Astros Want to Drop Enron Name From Stadium

Reuters via NYTimes.com ^ | 2/5/02

[GeneD]

Filed at 1:20 p.m. ET

HOUSTON (Ticker) - The Houston Astros want out of their naming rights agreement with the Enron Corporation, the embattled energy company that recently filed for bankruptcy.

The Astros on Tuesday filed a motion in the United States Bankruptcy Court for the Southern District of New York asking the court to determine whether the naming agreement with Enron should continue.

The National League club signed a 30-year agreement with the company in April 1999 to call the new playing facility Enron Field. While the deal may provide income to the Astros, the stadium name has become a public relations nightmare since thousands of Houston-area residents lost not only their jobs but their pensions when Enron filed for bankruptcy.

``The Houston Astros have been materially and adversely affected by the negative public perception and media scrutiny resulting from Enron's alleged bad business practices and bankruptcy,'' said Astros president of business operations Pam Gardner. ``We have worked diligently with Enron to transition the stadium name, but we've been unsuccessful. At this point, we have no other alternative but to seek relief from the bankruptcy court.''

According to the Astros, Enron has spent the bankrupt estate's assets by paying approximately $108,000 for a suite and paying nearly $90,000 for box seats. The Astros claim that Enron wishes to sell the naming rights without the consent of the team.

``We do not believe that it is appropriate for Enron to continue to spend these large sums of money to have a baseball stadium named after it because the name of the stadium can not be changed without the Astros consent, so the naming rights Agreement has no economic value to Enron,'' Gardner said. ``We believe that it is now time for the bankruptcy court to determine whether the naming rights agreement should continue.''

Enron has made three annual rights fee payments under the naming rights agreement totaling $10.25 million, and the next rights fee payment of approximately $3.65 million is due on August 31, 2002.

Enron also agreed to purchase on an annual basis a 14-person suite and 35 Box Seats. The company paid approximately $108,000 for the 2002 suite on January 22 and paid nearly $90,000 for the 2002 box seat tickets on Monday.

[lds23]

You sleep with dogs, you wake up with fleas.

[hchutch]

If the Astros knew about the shenanigans in the bookkeeping, I'd agree. But in this case, I think they need to be let out of this ASAP.

[sig226]

When Enron first went to pot, ESPN had a poll for the new stadium name. I only remember two: Chapter 11 Field and Bankrupt BallPark.

[truthandlife]

I think they get what they deserve. In fact, I think it is appropriate. The owner of the Astros, Drayton McClain, said after the city built Enron stadium with taxpayer money he said he is still not making a profit. Anderson must be doing their books.

[CedarDave]

Posted here at 10:52 a.m. PST. Rush picks it up on air at 11:22 a.m. PST. Coincidence only??

[Wyatt's Torch]

Actually, Enron Field is appropriate - both collapse in October. ;-)

[scannell]

I think they need to be let out of this ASAP

"Let Out" There would be an obvious solution, and that would be to return the millions they sold the naming rights for that could go to settle Creditor bills and Pension shortfalls. Do the Astro want to take the money and run, or do they want to reverse out the relationship. Ah, let them keep the interest on the money.

[mykej]

Take it up the AstroDome

Debits Field

[archy]

Maybe they could work out a deal with K-Mart to sponsor the ballpark....

[Jaded]

Well, one suggestion I heard about re-naming was a joint venture with Philip Morris (MO) and Enron and call it MoRon field. If the Astros want out of the contract they should give the money back!!! Then go SELL themselves somewhere else.

[BikerNYC]

``The Houston Astros have been materially and adversely affected by the negative public perception and media scrutiny resulting from Enron's alleged bad business practices and bankruptcy,'' said Astros president of business operations Pam Gardner.

Unless that is a ground that allows the Astros to get out of the contract they signed with Enron, tough!

[dead]

Somebody call "The Nation" and let them know that Astros owner George W. Bush is up to some vague shenanigans that they may want to call both their reader's attention to!

[No Truce With Kings]

. . .both collapse in October.

Only an optomist would say that. The Astros typically have less staying power than that.

[Wyatt's Torch]

True. But as a Braves fan, it seems somewhat appropriate. ;-)

[lds23]

The whole idea of taxpayer funded stadiums getting corporate names - whatever happened to naming things after great people?

Now that I think about it, maybe "Meadowlands" is better than "Byrne Arena" after all.....

[Huck]

While they're at it they should move the left field fence back about 40 feet or so.

[untenured]

Signing Greg Swindell and not signing Nolan Ryan to long-term contracts were much bigger mistakes.

But at least they unloaded Derek Bell in the nick of time.

[truthkeeper]

Personally, I detest it when these big arenas/stadiums take the name of some big corporation. So Californians, remember the quaint old days of Angel Stadium (now Edison Field) and The "Fabulous" Forum (now the Great Western Forum)? Oh yes, and how could I forget the Staples Center? Name the place something practical and leave it alone, I say.

BTW, I guess I inherited this quirk from my dad. To his dying day, he still referred to Tiger Stadium as Briggs Stadium. ;-)

[jpl]

The name should of course be changed to Home-Ron Field, considering that the left field wall is so close my mother could almost hit one out.