Hawks Co-Owner Wanted Danny Ferry Out

12:02pm: Koonin said retaining Ferry is “a decision I am willing to live with” while appearing with Mike Conti on Sports Radio 92.9 The Game, as Conti tweets (hat tip to Michael Lee of The Washington Post). “I have to be fair to the facts,” Coonin said (Twitter link). “As of today, based on the facts, this is what I’ve decided.”

11:06am: Gearon isn’t the only one among the ownership group who would like to see Ferry resign, according to Marc Stein of ESPN.com (video link).

8:59am: Hawks GM Danny Ferry has no immediate plans to step down in the wake of the discovery that Hawks co-owner Michael Gearon Jr. called for Ferry’s dismissal in a letter sent to controlling owner Bruce Levenson in June, writes Chris Vivlamore of the Atlanta Journal-Constitution. Zach Klein of WSB-TV in Atlanta obtained a copy of the letter, in which Gearon depicts an expanded version of the inflammatory comments that Ferry is to have made about Luol Deng. The following is an excerpt of that letter, as hosted by WSB-TV:

“As you know, last Friday there was a conference call attended by numerous persons including Hawks management and ownership. We believe that you and [co-owner] Ed Peskowitz were on the call, but we are not sure whether you were listening the whole time. During the call, which was recorded so that notes could be made for our partners unable to participate live, our GM Danny Ferry discussed player personnel issues at some length. With respect to one potential free agent, a highly-regarded African-American player and humanitarian, Ferry talked about the player’s good points, and then went on to describe his negatives, stating that ‘he has a little African in him. Not in a bad way, but he’s like a guy who would have a nice store out front but sell you counterfeit stuff out of the back.’ Ferry completed the racial slur by describing the player (and impliedly, all persons of African descent) as a two-faced liar and cheat.”

Gearon went on to write that an attorney advised him that the fallout from Ferry’s remarks would be “devastating,” and Gearon also asserts that if Ferry’s comments became public, “it could be fatal to the franchise.”

“Bruce, we are all too familiar with the current environment in the NBA and in the country generally from the fallout of Donald Sterling’s offensive comments,” the letter continued. “You have been on national television condemning Sterling and preaching zero tolerance of racial prejudice. We believe these comments by Ferry were far worse than Sterling’s because they were not from a private personal conversation – they were in a business environment on a business matter in front of a dozen or more people. If Ferry would make such a slur in a semi-public forum, we can only imagine what he has said in smaller groups or to individuals.”

The co-owner points to the racial diversity of Hawks management as having “changed for the worse since Ferry took over.” Ferry expressed regret in a press release from the team this morning.

“In regards to the insensitive remarks that were used during our due diligence process, I was repeating comments that were gathered from numerous sources during background conversations and scouting about different players,” Ferry said in the statement. “I repeated those comments during a telephone conversation reviewing the draft and free agency process. Those words do not reflect my views, or words that I would use to describe an individual and I certainly regret it. I apologize to those I offended and to Luol, who I reached out to Monday morning.”

The situation surrounding Ferry is having an “immense impact” around the league, tweets Adrian Wojnarowski of Yahoo! Sports, as front offices discuss language and the way scouting frames ethnicity and race. The Hawks don’t plan further discipline for Ferry beyond the undisclosed punishment that he was already receiving, according to TNT’s David Aldridge (Twitter link). The league still isn’t set to sanction Ferry in any way, a source tells Ken Berger of CBSSports.com (Twitter link).

Ferry’s comments this summer sparked an investigation that led to the discovery of a racially charged 2012 email that Levenson had sent, and that in turn prompted Levenson’s announcement this weekend that he would sell his controlling stake in the team. Hawks CEO Steve Koonin is in charge of the Hawks while the sale is being conducted.

And-Ones: Hawks, Lakers, Ayon, Collison

The NBA and its network partners expect to reach an agreement on new long-term media deals by the start of the regular season, sources tell John Lombardo and John Ourand of Sports Business Daily.  The new deal would see the league’s annual rights fee more than double, with ESPN and Turner combining to pay more than $2 billion per year on average.  As it stands, the NBA takes in $485MM per year from ESPN and $445MM from Turner, good for a little under $1 billion per year.  Several sources say the new deal will be an eight-year pact but one source says it’ll be a nine-year deal.  Here’s tonight’s look around the Association..

