NFL labor talks: Understanding the negotiations
MONDAY, 07 MARCH 2011 14:19
BY EVAN WEINER
NEWJERSEYNEWSROOM.COM
THE BUSINESS AND POLITICS OF SPORTS
http://www.newjerseynewsroom.com/professional/nfl-labor-talks-understanding-the-negotiations
As the representatives from the National Football League ownership group and the National Football League Players Association continue to try and bridge their differences and sign a new collective bargaining agreement (and yes Green Bay Packers players have collective bargaining rights in Wisconsin despite the best efforts of the state's governor to bust public employee unions as Governor Scott Walker told the fake David Koch), it might be useful to review 60 years of television money and players association activity and how closely linked television and the players really are.
NFL owners were planning to use some $ 4 billion in 2011 television rights fees to underwrite a lockout. Rupert Murdoch's News Corp (FOX), General Election (now Comcast)'s NBC, Summer Redstone's CBS, the Walt Disney Company's ESPN and DirecTV cozied up to the NFL owners because the owners' product is still a consistently watched fare in an increasing fragmented audience industry — TV.
Television is the “tiger blood” of the NFL. CBS, NBC and ABC were the “Goddesses” that brought the NFL to the masses during an explosive growth spurt between 1960 and 1970. Each one of the NFL owners was a “bi-winner.”
NFL owners and NFL players have been battling over issues since 1956. Today, NFL players get huge salaries but have short careers and unlike their counterparts in Major League Baseball, the National Basketball Association and the National Hockey League, a NFL players contract is not guaranteed. If a player gets fired, he keeps bonus money but he is terminated with just some severance pay. NFL players need four years to get a pension and five years of medical benefits following a career. The lack of will to fight the owners and just take money now has left some former players financially destitute and in some case contemplating suicide from injuries suffered on the field from Pop Warner through junior high school, high school, college and pro football.
As television contracts got bigger and bigger, so did players salaries but NFLPA negotiators never looked at the future.
“Money Now.”
In 1950, the three most popular sports in the United States were baseball, boxing and horse racing. National Football league owners were running mom and pop store operations that operated from July to December. Television, as the noted writer Frank Deford explained on a long forgotten TV show that featured this writer and Al Michaels (along with the "Scud Stud" Arthur Kent) on Histories Mysteries, an all inconclusive look at sports history in about 88 minutes on the History Channel in 2000, changed the sports world. By 1965, football was the most popular sport in the United States. The owners had more money than they ever could imagine but the owners still treated players like they did in the 1920s, 1930s, 1940s and 1950s.
The NFL owners and players had a contentious relationship for decades. The NFLPA formed in 1956 with help from Creighton Miller, the first General Manager of the Cleveland Browns. Unhappy players in Cleveland and Green Bay assembled a network of "player reps" on each team. The players included Don Shula (Colts), Frank Gifford (Giants), and Norm Van Brocklin (Rams) to represent their teams. The Chicago Bears did not have a players representative. The players first meeting was held in New York in the fall of 1956, after the owners ignored the players' attempts to discuss their requests. The players asked for minimum salaries of $5,000 per season, injury pay, uniform per diems, and for teams to supply their own equipment.
Nothing happened but the players got a big break in 1957 when, the first lawsuit involving professional football and antitrust was filed, Radovich v. NFL, which significantly altered player rights within the league. The case involved a player/coach, George Radovich, who sued the league because the NFL effectively prevented him from attaining employment in the NFL or affiliated leagues, such as the Pacific Coast League, which was in existence at the time. The case was dismissed on the grounds that the NFL was exempted from the antitrust laws, and was appealed to the Supreme Court, which reversed the decision of the trial court, holding professional football subject to the antitrust laws.
The Supreme Court of the United States decision changed life for NFL owners. The players could now sue the league on antitrust grounds which they threatened to do. The owners and players settled with the players receiving minimum salaries of $5,000, $50 payment for preseason games, medical coverage for injuries, and a pension.
But the players didn't get what they agreed to and spend the 1958 season chasing the owners to live up to the agreement. The deal was finally signed in 1959.
In 2011, as a fallback, the players will decertify their association and then sue the league on antitrust grounds if an agreement isn't reached soon. Nothing much has changed since 1957.
The truth was that football was a part time vocation and not a real job for either the owners of the players in the 1950s.
When the season ended in the 1950s, so did football as a main vocation. New York fans may have wildly cheered the New York Giants defensive lineman Andy Robustelli on six Sundays a season, but on the Monday after the final game, it was back to work in the civilian world.
"Each player the day that the season was over, you were free and you looked for a job. You wouldn't see each other until next year. I think, and with all respect to the modern ballplayer, I hope the modern ballplayer appreciates, not only the opportunity, but...football is a stepping stone it's not the end of life," said Robustelli , who became a successful businessman in Connecticut once his Giant days were through, in the 1990s.
Robustelli's generation of players didn't put up much of a fight with the owners for pensions and future health benefits. In fact, lots of generations of NFL players never put up much of a fight for pension and health benefits and according to one players agent, there was a reason for that.
"Their constituency is active players and when the crunch comes, no one with status is representing the retired players. So it relies on the good will of the current players, which has been subsumed to selfishness," said the agent. "Football players are the worst labor unit--short playing careers, spectre of injury, coaches kids, born-again Christians, all salary paid from September to January so each game check more impactful, (Joe) Montana and Howie Long and other stars crossed picket line last time (in 1987), no ability to sustain a strike."
The NFLPA has always been weak and the owners knew that. The two leagues may have merged, but the player associations did not, as the players on the 16 NFL teams were NFLPA members and the players on the 10 AFL teams were American Football League Players Association members. This caused a major problem in subsequent negotiations as the NFLPA would come to a tentative agreement with the owners on certain collective bargaining issues (such as minimum salaries, retirement age) then the owners would bargain with the AFLPA, who accepted lower terms, which wasn't good for NFLPA members.
There was a brief lockout and a 20-day strike in 1970 that ended just before the 1970 All Star game and which did not result in the cancellation of regular or post-season games, the NFL and NFLPA signed a four-year contract, the first collective bargaining agreement in the history of the NFL, which raised player salary minimums to $12,500 for rookies and $13,000 for veterans, added dental insurance, improved the pension, gave players the right to have agents, gave players representation on the Retirement Board, and provided for impartial arbitration of injury grievances.
(Retired players from that era are still battling the NFL over injury grievances)
In 1974, the previous CBA was coming to an end. Players were demanding the elimination of the Rozelle Rule and the option clause which kept a player tied to his team in perpetuity unless another team was willing to give up number one draft picks or players to sign a free agent among other things. On July 1, the players went on strike, and were prepared to sit out until a new bargaining agreement was hammered out. The sit-out led to the cancellation of the New York Jets game at New Haven, the first game ever canceled due to a labor impasse. However, by the early part of August, about a quarter of the NFLPA crossed the picket lines, breaking down union solidarity. On August 11, Garvey sent his players back to work after a federal mediator suggested a 14-day cooling off period, instead pursuing the issue through the Mackey case. The 42-day strike ended that day with nothing gained.
On September 21, 1982, NFL players went on strike. It was the longest strike in professional sports in the U.S. at the time and lasted until November 17. The owners responded by locking the players out at the commencement of the strike. During the strike, only 126 of the 224 scheduled regular-season games were played, forcing the league to change the format of post-season play to include 16 teams instead of the usual 10 teams. The players held two "All-Star" games to raise some funding for players without a paycheck. The players got more money but two goals were not met, a form of free agency and more pension money.
NFL owners won the 1987 battle with the players but the two sides ended up in Judge David Doty's courtroom in 1993 after the association decertified. They came up with a deal because of pressure from Judge Doty. Eighteen years later, Judge Doty is still involved with the two sides. Apparently Judge Doty disagrees with the owners pocketing network, cable and satellite TV money in 2011 whether the league is locked out or not. There is a question of what happens with that $4 billion. Eventually Judge Doty will decide what to do.
Television and the NFL have had a long history. TV has helped and hurt the league. Today, it is all good but 62 years ago, it was a different story.
The Los Angeles Rams showed all 12 of the team's home and away games on local television in 1949 and saw a sharp decrease in attendance from 1948. In 1950, NFL Commissioner Bert Bell urged teams to blackout home games in an effort to keep the people in the stands for home games instead of in front of the television.
Some teams had TV contracts. The Dumont TV Network paid $75,000 to nationally televise the Los Angeles Rams-Cleveland Browns championship game on December 23, 1951. By 1953, the NFL was in the courtroom defending its blackout policy. Judge Allan K. Grim of the U. S. District Court in Philadelphia upheld the league's blackout policy and did not violate anti-trust laws.
The 1957 NFL Championship Game was blacked out in the host city, Detroit, despite being a sellout. The blackout policy was challenged again in 1962 when the Giants hosted Green Bay in the NFL Championship at Yankee Stadium Judge Edward Weinfeld of the U. S. District Court upheld the NFL position and denied an injunction, which would have forced CBS to televise the game in the New York City area.
“That was a big test case for us,” said Mara of the 1953 courtroom proceedings. “I think the big value of TV was the promotion that it should what a great event this was; what a great game this was. It made people want to come to the ball park, or go up to Stratford, Connecticut to see it on TV.”
