2008 MLB Payrolls; Guess Who is #2

by oxforddave on Apr 2, 2008 3:52 PM EDT Comment 32 comments

I read in the local paper this morning about MLB payrolls. I was surprised to find the Tigers second. Here are the numbers of the top teams.

1 (1) Yankees $209,081,579

2 (9) Tigers $138,685,197

3 (3) Mets $138,293,378

4 (2) Red Sox $133,440,037

5 (4) Whi Sox $121,152,667

6 (5) Angels $119,216,333

16 (23) Tribe $78,970,067

1) the three teams the tribe is competing with for 3 playoff spots are 1,2, and 4 in payroll. 2) It is not just a Yankees-Red Sox duopoly anymore. 3) The Tigers have really jumped; a Tigers fan told me that this is because now there is a salary cap in hockey, so Illitch is spending his cash on the Tigers instead of the RedWings. 4) Even though the Tigers have been the main competition for the tribe the last 2 years, I've never really despised them like the Yankees and Red Sox, as they were kind of in the same boat as the tribe. Not anymore! I can now despise them for their unfair competitive advantage.

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So having Pudge, Sheffield, and Kenny on the team didn't cause you to despise them. You are stronger than me.

by kova on Apr 2, 2008 3:56 PM EDT reply actions 0 recs

Seriously. They are above NYY and BOS on my hate hierarchy.

Burn on, big river, burn on...

by Turkmenbashi on Apr 2, 2008 4:13 PM EDT up reply actions 0 recs

I wonder what kind of profit Ilitch makes off of the Tigers with this kind of payroll. He still has to be making money, right? But in Detroit's economy? What kind of TV deal do they have in Detroit? Attendance alone doesn't explain it.

by supermarioelia on Apr 2, 2008 4:10 PM EDT reply actions 0 recs

Pizza, Mario, pizza.

"the most vehement Yankee-hating guy I know" - Jay

by mauichuck on Apr 2, 2008 4:11 PM EDT up reply actions 0 recs

I guess my question is whether Ilitch is running a deficit for the sake of the franchise? If so I'm jealous. And it really would throw a wrinkle into the "Ability of the franchises to spend money is independent of the owner's capital" theory.

by supermarioelia on Apr 2, 2008 5:01 PM EDT up reply actions 0 recs

It's a much larger market. From memory, I believe the Detroit MSA alone is like twice the size of Cleveland's. Never mind the fact that their fan base would logically extend north and west through nearly the entire state. Heading outward from Cleveland, you bump into PIttsburgh, Cincy, Detroit and even Toronto fairly quickly.

by CBusSteve on Apr 2, 2008 4:59 PM EDT up reply actions 0 recs

Hello Mario,

I'm not entirely sure, but I think a good majority of Tiger games are shown on FSN Detroit, so I'm guessing it's similar to the deal the Indians and FSN Ohio had a few years ago, though maybe the money and contractual amounts are similar to what the Indians and STO has now. I'm not really sure on the dollar amounts, but as far as I know, the Tigers have no local sports channel like STO.

Just my 2 cents - hopefully, this is helpful. :-)

The "cream of the crop" doesn't always rise to the top.

by indiansfan on Apr 2, 2008 7:07 PM EDT up reply actions 0 recs

There is no reason to think FSN pays one team in one market the same as another team in another market. Each contract gets negotiated based on its individual value. Detroit is a much larger market -- and a great old baseball town similar to Cleveland -- thus, all else being equal, their contract will be worth much more money.

by Jay on Apr 2, 2008 8:18 PM EDT up reply actions 0 recs

Hello Jay,

Good point - I wasn't sure how much money the Tigers would get from a network like FSN as they would from their own "personal" channel like an STO, but even so, I could see where the Tigers would still be getting more money from the Indians.

Besides that, if they weren't getting that much money from FSN, chances are, they'd probably consider creating their own baseball channel as well like the Indians and Mets did.

Just my 2 cents. :-)

The "cream of the crop" doesn't always rise to the top.

by indiansfan on Apr 2, 2008 11:51 PM EDT up reply actions 0 recs

the dedicated stations don't seem, generally, to be owned by the teams themselves. the Yankees don't own YES, they're owned by a holding company that holds a majority stake in YES (the Yankees also own a stake, as well as Goldman, who I think is selling). YES is worth about US $3 billion, about twice the value of the Yankees franchise (according to a recent New Yorker, Apr. 7). STO is owned by Fastball Sports Productions LLC, a sub of Cleveland Indians Baseball Co., which owns the Indians, and used to be traded. it was taken private by the Dolans, so we don't get to see any 10-k's. in any event, STO profits the Dolans, not the Tribe's bottom line, which certainly helps, but only indirectly--it doesn't make the team itself more profitable, except to the extent that media rights contracts might become more favorable (though this theory would be legally problematic).

the whole issue is interesting. anyone know if anything comprehensive has been written on the topic?

by emil minty on Apr 6, 2008 12:38 AM EDT up reply actions 0 recs

These distinctions are largely technicalities and semantics. The Yankees and YES are part of the same conglomerate, as are the Indians and STO.

by Jay on Apr 6, 2008 11:31 PM EDT up reply actions 0 recs

So we've got half the pay-roll of the Tigers and about 35% of the White Sox.

