Maloof: Sacramento's plea to Anaheim 'below the belt'

[Mike0476]

This is going to get very ugly. Joe Maloof broke his silence.

"It's not for the mayor or anybody (in the City of Sacramento) to interfere with our business. That's what I think they're doing, and it's not right," Maloof told The Orange County Register. "We would appreciate that they not interfere with our business."

"That letter is completely wrong, and it was uncalled for – below the belt – and it's a shame it had to come out of his office," Maloof said. "We tried to be classy and not get in arguments in the media, but I (have to) make this comment."

"We will continue on with our business and do what is best for the viability of the franchise – what's best for the franchise and what's best for the league."

"We've always satisfied our obligations to the City of Sacramento," Maloof said. "We're honest business people and we have never missed a payment. In fact, we're way ahead of schedule. A couple of years ago, we paid somewhere between $9 million and $11 million ahead because we wanted to lower the debt. ...

"We've always paid our financial obligations in the past, we're going to do it in the present and we're going to do it in the future. They have nothing to worry about. They will be paid in full, whatever it takes."

Maloof said he believes the letter, on the eve of the important City Council meeting, was an attempt to "block" the Kings' proposed move.

"You better be careful; don't mess around and interfere with our business," he said. "That's all we ask. Whatever (remedies) we have, we're going to use. We're dead-serious about this, because it's an awful letter. It should never have been sent, (because) it gives the wrong impression."

Maloof wondered why he would have to inform anyone now that loan would be paid, because the relocation process is ongoing and a formal application has not yet been filed.

"We're still the Sacramento Kings – nothing new there," he said."

http://www.ocregister.com/sports/city-294022-letter-anaheim.html

 

[ReinadelosReys]

This has all the makings of a nasty divorce

 

[pdxKingsFan]

Hand me a tissue. Were they not paying attention in Seattle? It's hard to believe they weren't. If they weren't prepared to face the wrath of the city and make a few enemies along the way I dunno what to say. It's only going to get much, much worse. Thicken your skin boys.

 

[kingsnation]

"We will continue on with our business and do what is best for the viability of the franchise – what's best for the franchise and what's best for the league."

Maloofs don't give a rip about the fans. Of course, I think we already knew this.

 

[Demarcus Cousins]

Im in this thread
But Joe or Gavin sounds pissedddddd

 

[Glenn]

To me it sounds like that was a great letter. Why else comment unless it might be the deal breaker.

 

[vikinginferno]

To me it sounds like that was a great letter. Why else comment unless it might be the deal breaker.

Yeah. I hoped it wouldn't have to come to this, but Sacramento is finally doing something right. It seems to me that the Maloofs are fearful that this will actually work and they will be blocked and they are pleading the city not to act further. The "You better be careful; don't mess around and interfere with our business" sounded pretty desperate to me.

 

[JB_kings]

Notice how he phrased that "they will be paid in full, whatever it takes".

Does that sound like a response somebody would make if they had already had a plan to make full repayment? It also sounds like a made up mind to go. I think most people would have responded more carefully. Like "if we move, we have always intended to take care of our obligations".

 

[Section 101]

Notice how he phrased that "they will be paid in full, whatever it takes".

Does that sound like a response somebody would make if they had already had a plan to make full repayment? It also sounds like a made up mind to go. I think most people would have responded more carefully. Like "if we move, we have always intended to take care of our obligations".

Just said the same thing in the other thread.

 

[hrdboild]

"We're still the Sacramento Kings – nothing new there."

Sure you are, right up until you're not.

 

[ParniValjak]

Yeah. I hoped it wouldn't have to come to this, but Sacramento is finally doing something right. It seems to me that the Maloofs are fearful that this will actually work and they will be blocked and they are pleading the city not to act further. The "You better be careful; don't mess around and interfere with our business" sounded pretty desperate to me.

Actually it sounded like a threat because here is a thing, there is NOTHING Sacramento can do about blocking the Kings from moving. Absolutely nothing!

