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OT: DeMaurice Smith on Mike and Mike


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Va_Pats_Fan

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DeMaurice Smith was on Mike and Mike this morning.

Talked about the ongoing negotiations between NFLPA and the league.

Highlights: Talks continue. Last offer from owners was about a month ago, included an 18 game season, and a (I think he said) 17% rollback of the salary cap. (he called it 70's era salary).

NFLPA offered a cap on rookie salaries by removing 200m from rookie pool if 100m went to pre 1993 player pensions, and 100m went to veterans. Owners turned down the proposal.
 
Re: DeMaurice Smith on Mike and Mike

There is no need to roll back the Salary Cap... The Amount of money spent in a year on Player Salaries I guarantee you isn't even 15% of the Profit a Team makes.


The Salary Cap should be defined as a percentage of gross profit from all shared revenue.

For all TV contracts, and other shared revenues, + Ticket sales, and Merchandise that has a players likeness on it ( no general Team gear ) should be also included.

If they make everything as a percentage, then everyone has a vested interested in being successful and making more money.
 
Re: DeMaurice Smith on Mike and Mike

There is no need to roll back the Salary Cap... The Amount of money spent in a year on Player Salaries I guarantee you isn't even 15% of the Profit a Team makes.


The Salary Cap should be defined as a percentage of gross profit from all shared revenue.

For all TV contracts, and other shared revenues, + Ticket sales, and Merchandise that has a players likeness on it ( no general Team gear ) should be also included.

If they make everything as a percentage, then everyone has a vested interested in being successful and making more money.

I thought the Packers only made 9 million last year?
 
Re: DeMaurice Smith on Mike and Mike

Maybe this guy should be working on a deal instead of doing a f'ing radio show.

Asshat.
 
Re: DeMaurice Smith on Mike and Mike

Until at least January, most of the talk on both sides will most likely be posturing. I won't even bother listening because the NFLPA will say that the league is trying to screw them and the league will say the NFLPA is only in it for the money and doesn't care about perserving the league.
 
Re: DeMaurice Smith on Mike and Mike

There is no need to roll back the Salary Cap... The Amount of money spent in a year on Player Salaries I guarantee you isn't even 15% of the Profit a Team makes.


The Salary Cap should be defined as a percentage of gross profit from all shared revenue.

For all TV contracts, and other shared revenues, + Ticket sales, and Merchandise that has a players likeness on it ( no general Team gear ) should be also included.

If they make everything as a percentage, then everyone has a vested interested in being successful and making more money.

So are the players going to include what they make in endorsements, etc.? No? No?

So it's just the money from the team side? Sounds fair.
 
Re: DeMaurice Smith on Mike and Mike

There is no need to roll back the Salary Cap... The Amount of money spent in a year on Player Salaries I guarantee you isn't even 15% of the Profit a Team makes.


The Salary Cap should be defined as a percentage of gross profit from all shared revenue.

For all TV contracts, and other shared revenues, + Ticket sales, and Merchandise that has a players likeness on it ( no general Team gear ) should be also included.

If they make everything as a percentage, then everyone has a vested interested in being successful and making more money.

The problem with a percentage of profits is that they are employees, not partners. Partnerships share in profits. Employees receive salaries. If they were to share in profits, then they should have equity interest.
 
Re: DeMaurice Smith on Mike and Mike

There is no need to roll back the Salary Cap... The Amount of money spent in a year on Player Salaries I guarantee you isn't even 15% of the Profit a Team makes.

Not a math major, but let's look at your statement...

Player Salaries = .15 x Profit or
Profit = Player Salaries / .15

If the last salary cap was around 125M, that means...

Profit = 125M / .15 = $833M

You have to realize that figure is silly.
 
Re: DeMaurice Smith on Mike and Mike

There is no need to roll back the Salary Cap... The Amount of money spent in a year on Player Salaries I guarantee you isn't even 15% of the Profit a Team makes.


The Salary Cap should be defined as a percentage of gross profit from all shared revenue.

For all TV contracts, and other shared revenues, + Ticket sales, and Merchandise that has a players likeness on it ( no general Team gear ) should be also included.

If they make everything as a percentage, then everyone has a vested interested in being successful and making more money.

The players get 60% of the revenue as defined by the CBA. So every dollar the NFL makes (excluding certain side marketing deals individual teams cut), the players get 60 cents of it. That means that if the league had absolutely no expenses whatsover except player salaries, the maximum they could have for a profit margin is 40% of every dollar brought in. So if the players get 60 cents of every dollar the league makes, how exactly are they not getting even 15% of the profits the league makes?
 
Re: DeMaurice Smith on Mike and Mike

Not a math major, but let's look at your statement...

Player Salaries = .15 x Profit or
Profit = Player Salaries / .15

If the last salary cap was around 125M, that means...

Profit = 125M / .15 = $833M

You have to realize that figure is silly.

Problem being that school does not educate students on economics, like what is "profit" vs gross revenue, etc. All kids get in school especially college is that capatalism and profit are evil. No wonder topics like salary cap and national debt get such strange pronouncements and 'guarantees'.
 
