23 April 2011

How to blow through $100million ... and still come out ahead

McCourts in happier times

L.A. Dodgers Owner Frank McCourt:  Same Problems as Mere Mortals

If the rich really do lead different lives, as the old saw goes, then it follows that the super-rich should lead extraordinarily different lives.  As a 4th generation Californian, born in San Diego, but reared in Los Angeles, my allegiance lies with the Los Angeles Lakers and the L.A Dodgers.  Enter Frank McCourt, owner of the Dodgers, he the great equalizer between the rich and the average everyman.  He the great shrinker of the delta that is the gulf betwixt those with some number followed by six zeros in their bank accounts, and those of us who sometimes have no zeros to speak of, save for the two after the decimal point.   The monied and the financially maimed, viz., Frank and me.

In general, the well-heeled have more second homes, more and certainly nicer cars (why not throw in a private jet while we’re at it), and absolutely they travel a great deal more, especially to exotic, foreign lands, than the average American (the private jet comes in handy).   But, in many ways the rich and uber-wealthy are exactly like their less wealthy counterparts.

If his life is any indication, Dodgers owner Frank McCourt is living proof that the rich have the exact same problems that the rest of us average folks encounter on any given day.  They divorce like the rest of us --but in much grander style and scale and with far more publicity, of course.  They have money problems (which, granted, must be measured on the Richter scale) like us.  And, they sometimes run businesses into the ground like the rest of us mere mortals.

The McCourt's (Frank and his wife Jamie are divorcing after a 30-year marriage) have admitted to siphoning off $100 million from the Dodgers organization to fund their lavish lifestyle over the last seven years.  To see how much wife Jamie McCourt has been granted in spousal support, click the link below:

Jamie McCourt was recently granted temporary spousal support of almost $700k per month from her husband Frank to maintain her lifestyle. Frank not only has personal financial stress with their eight homes around the world, and the spousal support to wifey, but business as well.

Frank McCourt, it has been recently revealed, has been juggling the books to keep the lights on, including the newly installed parking lot light at Dodgers stadium (after a recent attack against a San Francisco Giants fan). Besides the Dodgers players’ $105 million payroll, the Dodgers organization now has the former LAPD chief and a former mayoral candidate on salary, and a fleet of attorneys on standby. He recently secured a $30million bridge loan from Fox (News Corp) which precipitated the commissioner of Major League Baseball Bud Selig to take over running the team until the McCourt's divorce is finalized, and the team is set aright financially once again, which most likely means the end of the Frank McCourt’s ownership of team Dodgers.

But, don’t feel too bad for Frank McCourt for too long. The team, which was purchased by the McCourt's when it was valued around $400 million, today, many predict, the Dodgers would fetch almost a billion dollars should it be sold-off by the MLB to the highest bidder. Also helping increase that value further north is a recent agreement for $3billion between Fox and the Dodgers for a 20-year broadcast rights contract. The super rich lead extraordinarily different lives, and like a cat with a diamond studded collar, land on their feet in luxury style.

Lest I be accused of promoting some sort of schadenfreude against the Dodgers or Frank McCourt (LuxeMont's headquarters (which I founded almost 20 yrs ago) is in San Diego, after all, and they do have season tickets to the Padres), not so.  We believe healthy competition is a good thing, and having an arch nemesis in baseball keeps one young with a purpose, eternally battling to win the division pennant. Besides, as stated, I bleed Dodgers blue.

The super rich lead extraordinarily different lives, and like the cat with a diamond-studded collar that slips off the veranda in Palm Beach, they land on their feet in luxury style.  But I repeat myself.


Anonymous said...

Now THAT was a fun read. Not a Dodger fan in the least (Sac town), but I like your "everyman" piece.

christian soldier said...

Thank you for keeping things in perspective :-)
Humans are human-whether rich or poor...

On a more serious note-
It always rends my heart to know what our Lord Jesus Christ did for us...
Have a Blessed Easter-my friend---

Dumbwit Tellher said...

