Owners Approve Angel Purchase

Angel owner Jackie Autry handed Michael Eisner the keys to Anaheim Stadium Thursday, but the Walt Disney Co. chairman will not cross the threshold until some major improvements are made beyond the front door.

Though baseball owners unanimously approved Disney’s proposal to purchase 25% and controlling interest in the Angels, the entertainment giant will not assume day-to-day operations of the club until Disney and the city of Anaheim agree on a plan--within 60 days--to renovate Anaheim Stadium.

That means Angel front-office employees will spend another two months in limbo, wondering whether they’ll have jobs this season.

“I’m sure we’ve exercised the limits of Jackie Autry’s patience and the patience of her employees--I wouldn’t want to come to work every day wondering if I have a job,” Disney Sports Enterprises President Tony Tavares said.

“Unfortunately, they’re the victims of circumstances. They’ll have another 60 days of this, and I know it’s unfair, but that’s the way it is.”

Eisner, sporting an Angel jacket and an “Angels in the Outfield” cap, joined Tavares, Autry and American League President Gene Budig at a Biltmore Hotel press conference, during which several issues regarding the Angel sale were made clear:

* If there is no stadium plan by March 17, Disney can either proceed with its 25% purchase of the Angels or back out of the deal. If Disney buys the team without a stadium agreement, Eisner said he would explore the possibility of moving the franchise.

But there is no re-opener clause in the contract, meaning Autry cannot back out of the deal if Disney wants to buy the team. Autry can only pursue another buyer, such as former baseball Commissioner Peter Ueberroth, if Disney pulls out.

* There will be almost no flexibility in the 60-day deadline for a stadium renovation agreement, which will place an enormous burden on a city that is still reeling from the loss of the Rams and Orange County’s bankruptcy.

“I admit 60 days is not reasonable, but sometimes a timetable is necessary to get things done,” Eisner said. Added Tavares: “If it’s practically a done deal but not quite complete at the 60-day point, we could go 61-63 days, but we’re not going to go 90 or 120 days.”

* Tavares projects the stadium renovation, which would include removal of most of the outfield seats to reduce seating capacity from about 64,000 to about 47,000, would cost $110 million and could be completed by the 1998 season.

* Negotiations between Disney and Anaheim for the stadium renovation will be completely independent of the larger Sportstown project recently proposed by the city.

* Despite concerns from Anaheim City Manager James D. Ruth that the city may not be able to afford such a substantial investment, Disney officials are confident they can work out a plan without placing an extreme financial burden on Anaheim.

“We don’t want a home run-type economic situation--we just don’t want a black hole-type situation,” Eisner said, alluding to an outdated stadium lease that the Angels claim is partly responsible for losses in the $30-million range since 1991.

“I’m an optimist, and I assume we’ll get this done. I wouldn’t be here in an Angel jacket and cap if I didn’t think we could get it done. There are alternatives if we can’t, and they’re not pretty. We want to stay in Anaheim, but we can’t lose millions of dollars for that privilege.”

Tavares said Eisner insisted the stadium escape clause be added to the contract this past week when he became concerned that Disney, which also owns the Mighty Ducks hockey team, might suffer heavy financial losses in its first few years as Angel owner.

Tavares pointed to the plight of fellow NHL expansion owner Wayne Huizenga, who is looking to sell the Florida Panthers after only three years because he has lost millions from an unfavorable arena lease in Miami, as a scenario he wants to avoid.

“We can’t get into this without knowing what the financial situation is going to be,” said Tavares, who will run the Mighty Ducks and Angels upon completion of the baseball deal.

“Michael doesn’t want to get hurt. We’re not looking for subsidies . . . we’re not asking the city to come up with $175 million. We’re looking for a stadium [and lease] that gives us the ability to compete.”

Tavares wouldn’t specify exactly what Disney was looking for, but a successful stadium renovation plan would likely be a joint venture between Disney and the city that includes a new stadium lease that would generate more annual income for the Angels.

“It could be a 60-40 split, it could be a 70-30 split,” Tavares said of the renovation funding plan, without specifying which side would pay the larger share. “It depends on what revenue streams we can tap into. We haven’t put guns to anyone’s head. We’re looking for a creative solution, one I think is achievable without putting a major burden on anyone. I promise you, it will be shockingly reasonable to all involved.”

Tavares said Disney would like to transform Anaheim Stadium to a facility “with the ambience of a Camden Yards or Jacobs Field, but without all the bells and whistles--we’d be looking to make it more fan-oriented.”

In addition to the removal of the outfield seats, Disney hopes to add a restaurant overlooking the field, such as the one at Toronto’s SkyDome, along with an arcade or entertainment area.

“If we do it creatively, we think we can turn it into what appears to be a new stadium for baseball,” Eisner said.

Tavares said if the baseball deal is completed, Disney would likely develop a new logo in an effort to boost merchandise sales, and it might even consider changing the team’s name and colors.

The Angels’ baseball operations department, headed by General Manager Bill Bavasi and assistant general manager Tim Mead, is expected to remain intact after the Disney transaction, but about 20 of the 45-50 front-office employees are expected to be let go, with the marketing and sales departments taking the hardest hits.

Tavares said Disney will likely consolidate several departments under the Disney Sports Enterprises umbrella, meaning department heads will oversee operations for the Ducks and Angels.

While there has been concern among some baseball owners that Disney would have an unlimited player budget, Tavares said Disney will operate the Angels “in a fiscally responsible fashion.” The Mighty Ducks have the third-lowest payroll in the NHL.

“We hope to get average attendance up significantly and sell more luxury boxes--we want to generate funds to put back into the club,” Tavares said. “I’m not going to go out and bleed money for the sake of bleeding money. There’s got to be a reason, and a game plan, and we’re not going to go into a plan where we’re going to lose money for the next 10 years.”

Disney has been formulating its takeover plan for the Angels for months but, because of the stadium clause, it will have to wait another two months to implement it.

Angel President Richard Brown, who is not expected to be retained if Disney buys the team, said the extension “puts us all in limbo, and makes life very difficult for Bill [Bavasi] and Tim [Mead] and for our marketing department. And what if someone leaves? Do I hire someone to take his place?”

But Bavasi didn’t think a delay in the sale would affect the Angels’ baseball decisions. He said he will continue his pursuit of a right-handed pitcher and catcher, the two most pressing needs of the 1996 team.

“We’ve juggled through this for so long, we’ll just continue to do so,” he said. “My sense is that things will get easier for us, because there’s a definite partnership between the Angels and Disney.

“I don’t look at this as Disney having 60 days to get out of something. I look at it as them having 60 days to make something work.”

Angel Notes

General Manager Bill Bavasi completed one minor deal before the close of the owners’ meetings, sending reserve outfielder Kevin Flora to the New York Mets for utility infielder Aaron Ledesma Thursday. Ledesma, a good contact hitter who can play second base, shortstop and third, hit .242 in 21 games for the Mets last season and .299 in 56 games for triple-A Tidewater. Ledesma, 24, was placed on the Angels’ 40-man roster and was invited to spring training. Flora, once a top infield prospect in the Angel organization, was traded to the Philadelphia Phillies for Dave Gallagher last season and had signed a minor-league contract with the Angels in November. He was placed on the Mets’ triple-A roster.