Is the $1.2 Billion Offering to Buy the Los Angeles Dodgers a Real Offer?

The Los Angeles Times reported Thursday that Dodgers owner Frank McCourt was offered $1.2 billion from Bill Burke, the founder of the LA Marathon, with backing from Chinese investors for the rights to purchase the Los Angles Dodgers. The deal is supposed to be a straight cash deal. The deal is to include all holdings of the Dodgers, the parking lots, media rights, Dodger Stadium, and the team itself.

Burke’s record bid to buy a Major League Baseball team was given to McCourt on Tuesday and neither side has publicly commented on the offer. The offer is good for 21-days and then the offer will be removed. Forbes listed the Dodgers’ value at $727 million in 2010, an increase of value of only $7 million from Forbes listing in 2009.

McCourt bought the Los Angeles Dodgers in 2004 from NewsCorp (Rupert Murdoch) for $430 million after failed bids to buy the Boston Red Sox, Anaheim Angels, and Tampa Bay Buccaneers.

Since October of 2009 Frank McCourt has been in divorce proceedings with his wife and former CEO of the Dodgers’, Jamie McCourt. Jamie McCourt has asked the courts to force the sale of the Dodgers’ as part of the divorce process and split of personal assets between the McCourt’s. Frank McCourt has tried to retain the Dodgers and show sole ownership of the team separate from his wife which was rejected by the courts. A divorce settlement and agreement between the McCourt’s was reached in June of this year centering upon a 17-year television deal between Fox and the Dodgers. Bud Selig and MLB denied the television deal. Frank McCourt then filed for Chapter 11 Bankruptcy protection at the end of June.

Is this offer real?

Speculation centers on the motive and purpose of the offer by the Burke Group. Why would the Burke Group pay $400 million more for the Dodgers than the thought worth? Is this a tactic set forth by Frank McCourt with Bill Burke’s help to prove to MLB, bankruptcy courts, and divorce courts that he has not lowered the value of the Dodgers?

Bud Selig and Major League Baseball have lost confidence in Frank McCourt. In April Selig appointed Tom Schieffer to oversee the Dodger financial activities; Schieffer is a former executive with the Texas Rangers. Selig and Schieffer are waiting out the McCourt divorce and patiently watching over Frank McCourt’s every move.

Not only has MLB lost confidence in Frank McCourt but the city of Los Angeles has lost confidence in Frank McCourt as well due to his dealings with the Dodgers as evident by the lack of attendance during the 2011 season. According to Major League Baseball attendance numbers, during the 2010 season the Dodgers ranked third in MLB in attendance behind the Yankees and Phillies. The Dodgers averaged 43,979 fans per home game for a total of 3,562,320 in fan attendance for the season. To date the Dodgers have had 2,604,055 fans attend games for an average of 36,676 fans per home game. Their home attendance has dropped to 10^th in MLB. This puts the second biggest team in MLB, in terms of media market exposure (or third if you count the New York Mets), behind smaller market teams like the Minnesota Twins (#4), St. Louis Cardinals (#6), and the Milwaukee Brewers (#9). This even puts them behind the Angeles (#5). The Dodgers are no longer number one in their own market.

McCourt may be able to take this offer into divorce and/or bankruptcy court to show that there are investment groups out there willing to buy the Dodgers and pay more than the Forbes listed price. The smoke and mirrors or dog and pony show of an offer is a farce. Reality is Frank McCourt is stuck and needs the Dodgers to stay financially afloat and he needs the courts, the Dodger fans, and Bud Selig to back him… and it’s not happening for him.

The Burke Group offer will come and go. If and when McCourt is forced to sell the Dodgers he will try to leverage the Burke Group offer as a selling point. Look for the Dodgers to sell closer to $800 million if Frank McCourt is lucky. 

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The Dodgers are good at this failing thing.

If you fail once, try to burn it again, and again, and again!

To prove that the Dodgers can truly do nothing right this season, McCourt and Co. “tried” to set Dodger Stadium on fire again early Sunday morning for insurance money but to no avail. The Los Angeles Fire Department is too good at their job, sorry Frank. LA Fire Department said a SECOND fire in two days broke out in the same storage area close to the right field reserved section due to paper products igniting. Luckily no one was hurt or injured during the fire.

Just to clarify:

How could there still be “paper products” dry enough to catch fire after being hosed down by the fire department the day before? Furthermore, how could there still be a fire hazard anywhere in Dodger Stadium, much less in the same location, after the previous fire? Who is running Dodger Stadium and why do they hate the Dodgers and their fans? When will Major League Baseball say enough is enough and take over the Dodgers? Even the NCAA would’ve come in and cleaned house by now!

Whether you like the Dodgers or not, they used to be a proud organization with a great deal of talent and an amazing farm system. The Dodgers won NL pennants 5 times in the 1950’s, three times in the 1960’s, three times in the 1970’s, and twice in the 1980’s. The ‘90’s began like another dominant run was in the making. For five straight years the Dodgers had a new stud coming up through the organization winning MLB’s Rookie of the Year Award; 1992 Eric Karros, 1993 Mike Piazza, 1994 Raul Mondesi, 1995 Hideo Nomo, and in 1996 Todd Hollandsworth. Now the Dodgers only have two bright young position talents in right fielder Andre Either and center fielder Matt Kemp and one great young pitcher in Clayton Kershaw… and that’s it!

Fans should not expect the Dodgers or any organization to roll out a Rookie of the Year winner like the Dodgers did for 5 years in a row. But one would think that talent would have translated to something to brag about for the organization and their fans. The Dodgers have not won a National League Pennant since their last World Series win in 1988! Translation, they have not been to the World Series since 1988! They’ve only won the NL West 4 times since ’88; winning in 1995, 2004, 2008, and 2009. Thankfully Bud Selig instituted the Wild Card format in baseball in 1994 but not used until 1995 due to the MLB strike in 1994 (poor Matt Williams, he should’ve hit over 60 dingers that year, and the Cleveland Indians). In typical fashion, the Dodgers have only taken advantage of a Wild Card berth twice since ’95; in 1996 and 2006.

Fans in LA deserve better from the Dodgers organization and their owners! Here’s to hoping that whomever buys the Dodgers (please let it be Mark Cuban!) uses the Dodgers as a legitimate baseball team and not as a pay check or a tax write-off.

Post script:

Thank God the Dodgers still have Vin Scully! It is heartbreaking hearing Mr. Scully trying to stir enthusiasm and bring optimism to Dodgers' fans when there has been little to nothing to cheer about on the field. How Scully has not turned into Harry Doyle from “Major League” is a testament to his professionalism.

Cubs’ fans take a deep breath and relax. I know your story is more horrifying and heart wrenching. You have goats and curses to deal with and a fan in Bartman that is the poster child for north side hate. This was about the Dodgers, not baseball’s loveable perennial losers. 

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