Posts Tagged ‘Steve Ballmer’

Back to court in the Sterling affair

HANG TIME HEADQUARTERS – Any hope that a Monday meeting between Donald Sterling and Steve Ballmer would provide some sort of resolution to the Los Angeles Clippers’ ownership saga, currently tied up in probate court, should be tempered with a cold dose of Sterling reality.

Nothing with this comes quickly or definitively.

The process of separating Sterling from the Clippers has had more starts, stops and resets than anyone could have imagined when Shelly Sterling signed an agreement on May 29 to sell the team for $2 billion to Ballmer, the former Microsoft CEO.

Monday’s meeting, after court adjourned, between the Clippers’ current owner and the team’s possibly future one sent a buzz around the basketball world. But, by now, we all should realize that Donald Sterling’s mood and mind changes on a dime. There is no need to read too much into “friendly” talks between the two men. Not when there is so much that could change throughout the course of this probate hearing, which continues Tuesday and Wednesday with closing arguments scheduled for Monday.

The most optimistic of observers held out hope that a settlement might have been reached after the meeting. That is, undoubtedly, the preferred outcome of many.

But just last week NBA Commissioner Adam Silver said he was not certain that new ownership would be in position at the start of the 2014-15 season. The sale agreement between Shelly Sterling and Ballmer mandated that the sale close by July 15, with a possible one month extension built into the deal. If the matter isn’t resolved by Sept. 15 the NBA has the option of resuming the termination proceedings and the sale of the team.

Our David Aldridge asked and answered the bigger and perhaps even better question before Monday’s meeting: What happens if Donald or Shelly Sterling is still in charge of the Clippers when training camp starts?

There is another provision that allows the parties another year to consummate the sale, subject to Ballmer’s and the league’s approval. That would, of course, mean that Shelly or Donald Sterling, depending on what the probate judge decides, could still own the team when training camps begin in October.

The NBA has said that that won’t happen, and that if the probate judge rules in Donald Sterling’s favor, it will quickly reinstate the termination hearing originally scheduled for last May, when the league sought to take the team from Donald Sterling after it determined he had made racist remarks in a conversation with a girlfriend. NBA Commissioner Adam Silver banned Donald Sterling from the league for life and fined him $2.5 million.

The termination hearing was postponed after the league helped Shelly Sterling find a buyer for the team. Ballmer outbid several well-heeled prospective buyers for the Clippers, who set a record for highest price paid for an NBA franchise. Only the sale of Major League Baseball’s Los Angeles Dodgers in 2012 for $2.1 billion is higher.

But when I asked Silver at his news conference last week if he could say with certainty that neither Donald nor Shelly Sterling would still be in charge of the team at the start of next season, he could not.

“No, I cannot say with certainty, and I can’t say with certainty because it’s in the hands of the probate court right now, and Donald is in the process of suing us for lots of money, and we’re defending ourselves against those lawsuits,” Silver said, referring to the $1 billion lawsuit Donald Sterling filed both against the league and Silver in June.

“The only thing I’ll say, and I appreciate that [Sacramento Mayor] Kevin Johnson, who’s been representing in essence the players in this matter and direct discussions with the players and the Players Association understand it’s very difficult to say anything with certainty in a situation like this,” Silver continued. “I can say with certainty we are doing everything in our power to move Donald out as an owner in the NBA, and as I said, if the probate ruling doesn’t go in our favor, we’ll recommence our procedures under termination.”

So while the Monday get-together made for promising headlines, it should be noted that there are reportedly no more talks planned, per The Los Angeles Times.

Plus, there is so much more ground to cover in the probate hearing. The chief financial officer of Donald’s properties said in court Monday that Sterling needs the sale to go through to pay off some $500 million in loans — or he’d have to sell off a large part of his real estate empire.

That bit of news may provide some additional hope for those looking for a quick resolution to this mess. But there are almost certainly more twists and turns coming. That’s the reality.


