The most profitable team in baseball

by Adam J. Morris on Mar 1, 2008 11:53 PM CST in News

Maury Brown has a piece up at his website about the cash cow that is the Florida Marlins.

The Marlins, you ask? Surely you jest...they are poor, losing money, almost had to move the team before the Florida taxpayers agreed to build them a stadium...

However, Brown notes that Forbes estimated the Marlins' operating income in 2007 at $43.3 million. That was the highest in baseball, with the Dodgers coming second, at $25.5 million.

How can the Marlins make money when no one shows up at the games? Well, Florida's share of the MLB revenue sharing pot -- the money that the low-revenue teams get from the high-revenue teams -- is supposed to be $25 million. Florida's 2008 payroll is $20 million.

Not bad. Particularly since Jeffrey Loria bought the Marlins for $158.5 million in 2002 (of which $38.5 million came in the form of an interest-free loan from MLB), and the franchise is now worth $244 million (according to the Forbes estimate).

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Loria:

not to be confused with Eagles owner, Jeffrey Lurie

LSB hates them some Mench.

by sprite on Mar 1, 2008 11:54 PM CST reply actions

Or Dan Lauria

who played the father on the Wonder Years.

"heres to you brett for making me get all wet" -NYTXFAN

by jparks77 on Mar 2, 2008 12:22 PM CST up reply actions

Barry Bonds to Tampa Bay Rays

That's one of the things I've wondered about the rumor of Tampa Bay's interest in adding Barry Bonds. My understanding is ... if their revenue increases due to a "Bonds bubble" it could cost them revenue sharing dollars leaving them in the red at season's end. Sort of defeats the purpose of adding him.

by shroomer on Mar 1, 2008 11:57 PM CST reply actions

Pertinent blog post

"The problem is that transfers are based on local revenues. Teams that receive money are encouraged to invest it in their payrolls. But if a team actually attracts fans by fielding a winning team, its revenue-sharing receipts will be reduced."

http://thesportseconomist.com/2007/11/revenue-sharing-in-mlb.htm

by shroomer on Mar 2, 2008 12:06 AM CST up reply actions

Wow...

Why the hell did he get an interest free loan from MLB, is he Selig's buddy or something?

Thats amazing though if you think about it...

Buys the team in 02, wins the championship in 03.

And now the franchise is worth 100 million more with him cashing in every year...

That is the life right there...

Milton Bradley + Frankie Francisco = team chemistry

by miles on Mar 2, 2008 12:11 AM CST reply actions

my guess:

had something to do with when he owned the expos/"sold?" the expos to MLB?

by knockoutking24 on Mar 2, 2008 12:59 AM CST up reply actions

Wow

That's amazing.

Tom Hicks is no doubt grumbling about how he bought the wrong baseball team right now.

"The only thing Gerald Laird can beat me at is number of glazed donuts eaten in 10 minutes" - Miles

by LSJ on Mar 2, 2008 12:32 AM CST reply actions

+1

Milton Bradley + Frankie Francisco = team chemistry

by miles on Mar 2, 2008 12:48 AM CST up reply actions

He's not alone

So am I.

I'll be a Troll. Try crossing my bridge, Sally!

by Clueless on Mar 2, 2008 1:50 AM CST up reply actions

THE MOTHER OF ALL + 1 's !!!!!!!

C J come back! Come back! <---just imagine the raw emotion in "Titanic" when Leonardo watches Kate go under for the last time. Come back!

by LAMuscleFag on Mar 2, 2008 3:52 AM CST up reply actions

This is what happens

with a socialist system like baseball has.

I really would be intrigued to see promotions/relegations, and no minor league system. I'd much rather see owners face the consequences of losing. Right now, there is nothing that stops a franchise from making money without selling a single ticket, or cutting a single media deal.

"We should have bombed it (Auschwitz)"-President Bush

by DJCahill on Mar 2, 2008 6:08 AM CST reply actions

Yeah...

Loria is your perfect example of a owner who could care less about his team and just looks at things from a buisness and profitability standpoint. What really sucks though is that he has a WS championship in '03.

It upsets me when you hear guys like this complain about how they "can't" afford something. What they really mean is they choose not to. They would rather suck every year and collect their 25 million from the Yanks/BoSox/Mets, etc. Then once a decade, they compete when their young players are ready.

"The only good is knowledge and the only evil is ignorance."-Socrates

by slc ranger on Mar 2, 2008 10:13 AM CST up reply actions

competing for a championship

once a decade...

I don't think we can really thumb our noses at this notion, can we?

Pedro: "I wasn't cockfighting, I just have a wide stance."

by tricer on Mar 2, 2008 1:00 PM CST up reply actions

No...

but what I was saying is that it upsets me the way they don't give a shit about the team the other 9 years and just want a profit. Meanwhile there are other teams and owners that try to win every year and haven't hit that holy grail yet. Yet a expansion team like the Marlins has 2 WS championships, sometimes it kinda bugs me, that's all.

"The only good is knowledge and the only evil is ignorance."-Socrates

by slc ranger on Mar 2, 2008 8:04 PM CST up reply actions

Marlins

I really really dislike Jeffrey Loria. I was reading an article the other day about the Marlin's interest in Corey Patterson. The article said something along the lines of how the Marlins couldn't "afford" him. The Marlins can afford anything they freaking choose.

Loria is a cancer to the game. My blood pressure raised 15 points reading that article.

For the second year in a row, the Academy gets it right. That means next year is going to be UGLY.

by TheBZA on Mar 2, 2008 9:31 AM CST reply actions