I say again that the negotiations between Anaheim and Maloofs couldn't even progress to a reasonable stage unless the Maloofs are aware of their obligations if they broke their deal with Sacramento. How can people be naive and believe otherwise. We are talking about one of the first things that get checked otherwise the effect could be millions and millions of dollars.

In my mind, it was never in doubt that Maloofs would pay their debt to the city of Sacramento. Contractually, they cannot move unless they do it.

Joe's response was emotional which is not a great surprise.

 

[Gary]

They want to do what's best for the NBA by putting a 3rd NBA in the same market that plays at the same time as 2 NHL teams (and possibly 2 NFL teams in the future?)

I think they have been planning this for the longest time and since they have been I believe what they are doing is "below the belt" to us Sacramentans.

 

[Gary]

Maloofs don't give a rip about the fans. Of course, I think we already knew this.

Yah even though they are supposedly "Customer service people". I think their dad was and when he died so did the idea of customer loyalty and service. Since the Maloofs have owned the team I have put in countless of tousands of dollars to their organization without a shred of "thanks for being loyal" mailed to me or anything. Well except for open practice tickets which sucked ever since the 2nd time they did it.

 

[Section 101]

Actually it sounded like a threat because here is a thing, there is NOTHING Sacramento can do about blocking the Kings from moving. Absolutely nothing!

I say again that the negotiations between Anaheim and Maloofs couldn't even progress to a reasonable stage unless the Maloofs are aware of their obligations if they broke their deal with Sacramento. How can people be naive and believe otherwise. We are talking about one of the first things that get checked otherwise the effect could be millions and millions of dollars.

In my mind, it was never in doubt that Maloofs would pay their debt to the city of Sacramento. Contractually, they cannot move unless they do it.
Joe's response was emotional which is not a great surprise.

Then pay it off before starting negotiations. The fact they are negotiating with another city while still under a lease could be seen as a violation of the bonds agreement. That's the point.

 

[Peter_Gibbons]

To me it sounds like that was a great letter. Why else comment unless it might be the deal breaker.

Because what the sac city officials did is really below the belt? They are basically just shy of accusing the Maloofs of intending to default the loan straight up. Anyone would be mad.

 

[Peter_Gibbons]

Then pay it off before starting negotiations. The fact they are negotiating with another city while still under a lease could be seen as a violation of the bonds agreement. That's the point.

Thats nonsense. No one would do that. What if negotiations don't work out? The Kings have to pay if they move. They haven't, yet.

 

[fansinceday1]

The city knows the team is as good as gone. This is just a smart attempt to safeguard the millions owed to the city. The city retained the group of lawyers to try to prevent the maloofs from loopholing their way out of their obligations. All ive heard is "this is a business". Well, yes it is and the city is doing something right for a change. They are protecting the city coffers. The maloofs are broke and more than a few posters have pointed out that they simply cannot see enough money in this deal to move AND pay off the city. It LOOKS like the maloofs may have intended to default and leave the city holding the bag. This is their last ditch effort to hold onto the team afterall.

How would this be any different than the millions of people who are just walking out on their houses or running up huge bills and filing for bankruptcy? Its just being done on a larger scale. The maloofs would be stupid to not look for a loophole out of this huge loan. And the city would be stupid to not take every route available to safe guard the cities coffers.

 

[MassachusettsKingsFan]

Even if this letter keeps the Kings in Sacramento for another season, which is unlikely, why would the Maloofs EVER consider staying in Sacramento long term after this? The fact that papers arent sighned yet, and the NBA hasnt even said they would approve Aneheim, and NO ONE knows how the owners will vote ( you have to think the Lakers, being an NBA powerhouse, can convince teams to vote the move down ) this letter by Sacramento looks like a terrible idea to me. Now the Maloofs can make it seem like they cannot coexist with Sacramento .. they can pull the "they have taken things too far" card and use it against David Stern and the other owners. It just gives the Maloofs more firepower when it comes down to voting and convinceing people that the move is a good idea.

