Answer for the slow summer? Not a Quick(en) one
Posted August 21st, 2007 by Brian Windhorst
After getting several dozen e-mails with varying amounts of paranoia, I wrote a story today about how the mortgage industry crisis affects the Cavs. The answer given to me yesterday by the chairman of Quicken Loans and the majority owner of the team, Dan Gilbert, is not at all. I 100 percent believe him.
There seems to be a demand from Cavs fans to explain why they are not signing anybody. It is understandable and explainable but not buyable to all fans, especially those who notice how close the team is to the luxury tax line while they read stories about mortgage companies laying people off or closing altogether.
Cavs fans have had to go through three layers of player additions with no news to chew on, evaluate or get excited about. First it was the draft, where the Cavs had no picks. Then it was the initial wave of free agency, when the Cavs were not in position to land any of the major candidates. Then it was the trade market, when the Cavs were unable to make a deal for Mike Bibby while Eastern Conference rival Boston landed Kevin Garnett and Ray Allen. New York got Zach Randolph and Charlotte got Jason Richardson.
There is a belief among many out there that because the Cavs have not yet done anything, they are worse off. There is a belief that everybody else is better. In July, August and September in the NBA you can make a case for a lot of things. But that doesn’t make any of them true or false.
Here’s the way I look at it: Of the teams that made the playoffs in the East last year, only one of them has made a major addition. That’s Orlando, the No. 8 seed, and Rashard Lewis. In my opinion the only other playoff team to upgrade in a way that will help them immediately is New Jersey, which brought in Jamaal Magloire and will pair him with returning Nenad Krisitc to shore up their weak front line that cost them the series with the Cavs in May.
I am not trying to defend the Cavs, just doing what I always try to do, add perspective.
Regardless of the Quicken Loans issue, the Cavs no doubt have been more cautious with money. From people I have talked to and my reading of the situation, one of the major reasons the Bibby deal did not go down was money. The proposed three-way trade between the Cavs, Spurs and Kings would’ve added about $3 million to the payroll right off the top. Then there would’ve been free agents Luis Scola, Anderson Varejao and Sasha Pavlovic to deal with. The Cavs would’ve been facing a payroll probably near $75 million. Plus Varejao would have better leverage since Drew Gooden would’ve been gone. Next year the payroll would’ve probably exceeded $80 million and you’re passing into nonsense territory.
Apart from the money issue is strategy. The coaching staff and front office have been reluctant to sign a free agent guard that would potentially stifle Daniel Gibson, whom they see as potentially being a Mo Williams type of player. If they are able to trade for a front-line point guard who instantly makes them better, like Bibby, and it doesn’t smother their flexibility they will do it. They have been trying for months now and eventually I believe Danny Ferry will make a significant/major trade. But that trade doesn’t have to be made today or next week or next month regardless of the impact on the NBA news cycle in the offseason. More important for the franchise is that the trade is smart, because they are close.
As for Pavlovic and Varejao, there is nothing going on. Most GMs and agents are off on vacation this time of the year. Varejao and Pavlovic’s position isn’t any different today than it was three weeks ago, so from their standpoint why not wait and see if market events change their demand. If you want to watch something as a fan, keep an eye on the teams that are going to be forced to release players soon. The Knicks, Timberwolves, Mavericks all have too many guaranteed contracts and still need to sign draft picks. Meanwhile there are lots of teams that have decisions to make with partial-guarantee guys and draft picks. So the Cavs sitting there with 11 contracts (10 considering David Welsey’s will be gone at some point) right now and may be able to land a quality player by waiting around.
As for Allan Houston, nothing new I can report. I know the Cavs have interest in him and I’ve read he’s interested in the Cavs. We’ll see. Signing a guy coming out of retirement isn’t something you would normally do until near the end of the summer because you want to see what kind of shape he’s in close to training camp.
And a final note, I don’t think you can expect Charles Oakley playing for his hometown team anytime soon. In this fantastic interview on ESPN.com, Oak says, among other wild stuff, that he’s only coming back for a contract of two years and around $10 million. Good luck.
August 21st, 2007 at 11:49 am
[...] Want an answer for the Cavs’ slow summer? It’s not a Quick(en) one By bwindhorst Then it was the trade market, when the Cavs were unable to make a deal for Mike Bibby while Eastern Conference rival Boston landed Kevin Garnett and Ray Allen. New York got Zach Randolph and Charlotte got Jason Richardson. … Brian Windhorst on the Cleveland… - http://www.ohiomm.com/blogs/cavs [...]