So very true and I'm sure when you are at that level, you spend many sleepless nights on those 1500ct Egyptian cotton sheets. Even in my wildest dreams I cannot imagine receiving that can of spousal support. I wouldn't even know how to spend it, I think I'd start at the Burberry store. Great post Jg, you always bring much food to the table for thought. x

Julie@beingRUBY said...

700k spousal support!!! That makes me laugh!!! In fact spousal support doesn't even exist here in Aus.. Child support and divorce settlements yes [not that I personally know] but alimony... nope!!.. So is Frank single now ? How does he feel about Australians? hahahaha

It's interesting reading about all these millions and billions of dollars belonging to one person.. It sure must be tough for some!!

Hope you and your family are having a lovely easter weekend.. Hate to admit it but I had to look up that quote you left my way.. did you know it was also in The Monkees episode 33? [wikipedia said so!!] haha

Okey dokey.. have a good one.. and thanks so much for your always kind comments... ciao xx Julie

Shelley said...

I must have a severely limited imagination...I can't think how one would spend $700,000 every month...Just as well, eh?

madeleine said...

ah 700,000 monthly support

is there anything else to consider?

Karena said...

For one thing I would begin to collect serious art! Eight homes, please!!

Jg you can play matchmaker as I am single. Though I want someone with a bit more integrity!

Art by Karena

Jg. for FatScribe said...

Anon -- thx!

Carol -- re: perspective, yup, we're all the same in God's eyes. and, on that note, Happy Easter to you as well, friend!

Deb -- any time you find food for thought at the ole porkster, you make me blush with pride.


Jg. for FatScribe said...

Julie -- when you finally see "Treasure of the Sierra Madre" you'll get it! you deserve all of the compliments for your site! thx for the visit, kid!

Shelly -- i bet you and Bill would have somethings to spend $700k a month on. but, agreed, eventually you tap-out on how to spend it!

INYPT -- always meant to tell you, GREAT name for the blog. love your stories. if anyone understands clientele with that type of coin to drop, it is you and that fab boutique you had.

Jg. for FatScribe said...

Karena -- when i run into Frank M. around town, you can believe you're on the short list for an intro!


Kathy said...

Jg...Great read! Did you catch 60 minutes last night? Maybe Eli Broad can help the McCourts out. A little Koons in the outfield perhaps...;) I cherish my very small, private life.....Have a lovely week....k

Mandy said...

Woah! That is silly money! You were throwing around absolutely crazy figures yet I have no doubt they are true! Who needs $700k a month living expenses??

I think it is unfair and crazy that he could siphon money off the club and get away with it.

Oh, and isn't it 'well-heeled'? :)

Jg. for FatScribe said...

Hi, Emm -- yes, you are correct re: well-heeled. I absolutely LOVE when i receive corrections. (and I don't have to issue errata b/c i edit and publish in mere seconds!)

Thank you for your catching that. i hate to think how many such errors are out there like so much flotsam and jetsam on the pages of FatScribe!

I think I've received several nicely worded emails or comments showing me my ignorance or grammatical errors of my ways over the last two years. I might have to create a little feature on the side column featuring said corrections!

Barbara said...

Had to play some catch-up here today, JG!
Enjoyed the Arnault info...my daughter is one of his (many) art advisors.

The burkini post left me speechless. Really, what the HELL is she doing? Way too much political correctness for me.

As for the McCourts. They put their pants on the same way we do, I agree. But how can he sleep at night? Juggling all of that money. And how did he get away with siphoning $100 million?

$700,000 a month? It would be difficult, but I'd like to give it the old college try. :)

Jg. for FatScribe said...

K -- Yes, I'm Jg. not running for office and I endorse your suggestion to put Eli Broad on the case. He, I believe, is the only person to start two Fortune 500 companies. Amazing. I was just at LACMA, our L.A. museum, and he is a big donor to the place, though they were a bit peeved b/c he took much of his collection elsewhere.

Barb -- i might just have to speak with your daughter to discuss a business idea or two! of course your brood are world-shaping citizens of influence. reminds me of the verse in Proverbs that says (paraphrasing), "do you see a (wo)man highly skilled? (s)he will serve before kings."

preppyplayer said...

As much as their gorgeous children benefited from all of their parent's wealth- they too will also suffer from it.