Union hires firm to review financial information from the league

AP

The NFL still hasn’t agreed to surrender financial information to the players’ union.  But the move is expected, and the NFLPA is now prepared for it.

Per multiple reports, the union has hired International Investment Bank to review any financial information the league discloses.

Albert Breer of NFL Network reports that an auditor the union “has used for years” arrived at the offices of the Federal Mediation and Conciliation Service at 3:00 p.m.

Again, the information hasn’t been disclosed.  But the union is getting its ducks in a row in the event that an opportunity comes to count the league’s eggs.

26 responses to “Union hires firm to review financial information from the league

  1. Good lord, all the people the union has {most lawyers} and they have no one who can understand a financial statement, good luck with that.

  2. A contingent from the IRS which arrived with similar intent was turned away at the door.

  3. Lacking a better picture, the head of PFT opens the bottow drawer of his office desk for a quick snap.

  4. Thanks Mike. Exact question I posed to Peking Duck although I thought there might be an independent agreed to firm I guess it makes sense if you want the information you are the one who then needs to figure out what the heck you are looking at, and I don’t mean Brees reading a blitz. So it’s not something for player’s to dissect and come to a conclusion or else you’ll never see the NFL again. Looks like this indicates progress.

  5. Pointless, really. What on earth would make the owners agree to use a firm that has long-standing ties with the union?

    If they agree to any kind of financial disclosure, it will be to a validated neutral 3rd party, devoid of affiliation with either side, and the financial details will be shared only with a similarly neutral mediator in the interests of establishing whether the owners have a legitimate concern about operating costs. It’s the only way it could work.

  6. I’m suprised they didn’t hire Allen and Co. since they are the IB of choice for the nba, mlb, and maverick carter.

    If the nlf doesn’t start providing audited financial statements, one of these days there’s going to be a bipartisan push from congress to end their anti-trust exemption and restrict their use of public funding for stadiums. just sayin’

  7. This should be intriguing.

    From the “be careful what you wish for” file, what happens if the NFLPA discovers the owners were telling the truth about the need for $2B?

  8. So they’ve worked for the union for years now… hired and paid for by the union…

    No reason to think their report will be at all slanted or biased.

    Would it not make sense to hire a mutually-agreed on third party to perform the evaluation, and choose a firm that is independent of both the owners and the union? No, that would make too much sense…

  9. So apparently a group of male adults struggled in math while in school, yet still found each other and made up a club. You may know it as the NFLPA.

  10. This all but guarantees no deal this week. Now we’ll get different firms trying to earn their money by offering different “takes” of the same infiormation. This won’t be good.

  11. NFL owners were even asked to open up their travel bags, as shown in the above photo.

  12. As dearly as I love football and as much as I would think I know, I still don’t understand-aren’t the players “employees”? Don’t they work for the owners? Where do they get all of the leverage from? I go back to the sixties from when I was in diapers and I love them all from Unitas to Jerry Rice………but there will always be more players, where does the union get all the power to push around the owners?

  13. these guys don’t want the IRS or the State their in to see there books.

  14. Yeah an independent firm would be the best option IMO. But how could that be chosen and be totally fair/impartial and be done in a timely manner (i.e. not letting the courts do it)?

    They were talking about it a bit on NFL Live and Hasselbeck was commenting how if the NFL opens its books there will be all kinds of stuff like private jet flights for their relatives and relatives on the payroll at ridiculous salaries. So basically…no different from any other company I’ve ever been involved with.

  15. chatham10:

    I’m sure that these captains of industry have all of their books squared away according to GAAP and are easily understood by anyone with even a rudimentary understanding of accounting – just like a lot of other “business enterprises” that we’ve seen over the past few years (Enron, Countrywide, Lehman Bros, GM, etc., etc., etc.)

  16. All we need now is for wall street to get involve, however the owners say trust us, kind of like wall street said we done nothing wrong, if the owners want us to believe there financial case they should at least let the mediator see the books. Bill

  17. sterling7 says:
    Mar 8, 2011 4:49 PM
    As dearly as I love football and as much as I would think I know, I still don’t understand-aren’t the players “employees”? Don’t they work for the owners?
    =============

    A common misperception.

    I shouldn’t even say that. Technically, the players ARE employees. But there are several peculiarities of this situation that separate it from a typical employee/employer relationship:

    1) By tying player salaries to revenue, you inherently give the players a vested interest in knowing and understanding league revenue. If your salary was tied to how much money your company was making, wouldn’t you want to actually know how much money your company was making?

    2) Comparing NFL players to a typical work force is unrealistic. There isn’t an available pool of replacement workers who could deliver the same standard of productivity as the current players. Sure, there are plenty of players out there who would be willing to step in, but unquestionably they could not deliver the same product.

    I am not typically pro-union as it applies to most private and public sector unions. As a businessman, I resent how labor unions protect and defend unproductive and unmotivated workers.

    But I see player’s unions (and others, like the screen actor’s guild and screen writer’s guild) differently. These are highly specialized fields where there is no question that without them, the profits of the corporations they work for would suffer.

    Thusly, I feel the employers carry a higher responsibility to negotiate in good faith with the professionals to whom they owe their immense profitability.

  18. Agree with realitypolice totally. Unique business, unique labor pool which is why rules should be so different. Gouging of fans for year’s has taken place and maybe the owners are afraid to open them up so we’ll see what their true profit level is and perhaps determine what reasonable ticket prices, parking passes, etc., should be. Think the moon would fall into the Sun before that happens.

  19. I was a pretty good auditor before I retired. Does anyone really believe that some high priced investment banker staff auditor will actually complete a review of the leagues’ finances by or before the extension deadline.

    The union will be lucky if the review is finished by the time the season is supposed to start.

  20. The “immense profitability” is due to the fans who buy the tickets. And the TV money also comes from the viewers of the TV ads who buy the products.

    The owners and NFLPA STILL don’t get it.

  21. All this has gone well beyond tiresome. The lack of effort made by both sides leads one to think that none of this has any importance. Do they really have to play “chicken”?

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