OT - Jimmy is Dunne with the PGA Tour

[Wayne_Kozun]

https://www.si.com/golf/jimmy-dunne-resigns-from-pga-tour-board
It will be interesting to see if this makes a deal with the PIF/LIV less likely.

[Steve Lapper]

For those unfamiliar with Jimmy Dunne, he is unequivocally one of the smarter, shrewder people anywhere, in any room.


By little, if any, design of his own, his timing and ability to stay above the fray per the PGA Tour and its rampant greed and stupidity remains impeccable. From deal-making white knight to test pilot correctly pulling the eject button, Mr. Dunne's chess skills are unparalleled. Furthermore, he is a very generous good guy with a big heart who has left a trail of grateful beneficiaries and admirers.


The PGA Tour, led by a disastrous future HBS case study in how to f...k up a monopoly(aka Jay Monahan), is not far from the alligator jaws and its death roll. The quite-spoiled player leadership, talented on course, yet wildly unproven, if not borderline inept off-course, has their governance dirty laundry freshly aired every week. What else would you expect from a group of guys reliant on their Remora-fish agents for all their business advice? This, combined with a steep fall-off in viewership, is hardly a recipe for success. To those of us in the business world, only the participation of the SSG folks stands between a proverbial kick-save and disaster.


The product is poor, transparent with greed, and rapidly losing both audience and relevance. Its internal fortunes (spread unevenly) are doing little to head off its external commercial failures and future. Sponsors see this and are both privately and publicly questioning the validity of both current and future commitments.   


Now one of the savvier parties to all the above pulls the ripcord and floats back to his C-suite (and 14+-out-of 10 of the world's best golf club:~) with his reputation intact and a new, friendly hotline to one of the world's largest pools of capital.


 FWIW, I think the Tour's smugness, arrogance and overpaid excuse for leadership led to where it is today. Personally, I look forward to a bag of popcorn and a front-of-the-house seat to watching all of this  dysfunction continue to unfurl. One day, the Tour--in some new iteration--will re-emerge as worth watching. Until then, we golfers should be happy and content focusing on our own participation as players and the real custodians of the game.

[Tom_Doak]

It makes you wonder if leadership at the Tour ever wanted a merger, or just wanted not to go to court.


The anti-trust expert whose blog I read said from the beginning it would never happen, that the press release announcing it was so full of anti-trust red flags that it was clearly designed to fail.  But if that was the intention, I wonder why Jimmy Dunne stayed involved even as long as he did?

[Jim Hoak]

I would second--or add to--the thoughts expressed.
Jimmy Dunne is one of the best, most thoughtful guys in golf. 
My understanding of the rationale behind the structure of the PGA Tour Board was to give the players the benefit of sound business minds on aspects of the Tour business.  I am told that the business directors always deferred to the Player directors on playing matters and only entered into the discussion on business matters.  With the Players having less experience and knowledge of business strategy and issues, this was a strategy beneficial to the Tour.
But, as often happens, non-business people (like the Players) think they know more about business than they really do.  The business directors respect their golf abilities, but the respect isn't mutual.  Business expertise is a skill just much as is shotmaking, but so many people don't understand or appreciate this--and they pay for it.  (Maybe it's why so many doctors and dentists are such poor business people?)
In cutting Jimmy out of the decision loop, the Tour has made a major mistake--and may well pay dearly for it!

[Steve Lapper]

It makes you wonder if leadership at the Tour ever wanted a merger, or just wanted not to go to court.


The anti-trust expert whose blog I read said from the beginning it would never happen, that the press release announcing it was so full of anti-trust red flags that it was clearly designed to fail.  But if that was the intention, I wonder why Jimmy Dunne stayed involved even as long as he did?

I think it's fair to say Tour leadership never desired a merger until it had little choice. Only post the Jon Rahm signing and pre the SSG investment was there ever momentum for a deal. You're right that they didn't want to go to court where discovery would've been both embarassing and seriously damaging.


