hcsilla said:
I doubt that TOR would trade Villaneuva for two mid 1st rounders (since I think that Magloire's and Peterson's value are close to each other).
Could someone please give a link where Sarver stated that there is no way that he will pay the luxury tax?
This article is the best I could find on Sarver's opinions on the Lux Tax. There is no NEVER in the article, but alot reasons why he is not interested in making big mistakes in player contracts.
Sarver likes course franchise has taken
Paul Coro
The Arizona Republic
Jun. 3, 2006 12:00 AM
The Suns franchise is enjoying the financial injection of an 11th home playoff game tonight.
Phoenix's top players with contract issues to resolve this year - Leandro Barbosa (extension negotiation), Boris Diaw (extension negotiation) and Tim Thomas (free agent) - all have expressed interest in staying with the Suns and seem willing to negotiate with a reciprocal appreciation.
Does one feed the other? You never know, Suns Managing Partner Robert Sarver said repeatedly. It's the hesitant residue of last summer's crash-and-burn talks with Joe Johnson, which led to a sign-and-trade deal that fortuitously brought Diaw and two first-round picks to Phoenix.
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Sarver has sat with Diaw's agent for games, dealt with Barbosa's agent for Steve Nash's contract and had experience at the other end with Thomas' agent, also Johnson's.
"It's been successful for those players here," Sarver said. "Phoenix has been a good environment for them. But I thought Phoenix was a good environment for Joe Johnson, too, and that wasn't worth a nickel.
"I'm not sure I have the patience to deal with some of the agents, the ones that are jerks. I think I learned from last year."
Sarver said the club needed this playoff success after adding $10 million to payroll for this season while only getting a $7 million boost in ticket revenue. He said the league takes 45 percent of his playoff gate.
He credits team executives Lynn Agnello, John Walker and Rick Welts for capitalizing on the team's success to increase sponsorship about 25 percent. The problem is that leaves little room to go other than the owners' pockets now that ticket prices and attendance have been spiked and a historically strong marketing presence was further bolstered.
"To me, the future is more exciting because we've got great pieces," Sarver said. "We're going to be in good shape for a long while."
The Suns' projected payroll, with two guaranteed contracts to give for first-round picks, would be $61 million if Phoenix remained status quo. That would fall short of an estimated $63 million luxury tax for 2006-07, when only one team (likely New York) is expected to have to pay it, according to Sarver. He said seven or eight teams would pay it this year.
He is leery of breaking into the dollar-for-dollar penalty because he said it becomes a triple penalty when the Suns become a team not getting money back from taxed teams.
"I wouldn't say I'm definitely never going to pay luxury tax but I think it's pretty hard for a team in our market to be at the tax level," Sarver said.
He said he is becoming more comfortable with being involved with basketball operations but still will defer to the staff he entrusted with greater responsibilities when Bryan Colangelo left. Mike D'Antoni, David Griffin and Mark West run the basketball office.
Sarver has implored them to keep to a plan of having player contracts that are marketable in case changes are needed. It rankles him that he is still paying Howard Eisley $4.4 million this year and $2.2 million next year as part of the deal that dumped Penny Hardaway's contract on New York.
"There is no easy fix to big mistakes," Sarver said.
There are only four Suns players, including Amaré Stoudemire, who have been on the roster for both conference finalists of the past two years. Phoenix figures not to be made over so drastically again but . . .
"Continuity is important but it's not as important as winning and our goal to win a championship and have sustained success," Sarver said. "I think we've done it the right way."
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