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June 7, 2007
SAN ANTONIO, TEXAS: Game One
COMMISSIONER DAVID STERN: Thanks, everyone, for coming. My opening remarks will be brief. I think it's a great time to be a fan of basketball, and particularly the NBA at these Finals. We have two extraordinary teams and they're representative of a lot to me. Looking at the Spurs, going for their fourth championship, Tim Duncan, a certain Hall of Famer, surrounded by Ginobili, Parker, a couple of role players, and Michael Finley and Robert Horry. I mean, it's very exciting, and the international influence, of course, you could go through the list. You see how it enriches our game on the Spurs. So we couldn't be happier for them and with them.
The Cavaliers have demonstrated an enormous amount of growth to the world in the course of these playoffs, and there's been a lot of media coverage about LeBron. But you don't get here alone, not even the greatest of the great get here alone. We're watching this series that Daniel Gibson had, seeing Zydrunas Ilgauskas after the difficult start of his career, hitting his stride. It's just exciting to watch that team.
And I view LeBron, just as Tim is representative of the future certain Hall of Famers, when you look at LeBron, you just think of him representative of the future of this league, whether it's his own class of D-Wade or Carmelo or Chris Bosh or the other young players that have excelled in these playoffs, whether it's a Carlos Boozer or a Dwight Howard or just the young kids in our league, Chris Paul. We couldn't be in better shape, and it's an exciting time, as I said, to be a fan.
We're looking forward to the series. We think it's going to be absolutely terrific.
I have some -- I guess it's not fair just to mention the international influence on the Spurs, the contributions to the NBA from Brazil, Lithuania and Montenegro on the Cavalier team have been no less substantial, and again, they're sort of representative of the international influence that we've seen this past season, including Dirk Nowitzki, our MVP.
I make the mandatory sort of business statements. We've had another record year of attendance. We are particularly appreciative of the efforts of our partners at TNT and ABC and ESPN for presenting us in ever-improving fashion throughout the course of the year. We're delighted with the amount of attention this playoff time has received, shall we say digitally, with a number of visits on a monthly basis to NBA.com is well over 30 million, the number of visits to the websites for downloading of MDA video, and interest is up in the hundreds of millions, and in the way that we're just now learning to begin to measure the attention that is being garnered on a global scale of these playoffs is, I think, the highest it's ever been.
A couple of interesting wrinkles tonight. Tonight's game at the start will be broadcast across 15 different platforms of ESPN. It's an interesting way to draw attention to our game. By platforms I mean such thing as ESPN, ESPN 2 ESPN news ESPN Deportes and the like.
And Game 2 is going to be telecast in high definition 3-D, HD 3D for those of you who saw it at the Quicken Loans Arena in Cleveland for the fans of the Cavaliers. We first experimented with that in Las Vegas. We're taking another step now, and that's a very exciting technology that we think will ultimately have a place in the NBA.
So you're looking at a pretty happy Commissioner as we get ready to launch the series. And also, believe it or not, I'd be happy to take any questions that you have.
Q. Irrespective of the proper application of the rule, and I think we all agree that it was properly applied, does it concern you that there's a segment of the NBA fan base that believes the Spurs' path to this point right now was tainted by the suspensions in the Phoenix series?
COMMISSIONER DAVID STERN: I would say without making light of it, there's certainly geographically located -- there is a very intense segment in the state of Arizona, and it concerns me that the enforcement of the rule gives them that impression, but it is what it is. We recently brought the subject up for discussion at our Competition Committee meeting, and there was no proposal to change it. Our teams are satisfied with the enforcement and generally felt that any other enforcement would have been quite questionable, given the past enforcement and the general awareness of the rule.
Q. We have five NBA players in Argentina. The NBA went to Mexico, Puerto Rico, also to Europe. Are you planning to have a game in Argentina or Brazil?
COMMISSIONER DAVID STERN: We are having this summer Basketball without Borders in Brazil, and we are looking into the schedule as it relates to an expanded presence in South America. This year, as you know, we're going to be having exhibitions in Europe and exhibitions in China, and Basketball without Borders around the world. There are no current plans for South America, but we will -- we're aware of the great appetite for basketball, and there is a segment in our office that's studying how best to do it, but we do have certain limitations.
Q. With that being LeBron's debut on this NBA Finals stage, how much do you think the development of a transcendent player, the likes of which we've seen over the past 20, 25 years with Bird, Magic and Jordan and Kobe and Shaq, depends on the size of the market that the player plays in?