Whomever's podcast you listen to projected a cursory analysis. Sure, there were always anti-trust concerns, especially back when the DP World Tour, European & Asian Tours were quasi-independent and could be considered potential competitors to the PGA Tour. It was always more about a verbal smokescreen for politicians than a potential legal quagmire.

US sports leagues have long enjoyed specific anti-trust exemptions and Jimmy Dunne and Ed Herlihy both knew that and believed they could craft something similar, especially dangling the 501-3c charitable arm of the Tour. They, along with PIF, knew that if they could promote a combination (one without any existing national competition whatsoever) that attend the charity coffers alongside presenting professional golf, they could paint opposing politicians in an unfavorable light...especially if the Saudis became tighter, more codified US allies.

All of this is now in the rearview mirror and the odds of a merger far slimmer than before. The tour would have to find a way to appease both the greediest of the players (need not look beyond Cantlay & Woods.... and don't forget the influence of their avaricious agents) and the guys at SSG who are neither pushovers, nor stupid. PIF knows this and has little reason to change from simply poaching more stars with real upfront $$$$. Pro golf is digging itself a deep hole.

[Bruce Katona]

Slapper:

So; with your bucket of air-popped popcorn (less calories and bad cholesterol for those of us of the AARP card carrying category), diet coke and cigar; handicap for us how this might play out between the PGA Tour & PIF/LIV.


I though with Woods (and Steinberg the business brains behind Tiger Inc) McIlroy & Cantlay on the PGA/PIF working subcommittee, there would have enough brains to get things accomplished behind closed doors. The two stars bring the PR muscle in to sell the deal to the PGA rank and file and John Q. Public; while staying free of Congressional Subcommittee Hearings on "Fairness' & "Foreign Government Interference in American Sports".


Reading today's paper you can see why Rory was distracted and not at his best - home life a-shambles and that's a shame with a young child.  Hopefully his personal life doesn't detract from his public life as it did for Mr. Woods.


I'd really like to get back to the best playing the best more than 4x a year but as a businessman I get PIF and being the 400 kg monster in the room.

[Kalen Braley]

Steve,

In the spirit of Bruce's comment, I'm curious what the PGATour could have done to resist the aforementioned proverbial 881 lb gorilla with its near trillion dollar fund?  Even stipulating the Tour was arrogant, greedy, etc, what meaningful moves could they have actually made to counteract PIF's strategy in flushing billions (a mere rounding error in value) down the toilet to poach many of its biggest names with ungodly money and watch the Tour wither on the vine?

I get armchair QB'ing from the cheap seats and 20/20 and all, but in this situation, I don't see any defenses they had at their disposal.

[Steve Lapper]

Steve,

In the spirit of Bruce's comment, I'm curious what the PGATour could have done to resist the aforementioned proverbial 881 lb gorilla with its near trillion dollar fund?  Even stipulating the Tour was arrogant, greedy, etc, what meaningful moves could they have actually made to counteract PIF's strategy in flushing billions (a mere rounding error in value) down the toilet to poach many of its biggest names with ungodly money and watch the Tour wither on the vine?

I get armchair QB'ing from the cheap seats and 20/20 and all, but in this situation, I don't see any defenses they had at their disposal.

Gents,


  I have no crystal ball to look into and give you anything more than some history and some personal speculation.


  Years back, several different people and parties made pilgrimages to Ponte Vedra proposing various ideas for a World Tour. Some were raw and acrimonious, others polished. Names you know like Greg Norman and some you don't... like Andy Gardiner. The PGA Tour gave the proverbial Heisman to all of them. Jay Monahan was privy to all of those. The Saudis were just the latest, and with the deepest pockets.


