In a league where the Los Angeles Clippers are worth $2B, and the Houston Rockets are worth $2.2B, you mean to tell me the Orlando Magic are losing money?
Shenanigans.
Welcome to the Orlando Sports Weekly Rundown, I'm David Baumann.
I'm going to make this short and sweet.
If the Orlando Magic are, in fact, losing money -- like an ESPN report suggests -- then, what in God's good name is Alex Martins still doing as CEO?
This is a day and age where NBA teams can be dismal -- like the Los Angeles Clippers for about 20 years -- and still sell for $2 billion.
Or you can be a mediocre-to-decent franchise -- like the Houston Rockets -- and still sell for $2.2 billion.
TNT's NBA television rights are worth $24 billion through the 2024-25 season.
But according to confidential financial documents obtained by ESPN, the Orlando Magic are one of nine NBA revenue-sharing teams that lost money last season.
If that's true, then Alex Martins serves no purpose as Orlando Magic CEO.
He's already proven he's incapable of putting together a winning team.
Are The Orlando Magic Losing Money? David Baumann's Orlando Sports Weekly Rundown
Martins, who has been with the team (in several different capacities) since 1989, took over as CEO in 2011 after Bob Vander Weide, the former son-in-law of Magic owner Rich DeVos, abruptly resigned.
But, I have a sneaking suspicion that Martins has gotten a little too comfortable in his CEO role.
You know what...
I'd like to see a day-to-day job report in 2017.
Show me what Martins does on a day-to-day basis.
Give me a weekly and monthly recap too, please.
Because if the Magic are losing money as the ESPN report suggests, then there's only one person to blame.
Martins.
Let's remember, this is a man Stan Van Gundy once said, "has no sports knowledge... has never coached or played... and has never been in a locker room."
So if you have "no sports knowledge"...
You prove you can't win games...
And you not making the franchise money...
Then Martins has no right being CEO.
But here's the thing...
I don't buy it that the Magic are "losing money."
Just like I don't buy their announced attendance figures last season, or any season, really.
You mean to tell me the Magic averaged 17,753 last season in that empty Amway Center, up from 17,543 the year before?
With that no-star roster?
And fifth straight losing season?
Not a chance in hell.
I declare shenanigans.
Attendance shenanigans.
Financial Shenanigans.
Shenanigans everywhere.
And here's another thing to consider when reports suggest the Magic are "losing money."
In February, Forbes ranked Orlando as the 19th-most valuable franchise (out of 30) with a price tag of $920M.
Keep in mind, Rich DeVos purchased the team for a measly $85M in 1991.
"Pocket change," the billionaire DeVos has called it.
If he sold today for $920M, that would be a 982% return on investment.
A coveted "TENBAGGER" as greedy investors would call it.
That's pretty darn good considering Mr. DeVos could've stuffed that money into the S&P 500 during that time and he'd only have made 544% on his investment before inflation (261% after inflation).
So I think the DeVos family is doing just fine.
And they'll never sell anyway -- even if the team is losing money, as the recent bombshell report suggests.
DeVos, now 91, has publicly stated that the franchise is a legacy for his kids and grandkids.
He told the NYTimes in 2009, "The grandchildren are being told this is not something you can buy and sell. This is something you respect and take care of."
Well, if Mr. DeVos is a man of his word...
And the Magic continue losing games for the sixth straight year...
And keep losing money (allegedly)...
Then he'd get rid of Martins and find someone new -- who has a clue what they're doing -- to rebuild the franchise.
That's IF Mr. DeVos still believes the Magic are something to "respect and take care of."
I'll finish by saying this:
Martins ain't going anywhere.
He's too close to the DeVos family after all these years.
The only thing Magic fans can do is hope to see a title "by 2030!", as Martins has infamously said.
David Baumann is a Sports Columnist for 407area.com and can be heard on EK Sports Tuesdays 7-9pm on 96.9 The Game FM/740 The Game AM.
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