  • Hawks co-owner Michael Gearon Jr. wrote a letter to majority owner Bruce Levenson in June asking to get rid of GM Danny Ferry, writes Chris Vivlamore of the Atlanta Journal-Constitution.  Vivlamore also reprinted Gearon’s account of Ferry’s controversial comment.
  • The Lakers asked Byron Scott‘s opinion on their summer moves as they made them even before they hired the coach, who praised the team’s acquisitions of Carlos Boozer and Jeremy Lin in an interview with A. Martinez of 89.3 KPCC Public Radio.
  • Barcelona was also in on Gustavo Ayon before he landed with Real Madrid, according to Marc Stein of ESPN.com (on Twitter).  We learned earlier today that the center signed with the Spanish club on a multi-year deal.
  • Offseason addition Darren Collison knows it won’t be easy, but he’s excited about the opportunity to help lead the Kings, writes Steven Wilson of Kings.com.  “We have a relatively young team and there’s still going to be a lot to learn – there are going to be some road blocks and it’s not going to be easy where we want to go, but I’m excited to take on that role,” Collison said.

Chuck Myron contributed to this post.

Reactions To Hawks Situation

Throughout the day we’ve been providing the latest updates on the Hawks scandal that will spark an ownership change in Atlanta and lead to sanctions against General Manager Danny Ferry.  Here are some of today’s reactions to the biggest story in the NBA this week..

  • The NBA waited until Donald Sterling lost any shot, however remote, of reacquiring the Clippers before letting word of the Levenson email leak out, writes Michael McCann of Sports Illustrated.
  • In a piece for Time.com, Kareem Abdul-Jabbar explained that he doesn’t view Bruce Levenson as a racist but rather as a business man who was trying to better cater his product towards his targeted demo.  While the Hall of Famer admits that some of what Levenson wrote was cringe-worthy, he feels that he was ultimately just trying to do what was best for his business.
  • Not everyone sees things Kareem’s way.  Jeff Schultz of the Atlanta Journal-Constitution points out the franchise’s shortcomings in recent years and says that the team’s lack of ticket sales has nothing to do with the racial makeup of the crowd.  In fact, he argues that Atlanta has as many, if not more, affluent African-Americans as most cities in America and a lot of them don’t go to Hawks games either.
  • The NBA has an issue and putting more African-Americans in charge of teams could help, writes J.A. Adande of ESPN.com.  However, Adande doesn’t see many African-Americans out there with the kind of wealth to buy a team for somewhere between $500MM and $2 billion.
  • While Levenson’s statements were harsh and stereotypical, it’s ridiculous to assume that he’s the only NBA or professional sports owner to discuss racial demographics regarding attendance, writes Gary Washburn of the Boston Globe.

Hawks Rumors: Monday

The revelation that Hawks owner Bruce Levenson has decided to sell the team because of a racially charged email that he sent is sending ripples throughout the league. We rounded up Sunday evening’s dispatches related to Levenson in this post, and we’ll track the latest developments throughout today right here, with additional updates at the top:

4:46pm update:

  • NBPA acting director Ron Klempner issued a statement on the Hawks situation to reporters, including USA Today’s Jeff Zillgitt (on Twitter).  The statement reads: “We’ve had continuing discussions with the league office about the incidents of disturbing statements attributed to representatives of the Atlanta Hawks’ franchise.  We recognize that there is an ongoing investigation regarding the circumstances, and we will continue to monitor these events and take any action we deem appropriate.”
  • Meanwhile, Zillgitt hears (link) that the comments read by Ferry on the Deng background report were the extent of his comments on the player’s race.

11:55am update:

  • The NBA does not plan to give Ferry additional punishment on top of what the Hawks are already doling out, Vivlamore reports (on Twitter).

11:53am update:

  • Ferry made contact with Ron Shade, one of Deng’s agents, to apologize, and he’s reached out to Deng, too, Wojnarowski tweets.