  Like a company that has no corporate defenses to a hostile takeover, it is the fault of senior management to not recognize that outsiders were looking to compete, and ultimately able to outmaneuver the institutional, staid business at a time of vulnerability. Thats why I believe the events of the last 24mos. will be a premier case study at the likes of HBS, Stanford, Wharton or Ross business schools in the not too distant future.


  What could've the PGA Tour done? It could've sat down at the table with Yassir and PIF shortly after they emerged and crafted a deal to co-opt the bidding wars by creating a world-oriented tour and invent a new tour with occasionaly different formats that showcased talent in a new light. Instead, they turtled inwards, protected Jay and thought they could continue to exist like the corner book store down the block from a terrestrial Amazon. Of course, this is very easy to describe with 20-20 hindsight, but shrewd sports investors like Gerry Cardinale, John Henry, Robert Kraft and Arthur Blank and certainly the PIF all saw vestiges of this strategy through moves made over the last decade by the Premier league football, NFL, F1 etc...


  Ultimately, the SSG move was the only available bailout absent a merger that would've likely included the necessary beheading of Greg, Jay and half the Tour and LIV staffs. The SSG guys are smart and I'm hearing they would like to subsume or buy The Golf Channel inorder to re-leverage the media component and help centralize and monetize the content. The TGL and it's leadership have been twice as shrewd promoting that kind of competitive content. Face it, having another Rocket Mortgage or RBC Heritage event in a third tier location doesn't do much for the brand, nor the reputation of the pros. IMO, only a whole shake-up of professional golf (in a way we have yet to see it) will create renewed interest. Until then, only the Majors have any chance of retaining $$-enabled eyeballs.


PS Bruce, please substitute some single malt for the Diet Coke......to hell with the AARP suggestions for prostate health :`)

[Steve Lapper]

Steve,

In the spirit of Bruce's comment, I'm curious what the PGATour could have done to resist the aforementioned proverbial 881 lb gorilla with its near trillion dollar fund?  Even stipulating the Tour was arrogant, greedy, etc, what meaningful moves could they have actually made to counteract PIF's strategy in flushing billions (a mere rounding error in value) down the toilet to poach many of its biggest names with ungodly money and watch the Tour wither on the vine?

I get armchair QB'ing from the cheap seats and 20/20 and all, but in this situation, I don't see any defenses they had at their disposal.

Gents,


  I have no crystal ball to look into and give you anything more than some history and some personal speculation.


  Years back, several different people and parties made pilgrimages to Ponte Vedra proposing various ideas for a World Tour. Some were raw and acrimonious, others polished. Names you know like Greg Norman and some you don't... like Andy Gardiner. The PGA Tour gave the proverbial Heisman to all of them. Jay Monahan was privy to all of those. The Saudis were just the latest, and with the deepest pockets.


  Like a company that has no corporate defenses to a hostile takeover, it is the fault of senior management to not recognize that outsiders were looking to compete, and ultimately able to outmaneuver the institutional, staid business at a time of vulnerability. Thats why I believe the events of the last 24mos. will be a premier case study at the likes of HBS, Stanford, Wharton or Ross business schools in the not too distant future.


  What could've the PGA Tour done? It could've sat down at the table with Yassir and PIF shortly after they emerged and crafted a deal to co-opt the bidding wars by creating a world-oriented tour and invent a new tour with occasionaly different formats that showcased talent in a new light. Instead, they turtled inwards, protected Jay and thought they could continue to exist like the corner book store down the block from a terrestrial Amazon. Of course, this is very easy to describe with 20-20 hindsight, but shrewd sports investors like Gerry Cardinale, John Henry, Robert Kraft and Arthur Blank and certainly the PIF all saw vestiges of this strategy through moves made over the last decade by the Premier league football, NFL, F1 etc...