August 21st, 2007 at 12:10 pm
I’m not sure why Gilbert’s company would be immune to the current fiasco in that industry, but the Cavs payroll is probably the least of his worries.
I’m glad Ferry didn’t pull the trigger on Bibby, but how come I keep seeing player movement when all these GMs are supposed to be on vacation? Do the other guys hire out temps?
August 21st, 2007 at 12:17 pm
Brian, don’t you think the Celtics improved a lot, too? I don’t know if the 3 older all-stars will work together, but that team can’t be nearly as bad as they were last year.
August 21st, 2007 at 12:19 pm
Gilbert’s company is not immune, but they’re probably not as heavily invested in the hardest hit areas. The real issue, though, is that Gilbert wasn’t robbing Quicken Loans to meet Cavs payroll. He can finance that through Cavs’ and arena revenues, plus his own personal fortune (which is not wholly tied up in his mortgage business). Indeed, his personal fortune is probably quite diversified compared to what it was five years ago.
By the way, what’s up with writing the Browns’ beat story this morning too? Is Pat getting bumped upstairs for Pluto’s columnist job and you are filling in, or did they get the bylines wrong in the internet edition?
August 21st, 2007 at 2:00 pm
Well, I’ve got to hand it to Gilbert. When he hired that media coach to teach him how to craftily handle sports media, he listened and learned. And listened and learned. And listened and learned. And listened and learned. As a result, the Rolling Stones’ “Under My Thumb” should now be the Cavaliers official theme song.
At times, this blog and the corresponding newspaper column have come dangerously close to being parody. Gund had it pretty lapdog easy for a long, long time, but when Gilbert persuaded even Terry Pluto to convert to Judaism, then you know that hometown homerism has permanently superseded and crushed whatever remained of sportswriting credibility.
Seriously, this has gotten completely out of control. Take a close look at this paparazzi photo, that’s Pluto on the right. I’m not sure who that is on the left, but he’s obviously too svelte to be Finnan.
http://izoom.buycostumes.com/merchandizer/zoom_rounded/zoom.aspx?img=11051.jpg&ProductName=Pet+Costume-+Pup+Shalom
August 21st, 2007 at 2:06 pm
I like the cavs talent. Maybe I’m the only one,but that allows me to be patient. Making a distress trade just to make a trade reminds me of the Ted Stepien era.
August 21st, 2007 at 4:01 pm
No, what is truly “distressing” is that no local sportswriter has written that a bald-headed moron picked up a phone and called Dwayne Jones’ agent instead of Eddie Jones’ agent. I guess writing it would be contrary to being part of the Quicken Family.
August 21st, 2007 at 4:14 pm
Well done, RoYourBoat. Finally, a voice of reason in the “Make a trade!” madness. The Cavs will be just fine this year, because LeBron trumps all.
August 21st, 2007 at 4:49 pm
alan t,
Only an idiot GM/owner would go out after a Finals appearance and the greatest season in Cavalier history and say, “let’s make a trade just to make a trade”, or “Let’s pick up so and so, they will really turn this team around…” There has been no player the Cavaliers had a shot at that would complete their roster. We don’t know how good Gibson is going to be, the Cavaliers may not need to go out and get anyone besides role players at the end of the bench. No one at the top of the East is getting better enough to make me think the Cavs won’t be right back in the Finals again. LeBron is just too good.
August 21st, 2007 at 5:54 pm
I’m glad they didn’t get Bibby. Drew Gooden is a solid PF and he’s a crucial piece to this team. What they need to do is develop their youth and and see if Shannon Brown can step up the way Gibson did. Stop pushing the panic button.
August 21st, 2007 at 8:28 pm
Ah Lebron, quite the friends/partners you have…
http://blog.cleveland.com/metro/2007/08/lebron_pal_brings_highpowered.html
August 21st, 2007 at 8:31 pm
Wow. Maverick’s got a lead foot. At least we’ve finally got an issue that will push the Vick mess to page two.
