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NFL Labor Negotiations: How a Lockout in 2011 Could Destroy the League

Dan Van WieSep 2, 2010

Greed. Power. Ego. Fame. Fortune.  How many of those words come to mind when you  think about NFL owners? How many of those come to mind when the subject turns to NFL players?

When the Collective Bargaining Agreement (CBA) between the NFL and the NFL Players Association expires after the conclusion of the 2010 season, there will be a wide array of interested parties that will be holding their breath to see what eventually transpires in the negotiations.

Based on the size of the contracts for the players, each star player could be viewed as a singular corporation.

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They have their legal team, attorneys and agents, public relations reps, trainers, the immediate family and the distant family members that comes out of the wood work, and don't forget the posse. That is a lot of mouths to feed or responsibilities that are heaped on the shoulders of every star player.

No wonder some of them succumb to the pressure.

A recent study from Forbes.com that looked at NFL team valuations, showed that the No. 1 net worth team was the Dallas Cowboys at 1.8 billion. Exactly one half, (16 of the 32) of the NFL teams were valued to be worth at least one billion dollars.

The least valuable NFL team is the Jacksonville Jaguars is at 725 million, and they dropped 16 percent in value during the past season.

Since the Jaguars had to place a local black out for seven of their eight home games in 2009, they are the one team that appears to be the most vulnerable to face a relocation.

The Jaguars are not alone however, as all 10 of the teams that appeared on the bottom of the list for net worth, lost value from 2008 to 2009.

In fact, the average worth of every NFL team dropped two percent last year, which is the first time in 12 years that the league has shown a loss in overall value. That means that there are some things that need to be fixed, but you don't need to shed any tears for any of the owners in question.

How Out of Touch Are NFL Owners With Reality?

I had the pleasure to read a new article by fellow Bleacher Report feature columnist Michael Schottey: http://www.facebook.com/n/?profile.php&id=1534696596&v=wall&story_fbid=1359445796250&mid=2e9c6a3G5b799c94G1269e09G36&n_m=kkvw%40aol.com.

From the article, Michael points out that the average NFL ticket now goes for $252.00. A whopping 18 of the 32 NFL teams decided to raise ticket prices despite the recession and unemployment issues facing the country.

During the 2009 season, nine percent of all NFL games were blacked out in the local market. With rising prices and fans forced to cut things to make ends meet, I would be amazed if that number didn't reach double digits for the 2010 season.

Do the owners really care if they have more and more empty seats? For anyone that watched the Bills host the Colts in Toronto two weeks ago, there were a ton of empty seats. But that is another story.

How Bleak Is the Picture?

With the national economy being stalled by the recession and unemployment rising, the NFL continues to explore new ways to gain additional revenue.

Broadcasting companies continue to try to outbid each other for the rights to televise games. The latest fees coming in to NFL teams have increased again with each NFL owner pocketing 95.8 million per year. Then throw in another nine million from non-network media (think about Direct TV offering the NFL package) for each owner.

The owners are currently sharing 56 to 60 percent of the revenue with the players, as per the terms of the CBA.

What will the new terms look like compared to the prior figures we just mentioned? One very interesting sticking point that looks to be a major issue is the whole concept of switching two preseason games into two more regular season games.

On the surface, fans are thinking, wow that is great, two more weeks of the regular season. The players meanwhile are dreading the thought of dragging their bodies through two more weeks of unbelievable violent collisions. If you are already physically dragging yourself through the final month of the season, how will they feel in weeks 18 and 19?

If this happens to pass, expect the owners to grant larger roster sizes, and some type of more fluid roster flexibility as teams attempt to cope with greater number of injuries down the stretch. There has to be a degree of give and take to make all this work.

What Are the Chances of a Lockout or Player Strike?

This is not out of the question, as there has been previous precedent set for the three major team sports.

The NFL has had a strike occur in 1982 (lasted for 57 days) and again in 1987, (lasted for 24 days). The NBA had a lockout in 1998 that lasted for 200 days, while MLB has seen three strikes in the modern era in 1972, 1981, and 1994.

As a big baseball fan, I recall hearing a number of people swearing off the game and were adamant that they would never come back. I am sure that there are some people that stayed true to their word, while others eventually buried the hatchet and came back to the game.

What would happen to the NFL and its loyal fan base? Would some fans leave the game for good and find something else to do with their Sundays? 

College football would undoubtedly rise in popularity more than ever, because people love to watch the physical nature of the sport. As much as the sport of mixed martial arts continues to grow, a work stoppage in the NFL may cause more fans to turn to MMA for their need to see physical violence.

When you consider all the local businesses that are conveniently located adjacent to NFL stadiums around the country, they are all counting on the NFL to continue with business as usual. The NFL is still as popular as ever, but what kind of hit will they take with their huge fan base if they close up shop in 2011?

The entire fantasy football industry would be placed in hibernation or switch to college football, or fantasy baseball, hockey or basketball. You would still have people playing video football, but that to me personally would not even come close to making up for watching live professional football.

For the sake of the players, the owners, the coaches, the fans, the families, the businesses, the vendors and all the employees, I hope that all parties are able to keep their collective heads and show a degree of common sense when it is time to sit down to the negotiation table and keep the game going.

There is more than enough bad news in the world, we don't need to be missing the feeling of watching our favorite team in action every weekend.

If the NFL 2011 season never came to fruition, would you still come back to the NFL in 2012 with open arms or would you need them to win you back? What do you think?

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