VIDEO: Doc Rivers talks about the Clippers’ spring and summer roller coaster, courtesy of the Sterling affair

Silver: Sterling ouster moves slowly


VIDEO: Commissioner Adam Silver talks about the Sterling case

LAS VEGAS – It’s possible Donald Sterling still will own the Los Angeles Clippers next month. It’s even possible, NBA commissioner Adam Silver acknowledged after the league’s Board of Governors meeting here Tuesday, that the publicly disgraced Sterling and his estranged wife Shelly still might own the team when the league opens training camps in October for the 2014-15 season.

As troubling as that might be in terms of public perception, given Sterling’s racially bigoted comments back in April, and as incendiary as that could become as an issue with the NBA’s players, Silver said the methodical pace of the probate trial in Los Angeles between the Sterlings could further delay the Clippers sale to former Microsoft CEO Steve Ballmer.

“No, I cannot say it with certainty, and I cannot say it with certainty because it’s in the hands of the probate court,” Silver said.

“I can say with certainty, we are doing everything in our power to move Donald out as an owner in the NBA. If the probate ruling doesn’t go in our favor, we’ll recommence our procedures under termination.”

It was Shelly Sterling’s swift sale of the franchise for $2 billion to Ballmer, to which Donald allegedly acquiesced, that prompted the NBA to cancel its termination hearing among the other owners. Only later did Sterling balk at the arrangement and file lawsuits against his wife and the league.

The termination mechanism in the NBA’s constitution and by-laws still is available to Silver and the owners. But the probate trial in L.A. – with Donald challenging Shelly’s right to remove him as a co-trustee of the family trust and to sell the team, based on two doctors’ findings that the 81-year-old billionaire was mentally incapacitated – is grinding slowly.

And based on Sterling’s broken relationship with the league and his plan to sue the NBA for $1 billion, another courtroom decision could thwart or delay any forced transfer beyond the tentative Sept. 15 deadline.

“It’s possible that some court would step in and stop us,” Silver said during the news conference. “I think it’s highly, highly unlikely because we are absolutely acting within our rights. And I think what’s transpired in probate court so far has made it even clearer that we’re acting not only within our rights but doing what is right and appropriate in this situation.”

The NBA has monitored the probate trial, to the point of having a lawyer in the courtroom reporting back regularly to the league. Silver said his sense was that, once the judge hears all testimony, a ruling could follow quickly. But no end date currently is known.

Three days after Sterling’s ugly comments about blacks were made public, Silver imposed a lifetime ban on the man who has owned the Clippers since 1981. He fined Sterling $2.5 million and said that, with his “offensive and hurtful views,” Sterling had violated league rules and damaged the NBA as a business enterprise. The Board of Governors supported Silver’s recommendation that Sterling be forced to sell.

Silver said he has talked both with Kevin Johnson, the Sacramento mayor and former all-NBA point guard who is representing the players in this process, and with some players directly to let them know the timeline of Sterling’s ouster might be delayed. In the days after Sterling’s comments, a number of players reacted angrily. The Clippers staged a symbolic on-court protest and there was at least talk of boycotting a playoff game.

Silver said, however, that those with whom he has spoken have been patient. “They understand it’s very difficult to say anything with certainty in a situation like this,” the commissioner said.

Asked if the NBA considered lessening Sterling’s lifetime ban – which blocks him from even attending games as a spectator – to expedite the Clippers sale, Silver said the league had been open to that early in the process. But there was no follow-through. “I never received any proposals,” Silver said.

Silver touched on a variety of topics that flowed from Tuesday’s four-hour meetings and other league sessions going on in Las Vegas this week:

