Tim Leiweke, pictured here lounging atop a giant pile of money, took time out of his busy schedule to speak with us at his office in downtown Los Angeles. During our interview, Mr. Leiweke, CEO of AEG, the parent company of the Los Angeles Galaxy, reiterated comments he made earlier this year that the Galaxy were on track to lose money in 2010.
“When I said the Galaxy was on pace to lose money, I wasn’t just saying it for leverage during this year’s labor negotiations,” Leiweke said in between bites of beluga caviar and condor eggs, “this is also about controlling fans’ expectations. They see the Red Bulls go out and sign players like Thierry Henry and Rafa Marquez and us expect to immediately one up them, but, of course, that just isn’t always possible. We have real financial constraints to consider.”
“This economy has been devastating to all industries and the sports and entertainment sectors are no exception.” AEG, he said, had been particularly hard hit. “Back in the salad days, when I used to travel on business I would fly in one private jet while mere VP-level employees who were accompanying me would fly in another. But now, I have to fly on the same plane as them! That’s right, the same plane as some people who make less than a million dollars per year. Half of the advantage of flying on a private jet is that you get to avoid the stench of the wretchedly poor. And now I am literally rubbing elbows with folks who own fewer than three houses.”
“That’s just one minor example, too,” Leiweke continued, ” I could literally go on and on. Do you think we have bejeweled toilet paper in the executive restroom anymore? Well, actually we still do but it’s just sapphires and rubies now. I mean, how am I – and by that I, of course, mean my manservant Niles – supposed to suffer the indignity of wiping my bottom with anything less than diamond encrusted paper? When players or fans come to me and expect AEG to open up our wallets for this or that do they take that into consideration? No, of course they don’t. In fact, I bet it scarcely crosses their mind the manner in which Niles tidies me up after I have a movement.” At that, Mr. Leiweke brought the interview to a close, politely explaining that he was running late for a throne-fitting appointment.
