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Reply to "Minor League Poverty"

Originally Posted by SultanofSwat:
Originally Posted by Goosegg:
The amount we're talking about is not great:

 

$1,785,000 per team. Thirty teams x $1,785,000 = $53,550,000. About .6% of MLB revenue.

 

A drop in the bucket.

11 of the 30 teams lose money.  Are you going to fork over their $1.7 mil each?  How big is your bucket?  Maybe Mother Jones can pay it.

Just a SWAG, because now that this is what I do for a living (financial analysis,) I will bet my annual salary that not a single MLB corporation loses money. This isn't profit, this is operating income, which means that this is before any tax benefits. I'd be willing to bet that those franchises which "lost money" during 2013 actually did a slate of capital projects that allowed them to show an IOI loss to improve their financial standing in upcoming years as well as maximize tax advantages.

 

A corporation doesn't lose money unless it is happening year over year.

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