I’ll get straight to the point: Any PGA Tour player can disagree with or dislike any point he wants my work for whatever reason he likes. I would even consider some of the criticisms made on social media, but not the cheap shot that I used to describe my “fluffy words.” I am a columnist, so I don’t need the approval of golfers.
were irritated by a recent column that criticized Patrick Cantlay for his efforts to rally fellow members against a proposed deal between the PGA Tour, and the Saudi Arabian Public Investment Fund. Cantlay’s deep misgivings over the deal should be welcomed, as it could represent a poor settlement for his Tour. It is important to understand the basis of his opposition.
The moral argument has never been a major concern for elite PGA Tour golfers. The opponents of this deal are not out to save the reputation of the PGA Tour. They have done a rhetorical backflip which would make Simone Biles jealous. Some may still be angry about the secretive nature of the process, but that anger has mostly dissipated. Where can these key players find leverage? To use Jay Monahan’s words, a deal that removes a competitor from the board also removes leverage from players, who no longer have an unreliable suitor, and would likely miss out on the lucrative cash-out enjoyed by the soon to return LIV guys. By avoiding this deal, and instead forming an alternative using private equity, LIV could be kept as a rival and serve their narrow interests.
The Tour’s policy committee released a press release after a five-hour session on Tuesday. They were keen to stress the importance of the input of player-directors who, until the announcement of the agreement, had not been informed. The board is right to be concerned about discontent among members, both the elite and the rank-and-file. This will serve as a reminder of where the power lies within the organization. This is not surprising, as the Tour’s path suggests that it will be a dangerous journey.
The framework agreement between Tour and Saudis did not satisfy anyone, and it was a very thin document as a basis for a radical restructure of professional golf. It did, however, reveal the priorities of both parties.
Saudi Arabia wanted to end the legal discovery process, which could have revealed the Fund’s investment beyond golf. They also wanted to see the sport accepted by a wider audience. The PGA Tour wanted to avoid legal costs and obtain a cash injection that would, amongst other things, support purse increases. Both sides will get their desired outcome if the proposed agreement is completed. The PGA Tour still gets its wish list if the deal is not completed, but Saudi Arabia does.
Even without a final settlement, the litigation is over and Saudi money is now normalized. There is still a Department of Justice and Congressional investigation, as well as the possibility that Saudi investment will not materialize. The morality card cannot be played in a straight-faced manner, and the legal leverage of the Tour has been removed. Now, corporations and players can test LIV themselves. If no agreement is reached, the Saudis will continue to operate LIV. In this case, more players may decide to jump.
The PGA Tour’s future depends on the Saudis for good faith during negotiations.
The non-dismemberment clause was not widely known, but it appears that no one asked for it. The clause extends to “ultimate benefit owners” which, in the case of PIF, is the Saudi government.
It’s best if we all agree to not say anything hurtful.