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Re: DeMaurice Smith on Mike and Mike

There is no need to roll back the Salary Cap... The Amount of money spent in a year on Player Salaries I guarantee you isn't even 15% of the Profit a Team makes.


The Salary Cap should be defined as a percentage of gross profit from all shared revenue.

For all TV contracts, and other shared revenues, + Ticket sales, and Merchandise that has a players likeness on it ( no general Team gear ) should be also included.

If they make everything as a percentage, then everyone has a vested interested in being successful and making more money.

It would be pretty easy to guarantee you are wrong.

The salary cap is a percentage of gross profit from all shared revenue. Used to be a percentage of designated revenue, some of which wasn't shared, and the TV deals funded the bulk of it. Therein lies the problem. That percentage is currently just under 60% of essentially all gross profit. What the league wants is a reduction that either lowers that percentage or again designates some revenue as exempt. That's because they have a lot more than players to pay, they have off field employees and capital improvements and travel and debt service and the cost of growing the pie to pay for everyone. Owners clearly believe that rookie contracts are clearly at the core of the problem because of the disparity in bang for your buck that it realized on upwards of half of all draft picks. Just redistributing that money alone doesn't accomplish anything for the league when reducing it in a shared split (half back to owners and half back to veteran players) could go a long way towards rebalancing the scales.

De prefers to spew simplistic rhetoric and misrepresent what is being asked for because that's what unions tend to do when facing demands for economic relief from unsustainable terms. That he suddenly wants half of it to go to pre cap retirees his union has essentially ignored for decades is a hoot. The league and the union should share in support of retirees. He wasnts the owners to essentially cover the entire cost thereby netting nothing. In the last couple of years the salary cap floor has exceeded what the salary cap ceiling was less than 5 years ago.

The NBA is gearing up for the same kind of battle. Because they chose the star method as the vehicle around which to grow their game, and they are now in a situation where the tale wags the dog - often with gun in hand. The NFL has always tried to maintain focus on the game rather than the talent as the draw, in large part because the average NFL career even for it's stars is less than half as long for lots of reasons, not the least of which is the physical nature of the game and the fact most players join the league at age 22 or later and are on their way out of it at 30 or earlier.

Part of the enduring charm of this league was another way in which it differered from other sports leagues. Contracts weren't guaranteed. Like most Joe's home watching the game from their couches, football players were expected to play for/earn their pay. Over the last decade that has changed dramatically. First signing bonuses got ever grander and arbitrators ruled that they were earned and unrecoverable under pretty much any circumstance. Enter guaranteed money that could have some recoverability or accountability. But demands for those guarantees have also increased from maybe 20-30% of deal value to in excess of half. At a time when player conduct on and off the field is at an all time low as a generation of entitled talent who believes you have arrived when you're drafted has emerged. Lost in the shuffle as usual are the less hyped and talented and undercompensated for the risks and abuse they endure rank and file players who are the backbone of this league. Those guys and not the over hyped megastars need to be protected lest they end up as merely the next generation of the players this league and this union has left behind in their neverending quest for every last dollar.

It sounds if De can be remotely believed as if owners are basically proposing the givebacks come from the rookie contract cap and in exchange the % of giveback that equates to will be offset by the growth of the regular season to 18 games. I don't particularly like that tradeoff although from a purely financial standpoint it probably makes sense and in the end the union will take any deal that it can spin as growing it's bottom line as well...even if it's via expansion. More games will expand rosters and potentially teams and markets. Meh...all it means for fans is an increasingly expensive and deluted product.

At the end of the day core football fans are the only ones who still care about the game. The majority of owners and players and the NFLPA only truly care about what's in it for each of them financially. Makes it increasingly hard for fans to really have a dog in their fight.
 
Re: DeMaurice Smith on Mike and Mike

Maybe this guy should be working on a deal instead of doing a f'ing radio show.

Asshat.

This may end up being the post of the uncapped final CBA season...
 
Re: DeMaurice Smith on Mike and Mike

It would be pretty easy to guarantee you are wrong.

The salary cap is a percentage of gross profit from all shared revenue. Used to be a percentage of designated revenue, some of which wasn't shared, and the TV deals funded the bulk of it. Therein lies the problem. That percentage is currently just under 60% of essentially all gross profit. What the league wants is a reduction that either lowers that percentage or again designates some revenue as exempt. That's because they have a lot more than players to pay, they have off field employees and capital improvements and travel and debt service and the cost of growing the pie to pay for everyone. Owners clearly believe that rookie contracts are clearly at the core of the problem because of the disparity in bang for your buck that it realized on upwards of half of all draft picks. Just redistributing that money alone doesn't accomplish anything for the league when reducing it in a shared split (half back to owners and half back to veteran players) could go a long way towards rebalancing the scales.