August 21st, 2007 at 10:44 pm
larry d., thanks for the sarcasm. there was no intent to compare this to Vick. i just thought the picture was great…though I’m sure you come across people wearing masks upon discharge from the hospital for their mayor’s court hearings all the time. in addition, 18 counts of speeding in 9 years, you’re going to tell you me you know people who get 2 speeding tickets a year for almost a decade and it’s pretty commonplace?
August 21st, 2007 at 11:29 pm
I was wrong to be sarcastic, TuckTuck, and you were right about the mask.
August 22nd, 2007 at 12:20 am
Ryan, in 20 playoff games, Gibson averaged 20 minutes, 8 points and 1 assist. And people are supposed to be all giddy about this short skinny kid with the cute headband, who you believe is being inducted into the NBA Hall of Fame, for precisely…uh…why?
Ryan, are you telling me that somebody like Eddie Jones couldn’t help this sorry roster of LeBron’s bellhops? No trade would have been necessary. Hell, never mind getting Eddie Jones on the cheap, I’d even rather see Eddie Jones playing than Larry Hughes. But here we are, being subjected to the sheer stupidity of a peg-legged Allan Houston coming to save the day. What’s next, Mark Shapiro wooing Willie Mays?
We were told, as if it was cold hard fact, that Gilbert gave Ferry the go-ahead to pay the luxury tax. Now we come to find out it was just another pile of propaganda that was dished out like Chinese food to the local sportswriters, and then immediately belched out like the human gas pipelines they are. Never happened. If anybody requires Maverick’s mask, it’s the readers.
August 22nd, 2007 at 5:27 am
So Ferry couldn’t make a deal for Bibby and Scola because of money? Who capped the Cavs out again? Oh, it was old gun-shy himself, Ferry. I hope he is mowing Gilbert’s lawn, because he sure isn’t earning his money as GM.
August 22nd, 2007 at 1:08 pm
Quicken Loans has a lot of problems. Avoid them like the plague…
http://digg.com/business_finance/Rip_off_Report_Quicken_Loans_Behind_Closed_Doors_Ripoff_Livonia_Michigan
August 22nd, 2007 at 1:09 pm
http://digg.com/business_finance/Rip_off_Report_Quicken_Loans_Behind_Closed_Doors_Ripoff_Livonia_Michigan
August 22nd, 2007 at 3:03 pm
Just out of curiosity, Alan, what makes Eddie Jones so much more the answer than Houston? Allan Houston is a career 40.2% 3 pt shooter, compared to Eddie Jones’ mediocre 37.5%. They are both the exact same age. They both would probably cost us about the same amount to sign them.
Frankly, I fail to see how either one can really make an impact at this point in their careers. But I guess if push comes to shove, I’d rather gamble on the guy with better career numbers across the board………Allan Houston.
August 22nd, 2007 at 3:22 pm
Come on, Socrates. BW’s research reveals that everything’s going great over at Quicken Loans. He’s got an e-mail message from the company’s chairman and owner to prove it!
August 22nd, 2007 at 4:27 pm
Reckut. Jones has two legs. Allan has one. So Allan already is less valuable by 50% in the lower body appendage department. I’m including legs only, not other male appendages. I don’t don’t how they’re doing in that other appendage department.
Second, Allan has been retired since 1848. Jones has been retired since…well, he hasn’t retired.
Third, although I’m not a big fan of stats, it is worth noting that during the period Wade was out with that shoulder thing, Jones averaged 13 points, 5 rebounds and 3 assists, shot a field goal percentage of 46% and shot 41% on 3-pointers. He’s a good defensive player, too.
In 2007 salary terms, Ferry could have gotten this guy for next to nothing. So either Ferry is merely continuing his pattern of being a Duke-educated dolt, or the “we have authorization to acquire players and pay the luxury tax” was a complete lie dispensed to a fawning gullible media. Or, more than likely, it’s both.
I’m just using Jones as just one example, albeit he’s a glaring example of a guy that could have really helped. There were other free agents available out there, too. Not anymore. Tell me with a straight face they don’t have more value on a 15-man roster than Dwayne Jones.
August 22nd, 2007 at 8:19 pm
Ferry hasn’t done anything except pray that Gibson will be very good. I think Gibson will be very good (better than Mo Williams) but the Cavs needed to do more.
Our blog host notes that conference playoff teams didn’t do much to improve, as far as signing free agents and the draft, but he doesn’t mention that the Bulls should be better as their young core players gain experience.
