I hope Cuban is losing lots of money these days.
Originally Posted by friendly fred
the Mavs always have lost money under Cubes despite the fact he did elevate them to two appearances in the Finals and winning one. i read an article a few years back where he and Ross Perot Jr were sniping about the Mavs losing money. Perot complained that the Mavs had lost a total of 300 million over the length of Cuban's majority ownership and that as a minority owner he felt that was too much. what Perot didn't say but Cuban did is that as majority owner 75% of that 300 m loss he paid about 225 million of that. the rest, about 75 m was split between the minority owners. i think Perot's end was about 4 million total. given that Jr is a billionaire thanks to daddy, Cuban likened his part of the bill as "scooping up change from your couch".
bahhaaaaa
in fact the Mavs up to the point that article was written only made money two seasons under Cuban's ownership and neither were their Finals appearances. i do recall one season was the year after they won which you'd expect. their merchandise was a hot seller as champions and you'd figure they got a bump in ticket revenue as well.
Cuban didn't buy the Mavs to make money, he did it to win a title. clearly at some point in the future he'll get his 225 m back in spades when the team is sold, probably by his kids after he dies. the value of the Mavs today compared to what Cuban paid is easily 6 to 7 fold, in the billions.
In 2020, the
Dallas Mavericks franchise had an estimated
value of 2.4 billion U.S. dollars.Feb 20, 2020
Cuban paid 285 million to Perot to become majority owner. tack on say 300 m in losses he's had to directly cover to date and it's still a drop in the bucket to what he'd realize when he sells the team.
In May 2010, H. Ross Perot, Jr., who retained 5% ownership, filed a lawsuit against Cuban, alleging the franchise was insolvent or in imminent danger of insolvency. In June 2010, Cuban responded in a court filing maintaining Perot is wrongly seeking money to offset some $100 million in losses on the Victory Park real estate development.
[95][96] The lawsuit was dismissed in 2011, due in part to Cuban asserting proper management of the team due to its recent victory in the
2011 NBA Finals.
[97] In 2014, the
5th Circuit Court affirmed that decision on appeal. Following his initial defeat, Perot attempted to shut out Mavericks fans from use of the parking lots he controlled near the
American Airlines Center.
[98][99]