New York Giant fans who could not get tickets to the sold out Yankee Stadium would travel to Fairfield County, Connecticut and either rent hotel rooms or go to bars and/or restaurants to watch blacked out home games on WTIC, Channel 3 out of Hartford. Blacked out games meant money six, seven or eight times a year to Connecticut businesses.
The blackout policy would remain in effect until 1973, when Congress passed experimental legislation (only valid until 1976) requiring any NFL game that was declared a sellout 72 hours prior to kickoff be made available for local TV.
Television would play a role in the Bidwill family's move of their Cardinals franchise in 1960. The NFL also permitted the Cardinals to relocate to St. Louis for the 1960 season, in an effort to eliminate the market-cannibalization taking place between the Cardinals and the Bears in Chicago, the second largest television market at the time. The Chicago CBS station, which was televising NFL games, needed a solution to the Bears-Cardinals two-market setup. Since the teams never played on television head to head unless they played one another, and the league was blacking out home games, CBS never showed games in Chicago.
On March 13, 1960 the Cardinals moved to St. Louis after receiving $500,000 for "improvements" at Soldier Field, some of the funding coming from CBS. In effect, the Cardinals were not just "allowed" to move to St. Louis, but rather were paid to do so by the Bears, the NFL, and CBS.
The American Football League formed in 1959. It was an eight-team league, which borrowed a business model from the stillborn Continental Baseball League, which was a brainchild of Branch Rickey. The CBL planned to pool TV revenue and divide the money among the league's 12-teams. Rickey's league was working under the assumption that it had an antitrust exemption like the American League and National League in baseball. Lamar Hunt's league must have felt the same way. The AFL had decided on November 23, 1959 to approve a cooperative television plan whereby the league office negotiates the television contract and which proceeds from which were equally divided among member clubs.
By June 9, 1960, the AFL had a TV deal with the American Broadcasting Company. It was a five-year contract with the eight teams sharing $1,785,000 in 1960 and graduated increases of the life of the agreement.
The NFL wanted the same type of network deal but the league had to live with the Sherman Antitrust Act hanging over the league's business practices. That changed on September 30, 1961 with President John F. Kennedy's signature on a bill that allowed the 14-team league to become one entity for television contract negotiation purposes.
In 1960, the New York Giants received $340,000 for their deal, but the Green Bay Packers received $105,000. Rozelle saw the changing playing field and knew the big market teams in New York, Chicago and Los Angeles could get enormous contracts as television grew leaving behind smaller markets such as Pittsburgh and Green Bay.
"My brother Jack (Giants), George Halas (Bears) and Daniel Reeves (Rams), we were the three teams that were most affected," said Giants owner Wellington Mara. "Now, Art Modell (Browns), he had has own deal made already and he surrendered that to go into it.
"He (Modell) was really the one who gave something away. We didn't know what we were giving up. That is what did it. They made the decision. Without that, why we wouldn't have the league we have today."
Rozelle was a genius. He was lucky that the times were favorable but he had to work at getting a diverse group of owners to think league instead of individual fiefdom and he did.
"I think he explained to everybody very cogently what was at stake and he knew it wasn't going to be much of a league with lopsided revenue" Rozelle is a guiding force in the formation of the modern NFL. "We used to laugh a little bit, but we used to say Pete was so smooth and so polished and he had a great sense of public relations, but we always thought in running a league meeting, the softest part about him were his teeth," said Mara with a laugh.
"He knew when to twist an arm, and when to massage an ego and he made great use of that knowledge. He stepped in and from the very first minute, from the very first meeting he ran, he was a leader. He took things over and organized us."
CBS would win rights to NFL games in 1962 with a $4.65 million bid, NC would gain the 1963 AFL Championship Game for $926,000 despite the fact that ABC was the AFL regular season TV right’s holder. CBS would keep the NFL for the 1964 and 1965 seasons as well as the NFL Championship Game by paying $14.1 million per season and $3.6 million for two championship games. Meanwhile NBC guaranteed the future of the AFL by signing a five-year, $36 million contract beginning in 1965.
CBS extended its relationship with Pete Rozelle and the NFL in 1965 through 1967 with a $39.6 million for the 1966 and 1967 regular seasons with an option for 1968. CBS bought the 1966 and 1967 NFL Championship Games for $2 million per game. After the June 8, 1966 merger, the rights to the first four AFL-NFL Championship Games, 1967-70 was sold to both CBS and NBC for $9.5 million. In 1969, CBS passed on Rozelle’s idea of Monday Night Football, ABC acquired the rights to 13 games annually between 1970-72. Monday Night Football would change the NFL as much as the June 8, 1966 merger between the AFL and NFL.
The players of the 1960s kept pushing to get the owners to give them more benefits. They always seem to lose except salaries increased as TV contracts increased.
Television is willing to pay sports teams lavishly because TV executives think 18-49 year old males and 25-54 year old males will tune in and support advertisers’ products. The NFL makes TV networks. Monday Night Football made ABC a legitimate network in 1970. NFL ratings were down significantly in 1999, and 2000 yet CBS was happy with its decision to return to the NFL after one time owner Lawrence Tisch passed on extending the network's NFC deal with the league in 1993.
Tisch's failure to extend NFL football on CBS caused a massive turnover in the TV industry. CBS lost local affiliates in Detroit and Milwaukee as stations defected to FOX to continue having NFL games and FOX became a network sports powerhouse, eventually securing the rights to Major League Baseball and the National Hockey League.
While CBS claimed to have broken even on its football expenditure in 1998, insiders knew that other areas of the company were cut back because of football. The company announced massive layoffs in 1998 and closed studios around the United States.
After the NFL was lost in 1993, CBS still had its billion dollar, seven-year deal to cover the NCAA Tournament in basketball, golf's Masters and college football. Cutbacks at CBS were nothing new. Tisch scaled back the news operations in the 1980s to pay for football and baseball. In fact, Tisch really started the pay escalation for TV rights by paying the enormous sum of $1.06 billion over four years for MLB television rights from 1990-93. CBS ended up losing millions on the deal, especially with poor Saturday Game of the Week ratings.
Without the NFL and John Madden, Rupert Murdoch's United States media empire may not be as imposing as it is today.
Before the NFL and Madden, Murdoch's FOX network, which is technically not a network but a syndication unit, was a weak collection of UHF stations with the exception of a few cities like New York, Washington, and Los Angeles. Before the NFL and Madden, FOX had a few shows that drew some attention, the It's Gary Shandling's Show, the Tracy Ullman Show and Married With Children. Out of the Ullman show came The Simpsons, Shandling's show originally ran on Showtime and then went to FOX. Ullman's show was canceled in 1990. FOX could not establish a late night talk show, the Joan Rivers experiment was a disaster and a 1993 Chevy Chase late night show as a bomb. Not much worked for Murdoch.
Neither Al Bundy nor Bart Simpson, as popular as the characters would become, could bolster FOX. Murdoch's team was buying TV stations and became the biggest owner of over-the-air stations in the United States but by 1993, it was still the fourth network in a three horse race for ratings behind CBS, NBC and ABC.
The NFL and Madden changed all of that. Actually, it was Jerry Jones, the owner of the Dallas Cowboys that put Murdoch on the map as Jones and Murdoch negotiated the TV deal that would change everything. The NFL had been prospering from TV rights fees since the 1961 Sports Broadcast Act which allowed the league commissioner, who is also the league's chief negotiator and lobbyist in all things NFL, to bundle the 14 member franchises into one entity in order to negotiate a TV deal. Three decades later, the NFL was a 30 franchise entity with four separate and distinct elements. CBS had the National Football Conference contests and paid slightly more money for the NFC than NBC did for American Football Conference games because the NFC had more major markets. ABC had Monday Night Football and ESPN and Turner Sports split a Sunday night package.
The NFL was being paid $3.6 million over a four year period between 1990 and 1993.
Murdoch's fourth place network was desperate for a game changer and the NFL provided him with an opening. The NFL and Jones were knocked over by Murdoch's bid for the NFC games. Murdoch was willing to fork over $1.58 billion over four years to get the NFC package along with the Super Bowl. Murdoch had a syndication arm but no news division, no sports division, none of the apparatus that CBS, ABC and NBC had. Murdoch knew that the NFL deals with an old philosophy, cash on the barrel head gets serious consideration and because he blew CBS out of the water with his bid, the NFL and Jones knew they would be getting a new partner with a patchwork of big city VHF and small area UHF stations and both sides would have to make it work.
In December 1993, The NFL took the money. In retrospect, it was the right decision but at the time it looked like just a money grab.
In early 1994, Murdoch started to prepare for the 1994 season by quickly established a sports department by giving Madden an enormous contact and hiring his sidekick Pat Summerall. Murdoch also took Madden's CBS support team and made John feel right at home. Madden would become the face of FOX sports and with the NFL in tow, Murdoch was able to steal VHF stations in Detroit and Milwaukee away from CBS. Murdoch had one of TV's crown jewels, the NFL, and FOX would now be in a position to become a serious player in American TV.
It can be suggested that the success of the NFL and Madden on FOX led to Murdoch to start the FOX News Channel. The over-the-air network, still technically a syndication arm, started producing hits like the X-Files along with Beverly Hills 90210, Melrose Place, In Living Color to go along with The Simpsons and Married With Children. Murdoch didn't have blockbuster ratings but the network was doing okay business and he already had a satellite news network in Europe, Murdoch turned to creating a United States cable TV news channel.
