Wednesday, April 16, 2008

Not One Dime Of Profit!

Forbes is out with their annual franchise valuations, and congrats to Uncle Teddy!

The Nats are now worth about $10 million more than Uncle Teddy paid! And they led the league in operating profit! Huzzah! Huzzah!

I'm just relieve that all $45 million of that projected operating profit is being plowed into our minor league system. We're going to have some TERRIFIC players! Hopefully that genetic modification lab in Columbus will pay dividends down the road.

Here's the thing. In the next day or two michaeljackschmidtTim Lemke is going to write about this in the Times, and there's going to be the generic blow-off quote from Kasten. "They can't know our numbers. They're incorrect and based on some faulty assumptions." blah blah blah.

OK, take him at his word. He's right, to some degree. The Forbes valuations do some guesswork, and make some estimates, so they're not 100% accurate.

But here's the thing. Let's assume that they're off by 75%, a tremendously terrible error. The team STILL made $10 million!

This team is rolling in dough!

Sort of.

This is the other key number, the revenue column. Our beloved Nats are down there with the dregs, near the bottom in revenue. That's the RFK factor. But as the column notes, in club seating and luxury boxes, the new park will generate about $20 million more for Teddy's panda-skin wallet.

If we trust that $50 million in additional revenue from the Times article a few weeks back, that'd put the Nats in the $200 million in revenues, solidly in the top 10 or so.

Sure, the numbers aren't to the decimal point, and they're not 100% accurate. But we're looking for relative numbers. And they all show lots of money going into the Lerner family net worth column, and the creation of lots of 'equity' within the franchise. Good for them.

But as I'm watching Matt Chico get bombed like it's 2007, bad for us.


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