Author: Frank the Tank

Conference Realignment: If I Was Richer, I’d Still Be With Ya

On By Frank the TankIn Big East, Big Ten, Sports844 Comments

It’s been a crazy couple of days to say the least.  We saw the SEC vote to conditionally accept Texas A&M, Baylor and a bunch of other Big 12 schools holding up the A&M move by refusing to sign some legal waivers, rumors stating the Pac-12 doesn’t really want to expand but will still add Oklahoma and Oklahoma State, Texas and Notre Dame are heading to the Big Ten, and the Big East may pick up some Big 12 leftovers, and now it may be all for naught with the Big 12 possibly being saved (in part by BYU).  So, by the time you read this post, it might be completely outdated with how fast the news and rumor mill has been churning.  Anyway, I have few thoughts on the latest developments:

1. Can’t blame Baylor (and others) for legal stance – As a lawyer, if I was representing any institution in this scenario, whether it’s Baylor, Iowa State or Texas, there’s NFW that I’d let it sign a blanket waiver of legal rights to the SEC and if such institution wanted to proceed, I’d insist upon some type of considerable payment in return.  A waiver of this nature wouldn’t be enforceable without some type of consideration from SEC, anyway.

In the case of Baylor, there might literally be no amount of consideration outside of the preservation of the Big 12 itself (as long-term AQ status trumps short-term monetary payoffs) that could justify signing that waiver.  Whether Baylor actually has a case with respect to tortious interference against the SEC isn’t really relevant here.  At face value, this type of case is probably a loser.  The Big East attempted to sue the ACC on similar grounds back in 2003 and ultimately settled for $5 million total, which is effectively pocket change that wouldn’t even cover 50% of one year of conference TV revenue for just one Big 12 school.  However, Mike Slive would know that insisting upon a waiver of legal rights would cause an allergic reaction among Big 12 members as a legal principle.  I don’t think much of Dan Ponzi Beebe, but he was correct in his statement that it’s unprecedented for a raiding conference to ask for waivers of legal rights from those left behind in the raided conference.  It doesn’t make sense for the SEC to do this from a practical standpoint unless they have some other motives outside of the legal realm (which we’ll get to in a moment).  That being said…

2. Can’t blame Texas A&M for being volcanically pissed off – As a business man, I have a hard time seeing the value in attempting to keep around a school that clearly doesn’t want to be there.  As long as Texas A&M pays all of the exit fees that it has agreed to with the Big 12 (which by all accounts it plans to do), then the Aggies should be free to go as they please.  Whether Oklahoma or others might leave after the Aggies (thereby dissolving the Big 12) shouldn’t be the problem of Texas A&M or the SEC.  It’s in the best interests of everyone within the Big 12 to move on as quickly as possible.  Now, I believe that Aggies have some misplaced anger toward Baylor in the sense that the SEC is the entity that is requesting something that no other Big 12 school (unless it’s heading out the door for the West Coast) would reasonably sign.  Which gets to the next point…

3. SEC isn’t doing this for purely legal reasons – As I’ve done several times before on this blog, I’ll point to Mr. SEC, who I believe had a spot-on commentary on the SEC’s true motives in asking for these waivers: Mike Slive wants to see if he can cause Larry Scott and the Pac-12 to act first.  Personally, I doubt Slive will win this particular game of chicken since, by all accounts, the Pac-12 is only going to act if A&M moves first.  Still, it doesn’t really hurt the SEC to attempt this tactic, where the conference can just wait awhile and then decide to proceed with expansion without the Big 12 waivers.

4. Big Ten looking to form the “Fuck You, Pay Me” Conference? – The famous Purple Book Cat of the WildcatReport.com resurfaced last night with the following rumor: the Big Ten is looking to add Notre Dame and Texas with a bevy of conditions, including folding the Longhorn Network into a “BTN2”.  The proposed solution to the “LHN problem” actually makes some sense, although I don’t quite understand the issues that the Big Ten would have regarding ESPN supposedly pushing the UT-to-the-Pac-12 angle (as the channel actually has a much closer and wider-ranging relationship with the Big Ten compared to the Pac-12).  Chip Brown of Orangebloods separately stated the following, as well:

An outside the box option would be something like a conference such as the Big Ten allowing Texas to join the league and only make money off of LHN and not share revenue from the Big Ten Network. File that one away.

Should any of us really be giving this idea any credence?  Probably not.  I don’t see how the Big Ten is going to provide special arrangements to Texas when Jim Delany spent a TON of capital in convincing power schools like Michigan and Ohio State to sign up for the Big Ten Network instead of forming their own individual networks.

At the same time, if there’s any truth to the notion of Notre Dame joining a conference, I have faith that it will be smoked out by the school’s alumni base long before a decision is made.  They’re on a 24/7/365 Independence Watch over there, so this isn’t a matter that’s going to get agreed upon in a backroom at least as far as South Bend is concerned.

Regardless, assuming that no one knows what they’re talking about on anything regarding conference realignment (which is true), we can at least play along and put together a B1G 16 Fuck You, Pay Me Conference pod setup with, say, Syracuse and Rutgers (PURELY for discussion purposes – substitute Missouri, Pitt, Maryland, Boston College, or anyone else if it makes you feel better) in addition to UT and ND with each school having a protected cross-division rival (in parentheses):

NORTH
Michigan (Ohio State)
Michigan State (Rutgers)
Notre Dame (Texas)
Purdue (Indiana)

EAST
Ohio State (Michigan)
Penn State (Nebraska)
Rutgers (Michigan State)
Syracuse (Minnesota)

SOUTH
Texas (Notre Dame)
Illinois (Iowa)
Northwestern (Wisconsin)
Indiana (Purdue)

WEST
Nebraska (Penn State)
Iowa (Illinois)
Wisconsin (Northwestern)
Minnesota (Syracuse)

If the Big Ten has an 8-game conference schedule as proposed in the Purple Book Cat scenario, that means each school would play its 3 podmates annually plus 1 cross-division rival and then rotate through the other pods each year on an NFL-style basis.  From a Notre Dame perspective (who is really the one that needs to get pleased even more than Texas), this setup keeps their 3 traditional Big Ten rivals, secures an annual game with Texas, and then allows them to still schedule USC and Navy home-and-home in the non-conference schedule.  That’s about as close as you can get to a national schedule for Notre Dame while preserving the maximum number of rivals within the confines of a conference.  While that’s likely never going to be enough for the independent-minded Notre Dame alums (as independence is really an identity issue for that school as opposed to a financial stance), I doubt the Irish could get much better from a pure scheduling standpoint.

Anyway, this is all a hypothetical… like everything else in conference realignment.

(Follow Frank the Tank’s Slant on Twitter @frankthetank111 and Facebook)

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Texas Longhorns: Going to California (Again)?

On By Frank the TankIn Big East, Big Ten, College Basketball, College Football, Sports902 Comments

When it comes to choosing a conference, the University of Texas has a choice: does it want the nicest house in Compton or an average house in Beverly Hills?

The former is what it would have if it chooses to stick around the Big 12 to keep the Longhorn Network in a Big 12 that definitely won’t have Texas A&M, very likely won’t have Oklahoma and, by extension, Oklahoma State, and possibly won’t have Missouri, either.  UT could continue to be the richest person in the neighborhood by a mile and control the local scene.  Of course, the issue is that everyone in the area that has scrounged up enough of a down-payment is moving out to nicer places.  The latter is what it would own if it becomes an equal TV revenue sharing partner in the Pac-12 (or for that matter, the Big Ten or SEC).  In that case, UT would be another rich guy in a whole town full of rich guys, but it also won’t have to worry about the value of the house going down.

It’s a fundamental question about what UT wants/needs to be.  The Big 12 as saved last summer was really UT’s dream scenario: they essentially were earning independent-type TV money in a conference with their primary regional rivals.  Now that one of their rivals (A&M) might be headed out the door as early as tomorrow and their other main rival (OU) has all but declared it’s heading west to the Pac-12, is the Longhorn Network (which hasn’t even been on the air for a week) more important than UT’s conference?  Larry Scott knows, just like Jim Delany and Mike Slive, that equal revenue sharing is a primary tenet of strong conference unity, so he’s not going to let UT have a separate TV deal when the schools in California like USC have already given up unequal shares in the new monster Pac-12 TV contracts.

Now, I consider Bill Powers (UT president) and Deloss Dodds (UT athletic director) to be smart men.  The Longhorn athletic department didn’t become the wealthiest in the country (even before any LHN cash started coming) by accident.  They likely thought that they controlled all of the cards, where as long as UT stayed in the Big 12, the other big guns of OU and A&M would, too.  I certainly thought that way.  While it wasn’t a surprise to find that the Big 12 wasn’t long for this world, I didn’t believe that it would be killed off only a year after its Summer 2010 stay of execution.

I can’t blame UT for going out and getting the LHN deal.  Any other school that had that type of leverage would’ve done the same thing.  However, I also can’t blame either A&M or OU for looking out for their own interests.  Most people here know me as the guy that wrote about the possibility of Texas going to the Big Ten last year, and as much as I’d still love to see that happen in many ways, there’s really no better conference deal out there for UT than a Pac-16 that includes Oklahoma, Oklahoma State and Texas Tech.  Neither the Big Ten nor SEC would ever grant spots to OSU and Tech and even if they’re not outright political requirements for OU and UT, they ensure that the two power schools won’t be complete geographic outliers.

