http://www.businessofbaseball.com/kasten_interview.htm
May 7, 2006 - Stan Kasten is back in the game.
This past Wednesday at 4:45pm, Commissioner Selig announced the winning bid
for the Washington Nationals. Theodore Lerner, a Washington, DC area real
estate magnate, became the principle owner, but Kasten was the straw that
stirred the Nationals deal —bringing his background with the Braves and the
development of Turner Field into the mix. His merging into the Lerner's group
was the tipping point that pushed that bid over the Zients/Malek group (use
these links to read profiles on the groups that were considered long-shots,
and the groups that were considered front-runners in the Nationals bidding
process). He is considered to be a visible and crucial part of the new
ownership.
In November of 2003, Kasten resigned as the president of the Atlanta Braves,
Thrashers, and Hawks.
That's right, Kasten was president of not one, not two, but three
professional sports franchises. He is the only sports executive to have ever
run three franchises at the same time.
Kasten became president of the Atlanta Hawks in April of 1986, president of
the Braves in November 1986 and president of the Thrashers in November 1999.
When he joined the Hawks, at the age of 27, he became the youngest GM in the
history of the NBA.
Kasten's introduction to professional sports management came as a result of a
1976 meeting at a Braves-Cardinals game, with Braves owner Ted Turner, where
Mr. Kasten was celebrating his law school graduation with a tour of major
league ballparks. Soon after, he was appointed legal counsel for the Hawks
and Braves, and one year later (1977-78) became the Hawks’ assistant General
Manager.
Born February 1, 1952 in Lakewood, N.J., Mr. Kasten attended Rutgers
University before transferring to New York University where he graduated in
1973 with a degree in psychology, earned Magna Cum Laude honors and was
chosen Phi Beta Kappa. He received a Juris Doctor degree from Columbia Law
School in 1976, playing in the Jersey Shore summer Baseball League during his
law school years.
He is a recipient of New York University’s distinguished Alumnus Award in
2003, and sits on the Board of Directors of the Sports Lawyers Association,
which awarded him their coveted “Award of Excellence” in May 2000. Mr.
Kasten and his wife, Helen, have four children and live in Sandy Springs, GA.
Now, Kasten may have his biggest challenge yet, which, as this interview
shows, is a large reason why he took up the challenge. It is the enticement
of building a franchise from the ground up that he sees as the biggest
national, as well as international market that is so intriguing.
The following interview took place on the Friday after the award to the
Lerners. Kasten was understandably upbeat, and engaging. This interview
touches on how and why he merged with the Lerners, how his relationship in
the past with the Lerners made for an easy transition into the group, whether
the formation of the Red Sox ownership group in 2002 had any bearing on the
Nationals ownership creation (Selig moving individuals from the groups around
to get a "super group"), what steps will need to be taken to help market the
team, the issue with MASN and Comcast being in dispute, whether the new
owners will address improvements to RFK, what Kasten learned in the
development of Turner Field that can be applied to the new Nationals stadium,
the philosophy that Kasten has on player development, what National fans can
expect of the new owners, and much more. – Maury Brown
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BizBall: First of all congratulations on landing the winning bid along with
the Lerners for the Nationals. How does it feel to be back in the saddle
since stepping down as president of the Braves, Thrashers, and Hawks in
November of 2003?
Kasten: I've had a blast the past couple of years doing what I was doing,
looking for a perfect deal and a perfect situation. So let me say that all of
that time was well spent because I really have found that when I left my job
in Atlanta, I said “take your time and find something bigger and better than
I had ever done before” and I can tell you that after all this time, I
actually have found it. I was ready to build the stadium from scratch, build
a team from scratch, and in the most important city in the world is just—for
what I do—it's the top of the mountain.
BizBall: Ted Lerner contacted you just after you stepped down as president of
the Braves, Thrashers, and Hawks. He had just missed the purchase of the
Redskins at the time, and mentioned that he wanted own a sports franchise.
Did you stay in touch during the stretch between then and the bidding for the
Nationals?
Kasten: I had a great talk with him. Sometime later—each time I was in DC, I
would stop by and see him. I spent some time with him, and he was delightful.
Maybe 9 months or a year later, when the Nationals thing happened, I got
another call from him, and chatted and spent some more time with him. His son
was terrific; he's a wonderful gentleman. We all decided to put in our own
bids. We didn't know how it would end up, but it was just serendipity that
we wound up coming together at the end the way we did.
BizBall: Who contacted who about merging the two groups -- yours and the
Lerners?
Kasten: In the last month of the process it was really clear to me that my
group, although terrific, wasn't going to prevail in this case because the
principal financial backers weren't from Washington and there were some very
good alternatives in Washington. So I understood that once I learned that, I
almost was encouraged by baseball to consider staying available for the
possibility of joining another group, if that's what I wanted to do, then
they would certainly like to see that. So I thought about that and it was I
who reached back out to Ted's group—we had mutual friends in the group (in
each other's group) and through some of those friends we got back together
and had some more chats and very, very quickly decided it would be a good fit
with each other.
