The first rule of business is that the customer is number one.
KB
Unfortunately, the customer can't be number one at a business that can't keep its doors open. I've lost a couple of favorite restaurants that way, among other favorite places. The only two bookstores near me have gone out of business, one of them was a really wonderful independent store.
First off, I don't consider myself a Maloof "apologist." Both sides bear some fault, but the city has really dragged its feet on sitting down to serious, fundamental negotiations. I just can't stand people blaming the Maloofs for everything. It does take two sides to accomplish a mutual goal.
Q and R failed for two reasons. 1) it was a bad, rushed plan; 2) the Maloofs and the NBA backed out of supporting the measures after a meeting with Thomas, who told them the city had basically mislead all of them (read: lied). The city had told all of them that the city had all the funds committed for the infrastructure in the rail yards, when, in reality, they had no clue how they were going to come up with all of the financing.
After that, the Maloofs asked the NBA to step in, because they had become such a lightening rod for local venom, including in the media (Bee). I agree the Maloofs had some fault in the public missteps they took. Moag's instructions from Stern were to come up with something that might be financiable without public funding. An extremely difficult task.
After failure of the convergence plan, the NBA backed out completely on trying to get a deal done. I'm sure at that point, the Maloofs started looking elsewhere in earnest.
To say we had no warning is just wrong. Some people may not have realized it, but we received our warning 14 years ago, when the prior ownership started trying to get a new arena. Since when is fourteen years not enough warning?
By the way, MSE is losing money. Almost $10 million last year, according to Forbes, and they borrowed money with the league. We were in good copmany, though, as almost half the teams lost money last year.
Yes, ticket prices were too high and that's why the Maloofs kicked Thomas out of the marketing job midway through last season. But people also have to realize that we had one of the highest payrolls in the league back in the glory years. It took a long time to clear that salary out, first to get below the luxury tax, then to get below the salary cap for some flexibility. So we paid for those glory years, long after they were over. The big mistake was not just blowing up the team completely much, much sooner.
Finally, even before the current economy tanked and the Maloofs (along with a whole lot of other people in this country), found themselves in financial difficulty, the Maloofs were a long way from the upper echelons of wealthy owners in the NBA.
Also, when "corporate presence" is discussed, it's a discussion of how many corporate headquarters a city has. Sacramento is very poor in that respect. Having business offices in a city does not mean "corporate presence" ala Budweiser in St. Louis.
Finally, the NBA needs to do more financially to help small and medium markets, if it hopes to keep teams in those cities. The CBA is going to be critical for that. Better revenue sharing and cutting player salaries are the things that need to happen. Heck, the Maloofs have laid off plenty of staff, let the Monarchs fold and obviously have deferred some maintenance this year on the arena. The players need to sacrifice, too. Will they?
Last, California is a very hard place to finance anything, anymore. Its due to the 2/3rds requirement for any new taxes. (I hate that. It should be majority rules, period.) So San Jose got their arena with a 54% vote? Today, that would be a failed vote, no arena in San Jose. That's why the discussions centers around things like a rental car tax, food and beverage tax, hotel tax. Those are easy and mega-revenue producing deals in a place like Anaheim that is a huge tourist destination. Not so easy in Sacramento.
Edit: Sorry this is so rambling and may not read well. It was typed in bits and pieces of time.