  • The competition committee met for 10 hours Sunday and Monday, discussing the draft lottery, the playoff system, conference and division structure and details of the centralized replay system to be used starting in 2014-15. Silver said a trial run would start in September using WNBA games. Replays will be cued up at the league’s division in Secaucus, N.J., but game officials in each arena still will make the determinations.
  • The popularity of the summer league in Las Vegas – with attendance up 25 percent, Silver said – has the league open to ideas for a greater role in the nation’s gambling capital. One possibility, mentioned without details as a brainstorm from the competition committee: A midseason tournament of some sort.
  • Negotiations of the NBA’s national TV contracts continue, with Silver expessing confidence that relationships with the current partners would be maintained, perhaps with some additions. He understood the desire by players and their agents to make decisions on contract length this offseason according to an anticipated bump in TV revenues and, thus, a boost in the salary cap. Several, including LeBron James, have signed two-year deals.
  • Silver sees the league’s collective bargaining agreement, which was hammered out only after a rancorous lockout in 2011, working fine in 2014 free agency. “I think for the league, all the speculation, all of the chatter around Carmelo [Anthony] and what other players would do, Pau Gasol, [has been] very exciting,” he said. “You want to strike the right balance. I think a certain amount of free-agent movement is positive. It creates a sense of renewal for a lot of markets.”
  • The board approved a slate of minority owners for the Milwaukee Bucks to join majority owners Wes Edens and Marc Lasry, who purchased that team in April for $550 million. Green Bay Packers quarterback Aaron Rodgers, rumored to be interested in a piece of the franchise, was not mentioned at the meeting, Silver said.
  • As for James’ decision to go back to Cleveland, Silver said he was “moved” by the first-person essay on SI.com in which the four-time MVP shared his love for home and northeast Ohio. But Silver added: “What I heard from a lot of owners in the league was, ‘I wish my city was his hometown.’ “

Spurs, Heat Have Questions (And More Offseason Queries)

By Jeff Caplan, NBA.cm

VIDEO: The GameTime crew discusses what’s next for the Spurs

HANG TIME HEADQUARTERS — The San Antonio Spurs won their fifth championship since 1999, but it took 15 years for the most stable franchise in pro sports to play in back-to-back NBA Finals. What’s left to accomplish?

That’s right, back-to-back titles.

That’s only one reason to expect Spurs captain Tim Duncan to continue his brilliant career for at least a 18th season. The talk has always been about Kobe Bryant chasing Michael Jordan‘s six rings, but it’s now Duncan in his twilight years who has the greatest chance to get it done.

So why in the world would Duncan, his body holding up as strongly as his production, hang ‘em up now?

Versatile forward Boris Diaw, high-octane point guard Patty Mills and reliable-when-needed forward Matt Bonner are the only players not under contract for next season. While Diaw and Mills have raised their stock and will be attractive free agents, it’s certainly not out of the question that they’ll be back in the silver-and-black.

Even if the Spurs lose one, or both, their Big Three — plus Finals MVP Kawhi Leonard and a couple new reinforcements for the bench — will have the Spurs as a favorite to make it three consecutive Finals appearances.

Duncan, 38, just completed a phenomenal postseason, averaging 16.3 ppg on 52.3 percent shooting and 9.1 rebounds while logging 32.7 mpg. That followed up a regular season in which he played in 74 games while coach Gregg Popovich again masterfully managed his playing time.

So, again, what would be the motivation to retire now? A man of similar body type, the legendary Kareem Abdul-Jabbar, won a championship with the Lakers at age 40 and played in The Finals at age 41.

While Duncan, for whatever reason, hasn’t come out and stated that he’ll be back despite still having one year and $10.3 million left on his contract, he has smiled through interviews while making statements lightly-sprinkled with hints that he has no plan of joining San Antonio resident David Robinson on the golf course quite yet.

Fortunately, the anticipation for a definitive answer won’t take long. Duncan has a June 24 deadline, that’s one week from today, to notify the Spurs of his plans.

The Miami Heat’s future won’t be resolved quite so soon. LeBron James, Dwyane Wade and Chris Bosh can all opt out of their contracts and become free agents. What they decide to do will be the biggest story of the summer and whatever they decide will produce ripple effects across the league.

And that brings us to the biggest story lines of the summer:

(more…)

Silver confident Sterling mess is ‘over’


VIDEO: Adam Silver talks to the media about the Clippers sale

SAN ANTONIO – Adam Silver wasn’t ready to, er, dunk the basketball – it wouldn’t do for the NBA commissioner to be spiking the football under any circumstances – but he stood before a media throng Sunday calm and confident that the Donald Sterling/racist comments fiasco soon would be over.