There is a huge list of pro's and con's that the NBA owners and Stern have to look at before approving the move, and KJ and the rest of Sacramento just gave the Maloofs a huge advantage... The uglier it gets ( and Sacramento is making it ugly, not the Maloofs ) the better Anaeheim looks to the Maloofs and the NBA.

 

[vikinginferno]

Even if this letter keeps the Kings in Sacramento for another season, which is unlikely, why would the Maloofs EVER consider staying in Sacramento long term after this? The fact that papers arent sighned yet, and the NBA hasnt even said they would approve Aneheim, and NO ONE knows how the owners will vote ( you have to think the Lakers, being an NBA powerhouse, can convince teams to vote the move down ) this letter by Sacramento looks like a terrible idea to me. Now the Maloofs can make it seem like they cannot coexist with Sacramento .. they can pull the "they have taken things too far" card and use it against David Stern and the other owners. It just gives the Maloofs more firepower when it comes down to voting and convinceing people that the move is a good idea.

There is a huge list of pro's and con's that the NBA owners and Stern have to look at before approving the move, and KJ and the rest of Sacramento just gave the Maloofs a huge advantage... The uglier it gets ( and Sacramento is making it ugly, not the Maloofs ) the better Anaeheim looks to the Maloofs and the NBA.

If the Kings do have to stay another season and if an arena finally gets started, it might not matter whether the Maloofs want to stay anymore. Without an arena, the NBA is fine sending the Kings to an already saturated market, but WITH an arena, I doubt the league wants to send the Kings away.

 

[Glenn]

Because what the sac city officials did is really below the belt? They are basically just shy of accusing the Maloofs of intending to default the loan straight up. Anyone would be mad.

Some people have self control. They have demonstrated this self control for the last mointh by not saying one damn word. They have been stone assed quiet and left everyhting open to conjecture. If he can talk now, he could have talked to us fans anytime. Why not let the fans know what is going on? He wears his belt too high.

Some fans have had serious discussions as to what happens if the Maloofs skip out on the bond deal. It's not like the letter addressed a foreign concept. We worry about things that don't effect us yet this is a forum. The Maloofs are restrufcturing their loans on the Palms because they couldn't make payments. I don't see why there isn't reason for concern and as poorly as the city has handled this whole thing over the years, especially in order to protect their citizens, they are now doing something that can easily be seen as protecting their citizens.

If he think it is legally wrong, he should let his lawyers handle it.

 

[ArcoKings]

Maloofs don't give a rip about the fans. Of course, I think we already knew this.

I disagree 100%. This is business. Obviously the Maloofs don't feel they are making enough money in Sacramento and they want to improve their financial situation for their franchise. Its not for us to determine how much they should make. I wouldn't want anyone telling me how much I should earn or what I earn is good enough.

 

[ParniValjak]

Then pay it off before starting negotiations. The fact they are negotiating with another city while still under a lease could be seen as a violation of the bonds agreement. That's the point.

Did you actually keep a straight face when you typed that?!?!?!?

Wow! Just wow!!!

 

[Peter_Gibbons]

Some people have self control. They have demonstrated this self control for the last mointh by not saying one damn word. They have been stone assed quiet and left everyhting open to conjecture. If he can talk now, he could have talked to us fans anytime. Why not let the fans know what is going on? He wears his belt too high.

Some fans have had serious discussions as to what happens if the Maloofs skip out on the bond deal. It's not like the letter addressed a foreign concept. We worry about things that don't effect us yet this is a forum. The Maloofs are restrufcturing their loans on the Palms because they couldn't make payments. I don't see why there isn't reason for concern and as poorly as the city has handled this whole thing over the years, especially in order to protect their citizens, they are now doing something that can easily be seen as protecting their citizens.

If he think it is legally wrong, he should let his lawyers handle it.

Many of Sac residents have said repeatedly how they wanted to appeal to the Maloofs by showing support because they are such emotional guys. If that is true, then it already explains why he would have an outburst due to anger. They kept quiet all this time because no one did anything extreme like this to them.

