Running Out of Time

The state isn't backing up the wishes of its largest city. A caption under a recent Seattle Times article picturing Governor Christine Gregoire reads "Gov. Gregoire wants more time to ponder proposal". More time is something that Seattle fans just don't have. With an NBA meeting with Clay Bennett right around the corner, the proposed move of the Sonics is more imminent and possible than ever before. At this time, I can't help but think...

I can't help but think that all of this was avoidable had Schultz given the Sonics the same level of commitment he gave his coffee. I can't help but think that Schultz could have taken the time to solicit Seattle-based buyers when selling the time, as he clearly expressed a desire for the Sonics to remain a Seattle franchise. I can't help but think that Bennett isn't really looking out for the team or its fans, but his pocketbook. That said, he never represented himself as anything but a cunning businessman. Schultz did. Schultz was someone that Seattle fans were told to trust, told to put our faith in. After all, he gave us his word. The NBA will meet, the Sonics may be granted the opportunity to leave our city, and someone will be at fault. The city could have done more, Bennett could have done more, but ultimately, this mess really started with Howard Schultz. I hope all Sonics fans remember that the next time they go to Starbucks.

Gregoire Drops The Ball...

Gov. Christine Gregoire, who rose to the office of Governor with some scrutiny in her race against Dino Rossi, really dropped the ball this week. She had the chance to win over a lot of her skeptics, to win over the people who felt she hadn't deserved to win her 2oo4 election. Instead, she choose to not act on the deal proposed to hear, a dream deal in which 4 men would step up and prove $150 million for a renovation. It'd be one thing if she was merely the voice for all of Washington's governmental figures, but that simply is not the case.

Steve Kelley, a writer over at The Seattle Times, has always written in support of keeping the Sonics in Seattle. Today is no different. But while the past weeks have been somewhat optimistic, his column today is almost morose. He writes about Deputy Mayor Tom Ceis' disappointment over the failure to act on such a fantastic proposal. And while Ceis is adamant that the issue isn't dead, and that the City of Seattle will try to re-negotiate with the investment group as far as deadlines for their offer, he is aware that it's an uphill battle. "It's going to be hard. There's no rabbit out of the hat yet". It's only going to get harder.

Ballmer & Co. to Gregoire...

Here is a link to a PDF copy of Steve Ballmer, John Stanton, Matt Griffin and Jim Sinegal's letter to Gov. Christine Gregoire. 

Ballmer & Co to Gregoire 

The letter details Ballmer's opinion on the need for professional sports in Seattle. Additionally, he discusses how Key Arena renovations would help revitalize all of downtown Seattle, not solely the Sonics. He also gives the reasoning behind the April 10th expiration date the investment group has imposed, which I have to say makes sense. Here's a summary...

The group is willing to come up with $150 million, while the state Legislature needs to only front $75 million. This group is being incredibly generous, and even propose that another NBA franchise could be secured if Bennett indeed relocates the Sonics. That said, they make it clear that they want the Sonics to stay in Seattle. With the NBA meeting right around the corner, the expiration date gives the state something to truly consider, not sweep under the rug. Let's hope they give it some thought...

The Shot Clock Is Ticking!

Mayor Greg Nickels

Jim Brunner and Ralph Thomas, reporters for the Seattle Times, are reporting today that Steve Ballmer's generous offer may have a time limit. The bad news for Seattle fans is that state Legislature will close the book for its present session on Thursday, so any change on a state level will have to happen pretty damn quick. Gov. Christine Gregoire doesn't really seem to understand the urgency...

She was quoted as saying that this issue has been presented too late for consideration at this time, and if such a time limit has indeed been placed on the offer, the City of Seattle will have to step up and "front" the remaining funds needed for renovation.

The official statement from Ballmer and friends reads that if their offer isn't accepted by April 10th, they "will need to go back to our other responsibilities and our offer will expire". I sincerely hope that Seattle leaders will recognize the immediacy to such a situation, especially after Mayor Nickels recent announcement. Even if Bennett is unwilling to sell the franchise, Key Arena renovations will be needed for any other franchise to move to Seattle anyway. The renovations are needed for professional sports to thrive in Seattle, Sonics or not.

Information on New Investors

Jim Sinegal, CEO of Costco

A True Seattleite, Matt Griffin

The Seattle Times has revealed the identities of the prospective Key Arena renovation investors. In addition to Steve Ballmer (Microsoft) and John Stanton (Western Wireless), Matt Griffin and Jim Sinegal have been named as the final two members of the 4-person investment group.

Seattle residents may recognize Matt Griffin's name as the managing partner for the Pine Street Group, LLC. Simply put, he is a real estate developer responsible for transforming downtown Seattle into what was recently ranked one of the world's best skylines. Some buildings in particular that he had a role in developing include the Washington Mutual Tower, a favorite of many residents for its unique architecture, and the Wells Fargo Center. Developing real estate for big corporations equals big bucks, money that Griffin sees as a potential life saver for the Sonics.

Jim Sinegal's name might not be quite so familiar, but he is the very successful CEO behind Costco. He was ranked in the Top 100 most influential people in the 2006 list published by Time Magazine. Sinegal has also been praised for his relatively low salary as a corporate CEO, making around $550,000 as his base salary (not including long term incentives, etc.). In any case, it's good to see a CEO taking a more responsible salary for the benefit of his company and employees. If Sinegal, who makes only reportedly $550,000 per year, can afford to contribute to the $150 million dollar effort, why was Schultz unable to commit more than $10 million? That's a question I'd really like you to answer Howie. Please feel free to comment at your earliest convenience.

- Joe Sonics

Ballmer & Stanton Confirmed by Mayor!

