2013 Astros Most Profitable Team in History

Crane told me they've lost money the past five years! How does this jibe?

 

Seems misleading to me. They a large portion of the $80M the receive from CSNH. Subtract what they are losing with CSNH right now.

Edit: The article says CSNH lost $63M last year, but then say the Astros portion is $23M, even though 45% would be over $28M.

 

I take it that they get a rights fee regardless of whether or not the channel is profitable. The losses that they suffer are based on valuations of what the company should be making with full subscriber fees and distribution, after you account for the ownership stake. The latter part is not included in MLB reported income.

It is a little of taking money out of the left pocket to put it in the right... but both the Astros and Rockets are making far more in rights fees than they ever did under the old contract... And if the channel's ratings and distribution goes up, they will get even more revenue (separate from the rights fees) by being part owners.

 

question -- is the $99M enough to pay somebody to remove the hideous advertising wall in left field?

 

Matt Thomas said that will stay because it has to do with their charity partners for the inner city ballparks

 

Give me the downtown view back.

If there's another way to recognize the Community Leaders, then it should've been done a long time ago.

 

Reid Ryan said the downtown view was going to be lost at Minute Maid Park due to the construction of new buildings.

 

there's a 7 story apartment complex being built across the street. That won't block the view, sorry.

 

There is no reason to waste money on the on-field product this year. If we added Verlander and Cabrera we still wouldn't have come close to the playoffs. Play the young guys see what you have, and get a higher draft pick.

Now there will come a time, probably 2015 when we will need to start adding FA, and if the payroll is still near the bottom then something is wrong. There are a few other red flags, but the team payroll isn't really one of them.

 

He'd probably agree with you from a purely baseball standpoint... but the inherent nature of being able to be this profitable, while fielding a team only slightly better than most minor league teams is a problem. It's like the plot from the "producers" (make more money with flops vs a hit).

They should have instituted a salary floor in baseball years ago. Also, we all hope it will get better once the team improves... But this business model clearly works to a point. It's why Miami decided to become ultra cheap again after the half year of "splurging" led to a bad team... Despite them now playing in a tax funded new stadium that was supposed to keep them competitive (both on the field and with payrolls).

 

Fraud can be profitable

 

The problem isn't now, it's the question of whether or not this continues after this year. To this point Crane has filled his interviews with promises of future spending, but it's just that. How can we trust him when he's demonstrated himself to be a cheapskate in every sense, worse than Drayton, up to this point?

You can't even say that refusing to spend now is doing nothing to our prospects later on. Look at the George Springer case. To me that SMACKS of trying to delay his arbitration eligibility as long as possible. And at what expense? Oh, only his development and FUTURE CAREER TRAJECTORY.

The Astros have done this for so long that it's not even worth trusting anybody in that organization anymore, regardless of who's in charge. They peddle the same BS to the fans that they've always done, and all the while our young guys suffer because they are kept in the minors waaay too long.

 

be the most profitable team in history while being one of the worst teams in history, while also refusing to ask for a lower price on the TV deal which prevented many fans from watching the the Rockets last season, your own games this season, and possibly Rockets games next season too.

attaboy Crane, that's how you build up that goodwill from Houstonians.

 

I forgot to mention being Selig's lapdog and letting him bully the Astros into moving to the AL, destroying all of our history just for some extra $$$.

Crane's tenure as the Astros' owner is sure off to a horrible start.

 

Not sure why they should ask for a lower price. The other providers aren't budging because they don't want to pay ANYTHING extra while continuing to pay for and carry FSN at a rate that was supposed to reflect having two other sports teams.

They want the package to go on an extra tier, regardless of the price... and comcast doesn't agree. Most other CSN channels are carried on the basic tiers as well.

Finally, the price was set with the agreement of all the parties involved: Comcast (which is bigger than any other entity involved... bigger than MLB), the Astros AND the Rockets. Its comparable to what Pittsburgh and Washington DC get. This was negotiated before Crane ever even became an owner... and Crane and the Rockets are holding firm at the behest of Comcast, who has no interest in setting a bad precedent for the rest of their channels (and has the finances to be able to withstand a long stalemate).

 

The bolded is a little overstated no? Just a tad hyperbole there. I know the Springer argument has been discussed thoroughly here, but it's quite simple. Purely from a business perspective, it makes all the sense in the world to handle it like they are. Add in the 40 man roster implications, and it makes it a slam dunk decision. As fans, we inherently don't like this. We want to see the best talent on the field, regardless of financial implications. However, the most successful front offices are the ones that are able to balance the talent and the financials the best. And that is what they are doing here. As a fan, would I like to see Springer up here now? Absolutely. But are there valid reasons to keep him down there for an additional few months that will net us greater future value during the next 2-3 years? Again, absolutely. But I guess the unnecessary length of this Springer debate is a by-product of the poor showing by our major league team. It comes with the territory I suppose.

 

Then why start the clock on Villar and Cosart? Cosart projects as a top of the line starter so he should command money in the future. Saying that they are holding back on Springer while not holding back on Cosart and Villar is hypocritical.

Incidentally, Springer was drafted in 2011 so this is his second full year in the minors encompassing 265 games - less than two full major league seasons (Mike Trout was in the minors for 266 games). Luhnow has already alluded that Springer will be the starting CF next season. In addition, they can save a 40 man roster space by leaving him in the minors this full year since he is not Rule 5 eligible.

With respect to the team and their plan, how has Crane been a cheapskate? They have signed their draft choices. There is no reason to spend money on expensive free agents at this point.

How have any of the young players "suffered"?

 

Who are the most successful front offices now? Is it defined by minor league success, sustained success or current success?

As far as I see it, you have Tampa (cheap), Oakland (cheap), Texas (ugh, not cheap), Boston (not cheap), and St. Louis (historically, not cheap... but not super big spenders either).

Do you include the Dodgers? (they have the highest payroll in baseball).

Do you include the Phillies? (they're bad now, but they had years of being in contention along with a profitable minor league system that led to trades for stars or future stars).

The Yankees?

Back to my original list, the first two employ the practice of stashing minor league players for arbitration reasons routinely due to their financial restraints. The Red Sox and Rangers don't seem to do much of that... evidenced by their early callups of Profar and Bogarts this year. The Cardinals are in the middle... but they've also called up guys after limited time in the minors regardless of their "clock".

Not sure which one the Astros "should" try to emulate... they shouldn't have the financial restraints of the first two teams, but I also don't foresee them spending as much as the latter ones either.