At this point, I can’t see how OU could rationally stay in the Big 12 (particularly after OU president David Boren’s explicit statement of no-confidence in the conference).  (Note that rationality doesn’t always apply in conference decisions.)  The Pac-12 would certainly be willing to take them and OSU without having Texas schools coming along, as the Sooner are a top 10 college football brand.  It’s the LHN that makes what UT will ultimately decide difficult to predict.  There’s just no way that channel could continue to exist within the confines of the Pac-12 (at least as a UT-branded entity).  UT is going to have a really nice house no matter where it lives.  What will be instructive is whether it wants the nicest house on the block or a better neighborhood.  The Longhorns may not be able to have both.

(Follow Frank the Tank’s Slant on Twitter @frankthetank111 and Facebook)

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How Far North Will the Dirty South Go?

On By Frank the TankIn Sports, College Basketball, College Football, Big Ten, Big East1,112 Comments

As we come ever so closer to something official somewhere about Texas A&M moving to the SEC, the college football world has naturally turned to speculating on who is going to be SEC school number 14.  I can buy that the SEC might spend a year or two at 13 schools, but with divisional play having long been in place, an odd number of members is not going to work long-term in the same manner that it did for the Big Tweleven.

Mr. SEC had a nice breakdown of the SEC’s realistic expansion options last week and I agree with his overarching point that there are not nearly as many choices for Mike Slive as the average college football fan believes.  (Note that Mr. SEC is as close to that conference as anyone, so he’s not some biased and blasphemous Big Ten blogger like yours truly.)  I’ll reiterate my belief once again that the ACC is much, much, much stronger than so many people that just see the recent results on the field, current TV contract cycle, and preponderance of hookers and blow in Miami seem to give it credit for.  The ACC has extremely strong academics (which, whether sports fans like it or not, actually matter to academic institutions) along with a core of UNC, Duke and UVA that’s never going to realistically leave.  Mr. SEC’s contention (and I once again agree with him) is that when you’re not including ACC schools (although I’ll evaluate a few of them as cursory measure in a moment) and it should be assumed that the Big Ten and Pac-12 aren’t poachable, then the list of schools that can (1) add value to the SEC and (2) aren’t tied down by home state politics (i.e. the Oklahoma – Oklahoma State situation) is cut down to Missouri, West Virginia and Pitt.  That’s it.  As a result, Mike Slive just can’t start blowing up other conferences like Emperor Palpatine (not that it’s in his best interest to do so, anyway).  Let’s take a look at those 3 schools along with a handful of specific ACC members that often get mentioned as potential SEC candidates:

VIRGINIA TECH

Virginia Tech is probably the most oft-rumored addition to the SEC these days and it certainly makes sense from a financial perspective.  The Hokies have a large fan base that also opens up a brand new fast-growing Southern state for the SEC while providing access to the Washington, DC market.  Here’s the problem (and I know many readers believe I harp on this too much): Virginia state politics.

Let’s take a look at the historical timeline of the Commonwealth of Virginia’s ACC members:

1819 – The dude that wrote the Declaration of Independence founds Big Brother University.

1872 – Little Brother University is founded.

1953 – Big Brother becomes a founding member of the ACC.  Little Brother kicks around in the Southern Conference and then as an independent later on.

1991 – Little Brother joins the Big East.

2003 – Big Brother’s league raids Little Brother’s league.  Little Brother then gets Virginia politicians to pressure Big Brother to scuttle the league’s expansion plans entirely in order to have Little Brother join instead.  It works!

Does that timeline really look like a situation where Little Brother can go and completely screw Big Brother only 8 years when Big Brother directly called in favors to get Little Brother into the ACC?  Make no mistake about it – UVA would be screwed in this situation.  The notion that UV A would be unscathed if Virginia Tech left is a fallacy.  If we believe that the ACC would lose TV money with Virginia Tech leaving (very possible) and/or even worse, the long-term stability of the ACC that UVA founded (another strong possibility), then Virginia legislators are going to put the smackdown on that move.  It’s not just about the ACC or UVA simply surviving here.  At least in the case of Texas A&M, leaving for the SEC wasn’t ever going to damage Texas financially at all and in a strict political sense, the Aggies is closer to UT’s equal in terms of power.  The Commonwealth of Virginia, however, is heavily ACC country and it wouldn’t go over well to see a Virginia-based university that begged politicians to force it in then turn around and completely destabilize it less than a decade later. As a result, I don’t believe that Virginia Tech going to the SEC is realistic.  It’s the best combo of new markets and solid football for the SEC, but that doesn’t mean that they’re attainable.  There’s NFW that a public flagship university that was founded by Thomas Jefferson is going to get screwed by a fellow in-state institution here.

(It’s certainly ironic that a school that the ACC didn’t originally want in 2003 may end up being the key to the conference’s long-term stability.  Just as UVA had circumstantial veto power when the ACC last expanded due to the UNC/Duke bloc against any type of addition, Virginia Tech has ended up in the position where it may singlehandedly determine whether the ACC stays intact.  That’s the type of position that legislators love to pounce upon.)

NORTH CAROLINA STATE

Here’s a link to the website of the  University of North Carolina system.  If you look at the list of institutions controlled by the UNC Board of Governors, you’ll find North Carolina State University listed there.  This means the UNC system has to ultimately approve any conference move by NC State.  If you haven’t figured out by now why UNC and NC State will never, ever be separated, I can’t help you.  Considering UNC isn’t going to ever head to SEC for academic and control reasons, NC State isn’t going anywhere, either.

FLORIDA STATE

Florida State is really the only ACC school that I could realistically see heading to the SEC.  Its Big Brother is the one that’s already in the SEC, so this isn’t a situation where Little Brother would somehow be abandoning Big Brother like Virginia Tech or NC State.  It’s probably up to the University of Florida as to whether FSU would get an invite.  The rumored “Gentlemen’s Agreement” among SEC schools to not add any expansion candidates in current SEC states seems more rooted in giving deference to fellow in-state institutions as opposed to some type of outright ban.  FSU doesn’t bring a new market, but the Seminoles clearly have the top national football brand in the ACC and that may trump any territorial overlap concerns with the Gators.

CLEMSON

Clemson is one of the other ACC schools that may accept an SEC invite despite the difference in academics, but the issue is whether Clemson actually brings much to the SEC.  I find Clemson to be more of a fan-based wish as opposed to a financially-sound addition.  To be clear, Clemson has a great fan base and solid athletic programs across-the-board.  However, I think that the SEC looks at them in the same manner that the Big Ten looks at Pitt: a great fit in everything but straight cash homey.  The SEC already has the flagship in Clemson’s home state of South Carolina with a relatively low population while the Tigers don’t have the national name of FSU to compensate.  If you could move the Clemson campus to virtually any state outside of the current SEC footprint, then it would be a top target.  Unfortunately, the one thing that a school can’t change is location unless it’s an online diploma mill.  Speaking of Pitt, by the way…

PITTSBURGH

Even as a guy that is largely known as the blogger that wrote about the possibility of Big Ten adding Texas, the thought of Pitt going to the SEC feels geographically out of whack even though the actual distance may not actually be as far as you think.  It’s a strange thought on the surface and not a cultural or institutional fit, although with the footprint and mishmash of different types of schools in the Big East now, we’re probably at the point where it doesn’t matter.  Pitt has everything checked off that you’d want in a school with great academics, a long football history, and a top tier basketball program.  This would be purely a money play for the SEC to get into Pennsylvania, though, and while money is certainly factor #1 in any conference decision, those types of moves generally don’t work out without some intangible cultural and institutional ties, too.  Pitt might end up being the beneficiary of the domino effect in the event that the SEC takes Florida State and then the ACC needs a replacement (where the Panthers would be a much better match).

WEST VIRGINIA

A year ago, I couldn’t see any reasonable way for West Virginia to end up in the SEC.  Now, though, the Mountaineers might be the most realistic frontrunner with the way everything has played out.  WVU is pretty similar to Iowa – a rabid statewide fan base in a small immediate market but whose grads disperse to major markets nearby and have an incredible traveling reputation.  (Differences: WVU has a functioning basketball team along with top tier rifle and couch burning programs.)  The Mountaineers would be a great cultural fit with the SEC while getting the conference some exposure in the Mid-Atlantic region.  Whether the SEC can get over the school’s small market the way that the Big Ten got over Nebraska’s low population base is another story.

MISSOURI

Ah, Mizzou.  I know that there are a lot of Missouri fans that are convinced that I have it in for them as an Illinois alum, but to be honest, it would’ve been great strictly from an Illini perspective to have had the Tigers as a conference rival in the Big Ten.  The issue was that Mizzou is the kind of school that makes a lot of sense in a multi-school expansion (good TV markets, academics, football and basketball), yet they aren’t necessarily stellar enough in any category to make them the lone addition.  The SEC is probably going to look at Mizzou in a similar fashion, where they likely weren’t going to make the Tigers the primary target but could be very attractive in a pairing with Texas A&M.

