I thought this was a good read if anyone was interested: http://nypost.com/2017/03/08/white-sox-fir...ust-got-paused/

I thought this was a good read if anyone was interested: http://nypost.com/2017/03/08/white-sox-fir...ust-got-paused/

"The perception within the game is Reinsdorf will step back as owner at some point soon, either handing off to his children or selling."

"The perception within the game is Reinsdorf will step back as owner at some point soon, either handing off to his children or selling."

Before you start your celebration, they say that about every owner who is his age.

Or is this all just a furtherance of "rebuild" idea forced on us to cover trading the people from the LaRoche incident [adjusts tinfoil hat]

It's been clear for a while: Hahn is unwilling to accelerate a rebuild by accepting lower offers for key assets. The question I have is whether or not he should move some assets that appear to be at maximum value.

"The perception within the game is Reinsdorf will step back as owner at some point soon, either handing off to his children or selling."

 

JR will not sell while he is still alive because of the tax hit (which would be very large) on his family. He started as a tax guy, he knows the laws better than anyone.

 

And it has been reported many times by many sources (including JR himself to Bob Sirott on Chicago Tonight) that his children are not interested in running the Sox and he has advised them against doing so.

 

Mark

It's been clear for a while: Hahn is unwilling to accelerate a rebuild by accepting lower offers for key assets. The question I have is whether or not he should move some assets that appear to be at maximum value.

 

These two pretty much go hand and hand, dont they?

These two pretty much go hand and hand, dont they?

They certainly should, so I wonder if a guy like Melky should be moved.

JR will not sell while he is still alive because of the tax hit (which would be very large) on his family. He started as a tax guy, he knows the laws better than anyone.

 

And it has been reported many times by many sources (including JR himself to Bob Sirott on Chicago Tonight) that his children are not interested in running the Sox and he has advised them against doing so.

 

Mark

That's fine. Fresh start/clean slate with a new owner who hopefully performs a little housecleaning.

Joel Sherman is the best.

JR will not sell while he is still alive because of the tax hit (which would be very large) on his family. He started as a tax guy, he knows the laws better than anyone.

 

And it has been reported many times by many sources (including JR himself to Bob Sirott on Chicago Tonight) that his children are not interested in running the Sox and he has advised them against doing so.

 

Mark

Thank the love of god. I don't want Reinsdorf's kids anywhere near this team after seeing how Michael operates the Bulls.

Thank the love of god. I don't want Reinsdorf's kids anywhere near this team after seeing how Michael operates the Bulls.

I can assure you that as of a few years ago, Lip's info is incorrect. Michael Reinsdorf wanted to follow in his dad's footsteps with the White Sox. And if JR did die, he would be running things until he didn't want to. Maybe he will think his plate is full with the Bulls. I do know he would have at least slightly different approach if he ran the White Sox.

When JR dies selling would be great for Sox fans.

I'm afraid the buyer would move the team.

I'm afraid the buyer would move the team.

 

Yep. People need to be careful of what they wish for.

I'm afraid the buyer would move the team.

No they won't.

I'm afraid the buyer would move the team.

 

As mediocre as the fan base here is, I have a hard time figuring out where someone else could go to make more money than this franchise does in Chicago.

JR will not sell while he is still alive because of the tax hit (which would be very large) on his family. He started as a tax guy, he knows the laws better than anyone.

 

And it has been reported many times by many sources (including JR himself to Bob Sirott on Chicago Tonight) that his children are not interested in running the Sox and he has advised them against doing so.

 

Mark

 

They can't avoid the tax hit, it is coming sooner or later anyway. The franchise is worth 50 times what he paid for it, so he may only get $700M, but thats still a great investment that has grown at a much faster rate than inflation. Heck, the Marlins are rumored to have been sold for $1.5B, and I can't believe they would be worth any more than the White Sox. Taxes will never be a reason that a professional sports team is bought or sold.

