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Cowbell Kingdom presents: Larry Coon (Part II)

Welcome to Part II of Cowbell Kingdom's interview with NBA salary cap guru Larry Coon.  In yesterday’s discussion, we touched on a lot of big picture ideas, not really focusing on individual team or player situations.   Our conversation took on a myriad of topics, everything from what the new CBA might look like, an explanation on gross revenue versus net revenue, to what a team like the Sacramento Kings with massive cap space should be able to accomplish in the new NBA landscape.  Today’s segment of the interview still has a big picture feel, but the specific teams and players are discussed along the way for context.  Hopefully you enjoy round two of the amazing Larry Coon with Cowbell Kingdom’s James Ham. James Ham:  Rumors are already flying about the 76ers looking to move Andre Iguodala.  Rumors are what they are, but with the new CBA looming, do you see a devaluing of players like Iguodala, who are at the $13-15 million range over a three or four year period because there is obviously going to be some constriction in salary, how much we don’t know yet? Larry Coon:  You could see that, but what’s going to happen with the rollbacks? I think that is one of the things that’s going to end up happening, so it depends on what percentage we see in rollbacks.  Then these guys are going to have a salary that’s a little bit more palatable.  Maybe they alter guarantees so that even players with existing contracts, the guarantees become less.  So you're still committing the cap money, but at least you're not committing yourself to an albatross contract like Eddy Curry or Gilbert Arenas who are just sitting there and you can’t do anything about it except buy them out and they still count against the cap. It depends mainly on how hard the cap is.  If it’s a true hard cap, and say it’s a $60 million cap, then that $15 million becomes one fourth of the entire table that you're going to be looking at.  In a soft cap, you are going to spend $25 million for Kobe, but so what, you can go up to $100 million, and although that’s a quarter of the cap, maybe it’s worth it - but if you're in a situation like an Atlanta or Memphis and you're paying a lot of guys these high salaries, and it’s a true hard cap or a pretty hard cap, you are going to have to make these decisions.  You have to be basing your payroll on what percentage of the total dollars available do we want going to this one player. ... More