My somewhat educated opinion is that the ACC is going to stay intact, so it’s going to come down to a choice between West Virginia and Missouri for the SEC.  Mizzou has the advantage in TV markets and recruiting areas, while West Virginia has the edge in cultural fit and fan base intensity.  If I were in Mike Slive’s shoes, I’d choose Missouri, but I’m getting the impression that Mizzou may stick around the Big 12 minus 2 minus 1.  That’s what happens when your university president heads up the Big 12 expansion search.  As a result, West Virginia is who I’d wager on becoming SEC school #14.

(Follow Frank the Tank’s Slant on Twitter @frankthetank111 and Facebook)

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In America, You Leave Big 12. In Soviet Texas, Big 12 Leave You!

On By Frank the TankIn Sports, College Basketball, College Football, Big Ten, Big East900 Comments

Before we get to the latest conference realignment news of Texas A&M sending an effective break-up letter to Dan Beebe and the Big 12, let’s take a moment to pour out some Cris in memory of the Cy-Hawk Trophy Version 2.0.  It lived for less than a week, but it left an indelible image in the minds of Americans the same way that the chick from The Exorcist warms your heart the first time you see her head turn around 180 degrees.  Only this trophy could make the Altoona Senior Bowling League Trophy with a Mold-a-Rama Lion Pasted on the Side (known in some circles as “The Land Grant Trophy”) look like the freaking Stanley Cup by comparison, which was a phenomenal achievement.  It’s a shame that it received a Suge Knight cap in its ass before it even had a chance to explore the world.

As for Texas A&M changing its status to “Single” on its Facebook account, it’s been something that’s been coming down the pike for the last couple of weeks.  What’s interesting is that my questioning of the financial parameters on the SEC side was confirmed by a conference official in the New York Times:

The official acknowledged that because of the length and structure of the SEC’s current television contract, adding Texas A&M and a 14th member would not be financially beneficial from a rights standpoint.

Texas A&M and Team No. 14 are expected to receive a pro rata share equal to what the SEC’s 12 current universities are making: an average of about $18 million in league payouts. (Individual universities can make more money from their separate television deals.)

The SEC deal, which ends in 2025, has a few windows when it can be renegotiated but no one from the SEC or the networks expects any radical change.

So, this move is NOT about the SEC being able to reopen its television deal in order to gain more money than what the United States currently has on hand to pay Social Security checks (as so many people have assumed).  Maybe the SEC sees this as the one opportunity to get A&M in the next couple of decades and that’s why they’re moving now despite not being able to realize much (if any) TV revenue from their addition until after 2024.  Whatever the reasoning might be, it seems that since the SEC can’t just open up its TV contracts again by expansion, such expansion is going to be kept at a minimum for now.  As a result, the obituaries being pre-written for the Big 12 and ACC from the SEC supposedly going into 16-school superconference mode immediately are way too premature.  The SEC will need to find a school #14 fairly soon, but who knows who it will be.  (I do NOT believe for a second that it will be Virginia Tech, but I’ll write about that more extensively in a separate post.)  Right now, appears that either (a) the Big 12 will lose another school to the SEC on top of A&M, such as Missouri or (b) the Big 12 and one of either the ACC or Big East (maybe West Virginia) may lose a school to the SEC, yet in each event those leagues will still continue to live.

This gets to this question: who the hell would join the Big 12 after losing A&M and maybe another school?

Let’s start by putting some asinine “Notre Dame to the Big 12” proposals to rest.  Somehow, a friendship between Jack Swarbrick and DeLoss Dodds with a 4-game football series over the course of 8 years has been transformed by some in Big 12 country to signal Texas and Notre Dame working together to split up the college football universe.  (Examples of this aren’t just in Texas, but the Kool-Aid is spreading all the way to St. Louis, too.)  Putting aside the fact that Notre Dame would effectively throw away, well, ALL of its rivalries in this scenario in order to play Texas Tech, Iowa State, Oklahoma State and friends (as opposed to the more simple solution of just playing the two schools that are of interest them of Texas and Oklahoma as an independent… which ND happens to be already doing), I’ll reiterate what I’ve stated several times on this blog before: independence is a school identity issue for Notre Dame, NOT a TV money issue.  It continues to amaze me how many people think the money that ND is getting from NBC is somehow special when Northwestern and Washington State are absolutely murdering the Irish on that metric in their respective conferences’ equal revenue sharing arrangements.  The point is that ND isn’t independent in order to maintain an NBC contract.  Instead, it’s the other way around: ND has an NBC contract as a means to maintain independence.  In other words, the endgame for ND is independence in and of itself (not the money that is made from being independent, as the school has plenty of money from its alumni base).  Thus, all of the suggestions that the Longhorn Network shows how the Big 12 could offer ND a way to keep its NBC contract are completely irrelevant, as even if that were the threshold issue (and it isn’t), the Big East would gladly take in ND on that basis or, better yet, they could just stay independent.  Now, if we get to a model where there are 4 16-school superconferences and you structurally MUST be a member of one of those 4 leagues in order to have access to the national championship game, then that’s the point where ND would join a conference.  It won’t be a moment before that point, though.

Getting that out of the way, let’s take a look at some realistic candidates to join the Big 12:

1. BYU – This is really the Big 12’s best target that would almost assuredly accept.  I’ve gone over why I believe that BYU would actually be fairly successful as an independent and that translates into being a viable addition to an AQ conference like either the Big East or Big 12.  Based on fan base size and long-term TV value, BYU is clearly the most valuable school available in the non-AQ ranks.

2. Louisville – While conference realignment is all about football, it should be noted that UL was #2 in the country in basketball revenue in its last season in Freedom Hall.  With its new Yum! Center (or as I like to call it, the “KenTacoHut Center”) revenue, the school will almost assuredly be #1 on that list when last year’s figures come out.  At the same time, UL has a solid football fan base that has simply been beaten down by some horrible coaching over the past few years.  If I were Dan Beebe, my plan would be to extend invites to BYU and Louisville immediately after A&M makes it exit.  The issue with Louisville is that they may prefer to stay in the Big East, although that particular league may not come out unscathed if the ACC takes a replacement school or two from there.  I’ve talked to a number of Louisville alums who, at a fan level, do not support a move to the Big 12, but if we’re talking about a league that’s reasonably assured of keeping both Texas and Oklahoma, UL’s leadership might see things differently.

3.  TCU – A Big 12 with both UT and A&M has zero need to add any other Texas-based schools.  With A&M leaving, though, quality becomes more of a concern than markets and it may be more beneficial to go even further into the Texas market compared to some of the other non-BYU non-AQ options out there.  I had been pushing TCU to the Big East for a very long time and was happy to see that marriage happen, yet there’s a chance that they’ll never move in together.  Like Louisville, though, the Big 12 may actually not be that attractive compared to the Big East right now. Adding TCU would be a good football move for the Big 12, but the good (and/or forced) political move would possibly be adding…

4. Houston – There seems to be two schools of thought regarding Houston going to the Big 12.  The first is that this would be a nice move from a political perspective, where the leaving of one Texas-based university from the Big 12 opens up an AQ spot for another school from the state.  If we also believe that UT enjoys tons of control, this is yet another school that it can lean on for the long-term.  The other school of thought, though, is that UT would want nothing to do with Houston.  In essence, it’s almost too easy of a political bailout for A&M while UT ends up being forced to always take care of UH down the line if the Longhorns ever want to explore other options (i.e. heading to a Pac-16).  We’re already seeing some Texas politicians getting into the act on this front.  A year ago, I would’ve put UH near the bottom of the list of any possible Big 12 candidates.  Now, though, they may very well be the most likely next addition.

5.  UNLV – Location, location, location.  This market ought to have a pro franchise yet all of the leagues are still spooked by the tiny bit of gambling that occurs here.  Nevada is also the most populous state that doesn’t have an AQ school.  I’m always surprised that UNLV doesn’t get a little more love in these conference realignment scenarios.  As far as the non-AQ schools go, they have some fairly nice attributes with virtually no local competition (albeit with more value on the basketball side as opposed to football).

6. Air Force – National following and generally performs the best out of the service academies.  From a pure financial perspective, Air Force might be right behind BYU in terms of desirability.  As for actual football, though, there’s a big-time risk that the Falcons will have competitive issues at the AQ level in the way that Army couldn’t even handle C-USA.  There’s simply always going to be a limit to how well Air Force could ever perform (not that this is unjustified, as its students have far more important duties than playing football).

7.  New Mexico – Flagship university of a fast-growing state with an excellent basketball fan base.  The problem: they’re to football what Rebecca Black is to singing.

8.  Memphis – Ditto, only it’s not a flagship.

9/10.  SMU/Rice – All you need to know is here.

Purely throwing crap against the wall right now, I’d say that A&M is the only loss from the Big 12, which will spur DeLoss Doss… er… the conference to invite BYU, Houston and UNLV to get back up to 12.  In other news, we have real football games being played next week.  It can’t come soon enough.

(Follow Frank the Tank’s Slant on Twitter @frankthetank111 and Facebook)

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You Down with SEC? Yeah, You Know Me!