There are no what if questions. The NFL and Madden changed the fortunes of both Murdoch and Lawrence Tisch's CBS. In 1993, CBS completed the TV hat trick; it won daytime, prime time and late night ratings. David Letterman had just moved over to the network and things were looking good. But Tisch's CBS did not invest in cable TV, lost the NFL and Madden, football's top star both on and off the field, lost affiliates and would start a downward spiral. Murdoch's FOX Sports added the National Hockey League and Major League Baseball soon after the NFL deal. Eventually Murdoch would gain NASCAR and the Bowl Championship Series. On the cable TV side, Murdoch sort of has a national sports network, but that is not where Murdoch really has a sports foothold. Murdoch's regional sports cable networks are still strong despite being challenged by upstarts in the past few years. FOX either owns or has agreements with 23 regionals and there are college sports networks as well. There is also a partnership with The Big Ten Network
Madden's signing with FOX after CBS lost the NFL rights in 1993 cannot be dismissed. John Madden was a major part of the FOX promotion, so much so that at an NFL owners meeting at the Arizona Biltmore in Phoenix, John ended up by the master of ceremonies for the night's owners party after Murdoch departed. Madden left FOX after the February 2002 Super Bowl and joined ABC Monday Night Football's crew. John was no longer that valuable to Murdoch. Rupert built a viable network; he had built a strong regional sports cable network. He had his news channel and was finally an American citizen because non American citizens could not own TV networks. Murdoch, the Australian, should not have owned FOX but American President Bill Clinton's Federal Communication Commission in 1995 allowed Murdoch to run FOX because it was "in the best interest of the public."
NFL owners never knew what they had in the 1950s. Today billions flow into the owners pockets. The fight between the owners and players is all about money. It is “Money Now” for the players and the owners.
Evan Weiner, the winner of the United States Sports Academy's 2010 Ronald Reagan Media Award, is an author, radio-TV commentator and speaker on "The Politics of Sports Business." His book, "The Business and Politics of Sports, Second Edition is available at www.bickley.com, Barnes and Noble or amazonkindle. He can be reached at evanjweiner@yahoo.com
Showing posts with label ABC. Show all posts
Showing posts with label ABC. Show all posts
Monday, March 7, 2011
Tuesday, November 30, 2010
Journalist Sarah Palin should ask why TV money will fund an NFL lockout
TUESDAY, 30 NOVEMBER 2010 11:52
http://www.newjerseynewsroom.com/professional/journalist-sarah-palin-should-ask-why-tv-money-will-fund-an-nfl-lockout
BY EVAN WEINER
NEWJERSEYNEWSROOM.COM
THE BUSINESS AND POLITICS OF SPORTS
So Sarah Palin wants "to help clean up the state that is so sorry today of journalism." Palin also has "a communications degree. I studied journalism, who, what, where, when, and why of reporting." Let's take Sarah Palin, who has a communications degree from one of the five colleges she attended in six years, at her word that she really wants to help clean up journalism. Let's give the former Alaska TV sportscaster an assignment and see how she does.
Palin is employed by Rupert Murdoch's FOX News Channel so it should be rather easy for her, as a onetime Vice Presidential candidate in the United States, to score an interview with the naturalized American citizen Murdoch. Palin, the former sportscaster, should begin the interview with her boss with a simple question. "Mr. Murdoch, why are you helping to underwrite the National Football League lockout which is slated to begin in March 2011?"
Palin's second question of the Australian-born media mogul should get right to the core of Murdoch's FOX News Channel and New York Post audience. "How does your guarantee of paying hundreds of millions of dollars in rights fees to the National Football League in 2011 help your audience, "real" Americans, even in the event that the 31 owners and Green Bay's management lockout the players and no games are played?
Palin should then just go with the flow and ask a few more questions "is providing financial support for a labor action by a custodian of the public airwaves — Murdoch owns a number of television stations across the United States. He had to become an American citizen to do that after being an illegal alien owning the New York Post before he was naturalized — a proper use of a television station license?" And, "is it in the public interest to use monies generated by News Corp-owned stations (including WNYW and WWOR in New York and WTFX in Philadelphia and 24 other stations), to support the NFL ownership group?"
To expand her report and show off her journalism skills Palin should invite Jeffrey Immelt, the General Electric Chairman of the Board and Chief Operating Officer (and at present owner of NBC), Robert Iger, the President and Chief Executive Officer of the Walt Disney Company (and ESPN owner), Sumner Redstone, the Chairman of CBS and Michael White, the President and CEO of DirecTV to appear on her report on the potential NFL lockout.
Iger should jump at the opportunity to chat with Palin after Sarah's oldest daughter Bristol brought new viewers and tons of phone calls over the past few months to the ABC show, "Dancing With the Stars," along with more advertising dollars.
Palin could pose the same questions to Iger and Redstone that she did to Murdoch and ask whether it is ethical that Iger's ESPN and White's DirecTV is taking subscribers money to provide a cushion for NFL owners. After all, Congress in 1984 kept ESPN alive (along with other cable TV networks) by allowing multiple system (cable TV) operators to bundle financially struggling networks like ESPN, CNN and The Weather Channel and to place them on a basic expanded tier, which is a direct restraint of trade in a free market society. The result was cable consumers now pay for networks whether they watch them or not. All basic subscribers pay for channels that only a fraction watches; and it is all legal because of the Cable TV Act of 1984 which was signed into law by the champion of free market — President Ronald Reagan. The whole issue of why media companies and by extension their news divisions (with the exception of DirecTV, which does not have a news division) are supporting NFL owners needs to be explained to the very "real" Americans that Palin says she stands with.
Murdoch, Iger, Immelt, Redstone and White agreed to individual contracts with the NFL and paid a lot of money for the right. They also told the NFL that they would cover (financial not in depth news) the owners in the event of a lockout and at some point down the road would get a rebate if the owners' lockout in 2011 forced the cancellation of games. But the NFL never lowers rights fees. When the contracts are renegotiated down the road, the NFL will still have big leverage over the TV networks — NFL games are among the top rated TV shows in the United States and attract the 18-34, 18-49, 18-54 male demographic that advertisers want. The NFL TV guys, Dallas's Jerry Jones, Denver's Pat Bowen, can ask for the moon; but that doesn't mean Murdoch, Igor, Immelt, Redstone and White's predecessor at DirecTV needed to give the NFL whatever they wanted. The 2011 season rights fees will go into the owners' war chest in the battle with the players; and because of that the owners will have an enormous edge over the players in the bargaining talks, as they can hold out while players' careers are brief and any games lost to the lockout will impact the players' pockets far more than the owners'.
The owners want to reduce the players' take of revenues from 59 to 48 percent and chop salaries by 18 percent. The TV people are in the owners' corner in the labor action which brings up a point. Are the TV networks shilling for the rich and elite, or do they care about "real" Americans? What does that say about their ability to real provide "fair and balanced" news?
In all seriousness, could ABC, CBS and NBC news divisions really report on the NFL owners' lockout in full detail, knowing the corporate bosses are providing much needed leverage for the owners? Could the FOX News Channel and ESPN lay out the story? The answer is no. No one on the FOX News Channel, MSNBC or ESPN is going to criticize Murdoch, Immelt or Iger. Katie Couric and her CBS news division is not going to go after Redstone. But Palin did run for Vice President and as a journalist she should have the gravitas to actually get Murdoch, Iger, Immelt, Redstone and White on record to explain their decisions.
Murdoch's FOX syndication arm (FOX is not a true TV network) owes the NFL an awful lot. Murdoch got the rights to NFC Games in 1993 with a four-year, $1.58 billion offer beating out CBS. Murdoch's FOX had The "Simpsons" and a few other programs like "Married With Children" and "Beverly Hills 90210" that garnered some interest on many weak stations. With the NFL, a powerful TV franchise in his back pocket, Murdoch also took away two strong CBS affiliates in Detroit and Milwaukee in early 1994 and all of that resulted in the loss of audience share for CBS' Sunday night news magazine, "60 Minutes." FOX also got a promotional platform for prime time shows during NFL games and ended up with a Super Bowl. The NFL built FOX and allowed Murdoch to move ahead with the FOX News Channel. CBS returned to the NFL in 1998, taking away NBC's AFC package with an eight-year deal. NBC returned in 2006 with a Sunday night package, Disney's ABC Sports was folded into ESPN's camp and in 2006, Monday Night Football shifted from over-the-air ABC to the cable ESPN.
Palin, the journalist, could conclude her in depth report by getting into the political arena by interviewing Congressional Republicans and asking if they plan to review the whole question of why and how Murdoch, Iger, Immelt, Redstone and White are using public airwaves or cable/satellite TV subscriber fees. The House Committee on Oversight and Government Reform seems like a good place to start hearings on television's role in an NFL lockout.
The players association is asking elected officials in NFL cities to get involved with the negotiations, claiming there is a huge potential for major economic losses with NFL football in 2011. The NFL Players Association Executive Director should be playing the public financing of stadiums card just to educate the public about the real costs of football and sports in the United States and to reveal how "real" Americans are paying a variety of taxes to support sports facilities around the country. Palin, who apparently favors small government and less government spending, should ask about the billions upon billions of public tax dollars that are spent for facilities, including the one she approved in Wasilla, Alaska when she was mayor of that city for a junior hockey franchise that ended up in her town.