Six weeks and one day earlier, Silver had faced the first serious challenge of his rookie year as commissioner – Sterling’s offensive remarks had blown up on April 26 and Silver held two news conferences in rapid succession: the first an impromptu session in Memphis for damage control and awareness, the second just three days later to announce the sanctions against Sterling and his eventual banishment from the league.

Fast-forward to Sunday: The Clippers are being sold to former Microsoft CEO Steve Ballmer for a jaw-dropping $2 billion (nearly quadruple the largest franchise price in NBA history) and Shelly Sterling, Donald’s wife, has indemnified the league against any lawsuit brought by her husband, which of course he has.

As Silver fielded questions before Game 2 of The Finals, he or any of his constituencies – the owners, the players, even the fans – hardly could have hoped for a swifter, more satisfying outcome.

Though, to be completely accurate and cautious, the deal and the departure of Sterling as embarrassment and antagonist is at the rim, not quite through the net (see, can’t use goal line imagery either).

“We’re almost there,” Silver said. “There is this last piece, and that is the lawsuit that Donald brought against the league and me personally.”

That’s where the indemnification part comes in. “In essence,” Silver said, “Donald is suing himself and he knows that. While I understand he is frustrated, I think it’s over. It’s just a matter of time now and then we will move on to better topics and back to The Finals.”

The topics Silver had to deal with Sunday mostly alternated between Sterling updates and more info on the loss of air conditioning at Game 1 of Miami-San Antonio series Thursday at the AT&T Center.

Regarding the Sterlings, Silver shot down reports that Shelly Sterling might have some sort of ongoing role with the Clippers after Ballmer’s purchase is complete. She would dedicate some of the proceeds of the sale to a charitable foundation over which she would preside, but “that’s her money,” Silver said. It won’t be affiliated with the basketball team.

Silver said the other penalties against Sterling – his ban from even attending NBA games and a $2.5 million fine – definitely remain in place. He said he spoke to the disgraced Clippers owner in a phone call soon after the sanctions were announced April 29 and described Sterling as “distraught” and “not remorseful.”

As for Sterling’s professional history – he had been charged with racially discriminatory practices more than a decade ago in housing disputes and in his dealings with former Clippers GM Elgin Baylor – Silver was non-committal on the NBA failing to act in those instances. He said the league monitored the civil cases brought against Sterling, the investigations by the Department of Housing and Department of Justice and the eventual settlements (without admission of guilt) or, in the Baylor case, no judgment against the billionaire.

“It’s a fair point that in hindsight possibly we should have done more,” Silver said. “Certainly if I had to do it again, maybe we would have done more. But our eyes are open going forward.”

Regarding the extreme heat of Game 1 once the cooling system malfunctioned – and the cramps that sent LeBron James from the game in the final minutes, seemingly sealing Miami’s loss – Silver acknowledged it as “not one of my prouder moments in my short tenure as commissioner.”

But he was at the game, too, and felt that he and Rod Thorn, the league’s head of basketball operations, had the best available info from the AT&T Center maintenance crew. “There was never a point where we were considering either postponing or cancelling the game,” Silver said.

He added: “I’m glad this isn’t single elimination; it’s the best of seven. So it’s too early to say how this Finals will be remembered.”

24 – Second thoughts — May 30


VIDEO: The Miami Heat are 4-for-4 in attempts at making The Finals, the first time in 27 years a team has done it 4 straight times

HANG TIME HEADQUARTERS – History in the making.

History still to be made.

It’s all still on the table for the Miami Heat.

Four straight trips to The Finals. The opportunity to three-peat. 

“I’m blessed,” LeBron James said. “We won’t take this opportunity for granted. This is an unbelievable franchise, this is an unbelievable group.”

The Finals rematch is up next, the San Antonio Spurs (2013) or Oklahoma City Thunder (2012) will help the Heat finish that chapter of this championship story.

