May 21, 2013

The Madoff Money Trail

I am not trying to pretend I understand what the hell went on between the Wilpons and the Maddoffs, or between Bernie and anyone for that matter. Just that since the announcement that the Wilpons are selling a portion of the team there has been a lot of confusion as to how the Wilpons lost money and more precisely how much.

There are tons of different reports out there even before all this “limited partner” stuff came about today. I will simply work with the most popular figures as an attempt to demonstrate the most likely scenario. Again I have no idea how accurate any of this is, and in fact I assume it’s all wrong. This is just how I understand it as happening. Feel free to correct me via the comments.
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Reaction: Wilpons selling share of Mets

The Mets just released a Press Release stating that they are exploring the idea of taking on a “strategic partner.”

Of course people are going nuts over this either elated thinking the Wilpons will soon be gone, or crushed thinking the sky is falling and the Mets will start cutting payroll.

My initial reaction to this is that this can’t be good. An ownership group that has many times stated that the Mets are the status icon for the Wilpons family can not be happy about selling any piece of it.

It tells me two things for certain:
- The Wilpons are hurting. They took a bigger hit through the Maddoff fiasco and are now bracing for more in the suite by the trustee of the Maddoff victims.
- The Mets aren’t making enough money. No surprise when you consider the new stadium and all it’s financing plus the horrible stink around the Mets on the field and in the empty seats.

This could end up being good for the Mets franchise. It could bring in some deep pockets, but not only that, it will give the Wilpons someone to answer to. No longer could it be run as a family toy.
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Why the Wilpons are good for the Mets

fred and jeff wilpon ownership of the metsAt first glance you are probably saying “Say what?”  This is the same guy that slams the Mets hierarchy on a regular basis.  I definitely have many gripes with the ownership and front office, but recently I have been thinking about it and I have come to the conclusion that the Wilpons might just be good for the Mets.

What got me thinking about this change in tune was reading about the ownership mess over in Los Angeles with the Dodgers.  Talk about embarrassing.  I am sure your aware that the owners of the Dodgers were a married couple, and now they are getting divorced.  What this means is a lot of things that were never meant to be seen by us “common folk” get to see daylight in the court proceedings.  The jewel of this info thus far, is the ownerships plan to not increase payroll, and double the revenues.  Well I don’t have to own a baseball team to know that this basically boils down to an ownership plan to not spend any money to improve the team, all the while doubling prices.  Really classy.

This got me to thinking about our beloved Wilpons.  Recently Fred has announced that they have absolutely no plans to ever sell the team.  He even goes on to say that this team will be in his family for generations to come.  Now I like many of you cringed upon hearing this.  But on further thought I don’t think this is really a bad thing.

Lets be honest for a minute, this team has actually been pretty active on the free-agent front over the last few years and been in the top 5 in payroll for a while now.  These things take serious, long term, commitments by the ownership to occur.  Ownership doesn’t go out and scout the talent, nor do they coach the team.  The most they can do is hire the correct people and leave it in their hands.  This is where they Wilpons fall under the most blame.  It’s not a real argument at this point to say they have a horrible track record for hiring the wrong people.  It’s becoming very apparent that Omar Minaya has done a very poor job in his tenure here with the Mets.  And lets not even get into the whole Tony Bernazard fiasco.

The problem with the Wilpons is quite plainly that they are not baseball people.  They sure do think they are, and this is what separates the good owners from the bad.  George Steinbrenner is the best example of this.  For years he insisted on making the big decisions and often time fouled things up.  But due to the forced suspension by Major League Baseball he was forced to keep his hands off and look what happened?  The people he put in place constructed the nucleus of a championship team that is still playing today.  This Yankees run didn’t start until ownership took a hands-off approach and entrusted the baseball decisions to their baseball people.  I have to hope that eventually the Wilpons, and Jeff in particular will learn this lesson.  In fact I think they already have.

What they need to do is start hiring the right baseball people, and as we all know another window of opportunity is probably going to be real soon.  Give us an A+ GM here with the Mets and you have to admit that they do a good job of giving him plenty of resources to get the job done.

Another area this ownership needs is to refocus on the farm system.  The Mets system is largely a joke.  They like to say it’s due to big trades that have depleted the system like the Johan Santana deal.  But my reply to that is, those traded prospects haven’t done anything in their new setting either.  The organizational lack of depth is appalling.  It became painfully obvious last year and I fear we may have to learn that lesson again this year.  This can only be remedied by a deep focus on the farm system.

All in all I really can’t blame the current state of this organization on the Wilpons, at least not solely.  They can’t go out and take at bats for the team when it’s choking those two straight seasons.  If they are smart and prudent and hire good people this next go around, I think there is a chance that in years to come the Wilpons could be portrayed as good owners.  They aren’t afraid to spend money, and they do offer stability, which are two things that really aren’t all that common these days in Major League Baseball.

I guess my bottom line is that while they can really drive us nuts, lets not lose sight of the fact that it certainly could be a lot worse.