Palin is right about the quality of journalism today. Glenn Beck passes for a journalist, as do all of the yellers and screamers on cable TV news and AM talk radio. None of them really goes into any depth or perhaps even has the ability to be a savant even though CNN's Anderson Cooper is trying to "keep them honest."
The entire politics of the potential NFL lockout includes a conversation on workers' rights, medical/health benefits, retirement payments, government's role in infrastructure (stadiums), the National Labor Relations Board, Congress, the Oval Office and the media. Sarah Palin, of all people, could use her FOX credentials to work the story and get the info out to "real" Americans. Somehow though, it seems very unlikely that Palin would find the time and do the proper interviews with the proper people. "Real" Americans may not have an entire NFL season starting in March which includes the April Draft, mini-camps, free agency and then finally training camp. Someone should explain why this is happening and how Murdoch, Iger, Immelt, Redstone and White have fingerprints all over the potential loss of the NFL during next season by underwriting an owners' lockout.
Evan Weiner, the winner of the United States Sports Academy's 2010 Ronald Reagan Media Award, is an author, radio-TV commentator and speaker on "The Politics of Sports Business." His book, "The Business and Politics of Sports, Second Edition is available at www.bickley.com or amazonkindle. He can be reached at evanjweiner@yahoo.com
TUESDAY, 30 NOVEMBER 2010 11:52
http://www.newjerseynewsroom.com/professional/journalist-sarah-palin-should-ask-why-tv-money-will-fund-an-nfl-lockout
BY EVAN WEINER
NEWJERSEYNEWSROOM.COM
THE BUSINESS AND POLITICS OF SPORTS
So Sarah Palin wants "to help clean up the state that is so sorry today of journalism." Palin also has "a communications degree. I studied journalism, who, what, where, when, and why of reporting." Let's take Sarah Palin, who has a communications degree from one of the five colleges she attended in six years, at her word that she really wants to help clean up journalism. Let's give the former Alaska TV sportscaster an assignment and see how she does.
Palin is employed by Rupert Murdoch's FOX News Channel so it should be rather easy for her, as a onetime Vice Presidential candidate in the United States, to score an interview with the naturalized American citizen Murdoch. Palin, the former sportscaster, should begin the interview with her boss with a simple question. "Mr. Murdoch, why are you helping to underwrite the National Football League lockout which is slated to begin in March 2011?"
Palin's second question of the Australian-born media mogul should get right to the core of Murdoch's FOX News Channel and New York Post audience. "How does your guarantee of paying hundreds of millions of dollars in rights fees to the National Football League in 2011 help your audience, "real" Americans, even in the event that the 31 owners and Green Bay's management lockout the players and no games are played?
Palin should then just go with the flow and ask a few more questions "is providing financial support for a labor action by a custodian of the public airwaves — Murdoch owns a number of television stations across the United States. He had to become an American citizen to do that after being an illegal alien owning the New York Post before he was naturalized — a proper use of a television station license?" And, "is it in the public interest to use monies generated by News Corp-owned stations (including WNYW and WWOR in New York and WTFX in Philadelphia and 24 other stations), to support the NFL ownership group?"
To expand her report and show off her journalism skills Palin should invite Jeffrey Immelt, the General Electric Chairman of the Board and Chief Operating Officer (and at present owner of NBC), Robert Iger, the President and Chief Executive Officer of the Walt Disney Company (and ESPN owner), Sumner Redstone, the Chairman of CBS and Michael White, the President and CEO of DirecTV to appear on her report on the potential NFL lockout.
Iger should jump at the opportunity to chat with Palin after Sarah's oldest daughter Bristol brought new viewers and tons of phone calls over the past few months to the ABC show, "Dancing With the Stars," along with more advertising dollars.
Palin could pose the same questions to Iger and Redstone that she did to Murdoch and ask whether it is ethical that Iger's ESPN and White's DirecTV is taking subscribers money to provide a cushion for NFL owners. After all, Congress in 1984 kept ESPN alive (along with other cable TV networks) by allowing multiple system (cable TV) operators to bundle financially struggling networks like ESPN, CNN and The Weather Channel and to place them on a basic expanded tier, which is a direct restraint of trade in a free market society. The result was cable consumers now pay for networks whether they watch them or not. All basic subscribers pay for channels that only a fraction watches; and it is all legal because of the Cable TV Act of 1984 which was signed into law by the champion of free market — President Ronald Reagan. The whole issue of why media companies and by extension their news divisions (with the exception of DirecTV, which does not have a news division) are supporting NFL owners needs to be explained to the very "real" Americans that Palin says she stands with.
Murdoch, Iger, Immelt, Redstone and White agreed to individual contracts with the NFL and paid a lot of money for the right. They also told the NFL that they would cover (financial not in depth news) the owners in the event of a lockout and at some point down the road would get a rebate if the owners' lockout in 2011 forced the cancellation of games. But the NFL never lowers rights fees. When the contracts are renegotiated down the road, the NFL will still have big leverage over the TV networks — NFL games are among the top rated TV shows in the United States and attract the 18-34, 18-49, 18-54 male demographic that advertisers want. The NFL TV guys, Dallas's Jerry Jones, Denver's Pat Bowen, can ask for the moon; but that doesn't mean Murdoch, Igor, Immelt, Redstone and White's predecessor at DirecTV needed to give the NFL whatever they wanted. The 2011 season rights fees will go into the owners' war chest in the battle with the players; and because of that the owners will have an enormous edge over the players in the bargaining talks, as they can hold out while players' careers are brief and any games lost to the lockout will impact the players' pockets far more than the owners'.
The owners want to reduce the players' take of revenues from 59 to 48 percent and chop salaries by 18 percent. The TV people are in the owners' corner in the labor action which brings up a point. Are the TV networks shilling for the rich and elite, or do they care about "real" Americans? What does that say about their ability to real provide "fair and balanced" news?
In all seriousness, could ABC, CBS and NBC news divisions really report on the NFL owners' lockout in full detail, knowing the corporate bosses are providing much needed leverage for the owners? Could the FOX News Channel and ESPN lay out the story? The answer is no. No one on the FOX News Channel, MSNBC or ESPN is going to criticize Murdoch, Immelt or Iger. Katie Couric and her CBS news division is not going to go after Redstone. But Palin did run for Vice President and as a journalist she should have the gravitas to actually get Murdoch, Iger, Immelt, Redstone and White on record to explain their decisions.
Murdoch's FOX syndication arm (FOX is not a true TV network) owes the NFL an awful lot. Murdoch got the rights to NFC Games in 1993 with a four-year, $1.58 billion offer beating out CBS. Murdoch's FOX had The "Simpsons" and a few other programs like "Married With Children" and "Beverly Hills 90210" that garnered some interest on many weak stations. With the NFL, a powerful TV franchise in his back pocket, Murdoch also took away two strong CBS affiliates in Detroit and Milwaukee in early 1994 and all of that resulted in the loss of audience share for CBS' Sunday night news magazine, "60 Minutes." FOX also got a promotional platform for prime time shows during NFL games and ended up with a Super Bowl. The NFL built FOX and allowed Murdoch to move ahead with the FOX News Channel. CBS returned to the NFL in 1998, taking away NBC's AFC package with an eight-year deal. NBC returned in 2006 with a Sunday night package, Disney's ABC Sports was folded into ESPN's camp and in 2006, Monday Night Football shifted from over-the-air ABC to the cable ESPN.
Palin, the journalist, could conclude her in depth report by getting into the political arena by interviewing Congressional Republicans and asking if they plan to review the whole question of why and how Murdoch, Iger, Immelt, Redstone and White are using public airwaves or cable/satellite TV subscriber fees. The House Committee on Oversight and Government Reform seems like a good place to start hearings on television's role in an NFL lockout.
The players association is asking elected officials in NFL cities to get involved with the negotiations, claiming there is a huge potential for major economic losses with NFL football in 2011. The NFL Players Association Executive Director should be playing the public financing of stadiums card just to educate the public about the real costs of football and sports in the United States and to reveal how "real" Americans are paying a variety of taxes to support sports facilities around the country. Palin, who apparently favors small government and less government spending, should ask about the billions upon billions of public tax dollars that are spent for facilities, including the one she approved in Wasilla, Alaska when she was mayor of that city for a junior hockey franchise that ended up in her town.
Palin is right about the quality of journalism today. Glenn Beck passes for a journalist, as do all of the yellers and screamers on cable TV news and AM talk radio. None of them really goes into any depth or perhaps even has the ability to be a savant even though CNN's Anderson Cooper is trying to "keep them honest."
The entire politics of the potential NFL lockout includes a conversation on workers' rights, medical/health benefits, retirement payments, government's role in infrastructure (stadiums), the National Labor Relations Board, Congress, the Oval Office and the media. Sarah Palin, of all people, could use her FOX credentials to work the story and get the info out to "real" Americans. Somehow though, it seems very unlikely that Palin would find the time and do the proper interviews with the proper people. "Real" Americans may not have an entire NFL season starting in March which includes the April Draft, mini-camps, free agency and then finally training camp. Someone should explain why this is happening and how Murdoch, Iger, Immelt, Redstone and White have fingerprints all over the potential loss of the NFL during next season by underwriting an owners' lockout.
