After Tuesday’s collapsed negotiations, the National Basketball Association canceled its preseason schedule today. If the league doesn’t reach a new labor agreement by Oct. 10, it will then vacate the regular season’s first two weeks.
The players rejected a 50/50 split of basketball-related income (BRI) on Tuesday, according to NBA Commissioner David Stern. At a news conference, Stern said:
“We weren’t able to make the progress that we’d hoped we’d be able to make and we weren’t able to continue the negotiations,” Stern said.
What’s next for the two sides? Depending on the Oct. 10 outcome which is unlikely to result in an agreement, it may be a month or two before the sides will speak again. The regular season has a Nov. 1 start date.
Some companies tied to the NBA include Madison Square Garden Inc. (NASDAQ:MSG), Anheuser-Busch Inc.(NYSE:BUD), and Nike Inc. (NYSE:NKE), as well as News Corp.(NASDAQ:NWSA), Comcast (NASDAQ:CMCSA), CBS Corp.(NYSE:CBS), The Walt Disney Company (NYSE:DIS), and DirecTV (NASDAQ:DTV) all of which broadcast NBA games on their networks, which include Fox, NBC, CBS, ABC, and ESPN.