Report shows baseball's richest team lost up to $85-million in 2005 season
By wire services
Published December 4, 2005
NEW YORK - Despite drawing more than four million fans, the Yankees lost between $50-million and $85-million for the 2005 season, the New York Daily News reported Saturday. The benefactors of baseball, who pumped more than $200-million into their payroll and almost $110-million into revenue sharing and luxury tax, are deep in the red this year.
And it may get worse.
According to the Daily News , the Yankees might have to share additional revenue with poorer clubs if a consultant hired by MLB decides they undervalued their television rights. The Yankees currently charge the YES Network about $60-million a year to broadcast games, but the consultant is expected to say the rights are worth far more. If he does, that will mean the Yankees will be required to make up the difference and put more money into the revenue-sharing fund.
The extent of the Yankee losses won't be clear for months, after they finish the epically complicated task of analyzing revenues for their major and minor league operations and file their financial statements with the commissioner's office.
NATIONALS DEALS MOVE FORWARD: MLB is close to a tentative agreement with the city that would clear the way for a new stadium for the Nationals and the long-awaited sale of the team.
D.C. Council Chair Linda W. Cropp said a deal had been reached with baseball agreeing to contribute $20-million to a contingency fund and guarantee rent payments.
Baseball has said it will not sell the Nationals until there is a lease agreement. Eight bidders are ready to pay $450-million for the team, which is owned by the other 29 major league teams.
The Council must still approve the lease before any work can begin on the stadium. Cropp said the vote could come Dec. 20 and the Council should have the lease next week.
INTERNATIONAL: Freddie Garcia, pitcher for the World Series champion White Sox, said he will pitch for Venezuela in the 16-nation, 18-day inaugural World Baseball Classic that begins March 3 in Asia. Mets ace Pedro Martinez plans to play for the Dominican Republic, but said it depends on if his right toe is healed.
Orioles shortstop Miguel Tejada plans to play winter ball in the Dominican Republic despite concerns about jeopardizing his multimillion-dollar contract, which obliges him to avoid injuries.
GORDON OFFICIAL: Right-hander Tom Gordon, 38, passed his physical and officially joined the Phillies, agreeing to an $18-million, three-year contract to replace Billy Wagner as the closer.
ASTROS: Right-handeder Russ Springer signed a one-year, $750,000 contract. Springer, who signed a minor league contract with the team in 2004, was 4-4 with a 4.73 ERA after being called up in August.
PIRATES: Catcher Neil Walker, Pittsburgh's first-round draft pick in 2004, will miss January's voluntary minicamp for pitchers and catchers because of wrist surgery. Walker tore a ligament in his left wrist Nov. 9 while playing in the Arizona Fall League. The injury is not considered serious, but he's expected to be sidelined six to eight weeks.