But The Finals is all the Heat have known in the Big 3 era. It’s all James, Dwyane Wade and Chris Bosh and crew have known since they came together.

:1

Greg Oden is going to The Finals!

:2

Three years running they go out on the wrong end of the Heat’s blade …

(more…)

Board Of Governors Vote To Keep Kings In Sacramento

From staff and wire reports

k

The Sacramento Kings aren’t going anywhere anytime soon.

The saga of the Kings’ future began back in January with an agreement between the Maloof family and Seattle-based investors Chris Hansen and Microsoft CEO Steve Ballmer that would have sold the team to them. They would then have brought the Seattle SuperSonics back to the NBA after they were relocated to Oklahoma City after the 2007-08 season.

But the Hansen/Ballmer group is coming away empty-handed in its attempt to bring the NBA back to the Emerald City, as the NBA’s Board of Governors voted 22-8 to deny relocation of the franchise, keeping it Sacramento for now.

The NBA’s relocation committee voted 7-0 on April 29 to recommend rejecting the relocation of the team to Seattle, but Hansen’s group tried to sweeten the pot by increasing the franchise’s valuation and offering a record relocation fee as well.

Sacramento’s efforts have been led by software magnate Vivek Ranadive as well as Sacramento Mayor Kevin Johnson, who have worked tirelessly to local and regional businesses and leaders to establish the framework for a new arena for the Kings.

The Ranadive group has a competing deal on the table based on the original franchise valuation of $525 million that Hansen and the Maloofs reached in January.

The Ranadive group has agreed to match the 65 percent price of $341 million for the Kings in that deal, and has put at least 50 percent of that $341 million into escrow. NBA Commissioner David Stern said last month that while the Sacramento bid to keep the Kings at the time was slightly lower than the Seattle bid, the league considered the Sacramento bid binding.

Although there has been substantial buzz in Seattle that there are potential antitrust issues that could be the basis for a lawsuit against the NBA if and when Hansen’s bid is rejected, Hansen’s group apparently remains uninterested in legal remedies upon rejection, according to the source.

Hansen believes that this may be the last time in the foreseeable future that political and business interests in Seattle will be aligned to give support for an NBA bid. The city of Seattle has committed up to $200 million toward construction of a $490 million arena in the city’s SoDo area, next to Safeco Field, where baseball’s Mariners play. Hansen, who has already purchased the land on which he wants to build the arena, would pay the rest.

Sacramento has committed $250 million toward construction of a $447 million arena that would be the centerpiece of a development plan at the current Downtown Plaza mall site.

Ranadive’s group, which includes 24-Hour Fitness founder Mark Mastrov and the Jacobs Family, billionaire owners and managers of the Qualcomm company, has pledged to the NBA that it will not be a revenue sharing recipient if the Kings remain in Sacramento, citing the expected increased revenues the team will be able to get from a new building.

The Sacramento Bee reported this week that the NBA has encouraged the Ranadive group to put the remaining half of the $341 million into escrow as well to alleviate concerns of the Maloofs that the group has the financial wherewithal to complete the transaction.

Information from TNT analyst David Aldridge was used in this report.

‘Final’ Vote On Kings Comes Today



.

HANG TIME HEADQUARTERS – The long wait is almost over … well, we think it might be over.

We could know before nightfall where the Kings will play in the future: Sacramento or Seattle.

The NBA’s Board of Governors meet today in Dallas with an expected final vote by all 30 owners on the Maloof family’s relocation proposal that would move the Kings from Sacramento to Seattle, where a group led by hedge fund manager Chris Hansen and Microsoft executive Steve Ballmer is set to purchase the franchise for a record price.

The formal recommendation two weeks ago from the committee of owners formed to study the relocation plan was a resounding vote for the Kings remaining in Sacramento. But the Maloofs have made it clear that their desire is to go with the Seattle group’s generous reported offer of $406.25 million and flee California’s capital city.

It’s not as simple as that, of course, what with the lawyers involved and the league waist-deep in a back and forth between two cities that are both desperate to keep a team, in Sacramento’s case, and regain a team, in Seattle’s case.

