Sports & Politics Intersect: Papa John's blames sales meltdown on NFL

"NFL leadership has hurt Papa John's shareholders. This should have been nipped in the bud a year and a half ago." - John Schnatter, Papa John's CEO

During a quarterly call with investors on Wednesday, Papa John's CEO and founder John Schnatter blamed the ongoing protests against police brutality and racial inequality for their poor pizza sales. Schnatter claimed that the drop in the NFL's favorability among Trump supporters since the president took to Twitter to criticize players who kneeled during the national anthem has also affected his company because it's one of the biggest TV advertisers during pro football games.

Schnatter's assertion has since been disputed by other companies that advertise during NFL games, which includes other competitors. During a similar call with analysts, Greg Creed, CEO of Yum! Brands, which owns Pizza Hut, said that they had seen no such negative impact. Likewise, companies like Kohl's have said that they have no plans to change how much they advertise with the NFL, and that the protests haven't change their respective relationships with the league.  

"What we see is a lot of our shoppers and prospective shoppers are watching NFL so that is what is behind the decision," Greg Revelle, Kohl's chief marketing officer, told CBS News. "We are very confident."

Schnatter's comments have also led to online ridicule and conspiracy theories. Frozen pizza maker DiGiorno jumped on the controversy and dragged Papa John's on Twitter, so much so that the latter responded (albeit meekly). More relevant to our interests is the rumor circulating online that Dallas Cowboys owner Jerry Jones is actually the one behind Schnatter's complaint. Proponents of this theory cite Jones's very public anti-protest views, the fact that he partially owns 120 Papa John's restaurants, and recent comments he made praising Schnatter as being "a great American."

Regardless of the veracity of Schnatter's claim, only one thing remains perfectly clear. The controversy over players using their platform to advocate for a slew of social justice issues is not going to go away anytime soon. This week, it manifested itself in the form of delivery pizza. Who knows what it'll be next week. 

- Fidel Martinez

“McNair, to his credit, later apologized to Troy Vincent, the NFL’s executive vice president of operations. Vincent, who is black, said during the meeting that he had been offended by McNair’s remark, considering that he had been called the n-word but never an 'inmate' during his lengthy playing career.” - From the Washington Post on McNair’s comments

On October 29, ESPN published a feature story about the meetings between owners and players to discuss players kneeling and sitting for the national anthem. While plenty was reported, the biggest point of discussion or contention, depending on how you’re looking at the whole ordeal, came from Texans owner Bob McNair when he said, “We can’t have inmates running the prison.”

Naturally, the fallout from the comments caused an uproar. McNair apologized on Friday via a statement from the Texans PR team. “I regret that I used that expression,” the statement began. “I never meant to offend anyone and I was not referring to our players. I used a figure of speech that was never intended to be taken literally. I would never characterize our players or our league that way and I apologize to anyone who was offended by it.” 

That same day, Texans wide receiver DeAndre Hopkins, along with running back D’Onta Foreman, skipped practice while almost the entire Texans team took a knee during the singing of the national anthem before their game in Seattle. Duane Brown, the Texans lineman who was traded to Seattle on Monday, said that the team felt “a huge sense of unity” after kneeling and playing together after McNair’s statements. 

Not just around the league, but around the whole sports world, people spoke about how they felt about McNair’s comments, and none of it was complimentary. Jadeveon Clowney was spotted at a Halloween party the Monday following the story wearing a prison jumpsuit which the team claims was not a shot at McNair. 

The league plans on having more meetings between the players and owners about the issue. As of right now, the league has not voted to force players to stand during the national anthem. However, with owners like Jerry Jones and Daniel Snyder saying that the issue is hurting their bottom lines, this feels like a war that is far from over. 

- Phillip Barnett

"Eliminating the estate tax would be huge for sports team owners. It helps the rich stay rich and creates a dichotomy." - Charles Capetanakis, estate litigator

Republicans in congress unveiled their tax plan on Thursday, a bill that if passed would overhaul the current U.S. tax code. Reaction to the bill, which included a very confusing mention of Steph Curry in the text, has been mostly negative. The Los Angeles Times, for example, noted how the bill would be terrible for California homeowners, while the Daily Beast outlined several items that would be detrimental to the more vulnerable among us. But not everyone stands to lose under the GOP tax bill. Some, like owners of professional sports team, have a lot to gain.

The most significant impact that the bill would have on team owners should it pass is the eventual repeal of the estate tax. For the unfamiliar, the estate tax – often referred to derisively as the "death tax" – is paid when a person with more than $5.49 million in assets dies ($10.98 million for a married couple) and their wealth is inherited by someone else. It's not a small tax bill – it's a huge source of revenue for the federal government, and some experts argue that repealing would cost the U.S. government $269 billion over a decade – but it's one that only affects about 0.2 percent of all households. And you know who makes up that fraction of a percentage? People who own sports teams. This would not be an insignificant change for those individuals. As Forbes recently highlighted, several franchises have gone up for sale after the death of their owner simply because their kids needed money to pay their taxes.