You’ve also got to believe that Toronto will continue to improve as Chris Bosh and their young Euro dudes play together more. And in addition to Lewis, Howard in Orlando is going to continue to develop into maybe the best big man in the NBA.
August 22nd, 2007 at 8:45 pm
I’m only coming back if I get $10 million guaranteed for two years, dibbs on Mike Vick’s “ranch”, and a date with Alan T.
Cleveland’s own,
“OakTree”
August 23rd, 2007 at 1:05 am
Larry, why the emphasis on the Eastern Conference? Doesn’t the East have to play the West to win an NBA championship? Or is it my imagination that a joke of a New Jersey team went to two straight Finals to get crushed. So when teams like the Mavericks instead of the Cavs are picking up relatively inexpensive contributing guys like Eddie Jones, this also potentially hurts Cleveland.
You really believe Gibson is going to be better than Mo Williams? I’ll be shocked if Gibson ever becomes anything more than an undersized spot-up shooter with little in the way of distribution skills.
August 23rd, 2007 at 12:28 pm
This country is in the worst housing slump since the Great Depression. The Cavaliers’ majority owner’s core business is in this very industry. Yet, in his well-rehearsed and thoroughly proofread e-mail response, the Cavs’ majority owner asserts that his core business continues to be absolutely dynamite. Alfred E. Neuman. “What, me worry?” His absolutely dynamite core business has absolutely nothing to do with the Cavaliers. No correlation whatsoever. Two completely separate businesses. Two great white sharks. No quicksand on the horizon. Apples and oranges. Peaches and cream. And the Cavs beat writer believes him 100%.
As Terry Pluto secretly says when he’s munching on the lox and bagel platter in his Jewish closet, “Oy vey!”
August 23rd, 2007 at 2:18 pm
Thanks for you long-winded and anti-semitic remarks Alan. Get out of the basement and see the world. Maybe try and kiss a girl.
August 23rd, 2007 at 2:54 pm
Alan,
Take it easy there, Champ. Why don’t you stop talking for a while.
August 23rd, 2007 at 3:00 pm
Anti-semetic remarks??? I’m Jewish, you humpback clown.
How can we take any opinion seriously if it’s coming from the Beacon Journal or the Plain Dealer or any other local rag, like whatever that publication is that has the wit and wisdom of Bob Finnan. Either Gilbert possesses incriminating photos of all of these guys, or there’s something else going on that is causing the Northeast Ohio sports print media to be devoid of credibility.
August 24th, 2007 at 12:52 pm
Well then you are giving us a bad name my friend. Shut your hole for a while and talk some reasonable basketball. You are ruining my favorite basketball blog and driving away real fans and posters.
The straight line: You are actually a really talented writer and funny. Use it constructively. Life is short.
August 24th, 2007 at 4:11 pm
Hey Comaguy - why don’t you relax there for a bit before you yourself go into a coma, as wonderful as that would be. I, and many others here I’m sure, certainly fail to realize why you have such anger and hostility on this one subject day after day after day. If the Cavs do nothing, you are mad. If some rumor comes across, you are mad. A billionaire’s business is in a troubled industry and you are mad. A local paper covers a local team and you are mad. Your momma withholds your weekly sponge bath and you are mad. Let it go comaguy.
By the way, you are such a strong supporter of Eddie Jones? Seriously dude?? I am willing to bet some of Gilberts billions that if the Cavs had reported 2 weeks ago they were on the verge of signing Eddie Jones that you would have been the 1st (and 2nd and 3rd) person on this blog coming to criticize and ridicule the move. That’s your MO dud. Get over yourself and move on to the hundreds of other blogs you spend all day on to try and get some attention for your miserable existance.
I go a few weeks from reading this blog and some things just don’t change at all. Hey Brian or any other ABJ moderator - please please please remove his IP from being able to post to here. He’s a freaking cancer and once the season actually starts, if actual fans of the team come here to read his comments on why Lebron should’ve dribbled left instead of right on a play 4:22 into the second half and other such negativism post after post, you won’t have much of an online readership as well. Its time - enough is enough.
August 24th, 2007 at 6:05 pm
Hear, hear Rick and Daduke.
August 24th, 2007 at 10:34 pm
Rick/Taint … you’re an idiot. Whenever the first time you make a posted point that involves sports and/or basketball instead of me, it will be a first.
