Less than half NBA profitable: David Stern

[Cowperson]

NBA Commissioner David Stern says less than half of teams in the NBA are profitable.

http://www.azcentral.com/arizonarepu...nnbamoney.html

The NBA Players Association does have an audit method in the CBA to verify the veracity of the claim.

As well, as with all pro sports teams, many owners don't mind operating at a cash flow negative so long as the underlying capital is appreciating.

If I'm not mistaken, the NBA has a CBA negotiation coming up so cries of poverty from owners would be pretty well standard right about now. I would think owners would want a hard cap like the NHL.

Cowperson

[troutman]

There are a lot of empty seats when you watch NBA highlights. Worse than sun-belt NHL teams.

[bcb]

I think there may be a team with Jim Balsillie's name on it.

[mykalberta]

Hasnt that been the case with the NBA for along time though. Team based on seat revenue doesnt make money, its TV revenue that offsets that though I thought?

Yes I think they do have labour negotiations upcoming.

[Antithesis]

Not surprising at all to hear, even in supposed "OK" basketball markets there are far more empty seats than people.

[Bobblehead]

The more things like this I hear, the more I think soccer's relegation style leagues are the ways to go. Set up a premiere division with the optimal number of teams, then let as many 2nd (or 3rd) level teams join or dissolve as they want.

I don't think any league will ever change to that format until the league as a whole is about to collapse, but overall I think it would be better for the fans and the league if teams could move up and down and play with teams their own calibre.