How Sam Zell's bungling botched the Cubs deal - and lost $150 million

suntimes.com - 12 weeks ago - 343 views

By posturing and messing with selling Wrigley Field to Illinois, the Tribune Co. CEO lost the strength of the market the best price possible for the Chicago Cubs in his deal with the Ricketts family.

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by HydeParkAdmiral 12 weeks 6 days ago

These Ricketts continue to impress:

In January, Zell settled on the Ricketts family, whose fortune stems from the TD Ameritrade brokerage, as the favored bidder. Sources said the price then was about $900 million.

Exhaustive talks followed, with Zell trying another detour: pressuring Ricketts to raise his price by inviting a previous bidder, New York investor Marc Utay, back to the table.

But insiders said the Ricketts family held firm and continued to negotiate hard on certain terms -- including how Tribune Co. evaluated the Cubs' broadcasting rights with its corporate cousins at WGN TV and radio and Comcast SportsNet Chicago. Tribune's 25 percent stake in Comcast SportsNet Chicago is part of the sale to Ricketts.

"You can look at this deal and say the Ricketts family got a lot of concessions," said one source close to its bid.

There can't be too many people out there who've outfoxed Sam Zell on major deals like this.

by qstrian 12 weeks 6 days ago

Market timing is critical as Mr. Zell knows well. He's had his business ups & downs. Those who know him well count on Mr. Zell bouncing back from today's 20/20 hindsight headlines.