BTW, your Tigers buddy, like most Tiger's fans, is wrong.

"the most vehement Yankee-hating guy I know" - Jay

by mauichuck on Apr 2, 2008 4:11 PM EDT reply actions 0 recs

2/3 of White Sox. 4/7 of Tigers.

There are many other ways of looking at this that can make the disparity appear even worse, but I've got to get outta work before Fausto gets rollin'.

by jhon on Apr 2, 2008 4:36 PM EDT up reply actions 0 recs

Wow, the more I think about this, the more it pisses me off. If I hear anyone complaining about poor, downtrodden Detroit and how "the city needs" a championship, I'm gonna flip.

Burn on, big river, burn on...

by Turkmenbashi on Apr 2, 2008 4:58 PM EDT reply actions 0 recs

I prefer a superior local economy and a repaired city to anything. I assume Detroiters feel the same way.

by jhon on Apr 2, 2008 5:37 PM EDT up reply actions 0 recs

Well that city is pretty horrible right now.

by Joe. on Apr 3, 2008 11:18 AM EDT up reply actions 0 recs

Instead of teams, lets talk about players. We know A-Rod has the highest salary. Guess which player is #2?

by oxforddave on Apr 2, 2008 5:51 PM EDT reply actions 0 recs

Isnt it Zito?

Formerly known as "tribefan stuck in boston"

by BostonWahoo on Apr 2, 2008 5:51 PM EDT up reply actions 0 recs

Jason Giambi

How about that for a signing?

by oxforddave on Apr 2, 2008 9:03 PM EDT up reply actions 0 recs

It's actually not been a horrible contract, as mega-deals go. At least he gave them four seasons like they were expecting out of the first six.

by Jay on Apr 2, 2008 11:16 PM EDT up reply actions 0 recs

How about the fact that by midseason A-Rod will have made more money from his salary this season than the entire roster of the Marlins will make the entire season.

by jdwitmer on Apr 2, 2008 6:59 PM EDT up reply actions 0 recs

That makes me so angry.

And by "so angry," I really mean "mildly curious."

by Jay on Apr 2, 2008 8:19 PM EDT up reply actions 0 recs

That makes me angry. I should have checked this post at 5 MDT, I might be holding a $25 check from trivia instead of $10. The tie-breaking question was how much A-Rod makes. Had I known that, my guess might have beeen closer.

by kova on Apr 3, 2008 12:52 AM EDT up reply actions 0 recs

Where's Manny in that hierarchy? Sorry, being lazy about research.

Il faut d'abord durer.

by CU Adam on Apr 2, 2008 10:58 PM EDT up reply actions 0 recs

Selig makes US $14.5 mil this year.

by emil minty on Apr 6, 2008 12:44 AM EDT up reply actions 0 recs

The best (?) part of this is that the Yankees are paying 40% luxury tax for payroll over $155 million, so you can actually jack their number up by another $21 mil or so.

Come to think of it, that should just about cover the Marlins' payroll.

by zempf on Apr 3, 2008 8:40 AM EDT reply actions 0 recs

Two New York teams in the top 4. I always wonder if the ciy could handle a third baseball team. Probably.

I don't really hate the Tigers or Red Sox as much as the Yankees. I think Dombrowski has been smart as a GM. It's not like it's their fault that baseball salary rules are so absurd.

by Joe. on Apr 3, 2008 11:19 AM EDT reply actions 0 recs

No, but they aren't helping.

Burn on, big river, burn on...

by Turkmenbashi on Apr 3, 2008 11:24 AM EDT up reply actions 0 recs

Oh please. If we had the money, we'd take advantage of it too.

by Joe. on Apr 3, 2008 11:56 AM EDT up reply actions 0 recs

That old "blue ribbon panel" Selig appointed to look at economic issues a few years back said exactly that. In fact, I think they said that the "megalopolis" between Boston and D.C. should have four more teams in it. To which I would add, they can start with the two in Florida.

by Jay on Apr 3, 2008 12:02 PM EDT up reply actions 0 recs