Fred Wilpon: “The offseason was torture”

fred wilpon stated that the mets off season was tortureI truly don’t know if I should laugh or cry.  Today New York Mets owner Fred Wilpon spoke at a small press gathering on the first day of spring training.  He was asked what the offseason was like for him and to that he replied:

Torture. Very, very difficult. So, look, you’ve heard the theme that we have to stay healthy. I’m very optimistic that they will. And I think that when you have very good – and in some cases great – players, it doesn’t necessarily translate into a great team. So I think that if they stay healthy, they have some great players and now our people have to translate that into a great team, and that’s what my optimism is about, and what my hope is about.

Seriously Fred?  Seriously?  When he was asked specifically what about the offseason was “torture” he explained:

When you have all those injuries, and a bad season, and the fans were disappointed – but not any more disappointed than I was and I’m probably the biggest fan. But now, that’s last year. Now it’s 2010 and it’s 70 degrees inFlorida and the sun is shining, so I have a great feeling of optimism. The players by the way – to a man that I’ve spoken to and I’ve spoken to 20, 25 of them – I sense a difference in their goals and their attitude. Listen, those are the only guys that can do it.

See transcript by David Lennon here

Well Mr. Wilpon let me be the first to welcome you to the club.  The name of that club?  Fans of the New York Mets.  Specifically the last 4 years.  Glad to see your just starting to realize what it’s like.  I don’t know how only last years injuries “tortured” you, what with the two historic collapses prior, but hey, maybe you were distracted counting your imaginary returns from your buddy Bernie Maddoff?

Oh and do me a favor, please don’t try to tout yourself as “the biggest fan.”   Get a grip.  Just because you pay the bills doesn’t mean you can call yourself a fan.  When you allow the organization to continually embarrass a fan base with the antics of Tony Bernazard and company, you lose all creditability there.  Oh and when you steadfastly refuse to spend money that the team makes because you want to refill the family’s warchest that you foolishly pissed away investing with Buddy Bernie, you lose all right to call yourself a fan.  George Steinbrenner can call himself the biggest fan, because all that man cares about is winning.  You, Sir, are obviously about profit above all else.  If you start acting like an owner who just wants to win championships (Steinbrenner, Cuban, etc) then perhaps I would let it slide, but given the current climate governing the Mets budgetary constraints I find it highly insulting.

I suppose I should be happy that my owner supposedly cares so much.  I don’t know, maybe I should.  This just comes off as staged to me.   You were so “tortured” that you did absolutely nothing to revamp your medical staff/procedures that so embarrassingly resembled a clown college last year.   You were so “tortured” that instead of going out and shaping the team behind speed, defense and pitching, you went and bid against yourself and got Jason Bay, who is neither great defensively, nor fast, and not a pitcher (even if he probably could make the rotation on this team).  Then you steadfastly refused to spend another dime on any of the facets you claim to covet, you know, the philosophy you built a billion dollar stadium around.

Oh but hey, I really appreciate you springing the extra dough to lower the centerfield wall for us.  Who would have thunk that a 16′ wall rising up at 410′ would have been overkill,?  I am really gonna enjoy those extra homeruns this year, I just hope our pitchers don’t get mad at you when a vast majority of them are hit by the visitors (see again my pitching/defense/speed point).

Are the Mets Broke?

The latest buzz making the rounds is once again that the Mets are broke.  Not just the Wilpons, but the Mets.  Ken Rosenthal and John Morosi are reporting for FoxSports.com that the Mets are out of money:

The Mets, outbid by the Padres for catcher Yorvit Torrealba, are out of money, major-league sources say — a curious position for a team that spent $66 million on outfielder Jason Bay knowing it had other needs.

Now as much as we all in Mets-land may bitch and moan about how cheap the Wilpons (I personally love the term Coup-ons) have acted, it just doesn’t really add up.  I tend to agree with Matthew Cerrone over at MetsBlog.com when he says that:

i can’t say whether this is true or not; but, it is peculiar that the team had earmarked $12 million for Joel Pineiro and Bengie Molina, yet, since the two players signed elsewhere, there has been talk of the team being unable to spend on players like Ben Sheets or even Yorvit Torrealba or barajas, who would cost only a million bucks or so…

…that said, i do not think money is reason for not signing John Lackey or pineiro, or molina, all of whom i think they had a set value on, and refused to go beyond… i understand how this could be viewed as being cheap, but i think it’s actually a matter of not overvaluing mediocre talent…

I tend to think that despite the swirling rumors the Mets aren’t actually broke.  At the worst maybe they have a bit of a liquidity problem, but hell who doesn’t right now?  I just think they up in their lofty offices think they have a plan and think are so just so smart and have placed value on players and are trying to play hardball.

They have won with this stance before if you remember K-Rod from last off season.  But the problem is that this team has many more holes then was perceived last year.  For a team with several gaping holes in their roster, it’s starting to look very strange that they spend $66 million on Jason Bay, and that taps out their war-chest to fill other holes?

Truth is I can’t believe this because if true, things are much worse over at CitiField then even I could imagine.