From Front Office Sports <[email protected]>
Subject FOS PM: Teams Facing TV Disruptions
Date May 1, 2024 8:51 PM
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May 1, 2024

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Diamond Sports Group had been gathering steam in its bid to emerge from bankruptcy, but now it faces a new hurdle after not reaching a contract extension with Comcast. … The Browns and Chiefs are years away from opening a new facility, if they even do, but new details are already coming out on their respective efforts. … Plus: More on “Roundball Rock,” Tiger Woods, the NFL, and Super Bowl advertisers.

— Eric Fisher [[link removed]] and David Rumsey [[link removed]]

‘Massive Disruption’ for MLB, NHL Teams: Comcast, DSG Deal Expires [[link removed]]

Matt Krohn-USA TODAY Sports

Diamond Sports Group’s unlikely effort to emerge from bankruptcy—one previously making sizable progress [[link removed]]—took a significant hit when it failed to come to terms on a new distribution deal with Comcast, the nation’s second-largest cable carrier.

The parent of the Bally Sports regional sports networks last month struck a carriage agreement with Charter, the largest [[link removed]] distributor in the U.S., is nearing a finalized deal with DirecTV (No. 3), and also renewed this week with smaller operator Cox Communications. But Comcast did not come to terms with the company and a prior deal expired Tuesday night.

“We have been very flexible with Diamond Sports Group for months as they work through their bankruptcy proceedings, providing them with an extension on the Bally Sports regional networks last fall and a unilateral right to extend the term for another year, which they opted not to exercise,” Comcast said in a statement. “We’d like to continue carrying their networks, but they have declined multiple offers, and we no longer have the rights to this programming.”

MLB teams and their fans are among those feeling the foremost initial brunt of the dispute, as it particularly impacted local coverage of the Braves, Marlins, Tigers, and Twins [[link removed]]. But the situation also cut off coverage Tuesday of an NHL playoff game between the Predators and Canucks in the middle of the third period.

“The Twins are disappointed by this massive disruption for our fans who simply want to watch our games,” the team said. “This situation is a business negotiation between Comcast and [DSG]. The Twins have no role and voice in the matter. We are hopeful the two parties are able to come to an agreement as soon as possible.”

The stakes are high as DSG reconstitutes itself, as the company has said [[link removed]] that its prior deals with Charter, Comcast, and DirecTV collectively represent about 81% of its total distribution revenue. A hearing to approve DSG’s reorganization plan is scheduled for June 18.

“At this critical juncture for Diamond, we hope that Comcast will recognize the important and mutually beneficial role Diamond and RSNs play in the media ecosystem,” DSG said.

In for the Long Haul?

When, or even if, a new deal between Comcast and DSG can be reached is now quite uncertain. But what isn’t a mystery is Comcast’s willingness to keep certain sports channels dark on its systems indefinitely, if needed.

New York’s MSG Networks—which shows the NHL’s Rangers, Islanders, and Devils as well as the NBA’s Knicks—has been off Comcast homes in New Jersey and Connecticut since 2021. Altitude, which airs the NBA’s Nuggets, NHL’s Avalanche, and NLL’s Mammoth, has been dark [[link removed]] on Denver-area Comcast systems since ’19 amid a bitter carriage dispute. YES Network, another New York regional sports network that shows MLB’s Yankees and the NBA’s Nets, was off Comcast for 13 months between ’15 and ’17, and a broader agreement that also included carriage for Fox News was part of the eventual solution there.

Conversely, Comcast was able to reach new distribution deals recently with the Mid-Atlantic Sports Network [[link removed]] and SportsNet Pittsburgh with far less acrimony, but only because both of those outlets agreed to be placed on more expensive and less broadly distributed tiers.

Chiefs’, Browns’ Stadium Renderings: Familiar Looking and … Premature? [[link removed]]

Manica

There is nothing even remotely close to a done deal on potential new stadiums for the Browns and Chiefs, but that hasn’t stopped either team and their partners from putting out specifics on what those possible venues would look like and how they would be funded.

