What does uncertainty of 2020 season mean for Kansas City Royals?

What comparisons can we draw from the Great Depression’s Philadelphia Athletics and Washington Senators with the new ownership group of the Kansas City Royals?

John Sherman and his new ownership group just purchased the Royals franchise for $1 billion. To immediately have a lost season with no revenue or a season without fan attendance is about as disastrous as an outcome a new owner could expect.

Sherman could be feeling the financial stress of retaining salary for the 2020 season and 2021 season and call in general manager Dayton Moore into his office. Once the roster unfreezes, Sherman could direct Moore to cut as much salary as possible.

Annually the Kansas City Royals take in an estimated $246.5 million in revenue. If the 2020 is lost completely the financial burden on the new ownership group will be extreme. If the 2020 season is played without fan attendance/ticket revenue, approximately $59.5 million will be lost.

The Royals estimated payroll for the 2020 season was expected to be $82,584,000. Moving the remaining salaries of high-priced talent in a shortened 82 game season could be the move for the Royals in 2020.

Remaining high-priced talent salaries:

• Closer – Ian Kennedy – $16.5 million (2020)
• Starting Pitcher – Danny Duffy – $15.25 million (2020) and $15.5 million (2021)
• Catcher – Salvador Perez – $14.2 million (2020 and 2021)
• Designated Hitter – Jorge Soler – $7.3 million (2020) and estimated $10+ million (2021)
• Second Base/Outfielder – Whit Merrifield – $5 million (2020), $6.95 million (2021), $2.95 million (2022), and option for $6.7 million (2023)
• Outfielder – Alex Gordon – $4 million (2020)
• Starting Pitcher – Mike Montgomery – $3 million (2020) and estimated $4+ million (2021)
• Third Baseman – Maikel Franco – $2.95 million (2020)

Like the Philadelphia Athletics of 1932, 1933, and 1935, the Royals could expect to move salaries and talent quickly. Only the MLB landscape has significantly changed. Moving veteran salaries isn’t as easy as it once was. The Royals’ young talent like Adalberto Mondesi, Hunter Dozier, and Brad Keller will be entering into their first years of arbitration for the 2021 season and could become expensive.

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If the Kansas City Royals ownership group feels enough financial strain, they could go with a full-fledged youth movement, invoking the movement as soon as the 2021 season. The front office could trade away and allow contracts to expire to remove $73.75 million from the books for the 2021 season.

The 2021 Royals would be fielding a team with a roster payroll of around $20 million. If they decide to trade away Mondesi, Keller, and Dozier before they reach their larger arbitration years, that payroll number will decrease to around $15 million.

The Royals will struggle at the MLB level, but the youth movement on the MLB roster could accelerate development. If the Royals front office remains adamant about player development investment and scouting then the Royals could continue to build thru the draft and minor leagues.

The Royals timeline for returned success should remain the same (2025).