MLB Rangers Propose That Club Be Auctioned Off On July 16

The MLB Rangers Monday "proposed that the club be auctioned off July 16, with the winning bid confirmed six days later by a U.S. bankruptcy judge -- if Major League Baseball approves the winner," according to Barry Shlachter of the FT. WORTH STAR-TELEGRAM. An attorney for big lenders owed $525M "declined to say if they would fight the proposal," which includes a $15M "break-up" fee to be paid to Rangers President Nolan Ryan and Pittsburgh sports attorney Chuck Greenberg if their group is outbid. The Greenberg-Ryan offer for the team was valued at $502M, which "would become the minimum or 'stalking horse' bid that must be beaten by at least" $20M. Not part of the auction is a "side deal for real estate near Rangers Ballpark in Arlington valued by the original deal at about" $70M. The proposal indicated that "each subsequent bid for the team must be in increments" of $2M, and to participate, bidders must make a $1.5M "good faith" deposit. The proposal noted that the Greenberg-Ryan group "already has that amount on deposit in an escrow account." If MLB "doesn't approve the winner, the second-highest bidder moves up and secures the team should it pass muster by the league." One source "wondered if that provision was a backdoor way to help Greenberg's group." Greenberg Monday in a statement said that his group "has received all the money promised by its backers to secure the ballclub's purchase" ( FT. WORTH STAR-TELEGRAM, 7/6 ). In Ft. Worth, Jeff Wilson wrote an auction "appears to be the fastest way" for Greenberg and Ryan to "finally get their hands on the Rangers, even though the auction process would seem to be inherently unfair to them" ( FT. WORTH STAR-TELEGRAM, 7/4 ). The STAR-TELEGRAM's Shlachter reports all sides yesterday "discussed auction guidelines proposed by" Rangers law firm Weil Gotshal & Manges "to sell the team on July 16, which was recommended by a court-appointed chief restructuring officer." Talks "continued late" last night. Meanwhile, U.S. Trustee William Neary yesterday urged that Weil Gotshal "should be sent to the showers and replaced." Neary asserted that "all of the work -- and millions in fees -- Weil Gotshal & Manges received from team owner Tom Hicks jeopardized the fairness and transparency expected by the public" ( FT. WORTH STAR-TELEGRAM, 7/7 ). REALITY CHECK : In Ft. Worth, Jennifer Floyd Engel writes under the header, "Who Knew Jerry Jones Could Provide Sanity?" Engel writes to Jones, "The local sporting endeavors need an influx of normal, of stable, of drama-free. And as crazy as it sounds, that is you and your Cowboys. ... You know things are bad when your dysfunction looks functional." Engel added, "Does anybody doubt Chuck Greenburg and Nolan Ryan will eventually own the Rangers?" ( FT. WORTH STAR-TELEGRAM, 7/7 ). FOCUSING ON THE FIELD : The Rangers currently lead the AL West with a 49-34 record, and Rangers GM Jon Daniels said that the club is "carrying on without expectation that the sale will go through before the July 31 trade deadline." Daniels: "We're not counting on the sale coming to a head before the deadline at this point. If it does, we'll gladly adjust. There are a lot of good things going on and we expect to build on that with the team and resources we have" ( ESPNDALLAS.com, 7/5 ). ESPN DALLAS' Richard Durrett wrote "not having ownership in place limits what Daniels can do, but it doesn't mean he can't do anything" ( ESPNDALLAS.com, 7/6 ).

Rangers Seeking To Be Auctioned Off By Trade Deadline