On By Frank the TankIn Big Ten, College Basketball, College Football, Illinois Fighting Illini, Sports1,561 Comments

Well, I strive on this blog to be 100% right approximately 1% of the time.  I’ll have to co-sign this column by Stewart Mandel: it’s looking more and more like I was wrong about the Texas A&M to the SEC rumors (as he also admitted), but it still doesn’t quite make sense to either of us from a rational perspective.  Up until literally a few hours ago, it has all looked like completely fan-based chatter.  I’m honestly taken aback that it now appears that the SEC university presidents are going to meet on Sunday to discuss an A&M invite and the school’s Board of Regents will follow up with a meeting on Monday.  (We’ll address various rumors regarding schools like Florida State, Virginia Tech, Oklahoma and Missouri if necessary if something actually happens next week.)  I’ve always understood why Texas A&M fans wanted to go to the SEC and frankly, never disputed that it would be a good move for them.  The SEC is absolutely a superior conference to the Big 12 (both competitively and financially) and any Longhorns that think A&M wouldn’t benefit from moving are being disingenuous.  That’s the whole reason why that I argued in my last post that it would be UT people more than those from Baylor or Texas Tech that would work to block such a move.  I certainly understand the resentment/anger factor, as well.  As an Illinois alum, I’m still envious of Michigan’s central connection to the The Big Chill, which is a landmark achievement in the history of white people dancing.  Despite some interesting comments from various A&M factions about my loyalties or biases, I personally have nothing against the Aggies at all.

That being said, I share Mandel’s befuddlement about what’s in it for the SEC (although for slightly different reasons).  Let me be clear: my opinion has nothing to do about the value of Texas A&M itself.  As I’ve stated many times before, Texas A&M is extremely valuable and I could see why the SEC would want them in a vacuum where there is no domino effect on the rest of the college football landscape or there’s a clean slate in terms of TV contracts.  However, there’s a fairly good chance that we’ll see significant domino effects if this move occurs and, more importantly, it continues to be unclear to me how the SEC can monetize expansion with the length of its current TV contracts with ESPN and CBS.  Dennis Dodd yesterday stated that all conferences have a “look-in” provision that Mike Slive had described, so it’s not as if though that the SEC has some unique terms here where they get to expand at will in a manner that other conferences aren’t able to do.  At the very least, it’s not as easy as “expansion = look-in trigger = more $$$”, or else we’d see conferences expand every single time that their own TV contracts fell behind by a little bit.  To paraphrase a wise little green dude, that leads to fear, and fear leads to anger, and anger leads to hate, and hate leads to suffering.  To the extent that the SEC can open up its current TV contracts by expanding, every other conference can do it, too.  If it’s that “easy”, then the conference with the most incentive to expand is the ACC considering that the deal that they signed last year is looking quite outdated and could get outpaced by the Big East next year if the status quo holds.  It’s for those reasons why conferences only have a “look-in” when they expand, but networks have an explicit termination right in the event of conference contraction.

From a long-term perspective, Texas A&M certainly adds a ton of value to the SEC.  The Aggies have a rabid fan base and truly bring in the entire state of Texas as a market.  The recruiting benefits are also unquestioned.  Still, I still haven’t hard anyone explain how the SEC is going to cajole ESPN and CBS to throw more money around when their TV contracts last until the mid-2020s.  It’s one thing for those networks to maintain a good working relationship with the SEC, but entirely another to have to throw hundreds of millions of more at contracts that are locked-in for over a decade. Maybe ESPN and CBS could ensure that the SEC schools still get the same per-school share (so the current SEC members end up being revenue neutral), but those two networks, who have dealt with much larger entities like the NFL, aren’t simply going to be pushovers and provide some type of massive financial incentive that would encourage expansion.

I also know that a lot of readers believe that I overemphasize state politics, but I’ll continue to disagree on front.  Texas A&M might procedurally be able to get around Texas politicians by approving the move to the SEC on Monday in a year when the legislature is not in session.  (And I thought Illinois legislators were lazy! We’ll still take down anyone in blatant corruption, though.)  However, as a practical matter, the A&M Board of Regents are going to have to work with these legislators in the long-term, so it’s not as if though they can just ignore them.  Besides, if I’m a state legislator, do you think I want to put out more sound bites about crushing budget deficits, ignoring entitlement/pension reform and and failing to cure stagnant job growth?  Fuck that shit.  I’d be all over talking about college football like white on rice under any possible tangential hook.  (The federal guys in Washington certainly do it regularly when they complain about the BCS.)  Maybe it’s a moot point and the Aggies know that they have the requisite political support, but that’s to be determined in the maybe-too-late Texas House Higher Education Committee meeting that’s supposed to take place on Tuesday.

Last year, the entire world was convinced that the Pac-16 was a “done deal” on a Friday without any doubt in anyone’s mind, but after a weekend of rampant discussions, it ended up collapsing within a few days.  In conference realignment discussions, absolutely nothing is a done deal until you see an announcement with both the inviter and the invitee at a press conference with signed paperwork.  This goes double in the case of public universities located in the state of Texas.  Also note that Tony Barnhart (about as plugged-in with Mike Slive as anyone) and Mr. SEC seem to intimate that it’s not necessarily full speed ahead from the SEC side with a lot more smoke coming from College Station as opposed to Birmingham.

So, while it looks there’s a good chance that I’m going to be eating some crow with a Texas A&M move to the SEC, let’s just wait to see if we get some Stevie Wonder signed/sealed/delivered action on Monday.  After that, we can get back to doing what we do best here: engaging in rampant completely unsubstantiated speculation!

(Follow Frank the Tank’s Slant on Twitter @frankthetank111 and Facebook)

(Image from Mr SEC)

The Jump to Conclusions Game: Why Angry Aggies Aren’t Enough to Move Texas A&M to the SEC

On By Frank the TankIn Sports, Big Ten, Big East1,022 Comments

Nature abhors a vacuum and with a month to go until football season starts, conference realignment talk is back at a fever pitch even though there’s nothing really going on. The latest scuttlebutt is that Texas A&M is dancing with the SEC again with the rest of the Big 12 getting all hot and bothered about their high school recruiting targets getting TV time on the Longhorn Network (which has been placated… for now).

Believe me – I loooove conference realignment talk. It’s the reason why 99% of you are reading this blog in the first place. However, the “Texas A&M to the SEC” rumors are driving me up the wall, not necessarily because it would never happen (even though that’s what I personally believe), but that so many commentators on this subject simply argue that “Angry Aggies = SEC Move” without any further analysis. (For the purposes of this blog post, I will focus on Texas A&M, but the same principles can be applied to rumors involving angry Oklahoma and Missouri fans.) I went through a fairly detailed look at why I didn’t believe that A&M could go to the SEC several months ago and think that all of those arguments still hold true.

To be clear, I believe Texas A&M is an extremely valuable school and if the SEC could add them with no conference realignment repercussions elsewhere, then I could see it happening. A&M has a lot more value than the average UT fan would likely admit. The problem is there could be major conference realignment repercussions that the SEC will not want to witness happen (i.e. its main competitors getting even stronger with the Pac-12 adding Texas and/or the Big Ten adding Notre Dame) – the SEC wanting to add A&M as a reactionary move in 2010 is much different than pulling the trigger and causing the dominoes to fall in 2011. At the same time, A&M’s value is exactly why UT won’t just let them walk away.

Regardless, there’s a segment of the college football fan population that’s simply always going to believe that Texas A&M is heading to SEC just because the Aggies are pissed off. (Remember Missouri was pissed off at the Big 12 last year, too. Also look at all those Big East schools that are supposedly pissed that the conference won’t split. Tons of options for all of them, right?) That’s fair enough, but all I ask of this segment of the population is to address the following roadblocks to that ever happening:

1. The SEC can’t just rip up its TV contracts simply because it expands – A decent number of columnists/bloggers have taken SEC Commissioner Mike Slive’s comment that there are periodic “look-ins” for its contracts with CBS and ESPN and came to conclusion that the conference could set fire to those deals in the event of expansion. While the terms of the SEC TV deal are not public (and that’s the case for any conference), this is a dangerous assumption that I would wager is 99.99% incorrect. (The .01% allows for the slight chance that Slive has compromising pictures of various CBS and ESPN executives with Casey Anthony.) ESPN certainly doesn’t believe that the SEC’s “look-ins” can reopen the TV deal:

The agreement with ESPN calls for a “look-in” review after the first five years but can occur sooner, said Burke Magnus, ESPN senior vice pres ident of college sports programming.

“We knew when we made a 15-year deal that time was not going to stand still so we purposely built in these look-ins,” Magnus said. “They don’t reopen the deal. There’s no outs. It’s an opportunity for both of us to really take stock of where we are and see what we could be doing better.”

It is standard operating procedure that these types of contracts have provisions that protect the network, NOT the conference, in the event of membership changes. In a post by the excellent college TV sports blogger mattsarz about the C-USA/ESPN lawsuit, he attached the underlying TV contract that was made public as part of the complaint that was filed. Here’s the language about regarding membership changes:

10. CONFERENCE COMPOSITION

(a) Essential Institutions. The participation and availability for televised play of the following academic institutions shall be deemed to be of the essence of this Agreement: University of Texas El Paso, Rice University, University of Alabama-Birmingham, University of Tulsa, University of Southern Mississippi, Memphis University, Tulane University, University of Houston, Marshall University, University of Central Florida, East Carolina University and Southern Methodist University.