Less than a month after a stinging ballot-box defeat [[link removed]] in Jackson County, Mo., on public funding for proposed Arrowhead Stadium renovations, the Chiefs are now pursuing [[link removed]] a facility plan separately from its current Truman Sports Complex neighbor, MLB’s Royals. That plan could involve a move across the border into Kansas, and state legislators there are trying to develop [[link removed]] a bond issue that would fund new stadiums for both teams.

The measure wasn’t brought up for a vote before Kansas lawmakers adjourned their annual legislative session late Tuesday. But it’s expected that Gov. Laura Kelly will call a special session to bring back the legislature to pass a new tax plan, and it’s possible the stadium matter could be revisited.

Long before those political machinations are resolved or a new stadium site is finalized, though, Manica Architecture released a set of images [[link removed]] depicting a potential domed stadium for the Chiefs in Kansas.

“The design concept is inspired by the form and spirit of our historic Arrowhead Stadium, but it offers more diversity in the variety of experiences it will offer its fans,” said David Manica, president and owner of Manica Architecture.

In Cleveland, a similarly accelerated plan is unfolding as the Browns decide [[link removed]] whether to renovate Cleveland Browns Stadium along the downtown lakefront or build a new, suburban facility in Brook Park, Ohio. Browns owners Jimmy and Dee Haslam previously indicated [[link removed]] they wanted to take until about mid-2025 to decide.

But recent talks [[link removed]] between the Haslams and local officials have pointed to a team already asking for public support covering half the cost of either facility option, a figure that would come to $1.2 billion in funding toward a new stadium or $500 million toward the renovation of the new facility. Those emerging discussions have been joined by the release [[link removed]] of renderings of the Brook Park option.

In both instances, the distribution of the renderings show the accelerating power [[link removed]] of these drawings to help stir interest toward a stadium project, even in its most embryonic stages.

Doesn’t That Look Familiar?

Beyond the surprisingly early nature of the latest Chiefs drawings, another notion quickly surfaced: their visual similarity to prior renderings [[link removed]] Manica did for the Bears, as well as prior efforts at Allegiant Stadium [[link removed]] in Nevada, a forthcoming facility [[link removed]] for the Titans, and an aborted stadium project in California for the Raiders and Chargers.

For Manica, though, the Chiefs represent a hometown project as the company’s U.S. headquarters are in Kansas City. And much like those other facilities, the domed facility for the Chiefs is designed to allow the K.C. area to pursue major events such as the Super Bowl, Final Four, and College Football Playoff—all of which are currently out of reach to the market.

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STATUS REPORT Two Up, Two Down

Troy Taormina-USA TODAY Sports

“Roundball Rock” fans ⬆ With NBC Sports said to be applying full-court pressure in its pursuit [[link removed]] of NBA national media rights, musician and composer John Tesh told CNBC [[link removed]] that he’s open to a rebirth of the iconic theme song, famously used by NBC during its NBA coverage in the 1990s. That licensing negotiation, if it happens, hopefully will go better than this fictitious reimagining [[link removed]] on Saturday Night Live of the original talks.

Tiger Woods ⬆ The first collection in the golfer’s new apparel brand, Sun Day Red, dropped Wednesday. A men’s line will be available direct-to-consumer for the remainder of this year, before more options for women and youth roll out starting in 2025.

NFL ⬇ The University of Houston is moving forward [[link removed]] with a uniform scheme that uses Columbia Blue colors (above), despite the league last fall sending [[link removed]] a formal cease-and-desist letter to the school, asking it to immediately stop its “blatant copying” of the Houston Oilers’ former uniforms.

Super Bowl advertisers ⬇ Fox is asking $7 million per 30-second commercial in next February’s game, according to Variety [[link removed]]. That’s up from a record $6.47 million average for this past year’s Big Game on CBS.

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