COMMISSIONER DAVID STERN: Oh, I don't think it depends upon market size at all, particularly given the technology and awareness that's upon us today and the amount of television and our games on TV. Everybody knew Malone and Stockton. They weren't in the largest market. Even back in the old days when Bill Walton was running the floor for Portland, the fans knew about him, but he didn't have the -- and what people forget is that in the really good old days, Russell and Chamberlain played in relative obscurity compared to the televised coverage today. You know, if you wanted to watch a college game, you watched it on NBC. There were very few NBA games, and you really didn't know players that way, but people got to know them.
Now, frankly, LeBron James was one of our best known draftees as a result of his game being televised in high school and all the hoopla around him. So there's something else happening. We've all been part of it, so sometimes you don't step outside of yourself and watch the transition.
But right now when a player, wherever he's from, does something great, you know, you go to -- there are 10 million streams of that event amongst an audience that's much younger than the one sitting up here and out here, but it's happening so that I think that there's an extraordinary amount of publicity that really doesn't make it a function of market size. Unless you happen to live in a large market, and then the largest markets are as provincial as the smallest markets, and the question I always get, not about transcendent players, but how could the league be doing well without a successful team in New York or Boston or whatever, and the fact that we are having our fourth year of record attendance, and I think it will continue to grow.
Q. As a long-time observer of the NBA, as I know you are --
COMMISSIONER DAVID STERN: You or me? It's a dangling participle unless you connect it to the next phrase.
Q. With LeBron James, Tim Duncan last year, Dwyane Wade and Shaq and some of the players Harvey (Araton) mentioned, is the construct of the team in the NBA such now that if you don't have an elite or transcendent star, you really can't hope to have that ultimate success?
COMMISSIONER DAVID STERN: No, I don't think that. I mean, I think that -- you mean basketball success?
Q. Yes.
COMMISSIONER DAVID STERN: I'd say that the Pistons have five very good players, and in some cases, some of them might have been referred to as transcendent, perhaps if there weren't such other good players surrounding them, and they became only one or two go-to people.
I just think what we're going to find out is that by virtue of a team's success and the attention that comes to their stars, I'm not sure what the chicken and egg there is. What I like to see is that we're about to -- I didn't say we're having an exciting look forward to what's supposed to be one of the great drafts which reflects everything I'm talking about in Durant and Oden and Yi (Jianlian), and to me, people are going to start saying, I want to go see that team because they have one or two players that sort of have gotten the attention, or maybe three, and you like that. You like to have a team identified by a group of players, not just one. But these are guys I'd like to go out and see.
I think that's where you watch Utah and you say, Deron Williams and Boozer, that's great, watching Golden State, watching the teams that have wound their way through here, people are getting a look into players that they hadn't known that much about and coming to appreciate them. This has been a terrific growing playoffs for us, and even now with the teams in The Finals, the veteran team of the decade against the young team coming together around someone who couldn't possibly live up to his hype but that exceeded it on the court. I mean, it's a terrific match-up for us.
Q. At the All-Star break I think you said something about possibly extending your network contracts and there have been reports that you're near something.
COMMISSIONER DAVID STERN: There have been reports, and it is still our goal, and indeed intention, that by the projected end date, the latest The Finals would go, giving myself some wiggle room, that we will complete extensions with our existing network partners. So circle June 21 on your calendar as the deadline I gave myself tonight, and we're working on it, but we've been distracted by this thing called The Finals. But we've got -- we're working the lawyers, we're working the negotiators, and we're optimistic that we're going to meet our own self-imposed deadline.
Q. Did any other network come into it? Did you get any feelers from anybody else that you can discuss?
COMMISSIONER DAVID STERN: I'm trying to remember what the preclusions are under our right of first negotiation and right of first refusal, but let me say that we feel we have a very -- we're satisfied that we have a very attractive property and that there would be interested parties, but right now we've in effect extended our exclusive negotiating period with our existing partners based upon the pace of progress so that we have not formally -- we've declined any invitations to come out of our exclusive negotiating period because we think we can make a deal with our existing partners. And the resources that TNT and ESPN and ABC have put into our game over the last several years with production values and talent are impressive.
Q. If I may, did you have invitations to come out of that exclusivity?
COMMISSIONER DAVID STERN: Yes, we did.
Q. At the Lottery you talked about looking into the whole lottery format and such. I'm sure after what happened that night you had some teams that weren't happy. Has there been any talk about that since?
COMMISSIONER DAVID STERN: We talked about it at the Competition Committee, and we're going to talk about it again in October and look at it. I don't think that there's anyone that's going to be happy with whatever the system is, and I don't mean that because anyone is unfairly complaining. It's just that there are choices to be made how you go, and any system is going to reject the choices that someone else would put forward. And the consensus seemed to be at the Competition Committee, but we're going to continue with it and raise it to the owners again, is leave it; there's always going to be someone complaining.