(b) Unavailability. If any Conference team leaves the Conference or is otherwise unavailable for televised play as authorized by this Agreement (in either case, “Unavailable”) for any Season during the Term then ESPN and Conference will negotiate in good faith after such Unavailability comes to ESPN’s attention to determine appropriate adjustments to this Agreement. In such negotiations, the parties shall take into account, among all other relevant factors, any new members that are added to the Conference in replacement of the Unavailable members. If the parties cannot agree on the appropriate adjustments, then ESPN will have the right in its sole discretion to elect by the May 1 prior to the affected Season (unless such Unavailability occurs thereafter, in which case ESPN will have the right to make its election within 30 days after it is notified by Conference of the Unavailability) to reduce the rights fees hereunder in the same proportion as the number of Unavailable teams bears to 12. ESPN will also have the right at any such time to terminate this Agreement if the Conference has in any season fewer than ten member institutions that are NCAA Division I-A members and that are available for televised play as provided above. In addition, if additional institutions join the Conference (i.e., bringing the number of member institutions to 13 or more), then within 30 days after ESPN is notified by the Conference to that effect, ESPN and Conference will engage in good-faith negotiations regarding potential increases to the rights fees due hereunder.

As you can see, ESPN was able to get a concrete reduction in fees or even completely terminate the agreement if C-USA lost enough members, but if C-USA added any members, all that the parties would be obligated to do was to engage in “good-faith negotiations”, which as an attorney I can say is Kumbaya B.S. with no real meaning. ESPN was the only entity with a legitimate stick here. A conference would only have power if it actually had concrete termination rights in the event of an expansion, which wasn’t the case in the C-USA contract.

Even though C-USA is relatively small player, we can deduce that the power conferences also have a similar clause. The Big Ten, for instance, gained a new marquee member in Nebraska last year and even added a brand new conference championship game (which wouldn’t happen in the case of SEC expansion). If the Big Ten had a termination right that some are assuming that the SEC somehow has, then Jim Delany would’ve called ESPN ten seconds after the new Pac-12 monster contract was announced and said “I’m out!” That obviously hasn’t happened – the Big Ten still has to wait until its current TV deals are done in 2016. It’s also instructive that both the ACC in 2003 and the then-Pac-10 in 2010 performed their respective expansions only a few months prior to their respective TV rights going back up for open bid. That shows that those conferences needed to time their expansions to coincide with their new TV deals (as opposed to the other way around, as the A&M-to-the-SEC believers are arguing) because that’s the only way that they could receive the financial benefits from expansion immediately.

Frankly, this all makes sense. Networks would never reasonably agree to tearing up TV contracts based on expansion because they want to know who the conferences are expanding with (not just expansion in and of itself), and even then, it’s almost impossible to assign a value to any prospective expansion candidates ahead of time. In turn, networks can definitely assign a value to a conference as presently constituted, so they have leverage to get out of deals (or receive relief) in the event that such conference loses members.

So, unless Mike Slive can produce some Casey Anthony photos, we should assume that the SEC has terms just like everyone else: the SEC is stuck with its deals until 2024 unless its TV partners willingly give it more money prior to that. This brings us to the next point…

2. ESPN isn’t going to willingly hand the SEC more money for expansion – Let’s take a quick look at where ESPN stands right now. First, ESPN worked extremely hard to keep the Big 12 together last year in order to block the formation of superconferences by going so far as to give that league the same amount of money even though it had just lost its most populous non-Texas state (Colorado), a marquee national name (Nebraska) and a conference championship game. Second, ESPN has just invested a ton of capital in the Longhorn Network, which essentially depends upon the Big 12 surviving as none of the other BCS conferences besides maybe the Big East would let that monstrosity live.

Call me crazy, but when considering those two points, it seems quite far-fetched that ESPN would actually provide an incentive to the SEC to expand with Texas A&M (and/or Oklahoma and/or Missouri and/or whoever else you want to throw in) that would directly kill off the Big 12 that ESPN has every incentive to save. Plus, with the amount that ESPN is paying the Pac-12 now and with the Big Ten contract going up for bid in a couple of years, it doesn’t make any sense that the network would give the SEC any ability to increase its rights fees prior to 2024. If the SEC’s contract was up in a couple of years like the Big Ten’s deal, then maybe I could see ESPN throwing more dollars in order to lock in an extension, but there’s no business logic for the network to re-open a deal that’s locked in for the next 13 years that the SEC can’t do anything about.

3. Objectors to high school games on the Longhorn Network are arguing semantics (and that’s ultimately a losing argument) – There’s a massive public flagship university located in one of the top football recruiting states in the nation that has entered into a multi-year multi-million dollar third tier rights deal with a regional sports network that is wholly-owned by a large multimedia conglomerate. There are some football and basketball games along with coaches’ shows and other promotions showing the university. The RSN also telecasts high school football games that potentially showcase that university’s recruits. Such public flagship university does not own any part of such RSN.

I’ve just described the contract that the University of Florida has with Sun Sports. It also describes the deal between the University of Texas and ESPN for the Longhorn Network. Structurally, the two deals are virtually exactly the same. ESPN completely owns the LHN, and therefore, controls its programming decisions, just like Fox owns and controls Sun Sports. The main difference is branding, where Florida is part of a network that also shows the Miami Cheat (among other teams) while Texas has its Longhorn moniker in the ESPN’s network’s name. So, does the NCAA come down on the LHN for a branding decision but doesn’t care about Sun Sports? If the LHN simply changed its name to “ESPN Austin”, would it make a difference? Is a network that has 10% UF content acceptable, but another with 90% UT content unacceptable?

Note that this is different than the BTN and Pac-12 Network situations, where the schools in the Big Ten and Pac-12 have actual equity interests in those channels. This makes it much easier for the NCAA to regulate those types of setups or, more importantly, regulate them in a way where the NCAA doesn’t lose in a court challenge. The Texas relationship with the LHN, on the other hand, is really just a straight-up traditional rights fees deal that Florida and a whole host of other schools have with various regional sports networks. As a result, the NCAA, the Big 12 and any other challengers to the LHN would largely have to rely on semantics (the name “Longhorn Network”) with subjective benefits as opposed to the ownership structure of the network itself that can objectively measured, and courts hate arguments about semantics. If ESPN thought the fight was worth it (and that’s a business question as to whether it would spend millions of dollars in legal fees in order to show high school games on TV), it would likely flatten the NCAA (quite possibly the most blatant example of an antitrust violation that we currently have in America, which is a subject for another blog post at some point) in court, just as the University of Oklahoma did in its landmark lawsuit where the Supreme Court struck down the NCAA’s control of TV rights (thereby opening up the ability for conferences and schools to freely enter into contracts with TV networks directly as we see today). The NCAA telling a network that isn’t actually owned by a member school what it can and cannot show on TV could be construed as an overstepping of its authority and, considering the inherently collusive nature of the organization (hundreds of schools making collective decisions that affect students, agents and media personnel that aren’t even employed by such schools), it needs to be careful on how it phrases its regulations.

When the LHN deal was first announced, I was initially puzzled when UT didn’t take an equity interest in the channel, but we now see one of the main benefits. Is showing high school games on the LHN shady? Absolutely! Can the NCAA or Big 12 regulate it? It could try, but at face value, I doubt it would withstand a court challenge. The Big 12 athletic directors themselves have put the kabosh on high school games on the Longhorn Network for this year, yet I’m sure we’ll see this issue come up again next summer and the conference could face the same legal scrutiny as the NCAA would. If ESPN believes the fight is worth it, the NCAA is a fairly easy lawsuit target.

4. People that keep ignoring Texas politicians will get fooled again – Fool me once, shame on you. Fool me twice, shame on me. Fool me thrice, I’m in fucking denial. In the three major conference realignments since the 1990s, two have been heavily shaped by the whims of Texas politicians. The third was shaped by the Virginia legislature. I’ll point back to my “You Can’t Always Get What You Want, Aggies” post that goes through why it’s critical to take into account the irrational nature of Texas politicians with respect to anything regarding football. At the very least, it would be nice to see some other commentators on conference realignment that this is a very real impediment to change. Gov. Rick Perry might be a former Aggie Yell Leader, but if he wants to run for president, he’ll need to raise a lot of money from UT alums (and Texas Tech and Baylor alums), which brings us to the next point…

5. UT needs A&M in the same conference together – Many UT alums likely won’t admit it, but as I’ve stated before, Texas A&M is an extremely valuable school. That’s why UT simply isn’t going to let them walk away, and if it means making some financial concessions or telling ESPN to not show high school games on the LHN to keep the peace (along with applying their own political pressure plus the support of Tech and Baylor), then they’ll do it. There were a number of factors that went into play in the Pac-16 deal collapsing last year, but the threat of A&M heading to the SEC at that time was extremely high on the list. It’s instructive that the Pac-16 deal could’ve easily moved forward if UT was fine with only moving with Tech (and maybe having Utah or Kansas replace A&M in the Pac proposal) while A&M went to the SEC, yet it didn’t happen. I’ll always remember one of the first comments from a connected UT alum on this blog when the Big Ten first announced that it was exploring expansion almost 2 years ago and how he described that UT, in no uncertain terms, would not let A&M head off to the SEC as the Longhorns knew that opening up the state of Texas to that conference for TV and recruiting purposes would be a killer for their own program.