Evan Weiner, the winner of the United States Sports Academy's 2010 Ronald Reagan Media Award, is an author, radio-TV commentator and speaker on "The Politics of Sports Business." His book, "The Business and Politics of Sports, Second Edition is available at www.bickley.com or amazonkindle. He can be reached at evanjweiner@yahoo.com
Friday, November 13, 2009
Eighteen Regular Season NFL Games? Not So Fast
http://www.mcnsports.com/en/node/7570
Eighteen Regular Season NFL Games? Not So Fast
By Evan Weiner
November 13, 2009
12:00 PM EST
(New York, N. Y.) – John Bogusz is not a name normally associated with the power structure of the National Football League, but John Bogusz is a major player in the NFL. You see John Bogusz is the head of sports sales for one of the NFL’s major financial partners, CBS, and at a Sports Business Journal sports business conference in New York, Bogusz didn’t seem particularly happy with the trial balloon that his partner, the NFL, floated a couple of years ago that the league might add two regular season games.
It is not known how Rupert Murdoch and his henchmen at FOX, another league partner, feels and neither Robert Iger at Disney, the parent company of ESPN nor Jeffrey Immelt have weighed in on the issue. DirecTV’s John Malone has also been silent. The NFL isn’t a real money maker for networks although it can be safely argued that Murdoch’s FOX syndication (technically FOX is not a network) was put on the map by the NFL in 1993 when Murdoch outbid CBS for the National Football Conference national over-the-air TV rights in the United States.
Murdoch may have overspent for the NFL in 1993 from a dollars and cents standpoint on what really is a TV entertainment series, he benefited greatly turning FOX from a ragtag network (syndication arm) with a few shows like The Simpsons and Married With Children into a legitimate entity and along the way he picked up more powerful stations in Detroit and Milwaukee which dumped CBS for FOX and Detroit Lions and Green Bay Packers games.
TV networks use the NFL as a platform to promote other programming, CBS lost that platform in 1993 and the network fortunes plummeted. That is why a guy like John Bogusz should be taken seriously because TV is the NFL’s most important partner.
The NFL was a ragtag, pretty close to semi-pro league, in the 1930s, 1940s and 1950s. The league didn’t stabilize until 1953 when the Baltimore-New York-Dallas franchise returned to Baltimore and even then there were questions about the future of a number of franchises including Green Bay (where fund raisers were held to keep the team going and to build a new stadium) and in Chicago, where the Cardinals could not compete with the Bears forcing the Bidwill family to look at alternative cities like Minneapolis and Buffalo before settling on St. Louis in 1960.
Television made the NFL. In 1950, baseball, boxing and horse racing were the most popular sports in the United States. By 1965, football became the favorite sport among American fans and it had all to do with television.
To that end, the Pro Football Hall of Fame is now reviewing names to put before a committee that selects Hall of Famers. There are numerous people who should be in the Canton, Ohio shrine who built football. People like William Paley, David Sarnoff, Rupert Murdoch, Bill MacPhail, Carl Lindemann, Roone Arledge and Leonard Goldstein. Paley founded CBS and it was Paley’s money that helped solidify the league in the early 1960s and propel the league from a mom and pop store operation to the multi-billion entity it is today.
Leonard Goldstein is not recognized as a football pioneer but he is. Goldstein’s small American Broadcasting Network cut a deal with the upstart American Football League in June 1960. It was a five-year agreement that was worth about $2,125,000, which was an enormous sum for an unproven sports entity in 1960. The eight AFL owners evenly divided the ABC cash and that deal would cause a world of concern in the National Football League which had 13 teams with 13 different TV contracts of various worth with the New York Giants, Chicago Bears and Los Angeles Rams having the most valuable and Green Bay sitting at the bottom. (In 1960, CBS gave the Bidwill family $500,000 after they moved their Cardinals to St. Louis and freed Chicago from having Bears games blackout because the Cardinals were home as under the NFL blackout rules, no home game could be televised in Chicago when either team was home, CBS put together the Bears network. Some of the Bidwill’s “home” games were played in Minneapolis and Buffalo to get around the blackout in the 1950s. The $500,000 was to go to move portable stands from Comiskey Park in Chicago to St. Louis.)
Goldstein put the AFL on the map and that contract had a major implications. The AFL deal more than likely violated American antitrust laws as the league bundled the assets and sold it as one entity. In 1961, Rozelle and the NFL studied the AFL deal and decided that grouping the NFL’s then-14 teams into one package would be far better than having 14 separating networks. On September 30, 1961, Rozelle got the cover he needed to duplicate the AFL deal from President John F. Kennedy who signed into law the Sports Broadcast Act of 1961, which allowed Rozelle and the very established NFL to borrow a page from Lamar Hunt’s new AFL and sell the TV package to either CBS or NBC.
Paley (and McPhail) outbid Sarnoff (and Lindemann) for the 1962 and 1963 for $4.65 million. In 1964, Paley got the better of Sarnoff again and won the NFL rights for $28.2 million for the 1964 and 1965 season. The NFL was flush in money while Goldstein’s old deal dragged down the AFL.
But Sarnoff was not going to be beaten. NBC and Sonny Werblin had a long time relationship and now Werblin was getting a TV deal together for the AFL. Werblin owned the New York Jets. Sarnoff gave his old business partner Werblin a five-year, $36 million deal. Sarnoff’s endowment made the AFL, gave Werblin the kind of money he needed to sign the University of Alabama quarterback Joe Namath to the biggest contract ever given to a player by a football team and set off a series of events including the escalation of players salaries in bidding wars between the two leagues flushed with TV money that ended with the June 8, 1966 merger between the National Football League and the American Football League.
Football ceased being a game between June 1960 and January 1964. Football was a TV show that filled hours on Sunday morning and afternoon in the fall and winter, depending on the time zone. Advertising flocked to games because they could reach young men and middle-aged men, their target audience because they were watching football.
The NFL was CBS and Ford; the AFL was NBC and Chrysler. Even after the merger there were fierce rivalries between the teams, the networks and the sponsors although that died out as the NFL and AFL amalgamation took place over a four-year period.
But the American Football League-National Football League World Championship Game first played in 1967 did not catch on until 1969.
Namath, more than anybody, is responsible for the Super Bowl becoming a quasi holiday and now a National Special Security Event under the aegis of the US Department of Homeland Security. Namath and Muhammad Ali were at the vanguard of the evolving athlete, going from the aw shucks you know I have nothing to say mode like Joe DiMaggio to the brash, I will show you model. Namath had the white shoes, the mink coat, the fu Manchu moustache, what passed for long hair, a perceived perception so to speak built by sportswriters who were divided into NFL and AFL camps instead of sticking to journalism.
Namath was one of those hippies that ruined sports while the crew cut Johnny Unitas of the Baltimore Colts was old reliable.
Perceived perceptions are often wrong.
Sportswriters in NFL cities dismissed the AFL out of hand. Fortunately for football owners, players, coaches, general managers and fans, sportswriters didn’t run TV networks. Paley, Sarnoff and Goldstein did and they were much smarter than the average football writer like Sports Illustrated Tex Maule who was probably the worst offender of the journalistic role of being an impartial observer.
Namath was not the best player on the field in Super Bowl III when the Jets beat the Baltimore Colts but he guaranteed a Jets victory and the Jets did win and that victory would ultimately lead to ABC and Roone Arledge and the NFL agreeing to a pact, which created Monday Night Football in 1970. ABC’s Monday Night Football was not just a game presentation; it had to include an entertainment element to attract non-football fans.
It did.
Television has called many of the shots in football since Goldstein signed that initial contract with Lamar Hunt in 1960. Oddly enough football’s TV success came out of a failed concept, the Continental League, the Branch Rickey-led baseball business that started in 1958 with the hope of establishing a third major league by 1961. One of the Rickey business tenets was that all Continental League owners would share TV revenue equally. One of the owners of the proposed Denver Continental League team was Bob Howsam who also was part of the proposed Denver Broncos franchise of the AFL in 1959. Rickey’s concept ended up as part of the AFL and by 1961 was embraced by Rozelle and the NFL as “leaguethink” a concept that put the good of the league ahead of the individual team owner.
People like Goldstein, Sarnoff, Paley, McPhail, Arledge, Lindemann and yes-even Murdoch (all of whom should be put in the Canton Hall in that media category as they are far more important than any sportswriter) are responsible for the football industry so when a CBS sales guy talks, it is worth more than a casual listen. TV made the NFL and is a huge financial partner and TV may call the shots on the number of regular season games, after all it is THEIR dollars being spent.
eweiner@mcn.tv
Eighteen Regular Season NFL Games? Not So Fast
By Evan Weiner
November 13, 2009
12:00 PM EST
(New York, N. Y.) – John Bogusz is not a name normally associated with the power structure of the National Football League, but John Bogusz is a major player in the NFL. You see John Bogusz is the head of sports sales for one of the NFL’s major financial partners, CBS, and at a Sports Business Journal sports business conference in New York, Bogusz didn’t seem particularly happy with the trial balloon that his partner, the NFL, floated a couple of years ago that the league might add two regular season games.
