And-Ones: Jersey Ads, Magette, Sixers, Thunder, Rookies

The NBA’s jersey advertisement patch program, which was launched in 2017 and became permanent in 2019, will be more important than ever as a revenue stream for teams at a time when most of the league’s clubs aren’t selling tickets to games, writes Bill Shea of The Athletic. A number of teams that originally agreed to three-year deals with sponsors in ’17 are either re-upping those contracts or reaching deals with new sponsors in 2020.

“What’s held up the best (in the pandemic) are assets where the value is heavily driven by broadcast and digital media,” said Matt Wolf, a senior VP in the NBA’s team marketing and business operations department. “Things like the jersey patches have held up really well.”

Finding steady sources of revenue to rely on will be a greater challenge than usual in 2020/21, prompting the NBA to give its teams a stimulus of $30MM apiece in order to protect against liquidity issues, according to John Lombardo of Sports Business Journal (hat tip to ESPN). That $900MM was raised from notes issued by the NBA in the private placement market, according to the Sports Business Journal report, which indicates that those notes will eventually be paid back with interest.

Here are more odds and ends from around the basketball world:

  • Former NBA guard Josh Magette has signed with Turkish club Darussafaka, the team announced in a press release. Magette, who appeared in 26 games for Atlanta and Orlando between 2017 and 2020, was waived by the Magic in January.
  • Bobby Marks of ESPN (Twitter link) provides some additional details on the Al Horford/Danny Green trade, reporting that the $2MM sent from the Sixers to the Thunder in the deal will actually convey in 2027, and only if Philadelphia’s first-round pick has been protected in 2025, 2026, and 2027. That money still counts toward the 76ers’ traded cash limit for this season, however.
  • In an Insider-only story for ESPN.com, Mike Schmitz identifies the six 2020 rookies he believes have the best chance of cracking ESPN’s list of top 100 players a year from now. Schmitz’s picks include top-five draftees Anthony Edwards, LaMelo Ball, and Isaac Okoro, along with later lottery picks Obi Toppin, Deni Avdija, and Tyrese Haliburton.
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