That’s the short version. The long version, in complete detail courtesy my main man, TNT’s David Aldridge, who is going to be on the scene in Dallas today, is much more complicated.

The Seattle group has covered all of its bases in trying to complete this deal. They’ve reached an agreement on that secondary deal, which they want enacted in the case that the Board of Governors reject the relocation proposal today.

That deal would include the Maloofs selling 20 percent of the Kings to the Hansen-led group for $120 million, and that’s based on a franchise valuation of $600 million. The Kings would stay in Sacramento for the 2013-14 season with the Maloofs as the owners. The Hansen group is also willing (and able) to pay an unprecedented $115 million relocation fee, a payout of approximately $4 million for every owner, if the owners allow them to purchase the Kings and move them to Seattle next season, raising the stakes yet again in this hundred million dollar exhibit in the business of basketball.

Sacramento Mayor and former NBA star Kevin Johnson is using the Kings’ history in Sacramento and the NBA’s loyalty to a fan base and city that has supported the Kings fervently, through good times and bad, as his trump card in this saga. The Sacramento group does not seem at all interested in some bidding war for the franchise that’s made it’s home there for last three decades.

Sort through the minutiae as best you can, but the bottom line is one set of fans will wake up tomorrow relieved that they finally have some answers about their team while another group of fans will wake up to the nightmare that their team is either leaving or not coming to town.

Again, the long wait is almost over … we think!

Sacramento Or Seattle? Committees Offer Up Recommendation On Monday

The NBA’s relocation and finance committees will have a conference call on Monday, April 29, and make a recommendation on whether to approve the sale of the Sacramento Kings to a Seattle-based group that would move the team there next season or to reject the sale and keep the team in Sacramento.

After the recommendation is officially delivered to the NBA, the league’s owners will have seven business days to contemplate what to do and to conduct a final vote. That would mean the league could have a final vote as early as Wednesday, May 8, though it does not mean they would vote that day.

The NBA’s Board of Governors did not take a vote on whether to allow the sale from the Maloof Family to a group led by hedge fund manager Chris Hansen and Microsoft CEO Steve Ballmer at its annual meeting earlier this month. The city of Sacramento, led by Mayor Kevin Johnson, has put together an ownership group led by software magnate Vivek Ranadive and 24-Hour Fitness founder Mark Mastrov that has put in a bid to buy the team from the Maloofs and keep them in Sacramento.

Both cities have received local approval for building new arenas that would take some public funding as part of the construction costs. Owners on the committees wanted more information concerning the schedules each city has for constructing the building, as well as potential environmental and legal issues each city faces before construction can begin.

The Hansen group reached agreement with the Maloofs in January to purchase 65 percent of the team, on a franchise valuation of $525 million, equaling $341 million for the 65 percent, and gave a $30 million non-refundable deposit to the Maloofs. Earlier this month, after the Ranadive group made it clear to owners it would match the Hansen offer, Hansen announced his group would “voluntarily” raise its franchise valuation of the Kings to $550 million, meaning an additional $16.5 million would go to the Maloofs, for $357.5 million for 65 percent of the team.

The Ranadive group has matched the $525 million valuation, but has not yet opted to match the $550 million valuation. According to a letter released by the Maloofs earlier this month, the Ranadive group has pledged a $15 million non-refundable deposit.

The Maloofs have consistently told the league that they want to take the deal with the Hansen group. But Commissioner David Stern has been adamant that while the NBA generally allows owners to sell to whomever they like, the league will make the determination whether the Kings will be allowed to move.

A vote to approve a sale requires three-quarters of the league’s owners, or 23 of the 30. A vote to approve a franchise move requires a simple majority, or 16 of the league’s 30 owners.

Seattle-Sacramento Tug O’War Gets 3 More Weeks Of Rope

 

NEW YORK – Calling it a “wrenching” decision, NBA commissioner David Stern told reporters Friday that the thorny issue of the Sacramento Kings’ proposed sale and relocation would be resolved within the next three weeks.