It is not known how Rupert Murdoch and his henchmen at FOX, another league partner, feels and neither Robert Iger at Disney, the parent company of ESPN nor Jeffrey Immelt have weighed in on the issue. DirecTV’s John Malone has also been silent. The NFL isn’t a real money maker for networks although it can be safely argued that Murdoch’s FOX syndication (technically FOX is not a network) was put on the map by the NFL in 1993 when Murdoch outbid CBS for the National Football Conference national over-the-air TV rights in the United States.
Murdoch may have overspent for the NFL in 1993 from a dollars and cents standpoint on what really is a TV entertainment series, he benefited greatly turning FOX from a ragtag network (syndication arm) with a few shows like The Simpsons and Married With Children into a legitimate entity and along the way he picked up more powerful stations in Detroit and Milwaukee which dumped CBS for FOX and Detroit Lions and Green Bay Packers games.
TV networks use the NFL as a platform to promote other programming, CBS lost that platform in 1993 and the network fortunes plummeted. That is why a guy like John Bogusz should be taken seriously because TV is the NFL’s most important partner.
The NFL was a ragtag, pretty close to semi-pro league, in the 1930s, 1940s and 1950s. The league didn’t stabilize until 1953 when the Baltimore-New York-Dallas franchise returned to Baltimore and even then there were questions about the future of a number of franchises including Green Bay (where fund raisers were held to keep the team going and to build a new stadium) and in Chicago, where the Cardinals could not compete with the Bears forcing the Bidwill family to look at alternative cities like Minneapolis and Buffalo before settling on St. Louis in 1960.
Television made the NFL. In 1950, baseball, boxing and horse racing were the most popular sports in the United States. By 1965, football became the favorite sport among American fans and it had all to do with television.
To that end, the Pro Football Hall of Fame is now reviewing names to put before a committee that selects Hall of Famers. There are numerous people who should be in the Canton, Ohio shrine who built football. People like William Paley, David Sarnoff, Rupert Murdoch, Bill MacPhail, Carl Lindemann, Roone Arledge and Leonard Goldstein. Paley founded CBS and it was Paley’s money that helped solidify the league in the early 1960s and propel the league from a mom and pop store operation to the multi-billion entity it is today.
Leonard Goldstein is not recognized as a football pioneer but he is. Goldstein’s small American Broadcasting Network cut a deal with the upstart American Football League in June 1960. It was a five-year agreement that was worth about $2,125,000, which was an enormous sum for an unproven sports entity in 1960. The eight AFL owners evenly divided the ABC cash and that deal would cause a world of concern in the National Football League which had 13 teams with 13 different TV contracts of various worth with the New York Giants, Chicago Bears and Los Angeles Rams having the most valuable and Green Bay sitting at the bottom. (In 1960, CBS gave the Bidwill family $500,000 after they moved their Cardinals to St. Louis and freed Chicago from having Bears games blackout because the Cardinals were home as under the NFL blackout rules, no home game could be televised in Chicago when either team was home, CBS put together the Bears network. Some of the Bidwill’s “home” games were played in Minneapolis and Buffalo to get around the blackout in the 1950s. The $500,000 was to go to move portable stands from Comiskey Park in Chicago to St. Louis.)
Goldstein put the AFL on the map and that contract had a major implications. The AFL deal more than likely violated American antitrust laws as the league bundled the assets and sold it as one entity. In 1961, Rozelle and the NFL studied the AFL deal and decided that grouping the NFL’s then-14 teams into one package would be far better than having 14 separating networks. On September 30, 1961, Rozelle got the cover he needed to duplicate the AFL deal from President John F. Kennedy who signed into law the Sports Broadcast Act of 1961, which allowed Rozelle and the very established NFL to borrow a page from Lamar Hunt’s new AFL and sell the TV package to either CBS or NBC.
Paley (and McPhail) outbid Sarnoff (and Lindemann) for the 1962 and 1963 for $4.65 million. In 1964, Paley got the better of Sarnoff again and won the NFL rights for $28.2 million for the 1964 and 1965 season. The NFL was flush in money while Goldstein’s old deal dragged down the AFL.
But Sarnoff was not going to be beaten. NBC and Sonny Werblin had a long time relationship and now Werblin was getting a TV deal together for the AFL. Werblin owned the New York Jets. Sarnoff gave his old business partner Werblin a five-year, $36 million deal. Sarnoff’s endowment made the AFL, gave Werblin the kind of money he needed to sign the University of Alabama quarterback Joe Namath to the biggest contract ever given to a player by a football team and set off a series of events including the escalation of players salaries in bidding wars between the two leagues flushed with TV money that ended with the June 8, 1966 merger between the National Football League and the American Football League.
Football ceased being a game between June 1960 and January 1964. Football was a TV show that filled hours on Sunday morning and afternoon in the fall and winter, depending on the time zone. Advertising flocked to games because they could reach young men and middle-aged men, their target audience because they were watching football.
The NFL was CBS and Ford; the AFL was NBC and Chrysler. Even after the merger there were fierce rivalries between the teams, the networks and the sponsors although that died out as the NFL and AFL amalgamation took place over a four-year period.
But the American Football League-National Football League World Championship Game first played in 1967 did not catch on until 1969.
Namath, more than anybody, is responsible for the Super Bowl becoming a quasi holiday and now a National Special Security Event under the aegis of the US Department of Homeland Security. Namath and Muhammad Ali were at the vanguard of the evolving athlete, going from the aw shucks you know I have nothing to say mode like Joe DiMaggio to the brash, I will show you model. Namath had the white shoes, the mink coat, the fu Manchu moustache, what passed for long hair, a perceived perception so to speak built by sportswriters who were divided into NFL and AFL camps instead of sticking to journalism.
Namath was one of those hippies that ruined sports while the crew cut Johnny Unitas of the Baltimore Colts was old reliable.
Perceived perceptions are often wrong.
Sportswriters in NFL cities dismissed the AFL out of hand. Fortunately for football owners, players, coaches, general managers and fans, sportswriters didn’t run TV networks. Paley, Sarnoff and Goldstein did and they were much smarter than the average football writer like Sports Illustrated Tex Maule who was probably the worst offender of the journalistic role of being an impartial observer.
Namath was not the best player on the field in Super Bowl III when the Jets beat the Baltimore Colts but he guaranteed a Jets victory and the Jets did win and that victory would ultimately lead to ABC and Roone Arledge and the NFL agreeing to a pact, which created Monday Night Football in 1970. ABC’s Monday Night Football was not just a game presentation; it had to include an entertainment element to attract non-football fans.
It did.
Television has called many of the shots in football since Goldstein signed that initial contract with Lamar Hunt in 1960. Oddly enough football’s TV success came out of a failed concept, the Continental League, the Branch Rickey-led baseball business that started in 1958 with the hope of establishing a third major league by 1961. One of the Rickey business tenets was that all Continental League owners would share TV revenue equally. One of the owners of the proposed Denver Continental League team was Bob Howsam who also was part of the proposed Denver Broncos franchise of the AFL in 1959. Rickey’s concept ended up as part of the AFL and by 1961 was embraced by Rozelle and the NFL as “leaguethink” a concept that put the good of the league ahead of the individual team owner.
People like Goldstein, Sarnoff, Paley, McPhail, Arledge, Lindemann and yes-even Murdoch (all of whom should be put in the Canton Hall in that media category as they are far more important than any sportswriter) are responsible for the football industry so when a CBS sales guy talks, it is worth more than a casual listen. TV made the NFL and is a huge financial partner and TV may call the shots on the number of regular season games, after all it is THEIR dollars being spent.
eweiner@mcn.tv
Tuesday, September 29, 2009
Wednesday is Emanuel Cellar Day
http://www.mcnsports.com/en/node/7545
Wednesday is Emanuel Cellar Day
By Evan Weiner
September 29, 2009
10:00 AM EDT
(New York, N. Y.) -- September 30th is Emanuel Cellar Day around the NFL and NFL owners and players should be celebrating the life of one of the 20 most important people in NFL history. Wait a second, when did Emanuel Cellar play football? Did Emanuel Cellar coach a team? Did Cellar own a franchise? Was he a Commissioner?
The answer to all of those questions is no. Emanuel Cellar never put on a uniform, never patrolled a sideline or ran the NFL yet without Emanuel Cellar, the NFL of today might be a totally different entity. It is conceivable that there would be no Super Bowl without the Brooklyn native, Congressman Cellar.
New York Congressman Emanuel Cellar first entered the House of Representatives in 1923. In 1923, the NFL was a floating craps game with teams scattered throughout the American northeast and Midwest that would come and go. It is unclear if the young Congressman liked football in his early days in office. But the Brooklyn representative's impact on professional football would come nearly four decades later in 1961, when Congressman Cellar authored legislation that would give the NFL tremendous clout with growing television networks: the Sports Broadcast Act of 1961. That summer, both the House and Senate passed Cellar’s legislation, and the Act was signed into law by President John F. Kennedy on September 30, 1961. The Cellar Bill allowed the NFL to market its broadcast rights as a league package, evenly spreading the broadcasting revenues among the franchises and guaranteeing each team substantial annual revenues.
