Cuban's Blog: How I lost Steve Nash

F-Dog

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Here are the quotes that interested me:

Every summer at this time, agents go to the media, or have their friends do it, and talk about how much in demand a player is. Every agent wants it in the media that every team wants his guy. There is always far more smoke than fire. The key is seperating one from the other. AGents are a good source of information. There are quite a few that are straightup, just looking for a good deal for their guys. They will share information with you about their guys, and that in turn gives a good feel about what each team may or may not do. AFter making my calls and donnie making his calls to friends and family around the league, we pretty much knew that the only team with a real interest in steve was Phoenix. The Suns were out there telling everyone they were going after Kobe Bryant, but I just couldnt see that happening. Mr Colangelo had gone through alot with his team a few years ago and I couldnt see him dealing with the off court uncertainty attached to Kobe. So I needed to try to figure out what the Suns might offer.

The Suns had just taken on new owners, so I didnt know if they came in flush with cash, or would be conservative. So that didnt help me. What I felt strongly about is that the Suns would want to add more than one player with their cap room. They were doing everything possible to maximize their cap space available, beyond what would be considered a max out amount, so that cemented that perspective. Looking at their roster, they probably were looking for a center to go along with their interest in Steve.

To gain the most flexibility with that cap room, after signing steve, they would need to retain more cap space than the midlevel exception. The big problem is that although teams are out there saying how much cap room they have, they dont really know how much cap room they have. Theleague doesnt give us the cap number until we can start signing free agents.

Worse still, we cant even really calculate or give a good guess on what the cap is. Roughly speaking the cap is League Revenues times .48, divided by 29. League Revenues have very specific inclusions and exclusions, and also include an 8 pct fluff factor that has to be adjusted each year. So we can guess the cap, but we dont know the cap. What we do know is salaries that each team is paying.

So I tried to figure out what the Suns could offer Steve. I knew that with salaries and cap hold, they had just under 30mm committed for the year. So if the cap would come in at a very generous 45mm dollars, they would have 15.5mm dollars in cap. For every dollar the cap came in less, their cap room would be reduced. We also knew that the mid level exception would be around 5mm dollars (its based on average salaries, not revenues). So if they wanted to sign a 2nd player other than steve, and they wanted to be able to offer more than the midlevel of 5mm, that would use at least 5.1mm in cap room. So best case, the suns would be able to offer 10.4mm to steve in the first year.

Thats is the best case. The cap would have to come in at the high end, and they would have to be able to sign the player they want, at pennies over the midlevel exception (kind of what seattle did to us with Calvin Booth). I then guessed, and this was completely a guess, that the Suns would want some cushion to sign the 2nd player and to protect themselves in case the cap came in lower than expected. So I guessed they would reserve 6mm dollars to get the 2nd player they wanted, and they would put the cap estimate at 44mm. That would reduce the dollars available to 44mm cap minus 35.5 committed (current salaries, 1 cap hold and 6mm for their 2nd player). That would mean a first year number of 8.5mm dollars.[/B]

This jibes with the Aldridge numbers, but it's just Cuban's initial speculation.

The morning of July 1, as I got ready to go to Steves, I had determined that I would offer Steve 9mm dollars a year for 4 years, with a 5th year with half guaranteed, but he could get the 5th year fully guaranteed by playing enough games and minutes the year before. I was guessing we wouldend up doing 60 games and 20 minutes per game to get there. I thought it was very fair.

So, 5 years, $40.5m was Cuban's initial offer, with an extra 'unguaranteed' $4.5m for the 5th year?

About dinner time that night I got a call. Donnie said I had to call Steve. I did. To make a long story short, steve said he got an incredible offer from the Suns. He wouldnt tell me the exact numbers, but every time I said a number, he said it was more. He said they flew down a whole group of people, including Amare Stoudemire to recruit him. He was calling because he felt like he owed me the opportunity to match it. I was stunned. I told him to give me a little bit of time to think it over and I would call him back. He was fine with that.

I called Donnie and told him the range of numbers that I had given Steve, and that the offer was higher. I think Donnie was as stunned as I was. Based on the ranges I had thrown out to Steve, this might not have been a max out deal, but it sure sounded like it was close. There was no way I was going to match it. The amounts were higher and the length was longer than I was willing to go for all the reasons I wrote about

This sounds more like the initial report to me, or at least the deal starting at $10m.

I really dont know how long it was before I called back. It was amazing all the things that were going through my head. I felt sick to my stomach. I also knew that there was no way that the Suns had called Duffy that morning and arranged to have all those people come to town and meet with Steve. Duffy had set this thing up and knew exactly what was going to happen. In hindsite, I should have known when Duffy barely said anything during our meeting with STeve, that something was up. I missed it. Not that it would have changed the outcome.

From the rest of the post, it seems that Cuban and Duffy don't get along very well, and Duffy tries to screw Cuban over at every opportunity.

Note to Suns: do not piss off Bill Duffy.

(Duffy) obviously wasnt my favorite person at the time, and I asked him when this Suns meeting got setup. He told me they had called that morning. I said there was no way, and he said, no wait, they called late last night.. There was nothing more to our conversation than that. That said it all. Iwonder how much he told the Suns we were offering Steve.

It wouldn't surprise me if Duffy gave them the information straight--remember, the Mavericks were going to get a chance to match the Suns' offer, so they had to beat the Mavs' reservation price, not just their offer.



Anyway, Cuban is always an interesting read, and since a lot of this was about the Suns I thought it would be worth sharing...
 

elindholm

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I wonder whether one difference is that the Suns offered annual raises, and Cuban was just going to go $9 million flat? Cuban says, "I had determined that I would offer Steve 9mm dollars a year for 4 years (etc.)," not "starting at 9mm dollars." Certainly he knows the difference, and it seems like he is trying to be up front about everything.

So even if the Suns are starting Nash at $8.8 million (note to administrators: we need a "fingers crossed" smiley), by the time you throw in the raises and the extra guaranteed year, it's a big difference.
 

scotsman13

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duffy knows where his bread is buttered. if he hadnt set up steve to go to the suns, he may have lost amare. no offense to steve but he isnt amare. amare is going to end up being one of the the top 5 players in the nba in just a couple years and when he is he will bring in the cash in both contracts and indorsments.
 

Bada0Bing

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scotsman13 said:
amare is going to end up being one of the the top 5 players in the nba.



Hope so Scotsman, hope so after what has happened this off season.
 

hcsilla

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Thanks for posting it, F-Dog. That was one of the most informative articles from a "source 1-type" what I have ever read.
 

JerkFace

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thanks for posting that, it was a vey interesting read. cuban is a great owner to have in the nba, most owners don't give that kind of insight to the fans.
 

George O'Brien

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I was looking at the Mavs on HoopsHype and they are a real mess. Walker and Laettner are their only guys whose contracts expire next season. They don't have any other expiring contracts until 2007 (Fortson), Stackhouse, and TAW.

Bradly averaged only 11 minutes per game, but his contract runs until 2008. In 2008 their salaries are still 45 million. In 2009, Dirk and Finley come off contract.

When you look at where they are, it seems clear that Cuban wants to option of starting over in 2009. In that context, his refusal to give the fifth year to Nash starts making sense.
 

Joe Mama

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If the Dallas Mavericks can't get rid of Jerry Stackhouse I could see him doing well as a sixth man for them. Of course that depends on what happens with the rest of the team, Shaquille O'Neal, etc.

What are the maximum raises allowed raises for Steve Nash?

Joe Mama
 

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