11:48am update:

  • Ferry met with Hawks coaches and players Sunday and apologized as he told them what he said about Deng, according to Adrian Wojnarowski of Yahoo! Sports. A source disclosed Ferry’s statement about Deng to Wojnarowski. “He’s still a young guy overall,” Ferry said of Deng, according to Wojnarowski’s source. “He’s a good guy overall. But he’s not perfect. He’s got some African in him. And I don’t say that in a bad way.”
  • The NBA and officials from the Hawks helped convince Levenson to sell the team, Wojnarowski writes, which seems to conflict with Windhorst’s report that Levenson chose to sell the team on his own volition.

11:07am update:

  • The Hawks are set to discipline Ferry, but it’s unclear if the NBA will also levy a punishment against the GM, Vivlamore reports. A person involved tells Vivlamore that they had “never heard a comment as offensive” as the one directed at Deng. The person who wrote the report that Ferry read was not with the Hawks organization, as Koonin says to Vivlamore.

9:06am update:

  • The NBA isn’t interested in having the Hawks move to Seattle or elsewhere, Mannix hears (Twitter link). The team’s lease at the arena in Atlanta, which runs through 2017/18 as Windhorst pointed out in his story, would also help forestall a move, Mannix says.

8:59am update:

  • Luol Deng is the player who was the subject of the background report that contained an offensive and racist remark that Hawks GM Danny Ferry read, sources tell Marc Stein of ESPN.com (Twitter link). That report sparked the investigation that uncovered Levenson’s email.
  • Ferry faces discipline, but he will remain GM of the team, as Brian Windhorst of ESPN.com hears.
  • Prospective buyers are already inundating Hawks CEO Steve Koonin with calls, as he tells Chris Vivlamore of the Atlanta Journal-Constitution. “I had over seven phone calls directly today from multi-billionaires,” Koonin said. “It blew my mind some of the people who wrote me today.” The league, rather than Levenson, will take the lead in conducting the sale, as Windhorst writes in his piece. It’s unclear how much of a role Koonin, who owns a share of the Hawks and who has been placed in charge of the team in Levenson’s stead, will play in finding a new controlling owner.
  • Levenson made the choice to sell on his own, believing that his racially charged email would become public and that it would hurt business if he continued as owner, Windhorst writes. But an executive for another team tells Chris Mannix of SI.com that he believes Levenson is using the affair as an excuse to cash in on skyrocketing franchise values.
  • Players and people around the league generally liked Levenson prior to Sunday’s revelation, according to Windhorst. However, Koonin told CNN’s Martin Savidge that he was “morified and angry” about the email, and that when he met with Hawks players Sunday night, “It was like walking into a funeral,” as CNN’s Eliott C. McLaughlin and Holly Yan pass along. “These are young men who wear our city’s name and our logo on their chest,” Koonin said. “They play for a team, and they are supposed to be supported by their ownership. And ownership failed in supporting them.”

Eastern Notes: Hawks, Knicks, Pistons, Stiemsma

The Hawks lost an estimated $23.9MM on their basketball operations last season, a figure partially offset by $11MM in combined proceeds from luxury tax payouts and the league’s revenue-sharing plan, Grantland’s Zach Lowe reports. The Bucks, who went for $550MM this spring, lost an estimated $6.5MM, but revenue sharing lifted them to a profit, Lowe also reveals. Still, the NBA and its television partners are expected to strike a deal that would give the league an average of more than $2 billion a year, up from $930MM in the current agreement, as John Lombardo and John Ourand of the Sports Business Journal report. The NBA is a hot property, but while outgoing owner Bruce Levenson has the controlling stake in the Hawks, he doesn’t have the majority share, Lowe notes. It remains to be seen whether the Hawks sale will reap a figure close to the $2 billion Steve Ballmer paid for the Clippers, the Bucks sale price, or an entirely different number, but as we wait to see, here’s more from the East:

