NBPA Responds to Adam Silver's Claim Several NBA Teams Are Losing Money

The National Basketball Players Association executive director Michele Roberts responded to the claim made by NBA Commissioner Adam Silver that numerous teams are losing money.

David Aldridge of TNT reported the statement Roberts made Thursday:

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Under the CBA, we do not have a gross compensation system. The players 50% share is calculated net of a substantial amount of expenses and deductions.

New and renovated arenas around the league have proven to be revenue drivers, profit centers, and franchise valuation boosters. That has been the case over the past few years in Orlando, Brooklyn, and New York, to name a few. In some instances, owners receive arena revenues that are not included in BRI. Many teams also receive generous arena subsides, loans and other incentives from state and local governments as part of their arena deals.

Virtually every business metric demonstrates that our business is healthy. Gate receipts, merchandise sales and TV ratings are all at an all-time high. Franchise values have risen exponentially in recent years, and the NBA has enjoyed high single digit revenue growth since 2010-11.

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Yahoo Sports' Marc J. Spears supplied context for Silver's prior comments—and also wondered whether the teams themselves contributed more to the financial troubles than anything to do with the collective bargaining agreement:    

"I don't know the precise number and don't want to get into it, but a significant number of teams are continuing to lose money and they continue to lose money because their expenses exceed their revenue," said Silver, per Spears, following the NBA Board of Governors meeting on Tuesday.

Jason Concepcion of Grantland juxtaposed the rhetoric Silver used last year to his recent remarks that drew the ire of Roberts:

Roberts' testimony is rather convincing, especially with the allusions to TV ratings and merchandise sales. The NBA does indeed seem extremely popular, with a bevy of exciting talent and a fresh champion atop the Association at the moment.

This year's NBA Finals saw the Golden State Warriors defeat the Cleveland Cavaliers in six games. The series won by reigning league MVP Stephen Curry's squad over the LeBron James-led Cavs drew the highest Finals ratings since Michael Jordan won his sixth and final championship in 1998.

Now that Roberts' criticism is out, perhaps Silver will further specify how teams are losing money. Hopefully a resolution can be found to aid the teams in need of help in the midst of what seems to be an NBA golden age.