At the same time, count me in as someone that will always believe that the prospect of UT going independent is an empty threat. Money is important, but many commentators are ignoring how important institutional culture is in making decisions, too. Ultimately, UT needs an entourage like a Hollywood starlet. The school’s actions time and time again have shown that having power over others is how it gets it rocks off. It wants to have schools like Texas Tech and Baylor dependent upon it and it certainly doesn’t want A&M be in a separate higher profile league. UT doesn’t just want to make the most money – it wants to control college football in the state of Texas completely, and that requires A&M to be in the fold. Notre Dame is a J.D. Salinger-type recluse that doesn’t want any attachments to anyone, which is why they have chosen to be independent as an institution (even though they’d actually make substantially more television money in the Big Ten). UT simply isn’t like that – it has always positioned itself as the proverbial sun for a bunch of other schools.

UT and A&M have come very close to separating two times before over the last two decades, yet the leaders of both schools have never been able to pull the trigger (even if some their respective fans would love to use a machine gun on the relationship). A combination of politics, institutional culture and uniquely shared endowment money that makes football TV revenue look like pocket change (see the Permanent University Fund) has always kept them together.

Could Texas A&M end up in the SEC? I guess anything is possible, but let’s be clear that just because Aggies are angry doesn’t mean that they’ll move to the SEC. Any rational analysis needs to address (1) why the SEC would expand when it has no leverage to renegotiate its current TV contracts (meaning that the current SEC schools would be subsidizing any expansion until 2024), (2) why ESPN would help out the SEC on that front when it has direct interests in keeping the Big 12 alive, (3) how a court challenge to any restrictions on showing high school games on the Longhorn Network would turn out, (4) why Texas politicians would suddenly be wallflowers on conference realignment when history clearly indicates that they are not only not wallflowers, but completely interventionist and (5) why UT would just roll over and let A&M walk away. I would love to entertain arguments that address all of those massive roadblocks. “Aggies are steaming mad”, however, isn’t a valid argument.

(Follow Frank the Tank’s Slant on Twitter @frankthetank111 and Facebook)

(Image from ThinkGeek)

Pro Sports Realignment Overview

On By Frank the TankIn Major League Baseball, NBA Basketball, NFL Football, NHL Hockey, Sports952 Comments

With school being out for the summer and commencement speeches (like this one from Conan O’Brien at Dartmouth) over, let’s take a quick look at possible pro sports franchise moves since all of the leagues have some potential realignment scenarios. I have a few key guidelines:

(1) Contraction is not a realistic option – Contraction is a popular proposal among columnists, bloggers and message board people since all of the leagues other than the NFL would probably be much more competitive top-to-bottom by dropping a franchise or 2 or 6. However, there’s a reason why no team has been eliminated in nearly 4 decades: when owners have been given the option of either (A) paying out hundreds of millions of dollars to dissolve a franchise or (B) collecting hundreds of millions dollars in franchise relocation fees and using those moves as examples of threats to get brand new stadiums for their own teams, they’ve logically chosen option B every single time. As a result, I will assume that any franchise that isn’t doing well would need to be moved as opposed to contracted.

(2) Favorable stadium deals trump markets – In a world where the NFL has a team in Jacksonville but not in Los Angeles, it’s clear that having the “right” stadium in place is more important than even market size to pro sports owners. As much as Seattle should never have lost the Sonics and deserves another NBA team, Key Arena has been deemed unacceptable due to its lack of revenue-generating suites (whether fairly or not) and, therefore, Seattle won’t be a viable market for the NBA or NHL until they get concrete new stadium plans into place. Outside of the NFL (where LA is still priority #1), I will only look at markets that have “acceptable” stadiums in place.

(3) Less is more – Much like college conference realignment, where our imaginations ran wild with various configurations and proposals but ultimately ended up with much more subdued changes, radical realignments to the pro sports leagues are very unlikely. The fewer teams switching leagues, conferences and/or divisions, the better.

With those guidelines in mind, here are my thoughts:

MAJOR LEAGUE BASEBALL

There’s been a lot of talk lately about MLB realignment ranging from a simple move of one National League team to the American League to scrapping divisions altogether. One of the issues with baseball is that the owners actually have veto power over whether their own teams move leagues or divisions, which means that no one can be forced to move against their will. Another issue is that no NL franchise is going to willingly move to the AL unless it gets placed in the AL East, where it would receive a bunch of seat-filling dates with the Yankees and Red Sox. The cornerstone franchises in the NL Central (Cubs and Cardinals) and, to a lesser extent, the NL West (Dodgers and Giants) are significantly greater attendance draws than their counterparts in the AL such as the White Sox, Angels and A’s (and I say this as a massive White Sox fan). That’s why the Brewers ran to the NL Central as quickly as possible when they received the opportunity – they get to enjoy sellout a dozen or more sellout crowds from traveling Cubs and Cards fans that never came when they were playing the White Sox and Twins.

This is where the prospect of the Astros moving to the AL West makes a lot of sense. They’re going through an ownership change that needs to be approved by MLB, which means that this is a rare opportunity to force realignment by making such approval conditioned upon a league switch. The Astros likely would never have agreed to switch leagues on their own, but a new owner that’s trying to get into the MLB club is going to have to acquiesce to the iron-fisted demands of Bud Selig. Look at what Selig just did to Frank McCourt and the Dodgers. Bud might as well be sporting a “Thug Life” tattoo.

NHL HOCKEY

NHL realignment is also on the radar with the impending move of the Thrashers franchise from Atlanta to Winnipeg. It appears that the Thrashers (or hopefully the Jets) will end up staying in the Southeast Division of the Eastern Conference for next season, which makes some sense as it gives the Phoenix Coyotes another year to figure out whether they’re staying in that market and the league wouldn’t want to realign two years in a row.

What I was a bit surprised about was seeing how much the Red Wings and their fans seem to be pushing for (AKA whining about) switching conferences because they were supposedly promised by Gary Bettman first dibs on a move to the East back in the 1990s. (Apologies to the generally level-headed Wings fans that read this blog. All of you guys are OK.) First of all, why anyone would believe a thing Gary Bettman says about anything (especially something from nearly 2 decades ago) is beyond me. Second, the Red Wings presumably don’t want to move to the Southeast Division (as it appears that their goal is to reunite with Toronto in the Northeast Division), which means that the NHL would have to switch around a whole number of teams in the Eastern divisions (including possibly marquee franchises like the Bruins and Penguins) in order to make that happen. Why would the Penguins agree to be separated from the Flyers or the Bruins from the Canadiens to accommodate the Wings? Detroit moving conferences is the most logistically messy option out there. Third, switching the Red Wings to the East would mean 5 of the Original Six franchises would be in that conference along with breaking up the team’s rivalry with the Blackhawks. I know that a lot of Wings fans seem to think that reviving the Maple Leafs rivalry is more important (maybe absence makes the heart grow fonder or, more likely, there’s a denial of this self-evident truth), but let’s look at it from an NHL business perspective. The East is already receives a disproportionate share of TV coverage because it has 4 of the Original Six franchises plus 2 other marquee franchises in Philadelphia and Pittsburgh and currently another superstar in Washington (Alex Ovechkin). The NHL is almost solely dependent upon the Red Wings and Blackhawks for national TV drawing power in the West. Is the NHL seriously going to let the revitalized Chicago market sit out on an island when the Blackhawks franchise helped the league get the highest Stanley Cup Finals TV ratings in the last 4 decades? And forgetting about the Blackhawks (as one may argue that my status as a Hawks fan causes me to be biased), but why on Earth would the other franchises in the West let the Wings move? That would be like the Western Conference teams in the NBA allowing the Lakers to leave for the East in terms of attendance and TV ratings. It simply doesn’t make any business sense for any of them. Finally, there’s already one franchise located further east than Detroit in the Eastern Time Zone (Columbus) and another that’s much more geographically suited to be in the Southeast Division (Nashville), albeit in the Central Time Zone. There’s no reason why moving Detroit, which would cause a massive domino realignment of the entire Eastern Conference, makes more sense than simply plugging Columbus or Nashville in the Southeast without any other repercussions.

Therefore, going with the “less is more” mantra and assuming that the Coyotes work out some type of deal with Glendale where they don’t end up moving, I believe the best switch is simply slotting Nashville into the Southeast Division, putting Minnesota in the Central Division and sending Winnipeg to the Northwest Division. While Nashville is located in the Central Time Zone, the Predators are simply much more of a regional fit with the other Southeast teams (and geographic rivalries are arguably more important in hockey than any other sport). It also makes more sense from a regional rivalry standpoint to keep Columbus with the other Midwestern teams in the Central Division. I personally like the prospect of a semi-recreation of the old Norris Division with Chicago, Detroit, St. Louis and Minnesota. It would be nice if Toronto could switch back to the West so that there would be 3 Original Six teams in each conference again, but much like the desirability of the NL over the AL (outside of the AL East), none of the Eastern Conference teams would willingly move to the West barring an actual franchise move (like the Thrashers situation).