  • Knicks owner James Dolan and team president Phil Jackson have agreed to keep the existing front office staff in place for a year, a source tells Marc Berman of the New York Post. The club hasn’t let go of any front office personnel since Jackson’s hiring, and the only addition has been Clarence Gaines Jr., who serves as an adviser to Jackson, Berman points out. Rick Fox said Sunday that he’d be interested in joining the organization, though there’s been no movement toward that end, as Berman chronicles.
  • Otis Smith confirms that he and Pistons president of basketball operations Stan Van Gundy discussed making Smith the team’s GM, a job that instead went to Jeff Bower, but Smith told Brian Schmitz of the Orlando Sentinel that the timing wasn’t right (Twitter links).I don’t think I’m ready to go back to NBA,” said Smith, the former Magic GM who joined the Pistons as the coach of their D-League team.
  • Greg Stiemsma‘s one-year deal for the minimum salary with the Raptors is indeed partially guaranteed, according to Ryan Wolstat of the Toronto Sun (Twitter link).

And-Ones: Exum, Douglas-Roberts, Levenson

Scouts are still evaluating Dante Exum, one of the bigger gambles taken in the NBA Draft lottery.  The Jazz selected him without having seen him play against top-level competition and the jury is still out on Exum as a player as he shows his stuff in the World Cup, Sean Deveney of The Sporting News writes.  When asked what he’s learned about Exum so far, one Eastern Conference scouting director said, “Not much. He’s not ready for the NBA, that is for sure. But a lot of guys are not ready for the NBA and they have got to learn on the fly. He is no different. But he is not going to jump into the league and all of a sudden average 20 points a game. There’s just no way.”  Here’s tonight’s look around the NBA..

  • Chris Douglas-Roberts‘ deal with the Clippers is fully guaranteed, according to Eric Pincus of Basketball Insiders (via Twitter).  That doesn’t come as a huge surprise since Ekpe Udoh‘s minimum salary deal is also fully guaranteed for the 2014/15 season.  CD-R averaged 6.9 points in 20.7 minutes per game and shot a career-high 38.6% from downtown last season.
  • Even before the Donald Sterling situation erupted, there was some talk that Bruce Levenson would explore selling his controlling interest of the Hawks, tweets Jeff Zillgitt of USA Today.
  • Whether Levenson’s fate is well-deserved or Orwellian is up for debate, but it’s clear this is a different world in the post-Sterling NBA, writes Ken Berger of CBSSports.com.
  • Supply and demand could keep Reggie Jackson with the Thunder, writes Darnell Mayberry of The Oklahoman. Only four teams – the Mavs, Lakers, Knicks, and Heat – currently have a clear need and the necessary cap space to make a run at him next summer.  Jackson is after a sizable payday and a starting role, but that could be hard to find in the middle of an extremely talented free agent class.
  • The Jazz have several players in the World Cup, including Exum and stashed Brazilian talent Raul Neto, and Dennis Lindsey admits that he is somewhat worried about injuries and fatigue, writes Tony Jones of The Salt Lake Tribune.  At the same time, he feels that his younger players are also gaining valuable experience in international play.

Eddie Scarito contributed to this post.

Latest On Hawks, Bruce Levenson

9:30pm: In an interview with Chris Vivlamore of the Atlanta Journal-Constitution, Hawks CEO Steve Koonin said there will be other disciplinary actions taken, including actions against GM Danny Ferry.  It turns out the internal review that unearthed Levenson’s email was actually prompted by an incident involving the GM.

When the Hawks held a meeting in early June to discuss free agency, a player was being discussed and Ferry cited a background report that included an “offensive and racist” remark.  “Instead of editing it, he said the comment,” Koonin told Vivlamore.

I support Steve’s leadership and greatly appreciate his support,” Ferry said. “I look to learn from this situation and help us become a better organization.”

6:35pm: Not far removed from the Donald Sterling ordeal, another NBA owner is on his way out of the league thanks to a racial scandal.  Hawks owner Bruce Levenson has agreed to sell his team after an inflammatory email from 2012 came to the surface.  When word of the email first broke, the identity of the owner was unknown, which left many to wonder if they were the one caught in the crosshairs, according to Adrian Wojnarowski of Yahoo Sports.