And my view is that maybe you might look at the percentages you give based upon the ping-pong balls, but I don't think there's a lot of change that our teams want. They'd rather have me stand up and take the hit at interviews. They kind of like it, the same way they like and are ready to live with the rule on leaving the bench.
Q. A number of the Cavaliers players, almost all of them, signed a petition recently, protesting China's role with regard to the situation in Darfur. Ira Newble led that petition signing. Does the league take any position with regard to that issue going forward looking into the Olympics, and what would the league's position be if players expressed a more urgent desire for change in that --
COMMISSIONER DAVID STERN: By the way, we encourage our players to become involved in important social issues, and this is one that is fine with us. I don't know how to say this. It's a little bit pretentious of me to sit here and talk about foreign policy and constructive engagement, okay, but on the other hand, that's what we do. We think that actually supports a unique opportunity to cross cultures.
At the same time, we have a proud tradition of people being encouraged to speak their mind, unless they're criticizing the officials or the Commissioner (laughter). And that's a right that we encourage, and we think it's great.
I was listening honestly to Warren Buffett on the subject because of his investments in the Chinese petroleum company, and I was listening more carefully than anyone could have really understood why I was listening so carefully. And his view was someone is going to buy the oil. He said he's written a letter to China's government, hasn't gotten a response to it yet, the same as I think Mr. Spielberg's letter. But I think those are all good.
On the other hand -- there's no other hand. Sports, I'm thrilled to be part of the Olympics, where the most open part of Chinese society is going to be available in its history probably. And how it comes through, that is going to be something that many of the people in this room are going to get a chance to live. You're going to get to go places and see things that have never been permitted before, and the big step is going to be what happens after that.
But right now we think we're glad to be part of that effort, and we'll see. And we're making our plans like every other global sort of enterprise, but we think we have a unique opportunity here because the Chinese government has taken a specific rule that fitness, exercise and harmony from teamwork is particularly appropriate to basketball, and it's taking us to places that perhaps we never imagined we'd be.
But on the other hand, there's no hush-hush, either. There are issues that are out there, and they'll be spoken about and there will be some negotiations, I think, on every front. And I think that's a good thing.
Q. You mentioned Warren Buffett. Obviously he's befriended LeBron. Just curious, how would you advise a player like LeBron, a transcendent star, to navigate the minefield of social responsibility with the outside interests of a Nike or whatever it may be?
COMMISSIONER DAVID STERN: You know, I think that there is in the land a real recognition that corporate social responsibility is good business and right, and I commend you to Nike's recently-released, very thick, several hundred page report on corporate social responsibility. They're not our partner, they're our marketing partner but adidas is the official apparel of the NBA, but I must confess that I was impressed with their statement that it's not about just public relations and the like. It's something that we at the NBA take very seriously.
And how do you advise LeBron? I think he's doing a great job with his foundation, with his causes, that the companies that he's associating with to step up and begun to be very aggressive in active social responsibility. I don't think it's fair to expect our young players to be the answer to all the issues, but in talking to them at rookie transition and in talking to them individually, and we talk to them a lot, and I know the union talks to them a lot, they do have an opportunity to effect change, and we encourage them to do that, whether it's LeBron dealing with Nike or Ira Newble, encouraging our players to speak out on important issues across borders.
Q. A lot has been made recently of new NFL Commissioner Roger Goodell's stance on player infractions off the field. He changed some things around. I'm wondering how do you feel about that, and is it something that you might take a look at again in terms of your league?
COMMISSIONER DAVID STERN: What is the "it" when you say it is something we might take a look at again? I always get in a little trouble on this subject.
Q. When he went back in and looked at what the NFL's punishments were and decided they weren't harsh enough and decided he wanted to be a little bit more strict in terms of off-the-field infractions, whether or not they were convicted or not. I'm wondering if that's something --
COMMISSIONER DAVID STERN: I said yesterday in an interview, I think he's doing a very good job at it, but the specific facts in front of him are one player with ten arrests, another with five arrests, and fortunately for us we haven't had to deal with that subject yet. But for where he finds himself I think he's doing a great job, and I think it's important to make that decision. We have been doing that actually for quite a while, not with respect to smaller issues, pleas, misdemeanors, what have you, but we've been dealing with it in our own way and ratcheting things up slowly. We haven't had, I'd say, the floor that he's had to deal with, but I think he's doing a great job in setting exactly the right standard and tone.
Q. People were asking about the draft and with the top two players likely going to Pacific Northwest markets, at least right now with Seattle, is that an ideal scenario for you and for the league?
COMMISSIONER DAVID STERN: Absolutely.