  Ultimately, the SSG move was the only available bailout absent a merger that would've likely included the necessary beheading of Greg, Jay and half the Tour and LIV staffs. The SSG guys are smart and I'm hearing they would like to subsume or buy The Golf Channel inorder to re-leverage the media component and help centralize and monetize the content. The TGL and it's leadership have been twice as shrewd promoting that kind of competitive content. Face it, having another Rocket Mortgage or RBC Heritage event in a third tier location doesn't do much for the brand, nor the reputation of the pros. IMO, only a whole shake-up of professional golf (in a way we have yet to see it) will create renewed interest. Until then, only the Majors have any chance of retaining $$-enabled eyeballs.

[Erik J. Barzeski]

By little, if any, design of his own, his timing and ability to stay above the fray per the PGA Tour and its rampant greed and stupidity remains impeccable. From deal-making white knight to test pilot correctly pulling the eject button, Mr. Dunne's chess skills are unparalleled. Furthermore, he is a very generous good guy with a big heart who has left a trail of grateful beneficiaries and admirers.

I wouldn't be so sure:

https://twitter.com/desertdufferLLG/status/1790171313786765716

Jimmy wanted to get his, too, and when he wasn't given control… he quit. He's possibly (likely?) as selfish here as anyone.

In cutting Jimmy out of the decision loop, the Tour has made a major mistake--and may well pay dearly for it!

Hmmmmm.

[Wayne_Kozun]

How well would a global tour work?  Hasn't the issue in the past been that most of the American players didn't like travelling and had no interest in attending overseas events?  Isn't that what killed the WGC events?
Are guys like Scheffler, Spieth, JT, etc any different and want to experience the world and see different experiences and different golf courses?  Or do they prefer playing bland courses in Florida for big bucks instead?

[mike_beene]

I once followed some tennis. Now the four majors are all I have any interest in. At least each is two weeks, so Tennis gets two months of focus. A few more signature and LIV events and just the majors and a few familiar tour venues is all I really know. All sports have only recently become generational wealth creators. Difficult to say everyone is in trouble when business people circle the game, and other sports, like opportunistic vultures. First world problems. How much more green paper can we get. Side show. The smell and sound of club on ball is all that really matters as far as golf goes.

[Steve Lapper]

If you wish a little mental enlightenment from a seasoned and intelligent observer (will never be me!), read this:


https://golf.com/news/jimmy-dunne-exit-power-struggle-societal-shift/?utm_campaign=forecast&utm_source=golfcom&utm_medium=email&utm_content=%7Bdate(


Erik,




Cutting and pasting a singular email between pals, without any real context, is silly and speculative.


Jimmy Dunne's character has stood the test of time. That is more than can be said for so many of the bigger name folks involved in today's professional golf morass.

[Tom_Doak]

  Ultimately, the SSG move was the only available bailout absent a merger that would've likely included the necessary beheading of Greg, Jay and half the Tour and LIV staffs.

Actually, in spite of the long article you just linked above, I think this line does the best job of explaining what is [not] happening.


The right business move would be to get rid of most of the people running these two organizations, and those people are doing their best to stay in control and not to let that happen.

[Rob Marshall]

The most prolific choker in major championship history and a degenerate gambler backed by unlimited funds seem to be on the verge of succeeding in their quest to ruin the pga tour. The tour that without, no one ever would have heard of them.

[Rob Marshall]

If you wish a little mental enlightenment from a seasoned and intelligent observer (will never be me!), read this:


https://golf.com/news/jimmy-dunne-exit-power-struggle-societal-shift/?utm_campaign=forecast&utm_source=golfcom&utm_medium=email&utm_content=%7Bdate(


Erik,




Cutting and pasting a singular email between pals, without any real context, is silly and speculative.


Jimmy Dunne's character has stood the test of time. That is more than can be said for so many of the bigger name folks involved in today's professional golf morass.

I don’t know Jimmy Dunne but I’ve read a lot about him, all has been positive. I don’t see him as the the guy when asked what his “number” is, replies “more”.

[Kalen Braley]

Given that its been almost a year since the "framework" announcement coupled with the increase of acrimony yet again between the two sides, I'm betting they are no closer now than then.

