executive. The other two finalists were: -- Stan Kroenke, whose family owns the NFL's St. Louis Rams, the NBA's Denver Nuggets, the NHL's Colorado Avalanche and Major League Soccer's Colorado Rapids. He also is majority shareholder of Arsenal in the English Premier League. -- Steven Cohen, founder of the hedge fund SAC Capital Advisors and a new limited partner of the New York Mets; biotechnology entrepreneur Patrick Soon-Shiong; and agent Arn Tellem of Wasserman Media Group. It remains to be seen whether Major League Baseball will challenge the deal in U.S. Bankruptcy Court in Delaware, where the case is before Judge Kevin Gross. Under an agreement reached by MLB and McCourt in November, a private auction was to be held among the finalists and McCourt was to select the winner by Sunday. The sales agreement is to be submitted to the bankruptcy court by April 6, ahead of a hearing seven days later, and the sale completed by April 30, the day McCourt is to make a divorce settlement payment. "This agreement with Guggenheim reflects both the strength and future potential of the Los Angeles Dodgers, and assures that the Dodgers will have new ownership with deep local roots, which bodes well for the Dodgers, its fans and the Los Angeles community," McCourt said in a statement. The acquiring group would gain the ability to sell the Dodgers' local broadcasting rights starting with games in 2014. The Guggenheim group likely would use money gained from the rights sale -- or from the team's own network with outside investment -- and use those funds to pay down the acquisition debt. "The amount of leverage is a big question," said Marc Ganis, president of the Chicago-based consulting firm Sportscorp, which is not involved. "The likely scenario is that they have a broadcasting deal in mind so that they pay up now and pay themselves down from a big broadcasting upfront payment. "The problem with this strategy is that the more paid upfront by the broadcast deal, the less money is available for team operations. The more debt they take on, the more debt service is required, the less money that's available for team operations. With the only beneficiary being the man walking out the door. A challenging result that baseball tried to avoid." The current record for a baseball franchise is the 845 million paid by the Ricketts family for the Chicago Cubs in 2009. The Dodgers filed for bankruptcy protection in late June, just days before the team was expected to miss payroll. The filing came after baseball Commissioner Bud Selig refused to approve a 17-year agreement between the Dodgers and Fox's Prime Ticket subsidiary that would have been worth 2 billion or more. MLB feared McCourt would use about half of an intended 385 million cash advance to fund his divorce. Los Angeles finished third in the NL West last season at 82-79, had just three sellouts and fell short of 3 million in home attendance in a full season for the first time since 1992. There was some concern among MLB officials about the financing of the Walter bid because some of the money was coming from insurance companies that are owned by Guggenheim. A person familiar with the baseball owners' teleconference Tuesday said several team owners voiced that during the call. The person spoke on condition of anonymity because MLB did not make any announcements. "The problem there is a fundamental problem as you go into an auction, and that is the absolute reliance on other people's money," said Ganis. "It means a lot of regulators. It means either shareholders or, depending on which insurance companies it's coming from, the insured themselves." Kasten was hired as legal counsel of the Braves and the NBA's Hawks in 1976, and three years later became the NBA's youngest general manager at 27. He was promoted to president of the Braves and Hawks in 1986 and also became president of the NHL's Thrashers in 1999. After leaving the Atlanta teams in 2003, he became president of the Washington Nationals from 2006-10. Dodgers general manager Ned Colletti recently had dinner with Kasten in Glendale, Ariz., the team's spring training home. "He's very successful, very driven, relentless in his pursuit of excellence," Colletti said. "He's seen a lot and he's won a lot." The Dodgers have won six World Series titles but none since 1988, when they were still owned by the O'Malley family that moved the team from Brooklyn to California after the 1957 season. Fox bought the team in 1998, then sold it to McCourt. Colletti, whose baseball moves appear to have been constricted because of the team's financial problems, says the sale announcement brings "clarity." "It's time to turn the page and move toward a new chapter in the history of the Los Angeles Dodgers," he said.

NBA Buzz: 2017 Draft could be the best in more than a decade

NBA Buzz: 2017 Draft could be the best in more than a decade

If you've been watching the NCAA Tournament closely, it's apparent this June's draft will include a number of elite prospects, maybe the best top 10 talent since the LeBron, Melo, Bosh, Wade draft in 2003. 

Washington didn't qualify for the tournament, but NBA scouts seem to be in agreement that Washington point guard Markelle Fultz will be the No. 1 pick. The 6-foot-4 freshman has the size and ball-handling ability to play either guard spot, and word out of Boston is Fultz will be the pick if the Celtics get the first choice in the draft lottery.