NBA BASKETBALL

The Sacramento Kings are the current threat to move markets if they don’t end up with a new stadium deal to replace ARCO Arena. Sacramento mayor (and former NBA star) Kevin Johnson has a proposal on the table for a new arena for that market, but with the long track record of aggressive stadium plans falling apart in California over the past decade, I wouldn’t bet on any groundbreakings there. While I’m personally not a huge fan of the LA market getting a third NBA team if the Kings ultimately move to Anaheim, I can see how it could financially work since drawing from Orange County alone (not to mention the San Diego market directly adjacent to it to the south) is more than enough of a population base to support a franchise. Add in the more valuable suite situation at the Honda Center and MUCH higher potential TV rights and it looks like a strong financial deal for the Kings by heading to Anaheim. The only caveat is that this would bail out the Maloof brothers, who don’t deserve it.

I’m a firm believer than an NBA franchise would make a killing in Las Vegas with its high-roller culture, yet that’s another market that can’t ever seem to get a concrete arena deal into place. Kansas City, on the other hand, has a beautiful state-of-the-art arena (the Sprint Center) ready-to-go without a regular major pro sports league tenant. That market seems to make a lot of sense for a franchise like the Hornets to move to if they decide to leave New Orleans. The Hornets were already struggling financially prior to Hurricane Katrina, but David Stern was committed to staying in that market in the wake of that disaster. After witnessing terrible attendance even with a great superstar in Chris Paul playing there, it seems that the NBA simply is not going to work in New Orleans.

The NBA Western Conference divisions are probably the screwiest of any of the 4 major pro sports leagues at this point where a larger realignment would be justified, yet it’s tough since, as we’ve seen in other leagues, you’re not going to get a franchise like the Bulls to willingly move from the East to the West. Sacramento moving to Anaheim wouldn’t require any type of change to the Pacific Division. However, if the Hornets move to Kansas City, I’d put Oklahoma City into the Southwest Division and move the new KC Hornets to the Northwest. It’s not that pretty, but that at least continues to provide Minnesota with a Central Time Zone mate and OKC gets to be with its natural geographic counterparts in Texas.

NFL FOOTBALL

The franchise that should move is the Jacksonville Jaguars. They’re in a small market that has to compete with 2 other NFL franchises in its home state (Buccaneers and Dolphins) and the fan base is apathetic. However, the Jags have a stadium lease deal that essentially handcuffs them to their market until 2029. There’s also been talk about the Vikings moving if they don’t a new stadium, but my feeling is that the political willpower will be there to push that through. The NFL letting them move would be almost Browns-like and I doubt the league lets that happen again. As a result, the Chargers and Raiders are much more likely candidates to move to the goldmine of Los Angeles (assuming that there’s a stadium deal, which is a dangerous assumption even though this latest downtown proposal next to the Staples Center looks perfect). There’s also a possibility of the return of the Rams, who can leave St. Louis in 2014 if the Edward Jones Dome isn’t renovated. Personally, I think the Raiders are best-suited for LA, as they have some history there (today was a good day, Ice Cube), the AFC would benefit more than the NFC in having an LA franchise (as the NFC already has the top team in the New York market plus Chicago, Dallas, Philadelphia and Washington, which results in Fox paying $90 million per year more for the NFC TV package compared to the CBS AFC TV package) and the San Francisco Bay Area might be the most overrated place to locate a pro franchise in the country. Don’t get me wrong – I think the Bay Area is fantastic and Napa Valley is on my retirement locale short-list. However, I’m continuously perplexed as to how many proposals that I’ve seen to move additional NBA and NHL teams to that market (Larry Ellison’s recent bid to bring the Hornets to San Jose, for example) when they’ve only proven to support the 49ers and Giants (and only after they built a ballpark that’s as much of an attraction as the team itself). A strong sports fan culture just doesn’t exist there and the Raiders should have never moved back to Oakland. Regardless, a Raiders, Chargers or Rams move to LA would be easy enough for the NFL and wouldn’t require any division switches (as they are all currently in one of the western divisions). The Vikings moving to LA would likely require the Rams to move into the NFC North, while a Jaguars relocation would kick the Chiefs to the AFC South (which would be sad considering the history that Kansas City has with the other AFC West teams, but ultimately necessary).

We’ve had a relatively long period of stability in the pro sports world with only the Sonics and Thrashers having moved within the past 5 years. The combination of a weak economy, a more cautious electorate regarding publicly-financed stadiums and a gaping NFL hole in LA is going to put that stability to the test in the near-future.

(Follow Frank the Tank’s Slant on Twitter @frankthetank111 and Facebook)

(Image from Nacho Donut)

Hoosier Daddy: Big Ten Championship Game Site Thoughts

On By Frank the TankIn Big Ten, College Basketball, College Football, Sports355 Comments

The Big Ten chose Lucas Oil Stadium in Indianapolis as the permanent site of the conference’s new football championship game while deciding to alternate the men’s and women’s basketball tournaments between Indy and Chicago.  Even though I believe the United Center would be better served as a permanent host for the basketball tourney (not just every other year), I certainly understand the choice of Indy for the football title game.

The SEC provided a template to run a successful conference championship game by finding a permanent location that’s (A) easily accessible to as much as the conference as possible both in terms of where alums live and the schools themselves, (B) consistently dependable as a neutral site and (C) not overly dependent on a “hometown” school for interest.

I was encouraged that the Big Ten only considered proposals from Indianapolis and Chicago and didn’t even bother to review bring in places such as Detroit, Cleveland and Green Bay.  Nothing against those towns (and there’s a ton of history at Lambeau Field), but the Big Ten was wise to not turn the conference championship game into a political chit to be fought over by its members (which is what happened in the Big 12 and you now see with the Super Bowl).  Indy and Chicago were really the only two locations in the conference footprint that could realistically fulfill all 3 requirements above.  When a conference deviates from those requirements, you get the 2009 ACC Championship Game in Tampa.  Note that when the ACC woke up and moved its conference title game to its true center of Charlotte, it sold out even without any North Carolina-based schools involved.

As for the choice to play the Big Ten title game indoors, I’m a born-and-bred Chicagoan and Bears fan that has been to many games in December at Soldier Field, so I’m well-qualified to tell you that brutally cold weather football is f*cking overrated.  You’ll get no romanticism from me on missing out on supposed Big Ten football weather.  With the wind off of the lake at Soldier Field on December evenings, it generally feels a good 20 or 30 degrees colder than even the coldest November daytime football game in the Midwest.  The only other people that could possibly understand how extra cold it is in that atmosphere are those that have been to night games in Green Bay.  Since the Big Ten and Fox are always going to want to play the conference championship game in prime time, it pretty much demanded for an indoor venue.

Finally, I’ve got to give kudos to Indianapolis for bringing in its big political and business guns, such as Gov. Mitch Daniels, for its presentation to the Big Ten.  Whatever one may think of Indiana and Indianapolis, they definitely took the conference seriously, whereas it appeared that Chicago sent Benny the Bull in its uncoordinated effort.  Recently retired Mayor Daley used to be able to round up virtually everyone that mattered in town either by mayoral fiat or bulldozing airfields in the middle of the night, so I’m not quite sure what Rahm Emanuel was doing here.

Of course, we all know what the best thing will be about the Big Ten Championship Game: Gus Johnson.

(Follow Frank the Tank’s Slant on Twitter @frankthetank111 and Facebook)

(Image from Mancave Sports)

Big East BFF with BYU?

On By Frank the TankIn Big East, Big Ten, Chicago Bulls, College Basketball, College Football, NBA Basketball, Sports793 Comments

There’s a fairly well-known story about how Bobby Knight, who had coached Michael Jordan on the U.S. Olympic team in 1984, called up his friend and then-Portland Trailblazer GM Stu Inman prior to the NBA Draft that year to sell him on taking MJ with the second pick.  (It was assumed and unquestioned by everyone at that time that the Houston Rockets would take Hakeem Olajuwon at #1.)  Inman kept saying, “We need a center.” Knight responded, “Then draft Jordan and play him at center!

Inman didn’t heed Coach Knight’s advice and ended up taking Sam Bowie, leaving the Chicago Bulls to pick Jordan at #3.  We all know what has happened since then: a Bulls dynasty, millions of Nikes sold, the Shrug and even coming full circle years later with Greg Oden spending more time taking cell phone pictures than actually playing, the Bulls getting Derrick Rose with a 1.7% lottery chance and the Taj Majal teabagging Dwyane Wade last Sunday night.  The lesson is that in the draft for any sport, you should take the best player on the board regardless of perceived need or fit.

In the world of non-AQ schools, the best school on the board to move up to the AQ level is BYU (and I don’t believe there’s a close second).  The school has an athletic department whose revenue and size is right in line with other AQ schools, sells out a 63,725-seat football stadium consistently, travels extremely well for bowls, has a nationwide following among members of the LDS, and even boasts a top-level basketball program.  However, the two most geographically accessible AQ conferences for BYU don’t really want them (the Pac-12 on religious grounds and the Big 12 for the lack of financial need for Texas and friends).