John Stanton & Steve Ballmer

Sonics fans can really start getting excited, as today Mayor Greg Nickels confirmed that a prospective deal is in the works for Steve Ballmer and John Stanton to provide the bulk of renovation funds for Key Arena. Their generosity is a huge step towards keeping the team in Seattle. That said, current owner Clay Bennett has made it clear that he is not planning on selling the team, regardless of interest and sizable offers from other investors. Here is where the problem could lie.

Bennett could come out on top, with Ballmer and Stanton providing the renovation funds, but Bennett retaining ownership of the team. This is unlikely, as Ballmer and Stanton are really only interested in renovating Key Arena if they have a financial stake in the team that plays there. If Bennett is unwilling to contribute financially, it's understandable why Ballmer and Stanton wouldn't want his team to play in their arena. That understood, there are really two options that I can foresee happening with the current deal on the table.

1) Bennett decides to sell the Sonics to Stanton and Ballmer, and Seattle fans are happy campers.

2) Bennett retains ownership of the Sonics, moving the team out of state. As a result, Stanton and Ballmer move to acquire another franchise.

I think I'm with most Seattle fans when I say that option 2 is less than ideal, because this issue is less about having a professional sports franchise, and more about having the Sonics stay where they belong.

Sonics Fans Show Big Turn Out at State Capital!

One of the primary reasons why there is even the push for the Sonics to find a new home is that many think the current home is not up to part. In another words, Key Arena either needs renovations, or a new arena must be built from scratch to house the Sonics. When Howard Schultz only offered to put up $10 million of the needed $300 + million, the City of Seattle said no. Don't get me wrong. I can't blame them.

The Sonics are a privately owned sports team, and while they do benefit the city in a variety of ways, they are ultimately not community property. And despite many fans desire to make the team publicly owned like the Green Bay Packers, it's really not likely to happen. I think it is unrealistic for Schultz to expect the City of Seattle to tax residents $290 million in order to renovate a stadium. What is currently being proposed is much more realistic, and is the best chance of keeping the Sonics in Seattle.

Here is what is being proposed, and how you can help. Steve Ballmer and John Stanton, who have made fortunes in software and Wireless technologies, have offered to fund the renovations for $150 million each out of their pockets. This provides $300 million dollars out of the projected $375 million budget for the renovation. I personally feel like $75 million is a lot more reasonable request of the city council's contribution than $290 million, and they seem to be in agreement.

Representative Roger Goodman, a Democrat from Kirkland, WA, announced to a large crowd of fans rallying outside of the state capital that "multimillions of dollars" is the likely contribution the city is willing to make for the renovations. The money would come from taxes targeting only Seattle, and not Washington state as a whole, likely from restaurant and car rental taxes. What can you do? Support the proposal when the deal is on the table. The bad news? Nothing is likely to be proposed until next year, and Bennett has his meeting with the NBA right around the corner. Stay tuned!

For More Information:

http://seattletimes.nwsource.com/html/sonics/2004270313_sonics09m.html

Exciting News Folks!

Big news this week for all Sonics fans out there. While I'm not sure if my blog played any role in the one week that we've been active, one of our initial goals may be coming true already. The Seattle Times is reporting that Steve Ballmer and John Stanton are possibly in the works of buying the team. Not only is this a huge step towards keeping the franchise Seattle-owned, but the new owners have already laid out their proposition of providing half the renovation of Key Arena, which is projected at $300 million. 

Ballmer, in case people are not already familiar with his YouTube rants, is the eccentric an excitable CEO of Microsoft, based just outside of Seattle in Redmond. He is an avid sports fan and has expressed an interest in the past about owning a franchise. It seems he's taking a listen to fans and citizens of Seattle by stepping up to the plate and saving the team. Which brings me to this question:

Why is Microsoft criticized for being unethical, when its CEO and owners have a long history of philanthropy and doing the "right thing", often at their financial expense. Last week, I posed a question to Howard Schultz. Simply, how am I supposed to trust your word when you've abused our trust in the past? Say what you want about Ballmer and his antics, but there is a man that I would trust. 

Oh To Be A Public Figure...

Howard, you really like to appear larger than life don't you? I've taken the following quote from Schultz's "Transformation Agenda Communication #8". This information is available freely on the Starbucks website. It's basically Shultz's opportunity to hop onto the soapbox and become the rockstar frontman for his company. It's not a bad idea for Schultz to address his consumers directly, and I would never attack him for only that. In fact, I'm a huge fan of his "Agendas" because they provide me with ample material by which I can disprove Shultz as the infallible leader he wants us to buy into. I quote:

"We are Starbucks. We should be incredibly proud of what we have built... Believe me when I tell you, we are just getting started. We will overcome the difficult and humbling challenges we fact, and will be stronger for it. You have my word on that."

Now, let us compare Schultz's recent Starbucks post with some choice words he gave during a fan interview after purchasing the team in 2001.

"I'd like to speak to our Seattle-based fans and our community... From my heart, we believe very strongly that we have to earn our fans' love and respect... You have to do that by playing hard and giving back to the community. I think we've made significant leaps, and we've brought back great Sonics basketball to Seattle. And I think we'll make Seattle fans very proud."

Schultz's decision to sell the team not only contradicts his attempt to lure Sonics fans into his web in 2001, but also his recent Starbucks Agenda. Selling the team isn't in line with overcoming "the difficult and humbling challenges", and it certainly isn't going to earn the love and respect of Seattle Sonics fans. In my opinion, you care little about the Sonics, or even great coffee. You have one love, and that is money. Money is at the root of all your decisions, and when it didn't make perfect financial sense to keep the team, you jumped ship. You didn't overcome the challenges, you ran away from them. How do you explain the disparity between what you say you'll do, and what you actually follow through on? I'd love to hear from your side, because as of right now, I'm having trouble taking your "word". Feel free to post a comment below, Howard.