BizBall: On the formation of the group... How much influence do you feel the
Red Sox ownership structure that was negotiated by Commissioner Selig played
in how the selection of the Nationals ownership occurred?
Kasten: Oh, I think there's a mythology built up around that—about how Bud
manipulates things and really moving pieces around. I think that Bud
encourages, and helps that criteria, and things come together organically in
the way that makes the most sense. That's probably a closer decision of what
happened in Boston, than any other perception.
I think a similar process was used here. The criteria kept getting clarified
as the process went on. As the different mileposts, different targets,
different goals from baseball came in sharper focus, pieces started moving
around, and as I said, organically, in a way that would kind of help better
meet these targets they picked. That's what happened here.
The Lerners thought, when I became available, that I might be a strength,
that could enhance their group. I thought, that if I joined any one of the
groups—if I had a chance to join the Lerner group, that would put me in a
better position because of what I might be able to contribute. So, again, it
was more the organic movement of things as the process unfolded. It certainly
wasn't any direct intervention or manipulation. That never happened, even
though there certainly is a little mythology around that.
BizBall: Out of the laundry list of issues that new ownership will want to
address, what is the first order of business?
Kasten: My list of items that have to be done as my “first order of business
”is now twelve pages long. We have a lot of things to do and we're working
on all of them simultaneously. I can't say that any (single) one stands out,
but obviously there are many, many big things. We have to invest a lot of money in rebuilding the franchise, we have to
really look at our customer experience in our current stadium, we have to
delve into the plans for our new stadium, we have to begin the initiative to
helps us reach out to all of our community, we have the MASN issue to
confront to where we can get our games on all television areas in the region.
Is this enough of a top line to be concerned right away? I think it is.
BizBall: How important is it for the Lerner group to place their stamp on
this franchise after being collectively owned by MLB since 2002?
Kasten: With the Lerners it will be a pleasure, and it will be easy with so
much experience. All they do are the very highest quality buildings and
venues. They have generations of background doing that. They certainly
enhance our ability to put at least that high a quality stamp on the
franchise. The Lerners look at how this will reflect on them in the
community. Like everything else they've done, they intend to make this a
huge, long-term success.
BizBall: The process involving the selection of the new ownership took an
extremely long time due to MLB's instance on the District finalizing the
stadium funding component. It basically placed the Nationals front office in
a state of limbo, with some exceptions. While the process to finalize the
ownership transfer won't be done till June, what areas can you and the new
ownership group now to prepare for the transition?
Kasten: Well, everyone knows everyone—transition won't be an issue. Tony
Tavares has been so professional from the start with the difficult, difficult
assignment he was given. I don't know an exact timetable for everything, but
sometime after the owners' meeting in a few weeks, assuming we get approval,
we will start the process of getting to work our way into the front office
and hopefully we'll be fully implemented by the time we're handed the keys,
whenever.
BizBall: Have you met with Frank Robinson and Jim Bowden yet?
Kasten: I met with both of them, as well as with Tony in the past couple of
days. Mind you, all three of them are long-time friends of mine. I spent time
with each of them and I look forward to that.
BizBall: You're slated to meet with HOK and Joe Spear next week on the
design of the new facility for the Nationals. How will you tackle keeping the
construction on time and on budget?
Kasten: Well, you know that is a job for the City and the architects and the
construction company. Those are the signatories of the contract, which has
been fully negotiated, and I'm not going to interfere in the deal or any of the progress of the
construction. We do want to get in as quickly as we can to lend our
experience, and lend our thoughts and suggestions. If there are ways we can
enhance things we'll certainly want to offer our input. I don't know what
we're going to be able to accomplish, as a practical matter. But I certainly
want to take the load and if we can help—we do have some strong opinions,
and we have some experience, that we can help to do it.
BizBall: On the stadium design… One aspect of the overall design that many
have been critical of is the placement of the two parking structures just
outside of centerfield. While the Lerner group has not pledged any monies
toward moving the structures underground, can you envision working to achieve
some fund mechanism to achieve the movement of the structures underground?
Kasten: You know, there's just no point in asking me specifics on that right
now. I haven't looked at the plans, all I've seen are newspaper drawings. I
hope to get into that next week, and maybe in a few weeks I'll have a much
better feel to answer a question like that. It's just too early for me to
give you a good answer.
BizBall: What steps, if any, can you make to improve the fan experience at
RFK while the new stadium is being built?
