WHAT TO EXPECT, WHEN YOU'RE EXPECTING
Written by Bill Clifton, Monday June 08 2009
It has been 128 days since billionaire Tom Ricketts was selected with the winning bid of $900 million dollars to purchase the Chicago Cubs, but he still does not own the team. Ricketts, 43, is the second oldest son of Joe Ricketts who founded TD Ameritrade Holding Corporation, and is a serious Cubs fan. He lived across the street from Wrigley Field, and met his wife in the bleachers, but still cannot finalize one of the biggest deals in sports history.
Ricketts beat out heavy competition to buy the Cubs, including fan favorite Mark Cuban, for less than the one billion some had thought the historic franchise would fetch. The Ricketts family, Tom being the representative to buy the Cubs, has sold 34 million of its shares back to Ameritrade raising $403 million dollars, leaving them with a17.7% stake in the company. They have sought the help from three different banks JPMorgan Chase, Citigroup, and Bank of America to finance the remaining $450 million they will need to complete the deal.
Buying a sports franchise, apart for playing for your favorite team, is a dream come true for any fan. With the economy in the dumps that dream has turned into a nightmare. The likely hood of a dream season could be going the way of the economy.
Ricketts has unsuccessfully tried to sell shares of the team for $25 million, with little to no perks, to investors and star Cubs fans like Bill Murray and Jim Belushi. The hope is to raise $100 million to lighten the load the family would have to borrow from the banks.
What does all this mean to Cubs fans? The answer is everything
General Manager Jim Hendry cut salary before the season, in the hopes of completing a trade for current Padres pitcher Jake Peavy. That deal, after several attempts, was struck dead because the Padres wanted too much in return for their ace. Another factor in that deal was the Padres wanted the Cubs to assume the $70 million Peavy is owed, but that turned out to be too much money.
Sam Zell, the current owner of the Tribune Co and the owner of the Cubs, has said his $8 billion dollar deal to purchase the news giant was a bust and needs to relieve its debt. So the thought of taking on a big contract, and adding that to the $135 million the Cubs already spent so far this season, works against the company. Zell wants to sell the Cubs to relieve some of that debt, and who would want to buy a team that keep raising its payroll.
Cub’s fans are expecting a third consecutive National League Central Division Championship, but those expectations depend on how quickly the Ricketts family can finalize the deal. The Ricketts family has spent $9 million for every season the Cubs have not won the World Series, which may go down to $8.91 million a year if they don’t win this year.
The Cubs currently sit at third in the division trailing the Milwaukee Brewers by 3.5 games. They are in need of pieces to complete their puzzle for a championship, and get the team ready for October. The trade deadline is July 31st, but the next baseball owners meeting is scheduled for August. That is when the deal could be finalized and approved my owners, making it too late to acquire players without waivers. If this holds true, the Cubs could be in a position where any deal made to acquire another player is too late.
Completing this deal before July 31st is a necessity for the team and its fans. Cub faithful pack Wrigley Field for every home game, and travel all over the country to watch their every move. Not completing this deal is a disservice to the greatest assets the Cubs have, their fans.
Tags:
Recent Cubs Articles
- Another Wasted Summer In Chicago
- Cubs Kerry Wood Retires After Appearance vs. White Sox [VIDEO]
- Cubs Looking Better
- Cubs Kerry Wood Tosses Glove & Cap into Stands [VIDEO]
- Cubs Win Send Byrd to Boston
- The Chicago Cubs Are Terrible!
- Cubs Spoil Cardinals Home Opener
- Wood and Marmol Blow Second Lead in A Row
- Finally Getting The Call? April Fool's!
- Wells and Wood Demoted as Cubs Finalize Roster
Leave a comment
Not So Fast! To publish your comment, you have to login
Not Registered? Register now as it only take 20 seconds!
Click here to browse
1 comment
Please sign in to rate!
Solid article, even better than the last. However, it is hard to feel sympathy for an investor who is poised to make ten times on his investment, or more, as the cubs will sell out their home games no matter what place they are in or who they play. This guy should make a bid to buy the pirates or nationals or the lonesome orioles, instead of trying to tug sentimental heartstrings with his romantic bleacher story. PS - Soto is garbage, bring back Berryhill