UCLA point guard Lonzo Ball put on quite a show in the Bruins' win over Cincinnati on Sunday, finishing with 19 points, nine assists and seven rebounds. The 6-foot-6 Ball reminds scouts of a young Jason Kidd, showing amazing court vision and passing skills with the size to see over the top of smaller defenders. And don't caught up in his unusual shooting form. Ball can knock down shots, hitting almost 56 percent from the field this season and 42 percent beyond the 3-point line.

The other consensus top-3 prospect is Kansas small forward Josh Jackson. The 6-foot-8 Jackson is an Andrew Wiggins clone who has amazing quickness and finishing ability. Jackson improved his draft stock with a sensational performance in the first two games of the tournament. If the Bulls decide to trade Jimmy Butler in a deal for one of the top picks this June, the rangy 20-year-old Jackson would be an ideal replacement. If he ever gets a consistent jump shot, look out. We could be talking about a 25 points per game scorer.

Since Fultz, Ball and Jackson appear to be the kind of players NBA teams build around, the Bulls could potentially negotiate with the teams holding the top 3 picks for the best possible Butler deal. Right now, the Nets (pick will be swapped with Boston), Lakers and Suns own the worst records, and if the order isn't changed by the lottery, the Bulls could obtain a quality package centered around this year's first-round pick and a quality young player from any of the three teams.

Here's a look at how the lottery selections could fall based on the draft order as of March 23.

1. CELTICS (from Brooklyn)  Markelle Fultz  PG   Washington
2. LAKERS                              Lonzo Ball        PG    UCLA
3. SUNS                                  Josh Jackson   SF    Kansas
4. MAGIC                                Jayson Tatum   SF     Duke
5. 76'ers                                  De'Aaron Fox     PG    Kentucky
6. KINGS                                  Malik Monk         SG    Kentucky
7. KNICKS                               Dennis Smith      PG   N. Carolina St.
8. TIMBERWOLVES              Lauri Markkanen  PF    Arizona
9. KINGS (from Pelicans)       Frank Ntilikina      PG    France
10. MAVS                                 Miles Bridges    SF    Michigan St.
11. HORNETS                         Jonathan Isaac   SF    Florida St.
12. BLAZERS                          Justin Jackson   SF    N. Carolina
13. PISTONS                           John Collins      PF     Wake Forest       
14. BULLS                                OG Anunoby     SG-SF   Indiana  

Alright Bulls fans, I'm sure you're asking, why would the Bulls want to draft a player coming off a serious knee injury? Well, the Bulls haven't done all that well drafting productive older players from major programs, so why not roll the dice on a 19-year-old who could develop into the next Butler?

Scouts raved about Anunoby's potential heading into his sophomore season at Indiana. At 6-foot-8, Anunoby has good positional size to play both the small forward and shooting guard spots and figures to be a plus-defender from Day 1 in the NBA. Right now, his rehab from right knee surgery and lack of a consistent jump shot are the biggest concerns, but looking at mock drafts in the 13-20 range, do the Bulls really want to take a project big man or a mystery international player? 

Even if it takes a couple years for Anunoby to reach his ultimate potential, he seems like a good choice in today's position-less NBA. Plus, in the Bulls' current position, they need to take some chances and try to get lucky in landing a future star.

Two other athletic possibilities who are projected as late 1st round picks right now are SMU junior swingman Semi Ojeleye, a 6-foot-7 bundle of energy and muscle who should be able to contribute right away, and Oklahoma St. point guard Jawun Evans, one of the fastest players in the college game who could ignite the Bulls' fast break after Rajon Rondo moves on.

AROUND THE ASSOCIATION

If the Bulls are going to make a late season run to the playoffs, they'll have to find a way to pass two of the league's hottest teams. Milwaukee has won eight of its last 10 games to pull into a 6th place tie with the Pacers, while Miami has been one of the league's biggest surprises over the last two months, going from an 11-30 record on January 13 to 35-36, and a game and a half lead over the Bulls and Pistons for the final playoff spot.

Both late surges are surprising, especially the job Erik Spoelstra has done in Miami. After the controversial departure of Dwyane Wade, Pat Riley decided to hedge his bets for the future and signed a number of journeyman veteran types like Dion Waiters, Wayne Ellington, James Johnson, Derrick Williams and Willie Reed to short-term contracts.

Williams was released and signed on with Cleveland, but Spoelstra and his staff have done a masterful job in piecing together a roster with a lot of duplication into a consistent winning team. Hassan Whiteside has continued to improve, averaging 17 points and 14 rebounds, while the guard rotation of Waiters, Goran Dragic, Ellington and Tyler Johnson has been especially effective.

Bulls fans will remember James Johnson as a guy who arrived from Wake Forest with a lot of potential, but went on to bounce around the league with little success. Now that he's finally in optimal physical shape, Johnson is averaging 12 points, 5 rebounds and 3.5 assists off the bench while doing a strong job on the defensive end.

Spoelstra probably won't win the Coach of the Year award, but it might be his best job yet after losing Wade and Chris Bosh, then seeing promising second-year forward Justise Winslow go out with a season-ending shoulder injury.