 

[ArcoKings]

Even if this letter keeps the Kings in Sacramento for another season, which is unlikely, why would the Maloofs EVER consider staying in Sacramento long term after this? The fact that papers arent sighned yet, and the NBA hasnt even said they would approve Aneheim, and NO ONE knows how the owners will vote ( you have to think the Lakers, being an NBA powerhouse, can convince teams to vote the move down ) this letter by Sacramento looks like a terrible idea to me. Now the Maloofs can make it seem like they cannot coexist with Sacramento .. they can pull the "they have taken things too far" card and use it against David Stern and the other owners. It just gives the Maloofs more firepower when it comes down to voting and convinceing people that the move is a good idea.

There is a huge list of pro's and con's that the NBA owners and Stern have to look at before approving the move, and KJ and the rest of Sacramento just gave the Maloofs a huge advantage... The uglier it gets ( and Sacramento is making it ugly, not the Maloofs ) the better Anaeheim looks to the Maloofs and the NBA.

I agree. The city got ahead of its self IMO with the e-mail. Why would the Maloofs want to stay in Sacramento with this? There's bad blood between the sides now.

The Sac Bee started it with the notion that the Maloofs may not pay up. The paper is making them out to be villains. The Bee is pure garbage. Its obvious the paper has always disliked the Maloofs and the Kings.

 

[Gary]

Actually it sounded like a threat because here is a thing, there is NOTHING Sacramento can do about blocking the Kings from moving. Absolutely nothing!

I say again that the negotiations between Anaheim and Maloofs couldn't even progress to a reasonable stage unless the Maloofs are aware of their obligations if they broke their deal with Sacramento. How can people be naive and believe otherwise. We are talking about one of the first things that get checked otherwise the effect could be millions and millions of dollars.

In my mind, it was never in doubt that Maloofs would pay their debt to the city of Sacramento. Contractually, they cannot move unless they do it.

Joe's response was emotional which is not a great surprise.

The doubt is there because "allegedly" they breached the contract on the loan they have at the Palms so why wouldn't they here? It's a lot of money, and the Maloofs financials aren't really anything short of crap right now.

 

[Section 101]

Did you actually keep a straight face when you typed that?!?!?!?

Wow! Just wow!!!

Let me ask you this:

Should the Maloof be allowed to agree to move before the bonds are paid? Should they be able to sign the lease with Anaheim before the bonds are paid?

 

[Gary]

Did you actually keep a straight face when you typed that?!?!?!?

Wow! Just wow!!!

You seriously have no idea about these kinds of things do you? You already said you don't live in the USA, so please stop thinking you understand how it works around here. You haven't a clue... A Blues Clue (I didn't keep a straight face on that last part).

 

[fansinceday1]

Like Crandell just said on his segment, the city people he talked to are worried that the maloofs might not have the money to pay back the city. Its not about whether they intend to pay the loan off.
This is a legit concern.

 

[JB_kings]

I agree. The city got ahead of its self IMO with the e-mail. Why would the Maloofs want to stay in Sacramento with this? There's bad blood between the sides now.

The Sac Bee started it with the notion that the Maloofs may not pay up. The paper is making them out to be villains. The Bee is pure garbage. Its obvious the paper has always disliked the Maloofs and the Kings.

I'm not one to defend the Bee often, but in this case they were just one of the many who did the simple math once the Anaheim bond document ended up online for viewing. I'm as far away from a legalese kind of guy you can get and even I saw what was brewing. When you borrow 50 million and you owe about 50 million to the NBA and 77 to the City of Sacramento, alarms should be going off! I'm sure as soon as the city manager and council looked at that, they knew they had to hire lawyers. They didn't get hired this morning. I figure they probably saw this last week and went into action.

 

[pdxKingsFan]

Just a thought, but didn't the Anaheim lease refer to the team that would be leasing the arena as "TeamCo"? Could it be very real that Sacramento has a fear that MSE could be looking to transfer their holdings in the Kings to TeamCo or another new corporation leaving MSE with Arco and that debt which would then declare bankruptcy?