De prefers to spew simplistic rhetoric and misrepresent what is being asked for because that's what unions tend to do when facing demands for economic relief from unsustainable terms. That he suddenly wants half of it to go to pre cap retirees his union has essentially ignored for decades is a hoot. The league and the union should share in support of retirees. He wasnts the owners to essentially cover the entire cost thereby netting nothing. In the last couple of years the salary cap floor has exceeded what the salary cap ceiling was less than 5 years ago.

The NBA is gearing up for the same kind of battle. Because they chose the star method as the vehicle around which to grow their game, and they are now in a situation where the tale wags the dog - often with gun in hand. The NFL has always tried to maintain focus on the game rather than the talent as the draw, in large part because the average NFL career even for it's stars is less than half as long for lots of reasons, not the least of which is the physical nature of the game and the fact most players join the league at age 22 or later and are on their way out of it at 30 or earlier.

Part of the enduring charm of this league was another way in which it differered from other sports leagues. Contracts weren't guaranteed. Like most Joe's home watching the game from their couches, football players were expected to play for/earn their pay. Over the last decade that has changed dramatically. First signing bonuses got ever grander and arbitrators ruled that they were earned and unrecoverable under pretty much any circumstance. Enter guaranteed money that could have some recoverability or accountability. But demands for those guarantees have also increased from maybe 20-30% of deal value to in excess of half. At a time when player conduct on and off the field is at an all time low as a generation of entitled talent who believes you have arrived when you're drafted has emerged. Lost in the shuffle as usual are the less hyped and talented and undercompensated for the risks and abuse they endure rank and file players who are the backbone of this league. Those guys and not the over hyped megastars need to be protected lest they end up as merely the next generation of the players this league and this union has left behind in their neverending quest for every last dollar.

It sounds if De can be remotely believed as if owners are basically proposing the givebacks come from the rookie contract cap and in exchange the % of giveback that equates to will be offset by the growth of the regular season to 18 games. I don't particularly like that tradeoff although from a purely financial standpoint it probably makes sense and in the end the union will take any deal that it can spin as growing it's bottom line as well...even if it's via expansion. More games will expand rosters and potentially teams and markets. Meh...all it means for fans is an increasingly expensive and deluted product.

At the end of the day core football fans are the only ones who still care about the game. The majority of owners and players and the NFLPA only truly care about what's in it for each of them financially. Makes it increasingly hard for fans to really have a dog in their fight.

One correction, the players get 60% of the gross revenue, not the gross profit. Sixty percent of the gross revenue is far more than 60% of the gross profit.
 
Re: DeMaurice Smith on Mike and Mike

At the end of the day core football fans are the only ones who still care about the game. The majority of owners and players and the NFLPA only truly care about what's in it for each of them financially. Makes it increasingly hard for fans to really have a dog in their fight.

I spend an inordinate amount of time on matters Patriots and have for decades, however if the NFL becomes MLB or the NBA, there are other life activities worth persuing instead of a bastardized NFL.
 
Re: DeMaurice Smith on Mike and Mike

Theres going be a lock out.

I cannot see the players agreeing to more games while taking less money.
 
Re: DeMaurice Smith on Mike and Mike

Theres going be a lock out.

I cannot see the players agreeing to more games while taking less money.
Seems to be mostly posturing by the owners (or shoot the moon). Oversell what you want with the expectation that it will move down or getting only part of what you ask for.

Still, a lockout for 2011 could very well be possible. Makes me curious to wonder how owners factor in fan response to a lockout. Ultimately, I think a lockout serious hurts everyone (players and owners) and certainly destorys the JAGs, but not the stars of the game. Though, even losing a year of playing time can really put alot of rust on the players (not getting a good product when football is back on) and the obvious aging affects on players.
 
Re: DeMaurice Smith on Mike and Mike

Theres going be a lock out.

I cannot see the players agreeing to more games while taking less money.

That's what the union wants you to think it boils down to. Owners seem to be proposing growing revenue becoming the foundation for increasing player earnings ability over time. They also want to redistribute the inordinate amount of revenue already being paid to unproven rookies to themselves to allow them to invest in and grow the product, and to veteran players and perhaps players out performing contracts. Nobody else will make less, and rank and file and older veterans may in fact make more even in the short term. I think on purely financial terms without knowing the finite details, the plan has some merit. I just have concerns about the toll increasing regular season games will take on all players and the effect expansion of rosters and likely eventually the league will have on the quality of the game.
 
Re: DeMaurice Smith on Mike and Mike

The problem with a percentage of profits is that they are employees, not partners. Partnerships share in profits. Employees receive salaries. If they were to share in profits, then they should have equity interest.


Except they've shared in profits for years. The cap is ALWAYS based on a percentage of profit/revenue.
 
Re: DeMaurice Smith on Mike and Mike

All kids get in school especially college is that capatalism and profit are evil.

You clearly didn't go to school. I got pretty much the opposite message: every one outside "amerika t3h aw3some" is a communist and worships the devil. Money justifies everything.

I mean, you can't even spell capitalism, and you're railing against other people's educations?
 
Re: DeMaurice Smith on Mike and Mike

I thought the Packers only made 9 million last year?
Never let a little thing like facts get in the way.
 
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