More than one owner wondered if they were busted for saying something off-color and team executives asked others if it was their club’s owner that was in trouble.  Before Levenson’s identity was revealed, Wojnarowski writes, several people around the league were bracing for a severe punishment.

When Sterling’s scandal broke and the NBA was deliberating how to handle the situation, Mavs owner Mark Cuban expressed concern that ousting the then-Clippers owner would set a dangerous precedent going forward.  While others didn’t speak out on the issue, Wojnarowski hears that Cuban was not alone in his sentiments.

Adam [Silver] had far less support on Sterling than anyone knows,” a league source who is in frequent contact with the commissioner told Wojnarowski.

Meanwhile, that same source says that the NBA’s claim that Levenson blew the whistle on himself is simply a matter of semantics.  It’s not clear when Levenson truly gave the NBA his mea culpa, but it’s clear that there could be more owners in trouble going forward.

Bruce Levenson To Sell Hawks

3:21pm: NBA spokesman Mike Bass issued a statement to Adrian Wojnarowski of Yahoo Sports (on Twitter).  “Any claim that Mr. Levenson did not self-report his email is categorically false,” Bass said.

12:14pm: A high-ranking league official disputes that Levenson self-reported the e-mail to the league, Wojnarowski reports (Twitter link).

11:00am: The full e-mail that Levenson sent, which led to his intent to sell the team, can be read in its entirety here (courtesy of Adi Joseph of USA Today).

10:36am: Hawks owner Bruce Levenson intends to sell his interest in the team, Chris Vivlamore of the Atlanta Journal-Constitution reports (Twitter link). This comes in direct response to the revelation of an alleged racist e-mail that Levenson had sent back in 2012, reports Adrian Wojnarowski of Yahoo! Sports (Twitter link). Hawks CEO Steve Koonin will oversee team operations while the league begins the process of selling the franchise in conjunction with Levenson, Ken Berger of CBSSports.com tweets.

The existence of the e-mail was self-reported by Levenson to the league, Jason Lloyd of the Akron Beacon Journal reports (Twitter link). During the Donald Sterling affair, Levenson had advocated for a zero tolerance policy, Ben Golliver of SI.com notes (Twitter link). Levenson has been Atlanta’s managing partner since 2004.

Levenson released a statement which read (courtesy of NBA.com):

Over the past several years, I’ve spent a lot of time grappling with low attendance at our games and the need for the Hawks to attract more season ticket holders and corporate sponsors. Over that time, I’ve talked with team executives about the need for the Hawks to build a more diverse fan base that includes more suburban whites, and I shared my thoughts on why our efforts to bridge Atlanta’s racial sports divide seemed to be failing.

In trying to address those issues, I wrote an e-mail two years ago that was inappropriate and offensive. I trivialized our fans by making clichéd assumptions about their interests (i.e. hip hop vs. country, white vs. black cheerleaders, etc.) and by stereotyping their perceptions of one another (i.e. that white fans might be afraid of our black fans). By focusing on race, I also sent the unintentional and hurtful message that our white fans are more valuable than our black fans.

If you’re angry about what I wrote, you should be. I’m angry at myself, too. It was inflammatory nonsense. We all may have subtle biases and preconceptions when it comes to race, but my role as a leader is to challenge them, not to validate or accommodate those who might hold them.

I have said repeatedly that the NBA should have zero tolerance for racism, and I strongly believe that to be true. That is why I voluntarily reported my inappropriate e-mail to the NBA.

After much long and difficult contemplation, I have decided that it is in the best interests of the team, the Atlanta community, and the NBA to sell my controlling interest in the Hawks franchise.

Hawks CEO Steve Koonin will oversee all team operations and take all organizational reports as we proceed with the sale process.

I’m truly embarrassed by my words in that e-mail, and I apologize to the members of the Hawks family and all of our fans.

To the Hawks family and its fans, you have my deepest gratitude for the past ten years. Working with this team and its extraordinary executives, coaching staff, and players has been one of the highlights of my life. I am proud of our diverse, passionate, and growing legion of Hawks fans, and I will continue to join you in cheering for the best team in the NBA.