Enter the Big East, where BYU pretty much delivers everything that the conference could possibly want in an expansion candidate… except that it’s a juuuuuuust a bit outside of the Northeast.  I’d compare it to one of those draft decisions where there’s a player on the board with all of the talent in the world but has a little reefer problem – it’s a 99% dream pick with a 1% glaring issue.

Still, it didn’t really surprise me that much that the Big East apparently had a cup of coffee (or maybe a can of caffeine-free Diet Coke) with BYU to see if the Cougars would entertain a football-only invite.  Who knows whether this will really lead to anything, but count me in as someone that likes this line of thinking for the Big East.  I’ve proposed the Big Country Conference in the past (a coast-to-coast football-only conference with the Big East football members as the pillars) along with expounding the value of BYU.  My position is that if the Big East really wants to expand for football, then it needs a ready-made school to plug-in as opposed to searching for potential or focusing on geography.  (I was pushing TCU for the Big East many months before they were publicly on the radar for the conference.)  The usual suspects such as Central Florida, East Carolina and Houston are a bit more geographically-friendly for the Big East compared to BYU, but nowhere near the same level in terms of history, fan base size and financial resources.

Now, is this a good idea for BYU?  As a newly minted independent, it’s guaranteed at least three games per year on ESPN worth $800,000 to $1.2 million per game.  That means $2.4 million in TV money annually from ESPN at a minimum and with attractive games on the future schedule with Notre Dame and Texas, BYU is probably looking at closer to the $4 million to $5 million range just for football TV rights, which is more than what the Big East football members are currently making from ESPN for both football and basketball (around $3 million per year).  Coupled with BYU TV and from a pure television contract perspective, BYU may very well be better off as an independent than joining the Big East at this time.

At the same time, the travel burden of being a western outpost in an Eastern-based conference is really on BYU as opposed to the rest of the Big East.  Is it all worth it in order to join an AQ conference?

I would unequivocally say yes.  That status in and of itself is invaluable in terms of recruiting, national perception and certain in terms of competing with in-state rival Utah (who just hit the lottery with the Pac-12’s new TV deal).  The Big East TV contract is due for at least a market-based increase in a couple of years. So, even if BYU’s ESPN money looks good right now, it may not look so hot compared to a new Big East deal.  Also, a 10-2 BYU in the Big East is probably going to a BCS bowl, whereas a 10-2 BYU as an independent is going to be scrambling around to find a second-tier bowl bid.  Finally, if BYU thinks that it would be a good idea to wait around to see if the Big 12 would expand down the road, that certainly isn’t a guarantee and even if the Big 12 really did want BYU, the school would actually be even more attractive as having had AQ status.  Offers for spots in AQ conferences are few and far between and it wouldn’t be wise for anyone from the non-AQ level to pass those up.

Now, I could understand if BYU won’t consider anything less than a full invite to the Big East… and if I’m running the Big East, I’d give it to them.  BYU is really the only realistic “big” move that the Big East could possibly make where they would provide a material increase in the value of the conference’s deals on both the football and basketball sides.  Therefore, despite the fact that a Big East-BYU marriage would stretch the conference far west, that geographic issue is far outweighed by everything else that the Cougars bring to the table.  It may not be a perfect fit, but the Big East and BYU are ultimately the best players on the board for each other.

(Follow Frank the Tank’s Slant on Twitter @frankthetank111 and Facebook)

(Image from byucougars.com)

New Leader of the Pac

On By Frank the TankIn Big East, Big Ten, College Basketball, College Football, Sports824 Comments

The Pac-12 is ready to announce a massive new television deal with Fox and ESPN worth $250 million annually.  (No one has been covering this story better than Jon Wilner of the San Jose Mercury News.)  I certainly have to give props to Pac-12 Commissioner Larry Scott here.  Up to this point, I’ve thought that he was smart and aggressive but more full of bluster with big ideas without necessarily the ability to implement them.  The amount of the Pac-12 deal, shows that the conference made a smart move in hiring from outside of the college administrator ranks.

Ultimately, the reasoning for a TV rights fee is akin to examining the price of a stock.  A portion of the price is going to be related to the market overall, another portion is connected to the industry sector, and there’s a final part that is based on the fundamentals of the individual company itself.  It wasn’t a surprise that the Pac-12 was able to raise its TV rights fees significantly, as the demand for sports programming in general has been skyrocketing over the past few months.  That’s a market-based factor that all sports entities negotiating new TV deals are benefiting from right now, which I examined in-depth in my last post.  What I didn’t expect was that the Pac-12 would vault itself to a position alongside the Big Ten and SEC in terms of TV revenue so quickly.  The Big Ten has the benefit of having the Big Ten Network that can take advantage of the market trends until its ABC/ESPN ends in 2016, but the SEC is locked into its CBS and ESPN deals until well into the next decade.  That doesn’t mean that the Pac-12 is inherently as valuable as either the Big Ten or SEC.  Indeed, the Big Ten and Pac-12 negotiated for the rights to their respective new conference championship games with Fox at virtually the same time.  Head-to-head, the Big Ten game garnered over $23 million per year, while the Pac-12 game received $14.5 million per year, so that gives you an idea of what the conferences are worth relative to each other when you take timing out of it.  My impression that the SEC championship game would be worth even more.  Still, it’s significant that the Pac-12 seems to have been able to pull away from the ACC and non-Texas/Oklahoma portion of the Big 12.

So, what are the fundamentals specific to the Pac-12 that led to this deal (as opposed to just the overall rising tide of sports fees)?  One important point that I’ve mentioned before but probably underestimated in the scheme of things is that the Pac-12 is the only conference with a BCS monopoly in its own footprint.  In fact, with the additions of Colorado and Utah, it’s the only BCS conference located in the entire Pacific and Rocky Mountain Time Zones.  That’s a pretty massive swath of area to effectively have all to yourself.  In contrast, all of the other BCS conferences compete with at least 2 other BCS conferences in their footprints.  For the the Big East in particular, it has to compete with all of the other BCS conferences in its footprint except for the Pac-12.

Another item to note is that Fox needed to retain the Pac-12 very badly for its owned-and-operated West Coast regional sports networks, especially FS West in the Los Angeles market.  FS West is suffering from the blow of losing its most valuable property of the Lakers next year, who are pouring salt in the wound by creating two competing networks (one English and the other Spanish) with Time Warner Cable.  Losing Pac-12 sports on top of that would have left FSN West to rely on the Clippers… and I don’t care how badass Blake Griffin might be (and he’s about as badass as one can be badass), but if I’m Rupert Murdoch, I’ll be damned if I run any organization that has to rely on the Clippers.  With ownership of FS Arizona and a minority interest Comcast SportsNet Bay Area, Fox had some heavy incentives to protect or expand its Pac-12 programming.

(Note that Fox’s owned-and-operated regional sports networks are heavily concentrated in California, Arizona, Texas, the Great Plains Midwest and the Southeast.  Looking at that lineup, it should come as no surprise why Fox paid up heavily for the Pac-12 and Big 12 TV rights and sent in a large bid for the ACC.  The Northeast markets, on the other hand, are largely the domain of Comcast RSNs with Fox largely being shut out.  This is instructive as to who might be (and not be) looking at the Big East’s TV rights down the road.)

ESPN expanding its relationship with the Pac-12 is a little more difficult to read.  Variety has indicated that the Pac-12 has agreed to provide 4 Thursday night and 4 Friday night football games per year to ESPN, so there seems to be a push from the Worldwide Leader to get more higher quality weeknight college football contests.  The Pac-12 also allows for late night games on Saturdays to compensate for the moves of Hawaii and Fresno State from the WAC to the MWC (which doesn’t show any games on ESPN).  Finally, there could be a return of a 11 pm Central Time Big Monday basketball time slot allocated to the Pac-12, which ESPN used to have for Big West or West Coast Conference games.  Overall, ESPN’s modus operandi may very well have been to ensure that neither Comcast nor Turner Sports would end up with the Pac-12, who could have been used as a cornerstone to really have beefed themselves up as legitimate college sports broadcast competitors.

It’s also a bit of a surprise that a Pac-12 network would be wholly-owned.  This is a good thing if the network can receive basic carriage, but could be a roadblock if there are any carriage disputes.  The Big Ten Network, which is 49% owned by Fox, was able to leverage its basic carriage with DirecTV (which was owned by Fox at the time of the launch of the BTN) to apply pressure on cable operators, while the MLB Network garnered one of the largest basic cable launches of any channel in history by offering minority stakes to several cable companies in exchange for carriage.  Those cable companies also provided capital start-up costs.  On the other end of the spectrum, the NFL Network (wholly-owned by the NFL) is still battling cable operators 8 years after it went on the air.  There seems to be a presumption that the Pac-12 wanted to have 100% ownership of a network, but I’m not so sure that’s the case with the amount of ramp-up costs involved and how critical basic cable carriage is for success.

Regardless, even if a conference network never even gets off the ground, I’m pretty sure the Pac-12 schools are acting like this right now.

(Follow Frank the Tank’s Slant on Twitter @frankthetank111 and Facebook)

(Image from Lehigh Valley Live)