Which way it goes – the Kings staying and playing right where they are or shifting north as the second coming of the Seattle SuperSonics – remains unclear. And, as Stern told it after the latest NBA Board of Governors meeting, it even has him guessing.

“It’s the only time in the last 37 – 47 years – that I haven’t known the answer,” Stern said, playful with his own timeline in response to a reporter’s question, then turning serious about the process. “No, but this is one that’s just been quite difficult and confusing for the owners as well. And we’ve been working very hard to give it a structure at their direction.”

Whether you believe that assessment might hinge on your view of Stern. Did the most powerful (and some would say controversial) commissioner in sports get that way by behaving like Lady Justice, blindfolded and scales all even-steven? Or is he still the delicatessen owner’s son from Teaneck, N.J., adept at resting a thumb ever-so-slightly on the scale?

Advocates on both sides of the Maloof family‘s possible sale and transfer of the franchise to Seattle interests headed by investors Chris Hansen and Steve Ballmer are skeptical that Stern isn’t shading or influencing the process in some way. If both sides are worried that it’s tilting against them, that at least is worth something.

The bottom line out of the BOG sessions held Thursday and Friday, after diligent work by the relocation and finance committees, was that any tilting would matter after the week of May 6-10. That’s when a FINAL final vote will be taken and the Kings’ fate decided.

Why the wait? Those committees will meet again next week to sort through remaining questions about arena construction and financing and about the particulars of each group’s offer. The report they issue will be sent to the entire Board of Governors, which must have at least seven business days to review it. Also, Sacramento mayor Kevin Johnson told NBA.com Friday that he thought his group would be permitted to make a final pitch on that city’s behalf.

All of that pushes the BOG vote out three weeks. A league spokesman said it could be held face-to-face again or via conference call. Any meeting might be back in New York or could be held in one of the active playoff cities. Then and only then would folks watching the NBA Draft Lottery know whether the team card in the big envelope said Sacramento or Seattle.

Said Stern: “What makes this particularly difficult … is the Seattle group has done a lot of work. It’s well funded. It’s got spectacular businessmen who support the community behind it, and the Sacramento group has a very strong base of economic support as well.”

The Hansen-Ballmer group recently upped its offer to $357.5 million for a 65 percent controlling interest in the Kings, which pushed the team’s valuation to $550 million. The Sacramento group led by Johnson and investors Vivek Ranadive and Mark Mastrov also have made a bid that, Stern said Friday, is being treated as a signed agreement. Both offers are “in the ballpark,” Stern said when asked about significant differences.

Both have the same negative, too: Neither the Kings’ current home or an NBA return to Seattle’s KeyArena offers the long-term solution.

“We’ve got two temporary facilities that we’re going to be playing in,” Stern said, “whichever way the board goes, and the quality of those facilities and there’s so many other issues and the critical path based upon environmental reviews, potential lawsuits and the like.”

It’s a hot mess, an either/or dilemma that is likely to leave one of the markets – the capital of California or the former Pacific Northwest home of one of the league’s showcase teams – on the outside looking in.

When asked about expansion to Seattle as a compromise solution, Stern said: “I haven’t heard that in any shape or form, particularly when we don’t know at this time what the next television network contract would be.” Remember, beyond dilution of talent and scheduling and alignment concerns, divvying up the hundreds of millions of dollars a 31st NBA franchise would pay for entry would mean cutting another slice from the broadcast revenues in the future.

Then there is Stern’s legacy, which will be sealed next Feb. 1 when he resigns after 30 years. Deputy commissioner Adam Silver has been tabbed as his successor.

Said Stern: “We have expended not only enormous man‑hours but enormous sums of money for outside consultants. This will be by far our most extensive review of anything like this in the league’s history.”

Among other items on the BOG agenda Thursday and Friday:

– Reports on revenue-sharing and the impact of the collective bargaining agreement were heard. “Very upbeat in terms of improving team operations and the competitiveness of the league,” Sterm said.

Jeannie Buss was approved as controlling governor of the Los Angeles Lakers, as the family continues its succession of late owner Jerry Buss. Also, Cleveland owner Dan Gilbert and partners purchased additional interest in the Cavaliers franchise.