August 24th, 2007 at 10:47 pm
Just for the sake of historical perspective, Windhorst had the temerity a couple of years ago to ask folks — this was clearly directed at Mr. Tucker — to govern their obsessive posting. It was the host’s first and last attempt to act as a moderator.
Tucker didn’t merely ignore Windhorst’s request: He pissed all over it. And he has continued to piss all over this site ever since. His posts over the past few months have taken on a particularly nasty edge, mocking Windhorst’s diligence and professionalism on a regular basis, and generally leaving a bitter stench in every thread.
So the question really isn’t about Alan Tucker, who long ago proved beyond doubt that he is a sad piece of shit whose off-line life must be lonesome and dreary beyond imagining. The question is: Why does Brian Windhorst continue to let Tucker use this blog as his toilet?
August 24th, 2007 at 11:34 pm
Taint, another question is why the hell does Tucker continue to visit this blog, or read anything associated with the Beacon Journal? All he can do is dismiss the quality of the paper and its writers, yet he can’t stop reading it and posting on their sponsored blog. Why not email letter after letter to your savior Simmons, in his blind state of erotomania? I only hope Tucker has the good sense to ask his psychiatrist to increase his medication dosage, as he is clearly progressively worsening.
August 25th, 2007 at 1:28 am
Rick/Taint. Seriously, pal, why your mad obsession with me, which has been going on for over 3 1/2 years now? You’re the Squeaky Fromme of Ohio sports blogs.
Hey, why don’t the Cavs unload some of their deadwood for Juwan Howard? He doesn’t have much left in the tank, but he’s still better than most of the Cavs roster, and his expiring contract could be traded after the 2007-08 season.
August 25th, 2007 at 1:19 pm
Seriously, landsman, you’re not nearly as smart or interesting as you think. Disgust and disdain don’t equal obsession. Obsession is your specialty, and the proof is in every thread.
August 26th, 2007 at 12:54 am
joetaint, disgust and disdain may not equal obsession, but cavs success in the playoffs + looking like a fool with idiotic predictions/naysaying = tucker’s friend in a coma.
August 27th, 2007 at 12:58 pm
I assume Quicken Loans in in financial trouble (every mortgage lender is) but Dan Gilbert, personally, isn’t. He’s got probably half a billion socked away, because he made not one, but THREE killings on the company:
1. In the mid-90’s, he took his mortgage company (then known as Rock Financial) public. The IPO transaction got him about $100 million in cash
2. In the late 90’s, Intuit (owner of Quicken) bought Rock Financial and renamed it Quicken Loans, giving shareholders $350 million in stock. If I remember right, Gilbert got around $120 million in Intuit stock (which has gone up a lot).
3. Intuit sold the company (for $60 million) to a venture capital firm that Gilbert runs (translation: the investors paid for it) and he’s been making a mint on loans for years. Since the company is private, I don’t know how much.
He doesn’t has as much cash as he did, because he bought the team. But unless he’s a complete nitwit, he’s set for life. And since QL is owned by a holding company and an LLC, it could go down tomorrow and he’d lose nothing.
If Gilbert bought the Cavs with 100% borrowed money and used the assessed value of Quicken Loans to secure it, he could be in trouble. But I doubt it, because banks stopped doing that after they lost billions in the dot-bomb debacle.
My nickel says that Danny Ferry is just enormously timid about making deals and taking risks. Name the last time he stuck his neck out to do anything.
August 27th, 2007 at 5:28 pm
“The question is: Why does Brian Windhorst continue to let Tucker use this blog as his toilet?”
No, the real question is: Why do you continually write about Alan Tucker? It only prompts him to respond to your taunts. Your criticisms actually result in MORE Tucker on this blog, not less.
If you don’t like the sentences Alan Tucker posts, then just skip past them.
August 28th, 2007 at 2:55 am
Anyone watching Team USA. LeBron has been the best player but the Kobe/Melo/Kidd love fest is overshadowing all that. He’s been diving for loose balls, hitting his 3s AND free throws, and throwing down some MONSTER DUNKS! Not to mention his defense has been best on the team (IMO) and his form looks good on his shooting. He went 3-3 from 3pt land tonight and he didn’t force any shots. We REALLY need to find a way to run a little more up tempo offense for him in Cleveland.
Cheers!
August 28th, 2007 at 12:07 pm
wait for it….