Q. Why?
COMMISSIONER DAVID STERN: Because those are the teams with bad records that need to be improved. And the idea written about -- I get a kick out of it. We're idiots here because we let the two teams go to the Northwest as opposed to conspirators because we had them go some other place. It doesn't matter. We're moving. I'm not saying it doesn't make it easier sometimes in a large market, but the idea that our ABC games are 3:30 in the afternoon, 12:30, noon on a Sunday, that's a pretty good window. We have provisions in our TV agreements and in relationships for the teams where teams play -- if we want to have a single game at 9:00, there are 6:00 Pacific start times. I mean, I don't understand the issue.
And of course there are 10:30 starts. We have plenty of those. And when the Lakers play at 10:30 Eastern let's say as the second half of a TNT doubleheader, they routinely draw very high ratings and are very well known.
This is a little bit of an Eastern bias here. The Pacific Northwest, because the games are on so late, for those who haven't remembered it, the games are on the same time they are coming out of LA. But that's not the Pacific Northwest. So if it's a time zone issue, it's not a big deal if you've got a transcendent name or transcendent team, we're looking forward to whoever drafts whom, improving those teams, and Portland could certainly use it. They've had a real difficult time. And Seattle has been a more recent visitor to a more competitive situation. But we're very happy for both of those teams and what they got and what it's going to bring to the league.
Q. Were you particularly bothered by Billy Donovan's decision to back out of a signed contract in Orlando, and do you think there was any real significant or tangible damage done to that franchise?
COMMISSIONER DAVID STERN: No. I criticized Orlando for not getting a first refusal -- that's a joke (laughter). No, I think it happens all the time, especially for college coaches, and the last thing we want for our teams is to have someone there with concerns. I don't think so at all. We've had lots of coaches -- this year, I can't remember who, one day they show up in a new city, the next day they show up -- whether it's a football coach or a basketball coach, that's part of the game. I don't think it does anything at all.
Q. In February you pointed out some areas of recovery in New Orleans that were sort of a concern. What's your thoughts three and a half months later, and how are All-Star preparation --
COMMISSIONER DAVID STERN: You know, we believe, based upon lots of visits down to New Orleans by our staff, I have not been down since our January meetings, that it's going to be a great, great All-Star weekend with respect to the reopened hotels, improved law enforcement and services, and we're watching large groups come in and out of New Orleans, far larger than any groups that we're going to bring in.
We're somewhat heartened by the deployment -- not as a basketball matter but just as an American matter, sort of a little more hard-nosed determination to improve things for the citizens of New Orleans. We're wrestling now with how we can define something that is more than just a communications policy to have a positive impact coming out of the All-Star Game in New Orleans. Stay tuned. We think that it's a -- we agree with all the documentaries. It's the way the citizens of New Orleans have been treated, it's not what they deserve as Americans. And although we're happy to participate with the tourism industry to make it better and to demonstrate the vibrancy of it, we'd also like to find a way to cross over and make more of a contribution to what seems to be the picking up of steam of developments in New Orleans.
But we read the papers like everybody else and we're mindful of shortages at schools, senior citizen housing, nursing homes, hospitals, police headquarters and stations, firehouses and the like, and we're just knocking ourselves out intellectually saying, what's the right thing to do that's not a public relations stunt, and frankly we haven't come up with the answer yet. If the media has some ideas we're all ears. We've taken up some discussions here in San Antonio, now I'm not at liberty to discuss, but we want to use star power to have more than just a successful event in New Orleans.
Q. I notice you've talked about Durant and Oden, which it's apparently safe to talk about them now, none of us would be suspended. But since they're going over into the Western Conference --
COMMISSIONER DAVID STERN: In the Pacific Northwest.
Q. Which is a good place. I know you don't like to talk about the seeding a lot of times, but it seems like there is a continued imbalance in the talent that everybody on First Team All-NBA is from the Western Conference. Does it get to a point where you get more concerned about that imbalance between West and East?
COMMISSIONER DAVID STERN: You know, it's not something we're spending a lot of time on. Maybe we should and maybe people will write about it and we'll focus on it. I just don't -- to me, sort of building in a system where you could have teams sitting for nine days, more than the seven that we had this year, because of sweeps, waiting for the next seed to come, has been unappealing historically. If there are people who think we should look at it, we'll look at it.
We've been sensitive to the -- I think good criticism that -- coming into this deal originally, we waited to -- we had too many -- I think the first round used to be as much as 18 days or whatever it was, and we said that's no good. And as a result our partners stepped up, TNT and ESPN, and gave up televised games in order to allow us to crunch it a little bit, shorten the time, which we did. But to actually do something now that weighs the seeding issue against the possibility that we're taking longer between rounds is not appealing.
As a tennis fan, if you can knock off Federer, you can sort of get the benefit of a seed. That's what seeds are about. So I'm not so sure that that's necessarily the best thing. So that's where we are. That's the honest answer to a not-easy question.
Thank you very much.
End of FastScripts
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