quote:
If I'm Cleveland I state from Day 1 that we will not be doing any sign and trades. Lebron can either sign with Cleveland or take a $30MM paycut for a lesser or equal team
Considering that Cleveland stands to lose about a quarter billion in net worth of their franchise vs. Lebron losing around $30 mil of his, Lebron holds more cards than you think. If Lebron opts to leave, Cleveland almost has no choice but to oblige that so long as they get some decent assets in return. Let's say Lebron were to ask to move to Dallas. Dallas sends the 2 draft picks, Roddy, and Dampier (waivable salary). All of a sudden they have some assets and money to attract a free agent or 2. Cleveland might not be great, but if they kept the rest of their team in tact and added somebody like Joe Johnson, that'd be a playoff team w/ a some decent future assets in the East and likely salvage a ton of that lost Lebron value.
Part of the reason the sign and trade was created was so that lesser market teams wouldn't be left high and dry... it is just another way for owners to maintain and hedge the values of their franchises.
In other words, I'm thinking that if you were to know Lebron walking would automatically destroy your net worth $200 mil, I'm fairly certain you wouldn't do it that way and work with Lebron to retain as much of your personal value as you could.
[This message has been edited by ATM9000 (edited 6/1/2010 11:52a).]