In 1961, the National Football League was still mired in a mom and pop store mentality not long removed from the days of when Chicago Bears owner and Coach George Halas would travel to Wisconsin and lend a hand at Green Bay Packers fund raisers. The NFL was growing in the 1950s because of television exposure but the league owners were extremely cautious in their business decisions and with good reason. The business of the National Football League was strictly a six month a year affair and there was not much financial growth or stability until the mid 1950s.
That all changed in 1959 when Lamar Hunt and Bud Adams were unable to buy the Chicago Cardinals, Hunt wanted to move the franchise to Dallas and Adams wanted to place it in Houston, nor were they able to convince Halas and Pittsburgh owner Art Rooney that the 12-team NFL should expand. So Hunt started his own circuit, the American Football League, got Adams to join up and found six other owners. Hunt's new league, the AFL would start operations in 1960.
In early 1960, Hunt's league or AFL IV (three previous AFLs folded in the 1920s and 1930s) signed a television contract with the rather weak American Broadcasting Company for $2 million per year for the first five years, with each AFL franchise receiving $250,000 per team per year, which was approximately 15% less than received per team in the NFL.
The deal, which was brokered by among others Jay Michaels, the father of Al Michaels who was the announcer of Monday Night Football and now Sunday Night Football, was somewhat astounding as the AFL had no track record but neither did ABC which wasn't even seen in a number of American cities in those days. But ABC needed something and the AFL would be a perfect partner.
Part of the success of the league in attaining coverage was due to New York Titans owner Harry Wismer, who was also a noted sportscaster of the time. Wismer got AFL IV game coverage on the Associated Press and United Press International wires and helped the league land a contract with ABC. History has been unkind to Wismer as the New York Titans franchise skirted with bankruptcy but without Wismer, there might not have been a big TV deal. The AFL pooled its eight teams and sold ABC the league's team as one entity which was against United States antitrust laws. But the AFL was a new business that flew under the radar, at least in legal circles.
The NFL owners and new NFL Commissioner Pete Rozelle took note of the AFL-ABC TV deal and wanted the same thing. In 1960, NFL teams were on TV but each of the 13 teams put together a local TV network and the large city teams, New York, Chicago and Los Angeles received far more TV money than Green Bay, Baltimore and Pittsburgh. The inequity of TV revenues could have become a big problem but Rozelle went to work convincing his owners that selling the league as one TV package to either the two big networks at the time, the Columbia Broadcasting System (CBS) or the National Broadcasting Company (NBC) was the way to go.
In 1961, the 14 NFL owners decided to sell their TV rights as one and give a TV network the right to show all 98 games on the schedule just like Hunt's league was doing (not every one of the AFL's games was shown on ABC in 1960) Rozelle cut a two-year, $9.1 million deal with CBS but the NFL decided to make sure their deal was legal and submitted the deal before Federal Judge Alan K. Grim in Philadelphia.
Justice Grim was very familiar with NFL TV deals. In 1953, Judge Grim handed down a ruling that gave the NFL the right to blackout team's home games which meant that a local fan either had to buy a ticket to a home game to watch the team or travel about 75 miles and watch the game in an out of town bar or hotel and cheer on the home team from there. In the 1960s, it was common for New York Giants fans to travel to Connecticut to watch WTIC, Channel 3 in Hartford if they wanted to see Giants games and could not get a ticket inside Yankee Stadium. In July 1961, Judge Grim decided the NFL-CBS deal violated antitrust laws because the agreement the competition between teams for TV deals. The decision flew counter to the AFL-ABC deal as well as the National Basketball Association's partnership with the National Broadcasting Company
Because the league was under a court-ordered injunction which prevented it from signing a league-wide contract with a network which meant Rozelle had to become a lobbyist and find a sympatric ear in either the House or the Senate. Rozelle found just the man he needed in Congressman Cellar, the Chairman of the House Judiciary Committee's Subcommittee on Anti-Trust and Monopoly. The long time Brooklyn Democrat in the House got a bill through the House and a similar bill introduced in the Senate by one time Vice Presidential candidate, Tennessee Democrat Estes Kefauver pushed a bill through the Senate. The whole process took about a month as Cellar began hearings on August 28. The proceedings took a day.
President John F. Kennedy signed the Sports Broadcast Act of 1961 into law on September 30. The legislation gave both the NFL and AFL cover from the Sherman Anti-Trust Act and gave the same protection to the National Basketball Association as well as the National Hockey League. The American and National Leagues of Baseball already had an antitrust exemption thanks to the Supreme Court decision of 1922 in the Baltimore Terrapins versus the National League case. Congressman Cellar and Senator Kefauver didn't overlook college football in the bill.
There was provision included which precluded the NFL from televising any game on either Friday night after 6 PM or on Saturday between the second Friday in September and ending on the second Saturday in December. This was done to protect college football which had a TV deal in place for Saturday afternoons.
After operating under local contracts for the 1960 and 1961 seasons, the NFL pooled its television rights and sold them to CBS for $4.65 million annually for the league. In 1963, NBC was awarded exclusive network broadcasting rights for the 1963 AFL Championship Game for $926,000, and later signed a five-year, $36 million television contract with the AFL IV to begin with the 1965 season.
In 1950, the most popular sports in the United States were baseball, horse racing and boxing. Within a decade, Americans had falling in love with Sunday afternoon football, with the 1958 NFL title game between the Baltimore Colts, led by a crew cut quarterback named John Unitas taking on the glamour boys from New York. The Giants were led by handsome Frank Gifford and were the darlings of Madison Avenue. The close game went into overtime and with Unitas leading the Colts downfield for a game-winning touchdown. That game changed the course of TV history for the NFL. The Giants would lose the 1959 NFL title game as well to the Colts, but that didn’t diminish TV’s appetite for Giants players. In 1960, middle linebacker Sam Huff was featured on the CBS television show 20th Century with Walter Cronkite providing the narration of “The Violent World of Sam Huff.” TV embraced football, both the National and American Football League. It was the perfect sports event for the small screen.
Public Law 87-331, better known as the Sports Broadcasting Act, is the most important piece of legislation passed by Congress and signed into In 1964, CBS submitted the winning bid of $14.1 million per year for the NFL regular-season television rights for the 1964 and 1965 seasons, and also acquired the rights to the championship games for $1.8 million per game for those same seasons. In 1965, CBS acquired the rights to the NFL regular-season games in 1966 and 1967, with an option for 1968, for $18.8 million per year (an increase of 33% over the prior deal). The NFL later moved to an arrangement in which all of the networks got some of the games, making all networks solely interested in broadcasting the games of the NFL, and not those of a rival league. By 1969, TV income had risen to $1.6 million per team in the NFL and $900,000 per team in the AFL.
The television deals signed by CBS and the NFL solidified the profitability of the NFL and the 1964 AFL-MNC deal enhanced football's popularity. “The TV contract and then the June 1966 AFL-NFL merger made it possible,” said Wellington Mara, the long time owner of the NY Giants, years later in analyzing the NFL's success. “You can't predict what would have happened, but we certainly would not have the league we have today. That was the most important decision ever made in the league.”
After the merger of the AFL and the NFL in 1966 (the television contracts did not expire until 1970), Rozelle thought a Monday Night televised game would be a ratings grabber. After CBS and NBC declined, due to the success of shows such as Laugh-In, Rozelle approached ABC. ABC, which had been struggling in prime time for years, jumped at the chance in 1969. Monday Night Football (MNF) debuted in 1970, with ABC acquiring the rights to televise 13 NFL regular-season Monday night games in 1970, 1971, and 1972. The Jets lost to Cleveland 31-21 in the first Monday Night Football contest, and Howard Cosell and Don Meredith provided commentary. Joe Namath, star Quarterback for the Jets who eventually would be on the MNF crew, could not envision what kind of franchise Monday Night Football would become. “For players back then especially, we didn't realize anything about prime time or how many people would be watching. It was another game for us. It was exciting knowing that you are on television,” said Namath. “Monday Night Football is great for the fans and the players alike. Heck, I didn't have the foresight to see how important that was.”
Congressman Emanuel Cellar has never been honored by the NFL or recognized by the Pro Football Hall of Fame in Canton, Ohio but he is as responsible for the NFL's success as much as Rozelle, Halas, Namath, Red Grange and a handful of others including two Presidents Theodore Roosevelt (who single handily saved football) and Ronald Reagan (who signed into law the 1984 Cable TV Act and the 1986 Tax Act which changed sports). Cellar's legislation propelled the NFL and by 1965, pro football eclipsed baseball as America's favorite sport.
eweiner@mcn.tv
Wednesday is Emanuel Cellar Day
By Evan Weiner
September 29, 2009
10:00 AM EDT
(New York, N. Y.) -- September 30th is Emanuel Cellar Day around the NFL and NFL owners and players should be celebrating the life of one of the 20 most important people in NFL history. Wait a second, when did Emanuel Cellar play football? Did Emanuel Cellar coach a team? Did Cellar own a franchise? Was he a Commissioner?
The answer to all of those questions is no. Emanuel Cellar never put on a uniform, never patrolled a sideline or ran the NFL yet without Emanuel Cellar, the NFL of today might be a totally different entity. It is conceivable that there would be no Super Bowl without the Brooklyn native, Congressman Cellar.