August 28th, 2007 at 1:23 pm
Can anyone tell me how to get the tape of game 5 of the Detroit series last year? I was so ripped by OT that my memory recall is near zero. That game will live in my memory for a variety of other reasons though… It was the first time I busted out my reebok Lebron jersey and wore it to the sports bar. I uncharacteristically whooped and hollered and clapped and clamored unabashed in front of total strangers (knocking over two full beers in the process). The excitement following the win overflowed to the parking lot where I did a bellyflop into the bushes and then punctuated the effort by diving into the bed of my buddy’s truck where I remained for the ride home (hooting and rooting all the way home). It was a night to remember, which is why I’d like to refresh my memory with a tape of the game. This is a new era in Cav’s basketball. It’s time for Cav’s fans to embrace this team based on the progress they’ ve made, not on the expectations to come.
August 28th, 2007 at 7:18 pm
Terry Neptune, all good points, but I think it’s naive to believe that the housing industry’s collapse is not affecting how the Cavs are being operated.
All great businessmen think ahead. Gilbert is not a fool. If the housing industry continues on its present course, and there’s nothing to indicate otherwise, Quicken is going to be in deep, deep trouble within the next few years.
To make matters worse, everything is tied into LeBron James. If James leaves in 2010, the value of the franchise collapses.
Also, let’s not dismiss the fact that Gilbert is the majority owner, not the sole owner. He’s not the only one with something at stake here. There are other investors that have Gilbert’s ear, whether he likes it or not, and they probably aren’t too thrilled with what’s looming on the horizon, either with the housing market or with James. It may have initially been a vanity purchase with perks, but I don’t think any of them bargained to lose their investment. This is Jacobs’ Indians, if there’s any more upside, it’s not much.
And although Gilbert will never personally end up in the poorhouse, we’ll also never know what security Gilbert put up, because the Cavs aren’t public.
Put all of these facts together, notwithstanding the PR foolishness tossed around in June regarding Ferry being given carte blanche, and it’s easy to see why the bucks aren’t being tossed around like they had been.
Although you’re obviously right, money or not, Ferry has the managerial guts of a parakeet. “Troy or Beno?” “Troy or Beno?” “Troy or Beno?”
August 29th, 2007 at 11:51 pm
DBO - u can buy the game online. I bought it for like 3 bucks. The entire series for 12 bucks.
LeBron is now 11/11 and just proving what I’ve been saying for 2 years now. He IS the best player in the NBA.
August 30th, 2007 at 1:32 pm
WOW! Lebron’s shooting is spectacular. with his strength and ability to finish and now his perfected jump shot AND his sharp defense team usa better book tickets for the olympics. and the cavs are automatically upgraded and d-gibs and sasha pavlovic blosoming into good sidekicks keuster could run some plays for gooden combined with the new and improved james the cavs are definatley a strong contender for the east before they were a 2nd tier team like the nets or washington. do you think lebron james could be mvp for 08?
August 30th, 2007 at 2:58 pm
How are the Cavs “automatically upgraded?” I don’t get it. James isn’t “new and improved.” He’s the exact same dude, but this month he’s got real talent, movement and speed around him. The guy must feel like he’s on furlough from prison.
August 30th, 2007 at 3:38 pm
good job alan t
August 30th, 2007 at 3:46 pm
Mike Bibby is a winner. He lead the University of Arizona to an NCAA title as a freshman. He has played a lot of playoff games for the Kings, and made a lot of big shots. He’s consistent, and a leader on the court who lends tempo and continuity to a team.
He would provide a lot of things the Cavs offense lacks, and those of you that say you’re glad the Cavs did not get him, you are foolish.
I think there is subterfuge to Dan Gilbert. I think Quicken does affect the Cavs.
Danny Ferry has done a poor job in giving big money to middle big money to Hughes, Marshall, and Jones. This has hamstrung the Cavs in making roster moves.
Gooden has been a productive player. But he is hardly a star player who can give definition to a ball club. Varajeo’s shot selection renders him just energy off the bench. Pavlovic, although improved, is woefully inconsistent. Hughes has been chronically injured at all his journeyman stops in the NBA.
In short, LeBron has very little help. Bibby not only would have provided assistance, but changed the whole chemistry of the team.
The fans seemed to be ecstatic about reaching the finals. The truth is that the Cavs caught some breaks and beat some weak or troubled teams in the Eastern Conference getting there.