Kasten: I think we can do some things. Obviously, there are physical
limitations due to the age of the facility. But, there are things we can do,
and we already have a team that is already working on that. And, we hope to have a bunch of things to unveil and
talk about, again when we're given the keys to take over. There's a lot of
things to do and we're going to work very hard to put them in place.
BizBall: It has been widely said that a key factor in the selection of the
Lerner group was your addition to the group and your background with the
Braves and the construction of Turner Field. What did you learn during that
process with the Braves that you can apply to this construction project?
Kasten: Have you ever been to Turner Field?
BizBall: Not as of yet.
Kasten: To me, the central feature of Turner Field is not the architecture,
which is grand and spectacular. It's not the sight lines which are
magnificent. It's the fan amenities. The way we've activated spacings in the
area. The way we've animated that with things that appeal to fans—not just
hardcore fans—those that sit in their seats for 9 innings. No, it's for all
the people.
Most fans who like to get up and stretch their legs think they need to come
away and say... Look, we need to have other things in the building to
entertain them; to keep them there to appeal to them. And that's what we did
in Turner Field with our entry plaza where they have games, and concerts, and
videos and all kinds of opportunity to keep people interested and excited.
Tooner Field for kids. The Chop House for adults to eat in. The Bars that we
have hanging out over the field. Sky Field, which is a playland for kids that
is in a baseball theme that is on the roof. A lot of thought was put into
that. But, you know, it keeps your fans coming to your games because we have
provided things for seniors, and kids and women and non-hardcore fans, all of
which you need. Two million fans we need to have. You know, we cannot make it
work with just hardcore fans. We need non-hardcore fans, so we need to
provide other things besides just the game.
BizBall: Marketing the Nationals has been an area that has been lacking since
the relocation of the franchise from Montreal. Attendance has slipped this
season due to a number of factors, marketing being one. What steps will the
new ownership take to try and address this situation?
Kasten: Well, you know it's a big job. We're going to look at who's there and
bring in a whatever we need. We're going to spend a lot of time and attention
on that. Again, we'll have plans to unveil, but we're not ready to talk about
that today.
BizBall: As for the on-the-field product... What will the philosophy be on
developing the team, be it through free agency or farm system development?
Kasten: It's not a secret formula. It's something that has been proven many,
many times in different contexts. You have to build from the ground up in
baseball, it's very much a development sport, unlike basketball. In baseball
you really need to focus on scouting, player development and minor leagues.
All those things require time and money, and we're absolutely determined and dedicated to do it that way. Those that would
provide not just money, but the time. And time is even more important than
money, in many cases. These owners want to build long term success ; they
understand that it will take a little while longer to build it that way, but
when we finally turn the corner, the success we have will be much longer
lasting.
BizBall: Given the number of areas that need to be addressed with the
franchise, do you see a need to increase the front office staff?
Kasten: Well, I suspect so. But again, I'm trying to keep an open mind. I
haven't reached any conclusions on anything. And, we'll see where things fall
when I get in here and learn everyone and see where the needs are.
BizBall: How critical is it for there to be a resolution between MASN and
Comcast to get the 1.3 million subscribers that are currently unable to see
the Nationals televised through Comcast?
Kasten: It's absolutely critical. I mean, all our fans have to see all of our
games. Period. That's the only acceptable solution. I know that is also the
best solution for the Orioles and for Comcast, as well. And, we're going to
dig right in it. I think it makes a lot of sense for the three parties to figure out how to do it because we also know that the
external parties are very interested in this, and they want that solution and
ultimately that's the solution that there will be. So, we'd be a lot smarter
if we got this sorted out before the external parties, like Congress, like
the City Council get involved because nothing gets easier or better if we
have to have them force the solution on us.
BizBall: On MASN… What are your feelings regarding the structure of the
arrangement between Angelos and the Nationals? Is the MASN arrangement viewed
as a plus as it is, or is there room for refinement in the arrangement?
Kasten: There is no point talking about ancient history. With eyes wide open,
we know what we've purchased and the deal is in place and we're going to
proceed along those lines. The most important thing now is getting our team
to be as good as it can be and getting our games on as many homes as possible.
BizBall: Finally, what would you say to the fans of the Washington Nationals
about what they should expect from the new ownership group?
Kasten: I think they're going to see an ownership that is passionate and
willing to develop a product given the time that's required. I think they're
renowned for the quality, cleanliness, and maintenance of their
facilities. I think by the time we get up and running in the new facility, I
think we look forward to becoming one of the great success stories in baseball
— both nationally and internationally. Let's remember, as the game grows
globally as it has been doing, particularly with the recent advent of the WBC, we are a city
with not only a news bureau from every city in the country, but a news bureau
from every country in the world that plays baseball. So when we have success
here, I think it's something that people will be able to follow globally.
We're aware of our potential and our expertise in making that happen, and we
expect that to be delivered (on the potential).