Liberty Media acquired the Atlanta Braves in 2007 and transformed the franchise into an independent, multi-faceted organization dedicated to sustaining a secure future for the team.
From the beginning of professional baseball, owners of teams without deep pockets kept their team until they could no longer afford to subsidize it, needed money, or died: wash, rinse, repeat. Liberty Media stopped that cycle for the Braves.
Like most teams, the Atlanta Braves Franchise historically depended on the deep pockets of an owner and income generated by the game. The result was a roller coaster ride of highs and lows. As I wrote in 2021, the lowest of lows came in 1935, when the Braves franchise would have ceased to exist had the National League not stepped in.
A Brief History of Braves’ Owners - Ted Turner
The Boston Braves eventually moved to Milwaukee, where they were successful for slightly over a decade. As attendance dwindled, money became an issue, and in 1966, William (Bill) Bartholomay brought the club to Atlanta.
Four years after his TV station (WTCG, later known as WTBS) acquired the broadcast rights in 1972, Ted Turner acquired the Braves from William Bartholomay & Partners in 1976 for a million dollars down and a million a year for ten years, plus interest, a grand total of $12 million. Turner would go on to own the Braves under the umbrella of Turner Broadcasting for 20 years.
Time Warner Merges with Turner Broadcasting
The Braves were part of Turner Broadcasting. When Time Warner took over, it became the owner of the team.
"“Turner himself lost control of the Braves in 1996 when Turner Broadcasting merged with Time Warner…”"Mike Bates The Hardball Times
Fans pine for the days when Turner spent his money lavishly on the team, but Turner didn’t spend a dime on the team after the merger. The individual with the reins after that, and likely for some years before, is Terry McGuirk.
McGuirk became Turner Broadcasting's CEO from 1996 to 2001 when he became vice chairman of Turner Broadcasting System Inc. and CEO of all of Time Warner’s Atlanta sports teams: the Braves, Hawks, and Thrashers.
Liberty Media Acquires the Atlanta Braves
According to CNBC, on February 2, 2007, Time Warner agreed to sell the Atlanta Braves to Liberty Media in a cash + plus stock transfer deal. The actual cost is hard to nail down, but CNBC explains the transaction.
“(The agreement) would involve Time Warner transferring the Braves, a group of craft magazines and $1 billion in cash to Liberty in exchange for about 60 million shares of Time Warner stock… Based on the closing price of Time Warner's stock (that) Monday, the market value of those shares would be about $1.27 billion.” The deal was finalized on May 17. If the date seems odd, it's because of important tax-implications explained by Maury Brown here.
Baseball learned that corporations not focused on baseball were a bad idea when CBS owned the Yankees, so MLB imposed a few restrictions on its approval of the sale; they restricted LMC from selling for five years, wanted Terry McGuirk to remain in charge, and payrolls to remain steady or go up. The first two were obviously me, but what about payroll?
Player Payroll
Despite fan conspiracy theories, McGuirk insists that he was never told to cut anything from a budget or refused a budget that included going into debt for something the team felt was the right move. In other words, don’t do anything silly. (All dollar amounts are in millions)
Except for drops due to salary dumps in 2015 and 2016 and a drop after the COVID-19 mess, CBT Payroll increased every year from $105.3 in 2012 to $276.1 in 2024.
Liberty Media - A Top-Notch Owner
While some fans look into the future, most see things in the here and now, but multi-national companies look farther down the road. LMC’s analysts looked at the way the baseball teams generated income and found it wasn’t sustainable.
The Braves presented four plans over 10 years to the city, and every time, the city said no. LMC assisted with the last presentation, and when the city said no, they switched to the backup plan that’s now The Battery Atlanta.
Since its inception, the Battery’s provided a separate income stream to the Atlanta Braves. It started small and has grown over time. When it came of age, Liberty Media set it free.
Atlanta Braves Holdings
Following the 2022 season, LMC announced it was spinning off the Atlanta Braves and associated properties to create a publicly owned, independent corporation. The spin-off was complete on July 13, 2023, so, gentle reader, LMC no longer owns the Braves. I know that’s a shock to some, even Ken Rosenthal doesn’t seem to know – someone should tell him – but it’s true; Atlanta Braves Holdings, Inc., owns the Braves, and Terry McGuirk is Chairman.
"“The Braves are no longer just a team; they are a business empire…The Battery is not just a ballpark extension. It is a thriving entertainment hub with restaurants, hotels, and office spaces. With this real estate play, the Braves have become a financial juggernaut. Ticket sales, media rights, and sponsorships still fuel the team’s revenue, but now, real estate benefits add another layer of financial aspect.” https://www.essentiallysports.com/mlb-baseball-news-who-owns-the-atlanta-braves-all-you-need-to-know-about-the-atlanta-braves-holdings-inc/"(Essentially Sports)
Rob Mains at Baseball Prospectus (sub required) provided a breakdown of the company’s first-quarter report that includes this summary.
"“…More importantly, the Braves (admittedly, one of the best-run franchises in the sport) reported annual profits (measured by adjusted operating income) of nearly $40 million compared to $38 million the year earlier despite getting swept out of the wild card round compared to four Division Series games in 2024.”"Rob Mains
That’s a Wrap
Liberty Media did something no one else has done: changed an entity always looking for the next guy with deep pockets to bail them out into an organization that makes its own way.
The Braves now have an income source that their leadership controls. Having such a source doesn’t free them to spend like drunken sailors, but it does eliminate restrictions because the owner wants to save money for a new yacht. It’s not likely ABH will send the Braves into Dodger or Mets levels of spending, but it’s nice to know we won’t hear rumors of a pending sale.