In a historic first, Major League Baseball owners voted to share 50% of revenue with the MLB Players Association for any games played this season, according to USA Today. The proposal is meant to help diminish the effects of a projected 40% revenue loss caused by holding games without fans this year. 

Players are expected to reject the plan over fears it could lead to a salary cap after the current collective bargaining agreement expires at the end of 2021. MLB is the only major team sport that doesn’t tie salaries to league revenues, although the league does share postseason earnings. Players had already agreed to a prorated salary earlier this year and will receive a full season of service time if no games are played. 

The owners’ proposal also outlined a potential schedule for this summer: 

• Training camps in June
• Opening Day July 1-4
• Spring Training 2.0 at home facilities or Florida or Arizona complexes
• Games at home ballparks
• Postseason expanded from 10 to 14 teams
• Universal DH with expanded 30-man rosters

While baseball works out its plans, other sports are seeking more concrete decisions about their futures. The Premier League may start as early as June 1 under U.K. reopening guidelines, according to ESPN, while the American Hockey League has canceled the remainder of its season and playoffs.

Under Armour has been hit hard by the coronavirus pandemic and reported a 23% decline in sales in the first quarter. To help counter the weak start to the year, the shoe and apparel maker plans to cut approximately $325 million in 2020 operating costs. Last month, Under Armour temporarily laid off 6,700 employees. 

The quarter brought a net loss of $589.7 million on $930.2 million in revenue, down from a $22.5 million profit during the same period last year. The company’s 188 North American stores remain closed. 

Key Drops:

• Apparel: -23% ($598 million)
• Footwear: – 28% ($210 million)
• Accessories: – 17% ($68 million)
• North American revenue fell 28% to $609 million
• International sales dropped 12% to $287 million

Under Armour is also reportedly negotiating extended terms for its sports marketing deals, which include agreements with Steph Curry, Bryce Harper and several college teams. To make matters worse, the company expects second-quarter revenue to decline 50-60%.

MSG Dips Too

Madison Square Garden Sports Corp. also reported its quarterly numbers, including an 18% decrease in third-quarter revenues. The quarter included a spin-off of MSG’s entertainment businesses, but the financials of both entities were reported together.

MSG Sports generated $288.4 million, a decline of 18% from last year that was attributed largely to the suspension of the NBA and NHL seasons. The hiatuses hit ticket sales, local media rights fees from MSG Networks, suite license fees, and sponsorship and signage revenues.

Key figures: 

• 2020 FY 3Q Revenue: $424 million
• Operating loss: $135.2 million
• Adjusted Operating Income: $11.6 million

Sinclair Broadcast Group told analysts that rebates from sports leagues could come next year for missed games this year, according to Multichannel News. The company purchased 21 regional sports networks from The Walt Disney Co. in 2019 and owns parts of the Marquee Sports Network, YES Network and Tennis Channel.

Any rebate money could be significant to RSNs, as sports fees account for more than 50% of a pay TV distributor’s programming costs. Sinclair CEO Chris Ripley said rights agreements generally include a minimum game requirement and are obligated for a rebate if not met. Ripley believes the NHL and NBA likely met their requirements but expects some leagues to fall short. The refunds, however, would likely be small and clarification on how much won’t come until next year, Ripley said.

UConn Football to CBS

The University of Connecticut announced a deal with CBS Sports Network to broadcast four football home games in 2020 and then every home game through 2023, according to the Hartford Courant. UConn football had been facing an uncertain future as an independent after the school left the AAC in 2019 to allow its basketball teams to return to the Big East, which doesn’t have football.

The CBS deal, worth seven figures, also comes with two options that could extend it to 2027. The agreement was done through Learfield IMG College, UConn’s multimedia rightsholder.

Endeavor stakeholders can exhale, as the company secured a $260 million loan, according to the Wall Street Journal. Oaktree Capital Group agreed to purchase the largest piece of the loan, which was arranged by JPMorgan Chase, and carries an interest rate just under 11%.

Endeavor’s revenue has dropped nearly 70% after the coronavirus pandemic halted film production, concerts and sporting events. The UFC – of which Endeavor owns 51% – held its first fight back from hiatus on Saturday, with several more planned this month in order to meet benchmarks necessary to collect $500 million in fees from its ESPN deal.

Last year, Endeavor had more than $400 million in EBITDA. With mass cost-cutting measures, WSJ reports the company should have between $150 million and $200 million in profits this year, excluding the UFC. The report also suggests Endeavor might take another run at an IPO after the current crisis; the company withdrew a public listing effort last year.