But it's not all good news for sports team owners. The proposed tax bill also included language that would prevent cities and municipalities from selling bonds to pay for new stadiums. This might not be such a huge blow to them, though. After all, with the exception of the soon to be Las Vegas Raiders, the trend for stadium financing is to do it with private money.

- Fidel Martinez

"I see a difference in behavior from one player directed specifically at a player and a logo. While both are problematic, I don't see them as the same issue." - Rob Manfred, MLB commissioner

On Wednesday, the Houston Astros won their first ever World Series after defeating the Los Angeles Dodgers at Dodger Stadium. It was an exciting series that broke multiple records, but it was also one that was marred by a racist gesture made by Astros first baseman Yuli Gurriel directed at Yu Darvish during Game 3.

The controversy over Gurriel's actions and how the league approached it persisted throughout the series. Shortly after Game 3, MLB commissioner announced that Gurriel would not be suspended for Game 4, but would instead serve a five game suspension at the beginning of the series. Manfred's decision resulted in backlash from advocacy groups and sports writers alike, who claimed it was too lenient.

To his credit, Gurriel appeared contrite, asking to personally apologize to Darvish (Darvish declined) and tipping his hat at the beleaguered pitcher when they first faced off during Game 7. But Gurriel's mea culpa wasn't enough for some. When Dodgers pitcher Rich Hill first faced Gurriel during Game 6, he stepped off the mound so that the crowd at Dodger Stadium could continue their boos.

The World Series is now over, but the conversation about racism and baseball isn't. After all, Cleveland still has a name and mascot that many consider to be offensive to Native Americans. Manfred has promised to revisit that issue during the offseason. Whether anything will come from that remains to be seen.  

- Fidel Martinez

“I just support my country, you know?” - Alex Ovechkin on creating a Putin Team social movement

On November 2, Washington Capitals captain Alexander Ovechkin posted a photo of himself and Russian president Vladimir Putin on Instagram. In the copy of the post, the hockey star announced a new social movement in support of Putin that he’s calling the Putin Team.

“I’m certain that there are many of us that support Vladimir Putin,” the post read. “Let’s unite and show everyone a strong and united Russia. Today, I want to announce a social movement in the name of Putin Team. Be a part of this team – to me it’s a privilege, it’s like the feeling of when you put on the jersey of the Russian team, knowing that the whole country is rooting for you.”

Ovechkin said that the post wasn’t intended on being political, but more of a patriotic stance. He wants to show support for his country, where his family and friends are.

Kremlin was thrilled to hear Ovechkin speak about his country in his Instagram post and during post game comments in the Capitals win over the Islanders. “We obviously welcome in general Sasha’s desire to express support for our president, especially from abroad,” said Dmitry Peskov, Kremlin spokesman.

Ovechkin and President Putin have a close relationship, so close that Ovechkin admitted to having the president’s phone number. Putin gave Ovechkin and his wife a wedding gift and Ovechkin has sat through a four-hour Q&A that featured the president.

While the social movement could be nothing more than the Instagram post at this point, it’s made national headlines in the U.S. considering the contentious relationship between Russia and the country in which Ovechkin is playing in now. When asked about whether he thought making public statements about his support were wrong, Ovechkin simply stated,  “It’s not about 100 percent politics or something. It’s just my view, it’s just my feelings. I’m from there and nothing like crazy or something I want to do.”

- Phillip Barnett

Of note: 

• There are multiple angles to the collusion case filed by free agent quarterback Colin Kaepernick. One report states his legal team will try to examine President Trump’s relationship with NFL team owners. In seeking discovery to find evidence within any communication between teams about Kaepernick’s status, they are targeting Patriots owner Robert Kraft, Cowboys owner Jerry Jones, commissioner Roger Goodell and officials from the Ravens, Seahawks and Titans among others and asking for their phones. 

• San Francisco 49ers CEO Jed York could be a key figure in the collusion case. Kaepernick’s lawyer Mark Geragos believed that a previous statement from York – and Kaepernick’s former boss – that NFL owners need to be above President Donald Trump’s attacking statements was proof that not only were they not avoiding such attacks, but that they had collectively shied away from the free agent out of fear of reprisal from the president via Twitter.

• Also in Niners news, the club has teamed together with police unions – from the Bay Area as well as New York City, Los Angeles, Long Beach, Sacramento and Portland – to back gun-control measures as well as pledge to improve the relationships between law enforcement and the communities being served. 

• Prior to the upcoming vote on Nashville’s potential $275 million soccer stadium, a city councilman John Cooper is hoping to trigger a tougher threshold to allow its development. An opponent of the project, Cooper wants to force an earlier than planned vote on the demolition of the fairgrounds that the stadium for the potential MLS team would replace.

