Poor Economy Doing It to Manny and the Mets
Tuesday, February 10, 2009 10:22
Nothing can escape the evil clutches of our recent economic downturn, including major league baseball. Judging at the number of high profile unsigned free agents this winter, and the recent news that Citigroup may rescind their offer for naming rights to the new Mets stadium, the economics of MLB reflect what’s happening in the rest of the country.
This is not without some residual insanity from other recent deals, perpetrated by overly aggressive sports agents. Case in point is Manny Ramirez and his recent rejection of a one year $25 million offer to stay with the Dodgers. At 36 years of age this could very well be Manny’s final contract. This money is going to have to last him and his family (and apparently his agent) for the next few decades. $25 million is not enough (on top of the many tens of millions he’s already pulled in). Have these people heard the news or picked up a newspaper lately? There’s no question he’s one of the best right handed hitters in the history of baseball and still an impact player, but his attitude doesn’t help his cause and his age is working against him. He might have two seasons left as an everyday player or three to four seasons left as a designated hitter. If he thinks he’s an everyday player, the most he’s going to get is $50 million for two years. If he’s being shopped as a DH, he can expect no more than four years and $70 million, and there’s probably one team from NY that can give it to him. And it certainly isn’t the Mets.
They’ve got their own problems since their large corporate sponsor happens to be the recipient of billions in Federal bailout money. Taxpayers, and especially the politicians they elect, have no tolerance for the excessive spending that took place before last autumn’s market meltdown. While both sides are insisting that they’re going to honor their legal obligations, things can have a way of unwinding, especially where it concerns taxpayers and the politicians they elect. Faced with a potential loss of hundreds of millions of dollars, the economic advantage of running a baseball team backed by deep-pocketed sponsors inevitably change when the money dries up. And the corporate financial markets are like the Mojave Desert. Take out their one high profile signing (Francisco Rodriguez and his three year $37 million deal) and the Mets are spending like a small market club. And other teams who’ve spent freely over last few years are sitting on their wallets. This doesn’t bode well for other players on the free agent last (Oliver Perez, Ben Sheets, Orlando Hudson, Adam Dunn, etc.). Only the Yankees (with their own personal ATM called the YES Network) are spending.
As the economy takes a reality check, perhaps major league baseball will also take a reality check. Teams like the Rays & the Marlins have proven that it’s not necessary to spend their way to the World Series (although the Steinbrenners are still trying).
One Response to “Poor Economy Doing It to Manny and the Mets”
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Nate Barlow
says:
February 10th, 2009 at 7:03 pm
A lot of players have overestimated their worth (and perhaps the economy) this off-season, passing on arbitration and failing to be offered what they had hoped for on the free agent market. It's good for the game in the long run. Now if we could only hold the Steinbrenners in check… the juniors are making George look like a sane and reasonable individual. That's a very scary thought.