New York Congressman Emanuel Cellar first entered the House of Representatives in 1923. In 1923, the NFL was a floating craps game with teams scattered throughout the American northeast and Midwest that would come and go. It is unclear if the young Congressman liked football in his early days in office. But the Brooklyn representative's impact on professional football would come nearly four decades later in 1961, when Congressman Cellar authored legislation that would give the NFL tremendous clout with growing television networks: the Sports Broadcast Act of 1961. That summer, both the House and Senate passed Cellar’s legislation, and the Act was signed into law by President John F. Kennedy on September 30, 1961. The Cellar Bill allowed the NFL to market its broadcast rights as a league package, evenly spreading the broadcasting revenues among the franchises and guaranteeing each team substantial annual revenues.
In 1961, the National Football League was still mired in a mom and pop store mentality not long removed from the days of when Chicago Bears owner and Coach George Halas would travel to Wisconsin and lend a hand at Green Bay Packers fund raisers. The NFL was growing in the 1950s because of television exposure but the league owners were extremely cautious in their business decisions and with good reason. The business of the National Football League was strictly a six month a year affair and there was not much financial growth or stability until the mid 1950s.
That all changed in 1959 when Lamar Hunt and Bud Adams were unable to buy the Chicago Cardinals, Hunt wanted to move the franchise to Dallas and Adams wanted to place it in Houston, nor were they able to convince Halas and Pittsburgh owner Art Rooney that the 12-team NFL should expand. So Hunt started his own circuit, the American Football League, got Adams to join up and found six other owners. Hunt's new league, the AFL would start operations in 1960.
In early 1960, Hunt's league or AFL IV (three previous AFLs folded in the 1920s and 1930s) signed a television contract with the rather weak American Broadcasting Company for $2 million per year for the first five years, with each AFL franchise receiving $250,000 per team per year, which was approximately 15% less than received per team in the NFL.
The deal, which was brokered by among others Jay Michaels, the father of Al Michaels who was the announcer of Monday Night Football and now Sunday Night Football, was somewhat astounding as the AFL had no track record but neither did ABC which wasn't even seen in a number of American cities in those days. But ABC needed something and the AFL would be a perfect partner.
Part of the success of the league in attaining coverage was due to New York Titans owner Harry Wismer, who was also a noted sportscaster of the time. Wismer got AFL IV game coverage on the Associated Press and United Press International wires and helped the league land a contract with ABC. History has been unkind to Wismer as the New York Titans franchise skirted with bankruptcy but without Wismer, there might not have been a big TV deal. The AFL pooled its eight teams and sold ABC the league's team as one entity which was against United States antitrust laws. But the AFL was a new business that flew under the radar, at least in legal circles.
The NFL owners and new NFL Commissioner Pete Rozelle took note of the AFL-ABC TV deal and wanted the same thing. In 1960, NFL teams were on TV but each of the 13 teams put together a local TV network and the large city teams, New York, Chicago and Los Angeles received far more TV money than Green Bay, Baltimore and Pittsburgh. The inequity of TV revenues could have become a big problem but Rozelle went to work convincing his owners that selling the league as one TV package to either the two big networks at the time, the Columbia Broadcasting System (CBS) or the National Broadcasting Company (NBC) was the way to go.
In 1961, the 14 NFL owners decided to sell their TV rights as one and give a TV network the right to show all 98 games on the schedule just like Hunt's league was doing (not every one of the AFL's games was shown on ABC in 1960) Rozelle cut a two-year, $9.1 million deal with CBS but the NFL decided to make sure their deal was legal and submitted the deal before Federal Judge Alan K. Grim in Philadelphia.
Justice Grim was very familiar with NFL TV deals. In 1953, Judge Grim handed down a ruling that gave the NFL the right to blackout team's home games which meant that a local fan either had to buy a ticket to a home game to watch the team or travel about 75 miles and watch the game in an out of town bar or hotel and cheer on the home team from there. In the 1960s, it was common for New York Giants fans to travel to Connecticut to watch WTIC, Channel 3 in Hartford if they wanted to see Giants games and could not get a ticket inside Yankee Stadium. In July 1961, Judge Grim decided the NFL-CBS deal violated antitrust laws because the agreement the competition between teams for TV deals. The decision flew counter to the AFL-ABC deal as well as the National Basketball Association's partnership with the National Broadcasting Company
Because the league was under a court-ordered injunction which prevented it from signing a league-wide contract with a network which meant Rozelle had to become a lobbyist and find a sympatric ear in either the House or the Senate. Rozelle found just the man he needed in Congressman Cellar, the Chairman of the House Judiciary Committee's Subcommittee on Anti-Trust and Monopoly. The long time Brooklyn Democrat in the House got a bill through the House and a similar bill introduced in the Senate by one time Vice Presidential candidate, Tennessee Democrat Estes Kefauver pushed a bill through the Senate. The whole process took about a month as Cellar began hearings on August 28. The proceedings took a day.
President John F. Kennedy signed the Sports Broadcast Act of 1961 into law on September 30. The legislation gave both the NFL and AFL cover from the Sherman Anti-Trust Act and gave the same protection to the National Basketball Association as well as the National Hockey League. The American and National Leagues of Baseball already had an antitrust exemption thanks to the Supreme Court decision of 1922 in the Baltimore Terrapins versus the National League case. Congressman Cellar and Senator Kefauver didn't overlook college football in the bill.
There was provision included which precluded the NFL from televising any game on either Friday night after 6 PM or on Saturday between the second Friday in September and ending on the second Saturday in December. This was done to protect college football which had a TV deal in place for Saturday afternoons.
After operating under local contracts for the 1960 and 1961 seasons, the NFL pooled its television rights and sold them to CBS for $4.65 million annually for the league. In 1963, NBC was awarded exclusive network broadcasting rights for the 1963 AFL Championship Game for $926,000, and later signed a five-year, $36 million television contract with the AFL IV to begin with the 1965 season.
In 1950, the most popular sports in the United States were baseball, horse racing and boxing. Within a decade, Americans had falling in love with Sunday afternoon football, with the 1958 NFL title game between the Baltimore Colts, led by a crew cut quarterback named John Unitas taking on the glamour boys from New York. The Giants were led by handsome Frank Gifford and were the darlings of Madison Avenue. The close game went into overtime and with Unitas leading the Colts downfield for a game-winning touchdown. That game changed the course of TV history for the NFL. The Giants would lose the 1959 NFL title game as well to the Colts, but that didn’t diminish TV’s appetite for Giants players. In 1960, middle linebacker Sam Huff was featured on the CBS television show 20th Century with Walter Cronkite providing the narration of “The Violent World of Sam Huff.” TV embraced football, both the National and American Football League. It was the perfect sports event for the small screen.
Public Law 87-331, better known as the Sports Broadcasting Act, is the most important piece of legislation passed by Congress and signed into In 1964, CBS submitted the winning bid of $14.1 million per year for the NFL regular-season television rights for the 1964 and 1965 seasons, and also acquired the rights to the championship games for $1.8 million per game for those same seasons. In 1965, CBS acquired the rights to the NFL regular-season games in 1966 and 1967, with an option for 1968, for $18.8 million per year (an increase of 33% over the prior deal). The NFL later moved to an arrangement in which all of the networks got some of the games, making all networks solely interested in broadcasting the games of the NFL, and not those of a rival league. By 1969, TV income had risen to $1.6 million per team in the NFL and $900,000 per team in the AFL.
The television deals signed by CBS and the NFL solidified the profitability of the NFL and the 1964 AFL-MNC deal enhanced football's popularity. “The TV contract and then the June 1966 AFL-NFL merger made it possible,” said Wellington Mara, the long time owner of the NY Giants, years later in analyzing the NFL's success. “You can't predict what would have happened, but we certainly would not have the league we have today. That was the most important decision ever made in the league.”
After the merger of the AFL and the NFL in 1966 (the television contracts did not expire until 1970), Rozelle thought a Monday Night televised game would be a ratings grabber. After CBS and NBC declined, due to the success of shows such as Laugh-In, Rozelle approached ABC. ABC, which had been struggling in prime time for years, jumped at the chance in 1969. Monday Night Football (MNF) debuted in 1970, with ABC acquiring the rights to televise 13 NFL regular-season Monday night games in 1970, 1971, and 1972. The Jets lost to Cleveland 31-21 in the first Monday Night Football contest, and Howard Cosell and Don Meredith provided commentary. Joe Namath, star Quarterback for the Jets who eventually would be on the MNF crew, could not envision what kind of franchise Monday Night Football would become. “For players back then especially, we didn't realize anything about prime time or how many people would be watching. It was another game for us. It was exciting knowing that you are on television,” said Namath. “Monday Night Football is great for the fans and the players alike. Heck, I didn't have the foresight to see how important that was.”
Congressman Emanuel Cellar has never been honored by the NFL or recognized by the Pro Football Hall of Fame in Canton, Ohio but he is as responsible for the NFL's success as much as Rozelle, Halas, Namath, Red Grange and a handful of others including two Presidents Theodore Roosevelt (who single handily saved football) and Ronald Reagan (who signed into law the 1984 Cable TV Act and the 1986 Tax Act which changed sports). Cellar's legislation propelled the NFL and by 1965, pro football eclipsed baseball as America's favorite sport.
eweiner@mcn.tv
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