This week, I had a conversation with a source who is very close to a member of the Mets organization.
This Mets source told him that the Mets will not be spending large amounts of money on any players any time soon.
He cited Jason Bay as being the last of the big signings.
Citing the situation regarding the Madoff scandal which has been made public record for some time…
The source that yes the Wilpon’s and Sterling Equities didn’t lose any money in the Bernard Madoff scandal and actually turned a profit, but that the profit could be under Federal scrutiny as prosecutors are attempting to recoup money investors lost to Madoff, thus putting a halt to any further expenditures at this time.
In the last 24 hours, several reports have circulated that the Mets will not be able to add payroll before the deadline including this one from Buster Olney and then there is this exclusive in the NY Post which reported the following:
- The Mets franchise is losing roughly $10 million a year, including depreciation and interest payments, sources said.
- Attendance at Citi Field is on pace to be 2.6 million this year, 19 percent less than its debut year in 2009 and 35 percent less than the team’s last season at Shea Stadium.
- Fred, son Jeff and other Wilpons own the SportsNet New York, or SNY television channel, and it is profitable, but owes money equal to roughly six times its earnings before interest.
- Standard & Poor’s has rated the bonds issued to finance Citi Field as junk, below investment grade.
- If the Mets were a public company, one analyst who knows the team’s financials said, their rating would also be junk grade because of their enormous debt load.
The Wilpons have stated repeatedly that they and the Mets are on solid financial footing, yet these types of reports have continued to pop up at an alarming rate, suggesting that where there’s smoke, there may be fire.
Added to by Joe D.