Columnist Tom Sorensen pulls no punches in letting Bob Johnson know that changes are needed if the Bobcats are going to survive in Charlotte. Sorensen sees the departure of Ed Tapscott, a solid basketball guy who seemed committed to Charlotte, as petty scapegoating on the part of Johnson:
The Bobcats are a testament to mismanagement and somebody has to be blamed and one of the neat things about being owner is you can assign the blame the way you would assign somebody to pick up your lunch.
Johnson came to town with a bad business model and expected Tapscott to work a miracle. Didn’t happen. Off with his head.
But Tom also veers into the canards of dead and buried C-SET and whether Johnson is selling the team. That is not what we need to know right now. The crucial question is how much money did the Bobcats make last year? With a rock-bottom player payroll and one of the best arenas in the country, profit should’ve been substantial. Yet SI says Johnson lost money. That would be a huge warning sign if true.
Heck, even George Shinn struck it rich last year playing 35 games in Oklahoma City, so much so that — in true George Shinn fashion — the city and the team are arguing over how much profit there is to be shared. George is looking to hang onto about $2 million more, natch.
Finally, the Bobcats situation has nothing to do with where Johnson goes to sleep at night. The Bobcats cannot sell season tickets because the prices are too high. Let’s say that again: Ticket prices are too high. Too. High.
For example, just two decent upper-level season tickets would set you back $2,200. Plus parking, plus munchies. That’s nuts for the Charlotte market. Insane. And Johnson has doubtless been told this repeatedly, as evidenced by the fact that the team did slightly cut most season ticket prices for next season while raising prices for some seats.
So here is what is needed from the next sit down interview with Mr. Bob Johnson: How much money did the Bobcats make last year, if any? Who is going to be the new team president? Have you got a naming rights sponsor yet? And is Charlotte a world class city yet?
Update: Wham! The Charlotte Business Journal out today has a front-page story on the Bobcats and gets much closer to answering where the Bobcats stand financially. Turns out Bob Johnson has had to make capital calls on his local partners in order to cover losses of the Johnson operation which includes the Bobcats. But given the money sinks that umbrella includes — the horse jumping thing and the Charlotte Sting, a complete waste of money — we still do not exactly know how the Bobcats are doing. Again, this is vital as with a roster carrying only about $30 million, the team qua team is not expensive to field.
Therefore, if the Bobcats qua Bobcats are in the red, three things are at play. Gross revenue must be lagging. That, in turn, must mean that luxury suite revenue is not there. And/or non-basketball expenses must be high.