NBA Commissioner Adam Silver responded to the news by releasing a statement (courtesy of Basketball Insiders), in which he said:

Following Bruce Levenson notifying the league office this July of his August 2012 email, the NBA commenced an independent investigation regarding the circumstances of Mr. Levenson’s comments.

Prior to the completion of the investigation, Mr. Levenson notified me last evening that he had decided to sell his controlling interest in the Atlanta Hawks.  As Mr. Levenson acknowledged, the views he expressed are entirely unacceptable and are in stark contrast to the core principles of the National Basketball Association.  He shared with me how truly remorseful he is for using those hurtful words and how apologetic he is to the entire NBA family – fans, players, team employees, business partners and fellow team owners – for having diverted attention away from our game.

I commend Mr. Levenson for self-reporting to the league office, for being fully cooperative with the league and its independent investigator, and for putting the best interests of the Hawks, the Atlanta community, and the NBA first.

We will be working with the Hawks ownership group on the appropriate process for the sale of the team and I have offered our full support to Hawks CEO Steve Koonin, who will now oversee all team operations.

The NBA and its teams have long had in place anti-harassment and anti-discrimination policies in order to facilitate respectful and diverse workplaces.  Earlier this summer, the league re-doubled its efforts by, among other things, making it mandatory for all league and team personnel to receive annual training on these issues.

Western Notes: Rivers, Cousins, Ayon

Austin Rivers believes this coming season will be his breakout year, John Reid of the Times Picayune writes. The Pelicans guard said, “I was constantly working the entire summer. I gained 10 pounds and I’ve got stronger in my upper body. This is my year. But I think at the end of the day, I think we all now understand we can only control what we can control. At the end of the day, we let all of the guys in the front office do their jobs. We just stick to what we do. We play.” Rivers has career averages of 7.0 PPG, 1.8 RPG, and 2.2 APG. His career slash line is .390/.346/.601.

Here’s more from the west:

  • DeMarcus Cousins tells Chris Kudialis of The Sacramento Bee that he hopes Team USA experience for him and Rudy Gay will pay dividends for the Kings this coming season. “My thing is just taking in as much as I can from this experience and taking it back home,” Cousins said. “I’m being led by some of the best players in the league here, and I want to use everything I learn to make myself better.”
  • With the Warriors signing GM Bob Myers to an extension recently, Lang Greene of Basketball Insiders looks back at Myers’ biggest moves since arriving in Golden State.
  • Gustavo Ayon prefers to play in the NBA next season, but the offers he has received from European teams have been more lucrative to this point, Marc Stein of ESPN.com reports (Twitter links). Stein believes that Ayon, whom the Spurs recently expressed interest in, will head overseas unless the offers improve. Ayon played in 26 games for the Hawks last season, averaging 4.3 PPG, 4.8 RPG, and 1.1 APG.

Cray Allred contributed to this post.

Eastern Notes: Williams, Heat, Bucks

Lou Williams has a renewed sense of purpose this season after being traded to the Raptors, Holly MacKenzie of NBA.com writes. On joining Toronto, Williams said, “I think one of the best benefits of it is being in a position where you feel wanted. When they traded for me and had the conversation, they want me here. It wasn’t a money thing. It wasn’t just something to do. They felt they had a void they needed to fill coming off the bench and I’m excited to help. I feel wanted. I feel like I have a responsibility with this basketball team and that’s the best way I can operate.”

Here’s more from around the east:

  • The Heat announced that former head coach and longtime assistant coach Ron Rothstein has retired from coaching. Miami also announced that assistant coach Bob McAdoo will become a scout for the team as well as a community liaison. “Both Ron and Bob were instrumental in the success of the Heat and their contributions to our three championships cannot be overstated,” said team President Pat Riley. “They are Heat lifers and I’m happy that they will continue to be an important part of the organization as they evolve into their new roles within the Heat family.”
  • Howard Eisley will be joining coach Randy Wittman‘s staff with the Wizards, the team announced. Eisley has spent the last four seasons as an assistant for the Clippers.
  • Marc Lasry, the co-owner of the Bucks, thinks that it will take three to five years to turn around the franchise’s fortunes, Don Walker of the Journal-Sentinel writes.
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