• The controversy around the Columbus Crew’s potential move to Austin in 2019 isn’t just limited to Ohio’s capital city. The Texas city hasn’t had a stellar history when it comes to pro soccer in recent years, but supporters of bringing MLS to the city are cautiously optimistic. Meanwhile, Ohio governor John Kasich said that the Crew hasn’t exactly been a huge hit in Columbus, but believes that MAPFRE Stadium is a sufficient venue.

• At the annual assembly of Olympics officials, corruption and doping were at the forefront of topics on the minds of the attendees. Sheikh Ahmad of Kuwait, who was implicated in the American investigation of bribery involving FIFA, presided over meetings that took place a day after the International Olympic Committee found athletes guilty of doping during the 2014 Winter Games.

• In the ongoing campaign for Catalonia’s independence from Spain, Catalans are hoping that FC Barcelona can set an example of leadership for the region in light of the country’s sudden takeover of the regional government. The team, which is seen as a symbol of the Spanish state, has yet to provide any statement on the campaign or the unrest. However, Masters champion Sergio Garcia has spoken about the referendum, hoping for some form of unity within his home nation.

• Several players from the Vanderbilt women’s basketball team knelt during the national anthem in a preseason game. The players mostly found support for their stance on social media, with a few vowing to no longer support the program. This comes a week after head coach Stephanie White called the White House’s lack of invitation to national champion (and conference rival) South Carolina “a slap in the face.”

• Beginning next year, women will be allowed inside sports arenas in three Saudi Arabian cities. The three venues – Riyadh’s King Fahd Stadium, Jeddah’s King Abdullah Sport City and Dammam’s Prince Mohammed Bin Fahd Stadium – are the three largest in the Saudi Professional League, and they host six of its top teams. This follows the historic September decree that allows Saudi Arabian women to drive in the strictly conservative nation.

• Of all places where football participation has declined in the United States, the least expected might be in Texas. Believe it or not, participation in the sport among high schoolers has dropped by a quarter between 2000 and 2016. Texas Monthly examines all of the potential reasons for the drops in youth football – from concerns of head injuries to the changing demographics of the state.

• Far east of Texas, football has completely stopped for one team in Martha’s Vineyard. Between injuries and disciplinary issues, Martha’s Vineyard Regional High School forfeited the remainder of its season, including its rivalry game versus Nantucket High School. Having too few players to field separate junior varsity and varsity teams, the 1-7 Vineyarders’ only victory this season came via forfeit by a team which also had too few players.

• A controversial gaming expansion bill in Pennsylvania included a lot of questionably detailed and ambiguous economic development projects in the counties set to receive the new gaming initiatives. The pork-barrel initiatives may seemingly help the state pay its budget, but not without strong divides about what these gaming projects can realistically do for areas like Delaware County.

• Roger Goodell recently went on a tour of the site of Tottenham Hotspurs' new stadium. The Premier League franchise signed a ten-year deal to host NFL games on its new grounds starting in 2018.

• New York Islanders owner Jon Ledecky is hoping that the team’s newly renovated practice facility is not only attractive to players (including soon-to-be free agent John Tavares), but perhaps to New York State. The $7 million redevelopment ideally could help make the case to the state to approve the team’s bid for a new arena that would bring the team back to Long Island after its ill-fated move to Brooklyn’s Barclays Center in 2015.

- Jason Clinkscales

For the record books: This week in sports politics history

"I'm from Compton," Palmer dryly responded. "I've heard worse in the streets."  - Violet Palmer on whether foul language in the NBA bothered her

20 years ago, the NBA hired the first two women who would become referees at the game’s highest level. Dee Kanter and Violet Palmer weren’t just the first women to become officials in the NBA, but the first women to become officials in any all-male pro American sport. The NFL didn't see its first female referee until 2015. There have been two women umpires in spring training MLB games, but none during the regular season. No woman has ever officiated an NHL game.

Much like many women who become firsts in professional sports, they became trailblazers for those who would follow. Lauren Holtkamp became the third full time NBA official in 2014 and credited both Kanter and Palmer for opening the door for her and feels that “there is a kinship and certainly a sense of support and collegiality" between her and her predecessors.

Kanter would be let go by the NBA after five years, but Palmer became one of the league’s most respected officials and retired after 17 years in the Association. While Palmer is one of the mosts beloved officials in the the league’s history, things weren’t always easy on her.

Palmer had to prove that her gender and physicality wouldn’t be an issue with many wondering whether she’d have the physical strength to break up altercations or handle the foul language on the court. She also had to battle the sexist nature of a male-dominated culture. Former NBA player Cedric Maxwell once said that she “belongs in the kitchen” after Palmer made a call she didn’t agree with.

Despite the tribulations, Palmer and Kanter became the firsts of what will be many. After the NFL hired Sarah Thomas, the NHL said that it would “follow the lead of the NBA and NFL” and begin inviting women into their summer officiating combines. Progress has to start somewhere, and this time it began with Dee Kanter and Violet Palmer.

- Phillip Barnett