 

I think JR is on his way out, this is the second or third rumor about the team being for sale in the last six months. With Bud gone and his public opposition to Manfred, he has burned some bridges in some high places and has very few allies left in the leadership group.

 

The other component of a rebuild that has not really been discussed is that it decreases operational expenses, which improves the bottom line, and makes the team more valuable if it were to be sold. Add to that the potential for a big splash with a new TV deal in two years, I think right now is the optimal time to sell. I feel like the Sox potential of a new TV deal will be worth more than the actual deal they get.

They can't avoid the tax hit, it is coming sooner or later anyway. The franchise is worth 50 times what he paid for it, so he may only get $700M, but thats still a great investment that has grown at a much faster rate than inflation. Heck, the Marlins are rumored to have been sold for $1.5B, and I can't believe they would be worth any more than the White Sox. Taxes will never be a reason that a professional sports team is bought or sold.

 

I think JR is on his way out, this is the second or third rumor about the team being for sale in the last six months. With Bud gone and his public opposition to Manfred, he has burned some bridges in some high places and has very few allies left in the leadership group.

 

The other component of a rebuild that has not really been discussed is that it decreases operational expenses, which improves the bottom line, and makes the team more valuable if it were to be sold. Add to that the potential for a big splash with a new TV deal in two years, I think right now is the optimal time to sell. I feel like the Sox potential of a new TV deal will be worth more than the actual deal they get.

 

I would bet my entire retirement fund that one thing the current administration does is to destroy the inheritance tax, or at least they will take a huge chunk out of it. I mean we could be talking about hundreds of millions of dollars if the timing is right.

As mediocre as the fan base here is, I have a hard time figuring out where someone else could go to make more money than this franchise does in Chicago.

 

Any move would have to be made for regional TV purposes. The midwest is saturated with baseball markets, if the Sox move into a market with less competition, they could net a deal similar to what the Diamondbacks got. In Chicago, I think they are going to get whatever money CSN has left after the Cubs get all the money they want. I still am not buying into the idea of a Cubs network, I really feel it is just a negotiating tactic to get a deal on par with what the Dodgers got.

Any move would have to be made for regional TV purposes. The midwest is saturated with baseball markets, if the Sox move into a market with less competition, they could net a deal similar to what the Diamondbacks got. In Chicago, I think they are going to get whatever money CSN has left after the Cubs get all the money they want. I still am not buying into the idea of a Cubs network, I really feel it is just a negotiating tactic to get a deal on par with what the Dodgers got.

 

Would that be worth more than 40% of CSN with the money makers such as the Bulls and Blackhawks still on there as well? I have a hard time believing that.

I would bet my entire retirement fund that one thing the current administration does is to destroy the inheritance tax, or at least they will take a huge chunk out of it. I mean we could be talking about hundreds of millions of dollars if the timing is right.

 

The inheritance tax would be in addition to the taxes they would have to pay on the income from selling the team. If JR sells before he dies, they only have to pay taxes on that income once.

Would that be worth more than 40% of CSN with the money makers such as the Bulls and Blackhawks still on there as well? I have a hard time believing that.

 

I am not sure that sports networks are really making any money right now. The rights fee bubble has inflated so much that the networks are paying all the money they are making out on rights deals, and I think that bubble isn't far from bursting as sports networks are hemorrhaging money right now with monthly subs dropping at a torrid pace and increased fees. I think the 40% ownership is only really valuable if you can sell it, and given the market around TV sports right now, I don't think you can get a lot out of it.

JR probably leaves his estate to his wife so if he went before her, no tax hit until she goes.

I am not sure that sports networks are really making any money right now. The rights fee bubble has inflated so much that the networks are paying all the money they are making out on rights deals, and I think that bubble isn't far from bursting as sports networks are hemorrhaging money right now with monthly subs dropping at a torrid pace and increased fees. I think the 40% ownership is only really valuable if you can sell it, and given the market around TV sports right now, I don't think you can get a lot out of it.

 

That works both ways then. If the networks are a bust now, they aren't going to go somewhere else to find a new and more profitable one.