The Washington Nationals and MASN are in a dispute over media rights fees.
MASN and the Washington Nationals still are so far apart in their media rights fee dispute ? there?s a $70 million annual difference between the two sides, sources say ? that Major League Baseball has decided to extend its deliberations by a month.
Originally, the league planned to decide how much MASN should pay the Nationals for their media rights by the beginning of June. Now, MLB has told both sides not to expect a decision until July, sources said.
It?s not clear why MLB has held off on making a ruling, especially since the league originally heard testimony in April. But sources say the league has a concern that any decision will lead to a lawsuit from one side or the other.
Plus, other MLB teams are watching the dispute closely, fearful that a ruling in favor of MASN could set a new lower bar for local TV rights. In the past few years, the market for local baseball rights has been scalding hot, punctuated by deals like the Texas Rangers? 20-year, $3 billion pact with Fox Sports Net and the San Diego Padres? 20-year $1.2 billion deal, also with FSN.
Right now, the two sides are far apart, and there doesn?t appear to be much middle ground.
The Nationals have told MLB that they should receive an average of more than $100 million a year in media rights, a fee that would put the team on par with other teams in the top-10 media markets.
MASN said the fee should average about $35 million a year, citing the team?s low TV ratings and tepid fan base. Plus, MASN believes the fact that Baltimore Orioles? games are carried in the Washington, D.C., market should depress the rights fee going to the Nationals. MASN?s offer represents a 20 percent increase over the $29 million a year it now pays the Nationals.
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