Tom's explanation seems most correct, it was just a stall tactic for future lawsuit/court action, and I can't blame them for taking that route.

[Ian Mackenzie]

The Saudis (and to a large extent Russia, too) are playing long-ball and seeking to be more diversified geographically and economically as they prepare for when, based on the new market demand in 10-20 years, oil crawls back to  under $20/barrel and their music stops.


Phil was at the end of storied career and he got to flip the bird to the PGA as he lined his wallet in a spectacular, yet predictable, cash grab.


Norman was going to die on this hill regardless so he finally found deep pocket partners to consummate his revenge-fueled ultimate move over the PGA tour and a "EF You" to Tiger Woods.


Greed + Envy + Money + Spite = POWERful disruptive tailwinds.


But, can the LIV model be sustained?
Will new rising young stars find a home and a purpose there?
Or, will the PGA's new economic incentives now keep the troops loyal while this all plays out?


Unless LIV consistently finds new young talent every year to LIV-it-up with Phil, DJ, Brooksie and Jon, their "league" will be nothing but a bunch of formerly great players now "playing resort courses in shorts" with their friends intramurally.


Rahm's silly little presser yesterday all but revealed his deep buyer's remorse.
Let Poulter flap his pie-hole. He's irrelevant.
Let Phil chirp away his chip on his shoulder caused by Tiger's total dominance over him.
DJ....love him...he's a pure spirit and he did it so he could "make more by working less". Respect.


I dont know jimmy Dunne, but I dont think he makes or breaks golf in America.
Deep down I bet he despises the Saudis and wants to see them squirm. I'm hopeful that some media/private equity combo platter cleans this shit up with fresh billions of new capital in the next 1-2 years and that Jimmy Dunne brokered the whole thing.


Let this 54 hole, shotgun start, no cut, guarantee pay programming play out. It's only watched in Australia.
If new talent doesnt cross over to LIV, then it dies.


Outside of Rahmbo, who else of note has defected in the last year?


My point exactly.

[Tim Martin]

The Rahm presser yesterday was ridiculous inasmuch as he “still considers himself a PGA Tour member.” That ship sailed.

[Ian Mackenzie]

Read what Lucas Glover has to say on this topic; it's refreshing:

Lucas Glover lashes out against PGA Tour player directors: 'We have no business having the majority' (msn.com)

The gist:

Now that Dunne is out, the tour's Policy Board features six current PGA Tour players—Patrick Cantlay, Peter Malnati, Adam Scott, Webb Simpson, Jordan Spieth and Tiger Woods—and just four independent directors. A replacement for Dunne is expected to be named to return the number to five.

"We [the players] have no business having the majority," Glover said. "Tour players play golf. Businessmen run business. They don't tell us how to hit 7 irons. We shouldn't be telling them how to run a business.

"We are running a business now. And we're all on the same team because this for-profit entity that's about to launch needs to get right. It needs to be right. And players that think they know more than Jimmy Dunne, players that think they know more than Ed Herlihy, players that think they know more than Joe Gorder, players that think they know more than Jay Monahan, when it comes to business, are wrong."

[David Cronan]

Read what Lucas Glover has to say on this topic; it's refreshing:

Lucas Glover lashes out against PGA Tour player directors: 'We have no business having the majority' (msn.com)

"We [the players] have no business having the majority," Glover said. "Tour players play golf. Businessmen run business. They don't tell us how to hit 7 irons. We shouldn't be telling them how to run a business.[/size]

The inmates are running the asylum. What could go wrong???

[Kalen Braley]

The Rahm presser yesterday was ridiculous inasmuch as he “still considers himself a PGA Tour member.” That ship sailed.

I get why everyone is bent out of shape over this...but technically speaking he is right.

When I got suspended in high school, I wasn't kicked out right?  Same for a sports figure or endless other examples.