– The governors “had fun” with a report on officiating, while formally welcoming former NBA player and league exec Mike Bantom as the new head of officiating.

– A report from the competition committee was educational for the owners in highlighting the trends of increased 3-point reliance – from no teams that averaged 20 or more attempts from the arc in 2001 to a dozen that did so this season, Stern said. That, in turn, has opened up the game to the bosses’ satisfaction.

– Security matters also were discussed, especially in the wake of the events this week in Boston. The bombings at the Boston Marathon led to the cancellation of Tuesday’s Pacers-Celtics game in that city. The NBA will be making a “significant contribution,” the commissioner said, to the One Fund established to aid victims of that terrorist attack.

– Stern said he remains optimistic that human-growth hormones will be added to the NBA’s anti-drug testing program but that addition involves cooperation of the National Basketball Players Association, which is busy finding a replacement for executive director Billy Hunter.

 

The Business Of Buying An NBA Team

HANG TIME WEST – Now the group trying to buy the Kings and move them to Seattle has increased its offer in what is either the latest smart strategy move to put disorganized Sacramento on the clock with another problem (the Seattle viewpoint), or the desperate act of an operation that knows a big lead is about turn into defeat and is resorting to Hail Mary passes (the Sacramento viewpoint).

The $25-million bump by the always-proactive enterprise from Washington state would push the sale price for the Maloof family’s 65 percent of the team to $357.5 million – and put the total valuation of the Kings at $550 million. The Sacramento Kings. The Sacramento Kings annually residing in the lottery. The Sacramento Kings rated by Forbes in 2012 as the 23rd-most valuable franchise in the league, with an estimated worth of $300 million.

Those Sacramento Kings.

Except, in what has become the factor too often overlooked, no one is trying to buy a basketball team. That goes for both sides, the Chris Hansen-Steve Ballmer group aiming for the reincarnation of the SuperSonics and the Sacramento counter-strike led by mayor Kevin Johnson and Vivek Ranadive and Mark Mastrov as majority investors trying to keep a civic institution in town. Neither party is paying a record amount for an NBA franchise, the prorated equivalent of $100 million more than what the Warriors sold for in 2010, for the chance to decide what to do about DeMarcus Cousins.

They are trying to buy a piece. As much as they are sports fans with the chance for the ultimate toy, the Kings are the catalyst for a much larger plan. The Washington Generals would be worth $550 million.

Both cities have arena plans. Seattle’s projected building is close to the stadiums of the Mariners and Seahawks. In Sacramento, though, the bigger picture is the revitalization of an entire downtown area. No NBA team, no arena. No arena, no economic injection from construction. (Or at least no arena of this scale – Johnson has said his city will need a new entertainment complex with or without professional sports as an anchor tenant.)

Also, Ron Burkle, once part of the Sacramento bid for the arena and team before a conflict of interest forced him to drop out, has committed to being part of development around the arena. Burkle invested in your city is a very good thing.

In financial terms alone, apart from the emotional value of the only major-league team in town, losing the Kings would have a dramatic effect. The team is a marketing tool that helps Sacramento stay on the national map, and some local leaders through the years have expressed worry that convention business would suffer without the loud presence of the NBA.

How much is having the league back in Seattle worth to Hansen-Ballmer? According to Chris Daniels of King 5, the NBC affiliate there, the group has alreaady spent $100 million just to put itself in position for the honor of setting the value of a 28-53 team at a record level. This is, of course, about much more than the 28-53 team that could be playing its final game in Sacramento when the Kings face the Clippers on Wednesday night at Sleep Train Arena. The Seattle group envisions $40 million a year from local television alone, Daniels reports.

The original plan was to have Sacramento-Seattle resolved when the Board of Governors meets Thursday and Friday in New York. When both cities made presentations to a group of owners and league officials April 3, commissioner David Stern raised the possibility of the answer not coming within days of the end of the regular season. Tuesday, it became official: no vote this week, and no new date set.