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Friday, February 15, 2008

Commissioner optimistic on the future of the Hornets


This was the lead story in New Orleans, as the NBA began the All-Star Weekend:


Commissioner optimistic on the future of the Hornets

Posted by Jeff Duncan/Times-Picayune

By Jeff Duncan
Staff writer

While emphasizing that he remains optimistic about the future of the Hornets in New Orleans, NBA Commissioner David Stern stopped short of making a long-term commitment to fans of the city's nascent basketball franchise.

Asked if he could alleviate fears that the club would relocate to another city after the 2008-2009 season if fans fail to meet attendance benchmarks set forth in the club's new deal with the state, Stern declined, saying he did not "want to make false promises."

"We'll see," Stern said during a one-hour meeting Wednesday at The Times-Picayune. "It's in their hands and the businesses that they frequent. In other words, there are ticket sales to be sold and sponsorships to be sold. There are TV rights to be negotiated."

In the midst of a daylong media blitz to tip off the NBA All-Star Game and its four-day menu of star-studded events, Stern effectively issued a challenge to basketball fans and businesses in New Orleans and south Louisiana: Put up or shut up.

"I have hopes and aspirations, but the reality is, to me, the team is less important than the future of the city," Stern said. "I hope the businesses pitch in, etc., but honestly I'm more delighted to see the state of New Orleans" in its recovery from Hurricane Katrina.

Stern said the recently amended lease agreement between the Hornets and the state is a fair one for both parties.

The deal, which extends the team's lease for two years but also gives it an option to leave after the 2008-09 season if the market fails to support the club at the box office, has been criticized because it allows the club a chance to relocate to another city by repaying up to $100 million in penalties, reimbursements of past inducements from the state, relocation fees and buyout obligations to owner George Shinn's minority partner, Gary Chouest.

Goal is 14,735 per game

The Hornets can opt out of the agreement after next season if the team fails to draw an average paid attendance of 14,735 for the final five months of this season and next season, a time period starting Dec. 1, 2007, and ending with the final game of the 2008-09 season. It also relieves the state of the obligation to build a multimillion-dollar practice facility for the team.

In the 18 games played since Dec. 1, the Hornets' average attendance is 13,099, including a sellout of 17,231. To raise the average to the 14,735 target, attendance will need to be 15,252 in the remaining 57 games that will be played this season and next.

The attendance figures are based on actual tickets sold and include 2,300 complimentary tickets the club issues for charity and special guests for each game.

Officials arrived at the figure of 14,735 because it equals the team's average attendance for the three seasons in New Orleans before Hurricane Katrina. The figure equates to roughly 80 percent of the 17,188 capacity the team goes by at New Orleans Arena. Playoff games will be excluded. Last season, only one team in the NBA failed to average at least 15,000 fans a game, the Memphis Grizzlies.

"I think it's fair enough," Stern said. "I mean, they moved here, they left because they had to, they're back. Let's make it work. It's easy. .¤.¤. We're not here with a two-by-four to influence people."

The deal has sparked criticism in some circles that the Hornets and league have placed an unfair burden on the city's storm-weary fans and business community to meet a short timeline in a still recovering market.

Stern disagreed. In the past, he said the league has given expansion cities less time to meet season-ticket benchmarks of 10,000 to earn a new franchise.

"There's plenty of time," Stern said. "You'll know a lot earlier than the (Feb. 1) deadline how it's going because there's an opportunity for people to step up."

He added that the attendance benchmark is less a make-or-break threshold than a place-holder. If support begins to increase over the remainder of this season and next, he said the Hornets will try to make things work here instead of bolting to another market.

"There's always going to be speculation" about relocation, Stern said. "They didn't negotiate this to get out; they negotiated this for the very reasons that make (fans) uncomfortable. You can see what's happening. If they got to 14,732, is he gone? I don't think so. This is more about directional, that's my view."

Disappointed in businesses

Stern said he is less concerned about fan support than he is about the somewhat tepid response of the business community. Without naming names, he said several companies that have profited greatly in the wake of Katrina have failed to reciprocate their support.

"I expect them to pitch in not only as sponsors but as buyers of tickets for their employees and some coalition that puts it all together," he said. "We'll see."

In addition to awarding the All-Star Game to the city for the first time, the NBA also assisted the club in sponsorship sales and helped to market the team in the wake of Katrina.

Last month, Shinn said he personally invested more than $10 million in moving the team back to New Orleans from Oklahoma City last summer.

"We certainly have invested a fair amount to have come this far," Stern said. "You certainly can't question our intent to give this city the best possible opportunity to have an NBA team. .¤.¤. After this weekend, if you don't know that there is a team in town then I don't know where you've been spending your time."

Jeff Duncan can be reached at jduncan@timespicayune.com or (504) 826-3404.

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