Windhorst says Cavs slow summer is nothing to worry about. However, insightful fans are now concerned that the LeBron era in Cleveland may be squandered.
It is a legitimate worry.
August 30th, 2007 at 4:04 pm
I hear that there is still a deal on the table for bibby if danny ferry keeps trying eventually a good deal will happen and bw says he expects a big trade to occur sometime in the future so i think bibby will wear a cleveland uniform by 09 the latest unless we get someone else to fill the spot i think gibson will make do until then. there also rumors that miami wants bibby so that could be bad but they could do a deal where all three teams are satisfied. and alan tucker, i have an honest question for you. Are you really a cleveland cavaliers fan?
August 30th, 2007 at 4:22 pm
“Mike Bibby is a winner. He lead the University of Arizona to an NCAA title as a freshman.”
Great. Maybe Danny Ferry can trade Drew Gooden to the Kings for Bibby and a time machine. That way, the Cavs can get the young, speedy Bibby instead of the old, slow 2007 model.
AZ Joe, you complained about the roster being hamstrung with bad contracts. Don’t you think adding Bibby to the payroll would have the same effect?
I think the Cavs are far better off riding out the upcomnig season with no major additions. They’ll be in better position next year to make some additions, due to expiring contracts, draft picks, etc.
August 30th, 2007 at 8:30 pm
does anyone know what draft picks the cavs have for the future?
August 31st, 2007 at 2:07 am
oh the hell with it. let’s go to vegas and watch some real hoops. hit me up.
September 1st, 2007 at 1:31 pm
Alan, the amount that Gilbert has at risk here is:
(amount financed) - (value of least valuable NBA franchise)
with “amount financed” being (Price paid for Cavs) - (cash Gilbert put in).
Gilbert paid $375 million and Forbes says the least valuable NBA franchise is the Bucks ($190 million) so the maximum at risk is $185 million. (Actually, Gilbert didn’t acquire 100%, but the Bucks number is two years old, so let’s guess it balances out.)
We don’t know how much cash Gilbert put in. I would guess “not much”, because he bought the team when interest rates were ungodly low. The smart thing to do would have been to finance as much as possible, with his rate locked in.
That way, when rates rose, Gilbert could invest the cash he hadn’t spent, getting a return that might (depending on how high they rose) pay more than his interest on the loan.
That’s speculation, but remember that Gilbert made his fortune in finance. He isn’t some goof who inherited money (Randy Lerner) or a guy who made money in an unrelated field (like Larry Dolan and cable TV).
Anything can happen, but it is highly improbable that Gilbert, who is where he is because he made interest rates work to his advantage, structured a deal that left him vulnerable to fluctuations in capital.
Many super-rich people are very stupid about money in many respects (Paul Allen has lost billions on dumb ideas). But when someone does a deal within his field of expertise, it is usually successful.
You’re making the same argument (in principle) as the folks who said Dolan couldn’t make money on Sports Time Ohio. I don’t think highly of Gilbert as a human being, but I am 99.9% confident in his ability on this specific point.
September 1st, 2007 at 10:54 pm
Neptune, all I’m saying is that one just HAS to affect the other. It’s foolish to believe otherwise. I think it’s a foregone conclusion that James has three years left, four if the Knicks and Nets’ situations need one additional year to iron themselves out. Now combine this with Gilbert’s core business, which is presently on a slow trajectory course to crash into the sun.
I totally agree with your last paragraph. Gilbert is a weasel, but an extraordinarily slick one, particularly when it comes to finances. This guy wanted the Brewers, for God’s sakes, so you know the ego factor of being majority owner of a sports franchise is also important to him. But this guy ain’t no fool when it comes to money, and Rock Financial does not appear to be a rock anymore.
I’m extraordinarily interested and very worried as to what is going to happen to the franchise in five years. All Cavs fans should be. I can easily see a situation where Gilbert and his partners are desperate to get out, but the only way to recoup their investment would be to sell to an outside group that would move the franchise. Gund had talked with outside groups, but his family had prior ties to the community. Now compare this with Gilbert. This guy has no ties and couldn’t care less about Cleveland. I don’t trust him.
September 13th, 2007 at 8:24 am
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September 25th, 2007 at 2:19 am
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October 7th, 2007 at 10:28 am
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February 12th, 2008 at 5:23 pm
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