Rodriguez Signed
Posted in Uncategorized on 09/17/2004 03:13 pm by admin

ESPN reported that Alex Rodriguez could potentially sign a contract thay pays 30million/year. Is he worth it?
I guess if anyone is worth 30million/year, it’s him. I even heard part owner of the Yankees as well. No other team besides the Yankees could possibly sign him for that much money!
First off, I am an A-Rod fan. That being said, he is not worth $25M per season, let alone $30M per season. Let’s look at the issue from 2 perspectives: Baseball sense & Business sense.
BASEBALL PERSPECTIVE:
Alex in Texas – (1998-2000) The 3 years prior to A-Rod joining the Rangers averaged 83 Wins per year.
(2001-2003) The 3 years Alex played in Texas the Rangers averaged 72 Wins per year.
(2004-2006) The 3 years after Alex left, the Rangers averaged 85 Wins per year.
Alex in New York – (2001-2003) 100 wins per year
(2004-2006) 98 wins per year
Alex does not guarantee more victories for a team.
The Rangers averaged 58 more runs per season before they signed Alex and are averaging the same number of runs since he went to New York.
The Yankees are averaging 45 more runs per season since A-Rod joined them (compared to the 3 previous seasons w/o him), but that is scewed by the 930 runs scored in 2006.
So run production is negligable with or without A-Rod.
BUSINESS PERSPECTIVE:
Attendance dipped by an average of 336,500 per season for the 3 years A-Rod was in Texas (compared to prior 3 years).
Attendance is up 50,000 per season since he left.
Attendance is up at Yankee Stadium by an average of 639,250 per season since A-Rod arrived. It jumped 300,000 in 2004, 315,000 in 2005 and 158,000 in 2006. How much of that increase is attributed to A-Rod? Assuming 75% is due to A-Rod wearing pin stripes, he is drawing an additional 479,500 fans per season. What that means is the Yankees would have to have an average ticket price of $52 to cover the cost of A-Rod’s contract (at $25M).
To pay him more, ticket prices would have to increase or he would have to be able to draw an additional 96,000 fans per season.
To me it does not make sense to sign him for such a large contract.
Alex Rodriguez autograph before the 2010 MLB All Star Game!
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