If the PGATour actually never wanted him back they could use a word like "expelled" in the memo or say  "his membership was revoked"...but they didn't did they? 

[jeffwarne]

Years ago I mostly stopped watching/attending Major League sports in favor of minor league, college(especially smaller) and high school sports.
The hassle. crowds, traffic, lines, entitlement etc. just never seemed worth it to me.
Additionally, committing a significant portion of leisure time to keep up with the various pro sports just was no longer worth it.


I love a small town minor league baseball game, and this winter I attended the most fun sporting event I've ever attended in Fernie BC at a minor league hockey game. The arena was packed, the energy intense, and the crowd was very local, and extremely vocal.
The visitors were down 3-1 with 1:21 left in the game and pulled out a 4-3 win 30 seconds into OT when one of the home team players was dispatched to the penalty box. 3 goals in less than two minutes in a frenetic hostile environment.
The place was electric the entire game-despite the disappointing outcome.
The first week of April I attended a minor league baseball game in Augusta GA, Great fun energy and spirit again.
In fairness, I also attended a Rangers playoff game a few weeks ago, and it was pretty darn good, but the hassle factor was high.
Give me that Fernie game any day.


For years golf remained relatively pure, at least by comparison, BUT...now it is not.
Pity.
Play more, attend local events, travel to golf courses rather than events etc.
Doesn't change my love of golf-just don't need to watch spoiled golfers, or any other athlete talk about "generational wealth" as opposed to their love for the sport(anymore than I want to listen to a Real estate or tech mogul  chat about his wealth)
The stars that took the money didn't need to, leaving is on them, not the Saudis, and those who did need the money, or were aging out. were not a loss for the Tour.
Life goes on and we all live with our choices.

[Jeff Segol]

Most of the LIV players are over the hill. The exceptions:


DJ--I don't think he even likes golf that much, he just likes what golf has gotten him. If he can get those $$$ without playing or practicing, and can spend more time on his boat and with his wife, he's happy to do that.


Koepka--Based on the Netflix show, he really thought his career was in jeopardy due to injuries, and wanted the guaranteed money to protect his family. If he knew he was going to get well, he wouldn't have left the PGA Tour.


Cam Smith--By going to LIV, he can play more overseas, particularly in Asia, and spend more time at home in Australia, and less time in the US.


Rahm--Maybe he'll relocate back to Spain, and spend less time here, similar to Smith.


DeChambeau--Also lost in the PGA Tour wilderness due to injury from his fascination with muscle and distance. His situation, IMHO, was similar to Koepka's.


I would also note that these guys all have long-term exemptions in the majors, from having won a major, and DJ and Rahm now have lifetime exemptions to the Masters. If you're in the Masters, your part of the golf fraternity, whether you're on the PGA Tour or not. It appears to me they weren't giving up much by going to LIV, so I'm not surprised that they ran for the cash.


To be successful, Monahan and company needed Augusta National and the USGA to stand with them against LIV, which didn't really happen. Ultimately, there will be a settlement, and the two sides will be joined again.

[Chris Hughes]

Most of the LIV players are over the hill. The exceptions:


DJ--I don't think he even likes golf that much, he just likes what golf has gotten him. If he can get those $$$ without playing or practicing, and can spend more time on his boat and with his wife, he's happy to do that.


Koepka--Based on the Netflix show, he really thought his career was in jeopardy due to injuries, and wanted the guaranteed money to protect his family. If he knew he was going to get well, he wouldn't have left the PGA Tour.


Cam Smith--By going to LIV, he can play more overseas, particularly in Asia, and spend more time at home in Australia, and less time in the US.


Rahm--Maybe he'll relocate back to Spain, and spend less time here, similar to Smith.


DeChambeau--Also lost in the PGA Tour wilderness due to injury from his fascination with muscle and distance. His situation, IMHO, was similar to Koepka's.

How do you define "over the hill"?