LA Dodgers Sink Into Financial Trouble After MLB Reject Fox Deal
June 21, 2011
Los Angeles Dodgers of Major League Baseball’s (MLB) have been plunged into further financial trouble after the league rejected a 17-year agreement with News Corp. (NWSA)’s which may leave the team’s future and its ability to meet a June 30 payroll in doubt.
Dodgers owner Frank McCourt responded that he’ll “explore vigorously our options and remedies.” The proposed deal with Fox was worth about $3bn, McCourt said at an April 27 news conference in New York.
The Dodgers have struggled to meet their last two payrolls and have another totaling about $30m at the end of this month that will include more than $8m in deferred compensation to former player Manny Ramirez, the Los Angeles Times has reported.
Steve Susman, one of McCourt’s attorneys, said in an e-mailed statement: “Commissioner Selig’s letter of rejection is not only a disappointment, but worse, is potentially destructive to the Los Angeles Dodgers and Major League Baseball.”