It's been a different story in Milwaukee, where the Bucks got off to a fast start behind the amazing rise of Giannis Antetokounmpo to All-Star status. A mid-season slump dropped the Bucks out of the top 8 in the East, and when Chicago native Jabari Parker suffered another devastating ACL injury, it appeared Milwaukee was heading towards another trip to the lottery.

But Bucks' coach Jason Kidd got Khris Middleton back from a hamstring injury, and inserted rookies Thon Maker and Malcolm Brogdon into the starting lineup. All of a sudden, the Bucks took off with Antetokounmpo getting back to his early season production, and the bench unit of Greg Monroe, John Henson, Michael Beasley, Mirza Teletovic, Matthew Dellavedova and Jason Terry becoming a real strength.

It's unlikely either Milwaukee or Miami will be a threat to Cleveland and Boston in the opening round of the playoffs, but the hard work and persistence of those coaching staffs should not be overlooked.

STAT OF THE WEEK

Yet another example of the Bulls' maddening inconsistency under Fred Hoiberg over the last 2 seasons is the number of impressive wins offset by blowout losses.

These numbers courtesy of CSN's stats cruncher, Chris Kamka.

Bulls 20+ point wins and 20+ point losses

(with Fred Hoiberg as Head Coach)

                 20+ point wins             20+ point losses

2016-17              6                           7
2015-16              3                           7

total                      9                          14
========================================
(With Tom Thibodeau as Head Coach)

2014-15              7                           1
2013-14              7                           4
2012-13              5                           5
2011-12             14                          0
2010-11              8                          1

total                     41                         11

QUOTE OF THE WEEK

I'm pretty sure Hoiberg was being sarcastic when asked early in the week if battling for one of the final playoff spots in the East is "fun".

The coach's response? "It's miserable." 

Hoiberg won't get a lot of argument from Bulls fans who see their team stuck in the middle among the 30 NBA franchises right now. That's the worst place to be in professional sports, with no hope of contending for championships and little chance of getting a franchise-changing talent in the draft.
 

How Cubs decided Kyle Hendricks would be their fifth starter

How Cubs decided Kyle Hendricks would be their fifth starter

SCOTTSDALE, Ariz. — When Joe Maddon made the obvious choice and named Jon Lester as the Opening Night starter, the Cubs manager joked about Kyle Hendricks reacting to the news by throwing stuff around the weight room.

So imagine how last year's ERA titleholder and a World Series Game 7 starter responded to the idea of being slotted fifth in the rotation.

"I heard things rattling in there," Maddon said with a laugh.

The Cubs revealed their alignment before Wednesday afternoon's Jake Arrieta vs. Zack Greinke matchup at Salt River Fields at Talking Stick, confirming Brett Anderson will work as a starter (for as long as he's healthy) while Mike Montgomery moves to the bullpen for the defending champs.

The Cubs want John Lackey to face the St. Louis Cardinals, so he will open as the No. 3 starter at Busch Stadium. To break up the lefties in the rotation, Anderson — who once tweeted: "Kyle Hendricks looks like he'd celebrate a World Series win with a glass of 2% milk, Oreos and a book" — will start Game 4 against the Milwaukee Brewers at Miller Park.

[CUBS TICKETS: Get your seats right here]

Whether or not the Cubs are overthinking this and overplaying their hand with a mild-mannered personality, don't expect Hendricks to rage against the pitching infrastructure.

"That's the point about our group," Maddon said. "Everybody buys in. Everybody's good. They understand being a part of the puzzle in your own unique way.

"It's kind of neat when you can have these conversations, knowing that ego's not going to play a part of it from the player coming back at you. They know it is part of the overall picture. They also know that the purpose is to try to do what we did last year.

"It's a unique situation. I'm not saying we're taking advantage of it, because everybody kind of digs it."

Whether or not Hendricks repeats his 2.13 ERA and third-place finish in the National League Cy Young Award vote, the Cubs see 200 innings as his next level after throwing 180 in 2015 and 190 last season (plus seven playoff starts combined).

"Everybody gets hung up on numbers," Maddon said. "He's definitely better than a No. 5 starter. It just happens that we're going to slot him in the five-hole coming out of camp. It's not a pecking order regarding ability by any means.

"A lot of it is just comfort zone for us with Kyle doing so well there last year. But, listen, Kyle can be a lot of people's No. 2s or even a 1 in a situation right now, too."

All along, the Cubs have coached up and managed Hendricks to the point where he could beat Clayton Kershaw and the Los Angeles Dodgers to clinch the franchise's first pennant in 71 years.

"Why mess with that?" Maddon said. "As long as his ego doesn't force you to attempt to try to do something differently, and it doesn't, outside of throwing things a little bit. He's beautiful. We're all good."